China further cuts negative investment list – Global Times
What happened: The National Development and Reform Commission (NDRC) and the Ministry of Commerce jointly released newly revised lists on Sunday that grant foreign investors more access to major sectors and its free trade zones. Revisions of the so-called negative lists, which restrict foreign investments in certain industries, will come into effect on July 30. Separately, the state planning body released a new catalog guiding foreign investment in high-end, smart, and green manufacturing segments. More than 80% revised investment fields are in manufacturing, including core technologies like 5G components, chips, and cloud computing equipment.
Why it’s important: The revised negative lists and foreign investment catalog were announced a day after the China-US trade tensions showed signs of easing at the G20 meeting, although the Chinese government said they were “self-motivated reform measures.” Chips, 5G equipment, and cloud computing are considered core technologies that countries including the US and China are vying to lead. China has been eager develop these industries independently, however, the reforms encourage foreign investment in these areas.