Recently, "Opinions by State Council on Mergers and Reorganizations of Enterprises" (hereinafter referred to as "Opinions") was promulgated. The "Opinions" will implement the plan of adjustment and revitalization of key industries, boost the trans-regional mergers and reorganizations, foreign acquisitions and investment cooperation. Auto industry and steel industry will be the first targets. Other priority industries include mechanical manufacturing, cement, electrolytic aluminum and rare earth.
Efforts will be made to accelerate the development of key enterprises with independent IPRs and famous brands, cultivate a group of large-sized enterprises with international competitiveness. The "Opinions" also indicates that assistance will be given in areas such as tax, financial subsidies, financial support, support for innovation and technological advances, the role of capital markets, land management, and personnel location and business management in merger and reorganization.
