According to the Daily Telegraph salaries are set to be capped at £1.8million and transfer fees could be limited to £2.75million per player.
Players such as Marouane Fellaini and Marko Arnautovic are on huge deals in China so it has yet to determined how the rules would affect existing contracts.
The rules are part of cutbacks following the Covid-19 pandemic.
Over the summer Arnautovic claims he wanted to return to West Ham in January, but the pandemic crisis put any stop to that happening.
The 31-year-old completed a £22.5 million move to Shanghai from West Ham in July last year after a long-standing battle with the Premier League side over a move away but early this year admitted he was struggling with the Chinese way of time.
He revealed he was drinking fizzy drinks, not sleeping properly and failing to take training seriously.