2006

MEASURES FOR IMPLEMENTATION OF THE REGULATIONS OF THE PEOPLE’S REPUBLIC OF CHINA ON CUSTOMS EXTERNAL AUDITING

The General Administration of Customs

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

No.79

“Measures for Implementation of the Regulations of the People’s Republic of China on Customs External Auditing” is hereby promulgated
and will come into force on March 1, 2000.

Qian Guanlin, Minister of the General Administration of Customs

January 11,2000

Measures for Implementation of the Regulations of the People’s Republic of China on Customs External Auditing

Chapter I General Provisions

Article 1

These Measures are formulated to implement the Regulations of the People’s Republic of China on Customs External Auditing (hereinafter
referred to as the External Auditing Regulations).

Article 2

Customs carrying out external audits shall abide by the External Auditing Regulations and these Measures.

Article 3

“The audited” mentioned in these Measures refers to any enterprise or unit listed in Article 3 of the External Auditing Regulations.
Their import and export activities include:

(1)

import or export declarations;

(2)

payment of import or export duties and other taxes and fees;

(3)

submission for examination of the import or export license or document;

(4)

records of material related to import or export goods and their safekeeping;

(5)

import, use, storage, processing, sale, transport, display and re-export of bonded goods;

(6)

use and control of goods imported with duty reduction or duty exemption;

(7)

carriage and control of customs transit goods;

(8)

use and control of goods temporarily imported or exported; and

(9)

other import or export activities.

Article 4

Customs shall carry out audits of account books, account vouchers, customs declaration forms and other relevant material and related
import or export goods of the audited within the following time limit:

(1)

for goods imported with duty reduction or duty exemption, within the period of customs supervision and control;

(2)

for bonded goods, within the period of supervision and control as prescribed by customs, or within three years from the date of the
release for re-export, or within three years from the date of the release for import as general trade transferred with approval;
or

(3)

for import or export goods other than those listed in subparagraphs (1) and (2) of this Article, within three years from the date
of the completion of customs formalities.

Chapter II Archival Control of Accounting Books, Forms and Other Relevant Material

Article 5

The audited shall establish and compile account books, account vouchers, account statements and other account data and establish and
prefect the financial management system in accordance with the provisions of the Accounting Law of the People’s Republic of China
(hereinafter referred to as the Accounting Law) and other relevant laws and regulations, in order to record and represent import
and export operations authentically, accurately and completely.

Article 6

The audited shall keep account books, account vouchers, account statements and other account data within the time limit for safekeeping
stipulated by the Accounting Law and other relevant laws and regulations. The audited who has put into practice computerized accounting
as stipulated by the State finance department shall have account records stored in computer printed out in Chinese, and keep them
together with the manual of the software, disks and other media in accordance with the provisions of the preceding paragraph.

Article 7

The audited shall retain import or export declaration forms, the contract and other material directly related to import or export
operations within the time limit of customs external auditing stipulated in Article 4 of these Measures.

Article 8

The audited shall provide, as required by customs, written material concerning the purchase, sale, processing, use, loss and inventory
of import or export goods, as well as the statement of assets and liabilities, the statement of profits and losses and other account
statements.

Chapter III Implementation of Customs External Auditing

Article 9

Three days prior to the implementation of external auditing, customs shall notify the audited by delivering a Notice of Customs External
Auditing .

Article 10

Where any of the following circumstances exists, with the approval of the customs commissioner, customs may directly go to the audited
to carry out an audit without any notice in advance.

(1)

where the audited is suspected of seriously violating the law;

(2)

where account books, account vouchers, account statements, computerized account data, customs declaration forms and other relevant
material (hereinafter referred to as account books, forms and other relevant material) or import or export goods of the audited may
be transferred or destroyed without authorization; or

(3)

where customs deems it necessary in special cases. When carrying out a direct audit, customs shall serve the Notice of Customs External
Auditing on the audited face to face.

Article 11

When customs carries out an external audit, an auditing team shall be formed in which there shall be two auditors at least. In carrying
out external auditing, customs officers shall present to the audited the Customs Auditing Credentials of the People’s Republic of
China.

Article 12

In carrying out an external audit, a customs officer who comes under any of the circumstances shall recuse himself:

(1)

where the customs officer is closely related to the legal representative or the person in charge of the audited;

(2)

where the customs officer or any of his close relatives has a direct interest in the audited; or

(3)

where the customs officer or any of his close relatives has other interests in the audited which may affect the normal process of
customs external auditing. The audited who has justified reasons may apply for recusal of a customs officer. However, the customs
officer concerned will not stop performing his audit tasks before customs makes a decision of recusal.

Article 13

When customs carries out an external audit, the audited shall cooperate with customs in the audit work, its legal representative or
the person in charge or a representative it appoints shall be present, truthfully give information, and provide necessary working
conditions. Any enterprise or unit associated with the audited in financial or other business transactions shall cooperate with customs
officers in performing their duties, by keeping them informed of truthful information about the audited and providing necessary material
and supporting papers.

Article 14

When customs officers scrutinize or reproduce account books, forms and other relevant material of the audited, the audited shall present
them as required by customs and assist in making an inventory. In case of computerized accounting management, the audited shall also
provide customs with the account software together with the instructions and other related material.

Article 15

Where the audited has not the conditions on the spot for scrutiny and reproduction work, customs may have the scrutiny and reproduction
work done in another place with the consent of the audited. Where customs needs to have the scrutiny and reproduction work done in
another place, a List of Account Books and Forms for Scrutiny shall be completed, and the two parties shall sign and stamp the List
of Account Books and Forms for Scrutiny upon a careful check.

Article 16

After customs officers have reproduced account books, forms or other relevant material of the audited, the audited shall sign and
stamp the account books or forms reproduced.

Article 17

When customs officers inspect manufacturing and business premises of the audited or the storage areas for import or export goods,
the legal representative or the person in charge of the audited or a representative it appoints shall be present for showing the
places, moving the goods, unpacking and re-packing the goods as required by customs. The inspection results shall be written down
by customs officers in the Inspection Records , and the two parties shall sign (stamp) the Inspection Records.

Article 18

When inquiring of the legal representative or the person in charge of the audited or other persons concerned, the customs officer
shall make a Record of Inquiries , which shall be signed (stamped) by the inquirer and the respondent.

