One of the major objectives of the Sino-German CSR Project is to strengthen key government institutions in their efforts to improve framework conditions for CSR in China. The Project aims at enabling Chinese government organizations to integrate CSR into their policies, strategies and practices in order to create a favourable environment for businesses to operate in a socially and environmentally responsible manner. This objective is achieved by providing policy recommendations to central Government departments as well as   provincial and local governments on the promotion of CSR and through facilitating dialogue and exchange of experiences among different stakeholders.

In order to elaborate well-founded policy recommendations, the Sino-German CSR Project has conducted substantial research on a variety of CSR-related topics, including for example the following:

• Research on "CSR in China and Its Relevance for International Trade" served as the basis for policy recommendations to China's Ministry of Commerce (MofCom). Some of these recommendations were considered by MofCom and, for instance, CSR-related criteria were incorporated into the process of issuing export licenses.
• Study on "Responsible Competitiveness in Zhejiang" provided recommendations on incentive mechanisms (e.g. tax reliefs, awards, labelling schemes), which were submitted to the Zhejiang Economic and Information Commission and to the municipal government of Wenzhou.
• Comparative investigation on local government CSR policies and initiatives in China.

International and national exchange and dialogue are essential for raising awareness on needs and initiatives for policy interventions. Examples for the exchange and dialogue on relevant policy issues facilitated by the Sino-German CSR Project include:

• An international conference on "Sustainable supply chains in China – challenges and opportunities for German and Chinese companies" in July 2010 at the EXPO in Shanghai
• The "First Workshop on Local Government Promotion on CSR" in September 2009 in the city of Yantai.