Baker & McKenzie has launched a joint operation office with Beijing-based firm FenXun Partners in the Shanghai Free Trade Zone.

The Chicago-based firm is the first international law firm licensed by the Chinese government to partner with a Chinese law firm in the Shanghai FTZ under a pilot program that was approved by the Ministry of Justice in January 2014. Foreign law firms are allowed to use two models—joint operation or mutual secondments—to gain Chinese law capability through cooperation with a local law firm, according to Chinese regulations.

The Baker & McKenzie FenXun (FTZ) Joint Operation Office is overseen by Baker & McKenzie Shanghai partner Clement Ngai and FenXun partner Wen Jianli, who will relocate from Beijing. Milton Cheng, Baker & McKenzie's Hong Kong-based partner in charge of China, Hong Kong, Vietnam and Korea, said two additional lawyers have been assigned to the FTZ office from each firm, and that “the team will be expanded as the joint operation develops.” Cheng said these lawyers will be based in or at least spend a substantial amount of time in the FTZ office.