Qualifications for International Freight Forwarding Companies in China

12 October 2024
In 2019, China abolished specific restrictions on the establishment of international freight forwarding enterprises by foreign investors and simplified the approval procedures.
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Current Trends for Debt Collection in China

In today's challenging economic environment, more clients are seeking support with debt collection activities. One common service we provide is sending detailed demand letters (in China, referred to as lawyer’s letters) to the debtor, setting the stage for further legal action if payment is not made.
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Risks to VAT Exemptions on Cross-border Service Income in China

Last year, a European client asked us to conduct a tax due diligence on their subsidiary in Shanghai, to determine whether all taxes had been duly paid. One of the key issues that we uncovered, was that the Chinese entity had been wrongfully claiming VAT exemption on services provided to their HQ.
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Establish a Chinese Subsidiary: Deciding on the Right Location

While concerns remain over geopolitics and economics, we are once again supporting an increasing number of Western companies to establish manufacturing, trading or service subsidiaries in China. One of the key questions for foreign investors that we need to respond to is: where to best locate such a subsidiary?
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Common Key Red Flags in Chinese Legal Due Diligence

When completing LDDs on Chinese Targets for European and North American multinationals, we often come across the same kinds of issues. Here is a selection:
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How to Lose Your Trademarks in China (and how not to)

In a recent case, a potential client asked for our advice. Their Chinese registered trademark had been cancelled because a competitor had filed a non-use cancellation application, and the client’s local trademark agent had failed to notify the client thereof in time.
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Terminating Employees in China through Negotiations

Chinese labor laws are relatively strict when it comes to unilateral termination by the employer. This is only permitted for one of several grounds listed in the law.
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Employees Setting up Competing Business Becomes Crime in China

The latest update to the PRC Criminal Law includes provisions to tackle employees have set up a parallel, competing business; and employees who disadvantage their employer when dealing with “friendly” customers or suppliers.
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New Chinese Rules Relax Compliance on Data Export

26 March 2024
Last Friday, the CAC finally published the Provisions on Promoting and Regulating Cross-border Data Flow, which became effective immediately.
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New Company Law to Impact Foreign Investors and their Directors / Managers

The new Company Law will have a material impact on international investors in China, below we summarize some of the key changes.
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