What is the Advantages of WFOE in China?

Posted in the Investment Services Forum

Since: May 11


#1 Sep 26, 2012
Hello Guys,

I have little view on WOFE in China. The Wholly Foreign Owned Enterprise (WFOE or WOFE) is a Limited liability company wholly owned by the foreign investors. In China, WFOEs were originally conceived for encouraged manufacturing activities that were either export orientated or introduced advanced technology. However, after China's entried into the WTO, these conditions were gradually abolished and the WFOE is increasingly being used for service providers such as a variety of consulting and management services, software development and trading as well. With that, any enterprise in China which is 100% owned by a foreign company or companies can be called as WFOE. I want to know regarding the advantages of WFOE in China. Any idea on it, kindly share with me.

Thanks a lot!
Barker Hicks

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