Article 19

When inquiring about the deposit account of the audited at a commercial bank or any other financial institution, customs shall present
a Notice to Assist in Inquiries . The Notice to Assist in Inquiries shall be subject to approval of the customs commissioner and
bear the customs seal.

Article 20

In carrying out an external audit, if it finds the audited to possibly transfer, conceal, falsify or destroy its account books, forms
or other relevant material, customs may temporarily seal up account books, forms or other relevant material of the audited with the
approval of the customs commissioner. Customs sealing up account books, forms or other relevant material temporarily shall not hinder
the audited in its normal manufacturing and business activities. In carrying out an external audit, if it finds import or export
goods of the audited suspected of violating the provisions of the Customs Law of the People’s Republic of China (hereinafter referred
to as the Customs Law) or other relevant laws and administrative regulations, customs may seal up import and export goods in question
of the audited with the approval of the customs commissioner. When temporarily sealing up account books, forms or other relevant
material of the audited or sealing up import or export goods of the audited, the customs officers shall present a Notice of Sealing
up and attach thereto special customs seals. After checking the articles sealed up, customs officers and the audited shall sign (stamp)
the inventory attached to the Notice of Sealing up.

Article 21

Account books, forms and other relevant material and the goods sealed up by customs in accordance with the provisions of Article 20
of these Measures shall be released without delay if suspicion of violations of law has been removed through external auditing,
and a Notice of Release shall be issued to inform the audited.

Article 22

If the audited is found to have committed an act violating the Customs Law or other relevant laws or administrative regulations, customs
carrying out external auditing may seize account books, forms and other relevant material and import or export goods of the audited.

Article 23

After the performance of auditing, the auditing team shall submit to customs an audit report. The opinions of the audited shall be
solicited before the audit report is submitted to customs. The audited shall send its opinions in writing to customs within seven
days from the date of receipt of the audit report. If it fails to do so within the time limit, it shall be deemed to have no opinions.

Article 24

Customs shall make a Customs External Auditing Conclusion and serve it on the audited within 30 days from the date of receipt of the
audit report.

Chapter IV Treatment of Customs External Auditing

Article 25

Where duties or taxes are found to be short-levied or not levied through customs external auditing, the amount not collected shall
be made up by the audited within one year from the date of payment of duties or taxes or release of the goods. Where the short-levied
or unlevied collection is attributable to a violation of the provisions by the audited, customs may pursue the full payment by the
audited within three years. When necessary, with the approval of the customs commissioner, it may notify the bank to deduct the payment
from the deposit of the audited.

Article 26

Where the audited is found through customs external auditing to have committed any other act in violation of customs supervision regulations,
customs shall deal with the case in accordance with the Customs Law and other relevant laws and administrative regulations.

Article 27

Before making a decision of administrative penalty upon the audited, customs shall inform the audited of the facts, grounds and basis
for the administrative penalty to be made, and inform the audited of the rights it enjoys according to law. Any application for a
hearing submitted in accordance with the provisions of the Interim Measures for Holding Hearings for Customs Administrative Penalties
shall be accepted by customs as provided for.

Article 28

Where the audited fails to implement a customs decision on administrative penalty within a prescribed time limit, customs shall deal
with the case in accordance with the provisions of Article 51 of the Law of the people’s Republic of China on Administrative Penalty
and Article 30 of the Rules for Implementation of Administrative Penalties under the Customs Law of the People’s Republic of China.

Article 29

The audited who is found, through customs external auditing, to be suspected of the crime of smuggling or any other crime, shall be
transferred to the relevant department for handling. Any act of smuggling which has not constituted the crime of smuggling, or any
act which has constituted the crime of smuggling but is not prosecuted or exempted from criminal punishment shall be dealt with by
customs in accordance with the Customs Law and other relevant laws and administrative regulations.

Chapter V Legal Responsibility

Article 30

Where the audited has committed any of the acts listed in Articles 29 and 30 of the External Auditing Regulations, customs shall issue
the audited a Notice to Make Amends within a Time Limit . If no amends are made within the time limit, customs shall respectively
impose a fine of not less than 10,000 yuan nor more than 30,000 yuan and a fine of not less than 10,000 yuan nor more than 50,000
yuan.

Article 31

Where the audited has committed any of the acts listed in Articles 29 and 30 of the External Auditing Regulations, if the circumstances
are serious, customs shall disqualify it from making customs declarations, and impose a fine of not less than 1,000 yuan nor more
than 5,000 yuan upon the person in charge directly responsible and other persons directly responsible. The person in charge directly
responsible mentioned in this Article refers to the legal representative and the person in charge of the audited and persons in charge
of its related departments; other persons directly responsible refer to financial personnel, warehouse managers and other related
personnel of the audited directly involved in the import or export operations.

Article 32

Where a customs officer neglects his duties, commits illegalities for personal gain or by fraudulent means, abuses his powers or takes
advantage of his office to accept or extort money or property from the audited in carrying out external audits, if a crime has been
constituted, criminal responsibility shall be investigated according to law; if no crime has been constituted, customs shall deal
with the case in accordance with the Customs Law, the Interim Regulations on State Civil Servants and other relevant laws and administrative
regulations.

Chapter VI Supplementary Provisions

Article 33

Legal instruments in fixed form used as stipulated by these Measures shall be made uniformly by the General Administration of Customs.

Article 34

The General Administration of Customs shall be responsible for the interpretation of these Measures.

Article 35

These Measures shall come into force on March 1, 2000.



 
The General Administration of Customs
2000-01-11

 







REPLY OF THE STATE ADMINISTRATION FOR INDUSTRY AND COMMERCE ON ISSUES CONCERNING HOW TO HANDLE ENTERPRISES WITH FOREIGN INVESTMENT THAT DO NOT CONDUCT LIQUIDATION AFTER THE EXPIRATION OF THEIR AGREED OPERATING PERIODS

The State Administration for Industry and Commerce

Reply of the State Administration for Industry and Commerce on Issues Concerning How to Handle Enterprises with Foreign Investment
that do not Conduct Liquidation After the Expiration of their Agreed Operating Periods

GongShangQiZi [2000] No.268

November 15, 2000

Hebei Administration for Industry and Commerce:

We have studied your Request for Instructions on How to Handle Enterprises with Foreign Investment that do not Conduct Liquidation
after the Expiration of their Agreed Operating Periods ([2000] No.185) and now reply as follows:

1.

