Facebook
Home Easements

Easements

CIRCULAR OF REGISTRATION BUREAU OF FOREIGN-INVESTED ENTERPRISE OF STATE ADMINISTRATION FOR INDUSTRY AND COMMERCE ON INITIATING THE NEW EDITION OF BUSINESS LICENSE FOR FOREIGN-INVESTED ENTERPRISE

Circular of Registration Bureau of Foreign-invested Enterprise of State Administration for Industry and Commerce on Initiating the
New Edition of Business License for Foreign-invested Enterprise

Gong Shang Wai Qi Zhu Han [2006] No. 28

Bureaus for Industry and Commerce in all provinces, autonomous regions, municipalities directly under the Central Government and cities
specially designated in the State plan:

In accordance with the new Regulations on Administration of Registration of Companies, Registration Bureau of Foreign-invested Enterprise
of State Administration for Industry and Commerce makes some adjustments on part of the items and patterns in the business license
for foreign-invested enterprise. The new edition of Business License for Corporation changes “Operating Period” to “Business Period”,
and “Enterprise Type” to “Company Type”, cancels the item of “Branches” and adds 2 items of “Paid-up Capital” and “Stockholder (Initiator)”;
and the annual inspection time in the specification of the duplicate copy is changed to “March 1 to June 30”; and the pattern of
the duplicate copy is changed to A4. The new edition of Business License changes “Operating Period” to “Business Period”; the annual
inspection time in the specification of the duplicate copy is changed to “March 1 to June 30”; and the pattern of the duplicate copy
is changed to A4.

All authorized bureaus shall, after the exhaustion of the old edition of licenses, draw and initiate the new edition of Business License
for Foreign-invested Enterprise, and do well the linkage work between the old and new editions of Business Licenses. And the old
edition of licenses shall fall into disuse before March 1, 2007.

During the re-issuance of licenses, all authorized bureaus shall, in accordance with the provisions in the Implementation Opinions
on Relevant Issues concerning the Examination and Approval, Registration and Administration of Foreign-invested Companies (Gong Shang
Wai Qi Zi [2006] No. 81), adjust the company types of the existing foreign-invested companies and shall finish the aforesaid adjustment
before the end of the annual inspection on June 30, 2007.

Registration Bureau of Foreign-invested Enterprise of State Administration for Industry and Commerce

August 30, 2006



 
Registration Bureau of Foreign-invested Enterprise of State Administration for Industry and Commerce
2006-08-30

 






CIRCULAR OF THE MINISTRY OF FINANCE AND THE STATE ADMINISTRATION OF TAXATION ON SEVERAL SPECIFIC POLICIES ON CONSUMPTION TAX

Circular of the Ministry of Finance and the State Administration of Taxation on Several Specific Policies on Consumption Tax

Cai Shui [2006] No. 125

The public finance departments (bureaus), the bureaus of state taxes of each province, autonomous region, municipality directly under
the Central Government, and city specifically designated in the state plan and the Bureau of Public Finance of Xinjiang Production
and Construction Corps:

After the release of the Circular of the Ministry of Finance and the State Administration of Taxation on Adjusting and Perfecting
Consumption Tax Policies (Cai Shui Zi [2006] No. 33 hereinafter referred to as the Circular), some regions have required to further
specify the range of taxation, tax basis and other issues concerning the taxable consumption goods. Therefore, upon study, we hereby
specify the relevant issues as follows:

1.

As for the Range of Taxation of Several Oil Products

(1)

Reformatted, topped oil, pentane base oil, light cracking raw material (decompressed diesel fuel VGO and atmospheric diesel fuel AGO),
heavy cracking raw material, hydro cracking tail oil, and arene raffinate oil are all light weight oil, thus shall belong to the
scope of taxation of naphtha according to the explanatory notes on the range of taxation of naphtha of the Circular.

(2)

Wax oil, bunker fuel oil, atmospheric heavy fuel oil, decompressed heavy fuel oil, 180CTS fuel oil, No.7 fuel oil, furfural oil, industrial
fuel, No.4-6 fuel oil and other major oil products, which are mainly used as fuel, shall belong to the scope of taxation of fuel
oil in according to the explanatory notes on the range of taxation of fuel oil of the Circular.

(3)

The raw materials of rubber filling oil and solvent oil belong to the scope of taxation of solvent oil according to the explanatory
notes on the range of taxation of solvent oil of the Circular.

