To do business in China, companies must adhere strictly to the
law, avoid prohibited activities and seek approval for restricted
activities. We explain how to apply the three Negative Lists that
define the prohibitions and restrictions.
China is a dynamic market undergoing constant change and reform
as it continues to open up more business activities to foreign
companies. There is regular talk about the "negative
list" when doing business in China, which should be the first
port of call when looking to commence new business activities in
the country as it defines both which activities are prohibited, and
which activities require specific prior government approval.
In reality, there are three negative lists and it is vital for all
businesses in China to be aware of the lists that apply to their
business.