Issues the "14th Five-Year Development Plan for Utilizing Foreign Capital"

On 22 October 2021, the Ministry of Commerce issued the "14th Five-Year (2021-2025) Plan for the Utilization of Foreign Capital". The plan indicates that China will open up further to foreign investment, by reducing the negative list in some areas and easing the regulatory burden on the entry of foreign-funded enterprises.

Among its key measures, the Plan aims to:

• Further reduce the negative list that restricts foreign investment; continue to open up its manufacturing, service and agriculture sectors to investors; and allow them to take control of their enterprises in more areas

  • Further open up to foreign investors in telecommunications, the internet, education, culture and health care

  • Encourage more foreign investors in sectors that deal with integrated circuits; the digital economy; research and development; new materials; biomedicine; high-end equipment; and modern logistics.

  • Improve intellectual property protections and to grant equal opportunities for foreign companies looking to engage in government procurement and project bidding.

• Type:

  • Entry and establishment (Ownership and control, Approval and admission)
  • Promotion and facilitation (Investment facilitation , Special economic zones)

• Industry:

  • Not industry specific

• Sources:

  • China Internet Information Center, China to build modern market system with wider opening-up, http://www.china.org.cn/business/2021-10/25/content_77831631.htm?f=pad&a=true, 25 Oct 2021
  • Teller Report, China's "14th Five-Year Plan" Utilization of Foreign Investment Development Plan Released, https://www.tellerreport.com/business/2021-10-23-china-s-%2214th-five-year-plan%22-utilization-of-foreign-investment-development-plan-released.SJO9Yp1-UY.html, 23 Oct 2021
  • Global times, Total foreign investment in China forecasted to exceed $160 billion in 2021, https://www.globaltimes.cn/page/202110/1237046.shtml, 22 Oct 2021