CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING NANJING ECONOMIC-TECHNOLOGICAL AREA TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

Circular of the Ministry of Commerce on Entrusting Nanjing Economic-Technological Area to Examine, Approve and Administer the Relevant
Work on Foreign-invested Enterprises in Some Service Trade Sectors

Shang Zi Han [2007] No. 26

Nanjing Municipal People’s Government and Nanjing Economic-Technological Area,

Pursuant to Some Opinions on Further Promoting the Development Level of National Economic and Technical Development Zones (Guo Ban
Fa [2005] No. 15) as forwarded by the General Office of the State Council to the Ministry of Commerce, the Ministry of Land and Resources
and the Ministry of Construction as well as the provisions of the Ministry of Commerce on the authorized examination, approval and
administration of foreign-funded enterprises, the Ministry of Commerce has finished the archival filing, examination and approval
of the management systems of all the national economic and technological development zones and the connected network for examination
and approval of foreign capital. The related matters are hereby notified as follows:

Upon research, we hereby authorize the Management Committee of Nanjing Economic-Technological Area to be responsible for examining,
approving and administrating the foreign-funded enterprises in related service trade sectors set up inside its zone for the purpose
of encouraging and supporting the national economic and technological development zones to vigorously develop the high value-added
service industries.

The Management Committee of Nanjing Economic-Technological Area shall, in strict accordance with the laws and regulations on foreign
investments as well as the related provisions on foreign-funded enterprises of non-vessel shipping, construction, printing, construction
engineering design, road transport, commerce and international freight forwarding (see appendix), carefully examine and approve the
related foreign-funded enterprises set up within its zone, and report the related problems found in the work to the Ministry of Commerce
in a timely manner. The Ministry of Commerce shall implement the inspection of the aforesaid examination, approval and administration,
and cancel the authorization to a national economic and technological development zone which commits illegal examination and approval
during the course of authorization.

The Management Committee of Nanjing Economic-Technological Area shall conduct a good job in examination and approval, archival filing
and statistical work in strict accordance with the requirements of the Ministry of Commerce for networking and online joint annual
inspection and by taking advantage of the networking certification system for foreign-funded enterprises. The related statistical
data shall be in line with the requirements so that the Ministry of Commerce can keep informed of the situation and strengthen supervision.

Nanjing Economic-Technological Area, the management system of which needs to be improved, has not set up an independent finance department
yet. Nanjing Economic-Technological Area shall keep a close eye on and further resolve the problems in the management system, keep
a concise and efficient management system, and improve the level for examining, approving and administrating the foreign-funded enterprises.
Where any management system problem that may affect the work on examining, approving and administrating the foreign-funded enterprises
is found, this Ministry will withdraw the authorized power of examination, approval and administration immediately.

This circular shall enter into force as of the promulgation date.

Ministry of Commerce

February 12, 2007
Appendix:
Related documents on entrusting the competent provincial departments of commerce to examine, approve and Administer foreign-funded
service trade Enterprises

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Foreign-funded
Non-vessel Shipping Enterprises (Shang Zi Han [2005] No. 89)

Circular of the Ministry of Commerce on Entrusting the Provincial Administrative Departments of Commerce to Examine, Approve and Administer
the foreign-funded Construction Enterprises (Shang Zi Han [2005] No. 90)

Circular of the Ministry of Commerce on Entrusting the Administrative Departments of Commerce at the Provincial Level to Examine and
Administer the Foreign-funded Printing Enterprises (Shang Zi Han [2005] No. 91)

Circular of the Ministry of Commerce on Entrusting the Administrative Departments of Commerce at the Provincial Level to Examine and
Administer the Foreign-funded Designing Enterprises for Engineering Projects (Shang Zi Han [2005] No. 92)

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Some Foreign-funded
Road Transport Enterprises (Shang Zi Han [2005] No. 93)

Circular of the Ministry of Commerce on Entrusting Local Departments to Check Foreign-funded Commercial Enterprises (Shang Zi Han
[2005] No. 94)

Circular of the Ministry of Commerce about the related Issues on Entrusting National Economic and Technical Development Zones to Examine
and Approve foreign-funded Commercial Enterprises and International Freight Forwarding Enterprises (Shang Zi Han [2005] No. 102)

Measures for the Administration of Foreign-funded International Freight Forwarding Enterprises (Decree No. 19, 2005 of the Ministry
of Commerce)

Ministry of Commerce
2007-02-12

SOME OPINIONS OF THE MINISTRY OF EDUCATION CONCERNING FURTHER INTENSIFYING THE ABSORPTION OF EXCELLENT PEOPLE WITH OVERSEAS EDUCATIONAL BACKGROUND

Some Opinions of the Ministry of Education concerning Further Intensifying the Absorption of Excellent People with Overseas Educational
Background

Jiao Wai Liu [2007] No. 8

The education departments (commissions) of each province, autonomous region, and municipality directly under the Central Government,
the education departments (commissions) of related institutions (entities), the related institutions of higher education, the related
scientific and technological research institutions, the related entrepreneur parks for people with overseas educational background,
the education offices of Chinese embassies or consulates stationed outside the territory of China:

For the purpose of implementing the “National Outlines for Medium- and Long-term Planning for Scientific and Technological Development
(2006-2020)”, accelerating the implementation of the strategy of invigorating the country through science, technology and education
as well as the strategy of strengthening the power of the country by relying on talented people, make greater efforts to absorb excellent
people with overseas educational background, improving technical innovations and the development of new disciplines in China, setting
up a group of high-caliber talents that are able to adapt to the all-round, harmonious and sustainable development, several opinions
with respect to further intensifying the absorption of excellent people with overseas educational background by institutions of higher
education, scientific and technological research institutions and domestic employing units of entrepreneur parks for people with
overseas educational background (shortened as “domestic employing units”), etc. are hereby put forward as follows:

The definition of “excellent people with overseas educational background”.

“Excellent people with overseas educational background” may include the three levels as follows:

The first level: A group of leading scholars in certain disciplines are needed in order to form a group of excellent innovation organizations.