(4)

The “mixed ” lubricating oil made by mixing plant basic oil, animal basic oil and mineral basic oil (or mineral lubricating oil),
without considering the proportion of the mineral basic oil (or mineral lubricating oil), all belong to the scope of taxation of
lubricating oil.

2.

As for the Definition of Reassembled and Refitted Vehicles

The reassembled and refitted vehicles refer to the special purpose vehicles (special type vehicles) whose vehicle category code (the
first digital number of the digital paragraph of the code for vehicle model or product type) is 5 and which are examined and approved
by development and reform commission at the provincial level and are reported to the National Development and Reform Commission for
record and listed in the Announcement of Vehicle Manufacturing Enterprises and Products as announced vehicles

3.

As for the Definition of Solid Wood Composite Floor

Solid wood composite floor takes wood as the raw material and is produced by planning or peeling the wood into veneers with certain
techniques, and then processes the multi-layer veneers with compregnating and composite techniques. Currently, the solid wood composite
floor mainly includes three-layer solid wood composite floor and multi-layer solid wood composite floor.

4.

As for ax Levy on Such Simple Processing of Purchased Lubricating Oil as Changing the Large-scale Packing to Small-scale Packing and
Labeling, etc.

Any entity or individual’s act of changing the large-scale packing of purchased lubricating oil to the small-scale packing by simple
processing or only labeling without any processing, shall be regarded as an act of production of taxable consumption goods. The entity
or individual shall pay consumption tax for the above-mentioned institutions. It is allowed to deduct the consumption taxes already
paid on purchased lubricating oil.

5.

As for the Calculation of the Deductible Volume of Consumption Tax Already Paid on the Purchased Naphtha That Is Used as Raw Materials
in the Production of Both Taxable Consumption Goods and Non-taxable Consumption Goods at the Same Time in the Same Production Process

In case any naphtha which is purchased or taken back from commissioned processing is used as raw materials in producing ethylene or
other chemical products, if both such non-taxable consumption goods as ethylene or other chemical products and such taxable consumption
goods as cracked gasoline may be produced at the same time in the same production process, the accounting formulas of the deductible
taxes already paid on the naphtha which is purchased or taken back from commissioned processing are as follows:

(1)

Purchased naphtha

Present deductible taxes already paid on purchased naphtha = present deductible quantity of purchased naphtha ￿￿yield ￿￿unit tax
of the purchased naphtha ￿￿30%

Yield = output of present taxable consumption goods ￿￿quantity of all raw materials put into the present production of taxable consumption
goods ￿￿100%

(2)

Naphtha taken back from commissioned processing

Present deductible taxes already paid on product oil of commissioned processing = present deductible taxes already paid on naphtha
of commissioned processing ￿￿yield

Yield = output of present taxable consumption goods ￿￿amount of all raw materials put into the present production of taxable consumption
goods ￿￿100%

The producing enterprises which use naphtha purchased or taken back from commissioned processing as raw material to produce ethylene
or other chemical products shall respectively account the annual average yield of 2003, 2004 and 2005 according to the above-mentioned
accounting formulas, and shall fill the annual average yield to the competent tax authorities for record.

6.

As for Disposal of Underpayment When the Deductible Consumption Taxes Already Paid on the Raw Materials Put into the Present Production
Is More Than the Present Taxable Consumption Taxes

In case the deductible consumption taxes already paid on the raw materials put into the present production is more than the present
taxable consumption taxes, and the column of overpaid consumption tax of the previous period is not added in the consumption tax
return, the deduction shall be applied in accordance with the amount of the present taxable consumption taxes, while the underpayment
shall be brought over to the application of deduction of the next period.

7.

As for the Medium or Light Commercial Passenger Vehicles and the Scope of Taxation

The commercial passenger vehicles with over 7 meters long (including 7 meters) and the number of seats from 10 to 23 (including 23)
are not within the scope of taxation of medium or light commercial passenger vehicles, thus no consumption tax may be collected thereon.

