China -  Chinese law firm

What are the major barriers that prevent foreign firms from establishing a permanent presence in China's Architectural and Engineering sector?

The major barriers are, specifically speaking, the licensing of professionals, the nature of codes and standards, and material specifications.

First of all, currently in China only licensed firms are allowed to "stamp" drawings as official. It is difficult for foreign firms to obtain such licenses, though this should improve with China's implementation of its WTO obligations.

Secondly, China's prescriptive building materials standards and design codes do not stay current with the level of product innovation in China and abroad.

Thirdly, A&E firms are not allowed to specify products by name in their designs, allowing contractors substantial latitude to substitute inferior materials without the written approval of the designer or owner and resulting in correspondingly lower construction quality.

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