After NPC and CPPCC sessions in 2024, the major changes in the investment policy of Sino-foreign joint ventures are as follows: First, China will continue to open to the outside world and increase its attractiveness to foreign-funded enterprises, such as abolishing the share ratio restrictions in some industries and giving foreign-funded enterprises more freedom. Secondly, China has strengthened its connection with international rules. For example, the Law on Sino-foreign Joint Ventures was revised. Although the number of words revised is small, it is of great significance and reflects China's determination to accelerate its integration into the global economy. In addition, China also emphasized the reform of cross-border data flow and government procurement, which means that joint ventures have more development opportunities in the digital economy.

labour

Investment policy changes?

The adjustment of investment policies of NPC and CPPCC to Sino-foreign joint ventures reflects China's determination to further relax market access and optimize business environment. Specifically, China has gradually abolished the restrictions on the ratio of foreign-funded shares in joint ventures in various industries, so that foreign-funded enterprises can enjoy greater ownership and control in the China market. This change not only improves the market competitiveness of foreign-funded enterprises, but also increases the attractiveness of China market.

Legal amendment?

The minor revision of the Law on Sino-foreign Joint Ventures seems simple, but in fact it contains profound significance. For example, the amendment to Article 9 on the procurement of raw materials required by joint ventures, though only a simple textual adjustment, shows a subtle change in China's attitude towards foreign-funded enterprises, that is, it is more open and flexible.

Digital economy?

With the development of digital economy, China raised the topic of strengthening cross-border data flow management at the two sessions, which is particularly important for foreign-funded enterprises. Because the circulation of data is very important to the global business operation of multinational corporations. It is expected that with the implementation of relevant policies, foreign-funded enterprises will have more room for development in the digital economy in China.

conclusion

Generally speaking, the investment policies of Sino-foreign joint ventures after NPC and CPPCC meetings in 2024 are more open and inclusive, aiming at attracting more foreign investment into China and promoting economic and technological exchanges and cooperation at home and abroad. For foreign-funded enterprises interested in investing in the China market, now is a good time to enter the China market.

Sino-foreign joint venture registration process and matters needing attention registration process

The registration of a Sino-foreign joint venture needs to follow the following steps: first, it needs to pre-approve the name of the enterprise, then pre-approve the relevant industries (if any), and then prepare a feasibility study report for project approval. After that, you need to go to the Commerce Bureau for investment approval and foreign investment approval, and then go to the Industry and Commerce Bureau for industrial and commercial registration. In addition, you need to apply for organization code certificate, tax registration certificate and foreign exchange registration certificate.

Required materials

In the process of registering a Sino-foreign joint venture company, the materials to be prepared include: application for registration of a foreign-invested enterprise, notice of pre-approval of the enterprise name, articles of association of the joint venture company, resolutions of shareholders' meeting, identification documents of investors, qualification documents of foreign investors, registered address documents of the company, etc.

Matters needing attention

In the process of registration, we should pay attention to the specific business scope, so as to facilitate future business. The choice of legal representative should consider many factors such as market prospect and company protection. If a foreign company needs to provide notarized documents, it shall notarize them in a local law firm, and be certified and stamped by the local embassy of China.

conclusion

The process of registering a Sino-foreign joint venture is relatively complicated, involving the examination and approval of multiple departments and the preparation of documents. Therefore, it is suggested that foreign investors cooperate with professional legal advisers or intermediaries to ensure the smooth completion of the registration process. At the same time, investors are advised to fully understand China's laws, regulations and market conditions, so as to better invest and operate in China. ?