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On 13 March 2015, the National Development and Reform Commission (“NDRC”) and Ministry of Commerce (“MOFCOM”) jointly released the 2015 version of the Foreign Investment Industrial Guidance Catalogue (“2015 Catalogue”) to replace the current catalogue adopted in 2011 (“2011 Catalogue”). The 2015 Catalogue will enter into effect as from 10 April 2015.

Background

The Catalogue is one of the most fundamental legal documents in the regulatory regime of foreign investment in China. It classifies industry sectors into encouraged, restricted and prohibited, and any sector not included in the Catalogue is permitted. The classification of sectors will decide the level of approval required for, and the type of incentive available to, foreign investment projects. It is viewed as a guidance from the PRC government to direct foreign investment. The 2015 Catalogue is the sixth version of the Catalogue since it was first promulgated in 1995.
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