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ARTICLE · 08 APRIL 2011

New Rules Issued Regarding China’s Security Review Process For Foreign Investment

Mayer Brown
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On 16 February 2011, Mayer Brown JSM issued a legal update regarding a new circular published by China’s legislature, the State Council, titled Circular of the General Office of the State Council on Establishment of a Security Review System Regarding M&A of Domestic Enterprises by Foreign Investors ("Circular 6").

ChinaAntitrust/Competition Law

Originally published 31 March 2011

Keywords: China, foreign investment, competition, Circular 6, Mofcom Rules,

On 16 February 2011, Mayer Brown JSM issued a legal update regarding a new circular published by China's legislature, the State Council, titled Circular of the General Office of the State Council on Establishment of a Security Review System Regarding M&A of Domestic Enterprises by Foreign Investors ("Circular 6"). Circular 6 implemented a new national security review process for certain foreign investment transactions in China. The update is available here: http://www.mayerbrown.com/publications/article.asp?id=10450

The new security review process under Circular 6 commenced on 5 March 2011. Just two days later, China's Ministry of Commerce ("Mofcom") published Interim Rules of the Ministry of Commerce on Issues Relating to Implementation of Security Review System for Merger and Acquisition of Domestic Enterprises by Foreign Investors ("Mofcom Rules").

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