ISSUING AUTHORITIES:

Ministry of Commerce

National Development and Reform Commission

Ministry of Finance

DATE OF ISSUANCE:

June 16, 2026

EFFECTIVE DATE:

June 16, 2026

The Ministry of Commerce, together with the National Development and Reform Commission and the Ministry of Finance, has issued the Action Plan for Stabilizing and Upgrading Foreign Investment (the “Action Plan”). The Action Plan introduces 15 measures across five major areas, including expanding market access, enhancing investment facilitation, strengthening investment promotion, improving service support systems, and optimizing foreign investment management.

On market access, sectors including services, finance, healthcare and biotechnology are further opened up for foreign participation. The Action Plan expands pilot programs allowing foreign involvement in vocational training institutions, vocational colleges, and high-level universities specializing in science, engineering, agriculture, and medicine. It supports more foreign institutions in accessing risk management tools including treasury bond futures and encourages foreign-funded entities to carry out fund investment advisory services. It also calls for the accelerated introduction of implementation rules for segmented drug manufacturing and the expansion of pilot zones for biotechnology and wholly foreign-owned hospitals.

On investment facilitation, key measures include accelerating the revision of regulations on foreign investors’ mergers and acquisitions of domestic enterprises, optimizing cross-border data transfer arrangements, implementing tax incentives for foreign investors that reinvest distributed profits in China, and improving support policies for foreign-invested R&D centers.

On investment promotion, the Action Plan reinforces the Invest in China brand through the development of a comprehensive digital service platform. It requires governments to honor policy commitments made to investors and allows provincial-level authorities to provide support measures for foreign investment projects within regulatory frameworks.

On national treatment and the business environment, equal application of enterprise support policies to foreign-invested enterprises is a clear mandate. Government procurement and tendering activities are subject to fair competition review. It also establishes a joint mechanism for handling online infringement complaints against enterprises and strengthens support for major and key foreign-invested projects, particularly in the central and western regions.

On investment management, the Plan supports the eastern regions in partnering with border areas to facilitate industrial transfer and cross-border cooperation. It also enhances the Foreign Investment Information Reporting system.

The Action Plan provides further support for foreign investors seeking to establish or expand operations in China, and seeks to foster a transparent and predictable business environment.

Reference:

商务部 国家发展改革委 财政部关于印发《利用外资固稳促优行动方案》的通知