China Law BlogChina Law BlogChina Law for Business. Legal aspects of doing business in China. Articles
Is China Going Green, Part XVI -- The Olympics Are Making Green The New Bla
2008-08-09 17:22:00 About three years ago, I became convinced foreign environmental companies would thrive in China . But until only around six months ago, my firm's environmental clients seemed to have more regulatory problems in China than those in any other industry. Not sure why, but that seems to have changed. The Earth2Tech Blog has an interesting post highlighting ten companies (mostly foreign) whose green technologies are making inroads into China, thanks at least in part to the Olympics . (h/t to All Roads Lead to China) Further proof, perhaps, of China's willingness to allow foreign companies to participate in helping China's environment. More About: Green , Part
More Kudos To Bush On China. This Is What I'm Talkin' "Bout
2008-08-08 17:08:00 Yesterday, I did a brief post extolling President Bush 's "deft handling" of China and the Olympics. Seems I am not the only blogger out there similarly impressed/surprised. In "US-China Relations: George W. Bush’s uncharacteristically nuanced approach," CnReview notes the same thing and does a great job highlighting and explaining Bush's recent speeches on the topic: President George W. Bush went out of his way to communicate respect for and awareness of Chinese culture/history: Tonight the Olympic torch will light the home of an ancient civilization with a grand history. Thousands of years ago, the Chinese people developed a common language and unified a great nation. China became the center for art and literature, commerce and philosophy. China advanced the frontiers of knowledge in medicine, astronomy, navigation, engineering, and many other fields. Bush also highlighted the progress that China has made to date, and the significant shared interests between the two countr... More About: Kudos
China's Ignorance Is Bliss.
2008-08-08 01:10:00 Really excellent article by John Kamm over at the Washington Post, analyzing the reality behind the recent Pew Survey numbers on China . The article is entitled, "Blinded By the Firewall: Why the Chinese Think The World Loves China," and if you want to understand how China views itself and why, you should check it out. More About: Ignorance
Danone-Wahaha And Why You Need A Real Lawyer For China.
2008-08-07 18:24:00 Brad Luo over at the China Business Law Blog just posted on a recent Chinese court decision in the never-ending conflict between Wahaha and Danone. The post is entitled “Wahaha” Ain’t French, and It Belongs to China," and it once again shows why I earlier remarked on how "we love that dispute because within it lies just about every China business or business law issue one might confront." This new ruling touches on two important legal issues, one very particularized and one very general. Let's start with the particulars. The recent court decision is the Hangzhou Intermediate People’s Court's ruling upholding the Hangzhou Arbitration Commission's December, 2007, ruling that the “Wahaha” trademark belongs to the China based Wahaha Company, not to the joint venture between Danone and Wahaha, of which Danone is the majority shareholder. Both this ruling and that of the Arbitration panel are believed to have been based on Danone's failure to secure Chinese government... More About: Lawyer , Real
Beijing: "Not My Father's Skyline"
2008-08-07 17:25:00 Too damn funny to pass up: Today's Doonesbury on Beijing (h/t to Boulder2Beijing) More About: Father , Skyline
Religion In China: The Glass Is Half Full. Bush On Foreign Policy: Even A
2008-08-07 15:07:00 Very well done blog post over at MNBC's World blog on the current state of religion in China . The post is entitled, "Exuberance at One of Beijing's State-Sponsored Churches," and it is well worth a read. UPDATE: Just came across this China Herald post with a very interesting video setting out how the glass is still half empty. Speaking of half full glasses, President Bush 's deft handling of China and the Olympics has to go down as one of the few things he has done right on foreign policy. More About: Religion , Policy , Foreign Policy
China US Relations. Fair And Balanced.
2008-08-04 07:44:00 Howard French of the New York Times just came out with an exceedingly thoughtful and balanced piece on the progression of rights in China , entitled, "Despite Flaws, Rights in China Have Expanded." The content of the article tracks the title and it is well worth reading. Plus, I completely agree with it. China still obviously has a ways to go, but I do not think it fair or realistic to expect China to instantly be where the United States and Denmark and Canada are today. I say this not because I believe Asia is different or China is different, but because I believe Asia and China are the same. Because China is the same, it will not become "free" overnight, as that virtually never happens (I often cite post-Franco Spain as a rare exception). As I have said from this blog's very inception, I see it following in the path of South Korea and Japan, both of which have made amazing economic and political strides over the last 50 years, but not instantly. China does not deserve a fr... More About: Fair , Relations , Fair and Balanced
How To Cover The Olympics: A Reporter's Cliché Book.
