With environmental pollution front and center in the Chinese
press, the government in Beijing has moved to address at least one
aspect of the problem – soil pollution. In a likely sign that
new regulations on soil quality are on their way, the State Council
recently issued a directive titled "Working Arrangement of the
Recent Environmental Protection and Comprehensive Treatment of
Soil." Investors take note: the policies proposed by the
Council will almost certainly impact existing and future
investments in sectors such as manufacturing and heavy industry, as
well as investments in geographic areas deemed to be ecologically
sensitive.
A Council directive is intended to guide the drafting of
legislation and is an important clue to the scope of future
regulation. A number of the Council's recommendations could
significantly alter the current regulatory landscape. We expect
regulation to be forthcoming on national, provincial and local
levels in the following areas:
