On 15 March 2019, the National People’s Congress (NPC) of the People's Republic of China (PRC) passed the Foreign Investment Law of the People’s Republic of China (the Foreign Investment Law). The Foreign Investment Law will come into effect on 1 January 2020. The Foreign Investment Law was formulated to further expand opening up to and promotion of foreign investment, protect the rights and interests of foreign investors, standardize the regulation of foreign investment, drive the formation of a new structure for comprehensive liberalization, and promote the healthy development of the socialist market economy. The Foreign Investment Law sets out many broad principles and initiatives that should help create a more level playing field and improve the legal regime for foreign investors in the PRC. However, more details are likely needed regarding its interpretation and implementation before foreign investors will see concrete changes and benefits.
We summarize noteworthy features of the new law in this newsletter. Please feel free to share the alert with your colleagues who might also be interested in the topics raised in this newsletter.
If you have any questions on the topics covered or need further clarification on any particular issue, please do not hesitate to get in touch with your usual contact at Baker McKenzie FenXun, or any of the lawyers listed below.