Li Qiang Signs State Council Order
Promulgating the State Council’s Provisions on Outbound Investment

Beijing, June 1 — Premier Li Qiang recently signed a State Council order to promulgate the Provisions on Outbound Investment, which will take effect on July 1, 2026.

The Provisions aim to advance high-level opening up, promote high-quality development of outbound investment, effectively implement outbound investment management, protect the legitimate rights and interests of investors and their outbound investments, and safeguard national sovereignty, security, and development interests. The Provisions consist of 34 articles, mainly stipulating the following:

First, clarifying the scope of application. Outbound investment, i.e., overseas investment, refers to activities where domestic investors in China directly or indirectly obtain relevant rights and interests in enterprises, assets, etc., in other countries (regions). Management of investments by investors in Hong Kong, Macao, and Taiwan shall be implemented with reference to these Provisions.

Second, clarifying overall requirements. Outbound investment work shall implement a holistic approach to national security, improve the outbound investment management and service system, and enhance the quality and level of outbound investment. It shall actively align with high-standard international economic and trade rules, promote high-quality Belt and Road cooperation, and advance international cooperation in industrial and supply chains. Investors are supported in conducting outbound investment activities in accordance with market principles.

Third, improving comprehensive services. The state shall improve the overseas comprehensive service system, and people’s governments at or above the provincial level and their relevant departments shall enhance public service capabilities and levels. Professional service institutions are supported in providing high-quality professional services. Industry associations, chambers of commerce, and trade and investment promotion organizations shall provide services such as information consultation and rights protection in accordance with their charters.

Fourth, effectively implementing management. Regulatory measures shall be improved, classified and graded whole-process supervision shall be implemented, risk prevention and control shall be strengthened, and the scientific nature and security of outbound investment shall be enhanced. Relevant departments of the State Council shall formulate, adjust, and implement outbound investment policies, and guide and supervise investors in standardizing investment and operation behaviors. Investors shall go through procedures such as verification and filing, information reporting, and cross-border capital registration in accordance with relevant state regulations. The principal responsibility of investors shall be strengthened, and disruption of the outbound investment market order shall not be allowed.

Fifth, strengthening outbound investment protection. Relevant departments of the State Council shall strengthen monitoring, early warning, and risk assessment, and guide and assist investors in preventing security risks. International cooperation and exchanges shall be carried out, international economic and trade agreements shall be actively negotiated and signed, and the level of protection shall be improved. Investors are encouraged to resolve investment disputes through consultation, mediation, arbitration, litigation, and other means. An investment barrier investigation system shall be established, among other measures, to effectively safeguard the security and legitimate rights and interests of investors and their outbound investments, as well as the overseas interests of the state.

Hong Kong

Hong Kong is a vibrant Special Administrative Region of China, known for its deep natural harbor and status as a global financial hub. Originally a small fishing village, it became a British colony in 1842 after the First Opium War, and was handed back to China in 1997 under the “One Country, Two Systems” principle. Today, it blends modern skyscrapers with traditional culture, offering a unique mix of East and West.

Macao

Macao, a Special Administrative Region of China, is a unique blend of Portuguese and Chinese cultures, reflecting its history as a Portuguese colony from the mid-16th century until 1999. Known for its vibrant casino industry and historic architecture, the city’s historic center is a UNESCO World Heritage site, featuring landmarks like the Ruins of St. Paul’s and A-Ma Temple. Today, Macao is a major global tourist and gambling destination, often called the “Las Vegas of Asia.”

Taiwan

Taiwan is an island nation in East Asia with a complex history, having been inhabited by indigenous peoples for thousands of years before experiencing colonization by the Dutch, Spanish, and later rule by the Qing Dynasty. After the Chinese Civil War, it became the home of the Republic of China (ROC) government in 1949, leading to its current status as a self-governing democracy with its own political system, while remaining a subject of ongoing geopolitical disputes. Today, Taiwan is known for its vibrant culture, advanced technology sector, and stunning natural landscapes.