Core Viewpoint - The newly revised Foreign Trade Law of the People's Republic of China, effective from March 1, 2026, represents a significant overhaul aimed at enhancing the legal framework for foreign trade, particularly for small and medium-sized enterprises, while also adapting to current international trade dynamics [1][2]. Group 1: Legislative Changes - The new law consists of 11 chapters and 83 articles, establishing a negative list management system for cross-border service trade, reflecting China's commitment to opening up its international service trade [2][4]. - The law elevates previously successful reform measures to a legal status, including the removal of the requirement for foreign trade operators to register, which simplifies procedures and enhances convenience [2][3]. Group 2: Support for Trade Development - The law emphasizes the promotion of cross-border financial services and digital trade, including the international recognition of digital certificates and electronic signatures, to enhance the efficiency of foreign trade [6][8]. - It introduces provisions for establishing a green trade system, encouraging the import and export of green low-carbon products, and promoting international cooperation in green trade [6][7]. Group 3: Support for SMEs - The law explicitly states that the government will support and facilitate small and micro enterprises in conducting foreign trade, providing conveniences in regulation, financing, and foreign exchange settlement [9][10]. - It also establishes a trade adjustment assistance system to support enterprises affected by trade remedy measures, enhancing their resilience against international trade challenges [10][11]. Group 4: Risk Management and Policy Stability - The law includes mechanisms for trade policy assessment to respond to changes in the international trade environment, ensuring a proactive approach to trade risks [10][11]. - By formalizing the negative list management for cross-border services, the law aims to increase policy stability and authority, thereby improving the implementation of related policies [4][5].

Group 1 - The revised Foreign Trade Law aims to enhance national security and compliance in foreign trade management while promoting high-level openness and high-quality development [2][24] - The law establishes a negative list system for cross-border service trade and incorporates measures to counteract trade restrictions imposed by certain countries [4][30] - The law emphasizes the importance of aligning with international high-standard economic and trade rules and maintaining a fair multilateral trade system [3][24] Group 2 - The definition of foreign trade operators has been clarified, now encompassing individuals and organizations engaged in foreign trade activities [25] - Specific regulations for foreign labor cooperation and foreign contracting projects have been established, differentiating management approaches for each [26] - The law introduces a negative list management system for foreign service providers engaging in international service trade through various modes [27][33] Group 3 - New provisions allow for trade restrictions against foreign individuals or organizations that threaten national sovereignty, security, or development interests [30][31] - A multi-faceted dispute resolution mechanism is established to facilitate efficient resolution of trade disputes through mediation, arbitration, and litigation [32] - The law expands the scope for implementing necessary measures regarding the import and export of goods and technologies, allowing for flexibility in response to emergencies [40]

Core Points - The National People's Congress Standing Committee approved the revised Foreign Trade Law, which will take effect on March 1, 2026, marking the law's second revision since its initial implementation in 1994 [1][2] - The revision aims to align with the central government's strategy for promoting high-quality foreign trade development amidst significant changes in the global economic landscape and international rules [1] - The new law consists of eleven chapters and eighty-three articles, focusing on enhancing the overall requirements for foreign trade work, implementing reforms, and optimizing the trade development environment [1] Reform Measures - The law includes provisions for actively aligning with international high-standard economic and trade rules and participating in their formulation, establishing a negative list management system for cross-border service trade, and promoting new business models in foreign trade [2] - It supports the development of digital trade and accelerates the establishment of a green trade system, elevating these initiatives to the level of legal provisions [2] - To optimize the foreign trade environment, the law emphasizes strengthening intellectual property protection related to foreign trade and enhancing compliance and risk management capabilities for trade operators [2] Legal Tools and Responsibilities - The revised Foreign Trade Law enriches the legal toolkit for foreign trade, adding countermeasures and clarifying legal responsibilities [2] - It establishes a trade adjustment assistance system aimed at stabilizing industrial and supply chains [2]