Brazilian Laws

CATALOGUE FOR THE GUIDANCE OF FOREIGN INVESTMENT INDUSTRIES (AMENDED IN 2004)






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the State Development and Reform Commission, the Ministry of Commerce

Order of the State Development and Reform Commission, the Ministry of Commerce of the People’s Republic of China

No.24

The Catalogue for the Guidance of Foreign Investment Industries and its Attachment have been amended and are promulgated now for the
purpose of meeting the need of economy and social development and adjustment of industrial structure, and shall come into force on
January 1st, 2005. The Catalogue for the Guidance of Foreign Investment Industries which was promulgated by the former State Development
Planning Commission, the former State Economy and Trade Commission and the former Ministry of Foreign Trade and Economic Cooperation
on March 11, 2002 shall be annulled at the same time.

Ma Kai, Director of the State Development and Reform Commission

Bo Xilai, Minister of the Ministry of Commerce

November 30, 2004

Catalogue for the Guidance of Foreign Investment Industries (Amended in 2004) Catalogue of Encouraged Foreign Investment Industries

I.

Farming, Forestry, Animal Husbandry and Fishery Industries

1.

Improvement of low and medium yielding field

2.

Planting technology, without social effects of pollution, of vegetables (including edible fungus and melon-watermelon), fruits, teas
and serial development and production of these products

3.

Development and production of new breed varieties (excluding those gene-modified varieties) of fine quality, high-yielding crops such
as sugar-yielding crops, fruit trees, flowers and plants, forage grass and related new techniques

4.

Production of flowers and plants, and construction and operation of nursery base

5.

Reusing in fields and comprehensive utilization of straws and stalks of crop, development and production of resources of organic fertilizers

6.

Cultivation of traditional Chinese medicines (equity joint ventures or contractual joint ventures only)

7.

Planting of forest trees (including bamboo) and cultivation of fine strains of forest trees

8.

Planting of caoutchoucs, sisals and coffees

9.

Breeding of quality varieties of breeder animals, breeder birds and aquatic offspring (excluding precious quality varieties peculiar
to China)

10.

Breeding of famous, special and fine aquatic products, as well as cage culture in deep water

11.

Construction and operation of ecological environment protection projects preventing and treating desertification and soil erosion
such as planting trees and grasses, etc.

II.

Mining and Quarrying Industries

*1.

Venture prospecting and exploitation of petroleum, natural gas

*2.

Exploitation of oil and gas deposits (fields) with low osmosis

*3.

Development and application of new technologies that can increase the recovery factor of crude oil

*4.

Development and application of new technologies for prospecting and exploitation of petroleum, such as geophysical prospecting, well
drilling, well-logging and downhole operation, etc.

5.

Prospecting and exploitation of coal and associated resources

6.

Prospecting and exploitation of coal-bed gas

7.

Exploration and beneficiation of gold mines with low quality or difficult to beneficiate (equity joint ventures or contractual joint
ventures only)

8.

Prospecting, exploitation, and beneficiation of iron ores and manganese ores

9.

Prospecting and exploitation of copper ores, plumbum ores and zinc ores (equity joint ventures or contractual joint ventures only,
wholly foreign-owned enterprises are permitted in west regions)

10.

Prospecting and mining of aluminum ores (equity joint ventures or contractual joint ventures only, wholly foreign-owned enterprises
are permitted in west regions)

11.

Mining and beneficiation of chemical mines including sulfur ores, phosphate ores, kalium ores, etc.

III.

Manufacturing Industries

1.

Food Processing Industry

(1)

Storage and processing of food, vegetables, fruits, fowl and livestock products

(2)

Aquatic products processing, seashell products cleansing and processing, and development of function food made from seaweed

(3)

Development and production of drinks of fruits, vegetables, albumen, teas and coffees

(4)

Development and production of fond for babies and agedness, as well as function food

(5)

Production of dairy products

(6)

Development and production of biology feeds and albumen feeds

2.

Tobacco Processing Industry

(1)

Production of secondary cellulose acetate and processing of tows

(2)

Production of tobacco slices in the way of paper making

3.

Textile Industry

(1)

Production of special textiles for engineering use

(2)

Weaving and dyeing as well as post dressing of high-grade loomage face fabric

4.

Leather, Coat Products Industry

(1)

Processing of wet blue skin of pig, cow and sheep with new technology

(2)

Post ornament and processing of bather with new technology

5.

Lumber Processing Industry and Bamboo, Bine, Palm, Grass Products Industry

(1)

Development and production of new technology and products for the comprehensive utilization of “sub-quality, small wood and fuel wood”
and bamboo in the forest area

6.

Paper Making and Paper Products Industry

(1)

Project based on the mode of integration of forest and paper with an annual production capacity of over 300 thousand tons of chemical
wood pulp or an annual production capacity of over 100 thousand tons of chemical mechanical wood pulp (equity joint ventures or contractual
joint ventures only)

(2)

Production of high-quality paper and cardboard (equity joint ventures or contractual joint ventures only)

7.

Petroleum Refining and Coking Industry

(1)

Deep processing of needle coke and coal tar

(2)

Production of heavy traffic road asphalt

8.

Chemical Raw Material and Products Manufacturing Industry

(1)

Production of alkene through catalyzing and cracking of heavy oil

(2)

Production of ethylene with an annual production capacity of 600 thousand tons or over (the Chinese partners shall hold relative majority
of shares)

(3)

Comprehensive utilization of ethylene side-products such as C5-C9

(4)

Mass production of corvic (in the way of ethylene)

(5)

Production of organochlorine serial chemical industrial products (excluding high-residual organochlorine products)

(6)

Production of basic organic chemical industrial raw materials such as the of benzene, methylbenzenc, dimethylobenzene, etc. and its
derivatives

(7)

Production of supporting raw materials for synthesized materials (bisphenol-A, (4)’ diphenylmethane, diiso-cyan ester, and vulcabond
toluene)

(8)

Production of synthetic fibre raw materials: precision terephthalic acid, vinyl cyanide, caprolactam and nylon 66 salt

(9)

Production of synthetic rubber (liquid butadiene styrene rubber by butadiene method, butyl rubber, isoamyl rubber, butadiene neoprene
rubber, butadiene rubber, acrylic rubber, chlorophydrin rubber)

(10)

Production of engineering plastics and plastic alloys

(11)

Fine chemistry industry: new products and technology for catalytic agent, auxiliary and pigment; processing technology for the commercialization
of dye (pigment); production of high-tech chemicals for electronics and paper-making, food additives, feed additives, leather chemical
products, oil-well auxiliaries, surface active agent, water treatment agent, adhesivcs, inorganic fibre, inorganic powder stuffing
and equipment

(12)

Production of auxiliary agent, preparation agent, and dye-stuff for textile and chemical fibre ladder

(13)

Production of depurant of automobile tail gas, catalyzer and other assistant agents

(14)

Production of nature spices, synthetic spices and single ion spices

(15)

Production of high capability dope

(16)

Production of chloridized titanium white

(17)

Production of chlorofluorocarbon substitution

(18)

Production of mass coal chemical industrial products

(19)

Development and production of new technology and products for the forestry chemicals

(20)

Production of ion film for caustic soda

(21)

Production of biologic fertilizers, high-density fertilizers (potash fertilizer, phosphate fertilizer) and compound fertilizers

(22)

Development and production of new varieties of effective, low poison and low residual agriculture chemicals and pesticides

(23)

Development and production of biology agriculture chemicals and pesticides

(24)

Development and production of inorganic, organic and biologic films for environment protection

(25)

Comprehensive utilization and disposure of exhaust gas, discharge liquid, waste residue

9.

Medicine Industry

(1)

Production of material medicines under patent and administrative protection in our country or chemical material medicines which we
have to import

(2)

Vitamins: production of niacin

(3)

Amino acid: production of serine, tryptophan, histidine, etc.

(4)

Production of analgesic-antipyretic medicines with new technique and new equipment

(5)

Production of new variety of anticarcinogen medicines, as well as cardiovascular and cerebrovascular medicines

(6)

Production of new, effective and economical contraceptive medicines and devices

(7)

Production of new variety of medicines which are produced by means of biological engineering technology

(8)

Production of vaccine through genie engineering technology (vaccine against AIDS, vaccine against type-C hepatitis, contraceptive
vaccine, etc.)

(9)

Development and production of medicines made from allopelagics

(10)

Production of diagnostic reagent for AIDS and radioimmunity diseases

(11)

Medicines and pharmaceutics: production of new products and new dosage forms adopting new techniques such as slow release, control
release, target preparation and absorbed through skins

(12)

Development and applications of new variety of adjuvant medicines

(13)

Processing and production of traditional Chinese herb medicines, products which distill from traditional Chinese herb medicines and
Chinese patent medicines (excluding preparing technique of traditional Chinese medicines in small pieces ready for decoction)

(14)

Production of biological medical materials and products

(15)

Production of antibiotic material medicines used for animals (including antibiotics and chemical synthesis medicines)

(16)

Development and production of new products and new dosage forms of antibiotic medical, anthelmintic, insecticide, anti-coccidiosis
medicines used for animals

10.

Chemical Fibre Manufacturing Industry

(1)

Production of differential chemical fibre and high, new technological fibre such as aromatic synthetic fibre, functional environment-amicable
ammo synthetic fibre with an annual production capacity of over 5000 tons, carbon fibre, high tensible and high modulus polythene

(2)

Production of chemical fibre of environmental protection variety such as direct viscose and asepsis spinning, etc.

(3)

Production of polyester used for non-fibre with a daily production capacity of over 500 tons, and production of new type polyester
used for fibre and non-fibre (poly terephthalic acid propylene glycol ester, poly sebacic acid glycol ester, polybutylene terephthalate(PBT),
etc.)

11.

Plastic Products Industry

(1)

Production of polyamide film which can keep fresh

(2)

Development and production of new products and new technologies for agricultural films (photolysis film, multifunctional film and
the raw materials, etc.)

(3)

Reutilization and counteraction of waste and old plastic

12.

Non-metal Mineral Products Processing Industry

(1)

Production of fine-quality floating glass with a daily melting capacity of 500 tons or over (only in mid-west region of China)

(2)

Production of new type dry process cement of clinker with a daily output capacity of 2,000 tons or over (only in midwest region of
China)

(3)

Production of glass fibre (product line with technology of wire drawing in tank furnace) and glass fibre reinforced plastic products
with an annual capacity of 10,000 tons or more

(4)

Production of high level sanitation porcelain with an annual production of 500,000 pieces or over

(5)

Standardization refine of ceramic material and production of high-level decorative materials used for ceramics

(6)

Production of high-level refractory material used in furnaces for glass, ceramics and glass fibre

(7)

Production of inorganic, non-metal materials and products (artificial crystal, high-capability complex materials, special kind of
glass, special kind of ceramics, special kind of airproof materials and special kinds of cementation materials)

(8)

Production of new type of building materials (lightweight high-intensity and multi-function materials for wall, high-level environment
protecting decorating and finishing materials, high quality water-proof and airproof materials, and effective thermal insulation
materials)

(9)

Deep processing of non-metal mineral products (super-thin comminution, high level pure, fine production, modification)

13.

Ferrous Metallurgical Smelting and Rolling Processing Industry

(1)

Production of direct and fusion reduced iron

14.

Non-Ferrous Metallurgical Smelting and Rolling Processing Industry

(1)

Smelting of gold mines with low quality or difficult to beneficiate (equity joint ventures or contractual joint ventures only, wholly
foreign-owned enterprises are permitted in west regions)

(2)

Production of hard alloy, tin compound and antimony compound

(3)

Production of non-ferrous composite materials, new type of alloy materials

(4)

Utilization of rare-earth

15.

Metal Products Industry

(1)

Design and manufacturing of non-metal products molds

(2)

Design and manufacturing of car and motorcycle molds (including plunger die, injection mold, moldingdie, etc.) and chucking appliances
(chucking appliances for welding, inspection jig, etc.)

(3)

Development and production of high-grade hardware for construction, hot-water heating equipment and hardware parts

16.

General Machine-building Industry

(1)

Manufacturing of numerically controlled machine tools, digital control system and servomechanism installations which exceed triaxiality
linkage

(2)

Manufacturing of high performance welding robot and effective welding and assembling production equipment

(3)

Production of high temperature resistant and insulation material (with F, H insulation class), as well as insulation shaped parts

(4)

Production with techniques of proportional, servo-hydraulic pressure, low-power pneumatic control valve and stuffing static seal

(5)

Production of precision plunger dies, precision cavity molds and standard components of molds

(6)

Manufacturing of precision hearings and all kinds of bearings used specially for principal machines

(7)

Manufacturing of casting and forging workblanks for cars and motorcycles

17.

Special Equipment Manufacturing

(1)

Development and manufacturing of new technology and equipment for the storage, preservation, classifying, packing, drying, transporting
and processing of food, cotton, oil, vegetables, fruits, flowers, pastura plants, meat and aqua-products

(2)

Manufacturing of facility agriculture equipment

(3)

Manufacturing of new technical agriculture and forestry equipment

(4)

Design and manufacturing of engines for tractors, combine harvesters, etc.

(5)

Manufacturing of equipment for reusing in fields and comprehensive utilization of straws and stalks of crop

(6)

Manufacturing of equipment for comprehensive utilization of waste agriculture products and waste fowl and livestock products which
are bred in scale

(7)

Manufacturing of water-saving irrigation equipment with new technique

(8)

Manufacturing of earthwork for wet land and desilting machines

(9)

Technology of hydrophily ecological system for protecting environment and equipment manufacturing

(10)

Manufacturing of equipment for scheduling system which is used in long-distance transmitting water engineering

(11)

Manufacturing of special machines and equipment for flood prevention and emergency rescue

(12)

Manufacturing of key equipment in food industry such as high-speed asepsis canning equipment and brander equipment, etc.

(13)

Production technology and key equipment manufacturing of aminophenol, zymin, food additive

(14)

Manufacturing of complete set equipment with a hourly feed processing capacity of 10 tons or more and key spare parts

(15)

Manufacturing of multi-color offset press for web and folio of paper or larger size

(16)

Manufacturing of equipment with new technique for post ornament and processing of leather

(17)

Manufacturing of high-tech involved special industrial sewing machines

(18)

Manufacturing of complete set of equipment of new type of knitting machines, new type of paper (including pulp) making machines

(19)

Design and manufacturing of new type of mechanical equipment for highways and ports

(20)

Manufacturing of equipment for highways and bridges maintenance, automatic detection

(21)

Manufacturing of equipment for operation supervisory control, ventilation, disaster prevention and rescue system of highway and tunnels

(22)

Design and manufacturing of large equipment for railway construction and maintenance

(23)

Manufacturing of equipment for garden machines and tools with new technique

(24)

Manufacturing of special equipment for cities’ sanitation and environment work

(25)

Manufacturing of machines for road milling and overhauling

(26)

Manufacturing of tunneling diggers, equipment of covered digging for city metro

(27)

Manufacturing of city sewage-disposal equipment with capacity of 80,000 tons/day or more, industrial sewage film treatment equipment,
up-flow anaerobic tluidized bed equipment, and other biological sewage disposal equipment, recycling equipment for waste plastics,
desulphurization and denitration equipment for industrial boiler, large high-temperature resistant, acid resistant bag dust remover,
incinerating equipment for rubbish treatment

(28)

Manufacturing of turbine compressors and combined comminutors of the complete set equipment with an annual production capacity of
300,000 tons or over of synthetic ammonia, 480,000 tons or over of urea, 450,000 tons or over ethylene

(29)

Technique for desulfurization of thermal power station and equipment manufacturing

(30)

Manufacturing of sheet conticasters

(31)

Deep processing technique and equipment manufacturing of plate glass

(32)

Manufacturing of equipment for downhole trackless mining, loading and transporting, mechanical power-driven dump trucks for mining
of 100 tons or over, mobile crushers, 3,000 m3 /h or over bucket excavator, 5 m3 or larger mining loader, full-section tunneling
machines

(33)

Design and manufacturing of new instruments and equipment for prospecting and exploitation of petroleum

(34)

Manufacturing of cleaning equipment for electromechanical wells and production of medical

(35)

Manufacturing of electronic endoscopes

(36)

Manufacturing of medical X-ray machines set with high-frequency technique, direct digital imagery processing technique and low radiation
(80kW or over)

(37)

Manufacturing of equipment for high magnetic field intensity and superconduct (MRI)

(38)

Manufacturing of machines for collecting blood plasm only

(39)

Manufacturing of equipment for auto elisa immuno system (including the functions of application of sample, elisa photo meter, wash
plate, incubation, data, post treatment, etc.)

