Following the promulgation of ¨Administrative Law of Foreign Investment in Commerce〃 on 16 April, 2004, the following industries have formally been open to foreign enterprises:

1. Retail
2. Wholesales
3. Sales agency,
4. Franchise

The required minimum registered capital for wholesale and retail set-up would be significantly reduced to RMB500,000 and RMB300,000 respectively. Foreign enterprises, however, are still prohibited to engage in certain areas and the scale of operation is also restricted.