China will no longer force foreign firms to transfer technologies in order to access the market, Wang Shouwen, a vice commerce minister said at a press conference in Beijing on Tuesday.
Why it matters: Forced tech transfer and the unequal playing field conditions on China’s mainland have been issues at the heart of the US-China trade war.
Wang signaled new directives that will add to the Foreign Investment Law effective in 2020, barring the use of “administrative tools” which force foreign companies to hand over trade secrets.
Beijing will refine policies so that foreign and domestic companies have equal market access to new energy vehicle production, Wang said.
Details: The new measures are aimed to bring about a transparent and predictable investment environment in order to stabilize foreign investment flows, according to Wang.
A spokesman for China’s Foreign Ministry, Geng Shuang, said at a separate event that lead negotiators from China and the US have had conversations over the phone recently and will do again so in the future.