Enterprises with foreign investment should conduct liquidation in accordance with Measures on Liquidation of Enterprises with Foreign
Investment upon expiration of their agreed operating periods. The liquidation should be verified by authorized departments of the
enterprises and reported to competent examination and approval authorities for file-keeping purpose. Enterprises should apply to
competent registration authorities for cancellation of the registration within the prescribed time limit.

2.

Non-company enterprises with foreign investment that fail to apply for registration as provided for in related regulations shall be
handled by competent registration authorities in accordance with the 3rd Subparagraph of Paragraph 1 of Article 30 of the Regulations
of the People’s Republic of China for Controlling the Registration of Enterprises as Legal Persons.

3.

Foreign-invested companies (hereinafter referred to as companies) that fail to submit liquidation report to competent registration
authorities as required in related regulations shall be ordered to rectify in accordance with Article 218 of the Company Law of
the People’s Republic of China and Article 65 of the Regulations of the People’s Republic of China on Company Registration Administration.
As for companies that fail to apply for cancellation of the registration upon completion of the liquidation, competent registration
authorities shall treat them in accordance with Article 66 of the Regulations of the People’s Republic of China on Company Registration
Administration.

4.

As for companies that fail to conduct liquidation or complete required liquidation procedures within the prescribed time limit upon
expiration of their agreed operating periods, competent registration authorities may, judging from the severity of specific cases,
report the situation that these companies have lost their qualifications for operation due to the expiration of their agreed operating
periods to the Customs, administrations of taxation and foreign exchange, and the Ministry of Foreign Trade and Economic Cooperation
and other departments as well as the opening banks of these companies. Penalties on these companies may be conducted in combination
with the annual examination of the next year and in accordance with Article 68 of the Regulations of the People’s Republic of China
on Company Registration Administration.

5.

Companies whose operating periods expired should conduct no other business activity other than liquidation. Those that conduct new
business activities should be handled in accordance with Article 71 of the Regulations of the People’s Republic of China on Company
Registration Administration.



 
The State Administration for Industry and Commerce
2000-11-15

 







CIRCULAR OF THE GENERAL ADMINISTRATION OF CUSTOMS ON LAWS APPLICABLE TO CASES OF ILLEGAL PRACTICES INVOLVING COTTON STALLED IN CUSTOMS WAREHOUSES FOR PROCESSING TRADE IN DECIDING THE APPROPRIATE ADMINISTRATIVE PENALTY

The General Customs Administration

Circular of the General Administration of Customs on Laws Applicable to Cases of Illegal Practices Involving Cotton Stalled in Customs
Warehouses for Processing Trade in Deciding the Appropriate Administrative Penalty

ShuFa [2000] No.297

June 14, 2000

Guangdong Customs and all customs directly under the General Administration of Customs:

On February 18, 2000, nine ministries and commissions, including the State Development Planning Commission and the General Administration
of Customs jointly promulgated the Interim Measures for the Administration of Cotton Stalled in Customs’ Warehouses for Processing
Trade (JiJingMao [2000] No.161), and the Interim Measures for the Administration of Xinjiang Cotton Stalled in Customs’ Warehouses
for Processing Trade (JiJingMao [1999] No.352), jointly promulgated by eight ministries and commissions, including the State Development
Planning Commission and the General Administration of Customs on March 31, 1999, shall be repealed simultaneously. In order to ensure
the implementation of the policy of stalling cotton in customs’ warehouses for processing trade and the continuity of the force of
the administrative regulations of the General Administration of Customs, all customs shall apply the Provisions of the General Administration
of Customs on Laws and Regulations Applicable in Deciding Administrative Penalty for Violations of the Interim Measures for the Administration
of Xinjiang Cotton Stalled in Customs’ Warehouse for Processing Trade (hereinafter referred to as the Provisions). Corresponding
regulations in the Rules for the Implementation of the Administrative Penalty Provided in the Customs Law of the People’s Republic
of China and in the Provisions shall be referred to in the Administrative Penalty Decision drafted and released by each customs.

Each customs is hold responsible for publicizing the Draft Announcement as attached hereafter.

Attachment: Draft Announcement (omitted)



 
The General Customs Administration
2000-06-14

 







CIRCULAR OF THE MINISTRY OF LABOR AND SOCIAL SECURITY ON THE ISSUES CONCERNING THE AVERAGE MONTHLY WORKING-TIME IN A YEAR AND CONVERTING THE PAYMENT OF EMPLOYEE

The Ministry of Labor and Social Security

Circular of the Ministry of Labor and Social Security on the Issues Concerning the Average Monthly Working-time in a Year and Converting
the Payment of Employee

LaoSheBuFa [2000] No.8

March 17, 2000

Labor (labor and social security) departments (bureaus) of the provinces, autonomous regions, municipalities directly under the Central
Government:

According to the Measures on Having Holidays during the Spring Festival, Holidays and Commemoration (Decree No.270 of the State Council),
duration of citizen’s holiday and vocation has been changed from 7 days to 10 days. Therefore, the average monthly working days and
working hours of employee in a year have been changed into 20.92 days and 167.4 hours respectively. Daily salary and wage per hour
of employee shall be converted accordingly.



 
The Ministry of Labor and Social Security
2000-03-17

 







REPLY OF THE PEOPLE’S BANK OF CHINA ON THE RELATED ISSUES CONCERNING THE ADMINISTRATION ON SAVINGS DEPOSITING AND WITHDRAWING BUSINESS OF INDIVIDUALS

Reply of the People’s Bank of China on the Related Issues Concerning the Administration on Savings Depositing and Withdrawing Business
of Individuals

Yin Ban Han [2000] No. 816
December 15, 2000

The Industrial and Commercial Bank of China,

We have received your Letter of Related Suggestion on the Provisions for the Administration of Savings Depositing and Withdrawing
Business of Individuals (Gong Yin Han [2000] No. 355) has been received and the reply is hereby rendered as follows,

1.

