A Major Omission at the Xi–Cheng Meeting

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At his recent meeting with the Chairperson of Taiwan’s Kuomintang CHENG Li-wun, XI Jinping enumerated four “opinions” about cross-strait relations, including reunification. The principle “one country, two systems”—which China relied on to resume its sovereignty over Hong Kong and Macao in 1997 and 1999, respectively—was not mentioned at all. This omission stands in contrast with how Xi has previously reiterated the importance of using this principle to resolve the “Taiwan issue”. A similar omission can be seen in China’s new 15th Five-Year Plan for National Economic and Social Development. Has China adopted a new approach to resolving the “Taiwan issue”?Read this article

How China “Multiplies” Its AI Growth

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To accelerate the country’s AI growth, China has been implementing the “Data Elements ×” Three-Year Action Plan. While the plan is scheduled to be completed by the end of 2026, its “multiplier effect” will, however, continue. This is because China’s newly adopted five-year national economic and social development plan identifies “deepen[ing] the implementation of the ‘Data Elements ×’ Action” as one of the tasks that the country needs to focus on during the period from 2026 to 2030. More importantly, China’s national legislature just passed a new law to render this and other tasks included in the five-year plan—which, despite its significance, is not law—legally binding.Read this article

War, Emergency, and China’s Foreign Trade Law

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The crisis in the Middle East and China’s 15th Five-Year Plan for National Economic and Social Development (2026–2030) have dominated news headlines, while two changes to China’s Foreign Trade Law seem to have gone unnoticed. These changes are small but significant, as China’s application of these new provisions will reveal whether the trade powerhouse can adhere to objective standards and, thereby, create more certainty amidst growing trade uncertainty around the world.Read this article

Autonomous Vehicles, Road Safety, and Liability in China

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China recently took an unprecedented step to issue permits allowing two models of vehicles equipped with “conditional autonomous driving” functions to operate on select roads. This creates a pressing need for unambiguous legal rules to regulate the liability issues that will arise from road safety violations. A new Guiding Case, a new piece of local legislation, and a set of draft national standards currently available for public comments all shed light on this important topic. Chinese automakers and their potential investors should seize the opportunity to provide their comments on the draft national standards, as any failure to comply with these standards, once adopted, will have significant legal implications.Read this article

A Rising Chinese Province’s Preparation for Foreign Investment

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Multiple national leaders’ recent visits to China have raised the country’s hopes that it will see more foreign investment in 2026. Such optimism should be particularly prevalent in provinces that have shown impressive economic performance. Henan is one of them. With a GDP of RMB 6.66 trillion in 2025, Henan recorded the fastest growth in GDP among China’s ten provinces with the highest GDPs. To maintain Henan’s growing momentum, the provincial government has introduced measures focusing on foreign investment and other areas. While emphasizing the importance of protecting foreign investors’ legal rights and interests, Henan must deliver results due to its highest court’s handling of a landmark case, which has the potential to continue to weaken foreign investors’ confidence in the provincial judiciary.Read this article

China’s Economy and Private Enterprises’ Creditworthiness

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During an important meeting held last week, President XI Jinping identified key challenges facing China such as “new changes” related to the “international situation” and emphasized the need to make domestic demand “the main driving force of economic development”. Various legal measures that China has introduced since May 2025 should help private enterprises—important contributors to China’s domestic economy—withstand these challenges. For example, in certain cases where private enterprises cannot pay counterparties compensation in accordance with court rulings, the courts are authorized to take flexible approaches to help these enterprises address their financial issues. Counterparties dealing with such enterprises should understand these approaches to better protect their own legal rights and interests.Read this article

China, South Korea, Technology, and Asia’s Stability

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Amidst growing uncertainty in the West after the U.S. capture of Nicolás Maduro and his wife as well as increasing Sino-Japanese tension over Japanese Prime Minister Takaichi Sanae’s comments on Taiwan, Chinese President XI Jinping warmly welcomed South Korean President Lee Jae Myung’s state visit to seek support from an important neighbor. The visit was concluded with signed documents highlighting the two countries’ economic cooperation. Such economic cooperation may benefit from the seeds of mutual respect planted by the two countries’ judiciaries years ago. Yet there are two uncertainties: Will South Korea be able to sell computer chips to China, in defiance of external pressure? And will China be able to win the hearts of South Koreans, whose votes will influence President Lee’s decision?Read this article

