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Category Archives: China Business

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China E-Commerce: The New Rules

Posted in China Business, Legal News

As part of its program designed to modernize the Chinese economy, the State Council has recently issued a series of opinions on development of e-commerce in China. The underlying concept is that e-commerce is one way to push China towards developing a consumer economy. The most recent opinion focuses on the development of international e-commerce… Continue Reading

China Foreign Investment in the U.S.: Beware of Easy Money

Posted in Basics of China Business Law, China Business, Legal News

China is now the world’s third largest overseas foreign investor, behind only the United States and Japan. With the inception of China’s “Go Global Campaign” in the early 2000s, in just 10 years Chinese Overseas Foreign Direct Investment (OFDI) has grown from a mere trickle to an estimated $120 billion in 2014. Within two years,… Continue Reading

The China Twist: How To Do Business In China, Or Not

Posted in Basics of China Business Law, China Business, Recommended Reading

Just finished reading The China Twist, a fascinating, easy to read, and very helpful book on doing business in China. The China Twist is written by Wen-Szu Lin, and it is described as “the firsthand story of two Wharton MBAs who brought a beloved U.S. food franchise [Auntie Anne’s Pretzels] to Chin and encountered outrageous… Continue Reading

Four Things Importers From China Should Know About U.S. Antidumping Cases

Posted in China Business, Legal News

Companies importing products into the United States from China may be unfamiliar with terms such as “non-market economy (NME),” “respondent,” and “surrogate values.” However, this quickly changes when such companies’ imported goods are subject to a U.S. antidumping proceeding. U.S. antidumping or “AD” cases are complex. This is especially true for “non-market economy” or “NME”… Continue Reading

China Law Blog’s Linkedin Group Reaches 10,000 Members

Posted in China Business, Good People, Legal News, Recommended Reading

A couple years ago, we started a China Law Blog Group on Linkedin to create a spam-free forum for China networking, information and discussion. This week we surpassed 10,000 members and the number and quality of our discussions continues to increase as well. We have had some absolutely terrific discussions, both based on the numbers (discussions… Continue Reading

TPP Will Hurt China Companies

Posted in China Business, Legal News

China, the world’s second largest economy, is not one of the twelve countries currently negotiating a Trans-Pacific Partnership (“TPP”) multilateral trade agreement. The United States and Japan, respectively the world’s No. 1 and No. 3 largest economies, are anchoring the negotiations. Nonetheless, a concluded TPP could adversely impact companies in China that manufacture and export goods…. Continue Reading

China Transfer Pricing Laws, Because They Matter

Posted in China Business, Legal News

Last week I wrote an article for Forbes, entitled, China’s Tax Authorities Want You. The theme of that article was how China’s slowing economy is causing the Chinese government to step up its tax collection efforts against foreign companies with off-the-grid “employees” in China. China is also stepping up its tax collections on transactions that implicate transfer… Continue Reading

Alibaba Takedowns And A Lawsuit

Posted in China Business, Legal News

We have many times written about our near 100% success rate at getting counterfeit products removed from the big name Chinese websites like Alibaba. See, for instance, Register Your Trademark In China Because Alibaba Is Serious About IP, written way back in 2013: Alibaba International has a formal procedure for requesting and securing the removal of… Continue Reading

Shenzhen As China’s Most Competitive City. It Just Might Be….

Posted in China Business

The Chinese Academy of Social Sciences just named Shenzhen as China’s most competitive city. Though I am immediately dubious of these sorts of rankings (especially those from the Chinese Government), this one may actually be valid. Five years ago, my law firm’s clients would nearly always set up their China operations in either Shanghai or Beijing. Beijing… Continue Reading

11 Key Issues When Starting A China Business

Posted in Basics of China Business Law, China Business, Legal News

With China ceaselessly increasing its tax crackdown on foreign companies operating improperly in China without a China entity (WFOE, Joint Venture or Rep Office), forming a China entity and starting a business in China is very much in vogue right now. Starting a business in China usually involves forming a Wholly Foreign Owned Entity or WFOE. Forming… Continue Reading

China Signs Of Fraud

Posted in China Business

American companies are always asking the China lawyers at my firm how they can avoid getting scammed by a Chinese company. There is no one answer and sometimes it involves “instinct” as much as science. We see so much fraud/attempted fraud in our practice that we can usually (but not always) spot a fraud within minutes just… Continue Reading

Where To Locate Your China Company

Posted in China Business

The other day I was talking with a U.S. based non-tech consumer company about their commencing retail operations in China. This is a new client and at some point in the conversation I started getting specific about what it takes to form a WFOE in Shanghai. The client stopped me and said that they were… Continue Reading