Abstract
Whilst recognising the positive steps taken so far, this paper suggests a new precise content in China's foreign investment policies. For instance, attention should be turned away from granting special preferences to foreign investors and towards abolishing the obstacles imposed on them. Similarly, instead of favouring particular geographical localities, they should be allowed to compete for foreign investment. The underlying principle of the new emphasis is a shift away from administrative rules towards basic competition for foreign investment. European businessmen and dedicated “China watchers” will find these prescriptions interesting, and useful, indicators to the future.
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