By Eunice Ku
Sept. 11 – A wholly foreign-owned enterprise (WFOE) is a company established in China according to Chinese laws and wholly owned by one or more foreign investors. A WFOE is a limited liability company, meaning that the liability of the shareholders is limited to the assets they brought to the business. Unlike the simpler representative office setup which is subject to a number of limitations, a WFOE can make profits and issue local invoices in RMB to its customers, which is crucial as invoices are the basis for obtaining tax deductions in China. Compared to a joint venture, a WFOE has greater freedom and independence, and can better protect its intellectual properties. It can also employ local staff directly, without obligation to employ services from employment agencies. Although there is no legal restriction on the number of foreigners a WFOE can employ, in practice the number of foreign employees does depend on the amount of registered capital (discussed below) that the respective company injects. Continue reading
Aug. 23 – Following Beijing, Shanghai and Guangzhou, Chengdu will become the fourth city in China to adopt the 72 hour visa-free stay policy. The policy, which is scheduled to take effect on September 1, will make Chengdu China’s first inland city to offer a 72 hour visa-free stay to transit passengers. Continue reading
Apr. 5 – Due to rising oil prices, Chinese airline companies have increased fuel surcharge fees for both domestic and international fights.
For domestic routes, the fuel surcharge fee has been increased by RMB10 per flight beginning April 5, 2012. After the adjustment, passengers are now subject to an RMB80 fuel surcharge for flights of less than 800 kilometers and RMB150 for longer routes, instead of the previous surcharges of RMB70 and RMB140. It is the second time that Chinese airlines have increased fuel surcharge fees for domestic flights since the beginning of March 2012. Continue reading
Nov. 2 – This is a regular series of relevant industry news from around China.
Solectria Renewables to open plants in China, India
U.S. photovoltaic inverter maker Solectria Renewables LLC has announced plans to open plants in China and India with capacity of 300 megawatts and 200 megawatts, respectively.
The company said that the expansion of its manufacturing activities into the two countries had been prompted by the significant growth opportunities they offer for commercial and utility photovoltaic projects.
Solectria Renewables’ president Phil Vyhanek stressed that no jobs would be shifted out of North America as a result of the plans and that the company continued to expand its manufacturing operations in Massachusetts and Ontario.
Chief executive James Worden noted that the company had lifted its North American capacity to 1 gigawatt in the current year and said that the expansion into India and China was a strategic move designed to put the company “at the forefront of the three most dynamic solar economies in the world.” Continue reading
Posted in Aviation, Business, FDI and Foreign Trade, Markets, Science and Tech, Technology
Tagged China Biofuels, China Gogreen, China Hydropower, China Nuclear Power, China Renewables, China Solar Power, China Wind Power, Hanas, Renewable Energy Asia, Samba Energy, Solectria China, Three Gorges Dam, Vestas
Oct. 19 – China’s CNR Corporation, a state-owned enterprise that manufactures trains, is having to issue RMB2 billion in one-year bonds in order to finance debt it is owed from the Ministry of Rail, according to the South China Morning Post.
CNR, who are listed in Shanghai, had a negative second quarter in 2011, resulting in an operating loss of RMB8.58 billion against a positive inflow of RMB905 million in the same period last year. The company has firmly left the situation at the door of the Ministry of Rail. Continue reading
Posted in Aviation, Economy and Politics, FDI and Foreign Trade, Shipping & Logistics
Tagged Air China, Boeing, China Aviation, China Debt, China Ministry of Rail, China Southern, CNR Corporation, Dreamliners, Hainan Airlines, Xiamen Airlines
Mar. 7 – This is a regular series of relevant industry news from around China.
• Chinese budget airline Spring Airlines will promote the launch of its service between Japan’s Takamatsu and Shanghai in March by selling cheaper one-way tickets to a limited number of travellers, Kyodo News wrote.
The discounted tickets will be sold during the first month of the service’s operation and will cost JPY3,000 (US$36). Continue reading
Feb. 23 – This is a regular series of relevant industry news from around China.
•The still unnamed Japanese low-cost carrier, a joint venture between All Nippon Airways, or ANA, and Hong Kong-based First Eastern Investment Group, will start domestic flights in November and services to China in 2012, the South China Morning Post wrote.
First Eastern’s chairman, Victor Chu, forecast that Japan will welcome some 4 million Chinese citizens in 2012, up from the 1.35 million registered in 2010. Continue reading
Feb. 14 – This is a regular series of relevant industry news from around China.
•Filipino airline Cebu Pacific Air said earlier this month it plans to boost its passenger traffic and add new services to Greater China in 2011.
“We are planning to grow our market to and from Greater China this year by 20 percent, after flying more than 980,000 passengers in 2010,” said Candice Iyog, the airline’s marketing and distribution vice president. Continue reading