The road toward listing Chinese companies on the Tokyo Stock Exchange will be smoother when the executives of the China Securities Regulatory Commission sign a memorandum of understanding with Japan's Finance Ministry and the Tokyo Stock Exchange on March 18, TSE officials said Feb. 28.
The group of CSRC officials, led by Chairman Zhou Daojiong, will visit Tokyo to complete the authoritative procedure of setting listing conditions. The TSE has been working actively to attract Chinese companies with growth potential as a way to revitalize the Tokyo stock market and put the brakes on the steady stream of U.S. and European firms leaving it.
Following the exchange of official documents between the governments of China and Japan last December on cooperation in the securities sector, the Chinese government for the fourth time disclosed a list of 38 companies qualified for listing overseas. Although TSE officials declined to disclose details, Tianjin Automobile Industrial (Group) Co., Toyota Motor Corp.'s joint venture partner, is said to be one of the most likely candidates to become the first Chinese firm to be listed on the TSE.