Find useful legal information for your business in China!

We are a foreign company operating in China, how should we deal with the cross-border provision of personal information in accordance with the Personal Information Protection Act?

We are a foreign company operating in China, how should we deal with the cross-border provision of personal information in accordance with the Personal Information Protection Act?

Answer: Many businesses now have close communication with offshore customers, suppliers or parent companies. The manager of a business may talk to the parent company about an employee who is ill and calls in sick, or he may report a client’s personal issue. This potentially involves the cross-border provision of personal information. The Personal Information Protection Act requires that companies in China should follow one of the three pathways when providing personal information outside of China.

What does the newly implemented Personal Information Protection Act in China do?

What does the newly implemented Personal Information Protection Act in China do?

Answer: The “Personal Information Protection Act” (“the Act”) fills the legislative gap in China’s personal information protection. The General Data Protection Regulation (GDPR), enacted by the European Union in 2018, aims to protect personal information security, privacy, and dignity. The first article of China’s “Information Protection Law” specifies that the purpose of the Act is to safeguard the rights and interests of personal information, regulate personal information processing activities, and promote the reasonable utilization of personal information.

Work and residence permits for foreigners

Work and residence permits for foreigners

The procedure to obtain a work and residence permit is as follow: First you enter China with an F or L Visa, and ask your employer to apply a work permission certificate issued by the local labour administrative bureau. Please note that you must register with the local police office within 24 hours after you enter China. Secondly, you should apply to the Chinese embassy in your home country for a Z Visa, bearing the invitation letter from the local Foreign Affairs Office and the work permission certificate,you may then enter into China again. Or if there is some special case when you are in China, you may apply to local Chinese immigration department in public security bureau for this directly, transferring your Business Visa into a Work Visa. Thirdly, your Chinese employer applies to the Labour Administrative Authority and gets a “certificate of work” which normally is not difficult. The Chief Representative and General Manager of a foreign invested company can apply for the certificate of work holding an F Visa. Fourthly, you will apply to the Local Immigration Department for a resident permit so that you will be allowed to live in China.

Establishing a business in China

Establishing a business in China

In general, it depends on your requirements to decide what kind of entity to establish. All procedures need you or your company to prepare your legitimacy documentations which need to be notarized by a public notary and attested by the Chinese embassy or Consulate in the country in which you are based. A Credibility letter shall be prepared by your bank so that the Chinese government shall review your capital qualification and capacity to invest in China.

Legalization of purchase from a Chinese supplier

Legalization of purchase from a Chinese supplier

China is becoming the biggest “world manufacturer” and there are more and more foreign buyers taking part in all kinds of Chinese trade fairs (e.g. Canton Fair), trying to find good suppliers and purchasing Chinese products. Therefore it is very important for those buyers to conclude purchase contracts and also to perform the contract in the right way, complying with the framework of Chinese law.

Common Legal risk in International trade from side of foreign Buyers

Common Legal risk in International trade from side of foreign Buyers

With the development of Chinese economy and China is famous for its commodity of high quality but with low prices, more and more merchants prefer to purchase from China online. Some lawbreakers take advantage of the international transaction to defraud foreign buyer. Our team handles dozens of these kinds of cases and hereby we remind you of the following points based on our experience from the side of foreign Buyers.

Undertaking Statement of confidentiality

Undertaking Statement of confidentiality

I, ,am hereby undertaking to my employer __________ Co.,Ltd(hereafter refer to A) that during my work in my employment, I will respect and not-infringing the commercial secrets owned by A which are listed in the Appendix. Especially I undertake that I will use A’s customer data base to send commercial advertisement.