2008-08-02 15:11:00 Simon Elegant has a great post up over at the Time China Blog, entitled, "A Reporter 's Guide To Cover ing The Olympics ." The post is a tongue in cheek guide on how to hit every cliché when reporting on China. Sadly, much of it does read almost line for line of what passes for coverage in so many Western publications. Fortunately, the entire Western daily press does not follow this guide and if you want coverage of China that consistently goes beyond this guide, I suggest you read the following newspapers: 1. Wall Street Journal; 2. Washington Post; 3. Financial Times; 4. http://www.nytimes.com/2008/08/02/world/a sia/02china.html?_r=1&hp&oref=sloginNew York Times. (Its headlines seem to frequently follow Elegant's guide, but its stories do not always). Any others? Oh, and one more thing, Beijing's air is that bad. Sorry. More About: Book
China Manufacturing: Go With The Smell
2008-08-02 13:46:00 The China Business And Travel Blog has a post with some excellent tips on dealing with your China vendor. Entitled, "Vendor Evaluation (or You Can't Know Everything), the post details a crisis in which the blogger, Blake, finds himself and then ends with what he has learned from the experience: Have a vendor management program and follow it. Even if informal, you should periodically re-audit, and track vendor performance. Dual source when possible. Due to complexity and volume, I couldn't practically dual source this part. Keep a list of qualified alternates in case you need to move quickly, and never stop hunting for new and better vendors. Does this mean don't build relationships with vendors? Absolutely not!! Just be prepared to move if things get bad -- I have a good relationship with this vendor, but not so good he's going to repay me for the money I'm going to lose! Don't be lazy!! If things start to smell bad, they're bad! I knew this company was starting to hav... More About: Smell , Manufacturing
China Manufacturing: Go With The Smell
2008-08-02 02:15:00 The China Business And Travel Blog has a post with some excellent tips on dealing with your China vendor. Entitled, "Vendor Evaluation (or You Can't Know Everything), the post details a crisis in which the blogger, Blake, finds himself and then ends with what he has learned from the experience: Have a vendor management program and follow it. Even if informal, you should periodically re-audit, and track vendor performance. Dual source when possible. Due to complexity and volume, I couldn't practically dual source this part. Keep a list of qualified alternates in case you need to move quickly, and never stop hunting for new and better vendors. Does this mean don't build relationships with vendors? Absolutely not!! Just be prepared to move if things get bad -- I have a good relationship with this vendor, but not so good he's going to repay me for the money I'm going to lose! Don't be lazy!! If things start to smell bad, they're bad! I knew this company was starting to hav... More About: Smell , Manufacturing
Getting To Yes In China.
2008-08-01 23:13:00 David Dayton from Silk Road International has published an excellent article on manufacturing in China , with eleven rules that "should be engraved on the forehead of every international purchase manager." I think many of the rules he lists have applicability, not only for manufacturing, but for all kinds of business conducted with and in China. Here are some of the most universally applicable: -- If you’re not here, you’re not getting what you ordered. -- The corollary to this is: “Any money saved from not coming to China (multiple times) will be lost in missed delivery dates and/or labor paid to repair product.” -- If you don’t speak Chinese you’re not getting what you asked for. -- In the midst of problems, if you get angry and try to threaten the factory using your final payment as leverage, you’re not getting what you asked for. -- Beware of the request for cooperation. “Cooperation” in Chinese means that you happily pay more for lower quality product del...
China's Food Business: What It Takes For Foreigners To Succeed.
2008-08-01 00:13:00 China Business Blog and Podcast just did a post on a CNBC television appearance this morning by Technomic Asia's Steve Ganster. Because so many of my firm's clients are in the international food business and because I see China as a tremendous market for Western food companies, Steve's analysis is of particular interest to me. The key takeaway from Steve's interview is this from the China Business Blog post: As companies are learning that what works at home won’t necessarily work abroad in the Chinese marketplace, they’re finding new ways to cater specifically to the needs and desires of Chinese people — rather than shoe-horning American products into a distinctly non-American set of tastes. Check it out. More About: Food , China , Foreigners
China Law Database: Where It's At.
2008-07-31 12:37:00 Forgotten Archipelogoes blog has a post setting out a whole slew of English and Chinese language Chinese law sites (h/t to Law Librarian Blog). I have been sending out the link to it in email responses to readers who have been asking me where they can find such and such law and I just realized I should put it up here as well. So here it is. And it is good. More About: China , Database
John Pomfret As China Basher? What Is A Superpower Anyway?