The second level: A large group of excellent academic leaders with a solid academic basis as well as prominent innovation capabilities
and development potentialities are needed in order to improve technical innovations and the development of certain disciplines.

The third level: A large quantity of young backbone teachers and scientific researchers are needed in order to uplift the overall
caliber of the group of teachers and scientific researchers.

II.

Preparing a demands catalogue for excellent people with overseas educational background, as well as establishing and perfecting an
information database of overseas excellent people with educational background.

According to the actual needs from the developments in education, science and technology, industry, region, etc., this Ministry shall
establish a system of forecasting the demands for people with overseas educational background and promulgating the information about
such demands, fully grasp the information concerning the demands of various domestic employing units for talents. We shall set up
and perfect the information database on the demands of domestic employing units for excellent people with overseas educational background,
develop national and local information databases of the policies and measures for attracting people with overseas educational background,
as well as provide convenient, prompt, accurate and timely domestic services of inquiry and consulting of the information on demands
for the excellent people with overseas educational background to come back to work in China.

On the basis of further enhancing and perfecting the construction of the information system of the education offices in Chinese embassies
or consulates stationed outside the territory of China on the management to study-abroad scholars, we shall establish the information
database of the excellent people with overseas educational background that intend to come back to work in China, intensify the management
and services of the education offices in Chinese embassies or consulates stationed outside the territory of China to study-abroad
scholars , find out, contact, and recommend the leading scholars of certain disciplines, academic leaders and academic backbones
that are needed immediately in China.

Each employing unit within the territory of China may, make pertinent plans on the absorption of talents in light of the specialties
and planning of the development of the disciplines concerned, and formulate management measures on the absorption of talents.

III.

To build up a two-way selection platform for excellent people with overseas educational background, and offer services for excellent
people with overseas educational background to come back to China to engage in or to start up their entrepreneur careers.

This Ministry shall publish information concerning domestic demands for people with overseas educational background and information
concerning excellent people with overseas educational background that intend to come back to work in China by various ways and forms,
set up a two-way interaction platform for online communications and negotiations, etc., and impel the linkup of domestic employing
units with the excellent people with overseas educational background and intend to come back to work in China:

We shall establish an exclusive network information exchange platform and a long-distance video interview and negotiation system upon
the information of the education offices of Chinese embassies or consulates stationed outside the territory of China, that on www.cscse.edu.cn,
www.csc.edu.cn, and that of China Scholars Abroad, as well as other related institutions, We will regularly publish demand information,
in order to provide services such as two-way interactive communications and recruitment negotiations, etc to both the excellent people
with overseas educational background and the employing units.

We will enhance the contacts with diverse academic organizations and associations of those studying outside the territory of China
and strengthen the guidance to them, give full scope to the intermediary function of the organizations, and we will publish the information
concerning demands for excellent overseas talents through the organizations of those studying outside the territory of China, and
offer consulting and services for those studying outside the territory of China to come back to work in China.

This Ministry will respectively organize the people studying outside the territory of China and domestic employing units to join in
the High-level Overseas Talents Recruitment Fair of Beijing Scientific and Technological Expo, and the High-level Overseas Talents
Recruitment Fair of Guangzhou Scientific and Technological Fair of Chinese People Studying Abroad in May and December annually, and
to have face-to-face communications and mutual selections.

We will organize the negotiation teams to absorb excellent people with overseas educational background upon the plan step by step,
and organize domestic people in charge of personnel to communicate with talents in the countries and regions abounding with people
with overseas educational background. We will organize excellent people studying outside the territory of China to hold communications
with domestic employing units through the education offices, encourage and guide excellent people studying outside the territory
of China to come back to China and work in higher education institutions, scientific and technological research institutions and
other departments.

Domestic employing units may independently organize teams to go abroad to follow up and negotiate with certain excellent people with
overseas educational background under the guidance of this Ministry, and implement the task of absorbing excellent people with overseas
educational background.

IV.

Taking full advantage of national projects of science and technology, education and supports to talents to guide excellent overseas
talents to come back to China to develop their own businesses.

The higher education institutions on the list of “211 Project” or the list of “985 Project”, and the scientific and technological
research institutions under the “100 talented scientist plan” shall regard the task of attracting excellent people studying outside
the territory of China to come back to work in China as an important part of the project construction, make planning on exclusive
fund supports and finance them excellent people with overseas educational background to come back to work in China or to serve the
home country in different ways.

We shall further enhance the supports and encouragement for excellent study-abroad talents to come back to work in China through such
programs as the “Cheung Kong Scholars Program” and “Program for New Century Excellent Talents in University”, etc..

We shall make greater efforts to perform the “Project on Absorption of Intellects by Institutions of Higher Education for Academic
Disciplinary Innovations” (the “111 Project”), attract excellent people studying outside the territory of China by means of organization
absorption, drive of core talents, etc., promote the disciplines development, and talent cultivation, and push the construction of
high-level research-oriented universities.

Greater efforts shall be made for “Chunhui Program” of the Ministry of Education to support excellent people with overseas educational
background to come back to China and serve the home country for short terms. We shall encourage excellent people with overseas educational
background to get financial supports under “Chunhui Program” and to come back to China and serve the home country for short terms,
in order that some excellent people with overseas educational background will come back to work in China finally for long terms by
way of cooperation and then soft landing.

We shall make good use of the “Chunhui Program” of the Ministry of Education to encourage excellent people with overseas educational
background in key areas or some advanced academic disciplines to work on research or lectures in higher education institutions during
their academic holidays in China, and to serve the construction of newly emerging academic disciplines and advanced academic disciplines
within the territory of China, as well as the establishment of world-class universities.

We shall make greater efforts to raise the financial support from the “Overseas Returned Scholars’ Scientific Research Initiation
Fund”, to increase the scholars supported therefrom, and to shorten the appraisal period of the “Overseas Returned Scholars’ Scientific
Research Initiation Fund”, in order to create conditions for excellent people studying abroad to carry out scientific research as
quickly as possible after they come back, and to encourage excellent people with overseas educational background to settle down and
develop in China.

