Commentary on the Reform of China’s Company Law in 2023

p class="MsoNormal"On December 29, 2023, China’s new Company Law was officially passed, marking a significant legislative event in China’s legal landscape for the year. It highlighted new achievements in China’s commercial legislation. This revision focuses on three areas of reform: the corporate body, corporate assets and corporate governance. Legislators adopted both direct and indirect methods to break through the corporate entity barrier, linking the rights and interests of corporate responsibility subjects with the third-party, and constructing a look-through regulatory path to meet the needs of China’s current economic order. Behind the reform lies China’s practical consideration of balancing public authority and private interests. Legislators took into account public enforcement theory, market economy theory, and legal value considerations, adjusting the level of public intervention while grasping the overarching trend of private law autonomy, so as to achieve dual progress in corporate governance and the stability of economic and social order.