In Article 5 of the Notice on Strengthening the Administration on Savings Depositing and Withdrawing Business of Individuals of Financial
Institutions (Yin Fa [1997] No. 363, hereinafter referred to as the Notice), it is provided that “The withdrawal of any saving which
an individual deposits in 24 hours on the very day shall be handled in the original network branch of deposit.” Particularly, the
term “on the very day” means the day when the saving is deposited; the term “withdrawal within 24 hours” means the withdrawal of
saving that has been deposited on the very day (convenient for operation). Those commercial banks that have opened ATM business have
realized their internal networking and unified operation rules and set a quota of maximum cash withdrawal (5, 000 Yuan) so that risks
are hedged. Therefore, in case a bankcard holder withdraws money on an ATM machine after depositing some money on the very day, he
may not be subject to the related provisions of the Notice.

2.

In Article 6 of the Notice, it is provided that “A financial institution that conducts the savings depositing and withdrawing business
of individuals shall, when encountering any client who withdraws more than 50, 000 Yuan (not including 50,000 Yuan) in an one-off
manner in one day, require its counter staff to ask the saving withdrawing person for the effective identity certificate, and shall
make payment upon the examination and approval of its person-in-charge.” Particularly, the term “examination” means the verification
on the consistency between the name on the identity certificate and that on the deposit note as well as that on the deposit book
and the term “50, 000 Yuan” means the total amount of the principal and interest.

The branches and business management departments of the People’s Bank of China shall transfer this document to all urban commercial
banks and urban and rural cooperatives within their respective jurisdictions.



 
The People’s Bank of China
2000-12-15

 







CIRCULAR OF THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION ON REAFFIRMATION OF SOME REGULATIONS OF THE INTERIM MEASURES FOR APPROVAL AND MANAGEMENT OF THE DOMESTIC SALE OF THE BONDED IMPORTED MATERIALS AND FITTINGS FOR PROCESSING TRADE

The Ministry of Foreign Trade and Economic Cooperation

Circular of the Ministry of Foreign Trade and Economic Cooperation on Reaffirmation of Some Regulations of the interim Measures for
Approval and Management of the Domestic Sale of the Bonded Imported Materials and Fittings for Processing Trade

WaiJingMaoGuanJiaHanZi [2000] No.328

November 3, 2000

To the Foreign Trade and Economy Departments (Committees, Bureaus) of all provinces, autonomous regions, municipalities directly under
the Central Government and municipalities separately listed on the State plan:

The interim Measures for Approval and Management of the Domestic Sale of the Bonded Imported Materials and Fittings for Processing
Trade (1999) [WaiJingMaoGuanFa [1999] No.315, hereinafter referred to as the Measures], has been carried out well as a whole since
its promulgation. However, we have recently found that several approval authorities for foreign trade and economy also made some
mistakes due to their misunderstanding of the third clause of the Measures concerning the issuing of Permits for Domestic Sale of
Bonded Imported Materials and Fittings of Processing Trade to “the commodities listed in the catalogue of the general trade managed
with import quote and register”. We are now affirming and clarifying some regulations concerned on this question as follows:

The approval authorities of various levels for foreign trade and economy shall not issue Permits for Domestic Sale of Bonded Imported
Materials and Fittings of Processing Trade to the domestic sale of the imported materials and fittings for processing trade listed
in the catalogue of the general trade managed with import quote or register (setting limit to), the operating enterprises for the
processing trade shall directly apply for the formalities of register and the formalities of cancellation after verification in accordance
with the eighth clause of the Measures.

The above shall be strictly complied with and carried out, and any problems occurred shall be reported at any time.



 
The Ministry of Foreign Trade and Economic Cooperation
2000-11-03

 







PREVENTION AND CONTROL OF ATMOSPHERIC POLLUTION LAW

Law of the People’s Republic of China on the Prevention and Control of Atmospheric Pollution










(Adopted at the 22nd Meeting of the Standing Committee of the Sixth National People’s Congress on September 5, 1987,
amended according to the Decision on Revising the Law of the People’s Republic of China on the Prevention and Control of Atmospheric
Pollution adopted at the 15th Meeting of the Standing Committee of the Eighth National People’s Congress on August 29, 1995,revised
at the 15th Meeting of the Standing Committee of the Ninth National People’s Congress and promulgated by Order No. 32 of the President
of the People’s Republic of China on April 29, 2000) 

Contents 

Chapter I    General Provisions 

Chapter II   Supervision over the Prevention and Control of Atmospheric Pollution  

Chapter III  Prevention and Control of Atmospheric Pollution by the Burning of Coal 

Chapter IV   Prevention and Control of Pollutants Discharged by Motor Vehicles and Vessels  

Chapter V    Prevention and Control of Pollution by Waste Gas, Dust and Malodorous Gases  

Chapter VI   Legal Responsibility 

Chapter VII  Supplementary Provisions 

Chapter I 

General Provisions 

Article 1  This Law is formulated for the purpose of preventing and controlling atmospheric pollution, protecting and improving
people’s environment and the ecological environment, safeguarding human health, and promoting the sustainable development of the
economy and society. 

Article 2  The State Council and the local people’s governments at various levels shall incorporate the protection of the atmospheric
environment into the national economic and social development plans, make rational plans for the geographical distribution of industry,
improve scientific research in the prevention and control of atmospheric pollution and adopt measures to prevent and control atmospheric
pollution, in order to protect and improve the atmospheric environment. 

Article 3  The State takes measures to control or gradually reduce, in a planned way, the total amount of the major atmospheric
pollutants discharged in different areas. 

The local people’s governments at various levels shall be responsible for the quality of the atmospheric environment within the areas
under their jurisdiction, making plans and taking measures to ensure that the quality of the atmospheric environment within the said
areas meet the standards. 

Article 4   The administrative departments for environmental protection under the people’s governments at or above the
county level shall exercise unified supervision over the prevention and control of atmospheric pollution. 

The administrative departments for public security, transportation, railways and fishery at various levels shall perform their respective
functions in conducting supervision over atmospheric pollution caused by motor vehicles and vessels. 

The relevant competent departments under the people’s governments at or above the county level shall, with the limits of their respective
functions conduct supervision over the prevention and control of atmospheric pollution. 

Article 5  All units and individuals shall have the obligation to protect the atmospheric environment and shall have the right
to inform or lodge charges against units or individuals that cause pollution to the atmospheric environment. 

Article 6   The administrative department for environmental protection under the State Council shall establish the national
standards for atmospheric environment quality. 

The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government may establish
their local standards for items not specified in the national standards for atmospheric environment quality and report the same to
the administrative department for environmental protection under the State Council for the record. 