Higher education institutions, scientific and technological research institutions and other entities shall set up scientific research
start-up funds for those with overseas educational background accordingly.

Establishing prompt avenues for people studying outside the territory of China to come back to work in China, and earnestly resolving
the reservations of excellent people with overseas educational background in their entrepreneur careers in China.

We shall make greater efforts to improve the service functions of the education offices of Chinese embassies or consulates stationed
outside the territory of China, and of the Ministry of Education’s Overseas Education Service Center with respect to certification,
management of personnel archives, certification of overseas education diplomas and degrees, and settling-down, etc., to intensify
the service consciousness, and to improve the service efficiency.

Chinese education offices stationed outside the territory of China shall actively provide domestic employing units with information
supports and services. When any domestic employing unit needs any assistance, contact or confirmation of related information for
absorbing any person studying overseas, the education office concerned shall provide related information consulting in a timely manner.

This Ministry shall coordinate with the related department to offer convenient service to those studying outside the territory of
China concerning entry into, exit from and permanent residence in China when they come back to work in China and serve the home country.
We will simplify the procedures for examination and approval therefrom, and improve the service quality.

Active efforts shall be made to promote the establishment and implementation of specific measures on the enjoyment of national treatments
by those with overseas educational background, to properly resolve the problems on the work conditions and close interests of the
excellent people with overseas educational background with regard to housing, salary, household registration, medical treatment,
social insurance, scientific research start-up, investment and establishment of enterprises, intellectual property protection, children’s
schooling, family members’ employment, and to create a work environment and policy environment that may help the excellent people
with overseas educational background their work or their serving the home country.

VI.

Intensifying the construction of entrepreneur parks for people with overseas educational background, scientific and technological
parks of universities, entrepreneur bases and service institutions, and energetically implementing the “Chunhui Cup” innovation entrepreneur
tournament of those Chinese scholars with overseas education experience.

We shall establish entrepreneur parks of scholars with overseas educational backgrounds, and a public entrepreneur service information
network platform of scientific and technological parks of universities. We shall improve the functions of incubation and project
management of the parks and bases, and broaden investment and financing avenues to create a good incubation environment for people
that studied outside the territory of China to carry out their own businesses. We shall attract and gather a group of excellent people
with overseas educational background, who grasp modern scientific and technological achievements, have independent intellectual properties,
and meanwhile have modernized enterprise management knowledge and market-based operation capabilities, to better cooperate with domestic
employing units by combination of production with research. We shall propel effective combination of foreign advanced technologies
and management experiences with domestic resources, and encourage them to make contributions to the domestic employing units’ teaching,
scientific research and hi-tech industry development.

This Ministry and the Ministry of Science and Technology will regularly hold a “Chunhui Cup” innovation and business start-up tournament
among those with overseas educational background, and establish an business startup platform with the involvement of overseas excellent
people with educational background, entrepreneur parks for people with overseas educational backgrounds, scientific and technological
parks of universities, and venture capital institutions. Upon the “Chunhui Cup” innovation and business startup contest among those
with overseas educational backgrounds, we shall give full play to the enthusiasm of the excellent people studying outside the territory
of China to come back to China and develop their own businesses, encourage them to actively submit applications for innovation and
business startup projects, and create conditions to support the project linkup of the participants with the scientific and technological
parks of universities, entrepreneur parks for people with overseas educational backgrounds, and enterprises, as well. We shall also
organize entrepreneur parks for those studying outside the territory of China, scientific and technological parks of universities,
venture capital institutions and domestic entrepreneurs to appraise the projects, negotiate on the projects and award the excellent
ones on the basis of the project technical level, investment foreground, benefit forecast and industrialization situation, as well
as promote people with overseas educational backgrounds to build up high technology enterprises.

The Ministry of Education

March 2, 2007

The Ministry of Education
2007-03-02

MEASURES FOR ADMINISTRATION OF RENEWABLE RESOURCES

Decree No.8, 2007 of Ministry of Commerce on Promulgating Measures for Administration of Renewable Resources

No.8

The Measures for Administration of Renewable Resources have been deliberated and approved at the 5th ministerial meeting of Ministry
of Commerce on May 17, 2006, and ratified by National Development and Reform Commission, Ministry of Public Security, Ministry of
Construction, State Administration for Industry and Commerce and State Environmental Protection Administration. They are hereby announced
and shall enter into force as of May 1, 2007.
Minister: Bo Xilai

Director: Ma Kai

Minister: Zhou Yongkang

Minister: Wang Guangtao

Director: Zhou Bohua

Director: Zhou Shengxian

Mar 27, 2007

Measures for Administration of Renewable Resources
Chapter 1 General Rules

Article 1

For purposes of promoting recovery of renewable resources, regulating development of renewable resources recovery industry, economizing
resources, protecting environment and realizing economic and social sustainable development, these Measures are formulated under
the Law of Clean Production Promotion of the People’s Republic of China and Law on the Prevention and Control of Environmental Pollution
by Solid Wastes and other relevant laws and regulations.

Article 2

The renewable resources as mentioned in these Measures refer to all kinds of wastes that are generated in social production and living
and consumption, and that have lost all or part of their use value, but can regain use value through recovery and processing.

Renewable resources include metallic scrap, discarded electronic products, mechanical and electric equipments and parts, waste paper
making materials (such as waste paper and cotton), waste materials for light chemical industry (such as rubber, plastics, packing
of pesticide, animal bones and hairs) and waste glass as well.

Article 3

Enterprises and owners of self-employed businesses who undertake business of renewable resources recovery within the territory of
the People’s Republic of China (hereinafter referred to as “business operator of renewable resources recovery”) shall comply with
these Measures.

Where it is otherwise provided in other laws and regulations in terms of the administration on recovery of imported solid wastes,
hazard wastes and discarded automobiles, such provisions shall prevail.

Article 4

The state encourages people from all circles as well as urban and rural areas to accumulate and sell renewable resources.

Article 5

The state encourages renewable resources recovery and disposal of innocuity. Relevant scientific research, technical development
and promotion are also encouraged.

