Foreign companies in China should be able to expand their business there substantially by early next year, whether they are selling or sourcing. First, in accordance with its likely acceptance into the WTO, China decided on November 1 to relax its tight controls on foreign companies’ foreign exchange balances and its requirement that they give priority to buying domestic raw materials. China will also eliminate regulations requiring foreign companies to tell the government their production targets. The full parliament will approve the changes in March. So, if you are in China, think about increasing your operations there; your competitors in China may be. Second, if you are or are working with a European retailer, new avenues for sales should open immediately for them upon China’s entry to the WTO. The EU and China have agreed that China will grant European Union retailer department stores and warehouses immediate, unrestricted access to the Chinese market. This will be different from many of China’s other obligations agreed to with the US, the EU, and others as conditions for admission to the WTO, which will be completed over time.