Current sanctions, the risk of future sanctions, and foreign investment controls are some of the increasingly prominent challenges facing merger & acquisition (M&A) deals involving Chinese parties this year. While there is no universal solution for each transaction, there are still ways parties and lawyers can minimize the risk of problems arising.
The U.S. issues renewed national security legislation focusing on defense contracts with Chinese military companies; China amends its Company Law to strengthen the rights of shareholders; and China's top court set up a case database to standardize adjudication across the country.
Chinese court established the FRAND rate for 5G patents in Oppo v Nokia case; Regulator warns Gotion of failing to disclose conditions of its deal with Illinois; and Apps like Alibaba Marketplace and Taobao Alliance are violating data collection laws
AI content protected by Chinese copyright law due to the addition of "human investment"; A provincial appellate court rules that Shanghai's Maichilin has infringed Michelin's trademark; and the ramifications of Shein's plans to file an IPO in the U.S.
Chinese auto companies are being asked CFIUS-like questions; Hong Kong's new reciprocal enforcement regime is expected to provide more certainty to parties; and MOFCOM clears unequal treatment for foreign investors.
Once the bill passes, Singapore will join such countries as China, Japan, the U.S., Australia and the U.K., which have comparable investment regulations.
UK NSI Act update may bring new opportunities for foreign companies; Fund registration and operational requirements are relaxed to lower cost of foreign investment in China capital markets; and NFT theft is considered criminal theft due to its property and data characteristics.
China bans those holding state secrets from traveling abroad during the 'confidentiality period'; the European Union requires Alibaba's subsidiary AliExpress to provide information on its measures to deal with illegal products; and the British fashion retailer Missguided is now under the management of SHEIN
China's proposed amendment of its state secrets law has alarmed foreign businesses; a U.S. Congressional committee will probe Sequoia over its China tech investments; and China will scrap its price cap on land sales to revive its property market
China approves the U.S. listing plans of VIE-structured company CheChe; Chinese IP court helps mediate dispute between Dyson and Dreame; and CSRC proposes rules to encourage companies to pay their dividends
