China’s state planner on Friday cut the number of sectors and industries that are off-limits to both Chinese and foreign investors on its so-called “negative list” for market access.
The 2022 list of industries that are either restricted or prohibited has been cut to 117, according to a document released by the National Development and Reform Commission, from 123 on the 2020 list.
Industries not on the list are open for investment to all and require no approval.
China’s negative list is released annually by the NDRC and Ministry of Commerce and National Development.
The 2021 version, effective from January 1 2022, was welcomed by market participants as it relaxed a number of rules in the manufacturing sector and introduced a new section on listing regulations that provides a path to listings in restricted sectors.
The 2021 version removed more industries from the lists, such as restrictions on foreign investors from holding a majority stake in the automotive and television manufacturing industries, and from holding stakes in two or more vehicle manufacturers.
- Reuters, with additional editing by George Russell