(40)

New techniques of quality control of medicine products and new equipment manufacturing

(41)

New analytical techniques and extraction technologies, and equipment development and manufacturing for the effective parts of traditional
Chinese medicines

(42)

Producing and manufacturing of new packing materials, new containers for medicine, and advanced medicine producing equipment

18.

Communication and Transportation Equipment Industries

*(1)

Manufacture of complete automobiles (including R&D activities)

(2)

Manufacture of engines for automobiles (including R&D activities)

(3)

Manufacture of key spare parts for automobiles: complete disc brakes, complete driving rods, automatic gearboxes, fuel pumps of diesel
engine, inhalant supercharger of engines, electromotion steering system, adhesive axial organ(used for four-wheel drive), gas filling
vibration abosorber,air spring, hydraulic tappet, cluster gauge

(4)

Production of automobile electronic devices(including engine control system, underchassis control system, autocar body electric control
system)

(5)

Manufacture of vehicles for special-purpose in petroleum industry: vehicles for deserts, etc.

(6)

Technology and equipment for railway transportation: design and production of locomotives and main parts, design and production of
equipment for railways and bridges, related technology and equipment production for rapid transit railway, production of equipment
for communicational signals and transportation safety monitoring, production of electric railway equipment and instrument

(7)

Equipment for urban rapid transit track transportation: design and manufacture of sc( of powered car and main parts for metro, city
light rail

(8)

Design and manufacture of civil planes (Chinese partner shall hold the majority of shares)

(9)

Production of spares parts for civil planes

(10)

Design and manufacture of civil helicopters {Chinese partner shall hold the majority of shares)

(11)

Design and manufacture of aeroplane engines (Chinese partner shall hold the majority of shares)

(12)

Design and manufacture of civil air-borne equipment (Chinese partner shall hold the majority of shares)

(13)

Manufacture of light gas-turbine engine

(14)

Design and manufacture of crankshafts of low-speed diesel engine for vessel

(15)

Repairing, design and manufacture of special vessels, high-performance vessels (the Chinese party shall hold the relative majority
of shares)

(16)

Design and manufacture of the equipment and accessories of high-speed diesel engines, auxiliary engines, radio communication and navigation
for vessels (the Chinese party should hold relative majority shares)

(17)

Manufacture of fishing boats and yachts made of glass fibre reinforced plastic

19.

Electric Machinery and Equipment Industries

(1)

Fire power equipment: manufacture of super-critical units of over 600,000 KW, large gas turbines, gas-steam combined cycle power equipments
of over 100,000 KW, coal gasification combined cycle technique and equipment (IGCC), pressure boost fluidized bed (PFBC), large scale
air cooling generating units of over 600,000 KW, large scale cycle fluidized bed (CFB) boiler(limited to equity joint ventures and
cooperative joint ventures)

(2)

Hydropower plant equipment: manufacture of large pump-storage power units of 150,000kW and over, large tubular turbine units of 150,000KW
or over (equity joint ventures or contractual joint ventures only)

(3)

Nuclear-power plant equipment: manufacture of power units of 600,000KW or over (equity joint ventures or contractual joint ventures
only)

(4)

Power transmitting and transforming equipment: manufacture of super high-voltage DC power transmitting and transforming equipment
of 500 KW or over (equity joint ventures or contractual joint ventures only)

20.

Electronic and Telecommunications Industries

(1)

Manufacture of digital television, digital video camera, digital record player, digital sound-playing equipment

(2)

Manufacture of new type plate displays, medium and high resolution color kinescope and glass shielding

(3)

Manufacture of devices, such as key optic engine, light source, projection screen, high resolution projection tube and LCOS module
used in large screen color projection display

(4)

Manufacture of digital audio and visual coding or decoding equipment, digital broadcasting TV studio equipment, digital cable TV system
equipment, digital audio broadcast transmission equipment

(5)

Design of integrated circuit and production of large scale integrated circuit with a line width of 0.35 micron or smaller

(6)

Manufacture of medium- and large-sized computers, portable microcomputers, high-grade server

(7)

Development and manufacture of drivers of high capacity compact disk and disk and related parts

(8)

Manufacture of 3-dimension CAD, CAT, CAM, CAE and other computer application system

(9)

Development and manufacture of software

(10)

Development and production of materials specific for semi-conductor and components

(11)

Manufacture of electronic equipment, testing equipment, tools and moulds

(12)

Manufacture of new type electronic components and parts (slice components, sensitive components, sensors, frequency monitoring and
selecting components, hybrid integrated circuit, electrical and electronic components, photoelectric components, new type components
for machinery and electronics)

(13)

Manufacture of hi-tech green batteries: non-mercury alkali-manganese batteries, powered nickel-hydrogen batteries, lithium-ion batteries,
high-capacity wholly sealed maintenance-proof lead-acid accumulators, fuel batteries, pillar-shaped zinc-air batteries

(14)

Development and manufacture of key components for high-density digital compact disk driver

(15)

Reproduction of read-only compact disk and manufacture of recordable compact disk

(16)

Design and manufacture of civil satellites {Chinese partner shall hold the majority of shares)

(17)

Manufacture of civil satellites effective payload (Chinese partner shall hold the majority of shares)

(18)

Manufacture of spare pans for civil satellites

(19)

Design and manufacture of civil carrier rockets (Chinese partner shall hold the majority of shares)

(20)

Manufacture of telecommunication system equipment for satellites

(21)

Manufac

THE ANNOUNCEMENT OF THE GENERAL ADMINISTRATION OF CUSTOMS ON THE OFFICIAL START OF THE CARGO MANIFEST FOR ENTRY-EXIT BY LAND OF INLAND CUSTOMS AND HONG KONG CUSTOMS




The General Administration of Customs

The Announcement of the General Administration of Customs on the Official Start of the Cargo Manifest for Entry-exit by Land of Inland
Customs and Hong Kong Customs

[2004] No. 42

December 15, 2004

In accordance with the No. 23 Announcement 2004 of the General Administration of Customs, the Cargo Manifest for Entry-exit by Land
of Inland Customs and Hong Kong Customs has been tried out uniformly in inland and Hong Kong SAR since January 1, 2004. The tryout
of the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs has a positive impact on improving the economic
development of the two sides, facilitating the economic and trade communication between them and enhancing the legal enforcement
assistant between the customs of both sides, from which an excellent result has been achieved. After one year’s tryout and transition,
the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs is now been amended and perfected based on the
advice solicited from the transportation industry and on-spot customs; related issues are hereby proclaimed as follows:

1.

As of January 1, 2005, the declaration of the land cargo vehicles between the two sides starts to use the amended Cargo Manifest
for Entry-exit by Land of Inland Customs and Hong Kong Customs. (See attachment 1)

2.

As of January 1, 2005, the declaration of empty land cargo vehicles between the two sides starts to use the Cargo Manifest for Entry-exit
by Land of Inland Customs and Hong Kong Customs special for empty vehicles and in one pattern, two sheets. (See attachment 2)

3.

In starting to use the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs, the declaration information
such as the number of Vehicle License Plates, chassis, container of the transportation vehicle may be obtained; the tractor, trailer
and container are exempted from bound transportation.

4.

In considering that some transportation enterprises still remain some pieces of Cargo Manifest for Entry-exit by Land of Inland Customs
and Hong Kong Customs of trial version in 2004, it is decided that the use of the Cargo Manifest for Entry-exit by Land of Inland
Customs and Hong Kong Customs of trial version in 2004 extends to March 31, 2005 in order to avoid economic loss of these enterprises;
at the expiration of this time, the use thereof is prohibited.

5.

As of January 1, 2005, for the cargo vehicles commuting between inland and Hong Kong (including empty vehicles), the declaration
using the Cargo Manifest for Entry of the Customs of PRC and the Cargo Manifest for Exit of the Customs of PRC for declaration shall
be stopped.

Attachment:

1.

Sample of the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs

2.

Sample of the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs special for empty vehicles (omitted)

3.

The standard and instruction in filling the Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs

htm/e03802.htmAttachment 1

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Attachment 1:

 Cargo Manifest for Entry-exit by Land of Inland Customs and Hong Kong Customs

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Inland Cargo manifest No.:￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿

5 0 0 0 1 5 8 3 2 0 0 3 6  

Hong Kong Cargo Manifest No.:                                      

￿￿￿￿Vehicle License Plate No.: (Inland Vehicle License Plate No.:                                 
Hong Kong Vehicle License Plate No.:                                 
)

￿￿￿_￿Entry/exit* date:                                 
Cargo Loading Place:                                 
Cargo unload place:                                 
This copy manifest has                                   
pages






Item

Name & specification  of cargo

Mark & No.

Package & quantity

Weight/net weight*(kilogram)

Price(currency)

Name & Address of exporter or freight forwarder (Seal)

Name & Address of consignee

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total quan

MEASURES FOR THE ADMINISTRATION OF SUBSCRIBERS’ ORDER OF IMPORTED PUBLICATIONS

the General Administration of Press and Publication

Decree of the General Administration of Press and Publication of the People’s Republic of China

No. 27

The Measures for the Administration of Subscribers’ Order of Imported Publications, which were adopted at the 4th executive meeting
of the General Administration of Press and Publication on December 9th, 2004, are hereby promulgated and shall come into force since
February 1st, 2005.

General Director of the General Administration of Press and Publication Shi Zongyuan

December 31, 2004

Measures for the Administration of Subscribers’ Order of Imported Publications

Article 1

The present Measures are formulated in accordance with the Regulation on the Administration of Publication and other relevant laws
and regulations for the purpose of meeting the reading demand for imported publications of domestic entities and individuals, foreign
organizations, foreign-funded enterprises and foreigners in China, and people from Hong Kong, Macao and Taiwan regions and strengthening
the administration of imported publications.

Article 2

Any subscriber’s order of imported publications within the territory of China shall be applied to the present Measures.

The “imported publications” as mentioned in the present Measures refers to the books, newspapers (including back issues), periodicals
(including back issues) and electronic publications, etc. that are imported by the imported publication management entities and are
published abroad or in the Special Administrative Region of Hong Kong, the Special Administrative Region of Macao or the Taiwan Region
of China.

The “imported publication management entities” as mentioned in the present Measures refers to the entities, as established in accordance
with the Regulation on the Administration of Publication, that engage in the import business management of publications.

The “subscribers” as mentioned in the present Measures refers to any domestic entity or individual, any foreign organization, foreign-funded
enterprise in China, any foreigner who works, studies or lives in China for a long term and any person from Hong Kong, Macao or Taiwan.

The “order” as mentioned in the present Measures refers to that a subscriber, for the purpose of meeting the reading demand of the
entity where he works or of himself, place an order of the purchase for imported publications to the imported publication management
entity.

Article 3

The state adopts the system of classified administration on the distribution of imported publications. Imported newspapers and periodicals,
imported books and electronic publications, etc. whose distribution is limited shall be distributed on the distribution manner that
subscribers order them and they are supplied through classified distribution. The imported books and electronic publications whose
distribution is not limited shall be distributed by way of market sales.

The imported newspapers and periodicals fall into two categories: those of limited distribution and those of unlimited distribution.

The categories of imported newspapers, periodicals, books and electronic publications of limited distribution shall be decided by
the General Administration of Press and Publication.

Article 4

The order of imported publications by subscribers shall be managed by the imported publication management entities. In particular,
the business of imported newspapers and periodicals ordered by subscribers shall be carried out by the imported publication management
entities designated by the General Administration of Press and Publication. The business of imported books and electronic publications
of limited distribution shall be carried out by the imported publication management entities designated by the General Administration
of Press and Publication within the authorized business scope.

Unless upon the approval of the General Administration of Press and Publication, no entity or individual may engage in the business
activities of imported newspapers and periodicals ordered by subscribers or imported books and electronic publications of limited
distribution.

In case any imported publication management entity entrusts a non- imported publication- management entity to solicit subscriptions
for or distribute any imported publication, it shall report to the General Administration of Press and Publication for approval in
advance.

Article 5

In case any domestic entity subscriber places an order on any imported newspaper or periodical of unlimited distribution, it may directly
go to the import entity of newspapers or periodicals designated by the General Administration of Press and Publication to deal with
procedures of order with the order application form of the entity. A domestic individual subscriber shall deal with procedures of
order via the entity where he works.

Article 6

Domestic entity subscribers, who may order imported newspapers, periodicals, books and electronic publications whose distribution
is limited, shall be decided by the General Administration of Press and Publication.

Article 7

For domestic entity subscribers who order imported newspapers, periodicals, books and electronic publications of limited distribution,
the entity subscribers under the Central Government shall be subject to the examination and approval by the corresponding ministry
or commission to which they are subordinated; the local entity subscribers shall be subject to the examination and approval by the
Press and Publication Bureau of its province, autonomous region or municipality directly under the Central Government and, thereafter,
be reported to the publicity department of the Party Committee at the same level for approval. Any subscriber who has obtained the
approval thereof may go to the imported publication management entities designated by the General Administration of Press and Publication
with an entity order application form and the relevant approval documents to deal with the procedures of order.

Article 8

Any foreign organization, foreign-funded enterprise in China or any foreigner who works, studies, or lives in China for a long term
or any person from Hong Kong, Macao or Taiwan, who orders any imported newspaper or periodical, shall go to the import entities of
newspapers or periodicals designated by the General Administration of Press and Publication with an entity order application form
or their identification certification to deal with the procedures of order.

Article 9

Imported publication management entities shall be responsible for the examination and approval of the subscribers who order imported
newspapers, periodicals, books, electronic publications of limited distribution, and shall report the name list of subscribers after
examination and approval and the drafted categories and subscription quantity of imported newspapers, periodicals, books and electronic
publications of limited distribution to the General Administration of Press and Publication for approval. The imported publication
management entities shall supply the subscribers in accordance with the name list of subscribers and the categories and subscription
quantity of imported newspapers, periodicals, books and electronic publications of limited distribution as approved.

Article 10

Whoever unlawfully engages in the business of subscribers’ order for imported publications shall be punished according to Article
55 of the Regulation on the Administration of Publications.

Whoever violates any other provisions of the present Measures shall be ordered to correct and be imposed a warning by the administrative
department of press and publication, and, in the event of a serious case, shall be imposed a fine of no more than 30,000 yuan.

Article 11

The present Measures shall come into force since February 1,2005.

 
the General Administration of Press and Publication
2004-12-31

 




RESIDENT IDENTITY CARDS LAW

Law of the People’s Republic of China on Resident Identity Cards

(Adopted at the 3rd Meeting of the Standing Committee of the Tenth National People’s Congress on June 28, 2003 and
promulgated by Order No.4 of the President of the People’s Republic of China on June 28, 2003) 

Contents 

Chapter I    General Provisions 

Chapter II   Application and Issuance 

Chapter III  Use and Examination 

Chapter IV   Legal Responsibility 

Chapter V    Supplementary Provisions 

Chapter I 

General Provisions 

Article 1  This Law is enacted for the purposes of proving the identities of the citizens residing within the territory of the
People’s Republic of China, safeguarding their legitimate rights and interests, facilitating their social activities and maintaining
public order. 

