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Hainan Free Trade Port: Opportunities and Incentives for Global Investors

Known for its white sand and clear water, Hainan is commonly recognized as the “Hawaii of China.” Soon, the southern Chinese province will reach an important milestone: The Hainan Free Trade Port (Hainan FTP), launched in June 2020, is scheduled to implement a full island-wide customs closure starting on 18 December 2025. This means that the Hainan Free Trade Port will operate as a unique customs territory within China. This setup provides global businesses with a new and exciting opportunity to enter the Chinese market, thanks to reduced barriers and enhanced policy support.

Major Revisions to China’s Company Law: Key Amendments You Should Know

Following its review of multiple draft amendment versions over the past three years, the Standing Committee of the National People’s Congress of China finally enacted the revised Company Law on 29 December 2023. It is set to take effect on 1 July 2024. Coincidentally, the amendment was passed on the 30th anniversary of the initial enactment of the Company Law, which was on 29 December 1993. This article provides a detailed exploration of the key changes brought about by the latest revision to China’s Company Law. Additionally, it examines the potential implications for businesses operating in China.

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China Economic Outlook 2024

While spectators worldwide had pinned high hopes on China achieving a swift and sharp rebound in economic activity, the wheel of fortune turned more sluggishly than expected after its post-Covid reopening. A cocktail of pressing challenges, including subdued consumption and a slump in the property market, continue to cloud China’s recovery outlook. Despite a somewhat bumpy ride last year, the world’s second-largest economy managed to hit its growth target of 5%, expanding by 5.2% year-on-year to RMB 91.3 trillion.

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Regulatory Updates

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Announcement on Tax Credit Policy for Foreign Investors Using Distributed Profits for Direct Investments

To attract foreign investment and promote reinvestment of profits in China, a new tax credit policy has been introduced, offering eligible overseas investors a 10% tax credit on direct reinvestments from distributed profits. This initiative not only provides significant tax savings but also aligns with China’s commitment to high-quality economic opening. With clear eligibility requirements and operational processes, foreign investors can optimize their capital allocation while enjoying the benefits of this policy. Discover how to maximize your investment returns in China. Read on to learn more!

Market Entry, Industry Updates and More...

German Investors in China 2025: Confidence Reloaded, Strategy Recalibrated

Explore the 2025 strategic shift for German investors in China as they pivot from asking whether to stay to how deeply to localize. Our report analyzes how leading German firms are combating price pressures in Mainland China by building local R&D and supply chains, while leveraging Hong Kong as a strategic ‘resilience buffer.’ Gain critical insights on recalibrating your Greater China strategy for renewed growth and competitiveness.

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