CIRCULAR OF THE STATE ADMINISTRATION FOR INDUSTRY AND COMMERCE ON RELEVANT ISSUES FOR ENTERPRISES WITH FOREIGN INVESTMENT IN BONDED ZONES TO ESTABLISH BRANCHES

Circular of the State Administration for Industry and Commerce on Relevant Issues for Enterprises with Foreign Investment in Bonded
Zones to Establish Branches

GongShangQiZi [2001] No.363
December 27, 2001

The administrations for industry and commerce of all provinces, autonomous regions, municipalities directly under the Central Government
and the authorized municipal administrations for industry and commerce:

In order to further regulate enterprises with foreign investment in bonded zones in their establishment of branches outside the bonded
zones, and to support the healthy development of enterprises with foreign investment in bonded zones, relevant issues for enterprises
with foreign investment in bonded zones to establish their branches outside the bonded zones are hereby noticed as follows:

An enterprise with foreign investment in a bonded zone may establish a representative office outside the bonded zone, the business
scope of which shall be the liaison of work that falls within the business scope of its parent enterprise.

II.

An enterprise with foreign investment in a bonded zone that intends to establish, modify or cancel a representative office outside
the bonded zone shall meet the registration conditions, be subject to the registration jurisdiction and go through the registration
procedures, in respect of the establishment of representative offices of enterprises with foreign investment.

III.

The registration organ for representative offices established outside the bonded zones by enterprises with foreign investment in bonded
zones shall strengthen supervision on such representative offices.

The valid period of the “Registration Certificate of Representative Office of the Enterprise with Foreign Investment” of a representative
office outside the bonded zone shall, for the time being, be one year, and can be extended in case no illegal act has occurred.

The registration organ of representative offices shall strengthen its contact with the original registration organ of the enterprises
in bonded zones, and do well in its daily supervision work; and shall, after registering a representative office, write back to the
original registration organ for confirmation, as well as strengthen its daily supervision work on the representative office. Where
a representative office violates the provisions by engaging in business activities, the registration organ of representative offices
shall, by distinguishing the category of the parent enterprise of the office, impose punishments separately in accordance with the
Regulations on the Registration and Administration of Companies or the Regulations on the Registration and Administration of Enterprises
as Legal Persons and the Detailed Rules for the Implementation of the Regulations. The object of punishment shall be the parent enterprise
in the bonded zone. When necessary, the registration organ of representative offices may also, on the basis of the situation of the
case, transfer the case to the registration organ of the parent enterprise in the bonded zone for punishment.

IV.

Enterprises with foreign investment in bonded zones may not, if establishing their representative offices outside the bonded zones,
enjoy the tax preferential policies which are applicable to the enterprises in the bonded zones.

Enterprises with foreign investment in bonded zones shall not set up their foreign currency accounts if establishing their representative
offices outside the bonded zones. The account of a representative office shall not include any item of income except for the money
allocated by its parent enterprise. The money allocated by a representative office’s parent enterprise shall be only limited to the
reasonable expenses for its office business.

VI.

An enterprise with foreign investment in a bonded zone shall not establish any operative branch except for the representative office(s)
outside the bonded zone.

VII.

As of the date of the distribution of this Circular, the “Circular on the Relevant Issues for Enterprises with Foreign Investment
in Bonded Zones to Establish Branches outside the Bonded Zones” (GongShangQiZi [1996] No. 341) distributed by the SAIC in 1996 shall
be ceased from execution.

The State Administration for Industry and Commerce
2001-12-17

CIRCULAR OF THE MINISTRY OF FINANCE ON HOW TO DEAL WITH RELEVANT FINANCIAL ISSUES IN THE REFORM OF HOUSING SYSTEM FOR EMPLOYEES OF THE CHINESE PARTIES IN ENTERPRISES WITH FOREIGN INVESTMENT

The Ministry of Finance

Circular of the Ministry of Finance on How to Deal with Relevant Financial Issues in the Reform of Housing System for Employees of
the Chinese Parties in Enterprises with Foreign Investment

CaiQi [2001] No.647

October 24, 2001

The departments (bureaus) of finance of various provinces, autonomous regions, municipalities directly under the Central Government
and municipalities separately listed on the State plan:

In order that enterprises with foreign investment may better carry out the essence of the Circular on How to Deal with Relevant Issues
in the Reform of Housing System for Employees of the Chinese Parties in Enterprises with Foreign Investment (CaiQiZi [2000] No.295)
and the Supplementary Circular on How to Deal with Relevant Issues in the Reform of Housing System for Employees of the Chinese Parties
in Enterprises with Foreign Investment (CaiQZi [2000] No.878), in accordance with the laws and regulations related to foreign investment
of the State and in light of the characteristics of enterprises with foreign investment and the needs of administration, relevant
measures for the handling of financial issues in the reform of housing system for employees of the Chinese parties in enterprises
with foreign investment are hereby notified as follows:

On the handlings of the balance of housing circulating funds for employees of the Chinese parties in enterprises with foreign investment,
enterprises with foreign investment shall no longer apply the management system of housing funds for employees of the Chinese parties
and housing circulating funds for employees of the Chinese parties, and the balance of housing circulating funds for employees of
the Chinese parities in enterprises with foreign investment shall, according to the relevant amount stated in the enterprise accounting
statements of year 2000 which are audited and affirmed by certified public accountants, all be transferred to and showed on the accounts
of the Chinese parties to the joint ventures and shall not be handled until the liquidation of the enterprises.

On the liquidation and disposition of the properties and facilities purchased by using the housing circulating funds According to
the relevant provisions of the Circular on Printing and Distributing the Supplementary Provisions on the Implementation of New Enterprise
Financial System by Enterprises with Foreign Investment of the Ministry of Finance (CaiGongZi [1993] No.474) and the Circular on
the Relevant Provisions on the Financial Management of Liquidation of Enterprises with Foreign Investment of the Ministry of Finance
(CaiGongZi [1995] No.222), in the liquidation of enterprises with foreign investment, the properties and facilities purchased by
using the housing circulating funds shall not be taken as the liquidation properties of the enterprises. After an enterprise finishes
the liquidation, the surplus housing circulating funds for employees of the Chinese party and the properties and facilities purchased
by using the said circulating funds shall be handed over to the receiving Chinese unit, or shall be turned over to the financial
department after being converted into cash if can’t be handed over to the receiving unit.

On the succession of financial policies of the enterprises with foreign investment in the future From January 1, 2001, enterprises
with foreign investment (including newly established enterprises with foreign investment) shall draw and pay the housing accumulation
funds for the employees according to the Regulations on the Administration of Housing Accumulation Funds after applying the policies
of monetary housing distribution, and may no longer draw the housing subsidy funds for employees of the Chinese party from the costs,
and the relevant financial handlings shall be subject to the uniform financial system of the State.

This Circular shall enter into force on January1, 2001, in case any other provision is inconsistent with this Circular, this Circular
shall prevail.

The Ministry of Finance
2001-10-24

CIRCULAR OF THE CHINA SECURITIES REGULATORY COMMITTEE CONCERNING THE DISTRIBUTION OF THE RULES FOR IMPLEMENTATION OF SUSPENDING AND TERMINATING THE LISTING OF FAILING LISTED COMPANIES (REVISED)

Circular of the China Securities Regulatory Committee Concerning the Distribution of the Rules for Implementation of Suspending and
Terminating the Listing of Failing Listed Companies (Revised)

ZhengJianFa [2001] No.147
November 30, 2001

All listed companies:

With a view to promoting the healthy development and protecting the lawful rights and interests of the investors, the Rules for Implementation
of Suspending and Terminating the Listing of Failing Listed Companies (Revised) has been formulated by our Committee and for implementation
as of January 1, 2002.

The stock exchanges shall not, during the period of suspension, provide special assignment services for the listed companies whose
stocks have been suspended from trading in the stock exchanges as pursuant to the provisions of the present Measures.

As for the companies the trading of whose stocks has been suspended prior to the promulgation of the present Measures, the resumption
and termination of the exchange of their shares shall be implemented according to the following provisions:

The stock exchanges shall, as of the day when the grace period expires, stop the provision of special transferring services to the
stocks thereof.

II.

The companies that satisfy the conditions as mentioned below may, within 5 working days after disclosing the annual report for the
year 2001 and prior to the expiration of the grace period, apply to the stock exchange for resuming the trading of stocks:

Disclosing the annual report for the year 2001 within the statutory time limit;

The 2001 annual financial statement shows that the company is having a favorable balance.

If an auditing report is made by a certified accountant with explanatory notes such as qualified opinions, unqualified opinions, negative
opinions or refusal to express opinions for the annual financial statement for the year 2001, the stock exchange may make investigations
and verifications over the truthfulness of the financial statement with regard to the profitability of the company.

III.

If the company fails to disclose the 2001 annual financial statement within the statutory time limit, the stock exchange may stop
providing special transferring services to the stocks thereof, and decide, within 20 working days after the expiration of the statutory
time limit, to terminate the listing of the stocks of the company.

