China to allow foreign owned e-commerce firms in Shanghai FTZ

The Chinese Ministry of Industry and Information Technology has announced that China will allow foreign investors to fully own e-commerce companies in Shanghai’s free trade zone as part of a pilot scheme.

Foreign investors previously required a Chinese joint-venture partner to operate an e-commerce firm in the highly competitive market. Telecommunications authorities in Shanghai will regulate the scheme and the foreign investors, according to a Ministry of Industry and Information Technology.

The pilot is expected to entice more foreign e-commerce companies to move into the Chinese market. In the past players like Amazon and eBay have been marginalized or even forced to pull out of the country altogether by the dominant players like Alibaba and

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