The State Administration of Industry and Commerce (SAIC) has released a new order on the registration of foreign-invested partnership enterprises effective March 1, 2010.
The new rules aim to manage foreign investors setting up partnership enterprises in China thus improving economic coordination and technology exchange. It covers rules on registration of foreign-invested partnership enterprises, modifying and canceling registration, establishment of branches, plus details on annual inspections and administration of professional certification.
The term “foreign-invested enterprise” shall refer to companies with a foreign investment partner and a Chinese citizen or organization. Foreign-invested enterprises are required to follow the Partnership Enterprise Law and other relevant laws, administrative regulations and provisions of the new regulations consistent with foreign investment industrial policies.
A foreign-invested partnership enterprise must first receive its business license before engaging in any business activity. According to the SAIC, registration will be managed by local industrial and commercial administrative departments.