How China Combats the Crime of “Providing Fake Certification Documents”

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Since 2020, mainland China has stepped up its legal measures to better tackle the problem concerning fake safety certification documents. Understanding these efforts should reassure those handling a fire in Hong Kong, which killed at least 160 residents of a housing complex, that their commitment to pursue accountability without reservation is matched by a similar commitment on the part of the mainland Chinese authorities.Read this article

Technology, Asia, and China’s Yunnan Province

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In early December, hundreds of leading scientists and entrepreneurs from around the world attended a forum held in Yunnan, a province located in southwest China, to discuss artificial intelligence, life sciences, and many other topics having a great and increasing impact on our lives. Why was such an important forum not organized in Shenzhen or Hangzhou but rather in an inland province that is better known for its rich cultural heritage? The answer lies in the unique role Yunnan played during the Second World War and its strategic importance to China today.Read this article

Arbitration, Artificial Intelligence, and Administrative Agreements

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The pioneering guidelines issued by an important arbitration commission in China regarding the use of AI in arbitration will test the commission’s ability to reassure all stakeholders that AI-facilitated arbitration can deliver efficient results without compromising accuracy, confidentiality, and fairness. The test is complicated by the potential for this commission to handle disputes arising from special types of “administrative agreements” signed by private parties and governments. The possibility of having governments participate in AI-facilitated arbitration presents difficult problems.Read this article

Artificial Intelligence and China’s Nuclear Energy and Technology

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The recent remarks of tech billionaire Bill Gates concerning the impressive efforts China has made with respect to nuclear energy has increased awareness of the country’s commitment to solving a major puzzle: how to provide a cost-effective and environmentally friendly source of energy to power data centers necessary for operating artificial intelligence applications and services? China’s efforts on this front are expected to intensify when a new law focusing on nuclear energy and technology comes into effect in early 2026.Read this article

Empowering Courts to Protect “Eggs” Against “Hammers

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China’s administrative litigation system came into effect in 1990 amidst strong demand for more protection of the legal rights and interests of citizens and private enterprises by enabling them to seek courts’ assistance in reviewing the legality of officials’ decisions. According to China’s Supreme People’s Court, this system has experienced challenges but shown progress over the past ten years. However, more information about a key aspect of the system should be disclosed to strengthen the role of Chinese courts and to align with the goals of a new law.Read this article

Nobel Prizes and China’s Scientific Research

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Shortly before the announcement of the winners of the 2025 Nobel prizes, an official newspaper of China published an article highlighting mismanagement of research funds and other problems inside Chinese research institutions. If left unaddressed, these problems will likely continue to limit China’s success in achieving scientific breakthroughs that are recognized by Nobel prizes. As these problems may also adversely affect China’s mission to build “new quality productive forces”, remedial measures are being rolled out to ensure that great scientific minds are fully utilized in the country.Read this article

TikTok and China’s New Cases on Personal Information

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China’s greenlight to allow American ownership of TikTok’s U.S. operations helps address concerns that Chinese ownership of this popular platform for short videos could put millions of U.S. users’ personal information at risk. This deal should alert Chinese leaders that other Chinese companies operating overseas could face similar challenges unless the country demonstrates its commitment to the protection of personal information. Two Guiding Cases recently issued by the Supreme People’s Court provide a glimpse of the judicial application of China’s rules on personal information. More importantly, these two de facto binding cases in China are just the beginning, as revealed by the highest court.Read this article

Determining Damages in Trade Secret Cases: China’s Landmark Case vs. U.S. Experiences

