China Laws and Regulations Update in June 2019

1.Rules on Human Genetic Resources

Promulgated by the State Council

Document Number: No.717 SC Order

Promulgation date: 10 June 2019

Implementation date: 1 July 2019

The Rules provides that foreign parties cannot collect or store China’s human genetic resources or transfer them to a foreign country; foreign parties that want to use China’s human genetic resources to do scientific research have to enter into cooperation with Chinese scientific research institutions, universities and colleges, medical institutions and businesses; to transfer China’s human genetic resources to a foreign country, permission of the administrative department of science and technology of the state council is required; to transfer human genetic resources or information to or make them available in a foreign country, the recordation process shall be completed and relevant information shall be filed; in a case that may affect the public health, national security and public interests of our country, passing the security investigation organized by the administrative department of science and technology of the state council is required. (Source: Website of the State Council)

http://www.gov.cn/zhengce/content/2019-06/10/content_5398829.htm

2.Special Measures to Regulate Foreign Investment Access to Particular Areas (Negative List 2019)

Promulgated by the Development and Reform Commission and the Ministry of Commerce

Document Number: No.25 MOC Order 2019

Promulgation date: 30 June 2019

Implementation date: 30 July 2019

The new list has been reduced from 48 items to 40 items, and cancelled the limits in the transport area that shares in domestic ship agencies must be controlled by Chinese parties, the restriction in the infrastructure area that shares in gas and heat supply networks of cities with a population of more than 500,000 must be controlled by Chinese parties, the restriction in the culture area that shares in cinemas and theatre agencies must be controlled by Chinese parties, and the restriction on foreign investment in domestic multiparty communication, storage and transfer and call center businesses in the value-added telecommunication area, and also relax access restrictions in agricultural, mining and manufacturing industries. (Source: Website of the Ministry of Commerce)

http://www.mofcom.gov.cn/article/b/c/201906/20190602876999.shtml

3.Special Measures to Regulate Foreign Investment Access to Pilot Free Trade Zones (Negative List 2019)

Promulgated by the Development and Reform Commission and the Ministry of Commerce

Document Number No.26 MOC Order 2019

Promulgation date: 30 June 2019

Implementation date: 30 July 2019

The new list with 37 items, not 45 ones lifts the restrictions on foreign investment in fishing, printing and other areas and continues to implement the opening-up policy and encourage people to take the initiative in trying new things. (Source: Website of the Ministry of Commerce)

http://www.mofcom.gov.cn/article/b/c/201906/20190602877000.shtml

4.Temporary Regulations of Prohibiting Monopoly Agreements

Promulgated by the State Administration for Market Regulation

Document number: No.10 SAMR Order

Promulgation date: 1 July 2019

Implementation date: 1 September 2019

The Temporary Regulations with 36 items includes provisions on substantive and procedural matters such as authorization and jurisdiction, monopoly agreement recognition, case filing, investigation, immunity, investigation suspension, termination and resumption, punishment, lenient treatment, announcement, etc. (Source: Website of the State Administration for Market Regulation)

http://gkml.samr.gov.cn/nsjg/fgs/201907/t20190701_303056.html

5.Circular Notice on Issuing the Annual Work Guidelines on the Advancement of the High Quality Growth of the Intellectual Property Sector (2019)

Promulgated by the National Intellectual Property Administration

Document number: G.Z.F.Y.Z.(2019) No.38

Promulgation date: 6 June 2019                            

The Notice states that action is to be taken vigorously for cultivation of high-value key patents and well-known brands to form 300 high-value patent portfolios that can help the growth of industries and international competition; processing times for high-value patents are reduced by 15% on the basis of the 10% reduction in 2018; processing times for trademark registration applications are reduced to less than 5 months; new investments in intellectual property operation funds for key industries are to increase by over 50%, insured and guaranteed amounts for intellectual property are to increase by over 20% and patent and trademark pledges and finances expected to increase by at least 10%, exceeding RMB 135 billion. (Source: Website of the National Intellectual Property Administration)

http://www.cnipa.gov.cn/gztz/1139706.htm

6.Regulations on Hearing Cases Relating to Damages Arising from Ecological and Environmental Destruction

Promulgated by the Supreme People’s Court

Document number: H.F.(2019) No.16

Promulgation date: 5 June 2019

Implementation date: 5 June 2019                               

The Regulations states that the plaintiff can bring an action for damages arising from ecological and environmental destruction when failing to negotiate or reach an agreement through negotiation with the person responsible for the destruction. The rule included in the Regulations that negotiation is a process before action gives a basis for negotiating damages arising from ecological and environmental destruction. (Source: Website of the Supreme People’s Court)

http://www.court.gov.cn/fabu-xiangqing-162322.html

 

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youyunting@debund.com

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