The Ministry of Finance

The State Administration of Taxation

August 30, 2006



 
The Ministry of Finance, the State Administration of Taxation
2006-08-30

 






CIRCULAR OF THE MINISTRY OF FINANCE, THE STATE ADMINISTRATION OF TAXATION OF THE PEOPLE’S REPUBLIC OF CHINA, ON THE RESOURCES TAX POLICIES ON VANADIUM ORES

Circular of the Ministry of Finance, the State Administration of Taxation of the People’s Republic of China, on the Resources Tax
Policies on Vanadium ores

Cai Shui [2006] No.120

Financial offices (bureaus) and local taxation bureaus of all provinces, autonomous regions, municipalities and cities specially designated
in the state plan, and financial bureau of Xinjiang Production and Construction Corps:

In accordance with Provisional Regulations on Resources Tax of the People’s Republic of China, relevant resources tax policies on
vanadium ores are announced as follows for purposes of promoting reasonable exploitation and utilization of vanadium ores.

1.

Units and individuals mining vanadium ores (including stone-like coal vanadium) shall pay resources tax in accordance with Provisional
Regulations on Resources Tax of the People’s Republic of China as well as other related regulations.

2.

The standard for the resources tax applicable to vanadium ores (including stone-like coal vanadium) shall be 12 Yuan per ton.

3.

This circular shall enter into force as of Sept.1, 2006.

Please abide hereby.

Ministry of Finance

State Administration of Taxation

August30, 2006



 
Ministry of Finance, State Administration of Taxation
2006-08-30

 






CIRCULAR OF THE STATE ADMINISTRATION OF FOREIGN EXCHANGE ON RELEVANT ISSUES CONCERNING DOMESTIC DESIGNATED FOREIGN EXCHANGE BANKS’ HANDLING THE BUSINESS OF SOUTH KOREAN WON CONVERSION ACCORDING TO QUOTED FOREIGN EXCHANGE RATES

Circular of the State Administration of Foreign Exchange on Relevant Issues concerning Domestic Designated Foreign Exchange Banks’
Handling the Business of South Korean Won Conversion according to Quoted Foreign Exchange Rates

Hui Fa [2006] No. 45
August 30, 2006

Branch Bureaus and Departments of Foreign Exchange Control of the State Administration of Foreign Exchange in all provinces, autonomous
regions, and municipalities directly under the Central Government, Branch Bureaus of the State Administration of Foreign Exchange
in the cities of Shenzhen, Dalian, Qingdao, Xiamen and Ningbo, and all Chinese-funded designated foreign exchange banks:

In order to promote the economic and trade contacts between China and South Korea, to regulate the conversion of South Korean Won,
and to safeguard the order in the foreign exchange market, and in accordance with the provisions in the Circular of the People’s
Bank of China on Further Improving the Administration of Trading Prices in the Inter-bank Foreign Exchange Market and Quoted Foreign
Exchange Rates of Designated Foreign Exchange Banks (Yin Fa [2005] No. 250), a circular is hereby given on relevant issues concerning
domestic banks’ handling the business of South Korean Won conversion according to quoted foreign exchange rates as follows:

Article 1

All designated foreign exchange banks may, in accordance with the development needs and risk management capacities of their own and,
decide themselves the handling of South Korean Won conversion according to quoted foreign exchange rates (including spot foreign
exchange and cash) for their clients.

Article 2

The State Administration of Foreign Exchange shall conduct an administration of record on designated foreign exchange banks’ handling
South Korean Won according to quoted foreign exchange rates. Policy-related banks and nationwide commercial banks, when handling
the business of South Korean Won conversion according to quoted foreign exchange rates, shall go through at the same time the formalities
of record at the State Administration of Foreign Exchange, to which the performances of this business shall be submitted within the
last 15 work days of each quarter. Urban commercial banks, rural commercial banks, rural cooperative financial institutions and foreign-funded
banks, when handling the business of South Korean Won conversion according to quoted foreign exchange rates, shall go through at
the same time the formalities of record at the local Branch Bureaus (Departments of Foreign Exchange Control) of the State Administration
of Foreign Exchange, and submit to them the performances of this business within the last 10 work days of each quarter.

Article 3

Designated foreign exchange banks may decide themselves the trading prices of South Korean Won (spot foreign exchange and cash) against
the Renminbi according to the quoted foreign exchange rates to their clients, and may also directly negotiate trading prices with
their clients.

Article 4

This Circular shall come into force as of the date of issuance. All Branch Bureaus, after receiving this Circular, shall immediately
transmit it to the urban commercial banks, rural commercial banks, rural cooperative financial institutions and foreign-funded banks
within the jurisdictions of their own.