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Judicial protection of intellectual property (“IP”) rights in China has been perceived to be limited because, among other problems, the amounts of damages awarded by Chinese courts in IP infringement cases have historically been small. However, this state of affairs may be changing, as China’s Supreme People’s Court (“SPC”) rendered a landmark judgment in a case involving large-scale infringement of trade secrets, allowing the victims to receive an amount equivalent to almost USD 90 million as compensation. As analyzed by Nathan Harpainter and David Zhao, Co-Managing Editors of SINOTALKS®, the innovative approach taken by the SPC to calculate the damages in the landmark case is essentially based on the concept of “unjust enrichment”. The steps followed by the SPC to do the calculation are helpful but inadequate. To help China develop its jurisprudence in this important area, the two co-authors discuss related U.S. experiences.Read this article

AI, the Global South, & China’s Rural Areas

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China’s massive parade held in early September not only showed the country’s military strength but also led to signaling to the Global South that China’s science and technology capabilities may help the world’s less developed countries survive in the AI era. The Global South will observe intently how China introduces and implements AI-powered measures to modernize its own rural areas. China’s success on this front will help strengthen its relations with the Global South as the latter is likely to be interested in leveraging China’s experiences and support to accomplish modernization.Read this article

China’s “K” Visas & NEW AI Plan

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Slightly more than a month after creating “K” visas for “foreign young scientific and technological talents”, China’s State Council released a new AI plan. The timing is not coincidental. It reflects gradual steps taken by China to mobilize foreign young talents to help advance the development of AI in the country and the Global South, which is of strategic importance to China.Read this article

AI Chips and China’s Talent Incubation

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Allegations that Nvidia has equipped AI chips sold to China with “tracking and positioning” functions have led Chinese authorities to demand an explanation from the U.S. tech giant. While Nvidia may be able to address related concerns in this instance, Chinese leaders should have already been alarmed amidst fears about the potential use of imported chips and other high-tech products as a Trojan horse. As China’s need for home-grown technologies and talent is more urgent than ever, a talent incubation program that has been implemented for more than ten years by a Chinese drone manufacturer is likely to become an important model for replication in various high-tech industries.Read this article

China’s Mineral Resources Law, Ecosystems, and Foreign Investment

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China’s revised Mineral Resources Law became effective on July 1, 2025, approximately eight months after the country’s legislature approved the adoption of a new regulatory system that recognizes the geopolitical significance of minerals and avoids irreversible damage to natural ecosystems. These and other regulatory changes will likely bring more domestic and foreign investment to Tibet to help solve a big puzzle: can Tibet better utilize its abundant mineral resources without compromising its natural beauty? If Tibet succeeds, the accomplishment will inspire China’s neighboring nations facing similar challenges and, as many in China hope, will also strengthen international cooperation in this area.Read this article

China’s Newly Revised Law Combats Cross-Border Unfair Competition

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The global challenges facing China during the first six months of 2025 have led the country to take various measures aimed at strengthening the Chinese market and reducing international risks. One such measure is the revision of China’s Anti-Unfair Competition Law to combat unfair practices at home and overseas. Likely inspired by a case decided by the Supreme People’s Court in 2021, the revised law’s extraterritorial reach is expected to impact Chinese and foreign companies significantly.Read this article

China’s Medical System Needs Care from the Top

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The recent celebration of the 120th birthday of the late Chinese leader CHEN Yun, one of the most prominent early members of the Chinese Communist Party (“CCP”), has coincided with the occurrence of two medical scandals that have led to public outcry. The scandals have triggered widespread concerns about unqualified and unethical doctors and a medical system that seems to have allowed unfair practices. Were Chen Yun still alive, how would he handle this situation to restore public confidence?Read this article

China’s Improved Global Image and Cultural Industries

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Two surveys recently conducted in 41 countries and 96 countries, respectively, show that respondents generally perceived China more favorably than the United States. These survey findings signal to Chinese leaders that their efforts to help improve China’s global image through the development of cultural industries have produced results. To President XI Jinping, in particular, these findings help fuel his latest plan to accelerate the transformation of China into a cultural power.Read this article

