On 16 May 2023, the China Securities Regulatory Commission (CSRC) published Guideline No. 6 on the Application of Regulatory Rules on Overseas Securities Offerings and Listings: Guidelines for Overseas Offering of Global Depositary Receipts (GDR) by Domestic Listed Companies. It provides detailed guidance from the CSRC on the registration, filing, use of proceeds and other requirements on overseas offerings of GDRs by Chinese listed companies.
Our Asia Pacific Employment & Compensation team is pleased to share our quarterly update, which highlights key employment law changes across the Asia Pacific region in the first quarter of 2023.
On 12 April 2023, China’s regulators on cybersecurity and product standardization, including the Cyberspace Administration of China, Ministry of Industry and Information Technology, Ministry of Public Security, Ministry of Finance and the China National Certification and Accreditation Administration, jointly published a Circular to announce changes to the licensing regimes for network products distributed in the Chinese market.
Baker McKenzie’s Asia Pacific Employers’ Forum took place in Singapore on Thursday, 27 April 2023. You can access a number of related resources relating to employment issues and trends.
The Ministry of Commerce of China initiated an antidumping and countervailing duty administrative review of barley from Australia, effective from 14 April 2023. For all Australian barley exporters, this is an opportunity to revoke the existing antidumping and countervailing duties and resume exportation to China.
• Government further strengthens enforcement measures against social insurance fraud
• Guangdong province issues detailed implementing rules for parental leave and elder care leave
• National authorities publish guideline cases dealing with protection of women’s rights
• Guangdong High People’s Court publishes guideline case on ex-employee theft of trade secrets
• Shanghai non-compete case shows courts may look at circumstantial evidence to prove breach by employees engaged in covert competition
• Henan court case shows importance of using correct terminology in an employment termination notice
The Chinese Ministry of Commerce announced on 12 April 2023 that it has initiated a trade barrier investigation involving 2,455 categories of Chinese products that may be subject to import restrictions or prohibition in Taiwan, including agriculture, mineral, chemical, and textile products. The outcome is expected to be announced by 12 October 2023, or 12 January 024 if the investigation is extended. Due to the current geopolitical tension between Taiwan and China, it is possible that the investigation may be expedited.
Join us for a four-part webinar series as our US moderators welcome colleagues from around the globe to share the latest labor and employment law updates and trends. US-based multinational employers with business operations in Asia Pacific, Europe, the Middle East and Africa, and the Americas regions will hear directly from local practitioners on the major developments they need to know, and come away with practical tips and takeaways to implement.
Post-importation transfer pricing adjustments have always presented great challenge for multinational companies doing business in China due to the lack of formal nationwide mechanism which simultaneously addresses the tax, customs and foreign exchange administration requirements, in order to allow customs valuation adjustment to be made in response to a post-importation TP adjustment.
While a TP and customs aligned approach which was introduced in a pilot program in Shenzhen in 2022 allows retroactive TP adjustment to be made with respect to imported goods, the application of the pilot program is currently limited to companies registered in Shenzhen which have in place advanced pricing arrangements with the China tax authority.
Post-importation transfer pricing adjustments have always presented great challenge for multinational companies doing business in China due to the lack of formal nationwide mechanism which simultaneously addresses the tax, customs and foreign exchange administration requirements, in order to allow customs valuation adjustment to be made in response to a post-importation TP adjustment. A new practice adopted by China Customs piles on additional challenges for companies looking to implement TP adjustments.