July 22 Regulatory Roundup
Saturday, July 22, 2006 19:27China to Reduce VAT Rebate on Selected Items:
Overall Impact Rating: 10 of 10
Industries Affected: Heavy manufacturing, light manufacturing, steel, and others
Date of Implementation: September/ October (TBD)
Overview/ Introduction:
Further to our previous announcement, there are more reports now from the central authorities outlining a reduction in VAT. While widely believed to be a political workaround to Washington’s pressure on the RMB, this is being presented by the Chinese government as part of their strategy to get away from low end energy consuming industries, and a move towards high tech industries who will see an increase in their rebates.
Government Agencies Involved:
Ministry of Finance & Commerce
National Development and Reformation Commission
Links for further Information: IHT; Financial Express; China Daily; People’s Daily
Regulations on Health Related Ads :
Overall Impact Rating: 6 of 10
Industries Affected: Medical Equipment, Healthcare, Pharmaceutical, and Media
Date of Implementation: July 2006
Overview/ Introduction:
With a number of recent scandals within the healthcare industry, and the number of fraudulent product cases increasing, the State Administration of Radio, Film and Television has issued regulations banning the promotion of a number of procedures, treatments, and products.
Government Agencies Involved:
State Administration of Radio, Film and Television
Links for further Information: Chron; The Standard
New Rules Related to Animation:
Overall Impact Rating: 3 of 10
Industries Affected: Media
Date of Implementation: July 2006
Overview/ Introduction:
Following a number of other media related rules recently, the State Administration of Radio, Film and Television (SARFT) has issued rules that will affect the content of animated cartoons. Primarily focused on the domestic producers, this will have an affect on foreign invested enterprises as well as groups
Government Agencies Involved:
State Administration of Radio, Film and Television
Links for further Information: Shanghai Daily; People’s Daily
New Rules on the Trading of Corpses
Overall Impact Rating: 2 of 10
Industries Affected: Healthcare
Date of Implementation: July 2006
Overview/ Introduction:
In our weirdest find of the week (and the one that could have come a bit sooner), it appears that the Chinese authorities have banned the trading of corpses. This is primarily linked to recent reports that the organs of prisoners were being harvested and sold on the foreign market
Government Agencies Involved:
Ministry of Health
Ministry of Science and Technology
Ministry of Public Security
Links for further Information: Asia News; The Epoch ; Blogger News
(Note: To make sure you are up to date on all regulations, we advise you speak with legal and/ or industry professionals)