 
State Administration of Foreign Exchange
2006-08-30

 






CIRCULAR OF THE STATE ADMINISTRATION OF FOREIGN EXCHANGE ON RELEVANT ISSUES CONCERNING THE ADMINISTRATION OF FOREIGN EXCHANGE ON FUND MANAGEMENT COMPANY’S OVERSEAS INVESTMENT IN SECURITIES

Circular of the State Administration of Foreign Exchange on Relevant Issues concerning the Administration of Foreign Exchange on Fund
Management Company’s Overseas Investment in Securities

Hui Fa [2006] No. 46
August 30, 2006

Branch offices and foreign exchange control departments of the State Administration of Foreign Exchange in all provinces, autonomous
regions and municipalities directly under the Central Government, branch offices in the cities of Shenzhen, Dalian, Qingdao, Xiamen
and Ningbo:

In order to meet the reasonable demands of domestic individual residents and institutions in overseas financial investment and assets
management, and to regulate the administration of foreign exchange on fund management company’s overseas investment in securities,
and in accordance with the spirit of the Announcement of the People’s Bank of China [2006] No. 5, a circular is hereby given on relevant
issues as follows:

Article 1

Where a fund management company handles the overseas investment in securities, it shall in advance obtain an approval, and obtain
a qualification in dealing with foreign exchange business, and a quota of overseas investment in securities from the local branch
offices or foreign exchange control departments (hereinafter referred to as the foreign exchange bureau) of the State Administration
of Foreign Exchange. And a fund management company may also apply for a qualification in dealing with foreign exchange business when
it applies for a quota of overseas investment in securities.

Article 2

A fund management company may apply for dealing with part or all of these foreign exchange businesses as follows:

(1)

Foreign exchange assets management;

(2)

Foreign exchange capital investment;

(3)

Foreign exchange inter-bank borrowings;

(4)

Status enquiry and advisory services;

(5)

Other businesses approved by the State Administration of Foreign Exchange.

A fund management company’s dealing with the businesses of foreign exchange assets management and foreign exchange capital investment
shall be in line with the relevant prescriptions of China Securities Regulatory Commission (hereinafter referred to as the CSRC).

Article 3

A fund management company shall apply to the local foreign exchange bureau for a qualification in dealing with foreign exchange business
with these documents as follows:

(1)

An application in written form covering the basic situation of the company, the internal organizational structure, r￿￿sum￿￿s and
relevant qualification certificates of the company’s higher managements in foreign exchange business, the feasibility analysis for
dealing with foreign exchange business, service conditions etc.;

(2)

A duplicated copy of the original copy of the Corporation License for Fund Management Company issued by the CSRC;

(3)

The company’s internal control management system and risk prevention measures in foreign exchange business;

(4)

The company’s financial statement of the previous year audited by an accounting firm, and a capital assessment report audited by
an accounting firm for the company which was established less than 1 year ago;

(5)

Other documents required by the foreign exchange bureau.

The local foreign exchange bureau shall, within 20 work days as of the date of receiving the complete application documents, give
an opinion of first instance in accordance with the Code of Procedure on Examining and Verifying the Fund Management Company’s Market
Access to Foreign Exchange Business (See Annex 1), and submit them, in accordance with the procedures, to the State Administration
of Foreign Exchange, which shall, within 20 work days as of the date of receiving the complete application documents, make a decision
of approval or rejection; and if approved, a License for Foreign Exchange Operation in Securities Business shall be issued.

Article 4

A fund management company shall apply to the local foreign exchange bureau for a quota of overseas investment in securities with
these documents as follows:

(1)

An application covering the basic situation of the applicant, the investment quota to be applied for, the fund type to be established
(open/close), the quantum of the fund to be issued, capital resources and a investment plan, and a model of the written agreement
to be concluded with the investors;

(2)

A License for Foreign Exchange Operation in Securities Business or the application documents prescribed in Article 3 of this Circular;

(3)

Documents or relevant evidentiary materials issued by the CSRC to approve its business of overseas investment in securities;

(4)

The company’s financial statement of the last year audited by an accounting firm;

(5)

Other documents required by the foreign exchange bureau.

The local foreign exchange bureau shall, within 20 work days as of the date of receiving the complete application documents, give
an opinion of first instance in accordance with the Code of Procedure on the Foreign Exchange Business of the Fund Management Company’s
Overseas Investment in Securities (See Annex 2), and submit them, in accordance with the procedures, to the State Administration
of Foreign Exchange, which shall, within 20 work days as of the date of receiving the complete application documents, make a decision
of approval or rejection; and if approved, an investment quota and fund quantum shall be clearly defined.

