Skip to content

Editors

Harry Cassin
Publisher and Editor

Andy Spalding
Senior Editor

Jessica Tillipman
Senior Editor

Richard L. Cassin
Editor at Large

Elizabeth K. Spahn
Editor Emeritus

Cody Worthington
Contributing Editor

Julie DiMauro
Contributing Editor

Thomas Fox
Contributing Editor

Marc Alain Bohn
Contributing Editor

Bill Waite
Contributing Editor

Shruti J. Shah
Contributing Editor

Russell A. Stamets
Contributing Editor

Richard Bistrong
Contributing Editor

Eric Carlson
Contributing Editor

Bill Steinman
Contributing Editor

China’s Social Credit System applies to companies and impacts compliance

Numerous stories have appeared in the English-language press about China’s social credit system (SCS). Most of these stories focus on SCS’s system of “scoring” individuals in China. But SCS also applies to companies operating in China and, as it develops, may impact how companies approach anti-corruption compliance. 

A full explanation of SCS for companies is beyond the scope of this short blog post; a detailed description can be found in an excellent report issued last week by the European Union Chamber of Commerce in China. 

At a high level, SCS establishes a system by which the Chinese government collects information and rates companies across a wide range of areas (e.g., data transfers, finance/taxes, environment) and then can reward or sanction companies based on that information and rating.… Continue Reading