Article 2  Any Chinese citizen who has reached the age of 16 and who resides within the territory of the People’s Republic of
China shall, in accordance with the provisions of this Law, apply for the resident identity card; and any Chinese citizen under the
age of 16 may, in accordance with the provisions of this Law, apply for resident identity card. 

Article 3  The items to be registered in a resident identity card consist of the name, sex, nationality, date of birth, address
of permanent residence, citizen’s identity number, the bearer’s photograph, term of validity of the card and the issuing authority. 

The citizen’s identity number is the sole and inalterable permanent identity code of a citizen, which is designed by the public security
organ according to the national standard for citizens’ identity numbers. 

Article 4  Standard Chinese characters and numerals and symbols conforming to national standards shall be used in filling out
a resident identity card. 

With respect to the items in the resident identity card to be registered in Chinese, the authority of autonomy in a national autonomous
area may, in light of the actual conditions of the area, decide to use at the same time the written language of the nationality enjoying
regional autonomy or the written language that is commonly used locally. 

Article 5  The terms of validity of resident identity cards for citizens at or over the age of 16 shall be 10 years, 20 years,
or permanent. To citizens between the age of 16 and 25, shall be issued resident identity cards valid for 10 years; to those between
the age of 26 and 45, shall be issued resident identity cards valid for 20 years; and to those at or over the age of 46, shall be
issued resident identity cards valid permanently. 

Where a citizen under the age of 16 voluntarily applies for the resident identity card, a card valid for five years shall be issued
to him. 

Article 6  The resident identity card shall be designed by the department for public security under the State Council. And the
resident identity cards shall be uniformly made and issued by public security organs. 

The resident identity cards shall be readable both visually and by computer, and the contents read visually and by computer shall
be limited to the items prescribed in the first paragraph of Article 3 of this Law. 

Public security organs and people’s police shall keep confidential citizen’s personal information gained through making, issuing,
examining or seizing resident identity cards. 

Chapter II 

Application and Issuance 

Article 7  Any citizen shall, within three months from the date he reaches the age of 16, apply to the public security organ
at the place of his permanent residence for the resident identity card. 

In the case of a citizen under the age of 16, his guardian shall apply for the resident identity card on his behalf. 

Article 8  A resident identity card shall be signed and issued by the public security organ under the people’s government at
the county level at the place where a person’s permanent residence is registered. 

Article 9  When going through the formalities of permanent residence registration, compatriots from Hong Kong, Macao or Taiwan
who move to resettle down on the mainland, or overseas Chinese who return to reside in China, or foreign nationals or stateless persons
who reside within the territory of the People’s Republic of China and who are naturalized or whose nationality of the People’s Republic
of China is restored upon approval shall, in accordance with the provisions in this Law, apply for resident identity cards. 

Article 10  Anyone who applies for the resident identity card shall fill out the Registration Form of Application for Resident
Identity Card and present his resident household registration book for examination. 

Article 11  Where the term of validity of a resident identity card expires, or a citizen changes his name, or the card is so
seriously damaged that what is registered becomes illegible, the bearer shall apply for a new card; where mistake is found in the
items registered in a resident identity card, the public security organ shall put it right without delay and issue a new card; and
when getting the new card, the bearer shall return the original one. Anyone who loses his resident identity card shall apply for
reissue of a card. 

Where any of the circumstances mentioned in the preceding paragraph occurs to a citizen under the age of 16 in respect of his resident
identity card, he may apply for a new card, for changing the card ,or for reissue of a card. 

When a citizen goes through the formalities of changing his permanent residence registration, the public security organ shall record
the change of the address of the citizen’s permanent residence under the relevant computer-read item in the resident identity card
and inform the citizen himself of the fact. 

Article 12  When a citizen applies for a resident identity card or for changing the card, or for reissue of a card, the public
security organ shall, in accordance with relevant regulations, handle the matter without delay. The public security organ shall issue
the resident identity card within 60 days from the date the citizen submits the Registration Form of Application for Resident Identity
Card; for areas where transport facilities are inconvenient, the time limit for handling such matter may be appropriately extended,
but the extension may not exceed 30 days. 

Where a citizen is in urgent need of his resident identity card during the period when he applies for the card, or for changing the
card, or for reissue of a card, he may apply for a temporary resident identity card, and the public security organ shall, in accordance
with relevant regulations, handle the matter without delay. The specific measures in this regard shall be formulated by the department
for public security under the State Council. 

Chapter III 

Use and Examination 

Article 13  Where any citizen is required to prove his identity when engaged in relevant activities, he shall have the right
to use his resident identity card for the purpose, and no unit or its staff member concerned may reject it. 

Article 14  Any citizen shall, under any of the following circumstances, produce his resident identity card to prove his identity: 

(1) changing of the permanent residence registration; 

(2) registering for conscription; 

(3) registering for marriage or adoption ; 

(4) applying for going through the formalities of leaving the country; or 

(5) other circumstances where, according to the provisions of laws and administrative regulations, the resident identity card is
required to prove his identity. 

Where a citizen who fails to get the resident identity card in accordance with the provisions of this Law intends to do what is mentioned
in the preceding paragraph, he may prove his identity by any other means which conforms to State regulations. 

Article 15  When performing his duties in accordance with law under any of the following circumstances, a people’s policeman
may, after producing his law-enforcement papers, examine the resident identity cards: 

(1) when it is necessary to find out the identity of a law-breaker or criminal suspect; 

(2) when it is necessary to find out the identities of the persons concerned during on-the-spot control exercised in accordance with
law; 

(3) when it is necessary to find out the identities of the relevant persons on the spot in an unexpected incident that seriously
endangers public security; or 

(4) other circumstances under which it is necessary to find out people’s identities, as is required by the provisions of laws. 

Where a person refuses to have his resident identity card examined by the people’s police under any of the circumstances listed in
the preceding paragraph, measures shall, on the basis of the different circumstances, be taken to deal with him in accordance with
the provisions of relevant laws. 

No organization or individual may seize any resident identity card. However, exception shall be made where the public security organ
executes the enforcement measure for residential surveillance in accordance with the Criminal Procedure Law of the People’s Republic
of China. 

Chapter IV 

Legal Responsibility 

Article 16  Anyone who commits one of the following acts shall be given a disciplinary warning by the public security organ
and shall, in addition, be fined not more than RMB 200 yuan, and the illegal gains, if any, shall be confiscated: 

(1) obtaining the resident identity card by using false documents of certification; 

(2) leasing, lending or making over the resident identity card to another person; or 

(3) illegally seizing the resident identity card of another person. 

Article 17  Anyone who commits one of the following acts shall be imposed by the public security organ a fine of not less than
200 yuan but not more than 1,000 yuan, or shall be detained for not more than 10 days, and the illegal gains, if any, shall be confiscated: 

(1) using another person’s resident identity card as his own or a resident identity card obtained by fraudulent means; or 

(2) buying, selling or using falsely made or forged resident identity card. 

Any resident identity card that is falsely made, or forged, or obtained by fraudulent means shall be forfeited by the public security
organ. 

Article 18  Anyone who falsely makes or forges resident identity cards shall be investigated for criminal responsibility in
accordance with law. 

Anyone who commits one of the acts listed in Articles 16 and 17 of this Law and engages in criminal activities shall be investigated
for criminal responsibility in accordance with law. 

Article 19  Any of the people’s police commits one of the following acts shall, according to the seriousness of the circumstances,
be given administrative sanctions in accordance with law; and if a crime is constituted, he shall be investigated for criminal responsibility
in accordance with law: 

(1) by taking advantage of making, issuing or examining resident identity cards, accepting or receiving money or things of value
offered by other persons or seeking other benefits; 

(2) illegally changing a citizen’s identity number, or registering in the resident identity card information other than the items
prescribed in the first paragraph of Article 3 of this Law or intentionally registering false information; 

(3) without justifiable reasons, failing to issue resident identity cards within the statutory time limit; 

(4) examining or seizing a resident identity card in violation of regulations and thus infringing upon the lawful rights and interests
of a citizen; or 

(5) divulging a citizen’s personal information gained through making, issuing, examining or seizing his resident identity card and
thus infringing upon the citizen’s lawful rights and interests. 

Chapter V 

Supplementary Provisions 

Article 20  Where a citizen applies for a residence identity card, or for changing the card, or for reissue of one, he shall
pay for the cost of the card. The rate for the cost of a resident identity card shall be determined upon examination by the competent
department for pricing under the State Council in conjunction with the department for finance under the State Council. 

Urban residents who receive subsistence allowances and rural residents who live in specially straitened circumstance shall be exempted
from paying the costs of resident identity cards when they apply for such cards and for changing the cards for the first time. As
to the other residents who really have difficulties in making ends meet, the payment of the costs of resident identity cards may
be reduced when they apply for the cards and for changing the cards for the first time. The specific measures for exemption and reduction
of such payment shall be formulated by the department for finance under the State Council in conjunction with the competent department
for pricing under the State Council. 

The payments for the costs of resident identity cards collected by public security organs shall all be turned over to the State Treasury. 

Article 21  The specific measures for the soldiers of the People’s Liberation Army and people’s armed policemen in active service
to apply for resident identity cards and for issuing such cards shall be separately formulated by the State Council and the Central
Military Commission. 

Article 22  This Law shall go into effect as of January 1, 2004, and the Regulations of the People’s Republic of China Concerning
Resident Identity Cards shall be abrogated at the same time. 

The resident identity cards obtained in accordance with the Regulations of the People’s Republic of China Concerning Resident Identity
Cards shall remain valid within their terms of validity before the said cards are changed in accordance with this Law. The specific
measures for exchange for the new resident identity cards shall be formulated by the State Council.

Notice: All Rights Reserved to the Legislative Affairs Commission of the Standing Committee of the National People’s Congress.




PROVISIONS ON COLLECTIVE CONTRACTS

e02894

Ministry of Labor and Social Security

Order of the Ministry of Labor and Social Security of the People’s Republic of China

No. 22

The Provisions on Collective Contracts, which were adopted at the 7th executive meeting of the Ministry of Labor and Social Security,
are hereby promulgated and shall come into force as of May 1, 2004.

the Minister of the Ministry of Labor and Social Security Zheng Silin

January 20, 2004

Provisions on Collective Contracts

Chapter I General Provisions

Article 1

With a view to regulating the acts of conducting collective negotiations and concluding collective contracts, protecting the legitimate
rights and interests of the workers and the employing entities, the present Provisions are formulated according to the Labor Law
of the People’s Republic of China and the Trade Union Law of the People’s Republic of China.

Article 2

The present Provisions shall apply to the enterprises and the public institutions implementing enterprise-management within the territory
of China (hereinafter referred to as the employing entities) that conduct collective negotiations and conclude collective contracts
with their respective employees.

Article 3

The term “collective contract” as mentioned in the present Provisions refers to the written agreement concluded between an employing
entity and its workers on items such as labor remuneration, working hours, rest and vacations, labor safety and health, professional
training and insurance and welfare through collective negotiation according to laws, regulations and rules. The term “special collective
contract” as mentioned in the present Provisions refers to the special written agreement concluded between an employing entity and
its workers on a specific item according to laws, regulations and rules.

Article 4

When signing a collective contract or a special collective contract and determining the related matters, the employing entity and
its workers shall adopt the way of collective negotiation which shall be conducted mainly in the form of negotiation meeting.

Article 5

When conducting a collective negotiation or signing a collective contract or a special collective contract, the parties concerned
shall adhere to the following principles:

(1)

abiding by laws, regulations and rules and relevant provisions of the state;

(2)

respecting each other and negotiating equally;

(3)

keeping honest and good faith, conducting fair cooperation;

(4)

taking into consideration the legitimate rights and interests of both parties simultaneously;

(5)

not taking extreme actions.

Article 6

The collective contract or special collective contract that accord with the present Provisions shall have legal binding force on the
employing entity and all of its employees.

The standards for working conditions and labor remuneration as provided for in the labor contract signed by an employing entity and
an employee shall not be lower than those in the collective contract or special collective contract.

Article 7

The administrative departments of labor and social security at (or above) the level of county shall, within their respective administrative
areas, conduct supervision over the conditions of the collective negotiations, the signing and fulfillment of collective contracts
of the employing entities and their respective employees, and shall be responsible for the examination of the collective contracts
or special collective contracts.

Chapter II Content of Collective Negotiation

Article 8

Both parties to the collective negotiation may conduct collective negotiation on some or one of the following matters, and sign a
collective contract or special collective contract:

(1)

labor remuneration;

(2)

working hours;

(3)

rest and vacations;

(4)

labor safety and health;

(5)

additional insurance and welfare;

(6)

special protection for female employees and minors;

(7)

trainings of professional skills;

(8)

management of labor contracts;

(9)

rewards and punishments;

(10)

staff reduction;

(11)

the term of collective contract;

(12)

procedures for modifying or canceling the collective contract;

(13)

settlement of disputes, which arise in fulfilling the collective contract, through negotiation;

(14)

liabilities for breach of collective contracts;

(15)

other matters agreed on by both parties through negotiation.

Article 9

The labor remuneration shall mainly include:

(1)

the level of wages, the wage distribution system, the wage standards and the wage distribution method of an employing entity;

(2)

the measures for wage payment;

(3)

the overtime wages and the standards on allowances or subsidies and the measures for distribution of premium;

(4)

the measures for the adjustment of wages;

(5)

the wages and treatments during the probation period, sick leaves or private affair leaves;

(6)

the measures for paying the wages (subsistence allowance) to the employees under special circumstances;

(7)

other measures for distributing labor remuneration.

Article 10

The working hours shall mainly include:

(1)

the system of working hours;

(2)

the measures for overtime work;

(3)

the working hours for special jobs;

(4)

the standard for labor quota.

Article 11

The rest and vocations shall mainly include:

(1)

the measures for the daily rest time, weekly rest days arrangement and annual vocations;

(2)

the rest time and vocations for employees who are unable to implement the standard working hours;s

(3)

other vocations.

Article 12

The labor safety and health shall mainly include:

(1)

the labor safety and health responsibility system;

(2)

the working conditions and safety technologies and measures;

(3)

the procedures for safe operation;

(4)

the standard for distributing labor protection appliances;

(5)

regular health examinations and occupation health examinations.

Article 13

The additional insurances and welfares shall mainly include:

(1)

the types and scopes of the additional insurances;

(2)

the basic welfare system and welfare facilities;

(3)

the extension of medical leaves and the treatments;

(4)

the welfare system to the relatives of the employees.

Article 14

The special protection of female employees and minors shall mainly include:

(1)

the work that shall not be assigned to female employees and minors;

(2)

the labor protection for female employees during periods of emmenia, pregnancy, confinement and breast feeding;

(3)

the regular health examination for female employees and minors;

(4)

the employment and registration system of minors.

Article 15

The training of professional skills shall mainly include:

(1)

the programming of professional skill trainings and the annual plan;

(2)

the extracting and use of fees for the training of professional skills;

(3)

the measures for guaranteeing and perfecting the training of professional skill.

Article 16

The management of labor contracts shall mainly include:

(1)

the date when a labor contract is concluded;

(2)

the conditions for determining the duration of a labor contract;

(3)

the general principles for modifying, canceling and renewing a labor contract, and the conditions for terminating a labor contract
without fixed time limit;

(4)

the conditions and time limit for the probation.

Article 17

The rewards and punishments shall mainly include:

(1)

the labor disciplines;

(2)

the performance evaluation, reward and punishment system;

(3)

the reward and punishment procedures;

Article 18

The staff reduction shall mainly include:

(1)

the program for staff reduction;

(2)

the procedures for staff reduction;

(3)

the implementing measures for staff reduction and the compensation standards;

Chapter III Representatives of Collective Negotiation

Article 19

The term “representatives of collective negotiation” (hereinafter referred to as representatives) as mentioned in the present Provisions
refers to people who are elected according to legal procedures and are enpost_titled to take part in the collective negotiation on behalf
of the interests of their own party.

