Chinese Translation Services in Demand
We’ve blogged about the importance of accurate English to Chinese regulatory translation services and the on-going need for English to Chinese contract translation services. Things have not been particularly rosy for China’s economy in 2019. By May of this year, the industrial output of China dropped to 5 percent – a 17-year low. That number is below the expected 5.5 percent. Moreover, the low output numbers only add to the already bad news that investment in the January-to-May period only grew at 5.6 percent, which was well below the expected 6.1 percent.
The sluggish numbers have finally gotten the attention from the leadership in Beijing. In response, the central government in China has recently introduced new strategies to help China’s economy grow at a more rapid pace. In fact, China has implemented three particular stimulus packages that came into effect at the beginning of the summer to give China’s numbers more “zip.”
The first strategy includes easing regulations and reducing administrative fees. The second is a limitation on vehicle taxes. The third is a plan to focus more resources on government investment. China hopes that the combination of the three will help take burdens off of business so they can improve their bottom line and, as a consequence, give the economy a much-needed boost.
What these economic changes mean for multi-national corporations is that there will be some opportunities for the loosening of restrictions. Yet, some regulatory or other legal filings may be necessary to enjoy the benefits that come with those changes. In that regard, you will need the help of a reliable, accurate, professional legal translator, who is experienced with the complexities of Chinese legal jargon, to help. The Chinese translation experts at All Language Alliance, Inc. at 303-470-9555 have that kind of expertise in myriad languages, including Mandarin Chinese.
Now, let us take a brief look at the specifics of China’s three-pronged approach to boost its economy.
1. Cost-Saving Measures for Business in China
First up, China will, effective July 1, look to save certain business costs. In the information technology industry, the government will waive fees for frequently occupied radio and satellite frequencies for the first three years. This measure is intended to encourage innovation in new technologies and new IT services.
There have also been changes in trademark renewals. Specifically, the government has reduced the fees for registration, update, and renewal of trademarks so that businesses will be incentivized to keep their trademarks updated and accurate.
In a previous blog, we discussed China’s changes earlier this year to more easily spot and reject trademark applications made in bad faith. The goal of those changes was to curtail the practice, which is quite popular in China, of “trademark squatting.” Those new regulations earlier in the year, coupled with the reduction in trademark fees, appears to demonstrate a desire to strengthen intellectual property protections for businesses – particularly, multi-national businesses.
2. A Narrower Vehicle Purchase Tax Law in China
China has a 10 percent tax on vehicle purchases. As of July 1 of this year, however, that tax just became a little less onerous. Chinese officials will not actually reduce the tax rate to help the economy. Rather, they will narrow the definition of the term “taxable vehicle,” so the tax may be eliminated for a number of purchasers. Breaking with previous rules, the new definition of “taxable vehicle” no longer includes urban railway transportation, electric motorcycles, and special purpose vehicles, including loaders, excavators, bulldozers, cranes, and forklifts.
The intended result of the narrower tax law is to encourage new vehicle purchases, particularly those geared towards building new things, and updating mass transit.
3. New Government Investment Priorities in China
China, through its State Council, has decided to direct its investment priorities towards projects focused on:
• Expansion and reconstruction,
• Small-scale investment,
• Tech solutions, and
• Emergency construction.
In addition, a particular government fund will be used to improve projects that have been under-resourced or stalled. Those include projects for social welfare, public infrastructure, agricultural development, environmental protection, science and tech progress, and national security. Indeed, the stated investment priorities are a strong signpost to business as to what opportunities in China lie ahead.
What Do Changes in China Mean for Multinationals?
These three new economic strategies just implemented by Beijing open up a host of opportunities for business in the Middle Kingdom. Now is the time to take advantage of lower trademark fees while saving money on potential litigation from Chinese trademark squatter by getting your company’s trademarks updated and renewed. In addition, it may be worth exploring purchases that are consistent with the incentives the Chinese government just laid out in these approaches to jumpstart China’s slowing economy.
Of course, whether you are renewing trademarks or purchasing vehicles for more construction in China, the only way for your company to make those investments happen is to go through the legal hoops in China. You need quality English to Simplified Chinese legal translators to allow those transactions to go through. We welcome you to call us at All Language Alliance, Inc. We deliver top-notch translation for Chinese legal documentation and processes, and provide competent Mandarin Chinese interpreters for business meetings and depositions.
We also pride ourselves on giving our clients the best customer service in the business. Call us today to learn more about how we at All Language Alliance, Inc. can make sure that your important legal work is handled professionally and accurately the first time. We understand how even the smallest detail can change the meaning of a legal document. Our Chinese legal translators make sure that all translations are accurate down to the last detail. We look forward to working with you.
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