Economic Observer Online
April 11, 2012
By Kang Yi ( 康怡 )
Translated by Song Chunling
Original article: [Chinese]

The State-owned Assets Supervision and Administration Commission (SASAC) on Tuesday released  “provisional regulatory measures for overseas investment by centrally-controlled state-owned enterprises.”

From May, enterprises wanting to expand outside their core business in areas beyond mainland China will be required to apply to SASAC with details of the investment plan and financing sources.

The enterprises also need to report to SASAC before making major investments related to their core businesses.

A person from SASAC told the EO that the measures have been under consideration for a long time.

They are the third set of laws concerning overseas investment by business under control of SASAC businesses, following  previous measures that addressed assets and property rights.

At the end of 2010, centrally-owned state enterprises held 2.66 trillion yuan in assets outside mainland China, up 50 percent from 2009. The enterprises’ total profit between January and November also grew by 28% on the year.

Links and Sources
SASAC 《中央企业境外国有资产监督管理暂行办法》《中央企业境外国有产权管理暂行办法》 [text of regulations]