Article 5

A fund management company shall, with the relevant approval documents issued by the foreign exchange bureau, open a self-owned foreign
exchange capital account at a designated foreign exchange bank to deposit the foreign exchange capital and earnings of this company
hereof, and report to the local foreign exchange bureau for records within 5 work days as of the opening of the account hereof.

The scope of receipts of the self-owned foreign exchange capital account of a fund management company is: the remitted foreign exchange
capital, earnings from foreign exchange business and other foreign exchange receipts approved by the foreign exchange bureau, and
the scope of expenditures is: foreign exchange settlement, current expenses and capital account expenditures approved by the foreign
exchange bureau.

Article 6

A fund management company shall, with the approval documents of investment quota issued by the foreign exchange bureau, open a foreign
exchange account for overseas investment in securities to deposit the raised capital and subscription, redemption, dividend and other
foreign exchange capitals, and report to the local foreign exchange bureau for records within 5 work days as of the date of the opening
of this account hereof.

The scope of receipts of the foreign exchange account for overseas investment in securities of a fund management company is: capitals
raised from domestic individual residents and institutions, capitals drawn from domestic custody accounts, capitals remitted by domestic
individual residents and institutions for subscription of funds, and other foreign exchange receipts approved by the foreign exchange
bureau, and the scope of expenditures is: capitals drawn to domestic custody accounts, capitals for paying the investors dividends
and redemptions, and other foreign exchange expenditures approved by the foreign exchange bureau.

Article 7

A fund management company shall, after obtaining the investment quota approved by the foreign exchange bureau, conclude a custody
agreement with a domestic custodian and open a domestic custody account to custody all its assets for overseas investment in securities.
And a domestic custodian shall accord with the conditions prescribed by China Banking Regulatory Commission.

A fund management company shall, within 5 work days as of the date of the opening of this account hereof, file with the local foreign
exchange bureau for records the opening of this account hereof and the custody agreement.

The scope of receipts of a domestic custody account is: capitals drawn from the foreign exchange account for overseas investment in
securities of a fund management company, capitals drawn from an overseas foreign exchange settlement account, and other foreign exchange
receipts approved by the foreign exchange bureau, and the scope of expenditures is: capitals drawn to an overseas foreign exchange
settlement account, capitals drawn to the foreign exchange account for overseas investment in securities of a fund management company,
capitals for paying the investors dividends and redemptions, capitals for paying the custodian fees, management fees and fees for
various kinds of formalities, and other expenditures approved by the foreign exchange bureau.

Article 8

A domestic custodian shall open an overseas foreign exchange settlement account for a fund management company at an overseas custodian
agency, which is used in capital settlement business with the overseas securities registration and settlement institutions etc.,
and file with the State Administration of Foreign Exchange the opening of this account hereof within 5 work days as of the date of
the opening of this account hereof.

The scope of receipts of an overseas foreign exchange settle account is: capitals drawn from a domestic custody account, capitals
acquired through the sale of various kinds of overseas financial assets, dividend distribution and interest receipts and other receipts
approved by the foreign exchange bureau, and the scope of expenditures is: capitals drawn to a domestic custody account, capitals
for purchasing various kinds of overseas financial assets, capitals for paying relevant fees, and other expenditures approved by
the foreign exchange bureau.

Article 9

A fund management company may remit out and remit in the balance between the subscription and redemption of open funds through a
domestic custody account, and the accumulated net remit-out amount of a fund management company shall not exceed the investment scale
calculated on the basis of the investment quantum approved by the foreign exchange bureau.

Article 10

The subscription of funds by a domestic individual resident and institution shall be handled through banks with the written agreements
concluded between it and a fund management company. An individual, when subscribing funds, shall use its foreign exchange deposit
in a domestic bank rather than directly using foreign currency cash, and a domestic institution shall not subscribe funds with debt
foreign exchange capitals.

Article 11

The foreign exchange capitals acquired by a domestic individual resident and institution from the redemption and dividend of funds
shall undergo the formalities of withdrawal and transfer at a bank with a payment order from a fund management company, and be transferred
to its foreign exchange deposit account. An individual shall not directly draw cash or foreign exchange settlement from its foreign
exchange account for overseas investment in securities. The foreign exchange capitals acquired by a domestic institution from the
redemption and dividend of funds shall be transferred to its former foreign exchange account by a bank.

