cybersecurity law

MNCs in the News-2018-10-05

Regulations promulgated pursuant to China’s 2017 cybersecurity law will give Chinese police expansive authority to examine corporate information systems. China’s Ministry of Commerce (MOFCOM) and other bodies reported that Chinese outward foreign direct investment (FDI) flows experienced a drop in 2017 for the first time since 2002. Apple and Amazon vehemently reject Bloomberg story that their servers were penetrated by hardware corrupted by Chinese intelligence operatives. Plans for Japan’s SoftBank to build the world’s largest solar farm in Saudi Arabia may be burning up, though the firm insists the project is moving forward. Japan’s Mitsubishi partners with various state-owned enterprises (SOEs) on USD $31 billion LNG project in western Canada. South Korea’s Hyundai Development Company (HDC), in a joint venture (JV) with India’s Hindustan Construction Company Ltd (HCC), wins $300 million road project in India. Spurred by South Korea government policies and Indonesia incentives as well as the Association of Southeast Asian Nations (ASEAN) Free Trade Agreement, Hyundai Motor Group plans major car manufacturing plant in Indonesia.

MNCs in the News-2018-03-09

China National Development and Reform Commission (NDRC) states China will improve noticeably market access and operating conditions for foreign direct investment (FDI) this year. American Chamber of Commerce in South China reports that number one concern of American businesses in China because of the is China's cybersecurity law. European Union (EU) may adopt legislation relating to inward FDI this year as a result of rising security concerns especially where Chinese FDI involved. Beijing's controls on outward Chinese FDI do not dent Fosun acquisition spree in clothing and luxury goods areas. Nissan in talks with Renault to acquire bulk of French state's 15 percent Renault stake. Japanese companies still waiting to see what happens with Great Britain's EU Brexit negotiations before deciding how to react to Brexit. GM Korea to ask Korean government to make its Korean factory sites foreign investment zones so it can get tax concessions. Doublestar reaches agreement with Korea Development Bank on purchase of 45 percent stake in Kumho Tire as union protests continue. Jakarta makes it easier to invest in energy and mineral sector by reducing regulations and licensing burdens. Prudential in talks with Malaysia's second largest pension fund to sell 30 percent stake in Malaysian unit following Malaysian central bank move to reduce foreign investment stakes. Telekom Malaysia signs memorandum of understanding with Huawei to work together on expanding fiber broadband network reach in Malaysia. Vietnam revokes investment license for foreign-owned oil refinery project. Legal expert says that foreign investors are interested in developing infrastructure projects in Vietnam including the North-South highway but hesitate because of legal problems.

MNCs in the News-2017-09-29

China’s National Development and Reform Commission (NDRC) notes possibility China may expand its negative list approach nationwide as early as 2018. State-owned Assets Supervision and Administration Commission (SASAC) representatives encourage foreign investors to partake in China’s mixed-ownership reform of state-owned enterprises (SOEs). At the World Trade Organization (WTO), the United States (US) asks China to hold off implementing its cybersecurity law. US Committee on Foreign Investment in the United States opposition torpedoes Chinese bid to take a 10 percent stake in Dutch mapping company. Kobe Steel Ltd and US Steel Corp. to launch US joint venture to produce steel needed to build cars that meet their respective governments’ tightening emissions standards. Sumitomo has invested in Taiwanese electric scooter maker Gogoro to tap Gogoro’s advanced electronic battery technologies which are in increasing demand due to rising environmental standards. Unilever acquires Carver Korea as Korean makeup brand weakens due to declining sales in China resulting from THAAD tensions. Despite suffering from China’s THAAD related sanctions, Hyundai opens big data center in China to tap Chinese government’s promotion of connected cars. Indonesia's Transportation Ministry opens 12 infrastructure projects worth a total of USD $3 billion to foreign investors. Indonesia’s Indika Energy raises stake in large local coal producer after forced Freeport-McMorRan divesture and new Indonesian government policies drive Korea’s Samtan to reduce its stake in the country. Vietnam’s Ministry of Finance says equitisation progress of state-owned enterprises so far disappointing. World Bank and Vietnam’s Ministry of Industry and Trade collaborate to implement solar projects pilot auction program.

