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International Law

: China Briefing Blog

Joint ventures in China as commercial investment sense

By Chris Devonshire-Ellis

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JVs still a valid legal vehicle for use in China manufacturing

By Chris Devonshire-Ellis

Feb. 20 - Joint Ventures (JVs) were the first legal entities to be promulgated and available for foreign direct investment into China and remain the vehicle of choice for many larger investments.

The reasons for entering into a JV agreement are divisible into two main areas of consideration:

Regulatory
Where China?s regulatory system restricts the activities foreign investors may participate in, and requires the presence of a local partner. This includes many significant investment areas in China, including banking, insurance, healthcare, publishing, energy, property, communications and many others. For the complete catalogue for the Guidance of Foreign Invested Industries in China, in English, which includes the specific industry sectors that require a JV partner, please click here. (more…)

Full post as published by China Briefing Blog on February 20, 2008 (boomark / email).

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