Article 12

A domestic custodian shall, in accordance with the prescribed pattern (See Annexes 1, 2 and 3), submit data to the State Administration
of Foreign Exchange within 7 work days after the end of each month, and conduct submission on international receipts and expenditures
in accordance with relevant prescriptions.

Article 13

The foreign exchange bureau of where a fund management company is located shall monthly tabulate and submit to the State Administration
of Foreign Exchange the openings and cancellations of the self-owned foreign exchange accounts, foreign exchange accounts for overseas
investment in securities, domestic custody accounts of the fund management companies within the jurisdiction of its own.

Article 14

A fund management company and bank in violation of the prescriptions in this Circular shall be punished by the foreign exchange bureau
in accordance with the Foreign Exchange Control Regulations of the People’s Republic of China and relevant administrative regulations
on foreign exchange. With regard to a domestic custodian in a gross violation, a fund management company may be instructed by the
foreign exchange bureau to change the custodian hereof; and with regard to a fund management company in a gross violation, the foreign
exchange bureau may cancel its investment quota or revoke its License for Foreign Exchange Operation in Securities Business.

Article 15

This Circular shall come into force as of the date of promulgation. All branch offices and foreign exchange control departments,
after receiving this Circular, shall timely redistribute this Circular to the central branch offices within their jurisdictions,
and redistribute this Circular and the annexed lists to the fund management companies and designated foreign exchange banks within
their jurisdictions. And if problems occur in the implementation, the State Administration of Foreign Exchange shall be timely informed.

Annexes

(1)

Code of Procedure on Examining and Verifying the Fund Management Company’s Market Access to Foreign Exchange Business (omitted)

(2)

Code of Procedure on the Foreign Exchange Business of the Fund Management Company’s Overseas Investment in Securities (omitted)

Annexed Lists

(1)

Monthly Report on Overseas Investment in Securities by Qualified Domestic Institutional Investor (I)

(2)

Monthly Report on Overseas Investment in Securities by Qualified Domestic Institutional Investor (II)

(3)

List on Capital Remit-outs and Remit-ins by Qualified Domestic Institutional Investor



 
State Administration of Foreign Exchange
2006-08-30

 






STATISTICAL RULES FOR FOREIGN INVESTMENTS

Circular of the Ministry of Commerce and National Bureau of Statistics concerning Printing and Distributing the Statistical Rules
for Foreign Investments

Shang Zi Tong Jin Fa [2003] No. 510

Each foreign trade and economic cooperation commission (department or bureau) of each province, autonomous region, municipality directly
under the Central Government, and city separately designated in the state plan,

For the purpose of regulating the statistical work for the absorption of foreign investments, the former Ministry of Foreign Trade
and Economic Cooperation in collaboration with the National Bureau of Statistics issued the Statistical Rules for the Utilization
of Foreign Investments. The said Statistical Rules for Foreign Investments have played an important role in promoting and intensifying
the statistical work for foreign investments all over the country. In recent years, some new features and new forms have appeared
in our country’s absorption of foreign investments, the existing rules are difficult to meet the needs of the statistical work of
foreign investments.

On the basis of summarizing the past work experience, using the principle of the International Monetary Fund for reference, deeply
hearing the opinions of the local commerce administrative departments and statistical departments, we make amendment on the former
Statistical Rules in order to enhance the quality of the statistical data of foreign investments and provide an accurate basis for
the administration of foreign investments. The Statistical Rules for Foreign Investments (attached) are hereby printed and distributed
to you, please comply with them and timely report to us any problem arising during the course of implementation. The former Statistical
Rules for the Utilization of Foreign Investments shall be revoked as of the date of promulgation of this Circular.

Ministry of Commerce

National Bureau of Statistics

December 31, 2003

Statistical Rules for Foreign Investments

(Ministry of Commerce and National Bureau of Statistics December 2003)

Chapter I General Provisions

Article 1

In order to scientifically and effectively organize the statistical work of foreign investments throughout the country, the present
Rules are constituted under the Statistics Law of the People’s Republic of China and the Detailed Rules for carrying out the Statistics
Law of the People’s Republic of China, and the laws and regulations of the state on utilizing foreign investments.