Article 7  The administrative department for environmental protection under the State Council shall, on the basis of the national
standards for atmospheric environment quality and the country’s economic and technological conditions, establish the national norm
for the discharge of atmospheric pollutants. 

The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government may establish
their local discharge norms for items not specified in the national norm for the discharge of atmospheric pollutants; with regard
to items already specified in the national norms for the discharge of atmospheric pollutants, they may set local discharge norms
which are more stringent than the national norm and report the same to the administrative department for environmental protection
under the State Council for the record. 

Where the local norms for the discharge of atmospheric pollutants by motor vehicles and vessels established by the people’s governments
of provinces, autonomous regions and municipalities directly under the Central Government are more stringent than the national norm,
they shall be subject to approval by the State Council. 

Units that discharge atmospheric pollutants in areas where local discharge norms have been established shall do so in conformity
with such norms. 

Article 8  The State adopts economic and technological policies and measures to facilitate  the prevention and control
of atmospheric pollution and the relevant multi-purpose utilization. 

Units or individuals that have made outstanding achievements in the prevention and control of atmospheric pollution or in the protection
and improvement of the atmospheric environment shall be rewarded by the people’s governments at various levels. 

Article 9  The States encourages and supports scientific and technological research into the prevention and control of atmospheric
pollution, promotes the wide use of advanced and applicable technologies for such prevention and control; encourages and supports
the development and utilization of clean energy like the solar energy, wind energy and water energy. 

The State encourages and supports the development of the environmental protection industries. 

Article 10  The people’s governments at various levels shall redouble their efforts in afforestation, grass planting, urban
and rural greening, and take effective measures that are suited to local conditions to prevent and control desertification so as
to improve the atmospheric environment. 

 

Chapter II 

Supervision over the Prevention and Control of Atmospheric Pollution 

Article 11  Projects which discharge atmospheric pollutants shall be built, expanded or rebuilt in compliance with the State
regulations requiring environmental protection in respect of such projects. 

In the statement regarding the environmental impact of a construction project, the atmospheric pollution the project is likely to
product and its impact on the ecological environment shall be assessed and measures for its prevention and control be specified;
and the statement shall, in accordance with the specified procedures, be submitted to the administrative department for environmental
protection for examination and approval. 

Before a construction project is put into operation or to use, its facilities for the prevention and control of atmospheric pollution
shall be subject to inspection and acceptance by the administrative department for environmental protection; no construction projects
that fail to meet the requirements specified in the State regulations requiring environmental protection in respect of such projects
shall be permitted to be put into operation or to use.    

Article 12  Units that discharge atmospheric pollutants shall, pursuant to the regulations laid down by the administrative department
for environmental protection under the State Council, report to the local administrative department for environmental protection
the facilities installed for discharging and treating pollutants and the categories, quantities and density of the pollutants discharged
under regular operation conditions and submit to the same department the relevant technical data concerning the prevention and control
of atmospheric pollution. 

The units that discharge pollutants, as mentioned in the preceding paragraph, shall without delay report on any substantial change
in the categories, quantities or density of the atmospheric pollutants discharged. They shall keep their facilities for treating
atmospheric pollutants in regular operation; where the said facilities are to be dismantled or left idle, the matter shall be reported
to the local administrative department for environmental protection under the people’s government at or above the county level for
approval in advance. 

Article 13  No units may discharge atmospheric pollutants in excess of the density specified by the State of by local authorities.
 

Article 14  The State institutes a system under which fees are charged discharge of atmospheric pollutants on the basis of the
categories and quantities of the pollutants discharged and establishes reasonable rates for such fees according to the need for improved
prevention and control of atmospheric pollution and the country’s economic and technological conditions. 

The rates fixed by the State shall be applied in collecting the fees for discharge of pollutants, specific measures and the procedures
for their implementation shall be prescribed by the State Council. 

All the fees collected for discharge of pollutants shall be turned over to the Treasury and shall be used for the prevention and
control of atmospheric pollution as prescribed by the State Council and may not be used for other purposes. And the auditing authority
shall, in accordance with law, exercise supervision over their use through auditing.  

Article 15  With regard to the areas, where the specified standards for the quality of the atmospheric environment are not met,
and the acid rain control areas and the sulfur dioxide pollution control areas designated as such with the approval of the State
Council, the State Council and the people’s governments of provinces, autonomous regions and municipalities directly under the Central
Government may delimit them as the areas where the total amount of the main atmospheric pollutants discharged is kept under control.
The specific measures for such control shall be prescribed by the State Council. 

The relevant local people’s governments in the areas where the total amount of the atmospheric pollutants discharged is kept under
control shall, in compliance with the requirements and procedures prescribed by the State Council and in line with the principles
of openness, fairness and impartiality, check and fix the total amounts of the main atmospheric pollutants discharged by enterprises
and institutions and issue them permits for discharge for such pollutants.   

The enterprises and institutions that undertake to control their total amounts of atmospheric pollutants discharged shall discharge
pollutants in conformity with the checked and fixed total amounts of the main atmospheric pollutants to be discharged and the requirements
in respect of their discharge prescribed by the permits. 

Article 16  Within the scenic or historic sites, nature reserves, the areas adjacent to historical or cultural sites under protection
and other zones that need special protection, delimited as such by the State Council or the people’s governments of provinces, autonomous
regions and municipalities directly under the Central Government, no industrial production installations that cause environmental
pollution shall be built; the pollutants discharged by other installations to be built in these areas may not exceed the norms prescribed.
Enterprises and institutions which, before the enforcement of this Law, have built installations that discharge pollutants in excess
of the specified norms shall, in accordance with the provisions of Article 48 of this Law, put such pollution under control within
a time limit. 

Article 17  The State Council shall designate key cities for prevention and control of atmospheric pollution in accordance with
the overall plan for urban development, the planned target for environmental protection and the quality of the atmospheric environment
of cities.   

Municipalities directly under the Central Government, provincial capitals, open coastal cities and key tourist cities shall be included
in the list of key cities for prevention and control of atmospheric pollution.  

Key cities for prevention and control of atmospheric pollution that fail to meet the standards for the quality of the atmospheric
environment shall be required to do so within the time limit specified by the State Council or the administrative department for
environmental under the State Council. The people’s governments of such cities shall make plans to meet the standards within the
time limit and may, under the authorization of the State Council or on the basis of its regulations, adopt more stringent measures
to fulfil such plans on such plans on schedule.  

