China Revises Special Administrative Measures for Foreign Investment Access (2024 Negative List)
In September 2024, China released the “Special Administrative Measures for Foreign Investment Access (2024 Negative List),” which will take effect on November 1, 2024. The Negative List outlines specific requirements, including equity and executive positions, for foreign investment access. Any areas not covered in the Negative List are managed under the principle of equal treatment for both domestic and foreign investors.
Foreign investors are restricted from acting as sole proprietors, sole investors in individual enterprises, or members of farmer cooperatives for business activities. Additionally, foreign-invested enterprises conducting business within China must comply with the relevant provisions in the Negative List.
Through unified management of both domestic and foreign capital under the Negative List system, China aims to improve the business environment and foster high-quality economic growth. These reforms are expected to facilitate structural adjustments in the economy, attracting more foreign capital into key sectors, such as advanced manufacturing and high-tech industries.
Resource: National Development and Reform Commission