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China’s compliance environment is shifting at a pace that requires foreign-invested enterprises to rethink how they manage regulatory risk. The theme for 2026 is clear: compliance is no longer a checklist of obligations. It is a strategic capability — one that can either support sustainable growth or expose an organisation to operational delays, penalties or reputational damage. For companies already operating in China, the next year brings sharper enforcement, more data-driv

Operating a business in China comes with tremendous opportunities—but it also comes with strict legal obligations. One of the most important responsibilities for any company is completing the  annual compliance procedure , which is mandatory for all registered entities. Missing deadlines or submitting incorrect filings can lead to fines, restrictions, or even suspension of your business license. What Is China’s Annual Compliance Procedure? China’s annual compliance process ty

Hong Kong continues to refine its position as one of the world’s most business-friendly jurisdictions. For companies expanding into Asia or strengthening their regional footprint, the city’s recent tax policy shifts underscore a clear objective: maintain competitiveness while aligning with emerging global standards. For foreign investors, understanding how these changes work in practice is essential for strategic planning in 2026 and beyond. A Evolving Tax Environment Designe

As 2026 unfolds, incorporating in China remains a compelling—but complex—move for many foreign companies seeking growth in the world’s second-largest economy. Recent regulatory reforms, technological advances and evolving legal frameworks have changed the path to incorporation. Below is a guide to the “blueprint” investors should follow and the key strategic decisions they need to make when setting up a company in China in 2026. What’s Changed and What’s New by 2026 The Forei

Over the past year, both Mainland China and Hong Kong Special Administrative Region (Hong Kong SAR) have significantly updated their visa and talent‑mobility regimes. For global firms looking to expand or deepen their presence in Asia, these changes sharpen the business case for using China/Hong Kong as hubs — but also demand careful strategy. What’s new: Key Visa & Talent‑Mobility Updates China’s expanded cross‑border talent endorsement & transit policies In November 2025, C

Year-end close in China is often viewed as a technical requirement — a box-checking exercise that sits with finance and compliance teams. But as China’s regulatory landscape becomes more integrated, data-driven and enforcement-focused, year-end procedures have taken on a different strategic role. They now act as an annual stress-test of whether a company’s China operations are aligned with its global governance, risk and growth ambitions. For foreign-invested enterprises, thi

We’re almost at the end of 2025, and one thing has become clear: business in China is constantly evolving, and the pace of change doesn’t seem to be slowing. Over the past few months, I’ve had the chance to speak with a wide range of clients, from startups entering the market to multinational corporations managing complex operations, and the conversations all come back to one question:  what’s actually important right now? Businesses are asking this because the environment is

For companies entering or expanding within China, securing trademark protection is one of the most important early steps. China’s “first-to-file” system means that the first party to register a trademark—rather than the first to use it—typically gains legal ownership. This creates both an opportunity and a risk: well-prepared businesses can protect their brand quickly and effectively, while those who delay may face disputes, costly buybacks, or brand restrictions. Trademark r

Finding and retaining the right people in China has always required a tailored approach. As the country’s workforce continues to evolve, the traditional hiring landscape is shifting in ways that foreign-invested companies must understand to remain competitive. In 2026, the emphasis is on digital recruitment, skills-based hiring, rising compliance expectations, and a more mobile workforce. These changes bring both opportunities and challenges for organisations looking to secur

Hong Kong remains a leading jurisdiction for tax-efficient regional and international operations. Its straightforward tax regime, competitive rates and extensive treaty network continue to attract companies seeking stability and clarity. Yet the regulatory environment is shifting. Global tax reforms, enhanced substance requirements and evolving guidance on offshore claims mean tax planning must be more intentional than ever. For investors and expanding businesses, the questio

Client Background In early 2025, a fast-growing European software company approached Woodburn Accountants & Advisors. The company had developed a powerful AI-driven analytics platform and had already expanded successfully across Europe and Southeast Asia. Naturally, their next frontier was China — a market with vast potential but a reputation for regulatory complexity. Despite strong demand from potential Chinese partners, the firm’s leadership team hesitated to move forward.

Client Background A mid-sized international company operating in China had been managing its compliance internally for several years. While the company was growing steadily, it had not allocated sufficient time or resources to prepare for the annual compliance requirements. The Challenge As the 2025 fiscal year-end approached, the client realized that critical documents were missing, financial records were incomplete, and deadlines for audit coordination and tax reporting wer

China’s regulatory environment continues to reshape the expectations placed on boards, shareholders and senior leaders. While the core principles of governance have remained stable for years, the 2026 cycle marks a moment where China is signalling a clear shift: businesses will be judged not only on operational success, but on the quality, transparency and consistency of their decision-making. For foreign-invested enterprises, this is more than regulatory housekeeping. It inf

As tariffs, geopolitical friction, and global supply-chain shifts reshape how companies source and produce goods, Hong Kong is re-defining — not disappearing — as a pivotal “control-hub” in the broader “China Plus One / Asia Plus One” supply-chain strategy. Below is a snapshot of Hong Kong’s economic performance in 2025, recent policy and regulatory trends, and what business leaders should watch when using Hong Kong as a regional base in 2026. 2025 Performance GDP & Growth Ou

Expanding into Hong Kong and mainland China offers enormous potential for global firms—but it also brings a maze of regulatory, tax, and HR complexities. Many businesses hesitate to commit to setting up a full legal entity before validating their market strategy or building a local team. That’s where an Employer of Record (EOR) model can transform how you scale. What Is an EOR Model? An Employer of Record acts as the legal employer for your local staff while you retain full c

As we move into 2026, global investors are once again rethinking their China strategies. After several years of global economic volatility, policy evolution, and shifting trade relations, the landscape for foreign investment in China has transformed. China remains one of the world’s most significant markets—but success now depends on precision, compliance, and strategic alignment. For many businesses, this is the year to reassess, realign, and reinforce their China presence.

For years, foreign enterprises have treated China’s year-end financial and tax processes as technical events — predictable, cyclical, and largely contained within finance and compliance teams. That era has ended. As China’s regulatory systems become more integrated, more data-driven and more assertive, year-end reviews now carry strategic weight. They reveal not only the accuracy of financial reporting, but the integrity of governance, the maturity of internal controls and th

Hong Kong has long been recognised as one of Asia’s most sophisticated corporate and financial centres, with a governance framework designed to promote accountability, transparency, and investor confidence. In recent years, however, a series of regulatory changes has reshaped that landscape — strengthening oversight, redefining director responsibilities, and elevating expectations for environmental, social, and governance (ESG) standards. These reforms aim to align Hong Kong

As we step into 2026, businesses operating in or through the Hong Kong SAR need to sharpen their focus on several recent legislative and regulatory shifts. These developments signal an evolving environment: more inward-facing corporate flexibility, stricter governance expectations, tighter oversight of insolvency and restructuring, and new employment law thresholds that affect every organisation. 1. Inward re-domiciliation regime opens new doors The Companies (Amendment) (No.

China’s visa environment continues to evolve as the country focuses on economic revitalisation, foreign investment, and controlled cross-border movement. For individuals and companies operating in China, keeping up with the latest visa requirements is essential to avoid delays, compliance issues, or unexpected disruptions to business activities. By 2026, visa processes are increasingly digital, more regulated, and structured to encourage long-term, skilled foreign engagement