TECHNOLOGICAL TRANSFER TO CHINA - MAJOR RULES AND ISSUES

Technology transfer to China has become more flexible and liberalized since the mid-1980s, but is still subject to detailed regulation, customs and practices. This paper reviews the principal restrictions and incentives facing companies wishing to enter into technology transfer deals with Chinese enterprises, and provides practical advice regarding State regulations. Some of the less obvious aspects are covered, including arbitration provisions, terms of payment (including countertrade and offsets), and requirements for the training of personnel.