Latest News:  
Beijing   Heavy rain/Thundershower    27 / 23 ℃  City Forecast

English>>China Business

KPMG converts to special group partnership in China


08:24, August 01, 2012

BEIJING, July 31 (Xinhua) -- KPMG, one of the world's top four international accounting firms, on Tuesday officially converted its operations in China from a joint venture to a special group partnership, becoming the first of the "Big Four" to start the process of localization in China.

The move came after Chinese authorities in May issued new regulations ordering the "Big Four" -- KPMG, Deloitte Touche Tohmatsu, Ernst & Young and PricewaterhouseCoopers (PwC) -- to practice as local firms after their joint venture agreements expire.

According to the new regulations, the auditing giants should form special group partnerships with limited liability to continue their business in China when their joint venture terms end.

Deloitte, KPMG and Ernst & Young will see their 20-year joint venture arrangements expire later this year, while PwC's joint venture agreement will come to an end in 2017.

The new localized accounting offices should each have at least 25 qualified partners, 100 Chinese certified public accountants and registration capital worth 10 million yuan (1.59 million U.S. dollars).

Yao Jianhua, chief partner of the KPMG, said the converted firm will observe Chinese laws and regulations and practice according to international professional standards.

He said the transformation will not affect the firm's overall operations.

The "Big Four" have retained a dominant role in the sector, with combined revenues on the Chinese mainland totaling 10 billion yuan in 2011, accounting for roughly 35 percent of the earnings of the top 100 firms in the sector, according to the Chinese Institute of Certified Public Accountants.

News we recommend:
Luxury brands continue to cash in on China market Rare earth regulation justified Growth to bounce back in H2
Lamborghini sees 20-30% rise in supercar sales Ad campaigns are competing hard in London Major lenders broaden horizons and flex financial muscles
Chinese airlines buck global downturn  Software outsourcing on upward curve Realty policy clarification required


Leave your comment0 comments

  1. Name


Selections for you

  1. APF servicemen conduct anti-riot and emergency handling training

  2. Temporary shelter for migrants in Mexico

  3. Major lenders flex financial muscles

  4. International children's culture and art festival held in TJ

  5. Places in China--Chéngdé

  6. Big age gap relationships in showbiz

Most Popular


  1. Editorial: For a stronger private sector
  2. India's sea oil push politically motivated
  3. Rare earth regulation justified
  4. How to improve China's tourism industry
  5. S. China Sea issue, where is Philippines’ restraint?
  6. On right track for growth model change
  7. Added value key to countering protectionism
  8. What to expect at London Olympics: Star athletes
  9. What to expect at London Olympics: Beauties
  10. US seeks to create new waves in S.China Sea

What's happening in China

Navy uniforms inspire retro fashion

  1. Dongfeng Honda to recall 76,000 CR-Vs
  2. Food, medicine safety cases on rise
  3. Official promotes aid for jobless grads
  4. Beijing police crack prostitution ring
  5. Officers sentenced for taking bribes

China Features

  1. How to protect yourself during heavy rainstorms?
  2. Are synthetic drugs toxic?
  3. Amway vitamin C tablets short in weight
  4. How to improve China's tourism industry
  5. Special coverage: Bloodshed in U.S. theatre

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai