State Council

MNCs in the News-2018-01-12

China moving to make Free Trade Zones (FTZs) freer. China punishes Marriott over survey that lists Hong Kong, Macao, and Tibet as independent countries. Apple’s iCloud darkens as it transfers the service to a Chinese company that will operate it and keep all data in China. French Finance Minister welcomes Chinese foreign direct investment (FDI) in France provided it is not “looting.” President Donald Trump’s pressure seems to have driven Toyota and Mazda to select Alabama for USD $1.6 billion production facility. NEC acquires Northgate Public Services for USD $640 million following the British government’s promotion of digitalization. South Korea’s state-operated Korean Development Bank sets price floor on sale of struggling construction firm Daewoo Engineering & Construction. Hyundai invests in Singapore’s Grab in effort to expand in Southeast Asia and reduce reliance on the tumultuous China market. Indonesia’s Ministry of Finance to reevaluate investment attraction programs after no companies applied in 2017. Jakarta and Freeport-McMoRan seek to resolve by June a host of operational issues that plague the future of Grasberg mine. Nissan shortlists Thailand as possible location for Asia-Pacific EV manufacturing facility due to Thai investment incentives. Thai Minister says Chinese investment into country’s rubber plantations must be carefully considered and not impact local farmers. Johor Sultan invests USD $100 million in Sri Lanka’s first pharmaceutical manufacturing sector. New policy decree by Hanoi allows foreign enterprises to provide logistics services in Vietnam. Several of Vietnam’s efforts to divest state-owned enterprises at the end of 2017 did not catch much investor attention.

MNCs in the News-2017-08-25

China’s State Council issues comprehensive guidelines in an effort to provide a more welcoming environment for inward foreign direct investment (FDI). Foreign firms increasingly fret about pressures to give more power to Chinese Communist Party organizations in their joint ventures. China’s Ministry of Commerce moves to restrain the sectoral and geographic destination of Chinese outward FDI (OFDI) while leaving the space for high-tech and Belt and Road Initiative OFDI. Chinese real estate firms will continue to have strong reasons for OFDI even though they have severely cut OFDI in 2017 due to government controls. Talks between Toshiba Corp. and government led consortium of American, South Korean, and Japanese investment entities break down. Russian moves to encourage investment on disputed Kuril Islands angers Japan. China sales by South Korea’s Hyundai and Kia down for the sixth month straight due to politics, market challenges and branding issues. China’s feud with South Korea over THAAD missile installation harming its own workers and firms. LG Electronics Inc. begins construction of USD $250 million home appliance manufacturing plant in the US following Trump administration’s move to foster a positive investment climate. Under siege at home, China’s Anbang Insurance Group struggling in South Korea and drawing more regulatory attention there. Indonesia’s PT Intra Asia signs memorandum of understanding with Vietnam’s state-owned Coal and Resources department for USD $1 billion coal port. Trade delegation from the UK reaches out to Indonesian government in preparation for post-Brexit trade and investment agreements. Malaysia experiencing strong economic growth due to infrastructure projects the government is implementing across the country. PetroVietnam signs Memorandum of Understanding with Thailand’s Siam Cement Group’s chemical subsidiary to jointly build USD $5.4 billion petrochemical complex. Vietnam’s Ministry of Planning and Investment elaborates upon features of the country’s three new specialized special economic zones

MNCs in the News-2016-02-19

China’s State Council will work to expand service and merchandise trade by giving foreign businesses new opportunities. Chinese Ministry of Commerce think tank researcher expects Chinese outbound M&A to hit new record in 2016. Regulatory issues in China and abroad appear to impact some Chinese outward foreign direct investment (FDI). Industrial and Commercial Bank of China Europe) and the Chinese embassy in Spain scramble to react to Spanish police raid in connection with suspected money laundering by ICBC Madrid. COSCO formally declared the preferred bidder for the privatization of of Greece’s Piraeus port. Visit of South Korea’s Trade Minister to eBay Korea’s Incheon facility leads the latter to promise to help small Korean merchants tap the online export market. Volkswagen Korea faces ongoing pressure from Korean regulators in connection with recall orders relating to its emissions-data cheating cars. South Korean outward FDI experiences strong growth in 2015. South Korea accuses North Korea of using Kaesong moneys for its military programs. Korean government agencies mobilize to encourage foreigners to participate in the development of Korean startups. Indonesia’s e-commerce sector lauds government’s plan to open the e-Commerce to FDI. Indonesian president tells businesspeople at US-ASEAN Business Council Conference that his country will undertake more FDI-related reforms. Thai officials express optimism about the Thai-Chinese negotiations about a medium-speed rail project. Vietnamese and American companies strike numerous deals on the sidelines of the US-ASEAN Summit. Vietnam’s southern Binh Dinh Province will take steps to attract more FDI.

MNCs in the News-2015-10-16

Inward foreign direct investment (FDI) flows into China grew 7.1 percent in September over the prior year. China’s National Development Reform Commission expects to produce first draft of antirust guidelines for the automobile sector by the end of October. China’s State Administration of Taxation moves forward with plan to deal with tax avoidance issues such as transfer pricing. Google reported activates Google Maps and Google Earth on and moves servers to the Chinese mainland. IBM to allow China to view its security codes in a clean room to assuage Chinese concerns about foreign technology. Chinese OFDI continues to show strength, especially along One Belt, One Road. Russian subnational units court Chinese investment. Dakang New Zealand pulls out of massive dairy investment in New Zealand blaming regulatory obstacles. Chinese anticorruption authorities move against Sam Pa as part of investigation of Su Shulin and Sinopec. Japan works with Iran to bolster its investment opportunities in the country. Korea’s Trade-Investment Promotion Agency holds job fair to help young Korean jobseekers land positions with foreign companies in Korea and abroad. Starbucks Coffee Korea brews up a new mix of programs to give back to the community in Korea. Korean firms score well in winning packages to build a massive oil refinery in Kuwait. Freeport favors IPO divestment method to satiate Indonesian government requirements for ownership stake reallocation.