Both parties to a collective negotiation shall have the same number of representatives. Each party shall have at least 3 representatives
and assign one of them as the chief representative.

Article 20

The representatives of collective negotiation on behalf of the employees shall be designated by the labor union of the entity. In
the case of absence of a labor union, they shall be subject to the democratic recommendation by the employees of this entity and
shall be subject to the consent by at least half of the employees.

The chief representative on behalf of the employees shall be the chairman of the labor union of this entity. The chairman of the labor
union may entrust in written form another representative to take the position of the chief representative. In the case of absence
of the chairman of the labor union, the chief representative shall be the major person in charge of the labor union. In the case
of absence of the labor union, the chief representative on behalf of the employees shall be elected through democratic recommendation
by the representatives.

Article 21

The representatives on behalf of the employing entity shall be designated by the legal representative of this entity, and the chief
representative shall be the legal representative of this entity or another manager entrusted by him in written form.

Article 22

The time limit for representatives to perform their responsibilities shall be determined by the parties they represent.

Article 23

The chief representative of each party of collective negotiation may entrust in written form some professionals outside the entity
as representatives, and the number of entrusted persons shall not exceed one third of the representatives from this entity.

The chief representative shall not be a person outside the entity.

Article 24

No person may concurrently act as a representative of the employing entity and a representative of the employees.

Article 25

The representatives shall perform the following duties:

(1)

to participate in the collective negotiation;

(2)

to accept the inquiries of the persons of the party represented by them, and timely announce the information on the negotiation to
the persons of the party represented by them and ask them for advices;

(3)

to supply the information and materials related to the collective negotiation;

(4)

to take part in the settlement of the disputes under collective negotiation on behalf of the party represented by them;

(5)

to conduct supervision over the fulfillment of the collective contract or special collective contract;

(6)

other duties as provided for in the laws, regulations and rules.

Article 26

The representatives shall protect the normal production or work order of the entity, and shall not have any acts of threatening, buying
over or cheating.

The representatives shall keep confidential the commercial secrets of the employing entity that they have learned in the course of
collective negotiation.

Article 27

The representatives inside an enterprise who have participated in the collective negotiation shall be deemed as having provided normal
labor.

Article 28

Where the labor contract of a representative expires during the period of his performing the duties as a representative, it shall
automatically extend to the date when he fulfills his duties,And the employing entity shall not cancel the labor contract unless
he is under any of the following circumstances:

(1)

having seriously violated the labor disciplines or the provisions and rules formulated by the employing entity pursuant to law;

(2)

having seriously neglected his duties or seeking private interests, which leads to serious impairment to the interests of the employing
entity;

(3)

being subject to criminal liabilities.

During the period of a person’ performing of the duties as a representative, the employing entity shall not change his post without
justifiable reasons.

Article 29

Where there is any dispute between a representative of the employees and the employing entity due to the matters as provided for in
Articles 27 and 28, an application for arbitration may be filed to the local arbitration commission for labor disputes.

Article 30

The labor union may change the representatives of the employees. In the case of absence of the labor union, the representatives of
the employees may be changed upon the consent of at least half of the employees.

The legal representative of the employing entity may change the representatives of the employing entity.

Article 31

Where there is any absence of a representative due to change, resignation or any other force majeure, a new representative shall be
elected within 15 days from the day when the absence occurs according to the present Provisions.

Chapter IV Procedures for Collective Negotiation

Article 32

Either party of the collective negotiation may make a written request for collective negotiation to the other party on signing a collective
contract or special collective contract and the related matters.

Where a party makes a request for collective negotiation, the other party shall give it a written reply within 20 days from the day
when it receives the request, and shall not refuse to conduct collective negotiation without justifiable reasons.

Article 33

The representatives shall make the following preparations before the negotiation:

(1)

to get familiar with the laws, regulations, rules and systems related to the collective negotiation;

(2)

to learn the information and materials related to the collective negotiation, collect the opinions of the employing entity and the
employees on the collective negotiation;

(3)

to determine the matters under collective negotiation, which may be drafted by the party that makes a request for collective negotiation
or may be jointly drafted by the representatives assigned by both parties;

(4)

to determine the time and place of the collective negotiation;

(5)

to jointly determine a non-negotiation representative as the note-keeper of the collective negotiation. The note-keeper shall keep
neutral and impartial and keep the secrets of both parties of the collective negotiation.

Article 34

The meeting of collective negotiation shall be hosted by the chief representatives of both parties in turn, who shall accord with
the following procedures:

(1)

Announcing the agenda and disciplines of the meeting;

(2)

The chief representative of a party sets forth the specific content and requests for the collective negotiation, and the chief representative
of the other party makes corresponding responses;

(3)

Both parties state their respective opinions on the matters under negotiation, and fully discuss them;

(4)

The chief representatives of both parties sum up the opinions. Where an agreement is reached, a draft collective contract or a draft
special collective draft shall be formed, and shall be signed by the chief representatives of both parties.

Article 35

Where no agreement is reached or any unexpected issue arises, the negotiation may be suspended upon mutual agreement. The time limit
for the suspension and the time, place and content of next negotiation shall be determined by both parties upon mutual agreement.

Chapter V The Conclusion, Modification, Cancellation and Termination of Collective Contracts

Article 36

The draft of a collective contract or of a special collective contract agreed on by the representatives of both parties shall be submitted
to the employees representative assembly or all the employees for discussion.

When the employees representative assembly or all the employees discuss the draft of a collective contract or the draft of a special
collective contract, at least two thirds of the members of the employees representative assembly or of all the employees shall be
present. The draft of the collective contract or the draft of the special collective contract shall not be adopted unless it is agreed
upon by at least half of the members of the employees representative assembly or of all the employees.

Article 37

The draft of a collective contract or the draft of a special collective contract adopted at the employees representative assembly
or the employees assembly shall be signed by the chief representatives of both parties of the collective negotiation.

Article 38

In general, the period of validity of a collective contract or a special collective contract shall be 1 to 3 years, which shall be
terminated at its expiration or under the conditions for termination as agreed on by both parties.

Within 3 months prior to the expiration of a collective contract or a special collective contract, either party may request the other
party to sign a new contract or renew the contract.

Article 39

Where both parties reach an agreement, a collective contract or a special collective contract may be modified or cancelled.

Article 40

A collective contract or a special collective contract may be modified or cancelled under any of the following circumstances:

(1)

It is unable to perform the collective contract or the special collective contract for the employing entity is merged, dissolved or
bankrupt;

(2)

It is unable to perform the collective contract or the special collective contract or part of the said contract in due to force majeure;

(3)

The conditions for modifying or canceling the collective contract or the special collective contract arises;

(4)

Other circumstances as stipulated in the laws, regulations and rules.

Article 41

The procedures for the collective negotiation as stipulated in the present Provisions shall apply to the modification or cancellation
of a collective contract or a special collective contract.

Chapter VI Examination on Collective Contracts

Article 42

After a collective contract or a special collective contract is signed or modified, the employing entity shall submit the text in
triplicate to the administrative department of labor and social security within 10 days as of the day when the chief representatives
sign the contract.

The administrative department of labor and social security shall check in the submitted collective contract or special collective
contract.

Article 43

The examination on collective contracts or special collective contracts shall adopt territorial administration, and the specific scope
of administration shall be specified by the administrative department of labor and social security at the provincial level.

The collective contracts of enterprises under the Central Government and those of the employing entities of trans-province, trans-autonomous
region or trans-municipality directly under the Central Government shall be submitted to the administrative department of labor and
social security at the provincial level as specified by the Ministry of Labor and Social Security.

Article 44

The administrative department of labor and social security shall examine the validity of a collective contract or a special collective
contract submitted to it in light of the following items:

(1)

whether the qualifications of subjects of both parties of the collective negotiation are in line with laws, regulations and rules;

(2)

whether the procedures for collective negotiation is in violation of laws, regulations and rules;

(3)

whether the content of the collective contract or the special collective contract is contrary to the provisions of the state.

Article 45

Where the administrative department of labor and social security has any objection to a collective contract or a special collective
contract, it shall serve the Examination Opinion to the negotiation representatives of both parties within 15 days as of the day
when it receives the text. The Examination Opinion shall specify the following contents:

(1)

the names, addresses of both parties of the collective contract or special collective contract;

(2)

the date on which the administrative department of labor and social security receives the collective contract or the special collective
contract;

(3)

the examination opinions;

(4)

the date on which the examination opinions are formed.

The Examination Opinion shall be affixed with the seal of the administrative department of labor and social security.

Article 46

Where the employing entity and its employees conclude a new collective contract or a new special collective contract after collective
negotiation on the objections put forward by the administrative department of labor and social security, the employing entity shall
submit the new contract to the administrative department of labor and social security for examination pursuant to Article 42 of
the present Provisions.

Article 47

Where the administrative department of labor and social security raises no objection within 15 days as of the day when it receives
the text, the collective contract or special collective contract shall go into effect forthwith.

Article 48

The valid collective contract or special collective contract shall be timely announced by the negotiation representatives to all of
the members they are on behalf of in a proper form as of the day when the contract go into effect.

Chapter VII Mediation and Settlement of Disputes in Collective Negotiation

Article 49

Where both parties fail to settle the disputes arising during a collective negotiation through negotiation, either party or both parties
may file a written application to the administrative department of labor and social security for mediation and settlement. Where
no application is filed, the administrative department of labor and social security may mediate and settle the disputes when it deems
necessary.

Article 50

The administrative department of labor and social security shall organize people of the labor union at the same level and the enterprise
organization to jointly mediate and settle the disputes arising during a collective negotiation.

Article 51

The disputes arising during a collective negotiation shall be under territorial administration, and the specific scope of administration
shall be provided for by the administrative department of labor and social security.

With regard to disputes arising during a collective negotiation of an enterprise under the Central Government or an employing entity
of trans-province, trans-autonomous region or trans-municipality directly under the Central Government, the administrative department
of labor and social security at the provincial level designated by the Ministry of Labor and Social Security shall organize people
of the labor union at the same level and the enterprise organization to mediate and settle the disputes, and the Ministry of Labor
and Social Security may organize relevant parties to mediate and settle as well when necessary.

Article 52

The mediation and settlement of the disputes arising during a collective negotiation shall be completed within 30 days as of the day
when an application for mediation and settlement is received. If it hasn’t been finished within the time limit, the time limit may
be extended appropriately, but the extended time shall not exceed 15 days.

Article 53

The mediation and settlement of the disputes arising during a collective negotiation shall proceed as follows:

(1)

to accept an application for mediation and settlement;

(2)

to investigate into and learn the information on the disputes;

(3)

to discuss and formulate a program on mediation and settlement of the disputes;

(4)

to mediate and settle the disputes;

(5)

to make a Mediation and Settlement Agreement.

Article 54

The Mediation and Settlement Agreement shall include the application for mediation and settlement, the facts of disputes and mediation
results. Where both parties fail to reach an agreement on some of the matters being negotiated, it shall specify the relevant matters
to be negotiated continuously. The Mediation and Settlement Agreement shall come into force after being affixed with the signatures
or seals of the persons responsible for the mediation and settlement of the disputes arising during the collective negotiation and
the chief representatives of both disputing parties. Both disputing parties shall accord with the Mediation and Settlement Agreement
after it takes effect.

Chapter VIII Supplementary Provisions

Article 55

Where the parties concerned fail to settle through consultation the dispute arising when fulfilling a collective contract, they may
file an application to the arbitration commission for labor disputes pursuant to law.

Article 56

Where an employing entity refuses, without any justifiable reason, the request for the collective negotiation made by the trade union
or the representatives of the employees, it shall be punished according to the Trade Union Law and other relevant laws and regulations.

Article 57

The present Provisions shall go into effect as of May 1, 2004, and the Provisions on Collective Contracts promulgated by the former
Ministry of Labor on December 5, 1994 shall be abolished simultaneously.

 
Ministry of Labor and Social Security
2004-01-20

 




THE MEASURES OF THE CUSTOMS OF THE PEOPLE’S REPUBLIC OF CHINA FOR THE ADMINISTRATION OF SMALL VESSELS COMING FROM AND GOING TO HONG KONG AND MACAO AND THE CARGOES AND ARTICLES ON THEM

Customs General Administration

Decree of the General Administration of Customs of the People’s Republic of China

No. 112

The Measures of the Customs of the People’s Republic of China for the Administration of Small Vessels Coming from and Going to Hong
Kong and Macao and the Cargoes and Articles on them were adopted at the executive meeting of the General Administration of Customs
on January 1st, 2004, which are hereby promulgated and shall be implemented as of March 15th, 2004. The Measures of the Customs of
the People’s Republic of China for the Supervisory Administration of Small Vessels Going between Hong Kong and Macao and the Cargoes
and Articles on them (Decree No. 68 of the General Administration of Customs) and the Measures of the General Administration of Customs
of the People’s Republic of China for the Administration of the Registration and Record Keeping of Small Vessels Coming from and
Going to Hong Kong and Macao (Decree No. 69 of the General Administration of Customs of the People’s Republic of China shall be repealed
at the same time.

Mou Xinsheng, Director of the General Administration of Customs

February 6th, 2004

The Measures of the Customs of the People’s Republic of China for the Administration of Small Vessels Coming from and Going to Hong
Kong and Macao and the Cargoes and Articles on them

Chapter I General Provisions

Article 1

In order to regulate the supervision over small vessels coming from and going to Hong Kong and Macao and the cargoes and articles
carried on them, the present Measures are formulated in accordance with the Law on the Customs of the People’s Republic of China
and other relevant laws and administrative regulations.

Article 2

Definitions of the following terms as mentioned in the present Measures:

(1)

The term “small vessels coming from and going to Hong Kong and Macao” refers to the power-driven vessels and non-power-driven vessels
registered within China, used for transportation of cargoes, specially coming and going between the Mainland and Hong Kong or Macao
upon approval of the Ministry of Communication or its authorized departments.

(2)

The term “customs midway supervisory offices for small vessels” (hereinafter referred to MSOs) refers to the supervisory institutions
established by the customs in Dachandao at Zhujiangkou, Wanchai of Zhuhai, Guishandao outside Zhujiangkou and Dasanmendao to the
East of Hong Kong, which shall be responsible for supervising small vessels and the cargoes and articles carried by them, confirming
customs manifest and making customs seal.

(3)

The term “navigation instructions” refers to the electronic instructions given by the MSOs to the small vessels, such as “Pass by
the MSO directly” and “Stop for undergoing formalities”, etc.

(4)

The term “the specified area” refers to the navigation area centering around an MSO within a certain range. The specific range shall
be announced by the related customs directly under the General Administration of Customs.

Article 3

Small vessels shall enter and exit, anchor, load and unload cargoes and articles, let people get on or get off and undergo relevant
formalities at the ports with customs or the MSOs which are allowed by the customs to assign persons to conduct supervision temporarily.

Article 4

Where any of the following vessels enters or exits China, it shall be subject to the formalities for manifest confirmation and customs
seal at the specified MSO:

(1)

Small vessels coming and going between Hong Kong and the water area of Zhujiang shall go through the relevant formalities at Dachandao
MSO;

(2)

Small vessels coming and going between Hong Kong or Macao and the waterway of Modaomen shall go through the relevant formalities at
Wanchai MSO;

(3)

Small vessels coming and going between Hong Kong or Macao and all the ports along the coasts of Guangdong, Guangxi and Hainan to the
west of the Zhujiangkou and the waterway Modaomen shall go through the relevant formalities at Guishandao MSO;

(4)

Small vessels going between Hong Kong or Macao and all the ports of Guangdong Province to the east of Zhujiangkou, Fujian and along
the coast to the north of Fujian shall go through the relevant formalities at Dasanmendao MSO.