Chapter 2 Operation Rules

Article 6

To engage in renewable resources recovery business, an enterprise must meet the registration requirements of industrial and commercial
administration. It can start business only after getting business licenses.

Article 7

Operators engaging in renewable resources recovery business shall be filed with departments of commercial administration or authorized
institutions thereof which shall be the same level with the departments of industrial and commercial administration where they are
registered in line with the principal of dependency administration within 30 days after obtaining business license.

In case of any alteration, operators of renewable resources recovery business shall go through formalities of alteration with departments
of commercial administration within 30 days as of the alteration (those belonged to industrial and commercial registration shall
be filed in 30 days since the alteration of industrial and commercial registration).

Article 8

Enterprises engaging in recovery of producing waste metals and operators of non-producing waste metals shall register with public
security organs of the people’s government of the county level within 15 days after obtaining business in addition to registration
with departments of commercial administration in accordance with article 7 of these Measures.

In case of any alteration of registered items, operators of renewable resources as mentioned in the preceding paragraph shall go through
alteration formalities with public security organs of the people’s government of the county level within 15 days as of the alteration
(where an item falls within the industrial and commercial registration, it shall be dealt with within 15 days as of the alteration
of industrial and commercial registration).

Article 9

A producing enterprise and an enterprise of renewable resources recovery shall trade the producing waste metals by means of contract
of purchase, in which Such matters as the name, quantity, specifications, recovery terms, and settlement of producing waste metal
shall be specified.

Article 10

When reclaiming producing waste metals, an enterprise of renewable resources recovery shall according to the facts, conduct registration
of the name, quantity, specifications as well as the aging degree.

As regards an entity seller, the certification issued thereby shall be checked, and record the name of the entity and the name, address
and ID card number of the preparer shall be registered according to the facts; as regards an individual seller, the name, address
and ID card number thereof shall be registered according to the facts.

The registration materials shall be kept for at least 2 years.

Article 11

If any stolen goods or suspected stolen goods wanted by public security organs are found in business activity, enterprises of renewable
resources recovery shall report to public security organs immediately.

The public security organs shall seize stolen goods or suspected stolen goods found in business operation of renewable resources recovery
in accordance with law and list the seized goods. If the suspected stolen goods are proved of no stolen goods, they shall be returned
in time; those proven to be stolen goods shall be dealt with in line with the state regulations.

Article 12

The whole process of collecting, storage, transportation and disposal of renewable resources shall be carried out in accordance with
the relevant pollution prevention standards, technical policies and the state specifications.

Article 13

Business operators of renewable resources shall comply with relevant regulations of second hand goods circulation to undertaking
business of second-hand goods purchase, sales, storage and transportation.

Article 14

The recovery of the renewable resources may be carried out by means of door-to-door recovery, itinerant recovery and recovery at
certain places.

Business operator of recovery of the renewable resources may contact residents and enterprises by means of phone and internet so as
to provide convenient and quick recovery.

Chapter 3 Supervision and Administration

Article 15

Departments of commercial administration are in charge of the industry of renewable resources recovery, and responsible for stipulation
and implementation of industrial policies of renewable resources recovery, recovery standards and program of recovery industry development
as well.

Departments of development and commission are responsible for research and putting forward policies to promote development of renewable
resources, organize to adopt new technologies, promote application of new facilities and carry out industrialization demonstration.

Public security organs are in charge of management of public security of renewable resources recovery.

Departments of industrial and commercial administration are responsible for registration administration on business operators of renewable
resources recovery, and supervision and administration on trade market of renewable resources.

Departments of environmental protection are responsible for supervision and administration on work of environmental pollution prevention
during process of recovery.

Departments of construction and town and country planning are in charge of bringing renewable resources recovery net into the city
planning, as well as examining and rectifying violations of relevant regulations on city planning and construction administration.

Article 16

Ministry of Commerce is responsible for stipulation and implementation of industrial policies of renewable resources recovery, recovery
standards and program of recovery industry development as well.

Departments of commercial administration above county-level are responsible for stipulation and implementation of specific industrial
development program and other measures in the region of administration.

Departments of commercial administration above county-level shall set up authorities in chare of the administration of renewable resources
recovery industry and assign the relevant personnel.

Article 17

Departments of commercial administration above county-level shall, in collaboration with department of development and reform (economic
and trade), public security, industry and commerce, environmental protection, construction, rural and urban planning, formulate program
of renewable resources recovery net in line with specific status of development level of local economy, population density, environment
and resource as well according to principals of overall planning and rational distribution.

Renewable resources recovery nets include all kinds of places where the renewable resources are reclaimed, transferred, distributed
and processed.

Article 18

When trans-regional transferring is needed for storage and disposal, administrative license shall be dealt with in accordance with
Article 23 of Law on the Prevention and Control of Environmental Pollution by Solid Wastes.

Article 19

An association of renewable resources recovery industry is an industrial self-discipline organization, which shall perform the following
duties:

(1)

to feedback suggestions and requirements of enterprises and safeguard industrial interest;

(2)

to formulate criterions of self-discipline and supervise the implementation;

(3)

to carry out industrial statistics, survey if authorized by laws and regulations or administrative department, and release industrial
information; and

(4)

to cooperate administrative departments to carry out research and stipulate industrial development program, policies and recovery
standard.

Associations of renewable resources recovery industry shall follow instructions of the relevant administrative departments.

Chapter 4 Penalty Rules

Article 20

Enterprises or individuals undertake renewable resources recovery without business license shall be punished by department of industrial
and commercial administration in accordance with Measures on Investigating, Punishing and Stamping out Operation without Business
License.

If an enterprise engages in what are beyond the business scope approved by industrial and commercial departments, it shall be imposed
upon a punishment according to the relevant regulations.

Article 21

Those who violate regulations of Article 7 of these Measures should be warned by departments of commercial administration and ordered
to correct in definite time period; those who refuse to correct shall be fined no less than 500 yuan and no more than yuan according
to specific conditions. Departments of commercial administration may also announce the violation to the public.