Where the expiration date of the grace period precedes the statutory time limit for disclosing the annual financial statement of 2001
and if the company fails to disclose its 2001 annual financial statement prior to the expiration of the grace period, or it has disclosed
the 2001 annual financial statement prior to the expiration of the grace period but fails to file an application within 5 working
days after the expiration of the grace period, the stock exchange shall decide to terminate the listing of the stocks of the company
within 10 working days after the expiration of the grace period.

IV.

The stock exchanges shall make decisions of resuming or terminating the listing of companies by referring to the relevant provisions
of Chapters III and IV of the present Measures.

Attachment:
Rules for Implementation of Suspending and Terminating the Listing of Failing Listed Companies (Revised)
Chapter I General Provisions

Article 1

The present Measures have been enacted according to the relevant provisions of the Company Law and the Securities Law for the purpose
of promoting the healthy development of the securities market and for protecting the lawful rights and interests of the investors.

Article 2

The present Measures shall be applicable to the suspension, resumption and termination of listing of the securities of the listed
companies that have been suffering from deficit continuously for years.

Article 3

The stock exchanges decides the suspension, resumption and termination of the listing of the stocks of the listed companies according
to law.

The stock exchange shall, within 2 working days after making the above-mentioned decision, report to the China Securities Regulatory
Committee (hereinafter referred to as “CSRC”) archivist purposes.

Article 4

If the CSRC believes that the decision made by the stock exchange for suspending, resuming or terminating the listing of a stock
is inconsistent with the relevant laws, regulations or the present Measures, it may demand the stock exchange to make corrections
or revoke the decision directly.

Chapter II Suspending the Listing

Article 5

If a company suffers from a deficit for three consecutive years, the stock exchange shall, within 10 days after the company discloses
its annual financial statement, decide to suspend the listing of the stocks of the said company.

The preceding paragraph shall not be applicable to the circumstance when the company suffers from a deficit for three consecutive
years as a result of the readjustment of relevant state policies concerning accounting.

Article 6

Where the stock exchange decides to suspend the listing of the stocks of the company, it shall, within 2 working days, inform the
company and make a public announcement.

Article 7

The company shall, within 2 working days after the stock exchange makes the decision of suspending the listing of its stocks, publish
a “Public Notice of Suspending the Listing of Stocks” on the newspapers and websites designated by the CSRC and the websites designated
by the stock exchange concerning the following contents:

The types, short post_title and code number of the stock whose listing has been suspended and the day when the suspension starts;

Major contents of the decision made by the stock exchange concerning the suspension;

Other contents as required by the stock exchange.

Article 8

The company shall, during the period of suspending the listing of the stocks thereof, disclose at least one time per month the specific
measures taken for resuming the listing of the stocks; in case the company fails to take any important measures, it shall also disclose.

Article 9

The company shall, during the suspension of the listing, continue to perform its obligations of information disclosure.

Chapter III Resuming the Listing

Article 10

After the suspension of the listing of stocks, the company may, if it meets the conditions as mentioned below, apply for resuming
the listing of stocks within 5 working days after disclosing its first semi-annual statement.

Disclosing its first semi-annual financial statement within the statutory time limit after the suspension;

The semi-annual financial statement shows that the company is having a favorable balance.

If the auditing report for the semi-annual financial statement is attached with an explanatory note by the certified accountant such
as qualified opinions, unqualified opinions, negative opinions or refusal to express opinions, etc, the stock exchange may make investigations
over the truthfulness of the financial statement concerning the favorable balance. The time for investigation shall not be included
in the period of examination and approval as provided in Article 12 of the present Measures.

Article 11

To apply for resuming listing, the company shall hire a recommender that has the qualifications as a major underwriter and that satisfies
the requirements of the stock exchange for recommendations.

Article 12

The stock exchange shall, within 5 working days after the company files an application for resuming the listing of its stocks, decide
whether to accept the application or not.

After the stock exchange accepts the application, it shall decide whether to approve the application for resuming the listing within
30 working days.

Article 13

The company shall, after receiving the decision of the stock exchange on resuming the listing of stocks, publish a “Public Announcement
of Resuming the Listing of Stocks” on the newspapers and websites designated by the CSRC and the websites designated by the stock
exchange within 2 working days concerning the following contents:

The types, short post_title and code number of the stock whose listing is resumed;

Major contents of the decision made by the stock exchange on resuming the listing;

Specifications made by the board of directors of the company about the measures taken for resuming the listing;

Other contents as required by the stock exchange.

Article 14

The listing of the stocks of the company shall be resumed 5 days after the company publishes the “Public Announcement of the Listing
of Stocks”.

The stock exchange shall deal with the stocks of the company in a special way during the period after the listing of the stocks of
the company is resumed and the disclosure of its first annual financial statement subsequent to the resuming of listing.

Chapter IV Termination of Listing

Article 15

In case the company fails to disclose its first semi-annual financial statement after the expiration of the statutory time limit,
the stock exchange shall decide to terminate the listing of the stocks of the company within 10 working days after the expiration
of the statutory time limit.

Where the company has disclosed its first semi-annual financial statement during the statutory time limit after the suspension of
listing but fails to file an application within 5 working days after the disclosure or the application is not accepted by the stock
exchange, the stock exchange shall decide to terminate the listing of the stocks within 15 working days after the disclosure.

Article 16

If, after accepting the application of the company for resuming the listing, the stock exchange believe, upon examination, that the
company does not satisfy the requirements for resuming the listing, it shall decide to terminate the listing within 30 working days
after accepting the application.

Article 17

If, after the listing of the stocks of the company is suspended and the shareholders meeting decides to terminate the listing, the
company shall inform the stock exchange with 2 working days, and the stock exchange shall decide to terminate the listing of the
company’s stocks within 5 working days after receiving the notice.

Article 18

If, after the listing of the company’s stocks is resumed, the company fails to disclose its first annual financial statements after
the expiration of the statutory time limit, the stock exchange shall decide to terminate the listing of the company’s stocks within
10 working days after the expiration of the statutory time limit.

If, after the listing of the company’s stocks is resumed, the company has disclosed its first annual financial statement within the
statutory time limit after resuming the listing but the company suffers from a deficit, the stock exchange shall decide to terminate
the listing of the company’s stocks within 30 working days after the disclosure of the annual financial statement.

If the auditing report for the company’s annual financial statement is attached with an explanatory note such as qualified opinions,
unqualified opinions, negative opinions or refusal to express opinions, the stock exchange may make investigations over the financial
statement of the company concerning the truthfulness of having a favorable balance, and the time for investigation shall be calculated
in the time for making the decision of terminating the listing as provided in the preceding paragraph.

Article 19

The company shall, within 2 working days after receiving the decision of the stock exchange to terminate the listing of stocks, publish
a “Public Announcement of Terminating of Listing of Stocks” on the newspapers and websites designated by the CSRC and the websites
as designated by the stock exchange concerning the following contents:

The types, short post_title and code number of the stock and the day when the listing is terminated;

Major contents of the decision made by the stock exchange concerning the termination of listing;

The registration, transfer and management of its stocks after the listing is terminated;

Other contents as required by the stock exchange.

Article 20

The company shall, within one month after the listing of its stocks is terminated, publish a public announcement on the newspapers
and websites as designated by the CSRC and the websites as designated by the stock exchange to specify the reasons for terminating
the listing of stocks, the financial status of during the past years, the serious violations of the senior management personnel,
the important credits and debts at the present time, the litigations in process, etc.

Article 21

If the company fails to perform the obligation as provided in the preceding paragraph during the statutory time limit, the shareholders
may demand the company to perform the above-mentioned obligations according to law.

Article 22

The company whose listing of stocks has been terminated may, according to the relevant provisions and the agreement concluded with
the stock exchanges upon the approval of the China Securities Society, entrust the stock exchanges to handle the transfer of the
stocks.

Chapter V Supplementary Provisions

Article 23

The present Measures shall be applicable to the companies listed at the Shanghai Stock Exchange and Shenzhen Stock Exchange.

Article 24

The present Measures shall take effect as of January 1, 2002. the Rules for Implementation of for Suspending and Terminating the
Listing of Stocks of Failing Companies(ZhengJianFa [2001] No.25) which was promulgated by the CSRC on February 22, 2001 shall be
concurrently repealed.

