According to a press conference on February 22, 2022, the Regulations on Protection of Rights and Interests of Foreign Investors in Guangdong Province, adopted by the Standing Committee of the 13th People’s Congress of Guangdong Province at its 39th Session on January 16, 2022, will take effect since March 1.
source: com.gd.gov.cn
What are the characteristics of the Regulations?
The Regulations is the first local legislation on the protection of rights and interests of foreign investors in China, which demonstrates the confidence and determination of Guangdong to further expand opening-up and effectively create a stable, transparent, and fair business environment for foreign investors.
The Regulations consists of 28 articles, covering matters of foreign-invested enterprises’ core concerns, such as intellectual property rights, standard setting, government procurement, technical cooperation and foreign investors complaints.
The Regulations is aimed at protecting the legitimate rights and interests of foreign investors, optimizing the environment of foreign investment, and promoting foreign investment according to law.
The Regulations shall come into force on March 1, 2022.
What are the important tasks of the Regulations?
1.Continue to optimize foreign investment environment and strengthen the promotion and interpretation of the Regulations and the policy of "Stabilizing Foreign Investment";
2.Continue to expand high-level opening-up, support the pilot programmes of services industry, and increase investment promotions in advanced manufacturing industry;
3.Continue to focus on the construction of open platforms, implement the Measures on Promoting the Trade and Investment Facilitation Reform and Innovation in Guangdong Pilot Free Trade Zone, and ensure successful operations of open platforms such as economic and technological development zones, special customs supervision zones, and Sino-foreign cooperation zones;
4.Continue to improve the level of investment promotion and service guarantee, hold some major investment promotion events successfully, ensure the implementation of key projects, and improve the working mechanism for handling complaints of foreign-invested enterprises.
What are the benefits of the Regulations?
The Regulations covers all aspects of foreign-invested enterprises' concerns, which actively provides foreign investors with facilitation, assistance and protection.
The implementation of the Regulations will give foreign investors confidence in doing business in China, for their investments, gains and legitimate rights will be protected by China’s laws.
The Regulations highlights the equal protection of foreign investment. Foreign-invested enterprises and domestic-invested enterprises shall be equally treated in accordance with the law. No discriminatory policies or measures shall be formulated or implemented.
source: Department of Commerce of Guangdong Province, Foreign Affairs Office Guangzhou Municipal People's Government
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By the end of 2021, 289,000 foreign-invested enterprises have been established in Guangdong, and the province saw its actual use of foreign investment of 184 billion yuan, rising 13.6% year-on-year.
source: com.gd.gov.cn
Since the reform and opening up, foreign investment has played an important role in promoting Guangdong's economic growth. Meanwhile, Guangdong province also make efforts to improve business environment for foreign investors.
Therefore, Guangdong province is still an energetic and attractive region for foreigners to invest and start business.
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