Article 22

Those who violate regulations of Article 8 of these Measures should be warned by public security organs and ordered to correct in
definite time period; those who refuse to correct shall be fined no less than 500 yuan and no more than yuan according to specific
conditions. Public security organs may also announce the violation to the public.

Article 23

Public security organs shall punish enterprises of renewable resources recovery that go against Paragraph 1 and Paragraph 2 of Article
10 of these Measures and fail to register the true information when producing waste metals in line with relevant regulations of
Measures for Administration on Pubic Security of Waste Metal Purchasing Industry.

Article 24

Those who go against Paragraph 3 of Article 10 of these Measures shall be ordered by public security organs to correct and be fined
no less than 500 yuan and no more than 1000 yuan.

Article 25

Those who go against Article 11 of these Measures and fail to report to public security organs after finding stolen goods or suspected
stolen goods shall be warned and imposed upon a fine of no less than 500 yuan and no more than 1000yuan; those who cause serious
consequences or refuse to mend their ways despite repeated admonitions shall be imposed upon a fine of no less than 1000 yuan and
no more than 5000 yuan.

Article 26

In case of graft or serious dereliction of duty, abuse of power, practicing favouritism and taking bribes on the part of any personnel
of administrative departments harming interests of business operators of renewable resources, , the relevant departments shall impose
administrative punishment upon the said personnel in line with specific situations. Where a crime is constituted, the said personnel
shall be subject to criminal liabilities under law.

Chapter 5 Supplementary Rules

Article 27

The term “producing waste metal” as mentioned in these Measures refers to metal materials and metals products that are used in construction,
railway, communication, electric power, water conservancy, oil field, public utilities and other fields, and now lose all or part
of use value.

Article 28

These Measures are subject to the interpretation of Ministry of Commerce, National Development and Reform Commission, Ministry of
Public Security, State Administration for Industry and Commerce, State Environmental Protection Administration and Ministry of Construction.

Departments of commercial administration above county-level shall, together with department of development and reform (economic and
trade), public security, industry and commerce, environmental protection, construction, rural and urban planning of all provinces,
autonomous regions and municipalities may, pursuant to these Measures, formulate detailed rules for implementation with reference
to real situation of local economic development.

Article 29

These Measures shall enter into force as of May 1, 2007.

Ministry of Commerce
2007-03-27

OFFICIAL REPLY OF THE STATE ADMINISTRATION OF TAXATION ABOUT THE DETERMINATION OF PRODUCTION VALUE PROPORTION OF THE EXPORTED PRODUCTS OF FOREIGN-INVESTED EXPORT ENTERPRISES

Official Reply of the State Administration of Taxation about the Determination of Production Value Proportion of the Exported Products
of Foreign-invested Export Enterprises

Guo Shui Han [2007] No. 426

State Taxation Bureau of Qingdao:

We have received your Request for Instructions on Whether Qingdao Malsushila Electronic Components (Free Trade Zone) Co., Ltd. May
Enjoy the Tax Preference for Export Enterprises (Qing Guo Shui Fa [2006] No.125). We hereby render the reply in respect of how to
determine the production value proportion of the exported products of foreign-invested exportenterprises as follows:

Under the stipulations of Item 7 of Article 75 of the Detailed Rules for the Implementation of the Income Tax Law of the People’s
Republic of China for Foreign-invested Enterprises and Foreign Enterprises, foreign-invested export enterprises may pay their enterprise
income taxes in half under tax laws upon the expiration of their legal tax exemption and reduction period, in the event that the
value of the products exported in that year accounts for no less than 70% of their total output value in that year. Because the policy
aims at the total income of an enterprise, which includes both the income from the sales of its own products and the income from
the sales of purchased products, the standards for calculating the value of the products exported in that year and for calculating
the total output value in that year shall be consistent, and the value of the purchased products that have been sold are included
in both of the two values so as to accurately and reasonably carry out this policy.

The State Administration of Taxation

April 16, 2007

The State Administration of Taxation
2007-04-16

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING NINGBO ECONOMIC &TECHNICAL DEVELOPMENT ZONE TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

Circular of the Ministry of Commerce on Entrusting Ningbo Economic &Technical Development Zone to Examine, Approve and Administer
the Relevant Work on Foreign-invested Enterprises in Some Service Trade Sectors

Shang Zi Han [2007] No. 7

Zhejing People’s Government, Ningbo Municipal People’s Government and Ningbo Economic &Technical Development Zone,

Upon research, we hereby authorize the Management Committee of Ningbo Economic &Technical Development Zone to be responsible for
examining, approving and administrating the foreign-funded enterprises in related service trade sectors set up inside its zone for
the purpose of encouraging and supporting the national economic and technological development zones to vigorously develop the high
value-added service industries.

The Management Committee of Ningbo Economic &Technical Development Zone shall, in strict accordance with the laws and regulations
on foreign investments as well as the related provisions on foreign-funded enterprises of non-vessel shipping, construction, printing,
construction engineering design, road transport, commerce and international freight forwarding (see appendix), carefully examine
and approve the related foreign-funded enterprises set up within its zone, and report the related problems found in the work to the
Ministry of Commerce in a timely manner. The Ministry of Commerce shall implement the inspection of the aforesaid examination, approval
and administration, and cancel the authorization to a national economic and technological development zone which commits illegal
examination and approval during the course of authorization.

The Management Committee of Ningbo Economic &Technical Development Zone shall conduct a good job in examination and approval,
archival filing and statistical work in strict accordance with the requirements of the Ministry of Commerce for networking and online
joint annual inspection and by taking advantage of the networking certification system for foreign-funded enterprises. The related
statistical data shall be in line with the requirements so that the Ministry of Commerce can keep informed of the situation and strengthen
supervision.

Ningbo Economic &Technical Development Zone, the management system of which needs to be improved, has not set up an independent
finance department yet. Ningbo Economic &Technical Development Zone shall keep a close eye on and further resolve the problems
in the management system, keep a concise and efficient management system, and improve the level for examining, approving and administrating
the foreign-funded enterprises. Where any management system problem that may affect the work on examining, approving and administrating
the foreign-funded enterprises is found, this Ministry will withdraw the authorized power of examination, approval and administration
immediately.