Article 2

The basic tasks of the statistical work of foreign investments: to reflect the all-around information about the absorption of foreign
investments in a timely and accurate way, to systematically make statistical investigations into and statistical analyses of the
foreign investment agreements and contracts approved by the state and the actual execution of these agreements and contracts, and
the economic benefits derived therefrom, to make statistical supervision, to provide statistical information and statistical consultation
for the economic management and macro-resolutions of the state and the government departments at all levels, and to provide services
for foreign exchange.

Article 3

The present Rules shall be applicable to the local commerce administrative departments at all levels, the state’s comprehensive departments
and entities with utilization of foreign investments, and the foreign-funded enterprises and cooperative development projects within
China.

Statistical materials shall be provided by the aforesaid departments, entities and enterprises under the Statistics Law of the People’s
Republic of China as well as the present Rules. Any statistical materials may not be made any false report, concealed, refused to
report, delayed to report, forged or changed by any of them.

Article 4

The statistical rules for foreign investments shall be constituted by the Ministry of Commerce in collaboration with the National
Bureau of Statistics. The commerce administrative departments at all levels shall organize, coordinate and administer the statistical
work of foreign investments and the statistical institutions of the governments of the same level shall give direction. The Ministry
of Commerce shall take charge of the collection, announcement and foreign exchange of statistical materials of foreign investments
all over the country upon authorization of the State Council.

Article 5

The statistical work of foreign investments shall comply with the uniform leadership and level-by-level management. The present Rules
shall govern the formats, indicators as well as computation criterions of the national statistical statements of foreign investments.
If any place or department needs to make a special statistical investigation not covered by the present Rules, it shall be approved
by the statistical institution and shall give a report to the Ministry of Commerce and the National Bureau of Statistics to put on
records.

Chapter II Statistical Scope and Main Contents

Article 6

Under the existing policies and regulations of the state on foreign investments, the statistical scope of foreign investments consists
of the direct investments and other investments of foreign investors.

Article 7

The term “foreign investment” as mentioned in the present Rules means the investments in cash, kind, intangible assets, etc. made
by legal persons and natural persons from abroad and from Hong Kong, Macao and Taiwan region in the mainland of China. Among such
investments, the direct investments of foreign investors mean the total investments made by foreign investors in non-listed companies,
as well as the investments made by a single foreign investor in a listed company and accounting for 10% or more of the equities of
this listed company; the other investments are other investments of foreign investors.

Article 8

For the purpose of converging to the international statistical system, the decision on the sources of foreign investments shall be
made in the present Rules make in accordance with countries or regions where the investors are registered.

Article 9

The foreign investment statistical statements consist of the grassroots statistical statements of foreign investments and the comprehensive
statistical statements of foreign investments.

The main contents of the grassroots statistical statements of foreign investments consist of,

(1)

The statement of the approval certificates of enterprises invested by foreign investors (Taiwan, Hong Kong and Macao investors), of
which the contents shall be consistent with the contents of the counterfoils of the said approval certificates, consisting of the
attributes of foreign invested enterprises, foreign investment funds under the contracts and the sources thereof.

(2)

The statistical statement of the actual investments to the enterprises invested by foreign investors (Taiwan, Hong Kong and Macao
investors), consisting of the actual investments occurred during the current period and the detailed classification thereof.

(3)

The statistical statement of the status quo of business operations of enterprises invested by foreign investors (Taiwan, Hong Kong
and Macao investors), consisting of the indicators for the assets, liabilities, business proceeds, personnel, import and export of
the enterprises.

The List of Statistical Statements of Foreign Investments and the explanatory notes of the statements are integral parts of the present
Rules.

Chapter III Submission, Management and Announcement of Statistical Materials.

Article 10

The local commerce administrative departments at all levels and the related comprehensive departments and entities with utilization
of foreign investments shall make collection, examination, summary, formulation and report on the related statements in time, and
do well in managing and comprehensively analyzing the statistical materials of foreign investments at the same time.

Article 11

When a foreign-funded enterprise is set up upon approval, it shall handle the statistical registration procedures in the foreign-funded
approval department. The statistical materials shall be provided and the statistical statements shall be filled in accordance with
the Statistics Law of the People’s Republic of China as well as the present Rules. In accordance with the statistical investigation
tasks, a foreign-funded enterprise shall equip with professional personnel or designate part-time statistical personnel. The statistical
work of foreign investments shall start from the approval of setting up this enterprise or from the approval of the agreement or
contract, and end at the time of termination of the enterprise or at the time of completion of implementing the agreement or contract.

