Legal analysis: Yes. The parent company is a shareholder of the subsidiary company. Although the subsidiary is an independent legal person, it can engage in various business activities within its own business scope, but its autonomy is limited. The parent company plays a leading role in the shareholders' meeting of the subsidiary, and the management policy and investment plan of the subsidiary are actually decided by the parent company. The parent company owns subsidiaries, which are basically realized through investment, except for a few controlled by agreement. Although the subsidiary is an independent legal person, the parent company and the subsidiary have their own independent rights in production and operation, but in fact it is the relationship between management and being managed.

Legal basis: Article 6 of the Company Law of People's Republic of China (PRC) applies to the company registration authority for registration of establishment. Those that meet the conditions for establishment as stipulated in this Law shall be registered as limited liability companies or joint stock limited companies respectively by the company registration authority; Those who do not meet the conditions for establishment as stipulated in this Law shall not be registered as a limited liability company or a joint stock limited company. Where laws and administrative regulations stipulate that the establishment of a company must be approved, the approval procedures shall be handled according to law before the company is registered. The public may apply to the company registration authority to inquire about the registered items of the company, and the company registration authority shall provide inquiry services.