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ARTICLE · 29 JULY 2019

2019 Negative List - Update

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The National Development and Reform Commission and the Ministry of Commerce jointly released the new Special Administrative Measures for the Access of Foreign Investment in China on 30 June 2019.

United StatesEnergy and Natural Resources
Jingli Jiang
Jingli Jiang
Paul Greening
Paul Greening
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Co authored by Ciniya Huang, Kevin Mahal

The National Development and Reform Commission and the Ministry of Commerce jointly released the new Special Administrative Measures (Negative List) for the Access of Foreign Investment (2019) in China (the "2019 Negative List") on 30 June 2019. The 2019 Negative List reduces the number of "prohibited" or "restricted" industries from 48 to 40 and will come into force on 30 July 2019.

In particular, the 2019 Negative List removes the restrictions that were previously in place concerning oil and gas exploration and development in China. Before the 2019 Negative List, foreign investors were only able to invest in the exploration and development of oil and gas assets in China (excluding coalbed methane, oil shale, oil sands, shale gas, etc.) with Chinese investors as a joint venture or cooperation. The 2019 Negative List removes the joint venture requirement for foreign companies looking to invest in the upstream sector of the

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