China releases new guidelines to draw foreign investment

China has recently introduced a set of guidelines aimed at enhancing the foreign investment landscape within the country. These guidelines encompass 24 specific measures, addressing six key aspects to optimise conditions for foreign investors. Among the proposed measures are initiatives to elevate the quality of foreign capital utilisation, ensure equitable treatment for foreign-invested enterprises, enhance protection of foreign investment, streamline investment processes, provide increased fiscal and tax support, and refine strategies to promote foreign investment. This information has been reported by a state-controlled media outlet.

The guidelines also foster an environment conducive to research and development, encouraging foreign investors to establish research and development centres in China and participate in significant scientific research undertakings.

In an effort to balance regional development, foreign-invested enterprises are encouraged to relocate industries from China’s eastern region to central, western, and northeastern areas, including border regions.

The government is taking steps to ensure that such enterprises have full participation in government procurement activities in compliance with legal regulations. To further this aim, the government will swiftly introduce relevant policies and measures, clarifying specific standards for products marked as ‘manufactured in China,’ while also expediting the revision of the Government Procurement Law.

Equality is a principle emphasised within the guidelines, as foreign-invested enterprises will be supported to engage in the formulation of standards on an equitable basis in accordance with the law.

The guidelines also underscore the strengthening of intellectual property rights through administrative protection measures. Additionally, improvements in investment and operational facilitation are on the agenda.

Furthermore, the government is committed to providing convenience to foreign executives, technical personnel, and their families concerning matters of entry, exit, and residence, as articulated within the guideline document.