China's corporate social credit system.
The corporate social credit system (CSCS) is now at a decisive stage as the authorities ramp up implementation and expansion nationwide. All companies, including foreign enterprises, will have to participate.
- Foreign companies operating in China will have to provide more data for credit scoring.
- The information made publicly available on CSCS platforms will be useful in evaluating the trustworthiness of business partners in China.
- The CSCS may level the playing field for foreign firms, because it is based on objective regulatory compliance measures.
- The CSCS will increase the cost of non-compliance with laws and regulations.