June 22, 2017

New negative list shortened to 95 items from 122

China’s new industry catalogue for foreign investment was published on the Chinese government website on June 16. It features less control on foreign investment in railway equipment, pharmaceuticals, insurance, accounting and auditing, and transportation industries.

The negative list now contains only 95 items, compared with 122 in 2015, 139 in 2014 and 190 in 2013. Government approval is still needed for investment in unforbidden areas covered by the negative list.

The new catalogue will take effect from July 10 in China’s 11 pilot free trade zones.

As of April, 8,734 foreign companies have registered in Shanghai Pilot Free Trade Zone in Pudong with contractual investments totaling 688 billion yuan (US$100 billion).