China Announces Regulation on Market Entity Registration and Management

Chinese Premier Li Keqiang signed a decree of the State Council, revealing a regulation on the registration and management of market entities.
The new regulation, which will take effect on March 1, next year, sets uniform provisions on the registration and management of companies of all kinds, self-employed individuals, and specialized farmer cooperatives, which engage in for-profit business activities in China.
The regulation is likely to simplify the processes of registering market entities, reduce institutional costs, and reduce burdens on market entities, provide legal guarantees for the development and support of market entities, and promote fair competition.
The regulation stipulated that the registration authorities should improve the process and raise the efficiency of its work, and provide registration services via the Internet.
Applicants for market entity registration must be responsible for the correctness, legality, and validity of the submitted material.
The regulation indicated that the authorities will not require applicants to repeat the supply of relevant information, which can be accessed via the government information-sharing platform.
It also called for strengthening oversight of market entities and strengthening their management, and the registration of “market entity status” would be revoked for those who provide false material or conceal important facts by fraudulent means.