A Ghanaian exhibitor talks to guests during the Lanzhou Investment & Trade Fair in Lanzhou, capital of northwest China's Gansu Province, July 4, 2019. China saw steady foreign investment growth in the first half of 2019, official data showed Thursday. The actual utilized value of foreign investment in China rose 7.2 percent from a year ago to reach 478.33 billion yuan during the January-June period, according to the Ministry of Commerce (MOC). In U.S. dollar terms, the amount stood at 70.74 billion U.S. dollars, up 3.5 percent year on year. During the same period, a total of 20,131 new foreign-funded enterprises were established. In June alone, total foreign investment actually utilized climbed 8.5 percent year on year to 109.27 billion yuan, MOC data showed. The reading amounted to a total of 16.13 billion U.S. dollars, a 3-percent growth compared to the same period last year. Banking, securities and insurance sectors were not included in the monthly data, the MOC said. (Xinhua/Chen Bin)

The newly released implementation measures of China's new Foreign Investment Law (FIL) put emphasis on punishing enforcement personnel that fail to strictly follow the new law of equal treatment of foreign companies, and preventing forced technology transfers.

The new law and implementation measures were both put into effect on Wednesday.

The measures prescribe that administrative departments and personnel that didn't treat foreign and domestic companies equally in line with relevant policies will be held accountable, while stepping up punishment for intellectual property infringement and forced technology transfers.

The measures, together with inspection teams closely following how the new law is enforced, should reassure foreign companies that China is determined to earnestly implement the law and welcome foreign investment, Wei Jianguo, former Chinese vice commerce minister, told the Global Times.

The authorities had solicited comments from many agencies including the American Chamber of Commerce in China, the European Union Chamber of Commerce and multinationals in China and had fully considered the concerns raised by foreign companies, such as rising labor costs and tariffs imposed by the US and China, Wei said.

In addition, the FIL was submitted by the State Council, the country's cabinet, to the country's top legislator for deliberation and got passed; therefore, local governments will attach great importance and implement the law, he said.

Wang Yingtao, head of the Beijing representative office for Germany-based dental material manufacturer DMG, told the Global Times on Wednesday that the measures will relieve worries of foreign companies operating in China or hoping to enter the market.

"Our management team in Germany was hesitant over whether to establish a production line in China to supply Southeast Asian markets, as they want to wait and see how the FIL will be implemented. But with the rollout of implementation measures to guarantee the implementation of the law, I'm sure our management team won't be worried anymore," he said.

The implementation of the FIL will drive both large and small-scale foreign investment to China in 2020, Wei predicted, noting that the number of medium-sized projects worth more than $1 billion is expected to surpass 1,000.

Wang said that there are more small and medium-sized enterprises in Germany hoping to come to China now, as many companies inquire about the business environment and market conditions in China.

Stephan Kothrade, president of Asia Pacific functions and president and chairman of Greater China at BASF, welcomed China's efforts to address challenges faced by foreign businesses in China in an earlier interview with the Global Times.

BASF has benefited from the simplified processes and opening up of market access, which enabled investment in a new wholly-owned Verbund site worth $10 billion in Zhanjiang, South China's Guangdong Province.

In the first 11 months of 2019, China actually used foreign capital of 845.9 billion yuan ($121.5 billion), up 6 percent year-on-year, data from the Ministry of Commerce showed. The country attracted a total of 722 large-scale products worth above $100 million each during the same period, up 15.5 percent year-on-year, according to the ministry.