Beyond COVID-19: Crisis response or road to recovery?
Crisis response or road to recovery?
On April 17, 2018, the National Development and Reform Commission (NDRC) announced at a press conference that a new negative list for foreign investment is being formulated and is expected to be published in the first half of this year. The new negative list will lift up restrictions on foreign investment in the automobile manufacturing industry within 5 years, and in the aviation and shipbuilding manufacturing sectors before the end of this year.
This entire sector will be opened by 2022, subject to the following timetable:
The 50 per cent foreign shareholding limit will be removed:
The restriction on setting up no more than two joint ventures for producing the same type of vehicles by one foreign investor will also be removed under the same timetable.
Within 2018, the foreign shareholding restrictions for the following business will be removed:
Within 2018, the requirement for Chinese parties to control the joint ventures for designing, manufacturing and repairing ships will cease.
As the global aviation industry looks towards post-pandemic recovery and less turbulent skies, it is the topic of decarbonisation that is increasingly top of everyone’s agenda. There have been a number of eye-catching announcements around the world in recent weeks, from United Airlines announcing its intention to purchase 100 electric aircraft, an increased focus on the use of sustainable aviation fuel (SAF) from several airlines, and Korean Air utilising the green bond markets.
© Norton Rose Fulbright LLP 2021