🇨🇳 China · Investment
Foreign investment rules, incentives, investment promotion agencies, and restricted sectors.
Quick answer
Foreign investment in China is governed by the Foreign Investment Law and a 'negative list' that limits or bars certain sectors; outside the list, foreign investors get national treatment. You set up a WFOE or joint venture, register with the authorities, and manage capital and profit repatriation under SAFE foreign-exchange rules; free-trade zones offer openings.
Foreign investment is governed by the Foreign Investment Law and administered by the Ministry of Commerce (MOFCOM) and the NDRC; market access is set by the foreign-investment negative list.
- Sectors outside the negative list are generally open to foreign investment on the same terms as domestic investment.
- Restricted or prohibited sectors are listed on the negative list and may require approval.
- Foreign-invested enterprises report information through the MOFCOM reporting system.
Step-by-step
- 1
Check the negative list
Check whether your sector is restricted or prohibited on the foreign-investment negative list; outside it you get national treatment.
- 2
Choose your vehicle
Set up a wholly foreign-owned enterprise (WFOE), a joint venture, or a representative office depending on your activity.
- 3
Register with the authorities
Register the company with SAMR (business licence) and file the foreign-investment information report; obtain tax and other registrations.
- 4
Access zones and incentives
Consider free-trade zones and encouraged-industry catalogue benefits, which can offer easier access and tax incentives.
- 5
Handle capital and repatriation
Capital and profit repatriation go through banks under SAFE foreign-exchange rules, with documentation for outbound dividends.
- 6
Meet reporting and protections
File annual foreign-investment and tax reports; the Foreign Investment Law and treaties provide investor protection.
Checklist
- Negative-list check (national treatment outside it)
- WFOE / JV / representative office
- SAMR business licence + FDI information report
- Free-trade zone / encouraged-industry benefits
- SAFE foreign-exchange rules (capital + dividends)
- Annual FDI + tax reporting
- Foreign Investment Law / treaty protection
- CTA to .com/.ai for AI-assisted planning
Official authorities
- Ministry of Commerce (MOFCOM)
Administers foreign investment and trade.
- National Development and Reform Commission (NDRC)
Co-administers the foreign-investment negative list.
Frequently asked questions
What is the negative list?
A list of sectors where foreign investment is restricted or prohibited; sectors not on the list are open to foreign investors on national treatment.
What is a WFOE?
A wholly foreign-owned enterprise — a Chinese company owned entirely by foreign investors, the most common vehicle for full-control operations.
Can I repatriate profits from China?
Yes, but through banks under SAFE foreign-exchange rules — dividends need documentation (audited accounts, tax clearance) and a withholding tax applies.
Official-information aggregation, not legal advice. Always verify on the authority's own site.
Government portals
- China Government Portal — State Council official portal — policy releases, public services, and government documents
- Ministry of Foreign Affairs — China's foreign policy and consular services — passport, visa, and consular protection info
- National Immigration Administration — Visas, permanent residency, and border control for foreigners entering China
- State Taxation Administration — Personal income tax filing, business tax registration, and VAT invoice verification