How to Shut Down or Downsize Your China WFOE: Part 2 – Execution, Compliance, and Legal Pitfalls In Part 1 of this four-part series—How to Shut Down or Downsize Your China WFOE: A 2025 Four-Part Survival Guide—we covered how to build your China exit strategy, from deciding between a full shutdown and a strategic downsizing
How to Shut Down or Downsize Your China WFOE: A 2025 Four-Part Survival Guide Foreign companies are exiting China in record numbers as regulatory pressure, rising costs, and geopolitical risks reshape the landscape. Whether you’re planning a full WFOE closure or a strategic downsizing, the stakes are high — and missteps can be costly. This
Key Lessons for Doing Business Overseas In August 2024, a Thai court sentenced Spaniard Daniel Sancho to life in prison for the murder and dismemberment of Colombian plastic surgeon Edwin Arrieta. The crime occurred on the Thai holiday island of Koh Pha-ngan, better known for full moon parties than high-profile criminal cases. The case attracted
El caso Daniel Sancho y las 3 lecciones clave para empresarios en el extranjero En agosto de 2024, un tribunal tailandés condenó al español Daniel Sancho a cadena perpetua por el asesinato y descuartizamiento del cirujano plástico colombiano Edwin Arrieta. El crimen ocurrió en la isla turística tailandesa de Koh Pha Ngan, más conocida por
U.S.-China Business Risks Are Escalating Is Your Business Prepared for the Ongoing U.S.-China Tensions? For years, American companies believed that strong economic ties with China could shield them from political fallout. This assumption gave businesses a false sense of security, one that has now shattered under the weight of escalating geopolitical tensions. Doing business in
Accurate Chinese Company Names on Your Contracts Are Critical A few years ago, a Canadian company came to my law firm seeking to sue their Chinese supplier. When we reviewed their bilingual manufacturing contract, we quickly discovered that the Chinese company name on their contract didn’t make sense. It was not an exact match to
The Essential Answers on Signing Contracts with Chinese Companies Yesterday, in The Essential Checklist for Signing Contracts with Chinese Companies, I wrote about what our China lawyers typically advise our clients regarding the signing of contracts with Chinese companies. Today, a client sent us what they call their Standard Operating Procedures (SOP) for signing Chinese
When Xi Jinping took office in 2013, I—like many others—hoped that his leadership would improve China’s trajectory. But over time, my optimism faded as the country became more repressive, and the spaces I once enjoyed began to disappear. I was living in Shenzhen in 2013. Whenever I read Western media hopes that Xi might potentially
Selling Your Products into China I recently spoke with a client, a successful manufacturer of specialized industrial equipment, who was wrestling with a familiar dilemma: how to best engage with the Chinese market. They’d been exploring various options, from joint ventures to wholly foreign-owned entities, but felt increasingly overwhelmed by the complexities and risks involved.
China 2025: Navigating Uncertainty and Capturing Opportunities Since 2015, the business environment in and with China has grown increasingly risky and complex with each passing year. I am confident that 2025 will be the most challenging and unpredictable year yet—by a significant margin. For businesses operating in or with China, this landscape is shaped by
