Features & Analyses

The Chinese corporate governance regime is increasingly under attack as a hindrance to important economic reforms. China's new Company Law improves corporate governance by introducing fiduciary duties and minority shareholder protection. However, does the new law provide enough protection to safeguard the interests of investors in Chinese companies? What other implications are involved and how will this impact the management of companies in China?

As part of the government's efforts to reform the construction sector, the Ministry of Construction has issued draft provisions on the administration of foreign-invested construction engineering service enterprises. Do these provisions go far enough to encourage greater foreign investment in the sector?

As part of the government's efforts to reform the construction sector, the Ministry of Construction has issued draft provisions on the administration of foreign-invested construction engineering service enterprises. Do these provisions go far enough to encourage greater foreign investment in the sector?

The range of electronic banking services provided by PRC financial institutions has widened to cater to the needs of increasingly technology-driven and sophisticated banking customers. What measures have been taken to protect the security of e-banking systems in China?

A relief in the restriction of the types of financial products offered by commercial banks broadens and diversifies the personal wealth management services they offer. Permitting banks to offer higher rates than the PBOC rate, and allowing wealth management products other than deposits, banks now enjoy higher competitiveness in the financial industry. The Tentative Measure provides for the relevant administration and risk management rules.

Whilst China's new measures for environmental impact assessment are good news for the environment, these may cause problems for project owners by potentially delaying construction and even losing business opportunities if a public hearing is required.

The new rules on foreign strategic investment aim to restore investor confidence in merger and acquisition activity in China. What are the new reforms and how will they assist new investors in Chinese listed companies?

Whilst China's new Company Law is not all it could have been, it goes a long way in introducing protection for minority shareholders, improving corporate governance and ensuring more realistic capitalization requirements for the establishment of companies.

Reflecting China's growing unease with the free flow of information over the internet, the government has released new regulations further restricting the digital dissemination of unauthorized news.