The China Securities Regulatory Commission
2001-11-30

CIRCULAR OF THE GENERAL ADMINISTRATION OF CUSTOMS AND THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION ON SOME ISSUES ABOUT THE DEVELOPMENT OF THE HIGH AND NEW TECHNOLOGY INDUSTRY

Circular of the General Administration of Customs and the Ministry of Foreign Trade and Economic Cooperation on Some Issues about
the Development of the High and New Technology Industry

ShuTingFa [2001] No.279
July 12,2001

Guangdong Branch, all customs offices directly under the GAC, the commissions (departments, bureaus) of foreign trade and economic
cooperation of all provinces, autonomous regions, municipalities directly under the Central Government and municipalities separately
listed on the State plan:

With a view to carrying forward the spirit of the Circular of the State Council Concerning Distributing Some Policies on Encouraging
the Software and the Integrated Circuit Industries (GuoFa [2000] No. 18), being adapted to the mode of production and business operation
of the large high- and new-tech industries and the requests of the customs for supervision, supporting the development of the high-
and new-tech industry and the export of high- and new-tech products, it has been decided after discussions that, apart from seriously
implementing the various kinds of preferential policies as provided in the document GuoFa [2000] No. 18, simpler measure should be
taken for the examination, approval and supervision by the customs offices over the large high- and new-tech manufacturing enterprises.
Relevant issues are hereby publicized as follows:

The large high- and new-tech manufacturing enterprises (including state-owned enterprises, privately-owned enterprises and foreign-funded
enterprises) that engage in the high- and new-tech production and whose products have been included in the Catalog for Export of
China’s High- and New-Tech Products, jointly compiled by the Ministry of Science and Technology (“MST”), the MOFTEC, the Ministry
of Finance (“MOF”), the State Administration of Taxation (“SAT”), and the GAC, and whose annual export volume is more than 100 million
yuan, may, according to the provisions of the present Circular, file an application to the local customs office where the enterprise
is situated for the adoption of simple measures. The simple measures may be applied after the customs office and the local department
in charge of foreign trade and economic cooperation has granted their approval and after it is submitted to the GAC and MOFTEC for
archivist purposes. For those large high- and new-tech manufacturing enterprises whose volume of export is not as much as provided
in the preceding paragraph but who enjoy good credit standing and due to special circumstances and are therefore in need of adopting
the simple procedures for customs clearance, the local customs office and the local department of foreign trade and economic cooperation
shall examine their applications and report to the GAC and MOFTEC for ratification.

II.

The above-mentioned high- and new-tech manufacturing enterprises may, after obtaining approval, select any of the following alternatives
of customs clearance:

Declaring customs beforehand: In order to shorten the time for clearing customs, the above-mentioned enterprises may, within 3 days
after the imported goods have been shipped but not yet arrived at the destination or after the exported goods have been transported
to the supervision sites of the customs offices, and under the condition that the name, specifications and quantities of the goods
imported or exported, apply beforehand to the customs for declaring customs and present relevant documents so that the goods may
be directly checked and accepted by the customs offices at the supervision sites. In order to shorten the time for determining the
category, dutiable value of the commodities in the process of examining documents by the customs offices or the time for determining
the country of origin, the above-mentioned enterprises may, according to the provisions of the customs offices, apply to the customs
offices to determine beforehand the category, dutiable value of the commodities and the country of origin.

Declaring customs on the interconnected networks: The above-mentioned enterprises are encouraged to declare customs through the China
Electronic Port Platform, and, at the business venue of the enterprise, go through the formalities for declaring customs at the customs
office of the place of export or the customs office with jurisdiction. The enterprise inputs all data for clearing customs which
are transmitted on the interconnected networks among the different departments of entry and exit, the customs sends back an electronic
receipt after examining and approving the electronic data of the customs declaration forms, and then the enterprise send for or entrust
its agent to go through the formalities of handing over documents and checking goods at the site of customs clearance. If the conditions
allow, the customs may have the duties paid electronically through the networks of the banks interconnected with the customs, and
the customs may, after having sent an electronic notice for paying duties, check the goods according to the electronic receipt issued
by the bank concerned.

Speed transfer of customs: According to the request of the above-mentioned enterprises, the customs shall take priority in handling
the formalities for speed transfer of customs for the imported and exported goods of the said enterprise at various ports within
the territory of China.

Giving customs clearance at the venue of the enterprises: When it is necessary to check the imported or exported goods but difficult
to check them at the site of customs clearance, the customs office should, according to the request of the above-mentioned enterprises,
send officers to the enterprises to check the goods in the process of production, assembling and unassembling.

Urgent clearance of customs: The customs offices shall give priority to the examination over the documents of the imported and exported
goods of the above-mentioned enterprises, and establish green-light windows of customs clearance at the sites of customs clearance
where there are large quantities of imported and exported goods of the said enterprises so as to give priority to handling the formalities
of the said goods. The above-mentioned enterprises may make appointments with the customs offices so as to the go through the customs
clearance formalities during the non-working days and holidays.

Warranted check and customs clearance: In order to solve the problem of not being able to provide some of the documents (not including
import and export permits) or other information temporarily in the handling of customs clearance formalities, or the customs offices
not being able to determine the conditions for customs clearance like the category of the goods and estimated value so that the goods
could not be cleared in a time way, the above-mentioned enterprises shall be allowed to handle the customs clearance beforehand by
providing warranties acceptable to the customs, and then make up the relevant documents or information, make up the payment of duties
or other formalities as required by the customs afterwards during the prescribed time period.

III.

You should reform the pattern of management of the processing trade of the above-mentioned enterprises. In their processing trade,
the above-mentioned enterprises may, apart from apart from applying the various kinds of green-light procedures for customs clearance,
apply to the customs offices to join the interconnected network management of the processing trade if the whole process of their
production is under computerized management and if they could ensure the truthfulness of the relevant data and open their data to
the customs. The bank caution money system of machine account for processing trade are not applicable to the large high- and new-tech
manufacturing enterprises under interconnected network management. The departments of foreign trade and economic cooperation shall
revoke the practice of ratifying individual contracts of imported materials in the processing trade, instead, they only examine the
scope of business of the processing trade enterprises according to the credit standing and capacity of the enterprises. The customs
offices shall revoke the supervision by way of Registration Handbooks, instead, they shall check the imported materials and parts
of the enterprises according to the processing turnover during certain time periods and adopt the supervision method of “enterprise
registration of subsections (protective tariffs), reporting for writing off at fixed intervals and verifying the writing-off at different
time periods.”

IV.

With a view to solving the various problems encountered in the enterprises’ clearance of customs, a customs clearance inquiry and
hotline on-duty system is established nationwide in all customs offices so that priority may be given to meeting the demands of the
large high- and new-tech manufacturing enterprises by way of on-spot working, telephone, websites, etc. in making inquiries, checks,
complaints, or other urgent requests. The person on-duty who first accepts the demand shall be responsible for providing services.

The large high- and new-tech manufacturing enterprises shall, upon ratification, enter into a Letter of Guarantee for the Application
of Simple Customs Clearance Procedures with the local customs office that has jurisdiction with the enterprise for specifying the
rights, obligations and relevant terms and conditions of the enterprises. The Letter of Guarantee shall, after being signed, sent
to all the customs offices nationwide for archivist purposes and the customs offices of all local places shall take it as the basis
for applying simple procedures. The enterprises to whom simple procedures are applied should reinforce their consciousness of law-observation,
rigidly fulfilling all the commitments, voluntarily observing the rules of the customs offices, and at the same time strengthen their
internal management so as to prevent the internal working staff members from engaging in smuggling or other illegal activities. The
customs offices shall, as pursuant to the Regulation of the People’s Republic of China on Customs Inspection, check and inspect the
enterprises regularly or irregularly, and whenever discovering any smuggling or other illegal activities, stop immediately the application
simple procedures. After terminating the application of simple procedures, the customs offices may not accept the request of the
said enterprises for applying simple customs clearance procedures within half a year.

VI.

The specific detailed measures for implementing the various customs clearance procedures nationwide as mentioned above and for reforming
the management pattern of processing trade shall be separately formulated and promulgated by the GAC.

The Customs General Administration, the Ministry Of Foreign Trade and Economic Cooperation
2001-07-12

CIRCULAR OF GENERAL ADMINISTRATION OF CUSTOMS ON EXAMINING AND APPROVING DUTY-PAYING VALUE OF OLD MACHINERY AND ELECTRICAL EQUIPMENT

The General Administration of Customs

Circular of General Administration of Customs on Examining and Approving Duty-paying Value of Old Machinery and Electrical Equipment

ShuShuiFa [2001] No.394

September 3, 2001

Guangdong branch of the General Administration of Customs , customs directly under the General Administration of Customs :

Whereas China is on point of entering World Trade Organization, and will comprehensively implement the WTO Agreement of Evaluation,
the rule that “Tariff and other duties of the old machinery and electrical equipment shall be calculated based on the price no less
than 60% of the new one” in the Circular on Strengthening the Administration of Old Machinery and Electrical Equipment (GuoJingMaoJi
[1997] No.877) jointly promulgated by the State Economic and Trade Commission, the Ministry of Foreign Trade and Economic Cooperation,
General Administration of Customs and the State Administration for Import and Export Commodity Inspection on December 22, 1997 obviously
breaches the transaction value principles of WTO Agreement of Evaluation. After study and consulted with by the State Economic and
Trade Commission, Ministry of Foreign Trade and Economic Cooperation, State Administration of Quality Supervision, Inspection and
Quarantine, hereinafter notify the relevant questions on examining and approving duty-paying value of old machinery and electrical
equipment:

Since November 1, 2001, duty-paying value of old machinery and electrical equipment (including old automobiles and parts of automobile,
the same definition applies wherever reference is made to old machinery and electrical equipment) imported after the approval of
government department in charge shall be fixed based on the transaction value of the old machinery and electrical equipment, according
to the relevant rules of Law of Customs, Customs Acts of Imports and Exports of People’s Republic of China, and Measures of Customs
of People’ Republic of China on Examining and Approving Duty-paying Value. Circular on the Questions Met in Current Examination and
Approval of Value (ShuiJia [1994] No.213) and Circular of the Department of Duty on the Questions Met in Examination and Approval
of Value of Part of Imported Automobile (ShuiJia [1996] No.335) issued by the Department of Duty of General Administration of Customs
are repealed simultaneously.

