Business | A new opening?

The mind-bending new rules for doing business in China

Xi Jinping is sending mixed messages to Western bosses and investors

Illustration of a traditional Chinese double door, with the top half swung open and the bottom half closed. The doors feature ornate carvings or decorations typical of Chinese architecture. — Illustration: Rose Wong

Apr 3rd 2024|Beijing

FOR YEARS foreign companies were desperate to get into China, and faced formidable bureaucratic obstacles in their way. Now many are getting out. Over the past 12 months several foreign law firms have closed some or all of their Chinese offices. Orrick, Herrington & Sutcliffe, an American one, said on March 22nd it would shut the Shanghai office it opened 20 years ago. Another, Akin Gump Strauss Hauer & Feld, plans to exit China altogether this year. Some global investment banks are pruning their Chinese staff. So are a few large accountancies and due-diligence groups. In 2023 foreign direct investment in China fell to its lowest level in 30 years.