China's Commerce Ministry Proposes New Rules On Foreign Strategic Investment

Forex News

Chinese government continues to reduce risks in its financial system amid growing trade tension with the US. China's Commerce Ministry proposed to loosen certain terms regulating foreign strategic investment, including reducing the amount of assets it requires foreign investors to hold to qualify for such investments in Chinese listed companies.

The statement said draft rules would apply to "strategic investment" made by foreign investors to obtain and hold for a certain period of time listed companies' A-shares through agreements, the issuance of new shares, tender offers and other means as stipulated by laws and regulations.