France has strong economic ties with China, with French companies active in luxury goods, aerospace, food & beverage, and energy sectors. This guide covers legal essentials for French businesses.
Popular Sectors for French Companies
Luxury Goods
French luxury brands (LVMH, Kering, Hermès) have significant presence in China. Key legal considerations:
- Trademark protection against counterfeits
- E-commerce platform regulations
- Cross-border e-commerce for imports
- Consumer protection compliance
Food & Beverage
French wine, dairy, and food products are popular in China:
- Import license requirements
- Food safety certification
- Labeling requirements (Chinese labels mandatory)
- Geographical indication protection
Cosmetics
French cosmetics brands must navigate:
- Product registration with NMPA
- Animal testing requirements (evolving)
- Ingredient restrictions
- Advertising regulations
Business Structure Options
French companies typically choose:
- WFOE - Full control for trading or manufacturing
- Representative Office - Market research phase
- Cross-border e-commerce - Testing the market without local entity
France-China Bilateral Framework
- Bilateral Investment Treaty
- Double Taxation Agreement
- Social Security Agreement
Intellectual Property Concerns
Brand protection is critical for French companies:
- Register trademarks before market entry
- Monitor for infringement on e-commerce platforms
- Use customs recordation for border protection
- Consider design patent protection
Employment Considerations
Hiring in China differs from French labor law:
- Less flexibility in termination
- Mandatory social insurance contributions
- Different working hour regulations
- Non-compete restrictions more limited
French Company Entering China?
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Schedule ConsultationDisclaimer: This article is for informational purposes only and does not constitute legal advice. For advice on your specific situation, please contact me directly.
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