19 OCTOBER 2022View in Browser
 
 
 

This week's primary foreign investment news
from our ASEAN, China, India, Russia, Belt & Road and Vietnam Briefings.
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HEADLINES:

Curated by Chris Devonshire-Ellis

The big news at present is the Chinese Communist Party Congress, currently taking place in Beijing, we give truly expert contextual analysis from people very close to President Xi and the CPC. Russian President Putin was also busy at the CIS and Central Asia heads of state meetings, the two events overlap in terms of geopolitics in many ways: regional analysts should take note.

Back to business, we have a complimentary China Tax & Accounting Guide for 2022-23 for you to download – in time for audit preparation season, while in ASEAN we outline regulations in Cambodia concerning foreign worker permits and look at Vietnam’s footwear industry – attracting investment and relocations from China. In India we have detailed examinations of the semi-conductor and consumables industries. Elsewhere, we have a look at what would be China and Russia’s largest joint BRI project, a US$9.5 million JV, and provide our usual Belt and Road investor roundup.

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CHINA
Understanding The Context Of The Chinese Communist Party Congress
Every five years the Chinese President addresses the Party and the People, as the Party structure refreshes from top down. During this week we shall know much about the new Central Committee, the new Politburo, and the new Standing Committee. Next March, 2023 we will know the new State leaders as they are formally appointed, but most are being indicated at this event. For example, the new Premier will be the second or third highest ranking official in the Standing Committee, which will comprise the top seven members of the Party. In this article we provide a short analysis of President Xi’s address. We feel able to comment in full knowledge of his intent as we possess direct channels of communication at the highest levels of the CPC, including directly with President Xi.
 
Tax, Accounting, and Audit in China 2022/23 – New Publication from China Briefing
Tax, Accounting, and Audit in China 2022/23 (12th Edition) offers a comprehensive overview of the major taxes and tax-relevant obligations that foreign investors are likely to encounter when establishing or operating a business in China. This is a concise, detailed, and pragmatic guide, ideal for CFOs, compliance officers, and heads of accounting in order to effectively manage and strategically plan their China-based operations and plan ahead for 2023.
 
ASEAN
Cambodia Opens Foreign Employee Quota Application for 2023
Cambodia has opened the foreign employee quota application for businesses for 2023. Businesses that want to hire a foreign employee must apply for this quota before obtaining a work permit for the employee. Under the quota system, only 10 percent of a Cambodian company’s total workforce can be foreign nationals. The deadline for the foreign employee quota application ends at the end of November 2022.
 
As Chinese Lockdowns Continue and Salaries Rise, Footwear Manufacture Shifts to Vietnam
Vietnam’s footwear industry is the country’s third-largest export sector. The industry has been continually growing over the past decade – except for during the pandemic – and is predicted to double in size by 2031. While global demand for footwear is growing, Vietnam’s footwear industry is likely to benefit as manufacturers leave China in search of lower labor costs and greater international market access.
 
INDIA
FSSAI Approval Mandatory for Foreign Manufacturers of Specified Food Exports to India in 2023: Key Details
Starting from February 1, 2023, foreign food manufacturers in five food categories who intend to export to the Indian market will be mandated to register their facilities with the Food Safety and Standards Authority of India (FSSAI). In this article, we highlight the procedure for registration, along with relevant format. We also detail the provisions of Food Safety and Standards (Imports) First Amendment Regulations, 2021, under which such registrations are to be made.
 
India’s Semiconductor Landscape: Government Support and Investment Trends
An analysis of the latest regulatory updates that foreign investors should be aware of in India’s semi-conductor manufacturing industry.
 
CENTRAL ASIA
CIS Heads Of State, and Russia-Central Asia Forum Meetings In Astana: Analysis & Opinion
Increased trade, investment and regional security promised by Putin as 2022 Russia-Central Asia trade grows by 16% YTD, yet tensions remain over sanctions and Afghanistan.
 
BRICS / BELT & ROAD INITIATIVE
China-Russia JV To Consider US$9 billion Meridian Highway Construction
Proposed route will link Russia and China by toll highway in what would be China’s largest BRI investment into Russia.
 
Belt And Road Weekly Investor Intelligence #103
Kazakhstan and Turkmenistan are gaining ground in the current geopolitical restructuring of supply chains, while Iran is linking its National Grid to SCO member states and is unhappy with Chabahar Ports Indian operator. Russia looks to a digital ruble pilot in early 2023 while its MNCs are relocating to tax beneficial SARs. We finish with a round up of Western-censored Russian geopolitical, energy and trade news as well as our usual BRI global round up.
 
 
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