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China Aims to Simplify Outbound Investment Procedures

China’s commerce ministry recently announced plans to simplify outbound direct investment filings through a paperless procedure that will “reduce the burdens” on investors, according to a March 23 Hong Kong Trade Development Council report. Companies no longer have to submit…

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paper documents when seeking approval for outbound investments and will instead be able to upload the documents as PDF files to the ministry, the report said. As China seeks to streamline outbound investment, the U.S. has increased restrictions on screening procedures for foreign direct investment as it tries to keep China from acquiring sensitive U.S. technology (see 2002260042).