The Ministry of Commerce (MOFCOM) issued the Provisional Regulations on Capital Contribution with Equity by Foreign Investment Enterprise (FIE) on 21 September 2012 (MOFCOM Order [2012] No. 8) regarding capital contribution by using the equity. The Regulations took effect on 22 October 2012 and the content of the Regulations are summarized below:
Scope of the application
According to the Regulations, an FIE may bring its equity in another company as capital contribution f…