This Circular shall enter into force as of the promulgation date.

Ministry of Commerce

February 12, 2007
Appendix:
Related documents on entrusting the competent provincial departments of commerce to examine, approve and Administer foreign-funded
service trade Enterprises

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Foreign-funded
Non-vessel Shipping Enterprises (Shang Zi Han [2005] No. 89)

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Some Foreign-funded
Road Transport Enterprises (Shang Zi Han [2005] No. 93)

Circular of the Ministry of Commerce on Entrusting Local Departments to Check Foreign-funded Commercial Enterprises (Shang Zi Han
[2005] No. 94)

Measures for the Administration of Foreign-funded International Freight Forwarding Enterprises (Decree No. 19, 2005 of the Ministry
of Commerce)

Ministry of Commerce
2007-02-12

ANNOUNCEMENT OF MINISTRY OF COMMERCE ON PROMULGATING GUIDELINES ON ONLINE BUSINESS (PROVISIONAL)

Announcement of Ministry of Commerce on Promulgating Guidelines on Online Business (Provisional)

[2007] No. 19

For the purpose of promoting the healthy development of online business, gradually standardizing the online business operation and
preventing business risks, the Guidelines on Online Business (Provisional) is now promulgated. Please act accordingly.

Ministry of Commerce

March 6, 2007

The Ministry of Commerce
2007-03-06

OFFICIAL REPLY OF THE STATE ADMINISTRATION OF TAXATION ABOUT THE STARTING TIME OF THE IMPLEMENTATION OF CORPORATE INCOME TAX DEDUCTION AND EXEMPTION FOR NEWLY FOUNDED ENTERPRISES

Official Reply of the State Administration of Taxation about the Starting Time of the Implementation of Corporate Income Tax Deduction
and Exemption for Newly Founded Enterprises

Guo Shui Han [2007] No.365

The State Taxation Bureau of Jiangsu Province:

We have received your Request for Instructions about the Starting Time of the Implementation of Corporate Income Tax Deduction and
Exemption for Newly Founded Enterprises (Su Guo Shui Fa [2007] No.16). Upon study, we hereby render a reply as follows:

It is provided in Article 30 of the Notice of the State Administration of Taxation on Printing and Distributing the Measures for
the Administration of Tax Deduction and Exemption (for Trial Implementation) (Guo Shui Fa [2005] No. 129) that: “The present Measures
shall enter into force as of October 1, 2005. Where there is any previous provision conflicting with the present Measures, the latter
shall prevail.”, and Paragraph 2 of Article 15 of the Appendix provides that: “The production and operation day, as the starting
time for the implementation of tax deduction and exemption for a newly founded enterprise, shall be the day when the related taxpayer
gains its first income.” The two provisions may only be applicable to the enterprises set up after October 1, 2005. The judgment
on whether a taxpayer may enjoy the preferential policy on tax deduction and exemption for newly founded enterprises shall be based
on the time of its establishment instead of the time when the application for tax deduction and exemption is made. As regards an
enterprise set up prior to October 1, 2005 and gains the first income after October 1, 2005, the deducted or exempted taxes shall
be calculated subject to the provision of the Official Reply of the State Administration of Taxation about Standards for the Implementation
of Income Tax Preferences for Newly Founded Enterprises (Guo Shui Han [2003] No.1239).

The State Administration of Taxation

March 27th, 2007

The State Administration of Taxation
2007-03-27

OPINIONS OF SHANGHAI REGULATORY BUREAU UNDER CHINA BANKING REGULATORY COMMISSION ON THE SUPERVISION AND ADMINISTRATION OF FOREIGN LEGAL-PERSON BANKS IN SHANGHAI MUNICIPALITY

Opinions of Shanghai Regulatory Bureau under China Banking Regulatory Commission on the Supervision and Administration of Foreign
Legal-Person Banks in Shanghai Municipality

Hu Yin Jian Fa [2007] No.125

All the solely foreign-owned banks and Chinese-foreign joint-venture banks in Shanghai:

According to the principle of territorial supervision over legal-person banks, this Branch will, under the unified leadership of China
Banking Regulatory Commission, implement risk-based supervision over legal-person banks by focusing on the ideal of prudent supervision
and risk supervision. For the purpose of enhancing the efficiency and transparency of supervision, the following opinions are hereby
proposed on the supervision over foreign legal-person banks in Shanghai:

Foreign legal-person banks shall fully acquaint themselves with the regulatory thoughts of regulatory departments and actively assist
them in jointly promoting the sound and stable operation of banks.

The principle of territorial supervision shall be adopted by China Banking Regulatory Commission applies for foreign legal-person
banks. Under the unified guidance of China Banking Regulatory Commission, this Branch will perform the major duties of supervision
over the legal-person banks in Shanghai. The principal off-site supervisors will make further investigation to know more about each
bank, frequently visit these banks and do well in risk assessment and early warning. The principal on-site inspector shall attach
more importance to verifying the implementation of each mechanism through on-site testing, and make various inspection methods including
investigation and verification to improve the efficiency and effect of inspection. Meanwhile, each bank shall be graded according
to the sufficient communication between the principal supervisor and the principal inspector, and grading results shall be linked
up with regulatory measures and market access. Each bank shall further understand the regulatory principle, methods and requirements
over foreign legal-person banks and do well in making lower levels know policies and carry out internal training. The related organs
of each bank shall actively reinforce communication and exchange with regulatory departments to improve communication effects and
guarantee the bank operates in a sound and stable manner.

Foreign legal-person banks shall improve corporate governance and reinforce comprehensive risk management and compliance management

This Branch will emphasize on corporate governance, comprehensive risk management and compliance management of banks. Each bank shall
keep the business development level fit for its risk management capacity and compliance control capacity.

