China Legal Update – August 21st 2025, China News

China Legal Update – August 21st 2025, China News

I 中国将进一步鼓励外商投资企业境内再投资

I. Background

 

On July 7, 2025, the National Development and Reform Commission and six other authorities have jointly issued the Circular on Implementing Several Measures to Encourage Reinvestment by Foreign-invested Enterprises in China (the “Circular”) aiming at attracting and utilizing foreign capital with greater intensity, and encouraging foreign-invested enterprises to reinvest domestically.

The Circular stipulates several measures for foreign-invested enterprises (“FIEs”) to invest more conveniently in China. Prior to the issuing of this Circular, China has released series of policies to promote foreign investment, including but not limited to “the Opinions of the State Council on Further Optimizing the Foreign Investment Environment and Increasing the Attraction of Foreign Investment[1] in 2023, and the Action Plan for Stabilizing Foreign Investment” issued by the Ministry of Commerce and the National Development and Reform Commission in February, 2025.

The Circular is prominent not only at deepening the reform of the foreign investment promotion system and mechanism, but also at intensifying efforts to attract and utilize foreign capital. It is intended to facilitate relevant stakeholders carry out more targeted projects and promote reinvestment by FIEs in China.

[1] See our Legal update on this topic dated September 19, 2023 : China Legal Update – September 19, 2023 – ASIALLIANS.

 

2.  Highlights

The Circular applies to the act of FIEs established in accordance with the law within China using undistributed profits, or foreign investors lawfully receiving domestic and foreign currency profits to invest in newly established enterprises, increase capital in existing enterprises, or acquire shares, equity, property shares or other similar rights and interests of domestic enterprises within China, as well as the act of investing in projects within China.

The Circular includes the following major measures:

 

·       Strengthening service guarantees for projects

Databases of domestic reinvestment projects for FIEs will be established in various regions based on actual conditions. domestic reinvestment projects for FIEs that meet the conditions can be included in the list of major and key foreign investment projects and enjoy corresponding supportive policies.

·       Optimizing land resource allocation

The Circular supports FIEs to reinvest in China, flexible methods such as long-term leasing of industrial land, lease before transfer, and flexible annual land transfer will be adopted to reduce initial land costs.

·       Streamlining and simplifying relevant procedures

FIEs that are newly established as legal entities in China in a wholly owned manner may apply for industry access permits already obtained by their parent companies. For those that meet the basic conditions, the industry regulatory authorities may optimize and simplify the processing procedures and shorten the processing time in accordance with the law.

·       Implementing supportive policies

FIEs that reinvest in projects within China that comply with the Catalogue of Industries Encouraged for Foreign Investment are eligible for supportive policies related to imported equipment.

·       Facilitating the use of foreign exchange funds

FIEs that use legally generated foreign exchange profits, and overseas investors who use legally obtained foreign exchange profits within China to carry out domestic reinvestment, may transfer relevant foreign exchange funds within China in accordance with regulations.

Under the premise of complying with the special management measures for foreign investment access and ensuring the authenticity and compliance of domestic investment projects, FIEs can carry out domestic reinvestment with foreign exchange capital or RMB funds obtained from foreign exchange settlement. The invested enterprise or equity transferor does not need to handle the registration procedures for receiving domestic reinvestment.

·       Increasing financial support and innovation.

The Circular encourages various financial institutions to innovate products and services under the premise of legal compliance and controllable risks, and provide financial services and support for FIEs’ domestic reinvestment.

 

Additionally, the Circular clarifies the applicable scenarios for these encouragement measures and puts forward requirements for launching the pilot program for domestic investment information reporting by FIEs, enhancing interdepartmental information sharing, and optimizing the evaluation methods for promoting foreign investment.

 

3. Conclusion

The issuance of the Circular is another important move to attract foreign investment and encourage reinvestment by FIEs in China, which marks the signal to promote high-quality development of foreign investment. Additionally, the Circular provides supportive guidance for FIEs seeking reinvestment in China by implementing comprehensive incentives for FIEs to reinvest domestically, which will facilitate multinational companies and FIEs achieve long-term and stable development in China.

II  商标注册申请快速审查机制将助力提升效率

I. Background

 

On July 18, 2025, the China National Intellectual Property Administration (“CNIPA”) issued the Measures for Fast Track Examination of Trademark Registration Applications (the “Measures”), which is effective from July 18, 2025. The Measures introduces the system of Fast Track Examination of Trademark Registration Applications(the “Fast Track Examination System”), which will improve the efficiency of examination of trademark registration applications involving national interests, social public interests, or major regional development strategies.

 

2.  Key content

2.1  Application scope of the System

The following trademark registration applications circumstances can be applied to the Fast Track Examination System:

 

(1) Strategic emerging industries and future industries related to national development, such as commercial space, low-altitude economy, deep-sea technology, bio-manufacturing, quantum technology, embodied intelligence, and 6G, which urgently require trademark exclusive rights;

(2) Marks related to national or provincial major projects, major scientific and technological infrastructure, major events, major exhibitions, and important cultural heritage, where trademark protection is urgent;

(3) Involving the modern industrial system being constructed by provincial people’s governments or the industrial chains being developed around the new productive forces, where the trademark is already in use;

(4) Directly related to responding to sudden public events such as particularly major natural disasters, particularly major accidents or disasters, particularly major public health incidents, or particularly major social security incidents;

(5) Necessary for serving high-quality socio-economic development and promoting the implementation of the National Intellectual Property Strategy, or having significant practical significance for safeguarding national interests, public interests, or major regional development strategies.

 

2.2 Conditions of applying for Fast Track Examination

The following conditions shall be met simultaneously when apply for Fast Track Examination of trademark registration applications:

 

(1) Consent of all applicants;

(2) The application is submitted electronically;

(3) The trademark applied for registration consists of text, graphics, letters, numbers, or a combination of above elements;

(4) The designated goods or services are closely related to the circumstances listed in above circumstances and are names of goods or services publicly accepted by the National Intellectual Property Administration;

(5) No priority claim has been made;

(6) The application is not for the registration of a collective trademark or certification trademark.

 

2.3     Optimizing land resource allocation

 

–      Applicants shall submit a Request for Fast Track Examination of Trademark Registration Application along with supporting documentation proving the application falls within the application scope, as well as recommendations issued by relevant departments of the central and state organs for the application, provincial people’s governments or their offices;.

–      The CNIPA will conduct strict review on the application materials. For applications that do not meet the requirements of the Measures the applicant for Fast Track review shall be notified within five working days.

–       If the application is granted Fast Track Review, the CNIPA will complete the examination within 20 working days. Compared to the standard trademark application process within 9 months from the date of receiving the application documents[2], Fast Track Examination is much faster.

[2] Article 28 of the Trademark Law.

 

3. Conclusion

The newly released Measures take consideration of the increasing demand for high-quality development in relation to national interests, social public interests, and major regions to adapt to fast-changing environments. The introduction of the Fast Track Examination not only will boost efficiency of trademark registration application examination process, but also will provide guidance for applicant to better protect the rights and interests of the trademarks.

 

Asiallians will keep you updated for further information.