China’s National Development and Reform Commission (NDRC) has published updated foreign investment guidelines effective from 30 January.
In a 29-page list, the NDRC specified sectors where foreign investments will be encouraged, restricted or banned.
With a focus on manufacturing restructuring and upgrading, the new guidelines encourage more high-end manufacturing. It adds textile manufacturing, chemical manufacturing and machinery manufacturing to the encouraged sectors. It also welcomes green businesses such as battery recycling.
However, the guidelines remove automobile manufacturing, polycrystalline silicon and the coal chemical industry from encouraged sectors.
In addition, the new version of the foreign investment guidelines hopes to promote the development of the services industry. It now encourages foreign investments in sectors such as oil spill cleanup services, intellectual property services and occupational training services. It also allows foreign investments in medical organisations and financial leasing companies.
China attracted $103.8 billion in foreign investment in the first 11 months of 2011, up 13.2 percent from the same period the previous year, according to the statement.
The NDRC's complete list of categories, in Chinese language only, is available here.