On June 30, 2012, the Standing Committee of the National People’s Congress adopted the Exit and Entry Administration Law of the People’s Republic of China (PRC), which will take effect on July 1, 2013 and supersede the Law of the PRC on the Entry and Exit Administration of Foreigners and the Law of the PRC on the Exit and Entry Administration of Chinese Citizens. The new law provides new visa policies for foreigners who wish to enter and stay in China, which include: (1) introducing a new type of visa for the importation of talents; (2) requiring Chinese domestic entities or individuals to comply with the requirements of overseas PRC embassies/consulates/other institutions commissioned by the Ministry of Foreign Affairs when issuing an invitation letter to a foreigner, and to be responsible for the authenticity of the letter; and (3) clarifying the rights of stay and residency period of foreigners in China. Penalties imposed on foreigners who illegally enter, stay and work in China and employers who illegally hire foreign employees in China have been significantly increased.