Analysts: Protectionist wave sweeps China
9 October 2006
A wave of protectionism may make it more difficult for foreigners to do business in China, observers told AFP. A number of new barriers across a wide range of industries may renew uncertainties about the country's attitude to foreign business. New rules restrict mergers and acquisitions in several industries, tighten media distribution and limit real estate purchases. "The Hu-Wen administration has tried to adjust the economic development strategy," said Li Cheng, a China scholar at the Brookings Institute in Washington which recently opened an office in Beijing. "It is seeking more domestic demand, less foreign trade, more social justice, less economic growth, more inland development, [and] less favorable policies for its coastal regions."
