A wholly-owned subsidiary does not need to set up a shareholders' meeting. A wholly-owned subsidiary refers to a company whose equity is wholly owned by the parent company. There is only one corporate shareholders in the company, and there is no shareholders' meeting. Where a resolution is made by a shareholder, it shall be made in writing, signed by the shareholder and kept in the company.
Legal objectivity:
Article 14 of the Company Law A company may set up branches. 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.