China’s New Foreign Investment Policies Aim To Attract More Overseas Capital

China's State Council issued a public circular dated January 12, 2017 setting out a comprehensive menu of new policies and guidelines to encourage foreign direct investment (FDI) in China.

While some details of these new policies are not finalized, the circular represents a positive directional response by the Chinese central government to the challenging economic situations facing China.

It also articulates some important policies which could present valuable or strategic opportunities for certain foreign corporations investing in China.

 

Here are highlights of the most important policies in this circular.

– Foreign investors would be permitted to invest in or own a majority of equity stakes in some key sectors that were previously restricted, primarily in manufacturing, services and mining.

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