China vs Germany

Foreign-invested companies in China (commonly a WFOE or joint venture) register with the State Administration for Market Regulation (SAMR) and obtain a unified business license. Setup involves name approval, registered capital, a business scope and post-registration tax and bank steps.

The most common German company is the GmbH (limited liability), which requires a notarised deed, €25,000 share capital (half paid in) and entry in the commercial register (Handelsregister). A cheaper UG ('mini-GmbH') is available with lower capital.

China's banking is dominated by large state banks and is highly digital (Alipay and WeChat Pay are used almost everywhere). Foreigners can open accounts with a passport and often proof of local ties; a Chinese phone number is usually needed for mobile payments. The People's Bank of China is the central bank.

Germany's banking spans big banks, savings banks (Sparkassen), cooperative banks and digital banks (N26). A current account (Girokonto) is essential for salary, rent and utilities; opening one usually needs ID, an address registration (Anmeldung) and often a tax ID.

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.

Germany actively welcomes foreign investment through Germany Trade & Invest (GTAI), with free movement of capital and no exchange controls. Investments in critical or security-sensitive sectors can be screened by the Federal Ministry for Economic Affairs; incentives include regional grants (GRW) and an R&D tax allowance.

China's main taxes are Individual Income Tax (IIT), Corporate Income Tax and VAT, administered by the State Taxation Administration. Tax residents (generally 183+ days) are taxed on worldwide income, with a six-year rule easing this for some foreigners.

Germany taxes income progressively (with a solidarity surcharge for higher earners and church tax where applicable) and levies VAT on most goods and services. Tax residents are taxed on worldwide income; tax classes affect monthly withholding.

Foreigners generally work in China on a Z visa, obtained after securing a job and a work-permit notification, then converted to a work-type residence permit after arrival. The employer and local foreigner-work authorities drive the process; there is no general work visa without an employer.

Skilled non-EU workers commonly use the EU Blue Card (for higher-earning graduates) or a general skilled-worker visa, both requiring a recognised qualification and a job offer. EU citizens work freely. The Skilled Immigration Act and the 'Make it in Germany' portal set out the routes.

Study in China uses the X1 visa for programmes longer than 180 days and the X2 visa for 180 days or fewer. The university issues an Admission Notice and a JW202 form (JW201 for Chinese-Government-Scholarship students), which you submit with the visa application. The critical step after arriving on an X1: you must convert it into a residence permit within 30 days. A Foreigner Physical Examination Record and proof of funds are commonly required.

For studies longer than 90 days, non-EU students need a German national (D) visa applied for at the German mission in their country. If you do not yet have a place, a prospective-student visa is available while you seek admission or complete a Studienkolleg or entrance exam. Funds are generally proved via a blocked account at an amount set annually. After arrival you register your address and convert the visa into a residence permit for study.

Tourism in China normally uses the L (tourist) visa, applied for before travel through a Chinese visa application service centre. China has also expanded visa-free options — unilateral visa-free entry for a growing list of nationalities (up to 30 days as of 2026) and visa-free transit at designated ports. Visa-free entry covers tourism and business only, never work; confirm current eligibility with the National Immigration Administration.

Germany is in the Schengen Area, so short tourist or business visits follow Schengen rules: up to 90 days within any 180-day period across the whole area. Many nationals are visa-exempt; others need a Schengen (type C) visa from the German mission. A new ETIAS travel authorisation is being introduced for visa-exempt visitors — verify the current requirement before booking.

China's permanent residence ('green card') is hard to obtain and granted mainly to high-level talent, significant investors, and close family of Chinese citizens or permanent residents. The National Immigration Administration handles applications.

Germany's settlement permit (Niederlassungserlaubnis) is usually available after five years of residence (faster for EU Blue Card holders and skilled workers), with pension contributions, German language and a secure livelihood. It grants indefinite residence and work.

Chinese nationality is difficult to acquire by naturalization and generally requires close family ties to Chinese nationals or long settled residence, subject to approval. China does not recognize dual nationality.

German naturalization was reformed in 2024: generally five years' residence (three for special integration), German language and civics, and a secure livelihood — and Germany now permits dual citizenship. Those born in Germany to long-resident parents may be citizens by birth.

Chinese employment requires a written labour contract within a month of starting; local minimum wages apply, the standard week is 40 hours with capped overtime, and statutory paid annual leave runs 5-15 days by total service. Employers must pay the 'five insurances and one housing fund'; disputes go to labour arbitration before the courts.

German employment law is strongly protective: a statutory minimum wage (Mindestlohn), at least 20 days' paid leave (usually more), and strong dismissal protection (Kündigungsschutz) for established employees. Works councils and collective agreements (Tarifverträge) shape conditions; disputes go to the labour courts (Arbeitsgericht).

Chinese trade clears through China Customs (GACC). You record-file as a consignee/consignor, then declare via the China International Trade Single Window. Goods are classified by HS code for import duty plus import VAT (usually 13%) and, for some products, consumption tax. Controlled goods need MOFCOM licences; advance rulings give certainty.

German trade with non-EU countries goes through German customs (Zoll) with an EU EORI number. You classify goods in the TARIC tariff to find duty and import VAT (19%), and declare electronically via ATLAS. Intra-EU movements have no customs but need Intrastat reporting; dual-use export controls run through BAFA.

