Foreign Acquisitions and Takeovers Amendment (Australia-Hong Kong Free Trade Agreement) Regulations 2019 (F2019L01624)

Schedule 1   Amendments

Foreign Acquisitions and Takeovers Regulation 2015

15   At the end of section 7

Add:

When entities or branches are not enterprises of a region - general

(8) An entity, or a branch of an entity, (within the ordinary meaning of the term) is not an enterprise of a particular region of a country if the Treasurer is satisfied that:

(a) it is owned or controlled by one or more persons of another country; and

(b) any one or more of the following applies:

(i) Australia does not maintain diplomatic relations with the other country;

(ii) Australia adopts or maintains measures relating to the other country or a person of the other country that have the effect of prohibiting transactions with the entity or branch;

(iii) the entity or branch has no substantial business activities in the particular region;

and the particular region is not Hong Kong, China.

When entities or branches are not enterprises of a region - Hong Kong, China

(9) An entity, or a branch of an entity, (within the ordinary meaning of the term) is not an enterprise of Hong Kong, China if the Treasurer is satisfied that:

(a) subsection (10) applies to it; or

(b) the entity or branch has no substantial business activities in Hong Kong, China.

(10) This subsection applies to an entity or branch if:

(a) it is owned or controlled by one or more of the following:

(i) an individual of a country who is not a resident of Hong Kong, China;

(ii) an entity constituted or organised under a law of a country that is not a law applying in Hong Kong, China; and

(b) Australia adopts or maintains measures relating to that country, or a person of that country, that have the effect of prohibiting transactions with the entity or branch.