A company may establish wholly-owned subsidiaries and holding subsidiaries. The establishment of wholly-owned subsidiaries shall be registered in accordance with the provisions of the Company Law on wholly state-owned companies or one-man companies. The establishment of a holding company shall conform to the provisions of the Company Law on limited liability companies and be registered as a limited liability company according to law.
With the consent of the parent company, the name of the holding subsidiary may use the name or trade name of the parent company, but the full name of the parent company may not be used.
Legal basis: A company established according to law in Article 7 of the Company Law of People's Republic of China (PRC) shall be issued a business license by the company registration authority. The date of issuance of the business license of the company is the date of establishment of the company. The company's business license shall specify the company's name, domicile, registered capital, business scope, name of legal representative and other matters. Where the matters recorded in the company's business license change, the company shall register the change according to law, and the company registration authority shall issue a new business license.