The General Administration of Customs
2001-09-03

SUPPLEMENTARY CIRCULAR OF THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION ON ISSUE CONCERNING THE FILING OF ENCOURAGED ENTERPRISES WITH FOREIGN INVESTMENT IN THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION WITHIN THE POWER OF EXAMINATION AND APPROVAL OF PROVINCIAL DEPARTMENTS OF FOREIGN TRADE AND ECONOMIC COOPERATION

Supplementary Circular of the Ministry of Foreign Trade and Economic Cooperation on Issue Concerning the Filing of Encouraged Enterprises
with Foreign Investment in the Ministry of Foreign Trade and Economic Cooperation within the Power of Examination and Approval of
Provincial Departments of Foreign Trade and Economic Cooperation

WaiJingMaoZiHan [2001] No.426
May 16,2001

According to the state laws and regulations on absorbing foreign investment and the relevant regulations of the State Council, on
October 15, 1999 the Ministry of Foreign Trade and Economic Cooperation issued the Circular on Issue Concerning the Filing of Encouraged
Enterprises with Foerign Investment in the Ministry of Foreign Trade and Economic Cooperation Which Are Examined and Approved by
Local Authorities on their Own [WaiJingMaoZiFaZi [1999] No. 615] (hereinafter referred to as the No. 615 Circular). To further do
better in this work, the following supplementary circular on some concrete matters is issued:

The scope of business of encouraged projects not subject to national overall balance mentioned in the No. 615 Circular must comply
with encouraged items in the Industrial Catalogue for Foreign Investment issued by the two commissions and one ministry of the State
Council and the Superior Industrial Catalogue for Foreign Investment in the Central and Western Regions.

According to the requirements set in the No. 615 Circular, provincial departments of foreign trade and economic cooperation must
show the explanation that there is no need for national overall balance. The explanation shall be filled in according to the consolidated
form (attached herewith) in the supplementary circular and affixed with the seals of provincial departments of foreign trade and
economic cooperation.

The filing matters include the following items:

(1)

Enterprises with Foreign Investment which are newly established through approval;

(2)

Changes in capital increase, share transfer and other articles of contracts and articles of association of enterprises with foreign
investment established by the departments of foreign trade and economic cooperation at or below the provincial level, which are made
by the original examining and approving organs;

(3)

Capital increase of enterprises with foreign investment (except for investment companies, joint-stock companies and other companies
which comply with special regulations with regard to the procedures and power of examination and approval) established by the Ministry
of Foreign Trade and Economic Cooperation on condition that the scope of business remains unchanged, which is made by the original
examining and approving organs.

The above-mentioned filing matters shall conform to 1 of the supplementary circular and meet the relevant requirements of no need
for national overall balance.

After the Department of Foreign Investment of the Ministry of Foreign Trade and Economic Cooperation receives filing materials for
examination and approval, if filing materials are incomplete, it shall notify units which apply for filing with the use of the notice
on supplementing materials within two working days. If there are no objections to filing materials for examination and approval,
units which apply for filing shall be notified with the use of the filing notice within 10 working days from the day complete filing
materials are received. If there are objections, units which apply for filing shall be notified with the use of the notice on filing
opinion within 10 working days from the day complete filing materials are received. Both the filing notice and the notice on filing
opinion (hereinafter referred to as the notice) shall be affixed with the seal of the Department of Foreign Investment of the Ministry
of Foreign Trade and Economic Cooperation, and the notice shall be presented to the competent customs while it is sent to units which
apply for filing. The notice shall be sent through fax or letters. The provinces, municipalities and autonomous regions where conditions
permit can send the notice through networking.

The filed enterprises can go to the competent customs to handle formalities for exemption from import duties with the use of project
confirmation letters issued by provincial departments of examination and approval and the photocopies of the filing notice and other
documents mentioned in 4 of the supplementary circular.

The filing materials shall be presented according to the provisions of 3 of the No. 615 Circular. All items of changes require the
photocopies of approval certificates prior to changes in enterprises, and the items of capital increase and share transfer need the
capital verification reports prior to capital increase and share transfer.

If 4 and 5 of the No. 615 Circular do not conform to the circular, the latter shall prevail.The Supplementary Circular on Problems
Concerning the Filing of Encouraged enterprises with foreign investment in the Ministry of Foreign Trade and Economic Cooperation
within the Power of Examination and Approval of Provincial Departments of Foreign Trade and Economic Cooperation [WaiJingMaoZiErHan
[2001] No. 263] shall be nullified from the day the supplementary circular is issued.

The supplementary circular is specially issued.

Attachment:

The Explanation that there is No Need for National Overall Balance for Encouraged Enterprises with Foreign Investment within the
Power of Examination and Approval of Provincial Departments of Foreign Trade and Economic Cooperation

The Form of the Filing Notice

The Form of the Notice on Filing Opinion

Attachment 1:
The Explanation that there is No Need for National Overall Balance for Encouraged Enterprises with Foreign Investment within the Power
of Examination and Approval of Provincial Departments of Foreign Trade and Economic Cooperation

__________________(name of enterprise) established through the approval of our department/committee is a foreign-funded enterprise
which is encouraged by the state and which is not subject to national overall balance. The concrete information is as follows:

Organ of Examination and Approval________________

Date of Examination and Approval Month day, year

Approval Document Number:

Filing Matters (Marked with “):

ablished Enterprise reased Capital nges (Share Transfer and Others)

Total Investment: US$ Increase in Total Investment:

Registered Capital: US$ Increase in Registered Capital:

Scope of Business:

Encouraged Items in the Industrial Catalogue for Foreign Investment:

The Explanation for No Need for National Overall Balance (Marked with “):

capital for the project does not involve national overall balance

land used for the project does not overstep the local power of examination and approval

project does not involve import and export quotas and licenses

project has no bearing on the national economy and the people’s livelihood and the distribution of national productive forces

project does not need examination and approval of the competent state departments according to regulations

(Seal of Provincial Department of Foreign Trade and Economic Cooperation)

Month day, year

Attachment 2:
The Form of the Filing Notice

No.: 2001-0001

Committee/Department of Foreign Trade and Economic Cooperation:

The foreign-funded enterprise which applies for filing through the examination and approval of your committee/department _____________(approval
document number:______________ ) has been put on file in the Department of Foreign Investment of the Ministry of Foreign Trade and
Economic Cooperation.

The notice is specially issued.

The Department of Foreign Investment of the Ministry of Foreign Trade and Economic Cooperation (Seal)

Month day, year

Send copies to: Customs (Competent Customs)

Attachment 3:
The Form of the Notice on Filing Opinion

Number:

Committee/Department of Foreign Trade and Economic Cooperation,

The foreign-funded enterprise which applies for filing through the examination and approval of your committee/department__________(name
of enterprise):____________

s not fall under the encouraged project

s not involve national overall balance

ers:_____________________

Because of the above reasons, it is not put on file.

The notice is specially issued.

The Department of Foreign Investment of the Ministry of Foreign Trade and Economic Cooperation (Seal)

Month day, year

The Ministry of Foreign Trade and Economic Cooperation
2001-05-16

CIRCULAR OF THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION CONCERNING THE ISSUING RIGHT OF APPROVAL CERTIFICATES FOR ENTERPRISES WITH FOREIGN INVESTMENT

The Ministry of Foreign Trade and Economic Cooperation

Circular of the Ministry of Foreign Trade and Economic Cooperation Concerning the Issuing Right of Approval Certificates for Enterprises
with Foreign Investment

WaiJingMaoZiZongHan [2001] No.287

March 30, 2001

Xinjiang Production and Construction Corps:

According to the Reply on several problems of Xinjiang Production and Construction Corps that need to be addressed by the Ministry
of Foreign Trade and Economic Cooperation” (WaiJingMaoZiZongHan [2001] No.7), it is hereby notified as follows:

As of the delivery date of the document, Xinjiang Production and Construction Corps is authorized to enjoy the issuing right of approval
certificates for approved projects with foreign investment and the supervision right for the import and export quota management for
enterprises with foreign investment under its administration. Please send your staff to MOFTEC to complete related procedures in
receipt of this circular.

The Ministry of Foreign Trade and Economic Cooperation
2001-03-30

PROVISIONS ON THE EXPORT LICENSE ADMINISTRATION

20050101

The Ministry Of Foreign Trade and Economic Cooperation

Order of the Ministry of Foreign Economic Relations and Trade of the People’s Republic of China

No.9

According to the Foreign Trade Law of the People’s Republic of China and the Regulations of the People’s Republic of China on the
Administration of Import and Export of Goods, the Provisions on the Export License Administration has been discussed and adopted
at the 9th Ministerial Meeting of the Ministry of Foreign Trade and Economic Cooperation and been approved by the General Administration
of Customs, is hereby promulgated and shall come into force on January 1, 2002.

