China

Moving China’s Goalposts

Michael Barker, partner of Freshfields Bruckhaus Deringer and head of Asia restructuring and insolvency and: Rupert Purser, partner of Baker Tilly Hong Kong and insolvency practitioner

The forthcoming reform of China’s bankruptcy sector will have some major implications, not just for China, but also for international business and Hong Kong SAR. Many would argue that the People’s Republic of China will be the World’s next economic superpower. Some would say that it is already. However, scraping beneath the veneer reveals serious structural shortcomings, both in the legal system, financial system and in the transparency of commercial trade, where the obligation of a government agency to economic entities established by it, such as Hong Kong-based window companies, is often opaque.