《国家发展改革委关于做好境外投资项目下放核准权限工作的通知》(02/14/2011)

The National Development and Reform Commission (the NDRC) promulgated the Circular on Delegating the Authority of Examination and Approval over Overseas Investment Projects (the “NDRC Circular”) on Feb 14, 2011, which is also the effective date of the NDRC Circular.

Pursuant to the NDRC Circular, the following overseas investment projects are now subject to examination and approval by provincial level counterparts of NDRC:

  • Overseas resources development projects, in which the capital contribution by Chinese investors is less than USD 300 million, implemented by local enterprises (not state-owned enterprises directly administrated by state government), except for special projects;
  • Overseas non-resources development projects, in which the capital contribution by Chinese investors is less than USD 100 million, implemented by local enterprises (not state-owned enterprises directly administrated by state government), except for special projects.

The NDRC, however, is still in charge of the following overseas investment projects:

  • Overseas investment projects above the stated thresholds in the preceding paragraph;
  • Special Overseas Investment Projects: special overseas investment projects, including engaging in especially sensitive industries or investments in special countries, i.e., countries having no diplomatic relationship with China, during war or other turmoil, or under international sanctions, regardless if it is beyond or below the limitation stated in the preceding paragraph, shall be subject to approval of the NDRC or the State Council.

According to the NDRC Circular, before issuing any approval, provincial level counterparts of the NDRC shall report overseas resources development projects in which the involved Chinese party’s investment is between USD 30 million and USD 300 million, as well as overseas non-resources development projects in which the involved Chinese party’s investment is between USD 10 million and USD 100 million, to the NDRC for registration. The NDRC should, within five working days after receipt of such reporting documents, issue a Registration Sheet of the Examination and Approval of Material Local Overseas Investment Projects. The purpose of NDRC’s registration is to make a determination as to which special overseas investment projects are subject to the NDRC’s approval authority.

  • Circular on Delegating the Authority of Examination and Approval over Overseas Investment Projects
  • 国家发展改革委关于做好境外投资项目下放核准权限工作的通知
  • Issuing Authority: the National Development and Reform Commission
  • Date of Issuance: February 14, 2011 / Effective Date: February 14, 2011