Minister of Foreign Trade and Economic Cooperation: Shi Guangsheng

December 20,2001

Provisions on the Export License Administration

Chapter 1 General Provisions

Article 1

Export license administration is an important means of export administration. In order to rationally allocate the resources, to regulate
the order of export business, to create a fair trade environment; to perform the international conventions and treaties promised
by China, and to safeguard the economic interests and the safety of the State; these Provisions have been formulated according to
the Foreign Trade Law of the People’s Republic of China and the Regulations of the People’s Republic of China on the Administration
of Import and Export of Goods.

Article 2

In any of the following situations, the State may apply the export quota license or export license administration:

It is needed to restrict exports to safeguard the State safety or the public interests;

It is needed to restrict exports because of short domestic supply or the need to protect domestic resources that might be used up;

It is necessary to restrict exports of agriculture, animal husbandry or fishery products in any form;

It is needed to restrict exports according to the provisions of the international conventions or treaties that the People’s Republic
of China has entered into or accessed to.

Article 3

The Ministry of Foreign Trade and Economic Cooperation (hereinafter referred to as “MOFTEC”) is the department of centralized administration
of the export licenses of the whole country and is responsible for formulating ordinances, rules and regulations of export license
administration, promulgating the commodity catalog of export license administration, supervising and inspecting the enforcement of
the provisions of export license administration and punishing the violations of rules.

Article 4

MOFTEC shall authorize the quota license bureau (hereinafter referred to as the “license bureau”) to uniformly administrate and direct
the issuance of export licenses of the license issuing agencies of the whole country, and the license bureau shall be accountable
to MOFTEC.

Article 5

The license bureau and the accredited representatives’ offices under the MOFTEC sent to localities entrusted by the license bureau
to issue the licenses (hereinafter referred to as the “representatives’ offices”) and the committees (departments, bureaus) of foreign
trade and economic cooperation of the provinces, autonomous regions, municipalities directly under the Central Government and municipalities
separately listed on the State plan (hereinafter referred to as the “license issuing agencies of the localities”) are the export
license issuing agencies, which shall be responsible for the license issuing work within the authorized scope under the uniform administration
of the license bureau.

Article 6

Export licenses are the legal basis by which the State administrates the exit of goods. For all the commodities under the export quota
license administration and the export license administration, import and export enterprises of various kinds shall apply to the designated
license issuing agencies for drawing the export licenses, and customs officials shall accept the declaration and release the commodities,
if it is in order, after examination based on the export licenses.

Article 7

No one may trade, transfer, forge or alter the export licenses.

Chapter 2 Issuance of Export Licenses

Article 8

All the license issuing agencies shall, strictly according to the requirements of the annual Commodity Catalog under Export License
Administration (hereinafter referred to as the Commodity Catalog) and the Catalog of Graded Issuance of Export Licenses (hereinafter
referred to as the Graded Issuance Catalog) promulgated by MOFTEC, issue the export licenses for the relevant export commodities
within 3 workdays of the day of receipt of applications, and may not issue the licenses in violation of the rules. Where the whole
country’s import and export enterprises of various kinds export the commodities listed in the Commodity Catalog, they shall apply
to the license issuing agencies as designated in the Graded Issuance Catalog for drawing the export licenses.

Article 9

The license bureau, the representatives’ offices and the license issuing agencies of the localities shall issue the export licenses
strictly according to the Graded Issuance Catalog promulgated by MOFTEC. The details are as follows:

License issuance scope of the license bureau:

issuing export licenses within the scope authorized by the Graded Issuance Catalog according to the Graded Issuance Catalog provided
by MOFTEC.

export licenses for the enterprises in Beijing are under the central administration.

export licenses needed for State units that have not met the qualifications for import and export management to transport goods out
of China.

License issuance scope of the representatives’ offices:

issuing the export licenses for the various kinds of import and export enterprises in the associated areas, the enterprises under
central administration in the associated areas and the subsidiary companies, of which the quotas are under local administration,
of the enterprises in Beijing under central administration;

issuing the export licenses for the commodities needing quota bidding and paid use of quota of the various kinds of import and export
enterprises in the associated areas;

issuing the export licenses for the other commodities prescribed by MOFTEC.

License issuance scope of the license issuing agencies of the localities:

issuing the export licenses for the various kinds of import and export enterprises of their respective localities according to the
Graded License Issuance Catalog provided for by MOFTEC;

the export licenses needed for the units without qualifications for import and export management of the localities to transport goods
out of China.

issuing the export licenses for the other commodities provided by MOFTEC.

Commodities for which the licenses are issued by the designated license issuing agencies:

For all the commodities for which the licenses shall be issued by the designated license issuing agencies, the various kinds of import
and export enterprises of the whole country shall all go through the procedures for drawing up a license at the designated license
issuing agencies. The designated license-issuing agency of the main place of origin shall formulate the license issuance measures
with respect to the commodities for which the licenses issuance is authorized by the Graded License Issuing Catalog according to
these Provisions, and shall implement those measures after reporting to and obtaining approval from MOFTEC.

The on-line application for drawing export licenses shall be handled according to the relevant procedures and provisions.

Article 10

The license issuing agencies may not issue the export licenses without quota, exceeding the quotas, beyond their authorities or beyond
the license issuance scope. The functionaries of the license issuing agencies may not, in the performance of their duties, practice
favoritism and frauds, abuse the powers, neglect their duties or take the advantage of their duties to accept or demand property
from others.

Article 11

Export license administration shall apply the “one license for one customs” system and the “one approval for one license” system,
however, the system of “one approval for one license” is not applicable to any of the following situations:

commodities under export license administration of enterprises with foreign investment;

commodities under export license administration in compensation trade;

other commodities under export license administration not applying the “one approval for one license” as prescribed in the Commodity
Catalog.

Article 12

No unit or individual may change the contents of the license once the license is issued; if it is needed to change the contents of
the license, the original license issuing agency shall take back the original license within the valid term and reissue the export
license.

Chapter 3 Documents Needed to Submit for Application for Drawing Export Licenses

Article 13

Export license application form and export contract

Various kinds of export enterprises shall, when applying for export licenses, submit the export contracts (original and copy) of the
relevant export commodities to the license issuing agencies, and shall fill in one piece of application form for export license (original)
carefully and truthfully.

Article 14

Certifications of export quota.

Various kinds of export enterprises shall, when applying for export licenses for the commodities under export quota administration,
submit one piece of the documents of approval (copy) for the quota of the relevant export commodities. In case of exports of commodities
for which paid bidding for export quota shall be conducted, the list of the bid-winning enterprises and the Certificate for the Transfer
and Acceptance of the Commodity Quotas Inviting Bids or the Certificate for the Application for Export License for the Commodity
Needing Quota Bidding.

Article 15

Certifications proving that the export enterprise has the power of export management.

This document refers to the Qualification Certificate for Import and Export Enterprise of the People’s Republic of China, in case
of exports of the commodities managed by the designated export enterprises, the ratification documents of MOFTEC shall be provided.

Article 16

Prices of export commodities shall be in accord with the export prices recommended by the chambers of commerce.

The license issuing agencies shall stress on the examination and verification of the prices of export commodities when examining the
export contracts, the commodity prices on the export licenses issued shall be the same as the prices in the export contracts; but
when the prices in the export contracts are lower than the recommended export prices fixed by the relevant chambers of commerce,
the license issuing agencies shall refuse to issue the export licenses.

Chapter 4 Basis for Issuance of Export License

Article 17

The license issuing agencies shall, according to the scope of the Commodity Catalog and the Graded License Issuance Catalog formulated
by MOFTEC, issue the export licenses according to the following provisions:

For the export commodities under quota license administration, the export licenses shall be issued based on the documents by which
MOFTEC or the committees (departments, bureaus) of the provinces, autonomous regions, municipalities directly under the Central Government
and municipalities separately listed on the State plan (hereinafter referred to as the “departments in charge of foreign trade and
economic cooperation of the localities”) distribute the quotas, and based on the export contracts (original and copy) of the export
enterprises.

For the exports of commodities applying paid bidding for quotas, the export licenses shall be issued based on the list of the bid-winning
enterprises and the quantities of bid-winning promulgated by MOFTEC, the Certificate for the Application for Export License for Commodities
Applying Quota Bidding or the Certificate for the Transfer and Acceptance of Commodities Applying Quota Bidding, and the export contracts
(original and copy) of the bid-winning enterprises.

For the exports commodities applying free quota bidding, the export licenses shall be issued based on the list of the bid-winning
enterprises and the quantities of bid-winning promulgated by MOFTEC, the certificates for bid-winning or the certificates for transfer
and acceptance issued by the bidding offices, and the export contracts (original and copy) of the bid-winning enterprises.

For the exports commodities under the administration of paid use of quota, the export licenses shall be issued based on the Certificate
for Application for Export License of Commodities Applying Paid Use of Quota and the export contracts (original and copy) of the
export enterprises.

For the exports of nuclear products and the exports of nuclear dual-use products and relevant technologies, the export licenses shall
be issued based on the documents of approval of MOFTEC and the export contracts (original and copy) of the enterprises.

For the exports of chemicals with potential to generate poison, the export licenses shall be issued based on the Reply on Export of
Chemicals with Potential to Generate Poison of MOFTEC and the export contracts (original and copy) of the export enterprises.

