See More on Facebook

Business, Economics

China boosts measures to open economy

Li cites progress on equal treatment for foreign investors and IPR protection.


Written by

Updated: April 1, 2019

 

China will further open up to foreign investors and offer them treatment equal to that of domestic companies with firm protection of their legitimate rights, Premier Li Keqiang said at the Boao Forum for Asia on Thursday.

The country will fully adopt pre-entry national treatment and negative lists for overseas investment, Li said at the opening ceremony of the forum’s annual conference in Hainan province.

By the end of June, China will release the amended negative lists for foreign investment access, he said. “The negative lists will only be shortened. … We will ensure fair competition and common development for Chinese and foreign companies with fair supervision,” Li told more than 2,000 participants.

A negative list shows areas where investment is prohibited; all other areas are presumed to be open.

The government has started formulating matching regulations and rules to support implementation of the Foreign Investment Law, adopted two weeks ago, Li said, adding that supporting regulations will take effect along with the law on Jan 1.

The draft amendment to the patent law has been submitted to China’s top legislators. It sharply increases compensation for infringement to a cost that violators will not be able to afford, he said.

Forced technology transfers are prohibited and violators will receive harsh penalties, Li said. The complaint mechanism for foreign-invested companies will be perfected to improve exchanges and coordination between the government and investors, making it an effective way to protect the legal rights of foreign companies, he said.

China will not resort to massive economic stimulus to boost growth, but will continue to open up and innovate to energize market players, Li said.

The country will further open up its financial sector and accelerate the process to fully lower the market access threshold for foreign investments in banking, securities and insurance, the premier said. Service sectors, including medical care and education, will be opened up along with transportation, infrastructure and energy, he said.

Li said China will further make it easier for foreign companies to set up a venture capital presence and will improve regulations on foreign investors’ strategic investments in listed companies and their mergers with and acquisitions of domestic enterprises.

Also, preferential policies for investments from Hong Kong, Macao and Taiwan will remain unchanged, and greater development opportunities will be offered for them, Li said.

Wang Huiyao, president of the Center for China and Globalization, said he was impressed by Li’s speech to clean up rules and regulations inconsistent with the Foreign Investment Law as well as to launch a more streamlined negative list.

“It shows China’s attitude of further opening-up, which is a higher-level and more concrete commitment of China,” he said.

Leif Johansson, chairman of global biopharmaceutical giant AstraZeneca, said Li’s speech reflects the determination to create a more open, fair and transparent investment environment.

“Such an optimized market as well as a positive and dynamic investment climate will inspire us to expand our footprint in China and promote more cooperation with domestic firms to realize mutual development,” he said.

Wang Hao contributed to this story.



Enjoyed this story? Share it.


China Daily
About the Author: China Daily covers domestic and world news through nine print editions and digital media worldwide.

Eastern Briefings

All you need to know about Asia


Our Eastern Briefings Newsletter presents curated stories from 22 Asian newspapers from South, Southeast and Northeast Asia.

Sign up and stay updated with the latest news.



By providing us with your email address, you agree to our Privacy Policy and Terms of Service.

View Today's Newsletter Here

Business, Economics

S. Korea grapples with gender discrimination in workplace

Despite it’s high economic developments, critics say that South Korea has to improve workplace equality. South Korea has seen its female employment index improve steadily over the past 10 years, but continues to struggle with gender equality when it comes to parental leave and consequent career breaks, data showed Monday. Unlike in most developed economies which tend to see the employment rate of women in their 40s peak and start declining in the 50s, Korea has seen women in their late 30s and early 40s — the prime age for childbirth and childcare — being pushed out of the labor market. All seven of the so-called 30-50 club count


By The Korea Herald
October 22, 2019

Business, Economics

Beijing sounds warning against foreign interference at annual security forum

China’s Defence Minister Wei Fenghe delivers a speech at the Xiangshan Forum in Beijing, China. China’s Defence Minister Wei Fenghe sounded a thinly veiled warning against the United States at a security conference in Beijing, saying that interfering in the internal affairs of others and inciting colour revolutions have led to wars and turbulence in various regions in the world. Such “reckless interference” would not foster harmonious relations, said General Wei on Monday (Oct 21) in his speech to open the conference. Beijing has blamed foreign countries, including the US, for inciting the unrest that has convulsed Hong Kong for five months. It has also


By The Straits Times
October 22, 2019

Business, Economics

President Joko Widodo sworn in for second term

Joko exhorts Indonesians to develop ‘new ways and values’. A few hours before he was sworn in for a second and final term in office on Sunday (Oct 20), Indonesian President Joko Widodo uploaded a new profile picture on Facebook with the caption “Let’s work together towards progress for Indonesia”. The post has since garnered more than 224,000 likes and over 19,000 comments from well-wishers congratulating him on his re-election and cheering him on to steer the country to success. At around 4pm Jakarta time (5pm Singapore time), millions of Indonesians tuned in to a live television broadcast as Mr Joko, more popularly known as Jokowi, recited his oath of office before lawmakers and regional senators that make up the People’s Consultative Assembly, or MPR, at the Parliament building. The new Vice-President, cleric Ma’ruf Amin, who replaced outgoing Mr Jusuf Kalla, also took h


By The Straits Times
October 21, 2019

Business, Economics

More changes friendly to foreign investors on way in China

China is courting more FDI as their cash reserves run lower. China will roll out more measures friendly to foreign investors, including further removing business restrictions and leveling the playing field for foreign businesses, to foster a more enabling business environment and attract overseas investment. The decision was made on Wednesday at a State Council executive meeting chaired by Premier Li Keqiang. Meeting participants decided to open up more areas. Restrictive measures outside the national and FTZ negative lists on foreign investors’ market access will be consolidated. Restrictions will be lifted on the business scope for those foreign-invested banks, securities companies and fund management firms that are already operating in China. Policies on foreign investment in the automobile industry will be refined, including giving equal treatment in market access to domestic and foreig


By China Daily
October 18, 2019

Business, Economics

Malaysia’s PM Mahathir says rail line RTS linking Johor Baru to Singapore to proceed

The rail line has been on again and off again. Prime Minister Mahathir Mohamad on Thursday (Oct 17) said Malaysia will proceed with the 4km Johor Baru to Singapore rail line. His comments about the Rapid Transit System (RTS) rail link followed that of Malaysian Transport Minister Anthony Loke on Tuesday that details of the project will be decided by the Malaysian Cabinet within two weeks. Tun Dr Mahathir said when asked by reporters on Thursday: “We will proceed with the RTS but we will take some time.” Asked if this meant the Malaysian government had resolved 


By The Straits Times
October 18, 2019

Business, Economics

S. Korean, ASEAN officials look ahead to special summit and stronger regional ties

Korea has increasingly look to Southeast Asia as an export destination and regional partners. Ahead of the highly anticipated summit in Busan next month between the leaders of South Korea and the Association of Southeast Asian Nations, top officials from participating countries gathered in the southern port city Wednesday and voiced high expectations for the future of the relationship between South Korea and the ASEAN nations. South Korean Ambassador to ASEAN Lim Sung-nam, ASEAN-Korea Center Secretary-General Lee Hyuk, Busan Mayor Oh Keo-don and Myanmar Ambassador to South Korea U Thant Sin said they looked forward to the upcoming summit, calling it a steppingstone to stronger South Korea-ASEAN ties and to economic prosperity and peace on the Korean Peninsula. “In the past 30 years, the relationship between South Korea and ASEAN has grown to an astonishing degree. Trade volume rose 20-fold and human e


By The Korea Herald
October 18, 2019