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Laws, Policies, & Guidelines

Guidelines for Environmental Protection in Foreign Investment and Cooperation

Scope of Application

Recommendations for developers and contractors that are central state-owned enterprises (CSOEs) operating overseas, as well as commerce and environmental protection departments.


Offers guidance to encourage CSOEs to implement environmental protection in overseas investment, identify and mitigate environmental risks in a timely manner, and fulfill social responsibilities.

General Key Points

Developers and Contractors should:

  • Abide by host countries' laws and regulations on environmental protection. 
  • Follow host countries’ laws and regulations or international best practices on ecological restoration.
  • Learn from the principles, standards, and practices adopted by international organizations and multilateral development institutions.
Key Points on Stakeholder Engagement

Developers and Contractors should: 

  • Respect the religious beliefs, cultural customs, and ethnic traditions of local communities. 
  • Protect the legal rights of workers.
    • Offer training, employment, and reemployment opportunities to local people. 
  • Provide Chinese workers with proper education and training on health, and the host countries' laws and regulations on environmental protection.
  • Promote the harmonious development of the local economy, environment, and communities.
  • Consider and mitigate adverse social impacts on historical and cultural relics, local traditions, and customs. 
  • Communicate with host countries' environmental protection monitoring agencies and seek out their advice. 
  • Actively strengthen communication with local communities and organizations.
    • Host workshops and symposiums to gather their opinions and advice about projects’ environmental impacts in accordance with host countries' laws and regulations. 
  • Establish systems to report environmental incidents to the host country government, environmental agencies, potentially affected members of the public, and their own headquarters in China. 
Key Points on Environmental and Social Impact Assessment

Developers and Contractors should:

  • Include environmental protection in their development strategy and operational plans.
  • Establish their own regulations and systems on environmental protection.
  • Conduct environmental monitoring and assessment prior to construction to understand baseline conditions of project areas and peripheries.
    • Record results.
  • Conduct environmental impact assessments (EIAs) according to host country laws and regulations.
    • Mitigate adverse impacts.
  • Conduct environmental due diligence of target companies before acquisition. 
  • Design plans to manage environmental crises.
  • Construct pollution prevention facilities in accordance with host countries' laws and regulations. 
Applies to
February 2013
Ministry of Commerce (MOFCOM) and Ministry of Environmental Protection (MEP) (now Ministry of Ecology and Environment (MEE))
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