For the export of heavy water, the export licenses shall be issued based on the documents of approval of the State Leading Group Office
of the Performance of the pact on Prohibition of Chemical Weapons and the export contracts (original and copy) of the export enterprises.

For the export of computers, the export licenses shall be issued based on the Examination Form of Export Computer Technologies approved
by MOFTEC and the export contracts (original and copy) of the export enterprises.

For the exports of chemicals under supervision and control, the export licenses shall be issued based on the documents of approval
of the State Leading Group of the Performance of the pact on Prohibition of Chemical Weapons and the export contracts (original and
copy) of the enterprises.

10)

For the exports of ozone-depleting materials, the export licenses shall be issued based on the documents of approval handed down by
the Administration Office of Import and Export of Ozone-Depleting Materials and the export contracts (original and copy) of the enterprises.

11)

For other export commodities under export license administration, the export licenses shall be issued based on the documents of approval
or the provisions of MOFTEC, and the export contracts (original and copy) of the export enterprises.

Article 18

For the commodities in processing trade under export license administration, the license issuing agencies shall, according to the
Commodities Catalog and the Graded License Issuance Catalog, issue the export licenses based on the Certificate of Approval for Processing
Trade Businesses issued by the examination and approval organs authorized by MOFTEC and the relevant documents of approval for exports
(excluding the commodities under the export quota administration but occupying no quota), the Registration Manual of Processing Trade
of the customs and the export contracts (original and copy) of the export enterprises.

Article 19

Where enterprises with foreign investment export the self-produced commodities under the export license administration (including
the re-exported commodities of processed import materials), the following procedures shall be followed:

For the exports by enterprises with foreign investment that have been approved, the license issuing agencies shall issue the export
licenses based on the number of export quotas of enterprises with foreign investment granted by MOFTEC, for the exports of the commodities
applying paid bidding, paid use of and free bidding for export quotas, the relevant documents of approval as prescribed in Article
17 shall be attached.

For the enterprises with foreign investment that have been approved before the adjustment of the catalog of commodities under export
license administration and whose export products have newly become the commodities under license administration as a result of the
adjustment, MOFTEC may ratify the export quotas of the enterprise with foreign investment according to the approved business scope,
and the production and export scale, and the license issuing agencies shall issue the export licenses based on the number of export
quotas of the enterprise with foreign investment granted by MOFTEC.

The investment projects of enterprises with foreign investment involving the exports of commodities under export license administration
shall be reported to MOFTEC for approval at the stage of project initiating, only after that may they go through examination and
approval according to the examination and approval procedures. For the projects failing to get the aforesaid approval, MOFTEC shall
not grant the export quotas and the license issuing agencies shall not issue the export licenses.

Article 20

Where Chinese-foreign equity joint ventures, Chinese-foreign contractual cooperative enterprises and solely enterprises with foreign
investment set up overseas and in Hong Kong or Macao by China need domestic supplies of the commodities under export license administration
after establishment and start of production, the license issuing agencies shall issue the export licenses according to Article 17
of these Provisions based on the documents of approval of MOFTEC and the Certificate of Approval for Overseas Enterprises issued
by the MOFTEC or the Certificate of Approval for Overseas Processing Trade Enterprises issued by the MOFTEC.

Article 21

Where the enterprises with the approval of MOFTEC have the qualifications for foreign economic and technological cooperation management
export equipment (including complete sets of equipment), materials, construction appliances, and the articles for personal daily
use for the purpose of performing the contracts of foreign (overseas) contacting projects, labor cooperation, design consultation,
resource development and other projects, the exports shall be administrated according to the following provisions:

For the commodities not subject to export license administration, the customs shall examine and release them if in order after examination
based on the documents of approval and the certificates of approval of MOFTEC and export contracts (original and copy) of the enterprises.

For the commodities under export license administration, the license issuing agencies shall, according to the Commodity Catalog and
the Graded License Issuance Catalog formulated by MOFTEC, issue the export licenses to the enterprises under central administration
based on the documents of approval of MOFTEC and the contracts (original and copy) of valid projects, and issue the export licenses
to the local enterprises based on the documents of approval of the departments in charge of foreign trade and economic cooperation
of the localities and the contracts (original and copy) of the valid projects.

For the commodities applying paid bidding for quotas and paid use of quotas, the license issuing agencies shall, according to the
Commodity Catalog and the Graded License Issuance Catalog formulated by MOFTEC, issue the export licenses based on the documents
of approval of the department in charge of the paid bidding for quotas and paid use of quotas of MOFTEC.

Article 22

Commodities for self-use needing to be transported out of China in the exports of complete sets of equipment:

For the commodities under export license administration, the license issuing agencies shall, according to the Commodity Catalog and
the Graded License Issuance Catalog formulated by MOFTEC, issue the export licenses based on the contacts of exports of complete
sets of equipments signed by the units authorized by MOFTEC;

The commodities applying paid bidding for quotas or paid use of quotas shall be dealt with according to item 2) of Article 21 of
these Provisions.

The commodities not subject to export license administration shall be dealt with according to item 3) of Article 21 of these Provisions.

Article 23

For the commodities under export license administration for repayment of foreign loans or under the compensation trade projects, the
license issuing agencies shall, according to the Commodity Catalog and the Graded License Issuance Catalog formulated by MOFTEC,
issue the export licenses based on the export quotas for repayment of foreign loans or for compensation trade granted by MOFTEC.
When the enterprises without the power of foreign trade management engage in the businesses of repayment of foreign loans or compensation
trade, they shall entrust the enterprises with the power of foreign trade management to handle the exports as an agent, and the agent
enterprises shall handle the formalities for drawing up the export licenses.

Article 24

When applying for export licenses, export enterprises shall make the declaration according to facts and may not make fraudulent claims,
and it is strictly prohibited to obtain the export licenses through deceitful means such as false contracts, false letters of credit,
etc.

Chapter 5 Handling of Exceptional Situations

Article 25

Principles for handling of greater of fewer export quantities. More or less goods shall be the goods of large quantities or in bulk.
The more or less quantities shall be dealt with according to the international trade practices, that is the more or less quantities
of the declared export goods may not exceed 5% of the export quantities as listed in the export licenses. For those not applying
the system of “one approval for one license”, the greater or fewer quantities of the last batch of export goods may not exceed 5%
of the actual export quantities of the last batch. When issuing licenses for this kind of export commodities, the license issuing
agencies shall issue strictly according to the export quota quantities and the quantities ratified by the documents of approval,
and shall verify and deduct the quota quantities based on the quantities actually granted by the licenses, and may not issue the
licenses based on the export quota quantities or the quantities ratified by the documents of approval plus the more or less quantities
allowed by the international trade practices.

Article 26

Where the import materials in processing trade and the finished products after processing to be re-exported are the commodities prohibited
from export by the State, the processing trade enterprises shall apply for the export licenses based on the Certificate of Approval
for Processing Trade Businesses issued by the examination and approval organs of processing trade at various levels, the Registration
Manual of Processing Trade of the customs and the export contracts (original and copy) of the export enterprises, and the customs
shall supervise, examine and release the goods if in order after examination based on the export licenses.

Article 27

The exports of commodities under export license administration in foreign economic aid projects may be exempted from the export licenses.
Provisions on the basis of release shall be separately formulated and promulgated by MOFTEC, the General Administration of Customs
and the State Administration of Quality Inspection.

Article 28

Provisions on exhibition articles: exhibition articles for sale and small articles for sale that are taken abroad to participate in
or for holding exhibitions are as follows:

The exhibition articles not for sale under license administration that are taken abroad to participate in or for holding exhibitions
shall be exempted from the export licenses, and the customs shall supervise, examine and release the articles if in order after examination
based on the documents of approval for exhibitions of the examination and approval departments and the customs declaration of export
goods. The units participating in exhibitions shall, within 6 months from when the exhibitions end, transport back exactly the amount
of exhibition articles not for sale to be written off after verification by the customs. Under special circumstances, the period
may be extended upon the approval of the customs. This provision shall be applicable to the commodities governed by the regulations
on the control of exports of nuclear products, nuclear dual-use products and relevant technologies.

Where the exhibition articles for sale and the small articles for sale that are taken abroad for participating in or holding of exhibitions
are under the export license administration, the units participating in the exhibitions shall, based on the documents of approval,
and the notices of exhibition participation and certificates for commodities on display issued by the units sponsoring the exhibitions,
apply to the license issuing agencies as prescribed in the Graded License Issuance Catalog for the export licenses without occupying
the export quotas.

Article 29

Provisions on the exports of sample goods are as follows:

Where the export enterprises transport abroad the sample goods or the testing samples of the commodities under export license administration,
the export licenses may be exempted for the exports of which each batch is valued at or less than 30,000 Reminbi, and the customs
may inspect and release the goods if appropriate after examination based on the declaration form of export sample goods filled in
by the enterprises; where each of batch is worth of more than 30,000 Reminbi, the exports shall be regarded as normal exports, and
the export enterprises shall apply for the export licenses according to the provisions. The words “sample goods” shall be indicated
in the notes of the export licenses.