MNCs in the News-2017-06-02

China’s Global Times touts that China remains a popular investment destination for foreign investors. China delays the implementation of a cybersecurity law rule on cross-border data movement for 18 months. Surging Chinese investment in Malaysia is oriented towards the construction sector and creates many, albeit low-skilled, jobs. Qatar may force Japanese companies out of investments in Qatar Petroleum projects. Japanese corporations increasingly partnering with South Korean firms in establishing overseas projects. Hyundai Engineering wins USD $890 million power plant deal in Malaysia. Samsung Heavy Industries snares multi-billion dollar LNG facility construction contract off Mozambique. Jakarta plans to ease business for investors operating in special economic zones. Malaysia and China to organize meetings on construction of three new ports and Bandar Malaysia project. Survey shows this year’s Japanese investment in Malaysia may rise by at least 30 percent. Vietnamese lawmakers call for public private partnerships to attract investment in railway sector. Vietnam’s Prime Minister says time is ripe for American companies to further engage in economic restructuring of his country

MNCs in the News-2017-05-26

China’s Ministry of Commerce (MOFCOM) reports the country will significantly reduce its negative list for inward foreign direct investment (FDI). China counters German criticisms of its market access by saying it will open its auto sector and that Germany had profited substantially from China’s past opening. China’s new cybersecurity law is sparking foreign companies to move to comply and deterring foreign company hardware/software sales. From January through April, China’s non-financial outward FDI drops significantly versus the same period last year. Japanese firms cooperate with US counterparts to develop missile defense radar. Japanese firms not enthused about China’s OBOR and see better business opportunities flowing from other initiatives. Japanese multinational firms that have invested heavily in Africa are worried about the continent’s prolonged economic slump. The leader of Korean SK Group leave for Beijing to meet with Chinese officials to normalize relations after his country’s installation of THAAD. K-Sure signs USD $3 billion deal to finance clean fuels project in Kuwait. Geely buys 49.9 percent of troubled Malaysian carmaker Proton. Malaysian Prime Minister says government programs make Malaysia’s FDI inflows for this year surpass last year’s. Vietnam plans to set up three special economic zones to boost foreign investment. Vietnam’s Deputy Prime Minister reiterates country’s dedication to welcoming foreign investors.

MNCs in the News-2015-12-18

Inward FDI in China continues to show growth year-over-year. European Chamber of Commerce in China President questions China’s interest in attracting foreign investment. Chinese NGO files a lawsuit against VW for its emissions testing cheating fraud. At the 2nd World Internet Conference (WIC), China’s President Xi Jinping promises to protect foreign companies’ legal rights. At the WIC, the Cyberspace Administration of China announces “China will manage cyberspace according to the rule of law, while providing more room for development based on the market” while President Xi stresses cyber sovereignty and the avoidance of internet hegemony. China shifts “Ten-Year Review of the World Summit on the Information Society” in a direction more to its liking. Microsoft partners with Chinese company to create joint venture that will allow it to sell Windows 10 to government market. AstraZeneca to increase investment in China. Chinese outward FDI for the first 11 months of 2011 exceeded $104 billion. Sinopec to build a fuel station on Woody Island in the South China Sea. Australia’s Defense Department strongly criticizes anxieties about the security implications of a long-term lease of a port in northern city of Darwin to a Chinese firm. Chinese state-owned enterprises purchase significant Australian infrastructure assets. Japan provides massive concessional loan to support India’s construction of its first bullet train. French government pledges not to interfere in Nissan. Japan looks to win Singapore-Malaysia bullet train project. Korean government will create industrial complexes in China and Vietnam and business centers around the world to help Korean firms expand abroad. Changes in Korean cloud market draw substantial foreign investor interest. South Korea gives China Everbright Bank permission to set up a branch in Seoul. Indonesian think tank calls for government to move against Freeport Indonesia contract extension.

MNCs in the News-2015-07-10

China tells foreign businesses to stop whining. China’s Ministry of Commerce (MOFCOM) reports that China’s three new free trade zones (FTZs) have attracted significant foreign direct investment (FDI). China’s draft cybersecurity law raises new concerns among foreign technology firms and foreign companies operating in China. China’s heavy outward FDI to and presence around Angola raise concerns among Angolans. Tokyo hosts “Mekong Five” leaders summit to promote export, investment, and infrastructure opportunities for Japanese firms. Japan looks to beat China to build the first deep-water port in Bangladesh. Thai Prime Minister Prayut Chano-Cha courts greatest Japanese investment in Thailand’s special economic zones. Indonesia’s state energy firm Pertamina asserts ownership over the Mahakam block. Indonesia to revoked thousands of unused investment permits issued between 2000 and 2006. Freeport-McMoRan moves to divest mining shares pursuant to Indonesia government regulations. Vietnam moves to build investment and business cooperation in ICT with Japan and South Korea. Vietnamese Communist Party General Secretary promises administrative reforms on tax and customs procedures to create a better investment climate for foreign businesses.