From Shenzhen Daily via China Economic Net:
China will encourage foreign companies to use mergers and acquisitions to carry out investment in the country, a Ministry of Commerce official said in comments published yesterday.
The assertion by Hu Jingyan, head of the ministry’s Services Trade Department, feeds into a growing debate over whether the country has been ceding too much control of its industries to foreigners.
“We will encourage foreign companies to use the method of mergers and acquisitions to carry out investment,” a report posted on the ministry’s foreign direct investment Web site cited Hu as saying in a recent speech.[Full Text]
Also see China tightens controls on some foreign investment as a concession to domestic critics who complain the country has been selling off strategic companies too cheaply.
