Can a branch be changed into a subsidiary?

Legal analysis: a branch can become a subsidiary, but the head office needs to apply to the industrial and commercial bureau for approval. Because the branch does not have the legal person qualification, its civil liability shall be borne by the company; A subsidiary has the status of a legal person and independently bears civil liability according to law. The two are different in nature, and the branch cannot be directly transformed into a subsidiary.

Legal basis: Branch companies can be established in Article 14 of People's Republic of China (PRC) Company Law. The establishment of a branch company shall apply to the company registration authority for registration and obtain a business license. A branch company does not have legal person status, and its civil liability shall be borne by the company. A company may set up subsidiaries, which have legal personality and independently bear civil liabilities according to law.