(1)

As regards corporate governance, each bank shall further improve its corporate governance structure and mechanism, and the board of
directors and the senior management level shall perform duties effectively. According to the principle of territorial supervision
and the general situation of classified supervision, this Branch will regularly hold more meetings and exchange ideas with the board
of directors and the senior management level of each bank, present the meeting of the board of directors as a nonvoting delegate
when necessary, hold talks with the shareholders of each bank attracting much attention, and hold annual conversation concerning
prudence with the senior management level. Each bank shall timely report this Branch the board meeting information in time for making
regulatory arrangement.

(2)

As regards comprehensive risk management, each bank shall make more efforts to perfect its risk management mechanism and the comprehensive
risk management level so as to make its risk management capacity fit for its business scale, complicated procedure and developing
speed.

(3)

As regards compliance management mechanism, each bank shall, on its own initiatives, reinforce identification management and self-assessment
of compliance risks so as to set up a sufficient and effective compliance management mechanism.

Foreign legal-person banks shall reinforce the independency and efficacy of internal auditing work and give real play to the role
of inner control as the third line of defense

Each bank shall further reinforce the building-up of internal auditing committee to enhance the independency, efficacy and appropriateness
thereof. This Branch will set up a mechanism to make regular communication and exchange with the internal auditing department of
each bank and, according to regulatory needs, propose the requirements of regulatory authorities on the items under internal auditing.
The internal auditing department of each bank shall accomplish the auditing of the stipulated items as required, directly send the
auditing report to this Branch and affix the auditing scheme, which shall list the auditing procedure, methods and selective inspection
results. This Branch will reevaluate the quality of these auditing reports and regularly hold meetings the persons responsible for
internal auditing of all banks attends to communicate and exchange regulatory opinions and information.

Foreign legal-person banks shall strengthen the responsibilities for internal management and conduct self-assessment on corporate
governance mechanism, comprehensive risk management mechanism and compliance management mechanism

Self-assessment mechanism shall be promoted by this Branch among foreign banks. A foreign legal-person bank newly established shall
make annual self-assessment on corporate governance mechanism, comprehensive risk management mechanism and compliance management
mechanism (for the specific format and content, see affixes) from the first year when it officially starts operation. Self-assessment
will be deemed as an organic component part of comprehensive risk supervision. This Branch will then reevaluate the self-assessment
results and exchange ideas thereon with the high level of each bank on the basis of off-site daily supervision and on-site examination
results. The self-assessment results and reevaluation results will be considered as important basis for regulatory grading and daily
examination.

Affix:

Report by Foreign Legal-person Banks Concerning the Self-assessment over Corporate Governance(omitted)

Report by Foreign Legal-person Banks Concerning the Self-assessment of Comprehensive Risk Management(omitted)

Report by Foreign Legal-person Banks Concerning the Self-assessment of Compliance Management(omitted)

China Banking Regulatory Commission, Shanghai Branch

April 27, 2007

Shanghai Regulatory Bureau under China Banking Regulatory Commission
2007-04-27

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING QINGDAO ECONOMIC-TECHNOLOGICAL AREA TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

Circular of the Ministry of Commerce on Entrusting Qingdao Economic-Technological Area to Examine, Approve and Administer the Relevant
Work on Foreign-invested Enterprises in Some Service Trade Sectors

Shang Zi Han [2007] No. 10

Qingdao Municipal People’s Government and Qingdao Economic-Technological Area,

Upon research, we hereby authorize the Management Committee of Qingdao Economic-Technological Area to be responsible for examining,
approving and administrating the foreign-funded enterprises in related service trade sectors set up inside its zone for the purpose
of encouraging and supporting the national economic and technological development zones to vigorously develop the high value-added
service industries.

The Management Committee of Qingdao Economic-Technological Area shall, in strict accordance with the laws and regulations on foreign
investments as well as the related provisions on foreign-funded enterprises of non-vessel shipping, construction, printing, construction
engineering design, road transport, commerce and international freight forwarding (see appendix), carefully examine and approve the
related foreign-funded enterprises set up within its zone, and report the related problems found in the work to the Ministry of Commerce
in a timely manner. The Ministry of Commerce shall implement the inspection of the aforesaid examination, approval and administration,
and cancel the authorization to a national economic and technological development zone which commits illegal examination and approval
during the course of authorization.

The Management Committee of Qingdao Economic-Technological Area shall conduct a good job in examination and approval, archival filing
and statistical work in strict accordance with the requirements of the Ministry of Commerce for networking and online joint annual
inspection and by taking advantage of the networking certification system for foreign-funded enterprises. The related statistical
data shall be in line with the requirements so that the Ministry of Commerce can keep informed of the situation and strengthen supervision.

Qingdao Economic-Technological Area, the management system of which needs to be improved, has not set up an independent finance department
yet. Qingdao Economic-Technological Area shall keep a close eye on and further resolve the problems in the management system, keep
a concise and efficient management system, and improve the level for examining, approving and administrating the foreign-funded enterprises.
Where any management system problem that may affect the work on examining, approving and administrating the foreign-funded enterprises
is found, this Ministry will withdraw the authorized power of examination, approval and administration immediately.

This circular shall enter into force as of the promulgation date.

Ministry of Commerce

February 12, 2007
Appendix:
Related documents on entrusting the competent provincial departments of commerce to examine, approve and Administer foreign-funded
service trade Enterprises

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Foreign-funded
Non-vessel Shipping Enterprises (Shang Zi Han [2005] No. 89)

Circular of the Ministry of Commerce on Entrusting the Competent Provincial Departments of Commerce to Examine and Manage Some Foreign-funded
Road Transport Enterprises (Shang Zi Han [2005] No. 93)

Circular of the Ministry of Commerce on Entrusting Local Departments to Check Foreign-funded Commercial Enterprises (Shang Zi Han
[2005] No. 94)

Measures for the Administration of Foreign-funded International Freight Forwarding Enterprises (Decree No. 19, 2005 of the Ministry
of Commerce)

Ministry of Commerce
2007-02-12

CIRCULAR OF THE STATE ADMINISTRATION OF TAXATION ON THE IMPLEMENTATION OF THE CLASSIFIED MANAGEMENT OF TAX-FREE EXPORT CIGARETTE PLANS

