New Foreign Investment Guidelines in China Encourage Innovation

9 January 2012
China welcomes foreign investment in a broad range of sectors, but investment in some industries is encouraged more than in others. China continues to be the world’s destination for foreign direct investment, and this trend has only strengthened with the uncertainty that currently prevails in Europe and, to a lesser extent, the United States. Foreign […]
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Best Practices to Structure Investments into China

28 December 2011
Choosing the optimal investment structure – RO, JV, or a WFOE in consultancy, trading or manufacturing – is one legal component to a successful China strategy. How to choose between a Representative Office, a Joint Venture and a Wholly-owned Subsidiaries In 2008 when the global financial crisis struck, European companies put on hold most of […]
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Company Liquidation in China: Key Challenges to Wind-up your Chinese Company

18 December 2011
Where a buyer cannot be found, or the income from a sale does not measure up to the remaining liquidation value of the assets, the most common alternative is to wind-up the business. Liquidation refers to the voluntary termination of the company’s operations and its formal termination. After layoffs of employees, selling remaining assets and […]
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Cooperating with Staffing Firms in China

19 September 2011
This article was written for, and first appeared in the March 2011 issue of China Law & Practice, a Euromoney publication. One of the sections (Chapter 5, Section 2) of the PRC Labor Contract Law that altered China’s employment law landscape from 1 January 2008 onwards for the first time provided strict rules on the […]
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Intellectual Property Rights in China

31 August 2011
[The below text will be published as Chapter 3.5 (IP) of “Equipment Manufacturing and Machinery in China: Business opportunities for Dutch SMEs in China”, written by the Netherlands Business Support Office (NBSO) Dalian, together with other NBSO’s, Consulates-General, the Dutch Embassy, R&P China Lawyers, FME-CMV, PTL Group and EU SME, which will be presented at […]
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Expatriate Social Insurance in China: What Happens After 1 July 2011?

25 August 2011
In the months since the promulgation of the PRC Social Insurance Law in October 2010, employers of expatriate workers have become increasingly concerned on how the new law will impact their business. The law states that rules on mandatory contribution of social insurance apply not only to Chinese employees but also to expatriates, including those […]
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RMB Bank Accounts for Foreign Companies Trading with China

11 July 2011
On a recent trip to Europe, several clients asked me about the possibility of establishing Chinese currency (“RMB”) accounts in Hong Kong and other offshore jurisdiction, to facilitate trade with Chinese customers and suppliers. Since 2009, China has gradually made it easier for foreign companies to trade in RMB, and this is offering new opportunities […]
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New Rules Impact Individual Income Tax Liabilities in China

1 July 2011
On 30 June 2011, China’s National people’s Congress announced some major changes to the collection of individual income tax (IIT). These will undoubtedly have a large impact on employees but could also influence the payment practices of foreign-invested companies in China. The new rules will be implemented after the summer, on 1 September 2011. 1. […]
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Due Diligence - the First Step to M&A Business in China

19 April 2011
This article is an extract from Chapter 8 (Mergers and Acquisitions) of “Chinese Commercial Law: A Practical Guide”. Published in October 2010 by Kluwer Law International, author Maarten Roos (Managing Director of R&P China Lawyers) wrote this book for foreign managers with operations in China. It is available through the publisher (www.kluwerlaw.com) or in online […]
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Purchasing Colonial Religious Property in China

19 April 2011
Recently, one of our clients consulted us on the purchase of an old house located in Shanghai. After investigating its ownership, we found that the house was in fact an old colonial property belonging to a catholic group. As a result, we had to advise our client that under present PRC laws and practices, it […]
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