CHINA’S proposed law – The Non-Mainland Non-Governmental Organizations (NGO) Management Law of the People’s Republic of China – could impact foreign associations wishing to hold meetings in China.
It is in its second reading draft and observers in China did not express concern but are keeping an eye on the progress.
One foreign meeting professional who has been based in China for many years said the draft will have to go through a lot of government discussion before legislation is passed.
Jeffery Huang, deputy secretary-general and associate researcher of the World Federation of Chinese Medicine Societies, does not think there will be any negative impact.
However, Kimberly LaBounty, president and founder of US-based association management company, Apex Management and Special Events, expressed concern. She is keen to organise a publishing association conference in Beijing or Shanghai in spring 2017.
The American Society of Association Executives (ASAE) – with more than 21,000 individual members and nearly 10,000 industry partners from tax-exempt organisations – believes the draft legislation will make it extremely difficult for US trade associations and professional societies to be active in China.
ASAE president and CEO John Graham, in a letter to the Law Committee of the Standing Committee of the National People’s Congress, said the legislation would significantly impact US and China economic and commercial relations.
He added that major restrictions would be placed on the ability of its association professionals to meet, share knowledge, conduct business, and share best practices with Chinese associations, severly curtailing association programmes in China.
Graham said ASAE was “particularly concerned” with the overly broad definition of NGO, that all foreign NGOs would have to have a government-affiliated sponsor approved by an Industry Supervisory Unit and that “the overall tone of the legislation treats all foreign NGOs as threats to the national security of China”.
While the proposed law has the potential to streamline the process for associations active in China for a long time, the current draft would have major negative implications and ASAE has asked for an opportunity to discuss the issue further.
