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Representative office (RO) is established by foreign companies to engage in business liaison, production promotion, market research, exchange of technology and other permitted activities in china.
RO is not allowed to directly engage in operational activities. The AIC usually specifies in the business scope as shown in the business license of ROS. That a ROS should not engage in direct operational activities therefore ROS are not forms of foreign investment in china
The representative office can't work on the following activities:
(1)Directly engage in any business for profit;
(2)Sign contracts or deals on behalf of the parent company;
(3)Represent any firm other than its parent company;
(4)Collect money or invoice organizations or individuals within China for services or products;
(5) Buy property or import production equipment.
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