2008-07-31 00:37:00 Did a post earlier today, entitled, "China As Superpower. Yes Or No" on a "debate" between John Pomfret and China Comment regarding whether or not China will become a superpower. Got a comment to that post from Mark Anthony Jones, author of the book, Flowing Waters Never Stale, that is too long and too well thought out to remain as a comment. So I am taking that comment and putting it in a post here. Please note that all of the following is in Mr. Jones's words, not mine: Pomfret says that he isn't a "China-basher" but one of his constantly reoccuring themes is that China will not become a "superpower" for a very long time, and so Americans need not live in fear of losing their global hegemonic status. I have a lot of problems with this kind of silly discourse. Firstly, what is a "superpower"? The former Soviet Union was always described as a "superpower", as one of the world's "two great superpowers", etc. Yet overall living standards there never reached the levels currentl...
IOC And China Censorship: What A Kroc.
2008-07-30 23:45:00 The opposite of love is not hate, it’s indifference. The opposite of art is not ugliness, it’s indifference. The opposite of faith is not heresy, it’s indifference. And the opposite of life is not death, it’s indifference. Elie Wiesel When I was maybe 11 or 12, I read about Ray Kroc's founding of McDonalds. Whatever I read made Kroc out to be some sort of saint and even sought to explain away his initial unwillingess to hire African-Americans as not having arisen out of any racism on his part, but out of his realization that the American public was not ready to have Blacks serving them food. I thought Kroc was horrible for taking this position and even worse for trying to spin it. I saw (and still do) Kroc as worse than the racist who would not hire African-Americans at all; Kroc knew his position was morally indefensible, but rather than make an effort to educate or inculcate or use his position for change, he let it all just slide. Stories out today on how the... More About: China , Censorship
China As Superpower. Yes Or No.
2008-07-30 20:30:00 I am usually not interested in trying to divine whether or not China is going to become a superpower. My lack of interest stems both from the inherent vagueness of the term "superpower" and from the fact that all such predictions are based on today's facts, rather than on some supernatural ability to predict the future. Having thrown out these caveats, I have to admit there is a really interesting and thoughtful "debate" going on right now between John Pomfret (whose knowledge of China I greatly respect) and the China Comment blog (whose knowledge of China I also greatly respect. Pomfret is in the China will not be a superpower corner, while China Comment says it will. Pomfret puts forth his views in a recent Washington Post article, entitled, "A Long Wait at the Gate to Greatness" and China Comment rebuts them in a post, entitled, "A Weak China?" What I see as important is not so much their positions on the will it or won't it issue, but rather their excellent analysis o...
China And Asia Digital Innovation. C2C Means More Than Just Copy To China.
2008-07-30 19:07:00 +8* blog (a consistently interesting Asia /China tech blog written by Benjamin Joffe) just posted on Asian internet and mobile companies seeking to go global. The post is entitled "From Asia to the world: going global in a digital world," and it describes what it will take for Asia to go "global in a digital world." Great stuff for those interested in innovation or high-tech and I urge you to check it out. More About: Innovation , Digital , Copy
China's New Anti Monopoly Law. A Post About Nothing Cause Nothing Fro
2008-07-30 08:49:00 We must not make a scarecrow of the law, Setting it up to fear the birds of prey, And let it keep one shape, till custom make it Their perch and not their terror. William Shakespeare, Measure for Measure My friend Stan Abrams over at China Hearsay posts on why he has not posted on China's new Anti -Monopoly law. Stan's explanation is essentially that becuase there are no regulations explaining the new law and and no real evidence as to how it will be enforced or even if it will be enforced there is nothing to say on it. Stan is dead on and too will say nothing on it beyond repeating what I said back in a November post: I actually began my career as a big firm antitrust lawyer, and about all I can muster so far regarding the new law (set to become effective on August 1, 2008) is that it is really going to depend on its enforcement and I for one do not see how it can be soundly enforced when there are probably only a handful of lawyers and judges in all of China with a deep und... More About: Post
China Business Visas. Just When You Think It Can't Get Any Worse.
2008-07-29 06:40:00 "Just when you think you've lost everything, you find out you can always lo-o-o-o-ose a little more," Bob Dylan, from "Trying to Get to Heaven (Before They Close the Door)" Financial Times is out with an article entitled, "China cuts business visas before the Olympics," detailing how Chinese business visas are going to be restricted even further for the next two months: Several of the main cities hosting the Olympics have said they will stop issuing visas for general business trips until late September, after the games and the Paralympics are over. International business organisations in China warned yesterday that the new visa rules were likely to have a significant impact on business. "The introduction of such restrictions without warning creates serious problems for companies operating in China," said the European Union Chamber of Commerce in Beijing. In a statement posted on its website, the Shanghai Foreign Economic Relations and Trade Commission, which deals with visa ... More About: Business , Visas
Wal-Mart Strikes Pay Deal With Chinese Union. China Law Blog Was There.