MNCs in the News-2015-05-29

Hewlett-Packard (HP) sells majority stake in Chinese networking division to Tsinghua University. Beijing will open its service sector to spur greater foreign investment. Blocked Twitter actively courts Chinese companies at Shanghai event. China’s Ministry of Industry and Information Technology contemplates new software security guidelines. Chinese gold miners in Sudan face unexpected loss of business opportunities due to sudden government termination order. Japanese Prime Minister Abe proposed huge increase in infrastructure financing to aid Japanese businesses and counter China. Indonesia’s Investment Coordinating Board and Indonesian Consulate General in Osaka sign agreement to cooperate on attracting Japanese investment into Indonesia’s maritime sector. Indonesia reaffirms it will takeover Total’s Mahakam gas block and a PT Freeport Indonesia controlled gold site. Vietnam expects law changes to spur new foreign direct investment (FDI) flows into its construction sector. Russia and Vietnam probe expanded investment cooperation.

MNCs in the News-2015-05-22

China sets up China Investment Corporation (CIC) subsidiary to support outward investment and the export of advanced industrial capacity. Chinese government will support expansion of e-commerce globally and sector’s growth within China. China’s investment in Brazil to surge in both form and amount. US Department of Energy (DOE) reported discourages Chinese investment in US LNG export projects. China National Petroleum Corporation affiliate concludes oil production expansion deal in Abu Dhabi. Indian Prime Minister Modi touts his “Made in India” program during a visit to Korea. Thai Deputy Prime Minister urges Japanese leader Abe Shinzo to encourage more Japanese investment in Thailand’s growing industrial sector. Indonesia’s Investment Coordinating Board fields complaints from Chinese investors during road show in Beijing and succeeds in concluding billions in investment commitments. Indonesian high-level delegation visit to Japan sparks new Japanese corporate investment and partnerships on coal gasification. Vietnam reports Japan is Vietnam’s second largest foreign investor and a major investor in processing and manufacturing.

MNCs in the News-2015-05-15

Inward foreign direct investment (FDI) into China continues to impress. China softens move to eliminate preferences given to foreign investors. Tim Cook launches new environmental initiative during visit to China. Cisco CEO John Chambers highlights how politics is affecting his firm’s business and the operations of other IT companies. LinkedIn CEO Jeff Weiner describes the censorship of the firm’s Chinese-language website as essential but “very painful.” China’s freeing of prices in the electricity sector have potential to open new investment and sales opportunities for foreign firms. China’s investment in Africa increases, drawing praise from Kenyan local leaders. Political and economic factors spur increased Chinese investment in Israel. China’s investment lenses focus on Latin America’s “liberal” economies. Korea’s POSCO Energy negotiating joint investment fund with Korea’s National Pension Service that would support overseas power plant investments. Korea’s Daewoo International working with various Saudi government partners on building a car manufacturing plant in Saudi Arabia. Indonesian Investment Coordinating Board promises to smooth South Korean investment in Indonesia.

MNCs in the News-2015-04-24

China’s Finance Minister Lou Jiwei raises concern about US Bilateral Investment Treaty proposals. Wall Street Journal analysis reveals that many Variable Interest Entities may be at risk depending upon how Chinese treats such structures. IBM cooperation with Chinese firm and China raises concerns about the business and political implications. Huawei CEO Eric Xu raises concerns about the potential fallout of China’s new stance toward foreign information technology. The American Chamber of Commerce’s White Paper calls for numerous improvements in the general and sectoral policy environment facing foreign businesses in China. China’s Finance Minister expresses concerns about US Bilateral Investment Treaty demands. China moves to make its negative list more positive in four key free trade zones (FTZs). Jiangsu Province’s Provincial Price Bureau makes Daimler Mercedes-Benz pay a price for price fixing. Visa and MasterCard appear ready to cash in on China’s bank-card clearing market after State Council opens the market in response to a World Trade Organization (WTO) ruling. Korea moves to enrich up its Food cluster Foodpolis. Korean president Park Geun-hye visit to Latin America results in boost to Korean investment and trade. Indonesia will court Chinese investors with special “information desk” in Beijing.

MNCs in the News-2015-04-10

China enhances predictability and transparency of tax law process. Court case puts pressure on China’s Ministry of Agriculture and Monsanto to release data on Roundup. China moves to ease RMB conversion by foreign-invested enterprises. State Council promises to facilitate outward investment by Chinese firms. China’s Tong Ren Tang and other TCM companies leverages Chinese government support to expand its international presence. Warm Japanese-Indonesian relations spur Japanese businesses to court good relations with Indonesia. Korea Rural Community Corp. pushes to win major Indian land reclamation project.

MNCs in the News-2015-04-03

China puts the brakes on foreign automobile joint venture (JV) ownership shares. The implementation of some of China’s bank technology security rules may be delayed. US Treasury Secretary Jack Lew makes China’s counterterrorism law and banking technology rules a centerpiece of his visit to China. China State Council’s recently mandated changes to local government foreign investment attraction incentives will adversely impact Korean investment. Indonesian President welcomes Chinese investment to Indonesia and calls for greater cooperation. Indonesia’s investment attraction agency will partner with Indonesia’s spy agency to generate better investment information.

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