The small vessels coming and going between Hong Kong and Chiwan, Shekou, Mawan and Yantian Port shall directly go through the entry/exit
declaration formalities at the port customs.

Article 5

After being kept record by the customs, a small vessel may engage in transportation of cargoes entering or exiting China.

The small vessel shall, via the shipping enterprise owning this vessel, go through the record-keeping formalities in the customs directly
under the General Administration of Customs or its authorized customs located in the area where the shipping enterprise has completed
the commercial and industrial registration. The customs shall manage the small vessels by keeping record through the Internet and
shall share the data information.

Article 6

Each small vessel shall install ship-borne information receiving and sending device acknowledged by the customs. Under special circumstances,
it may not install such device upon approval of the customs.

No small vessel may have hidden compartments, interlayers or other room for hiding cargoes and articles. The structure of the vessel
shall not be changed after having been verified by the ship inspection department of the state.

Chapter II Management of Record-keeping

Article 7

When a small vessel applies for record-keeping, the shipping enterprise shall submit the following documents to the customs:

(1)

The Registration and Record-Keeping Form for Small Vessels Coming from and Going to Hong Kong and Macao (See Attachment 1);

(2)

Copy of the approving documents issued by the administrative department of transport;

(3)

Copy of the ship inspection certificate issued by China Classification Society or the administrative department of maritime;

(4)

Copy of the vessel’s transportation permit;

(5)

Copy of the vessel’s nationality certificate;

(6)

The diagram of the vessel’s structure; and

(7)

Colored photographs of the front view of the vessel and its profile that shows its name, each in triplicate;

In addition, the original documents of those mentioned in Items (2) through (5) shall be simultaneously submitted to the customs for
verification.

Article 8

Where the customs decides to keep record of a vessel, it shall issue a Registration and Record Keeping Certificate of Small Vessels
Coming from and Going to Hong Kong or Macao within 5 working days from the day when it receives the record-keeping documents (hereinafter
referred to as Record-keeping Certificate, see Attachment 2) and a Supervisory Book of the Customs for Small Vessels Coming from
and Going to Hong Kong and Macao (hereinafter referred to as the Supervisory Book of the Customs, see Attachment 3).

Where the customs decides not to keep record of a vessel upon examination, it shall formulate and issue a Notice on Disapproval of
Record Keeping of Small Vessels Coming from and Going to Hong Kong and Macao (See Attachment 4).

Article 9

The customs shall adopt an annual examination management to small vessels. A shipping enterprise shall submit the following documents
within the time limit as required by the customs and go through the annual examination formalities for small vessels:

(1)

The Annual Examination Report on Small Vessels Coming from and Going to Hong Kong and Macao (See Attachment 5);

(2)

The Record-keeping Certificate; and

(3)

The Supervisory Book of the Customs.

Any small vessel that fails to go through the annual examination or fails to meet the requirements as specified in the present Measures
shall not continue to engage in transportation of cargoes entering and exiting China.

Article 10

Where any of the information registered with the customs, such as a small vessel’s name, structure, route, legal representative, address
or the nature of the enterprise, is changed, the shipping enterprise shall go through the modification formalities with written application
and relevant approving documents.

Chapter III Supervision of Customs

Article 11

Before a small vessel enters China, the person-in-charge or agent of the vessel may itself or authorize a manifest input entity to
send electronic manifest data through pubic data information platform linked with the customs.

Before a small vessel exits China, the person-in-charge or agent of the vessel shall submit a paper manifest to the customs at the
loading port, the Supervisory Book of the Customs and other relevant vouchers and books, at the same time it shall send electronic
manifest data through pubic data information platform linked with the customs.

Article 12

The electronic manifest data shall include: the name and serial number of the tool of transport, the number of voyage, nationality,
loading port, port of destination, number on bills of lading, the consignee or consigner, name of cargo, cargo quantity and weight,
container number and size of container.

Article 13

The person-in-charge of a vessel shall confirm the declared electronic manifest data through the ship-borne receiving and sending
device, when the vessel starts to enter or exit China.

After a vessel has completed the formalities for confirming the electronic manifest data and making the customs seal, the owner or
agent of the imported cargoes may file a declaration to the customs in advance.

Article 14

Where it is necessary to modify the electronic manifest data confirmed by the customs, the person-in-charge or its agent shall file
an application to the customs. The said electronic manifest data may be modified upon consent of the customs.

Article 15

The customs shall preserve the electronic manifest data and track data for 3 years from the day when it confirms the declared manifest
of a small vessel.

Article 16

After a small vessel starts to enter or exit China, it shall enter the specified area, receive and confirm the navigation instructions,
and directly pass by the MSO or anchor near the MSO for going through the relevant formalities according to the instructions.

Article 17

When a small vessel receives the instruction that it shall stop sailing to go through the relevant formalities, it shall sail into
the anchorage as specified by the MSO.

With regard to a small vessel entering China, it may continue to sail to the port of destination within China after its Supervisory
Book of the Customs has been marked and approved by the MSO and it has completed the formalities for confirming the electronic manifest
data and making the customs seal.

With regard to a small vessel exiting China, it shall submit the manifest and other vouchers with the seal of the customs at the port
of loading to the MSO for confirmation. It may continue to sail to the overseas port of destination after its Supervisory Book of
the Customs has been marked by the MSO.

Article 18

After a small vessel arrives at the port of destination within China, the person-in-charge or agent of the vessel shall submit the
Supervisory Book of the Customs, paper manifest and other vouchers to the customs for completing the relevant formalities.

With regard to a small vessel that has gone through the relevant formalities at an MSO, it shall submit the customs seal.

Article 19

The person-in-charge of a small vessel shall properly preserve the paper manifest, customs seal and other vouchers confirmed by the
customs.

Article 20

When a small vessel loads or unloads cargoes entering or exiting China, the person-in-charge or agent of the vessel shall verify the
cargoes according to the manifest, if he (she) finds excessive or short shipment (unloading), wrong shipment (unloading), broken
and damaged goods or any other mistakes, he (she) shall note down properly and tackle this matter in accordance with Article 14
of the present Measures.

Article 21

With regard to the articles for public use and self-use articles of the shipmen carried by a vessel entering or exiting China, one
shall faithfully fill in the Entry-exit Declaration Form for Public Articles Carried by Small Vessels Coming from and Going to Hong
Kong / Macao (See Attachment 6) and the Entry-exit Declaration Form for Self-use Articles Carried by Small Vessels Coming from and
Going to Hong Kong / Macao (See Attachment 7), the customs shall complete the verification and clearance formalities in pursuance
of the relevant regulations

Article 22

Where a small vessel installs machine parts, or re-supplies ship’s fuel, materials and articles for public use, one shall fill in
the Declaration Form for Fuel and Materials Re-supplied Abroad to Small Vessels Coming from and Going to Hong Kong / Macao (See Attachment
8), and shall submit the relevant payment vouchers or invoices to the customs for verification, and shall undergo the import formalities.

Article 23

No small vessel may carry import / export cargoes and non-import / export cargoes on board at the same time.

Article 24

Upon approval of the departments of transport, a small vessel may concurrently engage in transportation within China.

Whenever a small vessel changes the overseas transportation into domestic transportation or vice versa, one shall report to the customs
for archival purposes. The customs shall mark the Supervisory Book of the Customs and complete the relevant formalities.

Article 25

During the period from a small vessel’s entering China to the completeness of the customs clearance formalities, or during the period
after a small vessel has completed the customs formalities at the port of loading, the vessel shall not anchor, load or unload cargoes
and articles or have people get on or get off, without approval of the customs.

Article 26

Where a small vessel anchors, loads or unloads cargoes or articles, or lets people get on or off at a time or area other than the
one specified, it shall have obtained the approval of the customs in advance; where it needs the customs to perform the supervisory
functions, it shall pay the stipulated fees in accordance with the relevant provisions.

Article 27

Where a small vessel is forced to anchor, take up a berth, load or unload cargoes or articles, or lets people get on or off due to
force majeure at a place where no customs is established, the person-in-charge of the vessel shall immediately report to the nearby
customs.

Where a small vessel is unable to anchor in the MSO for completing the entry / exit formalities due to confronting a storm, it may
directly sail to the port of destination upon permission of the MSO.

Article 28

An MSO may put marks on the cargoes carried by a small vessel and the compartments of the vessel, it may assign persons to conduct
supervision over the vessel when the vessel arrives at the port of destination where necessary, the person-in-charge or agent of
the vessel shall provide convenience.

Article 29

Where the customs examines a small vessel, the person-in-charge or agent of the vessel shall be present, shall open all the places,
containers or packages of cargoes and move the cargoes or materials according to the demands of the customs. Where the customs deems
necessary, it may directly conduct examination, re-examination or take samples of cargoes.

When the customs examines the baggage and articles of the shipmen, the relevant shipmen shall be present and shall open the baggage
and packages and places for storing articles.

Chapter IV Legal Liabilities

Article 30

If anyone violates the Customs Law of the People’s Republic of China and the provisions of the present Measures, by smuggling or any
act in violation of the supervisory provisions of the customs, he (she) shall be punished in accordance with the Customs Law of the
People’s Republic of China, the Detailed Rules for the Implementation of the Administrative Punishments of the Customs of the People’s
Republic of China and other relevant laws and administrative regulations. Where any crime is constituted, he (she) shall be subject
to criminal liabilities.

Chapter V Supplementary Provisions

Article 31

The power to interpret the present Measures shall remain with the General Administration of Customs.

Article 32

The present measures shall come into force as of March 15, 2004. The Measures of the Customs of the People’s Republic of China for
the Supervisory Administration of the Small Vessels Coming from and Going to Hong Kong and Macao and Cargoes and the Articles on
them and the Measures of the General Administration of Customs of the People’s Republic of China for the Administration of the Registration
and Record Keeping of the Small Vessels Coming from and Going to Hong Kong and Macao issued by the General Administration of Customs
of the People’s Republic of China on October 17, 1998 shall be repealed at the same time.

Attachments:

1.

The Registration and Record-Keeping Form for Small Vessels Coming from and Going to Hong Kong and Macao (Omitted)

2.

The Register and Record Keeping Certificates for Small Vessels Coming from and Going to Hong Kong and Macao (Omitted)

3.

The Supervisory Book of the Customs for Small Vessels Coming from and Going to Hong Kong and Macao (Omitted)

4.

Notice on Disapproval of Record Keeping of Small Vessels Coming from and Going to Hong Kong and Macao (Omitted)

5.

The Annual Examination Report on Small Vessels Coming from and Going to Hong Kong and Macao (Omitted)

6.

Entry-exit Declaration Form for Public Articles Carried by Small Vessels Coming from and Going to Hong Kong / Macao (Omitted)

7.

Entry-exit Declaration Form for Self-use Articles Carried by Small Vessels Coming from and Going to Hong Kong / Macao (Omitted)

8.

Declaration Form for Fuel and Materials Re-supplied Abroad to Small Vessels Coming from and Going to Hong Kong / Macao (Omitted)



 
Customs General Administration
2004-02-06

 







GUIDANCE ON THE CORPORATION GOVERNANCE REFORM AND SUPERVISION OF BANK OF CHINA AND CHINA CONSTRUCTION BANK

China Banking Regulatory Commission

Guidance on the Corporation Governance Reform and Supervision of Bank of China and China Construction Bank

YinJianFa [2004] No.12

March 11th, 2004

Chapter I General Provisions

Article 1

Joint-stock reform for state-owned commercial banks is a brand new reform practice in China’s financial sector with great significance.
The present Guidance is hereby formulated with a view to ensuring the successful joint-stock reform experiments with the Bank of
China and China Construction Bank (hereinafter referred to as the two pilot banks).

Article 2

The general goal of the joint-stock reform for the two pilot banks is to lay special stress on such central links as reforming the
management system, perfecting the governance structure, transforming the operational system and improving the effect of operation
and to transform the two pilot banks into two modernized joint-stock commercial banks with adequate capital, strict internal control,
safe operation, sound service and benefit and international competitiveness within about three years.

Article 3

Through reform, the two pilot banks shall reach and remain at above the medium-level of the world’s top one hundred big banks by corporate
governance structure and internationally prevailing financial indicators.

Chapter II Reform of Corporation Governance

Article 4

The two pilot banks shall establish a standard shareholders’ general meeting, a standard board of directors, a standard supervisory
board and a standard system of senior management respectively.

The shareholders’ general meeting, board of directors, supervisory board and the system of senior management of the two pilot banks
shall be set up on the principles of separate establishment, separate three powers, effective constraint and coordinated development
in accordance with the requirements of modern corporate governance structure. A standard organizational framework shall be formed
by joint-stock commercial banks in accordance with the related provisions of the Corporate Law as well as other laws and regulations
so as to ensure independent operation and effective check and balance of various parties through a scientific and efficient system
of decision making, enforcement and supervision.

Article 5

The two pilot banks shall fairly and impartially choose strategic investors from home and abroad so as to change the unitary structure
of stock equity and realize diversification of investors.

By introducing strategic investors especially foreign strategic investors, the two pilot banks shall not only enhance capital strength
and improve their respective capital structure but also use for reference internationally advanced managerial experience, techniques
and methods, thus promoting their managerial modalities and operational concept to be compatible with those of internationally advanced
banks, and optimizing the corporate governance mechanism.

Article 6

The two pilot banks shall formulate clear and definite developing strategies so as to maximize value of the banks.

The two pilot banks shall proceed from their own conditions and the market guidance, identify their core competitive advantages and
market competitive advantages and formulate comprehensive development strategies in accordance with their development goals. And
the strategies shall be put into effect by year to ensure their realization.

Article 7

The two pilot banks shall establish scientific systems of decision making, internal control and risk management.

The two pilot banks shall establish and improve risk management system covering credit risk, market risk and operational risk etc.
and effectively identify, measure, supervise and control the risks.

Article 8

The two pilot banks shall, in accordance with the principle of intensive operating, exercise flatter organization and vertical business
management to consolidate business process and management process, optimize the system of organizational framework, improve resource
allocation and raise the efficiency of business operating.

Article 9

The two pilot banks shall, according to the requirement of human resources management for modern financial enterprises, deepen the
reform of the employment and personnel system, and establish market-oriented human resources management system and effective system
of incentives and constrains.

Article 10

The two pilot banks shall, in accordance with the standards and requirements for modern financial corporations and listed banks, exercise
prudent accounting system and stringent information disclosure system to enhance financial management and do a good job of information
disclosure.

Article 11

The two pilot banks shall reinforce the construction of information and technology and improve comprehensive management and service
functions in an all-round way.

Article 12

The two pilot banks shall implement the strategy of financial talents development, intensify targeted training programs and do well
in introducing excellent professionals to key posts, and at the same time, pay attention to the effective utilization and reasonable
allocation of human resources and play out the enthusiasm and creativity of available human resources.

Article 13

The two pilot banks shall bring into full play the specialized advantages of intermediary organizations and steadily step up the process
of joint-stock reform.

Chapter III Examination Indicators

Article 14

The examination indicators of the joint-stock reform for the two pilot banks shall include the net return on assets (ROA), the net
return on equity (ROE), cost income ratio, NPL ratio, capital adequacy ratio (CAR), large exposure concentration rate and provision
coverage ratio of non-performing loan.

Article 15

The ROA of the two pilot banks shall reach 0.6% in 2005, and international good standard in the year 2007.

Article 16

The ROE of the two pilot banks shall reach 11% in 2005, and further rise to over 13% in 2007 so as to ensure the effect of capital
investment and achieve good return.

Article 17

The cost income ratio of the two pilot banks shall be controlled within the range of 35% to 45% as of 2005.