Article 18  The administrative department for environmental protection under the State Council together with the relevant departments
under the State Council may, in light of the meteorological, topographical, soil and other natural conditions, delimit the areas
where acid rain has occurred or will probably occur and areas that are seriously polluted by sulfur dioxide as acid rain control
areas or sulfur dioxide pollution control areas, subject to approval by the State Council. 

Article 19  Enterprises shall give priority to the adoption of clean production techniques that are instrumental to high-efficient
use of energy and reduced discharge of pollutants so as to decrease the generation of atmospheric pollutants.     

The State practises an elimination system for the outdated production techniques and equipment which cause serious pollution to the
atmospheric environment. 

The competent department for comprehensive economic and trade affairs under the State Council shall, in conjunction with the relevant
departments under the State Council, publish a catalog of the techniques which cause serious pollution to the atmospheric environment
and the use of which shall be prohibited within a time limit, and a catalog of the equipment which causes serious pollution to the
atmospheric environment and the production, sale, importation and use of which shall be prohibited within a time limit. 

Producers, sellers, importers or users shall, within the time limit specified by the competent department for comprehensive economic
and trade affairs under the State Council in conjunction with the relevant departments under the State Council, discontinue the production,
sale, importation or use of the equipment listed in the catalog as mentioned in the preceding paragraph. Users of the production
techniques listed in the catalog mentioned in the preceding paragraph shall, within the time limit specified by the competent department
for comprehensive economic and trade affairs under the State Council in conjunction with the relevant departments under the State
Council, stop using such techniques. 

No equipment eliminated in accordance with the provisions of the preceding two paragraphs may be transferred to another for use.
 

Article 20  Any unit that, as a result of an accident or any other exigency, discharges or leaks toxic or harmful gas or radioactive
substances, thereby causing or threatening to cause an accident of atmospheric pollution and jeopardize human health, shall promptly
take emergency measures to prevent and control the atmospheric pollution hazards, make the situation known to such units and inhabitants
as are likely to be endangered by the atmospheric pollution hazards, report the case to the local administrative department for environmental
protection and accept its investigation and disposal. 

Under the urgent circumstances of a severe atmospheric pollution that jeopardizes human health and safety, the local people’s government
shall make the matter known to the local inhabitants without delay and take  compulsory emergency measures, including ordering
the pollutant discharging unit concerned to stop discharging pollutant. 

Article 21  The administrative departments for environmental protections and other supervisory departments shall have the power
to make on-site inspections of the units under their jurisdiction that discharge pollutants. The units under inspection shall truthfully
report the situation to them and provide them with the necessary data. The inspecting departments shall have the obligation to keep
confidential the technological know-how and business secrets of the units inspected. 

Article 22  The administrative department for environmental protection under the State Council shall set up a monitoring system
for atmospheric pollution, organize a monitoring network and work out unified monitoring measures. 

Article 23  The administrative departments for environmental protection under the people’s governments of large and medium-sized
cities shall regularly publish bulletins on the quality of the atmospheric environment and gradually introduce the practice of forecasting
the quality of the atmospheric environment. 

A bulletin on the quality of the atmospheric environment shall include such contents as the characteristics of the urban atmospheric
pollution, the types of the main pollutants and the degree of the harm caused by the pollution. 

   

Chapter III 

Prevention and Control of Atmospheric Pollution by the Burning of Coal 

Article 24  The State promotes the dressing of coal by washing to reduce the sulfur and ash in coal, and restricts the mining
of high-sulfur or high-ash coal. If the coal mined from a newly-built coal mine is of high-sulfur or high-ash, supporting facilities
for the dressing of coal by washing shall be installed to keep the sulfur and ash in coal within the limits prescribed.  

If the coal mined from an established coal mine is of high-sulfur or high-ash, supporting facilities for the dressing of coal by
washing shall, in accordance with the plan approved by the State Council, be installed within a time limit. 

It is prohibited to mine the coal containing toxic or harmful substances, such as radioactive and arsenic substances, that exceed
the limits prescribed. 

Article 25  The relevant departments under the State Council and the local people’s governments at various levels shall adopt
measures to improve the mix of urban energy and popularize the production and utilization of clean energy. 

The people’s governments of key cities for prevention and control of atmospheric pollution may, within the regions under their respective
jurisdiction, delimit areas as ones where sale and use of the seriously polluting fuels defined by the administrative department
for environmental protection under the State Council are prohibited. The units and individuals in such areas, within the time limit
prescribed by the local people’s governments, stop using such seriously polluting fuels and shall instead use natural gas, liquefied
petroleum gas, electricity or other clean energy.     

Article 26  The State adopts economic and technical policies and measures conducive to the clean utilization of coal, encourages
and supports the use of fine coal of low-sulfur or low-ash, and encourages and supports the development and popularization of the
technology of coal cleaning.   

Article 27  The competent department concerned under the State Council shall, pursuant to the norms for boiler discharge of
atmospheric pollutants prescribed by the State, stipulate corresponding requirements in the boiler quality standards; no boilers
that do not meet the prescribed requirements shall be manufactured, sold or imported. 

Article 28  Urban construction shall be conducted on the basis of over-all planning. In areas of coal heating, unified provision
of heat sources shall be practised and central heating developed. In areas covered by central heating pipelines or networks, no coal
heating boilers may be installed. 

Article 29  People’s governments of large or medium-sized cities shall make plans for catering service enterprises to start
the use of clean energy such as natural gas, liquefied petroleum gas and electricity within a time limit. 

For other users of domestic cooking ranges in urban areas of large or medium-sized cities not delimited as areas where the use of
seriously polluting fuels is prohibited, they shall, within a time limit, start to use sulfur-fixed briquette of coal or other clean
energy. 

Article 30  Where heat-engine plants and other large or medium-sized enterprises that discharge sulfur dioxide are built or
expanded, if the prescribed norms for pollutants discharge or the control quotas for total amounts of discharge are exceeded, supporting
facilities for desulphurization and dust removal shall be installed or other measures for control of the discharge of sulfur dioxide
or for dust removal adopted. 

In the acid rain control areas or sulfur dioxide pollution control areas, if established enterprises discharge atmospheric pollutants
in excess of the norms for pollutants discharge, they shall, in accordance with the provisions of Article 48 of this Law, be required
to keep the discharge under control within a time limit.   

