By Lian Fan, a research fellow and the head of Department of Research Coordination and International Cooperation of CASS Institute of International Law

Abstract: The Foreign Investment Law of 2019 signifies an overall and fundamental reform of the existing foreign investment legal system as a response to the evolving international and domestic circumstances. Compared to the former "Three Laws on Foreign Invested Enterprises", the Foreign Investment Law has four defining features and innovations, i.e., being transformed from enterprise organization-oriented laws into an investment activities-oriented law, placing stronger emphasis on the promotion and protection of foreign investment, applying the national treatment principle more thoroughly, and covering the foreign investment practice more comprehensively. The Implementing Regulations of 2019 and other implementing rules have made necessary clarifications, elaborations and connections with respect to the key concepts, rules and system in the Foreign Investment Law, leading to more consistent investment treatment, enhanced investment promotion and protection, and strengthened legal liabilities. As the next step in the implementation of the Foreign Investment Law, it is advisable to further clarify such key concepts as "indirect investment", further elaborate on key rules, such as those on the legal consequences and liabilities related to policy commitments, and further clarify and strengthen the connection to the existing national security review and antitrust review systems.

Keywords: Foreign Investment Law, pre-entry national treatment, negative list

This paper is published in: JOURNAL OF XIAMEN UNIVERSITY（Arts & Social Sciences）No.3 2020 （General Serial No.259）