Article 18

The two pilot banks shall divide the non-credit assets into five grades from 2004, examine the quality of all assets in accordance
with the five-grade classification, and keep the NPL ratio within the range of 3% to 5%.

Article 19

The two pilot banks shall manage capital in strict accordance with relevant provisions in the Regulations on Capital Adequacy Ratio
of Commercial Bank as of 2004 and, the CAR shall be kept at above 8% at any time point.

Article 20

The two pilot banks shall take effective measures to strictly control the centralized risk of the accreditation to the same borrower,
and the proportion of loan balance for the same borrower in the capital balance of the commercial banks shall be no more than the
risk indicator of 10% as of 2005.

Article 21

The provision coverage ratio of NPL shall reach 60% for the Bank of China and 80% for China Construction Bank at the end of 2005,
and be increased continuously by the end of 2007.

Chapter IV Examination and Reporting System

Article 22

The two pilot banks shall intensify efforts of bad assets disposal.

The two pilot banks shall investigate into law and regulation violating cases and severely punish the personnel involved in such breaching
of laws, regulations and disciplines. Asset recovery should be earnestly carried out, preventing a few enterprises from evading their
liabilities by the chance of reform and earnestly keeping away moral hazards. A preliminary report on the whole work of investigation
and corresponding measures shall be submitted before the end of 2004.

Article 23

A strict accountability system shall be exercised by the two pilot banks in the reform with the responsibilities implemented in accordance
with the goals and tasks for the reform of state-owned commercial banks established by the State Council. The chairmen of the board
of the two pilot banks shall bear primary responsibility.

The two pilot banks shall apply management by objective and make assessment of each stage’s work through strict examination and appraisal,
which shall be submitted to the Leading Group of Pilot Joint-stock Reform for Solely State-owned Commercial Banks under the State
Council on a quarterly basis and comprehensive and strict examination and appraisal shall be conducted once a year. Latest developments
of the reform shall be disclosed in a proper way to accept supervision from the society.

Article 24

China Banking Regulatory Commission will examine and supervise the reform of corporate governance structure and various financial
indicators of the two pilot banks through overall examination, examination by year and quarterly report supervision. Results of examination
and supervision shall be reported to the Leading Group of Pilot Joint-stock Reform for Solely State-owned Commercial Banks under
the State Council on a yearly and quarterly basis.

Chapter V Supplementary Provisions

Article 25

Interpretation of this Guidance is subject to China Banking Regulatory Commission.

Article 26

This Guidance shall come into effect as of March 11th, 2004.



 
China Banking Regulatory Commission
2004-03-11

 







FOREIGN TRADE LAW OF THE PEOPLE’S REPUBLIC OF CHINA (REVISED IN 2004)






e01195

The Standing Committee of the National People’s Congress

Order of President of The People’s Republic of China

No.15

Foreign Trade Law of The People’s Republic of China has been revised and adopted by the 8th Session of the Standing Committee of the
10th National People’s Congress of the People’s Republic of China. The revised Foreign Trade Law of The People’s Republic of China
is hereby promulgated and shall be implemented as of July 1, 2004.

President of The People’s Republic of China Hu Jintao

April 6, 2004

Foreign Trade Law of The People’s Republic of China (Revised in 2004) ContentChapter 1 General Provisions

Chapter 2 Foreign Trade Dealers

Chapter 3 Import and Export of Goods and Technologies

Chapter 4 International Trade in Services

Chapter 5 Protection of Trade-related Aspects of Intellectual Property Rights

Chapter 6 Foreign Trade Order

Chapter 7 Foreign Trade Investigations

Chapter 8 Foreign Trade Remedies

Chapter 9 Foreign Trade Promotion

Chapter 10 Legal Liabilities

Chapter 11 Supplementary Provisions

Chapter 1 General Provisions

Article 1

This Law is formulated with a view to expanding the opening to the outside world, developing foreign trade, maintaining foreign trade
order, protecting the legitimate rights and interests of foreign trade dealers and promoting the sound development of the socialist
market economy.

Article 2

This Law applies to foreign trade and the protection of trade-related aspects of intellectual property rights.

For the purposes of this Law, “foreign trade” refers to import and export of goods and technologies and the international trade in
services.

Article 3

The authority responsible for foreign trade under the State Council is in charge of the administration of the foreign trade of the
entire country pursuant to this Law.

Article 4

The State shall pursue a uniform foreign trade regime, encourage the development of foreign trade and maintain fair and free foreign
trade order.

Article 5

The people’s Republic of China shall, on the principle of equality and mutual benefit, promote and develop trade relations with other
countries and regions, enter into or participate in such regional economic trade agreements as customs union agreement, free trade
agreement and participate in regional economic organizations.

Article 6

The People’s Republic of China shall, in accordance with the international treaties and agreements to which it is a contracting party
or a participating party grant the other contracting parties or participating parties, or on the principle of reciprocity grant the
other party most-favored-nation treatment or national treatment in the field of foreign trade.

Article 7

In the event that any country or region applies prohibitive, restrictive or other like measures on a discriminatory basis against
the People’s Republic of China in respect of trade, the People’s Republic of China may, as the case may be, take counter-measures
against the country or region in question.

Chapter 2 Foreign Trade Dealers

Article 8

For the purposes of this Law, “foreign trade dealers” refers to legal persons, other organizations or individuals that have fulfilled
the industrial and commercial registration or other practicing procedures in accordance with laws and engage in foreign trade dealings
in compliance with this Law and other relevant laws and administrative regulations.

Article 9

Foreign trade dealers engaged in import and export of goods or technologies shall register with the authority responsible for foreign
trade under the State Council or its authorized bodies unless laws, regulations and the authority responsible for foreign trade under
the State Council do not so require. The specific measures for registration shall be laid down by the authority responsible for foreign
trade under the State Council. Where foreign trade dealers fail to register as required, the Customs authority shall not process
the procedures of declaration, examination and release for the imported and exported goods.

Article 10

The international trade in services shall be carried out in compliance with the provisions of this Law and other relevant laws and
administrative regulations.

The units engaged in foreign contract of construction project or foreign labor cooperation shall be equipped with corresponding eligibility
or qualification. The specific measures therefor shall be laid down by the State Council.

Article 11

The State may implement state trading on certain goods. The import and export of the goods subject to state trading shall be operated
only by the authorized enterprises unless the state allows the import and export of certain quantities of the goods subject to state
trading to be operated by the enterprises without authorization. The lists of the goods subject to state trading and the authorized
enterprises shall be determined, adjusted and made public by the authority responsible for foreign trade under the State Council
in conjunction with other relevant authorities under the State Council.

In the event of importation of the goods subject to state trading without authorization in violation of paragraph 1 of this Article,
the Customs shall not grant release.

Article 12

Foreign trade dealers may accept the authorization of others and conduct foreign trade as an agent within its scope of business.

Article 13

Foreign trade dealers shall, in accordance with the regulations laid down by the authority responsible for foreign trade under the
State Council or other relevant authorities under the State Council in accordance with law, submit the documents and materials relevant
to their foreign trade dealings to relevant authorities. The authorities concerned shall keep business secrets confidential for the
providers thereof.

Chapter 3 Import and Export of Goods and Technologies

Article 14

The State permit free import and export of goods and technologies unless the laws or administrative regulations provide otherwise.

Article 15

The authority responsible for foreign trade under the State Council may, in accordance with the need to supervise import and export,
implement automatic import and export licensing certain goods subject to free import and export and make public the list thereof.

Where the consignee or the consigner of the imported or exported goods subject to automatic licensing submits the automatic licensing
application before going through the Customs declaration procedures, the authority responsible for foreign trade under the State
Council or its authorized authorities shall grant approval. In case of failure to accomplish automatic licensing procedures, the
Customs shall not grant release.

In the case of importing or exporting technologies subject to free import and export, the contracts thereof shall be registered with
the authority responsible for foreign trade under the State Council or its authorized authorities.

Article 16

The State may restrict or prohibit the import or export of relevant goods and technologies for the following reasons that:

(1)

the import or export needs to be restricted or prohibited in order to safeguard the state security, public interests or public morals,

(2)

the import or export needs to be restricted or prohibited in order to protect the human health or security, the animals and plants
life or health or the environment,

(3)

the import or export needs to be restricted or prohibited in order to implement the measures relating to the importations and exportations
of gold or silver,

(4)

the export needs to be restricted or prohibited in the case of domestic shortage in supply or the effective protection of exhaustible
natural resources,

(5)

the export needs to be restricted in the case of the limited market capacity of the importing country or region,

(6)

the export needs to be restricted in the case of the occurrence of serious confusion in the export operation order,

(7)

the import needs to be restricted in order to establish or accelerate the establishment of a particular domestic industry,

(8)

the restriction on the import of agricultural, animal husbandry or fishery products in any form is necessary,

(9)

the import needs to be restricted in order to maintain the State’s international financial status and the balance of international
payment,

(10)

the import or export needs to be restricted or prohibited as laws and administrative regulations so provide, or

(11)

the import or export needs to be restricted or prohibited as the international treaties or agreements to which the state is a contracting
party or a participating party so require.

Article 17

The State may, in the case of the import or export of the goods and technologies relating to fissionable and fissionable materials
or the materials form which they are derived as well as the import or export relating to arms, ammunition and implements for war,
take any measures as necessary to safeguard the state security.

The State may, in the time of war or for the protection of international peace and security, take any measures as necessary in respect
of import or export of goods and technologies.

Article 18

The authority responsible for foreign trade under the State Council in conjunction with other relevant authorities under the State
Council shall, in accordance with the provisions of Articles 16 and 17 in this Law, establish, adjust and publish the list of goods
and technologies of which the import or export is subject to restrictions or prohibitions.

The authority responsible for foreign trade under the State Council independently or in conjunction with other relevant authorities
under the State Council may, with the approval from the State Council, decide, on a temporary basis, to impose restrictions or prohibitions
on the import or export of goods and technologies not included in the list provided in the above paragraph within the meaning of
Article 16 and Article 17 in this Law.

Article 19

Goods subject to import or export restriction shall be subject to quota and/or licensing control; technologies whose import or export
is restricted shall be subject to licensing control.

Import or export of any goods and technologies subject to quota and/or licensing control will be effected only with the approval of
the authorities responsible for foreign trade under the State Council or the joint approval of the foregoing authorities and other
relevant authorities under the State Council in compliance with the provisions of the State Council.

Certain imported goods may be subject to tariff rate quota control.

Article 20

Quotas and tariff rate quotas of the imported and exported goods shall be distributed on the principles of transparency, equity, impartiality
and efficiency by the authority responsible for foreign trade under the State Council or the relevant authorities under the State
Council within their respective responsibilities. Specific measures for the distribution shall be laid down by the State Council.

Article 21

The state shall implement the commodity assessment system in a uniform manner and in accordance with the provisions of relevant laws
and administrative regulations carry out certification, inspection or quarantine in respect of imported and exported commodities.

Article 22

The state shall implement origin management in respect of the imported and exported goods. Specific measures thererfor shall be laid
down by the State Council.

Article 23

Where the import or export of cultural relics, wildlife animals, plants and the products thereof are prohibited or restricted by other
laws or administrative regulations, the provisions of relevant laws and regulations shall be observed.

Chapter 4 International Trade in Services

Article 24

In respect of international trade in services, the People’s Republic of China shall, in accordance with the commitments made in international
treaties or agreements to which the People’s Republic of China is a contracting party or a participating party, grant the other contracting
parties or participating parties market access and national treatment.

Article 25

The authority responsible for foreign trade under the State Council in conjunction with other relevant authorities under the State
Council shall, pursuant to provisions of this Law and other laws and administrative regulations, administer the international trade
in services.

Article 26

The State may impose restrictions and prohibitions on the international trade in services for the reasons that:

(1)

restrictions or prohibitions are needed to safeguard the state security, public interests or public morals,

(2)

restrictions or prohibitions are needed to protect the human health or security, the animals and plants life or health or the environment,

(3)

restrictions are needed to establish or accelerate the establishment of a particular domestic service industry,

(4)

restrictions are needed to maintain the balance of international payment of the state,

(5)

restrictions or prohibitions are needed as laws and administrative regulations so provide, or

(6)

restrictions or prohibitions are needed as the international treaties or agreements to which the state is a contracting party or a
participating party so require.

Article 27

The State may, in the case of military-related international trade in services, as well as the international trade in services relating
to fissionable and fissionable materials or the materials form which they are derived, take any measures as necessary to safeguard
the state security.

The state may, in the time of war or for the protection of international peace and security, take any measures as necessary in respect
of international trade in services.

Article 28

The authority responsible for foreign trade under the State Council in conjunction with other relevant authorities under the State
Council shall, in accordance with the provisions of Articles 26 and 27 in this Law and other relevant laws and administrative regulations,
determine, adjust and publish the market access list of international trade in services.

Chapter 5 Protection of Trade-Related Aspects of Intellectual Property Rights

Article 29

The State shall, in accordance with laws and administrative regulations relevant to intellectual property rights, protect trade-related
aspects of intellectual property rights.

Where the imported goods infringe intellectual property rights and impair foreign trade order, the authority responsible for foreign
trade under the State Council may take such measures as prohibiting the import of the relevant goods from being produced or sold
by the infringer within a certain period.

Article 30

Where the intellectual property right owner is involved in any one of such practices as preventing the licensee form challenging the
validity of the intellectual property right in the licensing contract, conducting coercive package licensing or incorporating exclusive
grantback conditions in the licensing contract, which impairs the fair competition order of foreign trade, the authority responsible
for foreign trade under the State Council may take measures as necessary to eliminate such impairment.

Article 31

If other countries or regions do not grant the legal persons, other organizations and individual from the People’s Republic of China
national treatment in respect of the protection of intellectual property rights, or cannot provide adequate and effective protection
of intellectual property rights for the goods, technologies or services from the People’s Republic of China, the authority responsible
for foreign trade under the State Council may, in accordance with the provisions of this Law and other relevant laws and administrative
regulations and the international treaties or agreements to which the People’s Republic of China is a contracting party or a participating
party, take measures as necessary in respect of the trade with the country or region in question.

Chapter 6 Foreign Trade Order

Article 32

In foreign trade dealings, monopolistic behavior in violation of relevant provisions of anti-monopoly laws and administrative regulations
is not allowed.

In foreign trade dealings, any monopolistic behavior with the effect of eliminating market fair competition shall be disposed of in
accordance with relevant provisions of anti-monopoly laws and administrative regulations. Where any activities in violation of laws
set forth in the former paragraph occur with the effect of impairing foreign trade order, the authority responsible for foreign trade
under the State Council may take measures as necessary to eliminate the impairment.

Article 33

In foreign trade activities, such unfair competition activities as selling the products at unreasonable low prices, colluding with
each other in a tender, producing and releasing false advertisements and conducting commercial bribery and others like are not allowed.

Any unfair competitive practice conducted in the foreign trade activities shall be disposed of in accordance with relevant laws and
administrative regulations against unfair competition.

Where any illegal activities as provided in the previous paragraph occur with the effect of impairing foreign trade order, the authority
responsible for foreign trade under the State Council may take such measures as prohibiting the dealer from importing and exporting
relevant goods and technologies to eliminate the impairment.

Article 34

The following practices are not allowed in foreign trade activities:

(1)

forgery, distortion of origin marks of the imported and exported goods; forgery, distortion or trading of origin certificates of imported
or exported goods, import and export licenses, certificates of import and export quota or any other certificate for import and export;

(2)

defrauding the State of the refunded tax on exports;

(3)

smuggling;

(4)

evading certification, inspection and quarantine inspection as provided by laws and administrative regulations;

(5)

other activities in violation of the provisions of laws and administrative regulations.

Article 35

In foreign trade activities, foreign trade dealers shall act in compliance with relevant provisions of foreign exchange administration
of the state.