Chinese trademarks are registered with the China National Intellectual Property Administration (CNIPA). China is strictly first-to-file, so registering early is essential. You search the register, file under the Chinese sub-class system, and after examination the mark publishes for a three-month opposition period. A Chinese trademark lasts 10 years and is renewable.

German trademarks are registered with the German Patent and Trade Mark Office (DPMA). You search the register, file an application classifying goods/services under Nice, and — as Germany does not examine relative grounds — it registers, then has a three-month opposition window. A German trademark lasts 10 years and is renewable; an EU-wide alternative is the EU trademark via EUIPO.

Public employment services in China are overseen by MOHRSS, which runs a national online job platform alongside local public employment service centres, while commercial platforms are widely used too. For foreign nationals the requirement is two documents rather than one: a Foreigner's Work Permit and a work-type residence permit. The work permits are also tiered A, B and C according to qualifications and salary, so which tier you fall into shapes what is open to you.

Germany has two official surfaces worth using together: the Federal Employment Agency runs the national job board and a salary checker, while Make it in Germany is the government portal aimed specifically at skilled foreign workers. Non-EU workers usually need a work visa or residence permit, often via the Skilled Immigration Act or the EU Blue Card for higher earners. The step that catches people out is qualification recognition — for regulated professions it may be required before you can work at all.

China has NO national minimum wage at all. Each of the 31 provinces and municipalities sets its own, and many run several local tiers within a single province — so the rate depends not just on which province you are in but on which tier your city or district falls into. MOHRSS issues guidelines while provincial governments set and update the actual rates, meaning the figure you need is always a local one. Pay is quoted gross, with individual income tax and social-insurance contributions reducing take-home.

Germany has a statutory minimum wage (Mindestlohn) reviewed periodically by an independent commission rather than adjusted by direct political decision. Above that floor, some industries have higher collectively-agreed branch minimums, so your sector can lift the applicable rate. For official earnings data, Destatis is authoritative and the Bundesagentur für Arbeit offers a salary checker. Pay is quoted brutto; taxes and social contributions produce a noticeably lower netto.

China's main scholarship is the Chinese Government Scholarship (CGS), administered by the China Scholarship Council (CSC), covering tuition, accommodation and a stipend; there are also provincial scholarships (such as Shanghai's), Confucius Institute (Chinese language) scholarships and university awards. Explore options on the CSC / Campus China site and apply by the deadline.

Germany's central scholarship body is the DAAD (German Academic Exchange Service), which funds and lists scholarships for international students at all levels; there is also the Deutschlandstipendium and many foundation and university awards. Because most public universities charge little or no tuition, scholarships often focus on living costs. Search the DAAD scholarship database and apply by each deadline.

To study in China you apply through the CSC (for scholarships) or directly to a university; on admission you receive an admission notice and a JW201 (government-scholarship) or JW202 (self-funded) form. With these you apply for an X1 visa (studies over 180 days) or X2 (up to 180 days), then convert the X1 to a residence permit within 30 days of arrival.

To study in Germany you check admission via uni-assist or the university (getting a VPD where needed), then apply for admission. Once admitted, you apply for a national visa for study, which usually requires proof of funds through a blocked account (Sperrkonto). Public universities charge little or no tuition. Explore options on Study in Germany and apply by the deadline.

In China, foreigners can generally buy just one residential property for self-use, and usually only after studying or working in the country for at least a year (city rules vary and some cities are stricter). Ownership is a land-use right (commonly 70 years for residential), not freehold. Renters should complete temporary-residence registration with the police; purchases are registered at the local real-estate registry with deed tax.

Germany has strong tenant protection and no restriction on foreigners buying property. Renting: the agent fee follows the 'who orders, pays' rule, the deposit (Kaution) is capped at three months' cold rent, and notice/rent rules heavily favour tenants. Buying uses a notary (Notar), entry in the land register (Grundbuch) and real-estate transfer tax (Grunderwerbsteuer) plus notary and registration fees.

China's basic medical insurance, overseen by the National Healthcare Security Administration, covers around 95% of the population through two schemes: employee basic medical insurance and resident basic medical insurance. Foreigners working in China can usually join the employee scheme; rules for other foreign residents vary by city. The practical catch is local variation — reimbursement levels, drug lists and designated hospitals differ by locality, and private cover is common for international hospitals.

Health insurance is compulsory for everyone living in Germany, and you need valid cover to obtain a residence permit — that link is what catches newcomers out. There are two pillars: statutory insurance (GKV), covering around 88% of residents with income-based contributions split with the employer, and private insurance (PKV), generally for higher earners above the threshold, the self-employed and civil servants. Students and lower-income employees are usually in the GKV.

China's social insurance is usually called "five insurances and one fund" (五险一金): pension, medical, unemployment, work-injury and maternity insurance, plus the Housing Provident Fund — note that the last is a savings fund rather than an insurance. It is administered through MOHRSS and local bureaus, and foreigners in formal employment generally participate. Motor third-party liability insurance (jiaoqiang) is compulsory for vehicles, and commercial insurers are regulated by the National Financial Regulatory Administration.

Germany's Sozialversicherung is mandatory and built on five pillars: health, long-term care, pension, unemployment and accident insurance, with contributions split between employee and employer and deducted from pay. Beyond those, the policy most households treat as near-essential is personal liability insurance (Haftpflicht), and motor third-party insurance is compulsory for drivers. Private insurers are supervised by BaFin, so check authorisation before buying.