128354 Resource 94086 93210 94146 1148360950989 1201213167643 Controlled WFOE Logistics Companies

Has the Chinese Government Started Taking Applications?

I have heard conflicting points of view regarding whether or not foreign companies are currently allowed to set up wholly foreign owned logisitics companies (WFOE Logistics Company) in China. Some lawyers tell me Shanghai has begun accepting applications while others say it is still not possible for a foreign company to establish a WFOE logistics company in China, they must form a joint venture (JV). <br />I spoke with the Beijing MOFCOM office. According to the person I spoke with they have already approved many WFOE logistics companies this year. According to another source, Beijing is accepting applications for wholly-owned foreign enterprises in the distribution or import/export sector. Some say logistics is not a recognized industry. However, freight forwarding, distribution or import/export are recognized. It is important to carefully draft your articles of incorporation taking this into consideration. <br /><br />The confusion thus seems to be caused by using the term &quot;logistics&quot;. Currently, the government defines logisitcs as part of freight forwarding. See link below in Chinese for the 2005 announcement specifying the scope of operations allowed for foreign &quot;freight forwarding&quot; companies. <br /> 9 application/xml false china logistics china supply foreign companies logistics shanghai SMERT supply supply chain WFOE wholly owned foreign enterprise Foreign Companies Can Establish WFOE Freight Forwarding Agencies http://www.mofcom.gov.cn/aarticle/b/c/200512/20051201001331.html Mozilla/5.0 (Windows; U; Windows NT 6.0; en-US; rv:1.8.1.11) Gecko/20071127 Firefox/2.0.0.11 127.0.0.1 127.0.0.1 Establish 208.105.4.154 false true false false true 187565 false false true false false false true 94086 blog blogsite/ChinaSupplyChain/web