(Yicai Global) May 22 -- China will simplify formal procedures for business filing and registration of foreign-invested enterprises, FIEs, to cut red tape and attract more investment, said vice minister of commerce.
Starting June 30, China will adopt single form and one-stop services to allow foreign-invested enterprises to conduct business filing and registration online free of charge without the need for paperwork or presence in person, said Wang Shouwen, vice minister of commerce, in a press conference today, according to state-run Xinhua News Agency.
China will conduct both business and industrial and commercial registration under one transaction, simplifying procedures for setting up foreign companies. All relevant authorities have been instructed to get ready for the new rules, Wang said.
A pilot program introduced last year has been successful, offering the services to more than 600 companies and cutting their costs, said Wang. China will link the information system of local commerce authorities with those of the local industry and regulatory agencies to achieve data sharing between the two sides, Wang added.
Wang acknowledges that foreign investment in China grew merely 0.1 percent annually in yuan terms last month. As countries around the world are in fierce competition for foreign investment, China faces pressure to attract such investment and must take forceful measures to make procedures easier for foreign investors.
"The new measure will help improve efficiency and reduce corporate burden," Wang said. "Going forward, foreign companies seeking to invest in China will only need to go through a very simple, easy procedure so that they can focus on their business after completing the procedure."
The central government will strengthen technical guidance and training for provinces and municipalities and intensify supervision and evaluation to allow smooth implementation of the new rules.
Editor: Mevlut Katik