China may ease investment rules in FTZs

BEIJING -- China may ease investment rules in three planned free trade zones (FTZs) in Guangdong province, China's Fujian province and China's Tianjin as well as the existing Shanghai FTZ, pending approval by the legislature.

The National People's Congress (NPC) Standing Committee will debate the State Council's proposal to temporarily adjust regulations on administrative approvals in the FTZs.

The State Council plans to remove an administrative approval for foreign companies that want to set up ventures in these FTZs, said Gao Hucheng, minister of commerce, when explaining the bill to lawmakers.

Instead, these companies will only need to report their business plans to authorities, Gao said.

Since these preferential policies conflict with the current laws on foreign companies, Sino-foreign joint ventures and Taiwan investors, the State Council will ask for the legislature's authorization to adjust regulations in the FTZs, he said.