Circular of the State Administration of Taxation on the Implementation of the Classified Management of Tax-free Export Cigarette Plans

Guo Shui Han [2007] No. 318

The state taxation bureau of each province, each autonomous region, each municipality directly under the Central Government and each
city specifically designated in the state plan:

The State Administration of Taxation determines to implement the classified management of tax-free export cigarette plans as of 2007
for the purpose of promoting domestic cigarette enterprises to enlarge their shares in the international market, and after negotiating
with the State Tobacco Monopoly Administration of P.R.C. the related matters are hereby notified as follows:

We shall classify the cigarettes of such 16 trademarks as NISE, SILVER ELEPHANT, MARBLE, SONBONG, WIN, XINXING, ZHONGNANHAI, JINLU,
DUBAO, FISHER, ASHIMA, MODERN, FARSTAR, FURONG, WINBODY and R.G. D into the “cigarettes in the category of key fostering and development”.
The State Administration of Taxation will give the annual tax-free export quota in the first quarter every year for the “cigarettes
in the category of key fostering and development”, and increase or adjust the quota appropriately according to the actualities in
the fourth quarter. The quota upon application of the State Tobacco Monopoly Administration of P.R.C shall be supplemented by the
State Administration if any special factor causes evidently insufficient quota as given at the beginning of year.

Trademark, quantity, producer, target country or region and name of foreign merchants for the export cigarettes shall be included
in the tax-free export plan for the “cigarettes in the category of key fostering and development”. The adjustment shall be reported
to the State Administration of Taxation for examination and approval by the State Tobacco Monopoly Administration of P.R.C upon the
strength of the application of cigarette export enterprises at the real time in case that the target country or region needs to be
adjusted due to the change of target market change during the process of actual exportation.

As regards those cigarettes that are on the list of the tax-free export plan for the “cigarettes in the category of key fostering
and development”, the (original) export contract bearing the seal of China National Tobacco Import & Export Group Corporation
shall be reported by the cigarette export enterprise to the competent taxation authority for archival purpose after the effectiveness
of the contract entered into with the foreign merchant. When issuing a Certification on Approval of Tax-free Import and Export Cigarettes
(hereinafter referred to as the Approval Certificate) and going through the tax exemption cancellation procedures for export cigarettes,
the taxation authority shall check the materials applied by the cigarette export enterprise against the tax-free export quota that
is given by the State Administration of Taxation and the contract that has been filed by the cigarette export enterprise, and in
the case of the conformity upon verification, issue an Approval Certificate or handle the tax exemption cancellation procedures;
or in the case of unconformity upon verification, deal with it in accordance with the present provisions .

The cigarettes of the trademarks other than those that have been on the list of the “cigarettes in the category of key fostering and
development” shall be incorporated into the “cigarettes in the category of key management”. The related present provisions shall
apply in case of delivering the tax-free export quota, issuing Approval Certificates and going through export cancellation formalities
for the “cigarettes in the category of key management”.

The present Circular shall take effect as of April 1, 2007. The tax-free export plan for the “cigarettes in the category of key fostering
and development” in 2007 shall be given in the second quarter of 2007.

State Administration of Taxation

March 6, 2007

State Administration of Taxation
2007-03-06

1...567 Page 6 of 7

Tax

IMPLEMENTING REGULATIONS FOR THE LAW OF THE PEOPLE’S REPUBLIC OF CHINA ON INSPECTION OF IMPORT AND EXPORT COMMODITY

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING SHENYANG ECONOMIC-TECHNOLOGICAL AREA TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK...

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING NANJING ECONOMIC-TECHNOLOGICAL AREA TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

SOME OPINIONS OF THE MINISTRY OF EDUCATION CONCERNING FURTHER INTENSIFYING THE ABSORPTION OF EXCELLENT PEOPLE WITH OVERSEAS EDUCATIONAL BACKGROUND

MEASURES FOR ADMINISTRATION OF RENEWABLE RESOURCES

OFFICIAL REPLY OF THE STATE ADMINISTRATION OF TAXATION ABOUT THE DETERMINATION OF PRODUCTION VALUE PROPORTION OF THE EXPORTED PRODUCTS OF FOREIGN-INVESTED EXPORT ENTERPRISES

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING NINGBO ECONOMIC &TECHNICAL DEVELOPMENT ZONE TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

ANNOUNCEMENT OF MINISTRY OF COMMERCE ON PROMULGATING GUIDELINES ON ONLINE BUSINESS (PROVISIONAL)

OFFICIAL REPLY OF THE STATE ADMINISTRATION OF TAXATION ABOUT THE STARTING TIME OF THE IMPLEMENTATION OF CORPORATE INCOME TAX DEDUCTION AND EXEMPTION FOR NEWLY FOUNDED ENTERPRISES

OPINIONS OF SHANGHAI REGULATORY BUREAU UNDER CHINA BANKING REGULATORY COMMISSION ON THE SUPERVISION AND ADMINISTRATION OF FOREIGN LEGAL-PERSON BANKS IN SHANGHAI MUNICIPALITY

CIRCULAR OF THE MINISTRY OF COMMERCE ON ENTRUSTING QINGDAO ECONOMIC-TECHNOLOGICAL AREA TO EXAMINE, APPROVE AND ADMINISTER THE RELEVANT WORK ON FOREIGN-INVESTED ENTERPRISES IN SOME SERVICE TRADE SECTORS

CIRCULAR OF THE STATE ADMINISTRATION OF TAXATION ON THE IMPLEMENTATION OF THE CLASSIFIED MANAGEMENT OF TAX-FREE EXPORT CIGARETTE PLANS

CONSTITUTION ACT, 1982 – page 22

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

CONSTITUTION ACT, 1982 – page 17

CONSTITUTION ACT, 1982 – page 16

CONSTITUTION ACT, 1982 – page 12

CONSTITUTION ACT, 1982 – page 11

CONSTITUTION ACT, 1982 – page 10

CONSTITUTION ACT, 1982 – page 9

CONSTITUTION ACT, 1982 – page 8

CONSTITUTION ACT, 1982 – page 7