China to foster a more open and transparent environment for foreign investment
By Li Bowen
People's Daily app
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China's State Council will issue a guideline aimed at better facilitating foreign investment, said Wang Shouwen, vice minister of commerce, on Tuesday.

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File photo: VCG

"Our goal is to create a more open, transparent and predictable environment for foreign investors," Wang said. "And that's why the Chinese government has introduced this guideline, the fourth related to foreign investment since 2017." 

Lowering the cost in the flow of cross-border capital, shortening the negative list for foreign investment, upgrading government service, and better protecting intellectual property and other legal rights of foreign companies have been written in the most recent document. 

In total, the document contains as many as 50 measures to address foreign investors’ specific concerns. 

When taking questions from journalists, Wang refuted the idea that China’s market is not as equally open as some other countries.

China has already made steps to lift the restrictions in some areas that used to be dominated by domestic enterprises.

"Chins supports reducing barriers for foreign investors," Wang stressed. "If you look at the oil and gas sector, you will see that foreign equity limit has been fully removed this year." 

"Based on development and security concerns, China has restrictions on certain sensitive industries, " Wang said. "But it's a practice adopted by other countries in the world as well."

He also referred to the Guiding Principles of Global Investment, a statement backed by China and other countries during the G20 Summit in Hangzhou this year, to show China's resolution in improving the business environment for foreign investors.

Negotiating and reaching bilateral trade agreements, in Wang's view, could be a solution.

"The current negative list has been reduced to 40 industries, a 20 percent drop in number than last year. " Wang noted. "China's reform and opening-up policy will not change."

According to a report released by the World Bank, China has increased its ranking from 46 to 31 in the "ease of doing business" category.