China welcomes foreign investment in housekeeping business

Source: Global Times Published: 2020/7/8 0:03:41

China's Ministry of Commerce Photo: VCG

China welcomes foreign firms to invest in its housekeeping services, which is not on the negative list for foreign investment, an official with the country's commerce ministry said Tuesday. 

China implements a negative list that designates certain sectors as off-limits to foreign investment. The housekeeping services sector is not included in the list, and foreign firms can register and set up home services businesses in the same ways as their Chinese counterparts, said Xian Guoyi, an official from the Ministry of Commerce (MOFCOM).

Foreign firms are welcomed to invest in the arena which holds tremendous potential of growth, the ministry said.

The rise of the middle class in China necessitates the provision of high-quality home services, creating opportunities for foreign businesses which provide personalized services, Bai Ming, a research fellow at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times Tuesday.

High levels of home services are more readily available in overseas markets where universities and colleges provide housekeeping courses, which is rare in China, Bai said.

The opening of the nation's housekeeping services market could mean an opportunity for English-speaking Filipino housekeepers, but it is more practical for such professionals to be hired as trainers for Chinese domestic home workers, Bai said. 

The country unveiled a shortened negative list for foreign investment in late June, downsizing the number of sectors off limits to 33 from 40 in a bid to honor its commitment to further open up the economy despite the coronavirus pandemic.

The new list, jointly issued by the National Development and Reform Commission and MOFCOM, allows for greater openness in the services, manufacturing and agricultural sectors. 

A separate list governing foreign investment in the country's free trade zones cut restricted items from 37 to 30.

China's actualized foreign direct investment denominated in the yuan rose 7.5 percent in May from the year before, but the reading for the first five months of 2020 edged down 3.8 percent on a yearly basis, according to MOFCOM statistics.

Posted in: ECONOMY

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