Article 36

The authority responsible for foreign trade under the State Council may give a notice to the public the activities in violation of
this Law for impairing foreign trade order.

Chapter 7 Foreign Trade Investigation

Article 37

In order to maintain the foreign trade order, the authority responsible for foreign trade under the State Council may carry out investigations
on the following matters in accordance with laws and administrative regulations at its disposal or in conjunction with other relevant
administrations:

(1)

the impact on the domestic industry as well as the competitive strengths of import and export of goods, import and export of technologies
and international trade in services;

(2)

trade barriers of relevant countries or regions;

(3)

matters needed to be investigated on in order to determine whether such foreign trade remedies as anti-dumping, countervailing or
safeguard measures shall be taken;

(4)

activities that circumvent foreign trade remedies;

(5)

matters in relation to state security in foreign trade;

(6)

matters needed to be investigated on in order to enforce the provisions of Articles 7, 29(2),30,31,32(3) and 33(3).

(7)

Other matters which may have impact on foreign trade order and need to be investigated on.

Article 38

The authority responsible for foreign trade shall give a notice in case of initiating foreign trade investigations.

The investigation may take the form of questionnaires in writing, hearings, on-the-spot investigations, entrusted investigations and
otherwise.

The authority responsible for foreign trade under the State Council shall, on the basis of the findings, submit investigation reports
or make determinations and give public notices.

Article 39

Relevant units and individuals shall provide the foreign trade investigation with cooperation and assistance.

The authority in charge of foreign trade and other authorities under the State Council as well as their staff members shall have the
obligation to keep the state secrets and business secrets known to them confidential during foreign trade investigations.

Chapter 8 Foreign Trade Remedies

Article 40

The State may take appropriate foreign trade remedies on the basis of the findings of foreign trade investigation.

Article 41

Where a product from other countries or regions is dumped into the domestic market at a price less than its normal value and under
such conditions as to cause or threaten to cause material injury to the established domestic industries, or materially retards the
establishment of domestic industries, the State may take anti-dumping measures to eliminate or mitigate such injury, threat of injury
or retardation.

Article 42

Where the export of a product from other countries or regions to the market of a third country causes or threatens to cause material
injury to the established domestic industries, or materially retards the establishment of domestic industries, the authority responsible
for foreign trade under the State Council may, on the request of the domestic industries, carry out consultations with the government
of that third country and require it to take appropriate measures.

Article 43

Where an imported product has directly or indirectly accepts any specific subsidiary granted by the exporting country or region and
under such conditions as to cause or threaten to cause material injury to the established domestic industries, or materially retards
the establishment of related domestic industries, the State may take countervailing measures to eliminate or mitigate such injury
or threat of injury or retardation.

Article 44

Where a product is being imported in substantially increased quantities and under such conditions as to cause or threaten to cause
serious injury to the domestic industry that produces like or directly competitive products, the State may take safeguard measures
as necessary to eliminate or mitigate such injury or threat of injury and provide the industry concerned with necessary support.

Article 45

Where the increase of services provided to China by the service suppliers from other countries or regions causes or threatens to cause
injury to the domestic industries that provide like or directly competitive services, the State may take remedies as necessary to
eliminate or mitigate such injury or threat of injury and provide such industry with necessary support.

Article 46

Where the restriction imposed by a third country on the import of a certain product causes the increase in quantities of such product
imported into the domestic market and under such conditions as to cause or threaten to cause injury to the established domestic industry,
or materially retards the establishment of related domestic industries, the state may take remedies as necessary to restrict the
import of the product concerned.

Article 47

Where any country or region that enters into or participate in the economic and trade treaties or agreements with the People’s Republic
of China deprives the People’s Republic of China of or impairs her interests under such treaties or agreements, or hinders realization
of the object of such treaties or agreements, the People’s Republic of China has the right to request the relevant country or region
to take appropriate remedies and has the right to suspend or terminate its performance of relevant obligations in compliance with
relevant treaties and agreements.

Article 48

The authority responsible for foreign trade under the State Council shall carry out bilateral or multilateral foreign trade consultations,
negotiations and settle disputes in accordance with this Law and other relevant laws.

Article 49

The authority responsible for foreign trade under the State Council and the other relevant authorities under the State Council shall
establish the pre-warning and emergency system for import and export of goods, import and export of technologies and international
trade in services so as to cope with the unexpected and unusual situations in foreign trade for the purpose of safeguarding the economic
security of the State.

Article 50

The State may take necessary anti-circumvention measures against the activities circumventing the foreign trade remedies provided
under this Law.

Chapter 9 Foreign Trade Promotion

Article 51

The State formulates foreign trade expansion strategies, establishes and improves the foreign trade promotion mechanism.

Article 52

The State shall establish and improve financial institutions for foreign trade and establish funds for foreign trade development and
risk as the development of foreign trade requires.

Article 53

The State may take such measures as import and export credit, export credit insurance, export tax refund and other foreign trade promotion
measures for the purpose of developing foreign trade.

Article 54

The State establishes the foreign trade public information service system, providing foreign trade dealers and the public with information
services.

Article 55

The State shall take measures to encourage foreign trade dealer to explore international market, and develop foreign trade by adopting
various forms such as foreign investment, foreign contract of construction project and foreign labor cooperation.

Article 56

Foreign trade dealers may organize or participate in relevant associations or chambers of commerce for importers and exporters in
accordance with the law.

Relevant associations or chambers of commerce shall abide by relevant laws and regulations, provide in compliance with their articles
of association their members with foreign trade related services in aspects of manufacturing, marketing, information and training,
play a positive role in coordination and self-discipline, submit applications for relevant foreign trade remedies, safeguard the
interests of their members and the industry, report to the relevant authorities the suggestions of their members with respect to
foreign trade promotion, and actively promote foreign trade.

Article 57

The organization for the promotion of international trade in China shall, in accordance with its articles of association, engage in
developing foreign trade relations, sponsoring exhibitions, providing information and advisory services and carry out other foreign
trade promotion activities.

Article 58

The State shall support and facilitate the foreign trade carried out by small and medium-sized enterprises with small or middle scale.

Article 59

The State shall support and promote the development of foreign trade in national autonomous areas and economically under-developed
areas.

Chapter 10 Legal Liabilities

Article 60

Anyone who imports or exports the goods subject to the state trading without authorization in violation of Article 11 of this Law
may be imposed on a fine of not more than RMB 50,000 yuan by the authority responsible for foreign trade under the State Council
or other authorities under the State Council; if the circumstances are serious, the aforesaid authorities may refuse to accept the
application submitted by the trade dealer in violation of laws for carrying out imports or exports of the goods subject to state
trading within three years from the date the administrative sanction decision takes effect or may withdraw the granted authorization
of import and export of goods subject to state trading.

Article 61

Anyone who imports and exports the goods of which import and export is prohibited, or imports and exports the goods of which import
and export is restricted without authorization shall be disposed of and punished by the Customs in accordance with relevant laws
and administrative regulations; if the case constitutes a crime, he shall be prosecuted for criminal liabilities in accordance with
the law.

Anyone who imports and exports the technologies of which import and export is prohibited, or imports and exports the technologies
of which import and export is restricted without authorization shall be disposed of and punished in accordance with relevant laws
and regulations; Where no laws or regulations are available to apply to such activities, the authority responsible for foreign trade
under the State Council shall order him to make a rectification, confiscate the illegal proceeds and impose a fine from one to five
times the amount of the illegal gains. If there are no illegal proceeds or the illegal proceeds are less than RMB 10,000 yuan, a
fine from RMB 10,000 yuan to RMB 50,000 yuan shall be imposed; if the case constitutes a crime, he shall be prosecuted for criminal
liabilities in accordance with the law.

The authority responsible for foreign trade under the State Council and other relevant authorities under the State Council may, from
the date when the administrative sanction decision or criminal penalty judgment takes effect as provided in paragraphs 1 and 2 of
this Article, refuse the applications for import and export quotas or licenses submitted by the law-breaker, or prohibit the law-breaker
from engaging in the import and export of relevant goods and technologies within a period from one to three years.

Article 62

Anyone who engages in the international trade in services subject to prohibition or engages in international trade in services subject
to restriction without authorization shall be disposed of and punished in accordance relevant laws and administrative regulations;
Where no laws or regulations are available to apply to such activities, the authority responsible for foreign trade under the State
Council shall order him to make a rectification, confiscate the illegal gains and impose a fine from one to five times the amount
of the illegal proceeds. If there are no illegal proceeds or the illegal proceeds are less than RMB 10,000 yuan, a fine from RMB
10,000 yuan to RMB 50,000 yuan shall be imposed; if the case constitutes a crime, he shall be prosecuted for criminal liabilities
in accordance with the law.

The authority responsible for foreign trade under the State Council may, from the date when the administrative sanction decision or
criminal penalty judgment takes effect as provided in the previous paragraph of this Article, prohibit the law-breaker from engaging
in relevant international trade in services within a period from one to three years.

Article 63

Anyone who acts in violation of the provision of Article 34 of this Law shall be punished in accordance with relevant laws and administrative
regulations; if the case constitutes a crime, he shall be prosecuted for criminal liabilities in accordance with the law.

The authority responsible for foreign trade under the State Council may, from the date when the administrative sanction decision or
criminal penalty judgment takes effect as provided in the

CIRCULAR OF THE MINISTRY OF LABOR AND SOCIAL SECURITY ON ABOLISHING THE INTERIM PROVISIONS ON THE ADMINISTRATION OF WAGES OF FOREIGN-FUNDED ENTERPRISES

the Ministry of Labor and Social Security

Circular of the Ministry of Labor and Social Security on Abolishing the Interim Provisions on the Administration of Wages of Foreign-funded
Enterprises

No. 16 [2004] of the Ministry of Labor and Social Security

The labor and social security offices or bureaus of all provinces, autonomous regions, municipalities directly under the Central Government,

Circular of the former Ministry of Labor concerning Printing and Distributing the Interim Provisions on the Administration of Wages
of Foreign-funded Enterprises (No. 46 [2004] of the Ministry of Labor) was decided to be abolished after deliberation. The documents
on interpretation of this Circular shall be abolished simultaneously, namely the Reply of the General Office of the Ministry of Labor
to the Request for Instructions on the Ownership of the Disposal Power of the Nominal Wage of Chinese Senior Managers in Chinese-foreign
Equity Joint Venture Enterprises and Chinese-foreign Contractual Joint Enterprises (No. 106 [2004] of the Ministry of Labor).

After the aforesaid documents are abolished, the authorities in all places shall continue to strengthen the supervision over and inspection
of the conditions of how wages are paid to the workers in foreign-funded enterprises and cooperate with relevant departments on relatisng
issues.

the Ministry of Labor and Social Security

May 18th, 2004

 
the Ministry of Labor and Social Security
2004-05-18

 




DECISION OF THE STATE COUNCIL ON REFORMING THE INVESTMENT SYSTEM

State Council

Decision of the State Council on Reforming the Investment System

No.20 [2004] of the State Council

July 16th,2004

Since the reform and opening up to the outside world, the State has made a series of reforms on the original investment system, which
have broken the highly centralized mode of investment administration under the traditional planned economic system, and have formed
into a new structure of multi-investors, multi-channels of capital resources, and diversification of ways of investment, as well
as market-oriented project construction. However, some deep-level inconsistencies and problems of the existing investment system
have not been radically solved. In particular, the investment decision-making right of enterprises has not been fully put to effect;
the fundamental role of the market in allocating resource has not been brought into full play; the scientific level and democratization
level of government investment decisions need to be further improved; and the efficiency of investment macro-control and supervision
needs to be enhanced. Therefore, the State Council decides to further deepen the reform of investment system.

I.

Guidelines and Target for Deepening the Reform of the Investment System

1.

The guidelines for deepening the reform of investment system are: in accordance with the requirements for improving the socialist
market economic mechanism, the fundamental role of the market in allocating resources shall be brought into full play under the macro-control
of the State, the enterprises’ status as the major subject of investment shall be established, and the government’s investment acts
shall be regulated, the legal rights and interests of the investors shall be protected, so as to create a market environment conducive
to the fair and orderly competition of all investors, promote the rational flow and effective allocation of elements of production,
optimize the investment structure, and raise investment returns, as well as push forward the coordinated development of economy and
overall progress of society.

2.

The target for deepening the reform of investment system are: we should reform the system of government oversight of corporate investment
and put into effect the right of enterprises to make their own investment decisions in line with the principle that “the investor
makes their own investment decisions, reaps the profits and bears the risks”; the government’s investment functions shall be rationally
defined, more scientific investment decisions shall be made in a more democratic way, and an accountability mechanism shall be established
to hold decision makers responsible for their improper decisions; financing channels shall be further expanded to have enterprises
fund their projects through diversified means; standardized investment intermediary service organizations shall be nurtured with
the reinforcement of industry self-discipline so as to promote fair competition; a perfect investment macro-control system shall
be established, the macro-control mode shall be improved, and macro-control means shall be perfected; legislation progress in the
investment field shall be speeded up; investment supervision shall be reinforced to protect standardized investment and build the
market order. A new type of investment system shall be finally established through deepening reform and expanding the opening up,
in which investments are guided by the market, the enterprises shall make their own investment decisions, the banks shall make examination
and approval on loans independently, and diversified ways of financing, standardized intermediary services, and effective macro-control
are available.

II.

Transforming the Administrative Functions of the Government and Establishing the Status of Enterprises as the Main Subject of Investment

1.

The system of examination and approval for projects shall be reformed to put into effect the right of the enterprises to make their
own investment decisions. The existing measures for the administration of enterprise investments, which are subject to the examination
and approval of the governments at various levels and the relevant departments respectively without exception according to the scale
of investment without differentiating the subjects of investment, resources of capital, and nature of projects, shall be reformed
out and out. From now on, nongovernmental-funded corporate projects shall no longer stick to the examination and approval system,
and shall adopt an approval and registration and recording system through differentiating different circumstances. The government
will only conduct ratification on the major projects and projects of restricted kinds from the standpoint of maintaining public interests,
and other projects will follow the registration and recording system whatever the scale is. The enterprises shall make decisions
by themselves according to the market prospects, economic benefits, capital resources and product technical plans of their projects,
shoulder the risk of losses, and go through such formalities as the environmental protection, land use, resource utilization, work
safety, and city planning, as well as the formalities for confirmation of deduction and exemption of taxes according to law. The
government may only make examination on and approval for capital application report of enterprises on projects invested and constructed
by using the government subsidies, allocated loan proceeds, and discount interests. All the regions and departments shall improve
the measures for the administration accordingly, regulate administrative acts, and no one may keep the rights for making decision
on investment of enterprises in any name.

2.

Standardizing the ratification system of the government. The scope of ratification system shall be strictly restricted, and shall
be adjusted on time according to the circumstances. The Catalogue of Investment Projects Approved by the Government (hereinafter
referred to as the Catalogue) shall be brought forward by the competent investment department of the State Council together with
the relevant department after making research, and shall be implemented after being reported to and approved by the State Council.
No region or department may add or reduce without authorization the scope as prescribed by the Catalogue without the approval of
the State Council.

An enterprise may only submit project application reports to the government for its investment and construction of any project, which
is subject to ratification system, and such procedures as the approval of project proposals, feasibility study report and report
for starting construction shall not be stuck to any longer. The government shall make examination on the project application reports
submitted by enterprises mainly from such aspects as maintaining economic security, rationally exploiting and utilizing resources,
preserving bio-environment, optimizing major arrangement, protecting public interests and preventing monopolies. For foreign investment
projects, the government shall also make approval from such aspects as the market access and capital project management. The relevant
departments of the government shall formulate strict and standardized ratification system, clarify the scope and contents of ratification
and the application procedures thereof, as well as the handling time limit, and publicize them to the general public, so as to improve
the efficiency for handling affairs and boost up the transparency.