For the sample goods under export license administration that need to be provided to foreign countries for the purpose of cultural
exchange or technology exchange:

For the sample goods of which each batch is valued at or less than 30,000 Renminbi, the central departments or the enterprises under
central administration shall take the documents of approval of MOFTEC to apply for customs declarations, the local departments and
the local enterprises shall take the documents of approval of the local departments in charge of foreign trade and economic cooperation
to apply for customs declarations, and the customs shall make the examination and release the goods if in order after examination
based on the documents of approval of MOFTEC or of the local departments in charge of foreign trade and economic cooperation. The
documents of approval for the commodities under export license administration for foreign culture exchange or technology exchange
examined and approved by the local departments in charge of foreign trade and economic cooperation shall be reported to MOFTEC for
record.

For the sample goods of which each batch is worth of more than 30, 000 Renminbi, the central departments and the enterprises under
central administration shall report to MOFTEC for examination and approval, the local departments and the local enterprises shall
take the documents of approval of the local departments in charge of foreign trade and economic cooperation to report to MOFTEC for
record. The license issuing agencies shall, according to the scope of license issuance in the Commodity Catalog and the Graded License
Issuance Catalog formulated by MOFTEC, issued the export licenses based on the documents of approval of MOFTEC.

The words “sample goods” shall be indicated in the notes of the export licenses for the aforesaid export sample goods.

Where the sample goods of heavy water, chemicals under supervision and control, chemicals with potential to generate poison, and of
the commodities governed by the regulations on control of exports of nuclear products, nuclear dual-purpose products and relevant
technologies are provided to foreign countries, they shall be dealt with as normal exports, and the provisions of item 1) and item
2) of this Article shall not be applicable.

Article 30

The commodities under export license administration endowed to foreign countries shall be dealt with according to item 2) of Article
28 of these Provisions.

Article 31

Where the enterprises engaged in the petty trades of tour commodities upon the approval of MOFTEC export tour commodities (excluding
the commodities under export license administration, the commodities under quota administration and the commodities prohibited by
the State from export) valued at or less than 50,000 US dollars, the export licenses shall be exempted, the customs shall handle
the formalities of examination and release if in order after examination based on the documents of approval of MOFTEC, the customs
declaration of the export goods and the export contracts.

Chapter 6 Valid Term of Export Licenses

Article 32

Valid term of export quotas. The valid term of export quotas shall be the period on or before Dec. 31 of the current year, except
as otherwise prescribed, and the export enterprises shall apply to the license issuing agencies for the export licenses within the
valid term of the quotas.

Article 33

The license issuing agencies shall, based on the export quotas of the next year granted by MOFTEC and the local departments in charge
of foreign trade and economic cooperation, issue the export licenses of the next year from Dec.16 of the current year. The license
issuance date of the export license shall be filled as Jan.1 of the next year, and the number of licenses issued shall be included
in the license issuance statistics of the next year.

Article 34

Valid term of export licenses

The valid term of export licenses for commodities under export quota administration shall be 6 months. Where the export licenses need
to be used in the next year, the deadline of the valid term of the export licenses shall not exceed the end of February of the next
year.

For the commodities under the quota administration that are exported in the form of processing trade and do not occupy the export
quotas, the valid term of their export licenses shall be verified and determined according to the export term ratified in the Certificate
of Approval for Processing Trade Businesses. Where the export term ratified in the Certificate of Approval for Processing Trade Businesses
goes beyond the end of February of the next year, the license issuing agencies shall implement the relevant provisions of the Commodity
Catalog and the Graded License Issuance Catalog formulated by MOFTEC.

3)<

ANNOUNCEMENT OF THE PEOPLE’S BANK OF CHINA ON RELEVANT ISSUES CONCERNING THE MARKET ENTRY OF FINANCIAL INSTITUTIONS WITH FOREIGN INVESTMENT

The People’s Bank of China

Announcement of the People’s Bank of China on Relevant Issues Concerning the Market Entry of Financial Institutions with Foreign Investment

[2001] No.1

December 9, 2001

With its official accession to the WTO on December 11, 2001, China will fulfill its commitment to open its banking market step by
step, and relevant issues are hereby announced as follows:

As of December 11, 2001, the limits on the objects of the foreign exchange business of the financial institutions with foreign investment
shall be abolished. The objects of the foreign exchange business of financial institutions with foreign investment may be extended
to all the entities and individuals within the territory of China, but they should also increase their operation funds or registered
capitals accordingly, change their business licenses or their legal person licenses for engagement in the financial business.

II.

As of December 11, 2001, the financial institutions with foreign investment established in Shanghai and Shenzhen shall be allowed
to engage in the RMB-related businesses, and those established in Tianjin and Dalian shall be allowed to apply for engagement in
the RMB-related businesses.

III.

As of December 11, 2001, the foreign-funded non-banking financial institutions may apply for establishing solely-funded or equity
joint automobile financial services companies according to the relevant provisions to be issued by the People’s Bank of China very
soon and engage in the business of giving loans for buying automobiles.

IV.

As of December 11, 2001, foreign investors may apply for solely-funded or equity joint financial charter party companies according
to the Measures for the Administration of Financial Charter Party Companies and provide financial charter party services.

The People’s Bank of China will, according to the amended Regulation of the People’s Republic of China on the Administration of Financial
Institutions with Foreign Ivestment and the Detailed Rules for Implementation the Regulation of the People’s Republic of China on
the Administration of Financial Institutions with Foreign Investment, accept various applications of the financial institutions with
foreign investment.

VI.

The applications that the financial institutions with foreign investment have submitted to this bank for establishing institutions
shall remain to be valid, but they shall submit supplementary materials as pursuant to the provisions of the amended rules.

The People’s Bank of China
2001-12-09

PROVISIONS ON THE ADMINISTRATION OF ROAD TRANSPORT SERVICES WITH FOREIGN INVESTMENT

Decree of the Ministry of Communications and the Ministry of Foreign Trade and Economic Corporation

No.9

The Provisions on the Administration of Road Transport Services with Foreign Investment are hereby promulgated and shall come into
force on the day of promulgation.
Minister of the Ministry of Communications: Huang Zhendong

Minister of the Ministry of Foreign Trade and Economic Corporation: Shi Guangsheng

November 20, 2001

Provisions on the Administration of Road Transport Services with Foreign Investment

Article 1

In order to promote the opening to the outside world and the healthy development of the road transport services, and to normalize
the examination and approval administration of road transport services with foreign investment, these Provisions are formulated according
to the Law of the People’s Republic of China on Chinese-foreign Equity Joint Ventures, the Law of the People’s Republic of China
on Chinese-foreign Contractual Joint Ventures, the Law of the People’s Republic of China on Foreign-capital Enterprises and other
relevant laws and regulations

Article 2

These Provisions shall apply to foreign businessmen investing in the road transport services within the territory of the People’s
Republic of China.

The road transport services referred to in these Provisions shall include road passenger transport, road goods transport, road goods
portage, loading and unloading, road goods storage, and other supplementary services and vehicle maintenance relating to road transport.

Article 3

Foreign businessmen are allowed to invest in and engage in the road transport services in the following forms:

investing in and engaging in the road passenger transport in the form of Chinese and foreign equity joint venture;

investing in and engaging in the road goods transport, road goods portage and loading and unloading, road goods storage and other
supplementary services and vehicle maintenance relating to road transport in the form of Chinese and foreign equity joint venture,
and Chinese and foreign contractual cooperation; and

investing in and engaging in the road goods transport, road goods portage, loading and unloading, road goods road goods storage and
other supplementary services and vehicle maintenance relating to road transport in the form of sole foreign investment.

The time for opening the road transport operations listed in item 3) of this Article to the outside world shall be promulgated separately
by the department in charge of foreign trade and economic cooperation and the department in charge of communications under the State
Council.

Article 4

The project-filing of road transport services with foreign investment and the relevant matters shall be subject to the approval of
the department in charge of communications under the State Council.

The contracts and articles of association of the road transport enterprises established with foreign investment shall be subject to
the approval of the department in charge of foreign trade and economic cooperation under the State Council.

Article 5

The foreign businessmen investing in road transport services shall comply with the policies on road transport development and the
requirements for enterprise qualification formulated by the department in charge of transportation under the State Council, and shall
meet the requirements of the development planning of road transport services formulated by the department in charge of transportation
of the place where the road transport enterprise with foreign investment to be established is located.

All investors shall invest with their self-owned assets and shall have good reputation.

Article 6

Foreign businessmen who wish to invest in and provide road passenger transport services shall also meet the following conditions:

At least one party among the principal investors shall be an enterprise that has been engaged in the road passenger transport services
for more than 5 years;

The proportion of foreign investment shall not be more than 49%;

50% of the registered capital of the enterprise shall be used in the construction and reconstruction of the infrastructure of passenger
transport; and

The vehicles put in use shall be passenger cars of middle level or above.

Article 7

To set up an road transport enterprise with foreign investment, one shall apply for project-filing to the department in charge of
transportation at the level of city (city divided into districts, hereinafter the same) where the said enterprise is to be located,
and shall submit the following materials:

an application, of which the contents shall include the total amount of investment, the registered capital, and the business scope,
scale, and term of duration, etc;

a project proposal;

legal certifications of the investors;

credit certifications of the investors;

valid asset evaluation certifications with respect to investors making investment with land-use right, establishment, and equipment,
etc; and

other materials required by the examining and approving department.

