A company affiliated with the Japan Airlines Group has won approval to set up the first solely foreign-funded travel agency in China, a Chinese state newspaper reported Monday.
Jalpak Co. is expected to open the agency, dubbed Jalpak International Co., for business in Beijing by the end of the year, boasting 5 million yuan (71.4 million yen) in registered capital, according to the Hong Kong edition of the China Daily.
The company will focus on luring Japanese tour groups to China, the newspaper quoted an unnamed company spokesman as saying.
China's National Tourism Administration and the Ministry of Commerce will allow foreign investors to set up foreign share-controlling or wholly owned tourism agencies on the mainland beginning July 12.
The opening of the tourism sector forms part of China's commitment to the World Trade Organization.