The U.S. Treasury labels China a currency manipulator after China's currency falls below seven to the dollar; China announces plans to double size of Shanghai FTZ and reduce restrictions on foreign businesses; JP Morgan and Morgan Stanley one step closer to taking control of respective JVs; and China and U.S. sign U.N Convention on Mediation in Singapore
Amidst growing trade friction with the U.S., Scott Yu and Derek Liu of Zhong Lun Law Firm note some particular highlights for foreign investors in the latest iteration of China's Negative Lists and Encouraged Investment Catalogue.
The U.S. president announces new tariffs covering virtually all Chinese imports a day after trade talks; Huawei reports year-on-year revenue growth but U.S. sanctions taking its toll; and financial holding companies to face capital requirements and a ban on non-financial activities according to draft rules.
The CBIRC will tighten regulations on China’s cash management products; increased government oversight of Chinese schooling has hit the share price of several Hong Kong-listed tutoring companies; and China’s State Council plans to adopt more fiscal, and tax- and tariff-reduction measures to maintain stability in its international trade.
China has released a new negative list with fewer sectors off limits to foreign investment; Hong Kong’ regulators will now have access to Chinese companies’ audit records; and foreign ownership caps on Chinese financial firms will be lifted by 2020.
At the Global CEO Council meeting in Beijing, Premier Li Keqiang and global business leaders renewed their vows to work together to build China's economy, despite gathering clouds in the U.S.-China trade war.
Baker McKenzie and FenXun Partners discuss the impact of the new Foreign Investment Law on the repeal of FIE laws on existing FIEs, as well as the implications of other important provisions for foreign investors and FIEs in future.