China’s Unified National Market and Local Protectionism

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The need to mitigate risks associated with uncertainty in the international market has forced Chinese businesses to increasingly focus on their domestic market to reach 1.4 billion potential consumers. However, protectionist practices by various municipal, county-level, and other regional jurisdictions in China favoring local businesses have presented challenges to non-local businesses. To solve the problem, the Chinese national leadership has stepped up its effort to establish a “unified national market”. A six-month campaign recently launched by national authorities is expected to produce results that will also benefit foreign businesses seeking to overcome market access barriers in China.Read this article

China’s Military Courts Gain Power

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While the world was paying attention to Chinese troops’ participation in Russia’s Victory Day parade held at the Red Square on May 9, a new set of rules authorizing China’s military courts to exclusively handle more cases seems to have gone unnoticed. As the impact of these new rules is likely to be substantial, they should be better understood.Read this article

Trade Secrets and Criminal Punishments

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A well-known Chinese business leader recently stated openly that her company does not hire any Chinese graduates or professionals returning from overseas to avoid potential infiltration by spies working for foreign entities. This remark has been widely criticized. While the business leader’s recruitment approach is quite extreme, her underlying concerns about potential loss of trade secrets are noteworthy. A new set of rules issued by Chinese authorities helps address these concerns by elucidating how individuals stealing trade secrets for foreign entities can be subject to severe criminal punishments.Read this article

China’s Free Trade and Innovation Haven

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Hainan, China’s island province located at the country’s southernmost point, appears to be a much-needed haven for companies struggling to survive the current tariff war. In 2020, the Chinese leadership released a large-scale plan to turn the entire province into a free trade port. Endowed with lower tax rates and other preferential treatments such as exemptions from certain legal restrictions, Hainan, which has a land area of only 33,920 square kilometers, may play a role commensurate with its special status to help China weather the tariff storm.Read this article

China’s AI Patents and Compensation for Patent Infringement

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China stood out in the World Intellectual Property Organization’s latest report on generative artificial intelligence (“GenAI”) as, compared with other countries, China invented the largest number of GenAI technologies from 2014 to 2023. This momentum of innovation should be welcomed by Chinese leaders but should also prompt them to ponder a key question: how can they help to maintain and grow this momentum and ensure that China’s “new quality productive forces” will continue to drive the country’s long-term development? A case recently decided by the Supreme People’s Court shows that China is developing robust legal solutions to these challenges, among other tools.Read this article

DeepSeek, AI Agriculture, and China’s Zhejiang Province

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Oracle co-founder Larry Ellison’s struggle to transform agriculture with AI applications through his venture Sensei Farms may prompt one to wonder whether his vision to “improve human nutrition while preserving the world’s natural resources” can be realized. Chinese leaders share a similar vision. They feel compelled to turn this idea into reality because of the formidable challenge posed by the need to feed the country’s 1.4 billion people with the limited arable land available. To overcome this challenge, the Chinese leadership has set ambitious goals to develop agriculture utilizing AI and has designated Zhejiang Province—home to DeepSeek and a few other key AI companies—to lead the endeavor.Read this article

A Talk for Attorneys at U.S. Department of Commerce

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On March 6, 2025, Dr. Mei Gechlik, Founder & CEO of SINOTALKS® gave a talk about China’s Guiding Cases and related topics to a group of attorneys at the U.S. Department of Commerce to deepen their understanding of China’s court system and latest developments.Read this article

Data as Property in the AI Era: How China Formulates Related Rules Incrementally

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Chinese President XI Jinping’s mid-February meeting with founders of China’s innovative companies showcases the country’s “new quality productive forces”—a term coined by the president in 2023 to emphasize the role of innovation in driving the country’s long-term development. Despite the apparent collaboration prevailing in the meeting room, behind the scenes there is fierce competition among these and other innovative companies on many fronts, including the use of data, a valuable property in the era of artificial intelligence. China is acutely aware of the need to regulate the use of data, but the challenge is how to do so properly. Incremental steps taken by the judiciary and the executive in China provide a glimpse of the country’s exploratory approach to such regulation.Read this article