2008-07-28 05:09:00 Interesting Forbes Magazine article, by Matthew Kirdahy, entitled, "Wal-Mart Strikes Pay Deal With Chinese Union ." Article is on Wal-Mart's having reached wage agreements with China 's official union, the All-China Federation of Trade Unions (ACFTU) in Quanzhou, Shenyang and Shenzhen. Gist of the article is that Wal-Mart's agreement was necessary to stay in good with the government: Dave Orlins, president of the National Committee of U.S. China Relations, said the agreement is crucial to Wal-Mart's business. "To expand in China, one needs government support," he says. "This is what you should be doing in China." And Wal-Mart knows as much. "We support these efforts because of the valuable, mutually beneficial partnership the government-run union offers and because of their commitment to assisting businesses in our growth and development in China," said Kevin Gardner, a Wal-Mart spokesman. Wal-Mart's agreement with its Shenyang employees calls for an 8% pay increase in bo... More About: Blog
Has Your China Manufacturer Been Seized Today?
2008-07-26 00:14:00 A loyal reader just emailed me an Outside Blog post regarding a China government decision that will have immediate ramifications for certain companies and should give at least some other companies a little pause. The post is entitled, "China Seizes Control Of Tent Manufacturer s For Quake Aid," and it is on how "the Chinese government has seized control of all Chinese-owned tent factories and existing stock" to aid in earthquake relief. According to the post, Chinese army soldiers will be "on factory floors for at least a month, maybe more." The post goes on to note that this "move may have some effect on US suppliers gearing up for the outdoor season, and could bottleneck production into the spring of 2009." This sort of seizure is yet another contingency of which some manufacturers should be aware. Many countries have laws allowing their governments to commandeer (I am running this post just so I can use that word) certain critical assets during emergencies or time of war (fo... More About: Today
Utter Idiots and Why the United States Will Not Boycott the Beijing Olympic
2008-07-24 11:37:00 Okay, so I didn't really write this, but I have thought this so many times in my head that somehow my thoughts must have transferred nearly 1 to 1 to this post. The post is "Utter Idiots and Why the United States Will Not Boycott the Beijing Olympic s" and with two very minor variations, it conveys my thinking, exactly. The two changes are that I would use a word weaker than idiot so as to offend a bit less and I am not as frustrated as the actual writer, Kai Pan. I also should credit Kai Pan for the history lesson regarding China's role in the 1984 Olympics; I have to admit I was not aware of that. During my first year blogging, those who accused me of being a Panda licker or a China hater angered me. During my second year of blogging they frustrated me. I am now indifferent, figuring those who make such comments either know not whereof they speak or simply have not been reading this blog long enough to know our actual views. Once I achieved indifference, I realized the o...
Beijing Subway 101
2008-07-24 09:47:00 Leave it to CNReviews to come out with a clearly written post on how to get around Beijing using Beijing's subway. The post is entitled, "Beijing Subway Guide: of Tickets and Faregates," and it does an excellent job setting out the dos and don'ts. If I might add one "do" of my own: do use the subway system as it is oftentimes the fastest way to get around: I truly cannot think of another city where I have consistently had to wait so long for a taxi as Beijing.
The Chinese Like Us. They Really Really Like Us.
2008-07-24 06:02:00 There's a great scene in the movie Dumb and Dumber where Jim Carey is seeking a date with Lauren Holley: Carey: "What are my chances [of a date with you]?" Holley: "Not good." Carey: "You mean not good like one out of a hundred?" Holley: "I'd say more like one out of a million." Carey: [after a long, thoughtful pause] "So you're telling me there's still a chance?" Pew's recently released and amazingly comprehensive Global Attitudes Survey [pdf] has 1/3 of China's population calling the US an enemy. Call me Careyesque, but I think that is pretty good. 41% of Chinese view the US favorably, as compared with only 31% in Germany and 33% in Spain. To see how others are analyzing/digesting the report, check out the following: -- "Chinese Want to LIve the Australian Dream?" -- "China's going strong! Me, not so much." -- "New Pew Report of Chinese Attitudes." -- "Notes on Pew's Global Attitudes Survey" Lots of good stuff in the report.
