China

China has become an integral part of the global economy. The world's second largest economy is also one of Germany's most important trading partners. Economic relations between the two countries have developed extremely dynamically in recent decades. Numerous German companies have branches in China and many Chinese companies also make direct investments in Europe. At the same time, in times of de-risking and geopolitical tensions, new challenges are arising for German-Chinese business relations.

For decades, our firm's China team has been advising German and Chinese companies on all business law issues and requirements in German-Chinese legal relations. Our China Practice Group in Germany consists of a team of German and Chinese lawyers with extensive expertise in both jurisdictions. From there, we draw on the expertise of our renowned Chinese partner law firms for legal issues, with whom we have been working together on a basis of trust for many years. In addition, we are represented in China by a consulting company in the financial metropolis of Shanghai, which supports international companies with specialised corporate services.

Our China team combines sound practical knowledge in important legal issues for inbound projects (investments in China) as well as outbound projects (investments from China). The many German-Chinese investment projects that we have successfully supported are proof of our expertise.

Luther's China practice group bundles comprehensive specialised knowledge and covers all practice areas relevant to German-Chinese business transactions. Together with our Chinese partner law firms, with whom we have enjoyed close and trusting co-operation for decades, we offer our clients operating in China the full range of legal and tax advice. In addition, our consulting firm in Shanghai supports international companies with a variety of customised corporate services and helps them to meet the regulatory requirements in China; this also includes the coordination and processing of registrations with the relevant authorities.

We advise Chinese investors on greenfield investments and M&A transactions as well as on many other business law issues. This includes the establishment or restructuring of companies and joint ventures in Germany and Europe as well as advising existing Chinese investment companies on their business activities in Germany, for example by assisting with labour law requirements, data protection regulations, tax law structural considerations or distribution law.

Legal and tax advisory services

Investments by foreign companies in China (inbound)

The China Practice Group of our law firm in Germany offers our clients operating in China a wide range of legal and tax advice. In doing so, we benefit from our well-established co-operation with some of the best Chinese law firms, which we involve depending on the specific issue and the areas of law concerned. We support German and European companies in analysing location and investment criteria, structuring investment projects, acquisitions, joint venture projects and construction projects. We also work with our clients to develop solutions for the problem areas of technology transfer and know-how protection. We advise on all regulatory requirements in China, such as cross-border data transfer or complex administrative tax regulations. At our clients' side, we conduct negotiations with future partners and approving authorities or ensure that their rights are enforced in court and in arbitration proceedings.

Based in Germany, we regularly assist our clients with investment projects throughout the Asia-Pacific region. Advising on market entry and all contractual issues is our "day-to-day business". In recent years, however, we have also successfully completed more than one hundred acquisitions and joint venture projects with Asian partners, many of them in China. Our clients include well-known family businesses and international groups, for whom we recently acted in the restructuring of a joint venture with production facilities in China and other countries as well as the sale of a business division in China and Taiwan as part of a bidding process

Our services*

  • Labour law
  • Foreign direct investment and market access
  • Foreign trade law
  • Banking & Finance
  • Complex Disputes
  • Compliance & Internal Investigations
  • Corporate/M&A- Data protection law
  • Industrial property rights & copyright
  • Commercial and distribution law
  • Real estate and construction law
  • IT law
  • Antitrust law
  • Restructuring and insolvency law
  • Start-ups & Venture Capital
  • Tax law
  • Technology transfer

*Together with local partner law firms

Investments by Chinese companies in Germany (outbound)

Our German-Chinese team is trusted by many Chinese private and state-owned companies, which we advise comprehensively on market entry, acquisitions and their business activities in Europe. Due to the increased number of company acquisitions and the tightening of the law in recent years, particularly due to the increase in Chinese takeovers in the area of German key technologies, investment control has become considerably more important. We advise Chinese acquirers as well as German sellers, in particular in the context of bidding procedures, on the requirements of investment control under the Foreign Trade and Payments Act/Foreign Trade and Payments Ordinance (AWG/AWV) and provide support in clearance procedures and obtaining clearance certificates from the Federal Ministry for Economic Affairs and Climate Action (BMWK).

We also frequently act on behalf of the German shareholders or company management when Chinese investors join the company. Our advisory services are also frequently in demand in the post-merger phase, where we have advised on numerous restructurings following a takeover.

Our services

  • Labour law
  • Foreign direct investment and market access
  • Foreign trade law
  • Capital Markets, Banking & Finance
  • Complex Disputes
  • Compliance & Internal Investigations
  • Corporate/M&A
  • Data protection law
  • Energy law
  • Industrial property rights & copyright
  • Commercial and distribution law
  • Real estate and construction law
  • Investment control
  • IT law
  • Antitrust law
  • Notary's office
  • Product liability and safety
  • Restructuring and insolvency law
  • Start-ups & Venture Capital
  • Tax law
  • Environmental and planning law
  • Insurance law

Corporate Services

Luther Solutions (Shanghai) Co., Ltd. - Our Services

Our consulting firm in Shanghai provides international companies with comprehensive support in realising their business activities in China. With our in-depth knowledge of the market and many years of experience, we assist clients with incorporation and registration procedures, the adaptation of their investment strategies and the optimisation of operational processes. Thanks to our local presence, our clients benefit from direct support and practical solutions that are specifically tailored to local requirements in China. In doing so, we promote a trusting co-operation that helps companies to successfully achieve their goals in the Chinese market.

Our services

  • Local authority coordination and project management
  • Advice and support for foreign direct investments in China, including the choice of investment structure, guidance through official approval and registration processes as well as practical support in the implementation of investment projects
  • Advice on market entry and market exit strategies
  • Establishment of subsidiaries, branches offices and representative offices
  • Dissolution and liquidation of companies and permanent establishments of any kind
  • Advice on construction and infrastructure projects
  • Advice on corporate governance and regulatory requirements, including support with the implementation of compliance programmes, adherence to regulatory requirements and the optimisation of internal governance structures
  • Translation and localisation services
  • Intellectual property advice, including assistance with trade mark and copyright registration and other intellectual property issues
  • Consultancy in the field of technology transfer
  • Support in applying for and managing operational licences, including assistance in securing and renewing necessary business licences and permits tailored to the operational needs of a company in China
  • Support in the optimisation of internal administrative processes, including advice on accounting and financial reporting

News

30.06.2022 Press Release
Luther advises US group Matthews on acquisition of OLBRICH and R+S Automotive
28.06.2022 Press Release
Automotive: Luther advises I.G. Bauerhin on sale to US automotive supplier Lear
10.02.2022 Press Release
Luther advises Douglas on acquisition of online pharmacy disapo.de
19.05.2021 Press Release
Luther and Fidal advise Chinese automotive supplier ActBlue on the acquisition of a business unit from Continental Group

Key Contact >>

Key Contact

Thomas Weidlich, LL.M. (Hull)

Partner

T +49 221 9937 16280

Dr SHEN Yuan / 沈媛 博士 LL.M. (CUPL/Köln)

Counsel

T +49 221 9937 25075

Dr Oliver Maaz

Partner, Principal Consultant

T +49 221 9937 28900