Three Departments Issue Action Plan to Stabilize and Improve the Utilization of Foreign Investment

On June 22, 2026, the Ministry of Commerce (MOFCOM), the National Development and Reform Commission (NDRC), and the Ministry of Finance (MOF) released the Action Plan to Stabilize and Improve the Utilization of Foreign Investment (the “Action Plan”), which took effect upon issuance.

The Action Plan sets out fifteen measures focusing on expanding market access, enhancing the convenience of foreign investment, improving the level of investment promotion, strengthening the service and support system, and optimizing foreign investment administration. These measures include expanding opening up in the services sector, the financial sector, and the pharmaceutical sector; improving the regime for mergers and acquisitions involving foreign investment; optimizing the administration of cross-border data flows; implementing tax incentives for overseas investors that make direct investment with distributed profits; and supporting the establishment of foreign-funded research and development centers. The Action Plan also proposes ensuring national treatment for foreign-invested enterprises, enabling their equal participation in government procurement, bidding and tendering, and consumption promotion policies, improving service and support for major foreign investment projects, and optimizing the information reporting and sharing mechanism for foreign investment.