legal ground
Article 14 of the Company Law of People's Republic of China (PRC) * * 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. "Regulations of the People's Republic of China on the Administration of Company Registration" Article 45 A branch refers to an institution established by a company outside its domicile to engage in business activities. This branch does not have the qualification of enterprise legal person.