Chinese Legal Reform: The Case of Foreign Investment Law

By Yan Wang | Go to book overview

Series editor's preface

The opening up of the economy of the People's Republic of China is one of the most important events in Asia at the beginning of the twenty-first century. Companies around the world have showed an increased interest in the country not only because of its cheap labour but also due to the enormous potential of the Chinese market. Even small increases in consumption of a population of 1.3 billion people could mean big business. Just imagine each Chinese person drinking a bottle of your product.

For a number of years, the People's Republic of China has also received more foreign investment than any other country in the developing world. In fact, China attracts more foreign investment than any other country in the world, except the United States. Private investment flows are expected to strengthen this year and next year again. To enter China has, however, not been easy for foreign companies who have had a number of frustrating experiences with the Chinese system of socialist market economy.

The rule of law is a focal point and one where foreigners have had a considerable number of problems. The research undertaken by Dr Yan Wang contributes significantly to the heightened understanding of the Chinese legal system. By putting the legal reforms, especially in the field of foreign investments, into their cultural, political and historic perspective, she manages to explain how and why the system works the way it does. Her Chinese background coupled with her Western academic training in law, allows her to accomplish this mission successfully.

Yan Wang has conducted a number of interviews with business people, officials and others in the field and through these has also presented a number of concrete examples of how legal issues are dealt with. She also presents new legislation and points out some of its implications. In this way the book will be of great assistance to anyone who has to deal with foreign investment law in China.

We are honoured to have this book in the series jointly launched by The European Institute of Japanese Studies at Stockholm School of Economics and Routledge. The series focuses on the economics and business world of the East Asian region and in particular the driving forces, trends and developments in cross-border flows of capital goods and technologies. The Asia-Pacific region is

-xi-

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Chinese Legal Reform: The Case of Foreign Investment Law
Table of contents

Table of contents

  • Title Page iii
  • Contents vii
  • Foreword ix
  • Series Editor's Preface xi
  • Acknowledgements xiii
  • Abbreviations xv
  • Introduction 1
  • 1 - The Main Features of China's New Legal System 9
  • 2 - The Politico-Economic Dilemma of China's Foreign Investment Law 35
  • 3 - The International Background to China's Foreign Investment Law 47
  • 4 - Objectives and Framework of Foreign Investment Law 58
  • 5 - Legal Controls on Foreign Direct Investment 70
  • 6 - Legal Incentives to Foreign Direct Investment 123
  • 7 - The Legal Protection of Foreign Investors' Management Autonomy 134
  • 8 - The Protection of Foreign Investors' Contract Rights 156
  • 9 - Conclusion 176
  • Appendix 1 185
  • Appendix 2 188
  • Notes 194
  • Select Bibliography 242
  • Index 252
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