Cnooc Acquisition Of Unocal Case Studies

The United States is one of the countries which attract a great deal of foreign investment for many years and grants most foreign investors National Treatment. The United States has traditionally welcomed Foreign Direct Investment (FDI) and provided foreign investors fair, equitable and nondiscriminatory treatment with few limited exceptions designed to protect national security. After China's entry of WTO, foreign acquisitions of Chinese corporations would take an increasing place in FDI of China. It should be quite important to establish systemic law and regulations on foreign acquisitions to prohibit any foreign Acquisition, merger or takeover of a China's corporation that is determined to threaten the national security of China while maintaining the credibility of our open investment policy and preserving the confidence of foreign investors.The first Part deals with one M&A case, namely the China Sea Petroleum Group's failure of M&A in America. This part mostly narrates two problems: Firstly the process of the China Sea petroleum group's failure of M&A in America; secondly analyze the case and make a conclusion. It's important to build a systemic law and regulations on the national security of China.The second Part deals with the systemic law and regulation on protecting national security in America. Firstly, we talk about why national security is built in American. Secondly, we introduce the content of national security system. Finally, we discuss how The Exon-Florio provision appear and other law or regulation on national security. This Part is foundation of following Parts.The third part discusses on revelation in building our own systemic law from American law. There are two ways: one is to build law to guide investment; the other is to strength examination and approval.The fourth part deals with the national security law of foreign M&A in China. we introduce some laws about national security of foreign M&A in China and we analyze our weakness in this field and we need to learn from other country. Then, we deals with how to establish our own systemic law and regulations on foreign acquisitions to prohibit any foreign acquisition, merger or takeover of a China's corporation that is determined to threaten the national security of China. Our systemic law and regulations on national security in foreign investment can learn from these law or procedure in America. This part will give some useful advice in the end.