China's New Business Income Tax -- Online Seminar, August 7, 2008
2008-07-24 04:12:00 Strafford Publications, which usually gets pretty good people for its online law seminars, is putting on one entitled, "China 's New Business Income Tax: Shielding Non-China Income From the Expansive Enterprise Income Tax." (h/t to AsiaBizBlog) The seminar will take place on August 7 from 1 pm to 2:40 pm, EST. Stafford describes its seminar as follows: As of Jan. 1, 2008, China enacted a 25% enterprise income tax, under which China has considerable flexibility to bring a foreign company's worldwide income into its tax base. Associated rules and circulars could negate U.S. companies' assumptions that its income is safe from Chinese tax. Meanwhile, the IRS has proposed much-awaited revisions to its contract manufacturing regs, which are a leading vehicle for American businesses entering the Chinese marketplace. Tax counsel must prepare to leverage the new exceptions and other key changes. Listen and participate from your telephone as our panel of experienced tax advisors bottom... More About: Seminar , Online
Clean Energy Guide To China
2008-07-22 20:57:00 The US Department of Commerce just came out with a 113 page online pdf report entitled, "Clean Energy , An Exporter's Guide to China . " (h/t to AmCham-China Daily) The Department of Commerce summarizes its report as follows: Energy demand in China is growing, and it is predicted that China will surpass the United States as the largest energy consumer soon after 2010. This has led to the development in China of a more robust clean energy policy. This report provides U.S. exporters with a market overview for this sector in China. It offers an analysis of the existing infrastructure of clean energy technologies and identifies market opportunities through 2020, including market forecasts, market drivers, cost data, and market segment analysis. It also reviews the Chinese government’s policies for clean energy development, analyzes barriers and obstacles to trade and investment in clean energy technologies, and provides an overview of the resources that are available to U.S. businesse...
How Business In China Gets Done.
2008-07-22 03:25:00 For those who have never conducted business with China , this post will sound very strange, perhaps even unbelievable. For those who have conducted business with China, this post likely induce feelings of déjà vu. Either way, it is well worth a read because I can all but guarantee (and if I were not a lawyer, I would guarantee) every word is true, no matter how strange it all seems. The post is on the This is China! blog and it is entitled, "How to Waste Space in China." The key takeaway from this is that the goals of your Chinese counterpart might be very different from the goals you would expect. In other words, "This is China!" More About: Business
Five Deserted Island China Blogs -- Just The Essentials, Ma'am.
2008-07-21 16:56:00 Maybe I have been watching too much Lost (all that remains is the Season 4 finale), but in response to a barrage of demand (one email suggestion around a year ago), I have decided it is time I come out with my list of the five China blogs I would want to be able to read were I to be stranded on a deserted island for the next year or two. Now remember, this list is not meant to be the best five blogs or the most enjoyable five blogs or even the most important five blogs. It is a list of the five blogs I would want were I to be stranded without any other reading material. That all of these blogs have daily or near daily postings (oftentimes multiple postings per day) is a big plus as I figure I will have plenty of time to fill. It would be a cop out were I too list anything even resembling a blog aggregator (like Chinalyst or China Digital Times or Virtual Review China) so I will not. So without further ado, and in no particular order, and with just a bit of explanation, here g... More About: Blogs , Island , Deserted , Essentials
China's Olympics. Security Trumps Fun. Why Oh Why?
2008-07-20 22:51:00 Excellent Washington Post article on how China 's increased security (including executions) may end up taking the "fun" out of the Olympics . The article is entitled, "Across China, Security Instead Of Celebration: Police Crack Down on 'Hostile Forces,' Apply New Safety Measures." and though I have read a whole slew of these articles, this one really got me thinking. Is China using the Olympics as an excuse to crack down on dissent or is it justified in its security concerns? I not only do not know, I do not think there is any way to know until the Olympics are over and done with. What do you think? UPDATE: Just heard about the explosions in Yunnan Province. Does this change things?
The People's Republic Of Capitalism. But I Digress.
More articles from this author:2008-07-19 11:26:00 Excellent post over at the inside-out China blog on Ted Koppel's recently completed Discovery Channel show, "The People 's Republic of Capitalism ." The post really shines in analyzing the views of some of the Chinese nationals who spoke during the series and how those views fit in with China's history. It is just a really good piece and I suggest you check it out. The other day, in a post entitled, "F-ck China Culture Lessons. Give Me Anthony Bourdain With No Reservations," I lit into (a bit) courses that purport to teach Chinese culture. The thesis of my post was that one can learn more about how to deal with people of other countries (including China) by watching Anthony Bourdain than by attending a "How to do business in China" class that teaches you not to bring four gifts (hey, that's bad luck) or white flowers (that's death, baby). Just as an aside, I have never known anyone who has given out or received white flowers as a business gift! In response to that... More About: The People 1, 2, 3, 4, 5, 6, 7 |
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