Switch of domicile by foreign enterprises (2): approvals and procedures

Last month, this column compared the two methods of domicile switch available to foreign investment enterprises (FIEs) within China: direct domicile relocation and relocation of domicile by re-establishment. This month, we will outline the government approvals and procedures required for these two methods.

Direct domicile relocation

The PRC Company Law and other relevant legislation set out only general principles governing the change of registered address by enterprises, but do not provide specific operational guidelines. Approval authorities in different locations have, therefore, adopted various different requirements and practices.

Generally speaking, if an enterprise wishes to relocate without liquidating itself and re-establishing anew in another location, it must obtain the consent of, and register with, the approval authorities and company registries at the places of origin and the destination, and carry out an array of other procedures. These procedures are outlined below.

Martin Hu is a senior partner at Martin Hu & Partners.

Kenneth Kong is a senior associate at Martin Hu & Partners.