The State encourages enterprises to adopt advanced technology for desulphurization and dust removal. 

Enterprises shall adopt measures to control the nitrogen oxide generated by the burning of fuel. 

Article 31  When coal, gangue, coal cinder, coal ashes, sandstone lime soil or other material is stored in densely inhabited
areas, fire and dust prevention measures shall be taken in order to prevent atmospheric pollution. 

Chapter IV 

Prevention and Control of Pollutants Discharged 

by Motor Vehicles and Vessels 

Article 32  No motor vehicles and vessels shall be permitted to discharge atmospheric pollutants in excess of the prescribed
discharge norms. 

No unit or individual may manufacture, sell or import motor vehicles or vessels that discharge pollutants in excess of the prescribed
discharge norms.   

Article 33  No motor vehicles in use that do not meet the norms for pollutants discharge prescribed for motor vehicles in use
at the time of their manufacture may be driven on the road. 

When the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government prescribe
new norms for pollutants discharged by motor vehicles in sue and decide to have them transformed technically, they shall report the
matter to the State Council for approval.  

Motor-vehicle repair units shall, in compliance with the requirements for prevention and control of atmospheric pollution and the
relevant technical norms of the State, make repairs to ensure that the motor vehicles in use meet the prescribed norms for pollutants
discharge. 

Article 34  The State encourages the manufacture and use of motor vehicles and vessels that consume clean energy.  

The State encourages and supports the production and use of fine fuel oil, and takes measures to reduce pollution of atmospheric
environment by harmful substances contained in fuel oil. Units and individuals shall, within the time limit prescribed by the State
Council, stop producing, importing and selling leaded gasoline. 

Article 35  The administrative departments for environmental protection under the people’s governments of provinces, autonomous
regions and municipalities directly under the Central Government may authorize the units which undertake annual test of motor vehicles
and whose qualifications have been verified by the public security authorities to conduct annual test of motor vehicles for their
emission of fumes in accordance with the norms prescribed. 

The departments of transportation, fishery and other departments vested with supervisory power may authorize the units which undertake
annual test of motor vessels and whose qualifications have been verified by the relevant authorities to conduct annual test of motor
vessels for their emission of fumes in accordance with the norms prescribed. 

The administrative departments for environmental protection under the local people’s governments at or above the county level may
conduct random supervisory test of the motor vehicles in use for the pollutants discharged at their places of parking.   

 

Chapter V 

Prevention and Control of Pollution by Waste Gas,Dust and Malodorous Gases 

Article 36  Units that discharge dust into the atmosphere shall adopt measures to remove such dust.  

The discharge of toxic waste gas and dust into the atmosphere shall be strictly restricted. Where such discharge is really necessary,
the discharged gas or dust undergo purification treatment so as not to exceed the prescribed discharge norms.     
 

Article 37  Inflammable gas engendered during industrial production shall be recycled; if such gas is discharged into the atmosphere
due to the absence of the means of for recycling, it shall undergo treatment for the prevention and control of pollution. 

The discharge into the atmosphere of converter gas, acetylene, yellow phosphoric tail gas engendered by electric furnace process,
or organic hydrocarbon tail gas shall be reported to the local administrative department for environmental protection for approval. 

Where the installations for recycling inflammable gas cannot operate normally, they shall be repaired or updated without delay. Where
the discharge of inflammable gas is really necessary during the period when the installations for recycling cannot operate normally,
the inflammable gas to be discharged shall be fully burnt, or other measures shall be taken, to reduce atmospheric pollution.  

Article 38  Units that discharge sulphide-bearing gas in the process of refining petroleum, producing synthetic ammonia or coal
gas, cooking fuel coal or smelting non-ferrous metal shall be equipped with desulphurizing installations or shall adopt other measures
for desulphurization. 

Article 39  Gas and aerosols containing radioactive substances shall be discharged into the atmosphere in compliance with State
regulations on protection against radioactivity, and they may not be discharged in excess of the prescribed discharge norms. 

Article 40  Units that discharge malodorous gases into the atmosphere shall take measures to prevent pollution of the neighboring
residential areas. 

Article 41  In densely inhabited areas and other areas that need special protection according to law, the burning of asphalt,
asphalt felt, rubber, plastics, leather, garbage or other substances that produce toxic or harmful smoke or dust or malodorous gases
is prohibited.   

In densely inhabited areas, the areas around the airports, the areas in the vicinity of main traffic arteries or the areas designated
by local people’s governments, the burning in the open air of stalks, fallen leaves or other substances that will cause smoke or
dust pollution is prohibited. 

In addition to the provisions in the preceding two paragraphs, municipal people’s governments may, in light of the actual conditions,
adopt other measures to prevent and control smoke or dust pollution. 

Article 42  Where substances that diffuse toxic or harmful gases or dust are transported, loaded or unloaded, or stored, sealing
or other protective measures shall be taken. 

Article 43  Municipal people’s governments shall introduce the responsibility system for afforestation and take measures to
strengthen administration of construction, increase the area of paved ground and control the heaping up of debris and waste as well
as measures for clean transportation, in order to increase the per capita area of green land, reduce the area of bare land and the
amount of surface dust, and prevent and control dust pollution in the urban areas. 

Units which engage in construction or other activities that generate dust pollution in the urban areas of cities shall take measures
to prevent and control dust pollution in compliance with the local regulations on environmental protection. 

The relevant administrative department under the State Council shall make control of dust pollution one of the criteria for assessing
a city’s comprehensive control of its environment. 

Article 44  People providing catering services in cities shall adopt measures to prevent and control pollution caused by soot
to the residential environment in the neighborhood. 

Article 45  The State encourages and supports the manufacture and use of the substitutes for products that deplete the substances
of the ozone layer, gradually reducing the output of such products untill the termination of their manufacture and use. 

Units which manufacture or import products that deplete substances of the ozone layer shall, within the time limit prescribed by
the State, manufacture an import such products in accordance with the quotas approved by the relevant administrative department under
the State Council. 

 

Chapter VI 

Legal Liability 

Article 46  Any unit or individual that violates this Law shall, depending on the circumstances of the case, be ordered to discontinue
the violation and make rectification within a time limit, be given disciplinary warning or fined not more than 50,000 yuan by the
administrative department for environmental protection, or a supervisory department as mentioned in the second paragraph of Article
4 of this Law, for any of the following acts: 

(1) Refusing to report or submitting a false report on items of pollutants discharge for which registration is required by the administrative
department for environmental protection under the State Council. 

