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Is it possible to conduct training for direct selling personnel in China?

Is it possible to conduct training for direct selling personnel in China?

On 27 February 2006, the General Office of the Ministry of Commerce issued the following two notices on training for direct selling personnel:-

(i) The Notice on Inspecting Illegal Training for Direct Sales Personnel; and
(ii) The Notice on Prohibiting Training for Direct Sales Personnel without Permission of the Ministry of Commerce.

In the notices, the Ministry of Commerce emphasized that it has never approved or entrusted any entities or individuals to train direct selling personnel.

The notices restated Article 18 of the Regulation on the Administration of Direct Sales, “Except for direct selling enterprises, no unit or individual shall organize training for direct selling personnel in any form.” For those illegal training activities that are held in the form of research meetings, seminars, summits, symposiums, etc., the Ministry of Commerce pointed out that they disturb the order of direct selling training and damage the image of the government.

Therefore, in the Notice on Inspecting Illegal Training for Direct Sales Personnel, the Ministry of Commerce ordered its local agencies to investigate any illegal training for direct selling and to prohibit any participation in the illegal training.

Meanwhile, in the Notice on Prohibiting Training for Direct Sales Personnel without Permission of the Ministry of Commerce, the Ministry of Commerce announced that, without joint entrustment by the Foreign Investment Commission, the Market Development Commission and the Regulation and Rules Commission, no research meetings, summits or seminars on direct sales and other similar activities may be organized.

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