Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures (Revised in 2019)
Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures (Revised in 2019)
Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures (Revised in 2019)
Order of the State Council of the People's Republic of China No. 709
March 2, 2019
(Promulgated by the State Council on September 20, 1983, firstly revised by the State Council according to the Revision of Article 100 of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on January 15, 1986, and secondly revised according to the Revision of Paragraph 3, Article 80 of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on December 21, 1987, and further revised in accordance with the Decision of the State Council on the Revision of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on July 22, 2001, and revised for the fourth time in accordance with Decision of the State Council on Abolishing and Revising Some Administrative Laws and Regulations on January 8, 2011, and revised for the fifth time according to Decision of the State Council on Repealing and Revising Certain Administrative Regulations on February 19, 2014; and recently amended according to the Decision of the State Council on Revising Certain Administrative Regulations on March 2, 2019)
Chapter I General Provisions
Article 1 These Regulations are formulated for the purpose of facilitating the smooth implementation of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures (hereinafter referred to as the "Law on Sino-Foreign Equity Joint Ventures").
Article 2 Sino-foreign equity joint ventures (hereinafter referred to as "joint ventures") established within the territory of China in accordance with the Law on Sino-foreign Equity Joint Ventures are legal persons in China and are governed and protected by Chinese laws.
Article 3 Joint ventures established within the territory of China shall be able to promote the economic development of China and the enhancement of science and technology, and facilitate the socialist modernization and construction.
Industries in which the establishment of joint ventures is encouraged, permitted, restricted or prohibited by the State shall be determined in accordance with the provisions of the State in the Regulations on Foreign Investment Guidelines and the Guidance Catalogue of Foreign Investment Industries.
Article 4 An application for establishing a joint venture shall not be approved under any of the following circumstances:
1. damages China's sovereignty;
2. violates Chinese laws;
3. is not in conformity with the requirements of the development of China's national economy;
4. causes environmental pollution; or
5. there is obvious inequity in the agreements, contracts and Articles of association signed, impairing the rights and interests of one party to the joint venture.
Article 5 A joint venture shall have the right to independently conduct business and management within the scope as prescribed by Chinese laws and regulations, and by the agreement, contract and Articles of association of the joint venture.
......
Order of the State Council of the People's Republic of China No. 709
March 2, 2019
(Promulgated by the State Council on September 20, 1983, firstly revised by the State Council according to the Revision of Article 100 of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on January 15, 1986, and secondly revised according to the Revision of Paragraph 3, Article 80 of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on December 21, 1987, and further revised in accordance with the Decision of the State Council on the Revision of the Implementing Regulations of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures on July 22, 2001, and revised for the fourth time in accordance with Decision of the State Council on Abolishing and Revising Some Administrative Laws and Regulations on January 8, 2011, and revised for the fifth time according to Decision of the State Council on Repealing and Revising Certain Administrative Regulations on February 19, 2014; and recently amended according to the Decision of the State Council on Revising Certain Administrative Regulations on March 2, 2019)
Chapter I General Provisions
Article 1 These Regulations are formulated for the purpose of facilitating the smooth implementation of the Law of the People's Republic of China on Sino-Foreign Equity Joint Ventures (hereinafter referred to as the "Law on Sino-Foreign Equity Joint Ventures").
Article 2 Sino-foreign equity joint ventures (hereinafter referred to as "joint ventures") established within the territory of China in accordance with the Law on Sino-foreign Equity Joint Ventures are legal persons in China and are governed and protected by Chinese laws.
Article 3 Joint ventures established within the territory of China shall be able to promote the economic development of China and the enhancement of science and technology, and facilitate the socialist modernization and construction.
Industries in which the establishment of joint ventures is encouraged, permitted, restricted or prohibited by the State shall be determined in accordance with the provisions of the State in the Regulations on Foreign Investment Guidelines and the Guidance Catalogue of Foreign Investment Industries.
Article 4 An application for establishing a joint venture shall not be approved under any of the following circumstances:
1. damages China's sovereignty;
2. violates Chinese laws;
3. is not in conformity with the requirements of the development of China's national economy;
4. causes environmental pollution; or
5. there is obvious inequity in the agreements, contracts and Articles of association signed, impairing the rights and interests of one party to the joint venture.
Article 5 A joint venture shall have the right to independently conduct business and management within the scope as prescribed by Chinese laws and regulations, and by the agreement, contract and Articles of association of the joint venture.
......