To set up a Chinese and foreign equity joint venture or a Chinese and foreign contractual cooperative enterprise, one shall, apart
from the materials mentioned above, submit the letter of intent for cooperation.

The submitted materials in foreign languages shall enclose the versions translated into Chinese at the same time.

Article 8

If an enterprise with foreign investment expands its business scope to the provision of road transport services, or a road transport
enterprise with foreign investment expands its business scope or expands its business scale beyond the former ratified standards,
or a road transport enterprise with foreign investment wishes to consolidate, split, move, and change its investment subjects, registered
capital, stock proportion of investment, that enterprise shall apply for alteration of registration to the department in charge of
transportation at the level of city of its location and submit the following materials:

an application;

a copy of business license of the enterprise as a legal person;

a copy of the certificate of approval for an enterprise with foreign investment;

a copy of the letter of approval for project-filing of an enterprise with foreign investment; and

credit certification.

Article 9

The departments in charge of transportation shall be responsible for the review and examination and approval of the application for
project-filing and alteration of registration of road transport services with foreign investment according to the following procedures:

The department in charge of transportation at the level of city shall, within 15 workdays from the day of receiving the application
materials, give the opinions of preliminary examination according to these Provisions, and shall submit the opinions of preliminary
examination and application materials to the department in charge of transportation at the level of province;

The department in charge of transportation at the level of province shall, within 15 workdays from the day of receiving the materials
submitted, give the opinions of review according to these Provisions, and shall submit the opinions of review and the application
materials to the department in charge of transportation under the State Council for examination and approval; and

The department in charge of transportation under the State Council shall, within 30 workdays from the day of receiving the materials
mentioned in the preceding item, review the application materials. For those conforming to the provisions, the letter of approval
for project-filing or for alteration shall be issued; for those failing to conform to the provisions, the applications shall be returned
and the applicants shall be notified in written form and reasons explained.

Article 10

After receiving the letter of approval, the applicant shall apply to the department in charge of foreign trade and economic cooperation
at the level of prince for issuing or altering the certificate of approval for enterprise with foreign investment, taking with it
the letter of approval and the following materials:

An application;

A report of feasibility study;

The contract and articles of association (for a solely road transport enterprise with foreign investment, only the article of association
are needed);

A list of names and the resumes of the members of board of directors and of the principal managerial personnel;

Notification of preliminary ratification of enterprise post_title issued by the administrative department of industry and commerce;

Legal certifications and credit certifications of the host countries or regions of the investors; and

Other materials required by the examining and approving departments.

Article 11

The department in charge of foreign trade and economic cooperation at the level of province shall, after preliminary examination
of the materials mentioned above, submit the application materials and opinions of preliminary examination to the department in charge
of foreign trade and economic cooperation under the State Council or the department authorized thereby. The department in charge
of foreign trade and economic cooperation under the State Council or the department authorized thereby shall, after receiving the
application materials, make the written decision on whether to approve or not within 45 days, and for those conforming to the provisions,
the certificate of approval for an enterprise with foreign investment shall be issued or altered; and for those failing to conform
to the provisions, the applications shall be returned and the applicants shall be notified in written form and reasons explained.

Article 12

After receiving the certificate of approval for an enterprise with foreign investment, the applicant shall, taking with it the letter
of approval for project-filing and the certificate of approval, apply to the department in charge of transportation at the level
of province of the place where the enterprise to be established is located for drawing the license for road transport operation,
and may conduct the road transport operations according to the ratified business scope only after completing the registration of
industry and commerce according to law.

Article 13

After receiving the certificate of approval for an enterprise with foreign investment for alteration, the applicant shall, taking
with it the letter of approval for alteration, the certificate of approval for an enterprise with foreign investment to make alterations
and other relevant application materials, go through the relevant formalities for alteration at the department in charge of transportation
and the administrative department in charge of industry and commerce at the level of province.

Article 14

After completing the relevant formalities, the applicant shall submit the copies of the business license of the enterprise as a legal
person, the certificate of approval for an enterprise with foreign investment and the license for road transport operation to the
department in charge of transportation under the State Council for archivist purpose.

Article 15

If the formalities of industry and commerce registration haven’t been completed within 18 months after the receipt of the letter
of approval for project-filing of road transport enterprise with foreign investment, the letter of approval for project-filing shall
be invalidated automatically.

Article 16

Generally the operating term of a road transport enterprise with foreign investment shall not be longer than 12 years. But if more
than 50% of the investment has been used in the construction of infrastructure of the passenger and goods transport stations and
sites, the operating period may be as long as 20 years.

The road transport enterprises with foreign investment that run the business in compliance with the industry policies and development
planning on road transport, and that pass the examination of operation quality (quality reputation) may, upon the approval of the
original examining and approving department, apply for the extension of operating period, and the operating period extended each
time may not exceed 20 years.

Article 17

The enterprise with foreign investment applying for extension of operating period shall apply to the department in charge of transportation
at the level of province of the place where the enterprise is located within 6 months before the expiration of the operating period,
and shall submit the examination record of the enterprise operation quality (quality reputation) and other relevant materials, which
shall be submitted to the department in charge of transportation under the State Council by the department in charge of transportation
at the level of province after review, and the department in charge of transportation and the department in charge of foreign trade
and economic cooperation under the State Council shall make replies.

Article 18

If a road transport enterprise with foreign investment stops or suspends its business or ceases to exist, it shall go through the
relevant formalities at the department in charge of transportation, the department in charge of foreign trade and economic cooperation
under the State Council or the departments authorized thereby, and at the administrative department of industry and commerce.

Article 19

These Provisions shall be referred to with respect to the investors from Hong Kong Special Administrative Region, Macao Special Administrative
Region and Taiwan, as well as overseas Chinese that make investment in the road transport services in Chinese mainland.

Article 20

These Provisions shall enter into force as of the day of promulgation. The Interim Provisions of the Ministry of Communications of
the People’s Republic of China on the Examination and Approval of Project-filing of Road Transport Services with Foreign Investment
(JiaoYunFa [1993] No.1178) promulgated by the Ministry of Communications in 1993 shall be nullified simultaneously.

The Ministry of Communication, the Ministry of Foreign Trade and Economic Cooperation
2001-11-20

1...8910...15 Page 9 of 15

2007

CIRCULAR OF THE MINISTRY OF FINANCE, THE STATE ADMINISTRATION OF TAXATION AND THE GENERAL ADMINISTRATION OF CUSTOMS ON PRINTING...

LETTER OF THE GENERAL OFFICE OF THE MINISTRY OF LABOR AND SOCIAL SECURITY CONCERNING ISSUES OF WHETHER ECONOMIC COMPENSATION...

CIRCULAR OF THE STATE ADMINISTRATION FOR INDUSTRY AND COMMERCE ON RELEVANT ISSUES FOR ENTERPRISES WITH FOREIGN INVESTMENT IN BONDED ZONES TO ESTABLISH BRANCHES

CIRCULAR OF THE MINISTRY OF FINANCE ON HOW TO DEAL WITH RELEVANT FINANCIAL ISSUES IN THE REFORM OF HOUSING SYSTEM FOR EMPLOYEES OF THE CHINESE PARTIES IN ENTERPRISES WITH FOREIGN INVESTMENT

CIRCULAR OF THE CHINA SECURITIES REGULATORY COMMITTEE CONCERNING THE DISTRIBUTION OF THE RULES FOR IMPLEMENTATION OF SUSPENDING AND TERMINATING THE LISTING OF FAILING LISTED COMPANIES (REVISED)

CIRCULAR OF THE GENERAL ADMINISTRATION OF CUSTOMS AND THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION ON SOME ISSUES ABOUT THE DEVELOPMENT OF THE HIGH AND NEW TECHNOLOGY INDUSTRY

CIRCULAR OF GENERAL ADMINISTRATION OF CUSTOMS ON EXAMINING AND APPROVING DUTY-PAYING VALUE OF OLD MACHINERY AND ELECTRICAL EQUIPMENT

CIRCULAR OF THE MINISTRY OF FOREIGN TRADE AND ECONOMIC COOPERATION CONCERNING THE ISSUING RIGHT OF APPROVAL CERTIFICATES FOR ENTERPRISES WITH FOREIGN INVESTMENT

PROVISIONS ON THE EXPORT LICENSE ADMINISTRATION

ANNOUNCEMENT OF THE PEOPLE’S BANK OF CHINA ON RELEVANT ISSUES CONCERNING THE MARKET ENTRY OF FINANCIAL INSTITUTIONS WITH FOREIGN INVESTMENT

PROVISIONS ON THE ADMINISTRATION OF ROAD TRANSPORT SERVICES WITH FOREIGN INVESTMENT

CONSTITUTION ACT, 1982 – page 22

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

CONSTITUTION ACT, 1982 – page 17

CONSTITUTION ACT, 1982 – page 16

CONSTITUTION ACT, 1982 – page 12

CONSTITUTION ACT, 1982 – page 11

CONSTITUTION ACT, 1982 – page 10

CONSTITUTION ACT, 1982 – page 9

CONSTITUTION ACT, 1982 – page 8

CONSTITUTION ACT, 1982 – page 7