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A China bank account certificate is a permit which allows a Mainland China-registered company do open a corporate bank account and conduct financial business in China.
When doing business with a Chinese company, asking them to provide you with a copy of this certificate allows you to ensure they have a bank account in China and you can even insist on making payments to this account.
This article provides some background on the China bank account certificate and gives an explanation of how it is used.
The official name of the China bank account certificate is "开户许可证", which roughly translates directly into English as “Open Bank Account Permit”.
The certificate is issued to newly registered Mainland China companies when they first register for a corporate bank account with a Chinese bank. In most cases this account is the company’s basic Renminbi (Chinese yuan) account.
This is what the certificate looks like if you have received a scan or photo of the original document:
From top to bottom the fields on the China bank account certificate are as follows:
The only organization which can issue a China bank account certificate is the People’s Bank of China, although other banks can apply for it on behalf of a newly-registered Chinese company when they first apply for a corporate bank account. In any case, the certificate still needs to be stamped approved by the People’s Bank of China.
The People’s Bank of China is the central bank of the People’s Republic of China.
Every Mainland China-registered company is required to obtain this certificate when they first sign-up for a basic account at a Chinese bank.
Possession of this certificate is then subsequently a precondition for the opening of other bank accounts, such as foreign currency accounts, either at the same or at another bank.
One method for foreign companies to protect themselves when doing business in China is to request that payments are only made to the bank account number specified on the China bank account certificate.
One of the most common ways to pay a Chinese supplier is to make a China T/T Payment, but it is not a method that comes without risk.
We regularly see cases where Chinese suppliers request payments to individual accounts, third parties, offshore accounts and offshore entities, rather than to their own Mainland Chinese corporate bank accounts.
Before sending a China T/T payment, pause and take a moment to make these 4 simple checks - they will help you ensure your payment is really going to the correct Mainland China entity.
In recent years freight trains from China have been capturing newspaper headlines by arriving in more and more countries.
Perhaps there is no more striking example of this then when the first China to Spain cargo train returned to Yiwu having covered a world record 16,156-mile round trip in 2015.
Read this article to learn about China's push for international rail cargo and find our which countries have already received freight trains from China.
With multiple international codes, hundreds of area codes and numbers of different lengths, making sense of China phone codes can be challenging.
Determining if a Chinese phone number is a mobile or a landline, and knowing where in the country it is located can be a useful way to better understand who you are dealing with.
If you want to learn more about China phone codes, including international codes, area codes (both 2-digit and 3-digit) and mobile codes, then this article is for you.