China Law & Practice

Change font size:   

This article is FREE access as part of CLP Week, a weekly email newsletter written by the editors of China Law & Practice magazine. Take a two week trial to China Law & Practice and find many more related articles.

Approval procedures loosened for establishment of foreign enterprises

MOFCOM delegates approval authority to local governments

Date: October 2008

COMMENT ON THIS ARTICLE

  • All comments are subject to editorial review.
  • All fields are compulsory


You may email your comment to a friend
To include more than one recipient, please seperate each email address with a semi-colon ';'




Receive email notification of new comments posted by other users




EMAIL A FRIEND

To include more than one recipient, please seperate each email address with a semi-colon ';'




The Ministry of Commerce (MOFCOM) has issued new rules that would grant the provincial commerce authorities power to approve establishment of foreign-invested commerce enterprises (FICEs).

Broad & Bright partner Lawrence Guo said that the Circular on Delegating Matters Concerning the Examination and Approval of Foreign-invested Commercial Enterprises indicates Mofcom’s decision to lower the barrier of approval procedures for FICEs. Approval authority was previously retained by Mofcom, and any FICEs involved in distribution of industrial raw materials such as fuel oil, cotton, and iron ore were subject to approval from the Ministry.

The new rules represent the State Council’s recent efforts to further reform and streamline the administrative approval and licensing systems in China, said Guo.

“This is a significant delegation of approval powers of Mofcom,” he said.

Related articles:
Notification thresholds for merger control 09 Sep 2008
Foreign Investment Industry Catalogue: New Revisions & Alignment ... 01 Dec 2007

China Law & Practice Events

The IFLR and Asialaw Competition Forum 2008
25 November 2008
Location: Hong Kong

The 2nd Annual Asia Pacific M&A Summit 2009
03 & 04 March 2009
Location: Hong Kong