Article 12

The statistical statements of foreign investments shall be reported, in the form of central database management on the basis of on-line
transmission, by the commerce administrative departments at all levels to the commerce departments at the next higher level. Such
statements shall be reported by a provincial commerce administrative department to the Ministry of Commerce and a copy shall be sent
to the statistical bureau at the same level.

The statistical statements of foreign investments in the banking, securities and insurance sectors shall be summarized by China Banking
Regulatory Commission, China Securities Regulatory Commission as well as China Insurance Regulatory Commission and shall be reported
to the Ministry of Commerce.

Article 13

The Ministry of Commerce shall verify and check the statistical data reported by all places in order to make sure the continuity,
accuracy and seriousness of the statistical data of foreign investments.

Article 14

When making public announcement or provision of statistical materials of foreign investments to outside, the local commerce administrative
departments at all levels shall keep state secrets and business secrets of the enterprises and strictly abide by the Statistics Law
of the People’s Republic of China, Detailed Rules for Carrying Out the Statistics Law of the People’s Republic of China, and the
related provisions of the state.

Chapter IV Statistical Organizations and Statistical Personnel

Article 15

The leadership to the statistical work of foreign investments shall be enforced , and a corresponding organization or staff full-time
statistical personnel according to the actual needs shall be set up by the local commerce administrative departments at all levels
, and the statistical personnel of foreign investment shall be kept relatively stable.

Article 16

The statistical personnel of foreign investments shall be qualified with the professional knowledge to meet the needs of the statistical
work. The professional skill training of the statistical personnel of foreign investments shall be strengthened by the local commerce
administrative departments at all levels.

Article 17

Under the Statistics Law of the People’s Republic of China, the statistical personnel of foreign investments may require the related
entities and personnel to provide statistical materials in accordance with the provisions of the state, examine the accuracy of the
statistical materials, correct the uncertain statistical materials, and expose any violation in the statistical work.

Article 18

For any functionary of a local commerce administrative department makes any false report, conceals, forges, alters, refuses to report,
or delays the report of any statistical materials, if the situation is serious, the department for which he working in shall give
him an administrative punishment or make suggestions to the related department to give him an administrative punishment, and the
commerce administrative department at or above the county level shall, in collaboration with the statistical bureau at the same level,
give him criticism by circulating a notice.

For any foreign-funded enterprise committing any of the violations mentioned above, if the situation is serious, the commerce administrative
department at the county level or above shall suggest the statistical bureau at the same level to give him a warning, and may give
him a punishment in accordance with the related provisions of the state.

Article 19

For anyone who formulates or announces any statistical statements of foreign investments or who announces any statistical materials
of foreign investments without approval of the department taking charge of the statistical work of foreign investments, he shall
be ordered to make a correction by the commerce administrative department at or above the county level in collaboration with the
statistical bureau at the same level and shall be criticized by circulating a notice.

Chapter V Supplementary Provisions

Article 20

The statistical currency of foreign investments shall be USD. The transfer rate between the USD and other currencies shall be adopted
in accordance with the Table of Internal Uniform Translation Rates between USD and Other Currencies constituted by the State Administration
of Foreign Exchange.

Article 21

The present Rules shall adopt the statistical codes in accordance with the Statistical Codes of Countries and Regions constituted
by the General Administration of Customs. The sector types shall be adopted in accordance with the Classification of the Industrial
Sectors of National Economy (GB/T 4754-2002) of the People’s Republic of China.

Article 22

The date of submission of statements may be postponed accordingly during legal holidays (excluding Saturdays and Sundays).

Article 23

The Ministry of Commerce shall have the power to make interpretation on the present Rules.

Article 24

The present Rules shall go into effect as of January 1, 2004. If any former provision is not consistent with the present Rules, the
present Rules shall prevail.



 
Ministry of Commerce, National Bureau of Statistics
2003-12-31

 






CONSTITUTION ACT, 1982 – page 22

NOTES (1) The enacting clause was repealed by the Statute Law Revision Act, 1893, 56-57 Vict., c. 14 (U.K.). It read as...

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

Disclaimer: There is no confidential attorney-client relationship formed by using Laws.com website and information provided on this site is not legal advice. For legal advice, please contact your attorney. Attorneys listed on this website are not referred or endorsed by this website. By using Laws.com you agree to Laws.com Terms Of Use.
Facebook
© LAWS.COM NETWORK 2023-2024