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China lowers bar on registering foreign-funded JVs

BEIJING
2015-11-03 17:04

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China's Ministry of Commerce (MOC) Tuesday announced removal of partial requirement on registration of foreign-funded joint ventures. The MOC deleted a clause requiring minimum 30 million yuan of registered capital and minimum 25 percent of share holdings by foreign investors with a single foreign-funded JV.

The MOC also would not require investors to pay in registered capital in full. Moreover, promoters of Sino-foreign-funded companies would not have pay in registered capital in full within 90 days after issuance of approval.

The adjustment of registration rules with Sino-foreign-funded companies gives greater leeway to enterprises and trims governmental examination in the matter, said Bai Ming, a researcher with Chinese Academy of International Trade and Economic Cooperation with the MOC.

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