3.

Perfecting the registration and recording system. The registration and recording system shall be followed for the corporate investment
projects outside the Catalogue. Unless specified differently by the State, an enterprise shall put such projects on archives with
the competent investment department of the local government in light of the principle of territory. The detailed implementation measures
for registration and recording system shall be formulated by the people’s governments at the provincial level. The competent investment
department of the State Council shall strengthen guidance to and supervision over the recording work to prevent the disguised examination
and approval in the name of registration and recording.

4.

Enlarging large enterprise groups’ right of making decision on investment. Where a super enterprise group which follows a basic modern
enterprise system invests in any of the projects within the Catalogue, it may file an application for ratification on the per project
basis, or compile medium and long-term development and construction programs and, after the construction program has been approved
by the State Council or the competent investment department of the State Council, no application shall be filed for approval for
the projects in the program falling within the Catalogue any more, and only archival filing formalities are handled. The enterprise
group shall report to the relevant departments of the State Council in time the conditions for the implementation of the program
and the construction of the project.

5.

Encouraging social investments. The government shall broaden the investment fields of social capital, and allow the social capital
enter into the fields of utilities and infrastructure projects and other industries and fields not prohibited by any law or regulation.
The price of public products shall be regulated step by step, and such measures as the injection of capital money, discount interests
of loans and tax preferences shall be taken to encourage and guide the social capital to participate in the construction of for-profit
public welfare and infrastructure projects by ways of individual proprietorship, joint ventures, cooperation, joint management, project
financing, etc.. As for those projects involving the development and utilization of state monopoly resources and requiring unified
planning and arrangement, the government may make public invitation to the society to select the realtors of the projects after the
construction program has been determined. Enterprises of various ownerships whose conditions are mature shall be encouraged and supported
to make investment overseas.

6.

Further broadening the financing channel of corporate investment projects. Enterprises of various kinds shall be permitted to raise
investment capital by way of stock right financing to establish multi-level capital market with the mutual supplementary of various
ways of collection. Experiments shall be conducted on some infrastructure projects with stable returns, which are selected upon the
approval of the competent investment departments and securities regulatory organs of the State Council, to raise construction funds
by ways of public issuance of stocks and transferable bonds. The bond issuance management system of enterprises shall be reformed
under the prerequisite of strict prevention of risks to enlarge the scale of issuance of enterprise bonds and increase the types
of enterprise bonds. The system of examination and approval for loans on fixed assets and the corresponding risk management system
shall be ameliorated and perfected in accordance with the market principle to support the project construction by using loans of
banking groups, financial leasing, project financing and financial counselor, and other various business ways. Enterprises of various
ownerships shall be permitted to apply for foreign loans in accordance with the relevant provisions. The relevant laws and regulations
shall be formulated, and the system of financing of small and medium sized enterprises and credit guarantee shall be established
to encourage banks and various qualified guarantee institutions to make research and innovation on ways of guaranty for project financing,
and various forms shall be adopted to enhance the capital strength of guarantee organs and promote the establishment of investment
companies for small and medium sized enterprises, and establish and perfect a business-starting investment mechanism. Investment
funds of various kinds shall be regulated for their development. Insurance capital shall be encouraged and promoted to invest in
the infrastructures and major construction projects indirectly.

7.

Regulating the corporate investment acts. Enterprises of various kinds shall strictly abide by the laws and regulations on state land
and resources, environmental protection, work safety, and city planning, etc., strictly implement the industrial policies and vocational
access standards, and shall not invest to construct the projects restricted from development by the state; they shall also keep good
faith and abide by law, maintain the public interests, ensure the quality of projects and improve the investment benefits. The state-owned
enterprises and state-owned share holding enterprises shall, in accordance with the requirements for reform of state-owned assets
management system and modern enterprise systems, establish and perfect the system of contributors of state-owned assets, investment
risk restriction mechanism, scientific and democratic investment decision-making system and major investment accountability system.
They shall also strictly implement the legal person accountability system for investment projects, capital money system, bid invitation
and tendering system, project supervision system and contract management system.

III.

Improving the government investment mechanism and regulating the government investment acts

1.

Properly defining the scope of government investment. The government investment is mainly used in fields concerning national security
and the economic and social fields where the resources cannot be allocated effectively through market, including strengthening the
construction of public welfare and public infrastructure, protecting and improving the environment, promoting the economic and social
development of underdeveloped regions, and pushing forward scientific and technological progress and industrialization of high and
new technology. Items that can be constructed through social investment shall be constructed through utilizing social capital as
is possible. The rights of the central government and the local governments in the investment affairs shall be divided properly.
The investment of the central government shall, in addition to arranging the building of regime of itself, mainly arrange for the
trans-regional and trans-basin projects and projects that have major influence on the overall arrangement of economic and social
development.

2.

Perfecting decision-making mechanism for government investment projects. Scientific decision-making rules and procedures shall be
further improved and adhered to have the decision of government on investment projects made scientifically and democratically; government
investment projects shall be subject to the evaluation and reasoning of intermediary consulting institutions meeting the qualification
requirements in general, and competition mechanism shall be brought into the consulting and evaluation, and reasonable competition
rules shall be formulated; for projects of special importance, the system of expert appraisal shall be implemented; public notice
system of government investment projects shall be implemented step by step, and opinions and suggestions of all parties concerned
shall be widely solicited.

3.

Regulating the management on government investment funds. Medium and long-term program and annual plan for government investment shall
be worked out, and various government investment funds shall be arranged as a whole and used properly, including investment within
the budgets, various special construction funds, foreign loans borrowed uniformly, etc.. The government investment fund may take
such ways as the direct investment, injection of capital money, investment subsidy, re-loan, discount interests for loans, etc, according
to the project arrangements, and upon the need of capital resources, project nature and adjustments. In case the government investment
fund is invested by way of injection of capital money, the representatives of contributors shall be determined. Management measures
shall be determined accordingly in light of the different type of capital and ways for the use of the capital to realize the decision-making
procedures for government investment and capital management regulated scientifically, systematically and conforming to the standard.

4.

Simplifying and regulating the procedures for the examination and approval of government investment projects, and properly dividing
the power of examination and approval. The power of examination and approval of projects between the central government and local
government, between the competent investment department of the State Council and the relevant departments shall be distributed properly
according to the nature of the projects, capital resources and division of rights to handle affairs. For government investment projects,
if the ways of direct investment and capital injection have been adopted, only the project proposal and feasibility study report
may be subject to the examination and approval from the point of view of investment decision-making, and the report for starting
the construction shall no longer be examined and approved except in special circumstances; meanwhile, the work for the examination
and approval of preliminary design and budgetary estimate on government investment projects shall be strictly conducted; where such
ways as investment subsidy, re-loan and discount interests for loans are adopted, only the capital application report shall be subject
to examination and approval. The concrete division of power and procedures for examination and approval shall be formulated by the
competent investment department of the State Council together with the relevant parties concerned after research, and shall be promulgated
and implemented after being reported to and approved by the State Council.

5.

Strengthening management on government investment projects and improving the ways for the implementation of construction. The construction
standards for government investment projects shall be standardized and revised and improved in pace with the change of reality. Investment
capital plans shall be made known according to the progress of project construction. Administration on intermediary services for
government investment projects shall be strengthened to implement qualification management on such intermediary institutions of consultation
and evaluation, tendering agency, etc. to improve the quality of intermediary services. As for non-operating government investment
projects, the implementation of contractor system for construction shall be accelerated, e.g., a professional project management
entity shall be selected by way of bid invitation to take charge of the carrying out of construction, strictly control the project
investment, quality and time limit of the project, and to be responsible for transferring the project to the entity using the project
after completion and checking and acceptance. The consciousness of investment risk shall be boosted up, and risk control mechanism
for government investment projects shall be established and perfected.

6.

Introducing the market mechanism, and bringing into full play the benefits of government investment. The governments at various levels
shall create conditions, and make use of franchising, investment subsidies, and various ways to attract social capital to participate
in the construction of projects of public welfares and public infrastructures, which have reasonable returns and certain investment
proceeds. Projects that are of monopoly or franchising nature shall be tried. Fair competition shall be carried out to protect public
interests through the realtor bid invitation system. The established government investment projects which has competent conditions
may be transferred with the property right or business property right according to law upon approval, the capital returned shall
be invested in the public welfares and construction of various infrastructures continuously.

IV.

Strengthening and improving macro-control on investment

1.

Improving the system of macro-control on investment. The National Development and Reform Commission shall, under the guidance of the
State Council and together with other relevant departments, control the investment activities of the whole society according to the
division of functions, with close cooperation, mutual collaboration, effective operation and supervision according to law, keep rational
investment scale, optimize investment structure, improve investment benefit, and promote the sustained, coordinated and healthy development
of national economy and overall progress of society.

2.

Improving the ways of macro-control on investment. Economic, legal and necessary administrative measures shall be combined comprehensively
to ensure effective control on the investment of the whole society with the indirect control as the main way of control. The relevant
departments of the State Council shall, on the basis of medium and long term program for national economic and social development,
compile development and construction programs in such major fields as education, science and technology, health, communications,
energy sources, agriculture, forestry, water conservancy, zoology construction, environmental protection, and development of strategic
resources, etc., including necessary special development and construction program, clarify the guidelines, strategic target of development,
and overall arrangements and major construction projects, etc.. The development and construction program approved according to the
prescribed procedures shall be an important basis for investment decision-making. The governments at all levels and the relevant
departments shall make efforts to improve government investment benefits and guide social investment, formulate and adjust in time
the Catalogue for Guiding Fixed Assets Investment and the Catalogue of Industries for Guiding Foreign Investment, and clarify the
investment projects encouraged, restricted and prohibited by the state. They shall also establish a system of release of investment
information, releasing in time such information as the control target of the government to the investment, major control policies,
investment status of major industries, and development trend, etc., to guide the investment activities of the whole society. A scientific
system of industry access shall be established to regulate the standards of environmental protection, safety standards, energy cost
and water cost standards, and product technology, quality standard of major industries, so as to prevent repeated low level construction.

3.

Coordinating means of macro-control on investment. The government investment scale shall be determined properly according to the requirements
of national economic and social development and the need of macro-control to have the state positively guide and effectively control
the investment of the whole society. Social investment shall be guided through flexible application of investment subsidy, discount
interest, price, interests rate, and taxation, etc. to optimize the industrial structure and regional structure of investment. Credit
policies shall be formulated and adjusted according to the circumstances to guide the total amount and direction of the medium and
long term loans. Land use system shall be rigorously enforced and regulated to bring into full play the role of land supply to the
control and guidance of private investment.

4.

Strengthening and improving investment information statistics work. The work of investment statistics shall be strengthened to reform
and improve the system of investment statistics, and further accurately and completely reflect the stock of fixed assets of the whole
society and the situation of investment operation in time, and establish various information sharing mechanisms to provide scientific
basic information for macro-control on investment. System of early warning and prevention of investment risk shall be established
to strengthen monitoring and analysis on macro economic and investment operation.

V.

Strengthening and improving supervision over investment

1.

Establishing and improving the supervision system on government investment. The accountability system of government investment shall
be established to ensure that the departments and entities of project consultation, investment project decision-making, design, construction,
and supervision bear corresponding responsibilities. In case any department or entity which fails to abide by the laws and regulations
and causes damages to the state, the relevant responsible person shall be subject to administrative and legal liabilities according
to law. The government investment balance mechanism shall be improved, the competent investment department, finance department and
other relevant departments concerned shall make mutual supervision over the administration of government investment according to
their own division of work. The auditing department shall perform duties entirely according to law, and further strengthen auditing
and supervision over the projects with the government investment, so as to improve the level of government investment administration
and investment benefits. The system of audit on major projects shall be improved, and the system of afterward appraisal on government
investment projects shall be established to make supervision over government investment projects all through the process. A social
supervision mechanism shall be established for the government investment projects to encourage the general public and news media
to conduct supervision over the government investment projects.

2.

Establishing and improving an enterprise investment supervision system with coordination and cooperation. The departments of state
land and resources, environmental protection, urban planning, quality supervision, bank regulation, securities regulation, foreign
exchange administration, industry and commerce administration, and work safety supervision, etc. shall strengthen supervision over
the investment activities of enterprises, and shall not handle relevant license formalities for those not in conformity with the
laws and regulations and the provisions of state policy. In case anyone does not abide by the relevant laws and regulations during
the process of construction, the relevant departments concerned shall order it to correct in time and severely punish it according
to law. The competent investment department of the government at various levels shall strengthen supervision over and inspection
on the enterprise investment projects during the course and after the construction, for those projects not complying with the industrial
policy and standards for industrial access and the projects being constructed without authorization and without going through corresponding
approval or permission formalities, the relevant departments shall order it to stop construction, and affix liabilities to the relevant
enterprises and personnel. The auditing departments shall make audit supervision over the investment of state-owned enterprises according
to law to promote the inflation-proof and increment of the state-owned assets. The system of good faith on enterprise investment
shall be established to punish and expose to the open air the provision of false information and in violation of laws and regulations
in the declaration and construction of any project, and restrict the investment construction activities within a certain period of
time.

3.

Strengthening supervision over the investment intermediary service institutions. The various investment intermediary service institutions
shall be severed from the departments of government and follow the principle of good faith, strengthen self-discipline, so as to
provide intermediary services with high quality and diversity. The various investment intermediary institutions shall be encouraged
to take the form of partnership, stock-limited enterprises and other various forms to make reorganization and restructuring. Trade
associations of investment intermediary institutions shall be improved and perfected to set up an industry management system with
legal regulation, government supervision and industry self-discipline. Regional blocks and industrial monopoly shall be broken to
establish an open, fair and just investment intermediary service market, and intensify the legal liabilities of intermediary service
institutions.

4.

Improving laws and regulations and making supervision and administration according to law. The relevant laws and regulations relating
to investment shall be formulated and perfected to protect the legal rights and interests of investors, and maintain such a market
environment in which investment subjects compete against each other in a fair and orderly way, investment elements flow rationally
and the market plays a fundamental role in allocating resources, and regulate the investment acts of various investment subjects
and investment management activities of the government. The relevant laws and regulations shall be earnestly implemented, and the
finance and economic disciplines shall be enforced strictly to block up the loopholes in management, reduce construction costs, and
improve investment benefits. Inspections on law enforcement shall be strengthened to cultivate and maintain a standardized construction
market order.

Annex: Catalogue of Investment Projects Approved by the Government (Text 2004)

Annex:Catalogue of Investment Projects Approved by the Government (Text 2004)

Brief Introduction:

1.

The projects listed in this Catalogue shall refer to the major and restricted fixed assets investment projects invested and constructed
by enterprises without using government capital.

2.

Except for investment projects that are prohibited by the state laws and regulations and the special provisions of the State Council,
if any enterprise invests to construct the projects outside this Catalogue without using the government capital, it shall be subject
to recording.

3.

The relevant provisions shall be applied by analogy to the examination and approval of projects as specified by the state laws and
regulations and the State Council.

4.

The Catalogue has made prescription on the power of approval of the government, of which:

(1)

The projects “approved by the competent investment department of the State Council” as specified in the Catalogue shall be subject
to approval by the competent investment department of the State Council together with the competent trade department, of which the
major projects shall be subject to the approval of the State Council.

(2)

The projects “approved by the competent investment department of local government” as prescribed by the Catalogue shall be subject
to approval by the competent investment department of local government together with the competent trade departments at the corresponding
level. The provincial government may divide the power of approval of the competent investment department of local governments at
various level according to the circumstances of the locality and nature of projects, but the power of approval shall not be transferred
to the lower level competent department in case the Catalogue unambiguously provides that the projects shall be subject to approval
by the competent investment department of provincial government.

(3)

Special authorization shall be made to t

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...