On May 8, 2023, the National Health Commission of the People’s Republic of China (the “PRC”), along with 13 other government departments of the PRC, issued the “Key Highlights for Combating Corruption in the Medicine Purchase and Sale Industry and Medical Services Industry for the Year 2023” to launch a comprehensive anti-corruption campaign in the pharmaceutical industry. Subsequently, local health commissions in Beijing, Shanghai, Guangdong, Hainan, and various other provinces and cities in the PRC released notices for corrective actions specifically targeting the pharmaceutical industry. On August 15, 2023, the National Health Commission of the PRC further unveiled the “Questions and Answers Regarding the Comprehensive Anti-Corruption Campaign in the Pharmaceutical Industry,” providing additional direction and guidance on the anti-corruption campaign. All these actions collectively have had and will continue to have a profound impact on the pharmaceutical industry in China.…

Continue Reading Overview of Recent Anti-Corruption Enforcement Actions in the Pharmaceutical Industry in China

反向CFIUS揭晓:聚焦中国、半导体、人工智能和量子计算

本文作者：J. Scott Maberry, Reid Whitten, Fatema Merchant, Jonathan Wang, Lisa Mays

本文翻译：美国盛智律师事务所上海办公室

Shanghai Office Contact Person: Michael Zhang

On August 9, 2023, President Biden issued an Executive Order (E.O.) ordering the issuance of outbound investment restrictions. This E.O. comes after nearly a year of anticipation (as we have documented on several occasions over the past year). This is the start of the reverse Committee on Foreign Investment in the United States (CFIUS) process that has been mostly speculation (and blog articles) until yesterday. In conjunction, the Treasury Department issued a press release, fact sheet, and Advance Notice of Proposed Rulemaking (ANPRM) seeking comments from the public on the proposed restrictions by September 28.…

Continue Reading Reverse CFIUS Unveiled: Focus on China, Semiconductors, Artificial Intelligence, and Quantum Computing

Introduction:

This article examines the regulatory framework outlined in the “Regulations on the Supervision and Administration of Privately-Offered Investment Funds” in China. It provides an overview of the new regulations and their implications for privately-offered fund managers, custodians, and service agencies. Understanding and complying with these regulations is essential for stakeholders in the Chinese investment fund industry.…

Continue Reading Regulatory Framework for Privately-Offered Investment Funds in China: Implications and Compliance

According to the State Council’s Institutional Reform Plan released on March 7, 2023, the State Council will establish a National Bureau of Data (“NBD”), and it will be administrated by the National Development and Reform Commission (“NDRC”). Pursuant to the announced responsibilities, the NBD will be in charge of “coordinating the construction of data infrastructure, integrating and sharing data resources, and promoting the planning and development of digital China, digital economy, and digital society.”…

Continue Reading China to Establish National Bureau of Data

On August 16, 2022, President Biden signed into law the Inflation Reduction Act of 2022 (the Act), a sweeping bill with significant tax, energy and healthcare implications.[1] This alert focuses on two key corporate tax aspects of the Act:…

Continue Reading Key Corporate Tax Aspects of the New Inflation Reduction Act

On July 7, 2022, the Cyberspace Administration of China (“CAC”) released the Security Assessment Measures of Cross-border Data Transfer ( the “Measures”) which will be effective from September 1, 2022. Previously on October 29, 2021, CAC has published a draft version of such Measures for public comments (which we covered in this blog post: here). In this blog post, we will present the major differences between this final version of the Measures and the prior draft version.…

Continue Reading China Issues Security Assessment Measures of Data Cross-border Transfer

In a previous post, we blogged about certain proposed rules issued by China Securities Regulatory Commission (the “CSRC”) on December 24, 2021. The proposed rules consist of general management rules on offshore listings of onshore companies (the “Management Rules”), as well as implementation measures related to the filing of such offshore listings (the “Filing Measures”). Those proposed rules require onshore companies to file certain reports and information with the CSRC and other competent governmental authorities prior to seeking either direct or indirect offshore listings. By including “indirect” offshore listings in the proposed rules, CSRC intends to state that the filing requirements also apply to offshore companies which are controlled by domestic companies or beneficial owners through the “VIE control documents”, also named “red chip companies” by some.…

Continue Reading China Securities Regulatory Commission issued Proposed Provisions Related to Offshore Listing

In the previous blog post, we discussed a few highlights of the Implementing Rules for Human Genetic Resources Management (draft for comment) (人类遗传资源管理条例实施细则（征求意见稿）)(the “Draft Rules”). In this blog post, we will discuss a few other provisions of the Draft Rules that are related to international cooperation involving human genetic resources of China. …
Continue Reading International Cooperation under China’s Proposed Implementing Rules for Human Genetic Resources Management

On March 21, 2022, the Ministry of Science and Technology of the People’s Republic of China published the Implementing Rules for Human Genetic Resources Management (draft for comment) (人类遗传资源管理条例实施细则（征求意见稿）)(the “Draft Rules”) to solicit public comments therefor. The comment period will open until April 21, 2022. …
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Cyberspace Administration of China, Ministry of Industry and Information Technology, Ministry of Public Security, and State Administration for Market Regulation jointly promulgated, on December 31, 2021, the Provisions on Administration of Algorithmic Recommendation in the Internet Information Service (互联网信息服务算法推荐管理规定) (the “Provisions”), which became effective as of March 1, 2022.
Continue Reading Provisions on Administration of Algorithmic Recommendation Took Effect on March 1

China’s Cybersecurity Law (the “Cybersecurity Law”) took effect on June 1, 2017. The Cybersecurity Law consists of 79 articles in total. According to Article 2 thereof, the Cybersecurity Law would apply to the construction, operation, maintenance and use of cyberspace within the territory of China, as well as to the supervision and administration of cybersecurity within the territory of China. This blog post will discuss those provisions of the Cybersecurity Law that would be most relevant to the protection of personal information. Any company which collects, stores, or processes personal information within the territory of China may find it useful to get familiar with such provisions.
Continue Reading Cross-Border Transfer of Personal Information under China’s Cybersecurity Law