China to liberalize foreign trade July 1

Trading companies in China will not need to ask governments for approval to engage in foreign trade as of July 1 of this year, according to China's newly revised law on foreign trade, which will take effect on the same day.

According to the revised law, a company may engage in foreign trade after it registers with government departments concerned, and no official permission is required so long as the applicant is a legal company.

Previously, foreign trade companies had to obtain licenses from government departments before they can engage in foreign trade, and foreign trade companies have to meet official requirements before awarded the licenses.

According to China's promises on entry into the World Trade Organization, China will liberalize foreign trade in 2004, and China's revised foreign trade law stipulates the right to engage in foreign trade can be obtained by companies through registration with government departments concerned.

Under the new law, individual citizens in China may do foreign trade after they go through legal procedures.

http://www2.chinadaily.com.cn/english/doc/2004-06/29/content_343906.htm

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