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.
China has unveiled 11 measures to open up the country's financial sector and scrap foreign shareholding caps in most financial sectors in a bid to bolster and stabilize growth.
The CSRC simplifies information disclosure requirements for public funds and includes foreign futures exchanges in the regulation umbrella. Commercial banks may entrust equity management matters to third parties.
A judicial interpretation issued by the Supreme People's Court is likely to lead to further shareholder representative litigation in respect of affiliated transactions, although more clarity is needed
Once again, high-level trade officials from the U.S. and China are back together; China plans to regulate e-cigarettes and vaping over fears of an addiction epidemic; and 11 measures have been introduced to open up financial market access and to scrap foreign shareholding restrictions.
Security assessment of cloud computing services for critical information infrastructure is specified, delinquent internet information service providers and users will be blacklisted, and real property enterprises are restricted from issuing foreign debt.
