The Chinese government, which has pursued a successful policy on attracting foreign capital in recent years, has implemented the principle of “national treatment” in order to avoid privileged treatment of foreign investors and to make equal treatment of domestic and foreign investors. Long-term projects and special incentives are considered to correct the weak infrastructure in the western and central regions. That’s exactly where PraeGlobal started to play an active role in China.
The Law on foreign trade, which came into force in 1995, abolished the mandatory planning for exports, but the license application on some products is continuing. In imports, domestic production is protected, and it is important to control foreign exchange reserves.