(2) Refusing an on-site inspection by the administrative department for environmental protection

CIRCULAR OF PEOPLE’S BANK OF CHINA ON ISSUE CONCERNING IMPLEMENTING THE MEASURES ON ADMINISTRATING THE FINANCIAL COMPANIES OF ENTERPRISE GROUPS

The People’s Bank of China

Circular of People’s Bank of China on Issue Concerning Implementing the Measures on Administrating the Financial Companies of Enterprise
Groups

YinFa [2000] No.218

July 13, 2000

The branches and business management departments of People’s Bank of China, financial companies supervised directly by the General
Bank:

Measures on Administrating the Financial Companies of Enterprise Groups (hereinafter referred to as Measures) is issued by Decree
No.3 [2000] of People’s Bank of China, hereby notify the relevant items on implementing the Measures:

1.

On the problem of interim of the financial company

The financial company set up before the promulgation of the Measures should be standardized according to the requirements of Measures.
The increase of the capital, the adjustment of the business scope, the amendment of rules and the change and distribution of the
finance license should be finished before June 30, 2001. The businesses that don’t coincide with the Measures should be cleaned off
in time. People’s Bank of China will check the implementation of Measures in each financial company from July 3, 2001.

2.

On the problem of branches

The financial company can’t set the branches in principle, but it shall be handled separately if the corporate body is changed into
branches as the result of reorganization of the enterprise group.

3.

On the problem of transferring and closing an account inside of the financial company

Transferring and Closing an account inside a financial company should be strictly limited among the member units. It should report
to People’s Bank of China for re-approval for the finance company that has already operated this kind of business and needs to carry
on the business. At the same time, the company should be standardized according to requirements.

4.

On the problem of issuing bond of the financial company

With a view to raising middle or long-term fund to support the technique reform of the enterprise and meet the index of proportion
of assets and liabilities, all financial companies can apply for issuing bond of the financial companies. Each branch and business
management departments of People’s Bank of China should prepare well for the issue of bond of the finance companies in the district
under its jurisdiction.

Each branch and business management departments of People’s Bank of China should organize the financial companies in the district
under its jurisdiction to study and implement the Measures and adjust promptly the criterion according to the Measures. They also
should report the problems happening during the implementation of the Measures to the General Bank in time.

 
The People’s Bank of China
2000-07-13

 




REPLY OF THE STATE ADMINISTRATION OF FOREIGN EXCHANGE ON WHETHER THE REGULATIONS OF THE PEOPLE’S REPUBLIC OF CHINA ON FOREIGN EXCHANGE ADMINISTRATION PROVIDES PREPOSITION OF RECONSIDERATION

The State Administration of Foreign Exchange

Reply of the State Administration of Foreign Exchange on Whether the Regulations of the People’s Republic of China on Foreign Exchange
Administration Provides Preposition of Reconsideration

HuiFu [2000] No.29

January 27, 2000

Fuzhou Foreign Exchange Administrative Bureau:

The document FuHui [2000] No.2 has been received, now reply as follow:

The document FuHui [2000] No.2 has been received. Please find our reply as follows:Pursuant to Paragraph 1, Article 16 of the Law
of the People’s Republic of China on Administrative Reconsideration, in cases where citizens, legal persons or other organizations
refuse to accept the specific administrative action of a certain administrative authority, they may apply for preposition of reconsideration,
that is, to go through administrative reconsideration first, and then to institute administrative litigation to the People’s Court
only when refusing to accept the reconsideration decision, provided that the relevant Chinese laws and regulations contain explicitly
made stipulations in this regard.

The Regulations on Foreign Exchange Administration, promulgated by the State Council in Decree No.193 as of January 29, 1996, and
amended in Decree No.211 as of January 14, 1997, is competent to provide for preposition of reconsideration.

Article 50 of the Regulations on Foreign Exchange Administration dedicates three sentences to stipulations on the right of the party
concerned for administrative reconsideration, on the length of time for the competent authority to conduct administrative reconsideration,
and on the right of the party concerned for administrative reconsideration respectively. With the middle sentence on the length of
time allowed for administrative reconsideration being left out, the remaining two sentences, one on the right of the party concerned
for administrative reconsideration and the other on the right of the party concerned for administrative litigation, combine to form
a stipulation on preposition of reconsideration. Pursuant to this Article, the premise for the party concerned to exercise the right
for administrative review is its refusal to accept the relevant foreign exchange authority’s penalty decision, while that for administrative
litigation is a refusal to accept the reconsideration decision by the foreign exchange authority at the next higher level. The use
of “may” rather than “shall” in this Article means that the party concerned may exercise or give up its rights for administrative
reconsideration and administrative litigation, rather than that the party concerned may choose between an administrative reconsideration
and an administrative litigation.

Therefore, Article 50 of the Regulations on Foreign Exchange Administration clearly defines the procedures for preposition of reconsideration.

 
The State Administration of Foreign Exchange
2000-01-27

 




CIRCULAR OF THE MINISTRY OF FINANCE AND THE STATE ADMINISTRATION OF TAXATION ON THE ADJUSTMENT OF THE ADDED-VALUE RATE IN LINKS OF IMPORTING FOR SOME COMMODITY

The Ministry of Finance, the State Administration of Taxation

Circular of the Ministry of Finance and the State Administration of Taxation on the Adjustment of the Added-value Rate in Links of
Importing for Some Commodity

CaiShuiZi [2000] No.296

December 13, 2000

The General Administration of Customs:

In recent years, the added-value rate of some commodity has been adjusted by the State, at the same time, some taxation institutions
and enterprises have reported that the added-value rates of some commodity at exporting links are inconsistent with that at the domestic
links. Therefore, we re-confirm the added-value rate of the agriculture byproducts and relevant goods during the exporting links.
(Goods with the code of 9 and 10 digits should be modified according to the principle of classification of HS goods and the concrete
operations should be made by your own), for further details refer to Table of the Exports Added-value Rate for some Commodity. Please
adjust in view of the above by your own.

Attachment: Table of the Added-value Rate at Exports Links for some Commodity (omitted)



 
The Ministry of Finance, the State Administration of Taxation
2000-12-13

 







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...