State Administration for Industry and Commerce, Several Opinions on Supporting the Establishment of the China (Shanghai) Pilot Free Trade Zone

Other policies include: trial implementation of the annual report publication system and delegation of powers for the registration and administration of foreign investment to the administration for industry and commerce of the Zone (Articles 3 & 5 ).

Related legislation: Provisions for the Administration of Foreign-invested Advertising Enterprises, Sep 22 2008, CLP 2008 No.9 p.48

Issued: September 26 3013

Main contents: In respect of the China (Shanghai) Pilot Free Trade Zone (the Zone), except where laws or administrative regulations otherwise provide for actual payment of the registered capital of companies, implementing a system of registration of subscribed for registered capital on a trial basis for other companies. Except where laws, administrative regulations or State Council decisions provide otherwise in respect of the minimum registered capital in specific industries, the minimum registered capital of Rmb30,000 for limited liability companies, the minimum registered capital of Rmb100,000 for one-person limited liability companies and the minimum registered capital of Rmb5 million for companies limited by shares is abolished. The restrictions on the amount and percentage of the initial installments of the capital contributions of all the shareholders (promoters) made at the time of the establishment of a company shall no longer apply. The restriction on the percentage of the registered capital accounted for by the capital contributions of all the shareholders (promoters) of a company made in cash shall no longer apply. The deadline for the payment in full by the shareholders (promoters) of a company of their capital contributions shall no longer apply (Article 1).

With the exception of those matters in enterprise registration requiring prior permission as specified in laws, administrative statutes or State Council decisions, the registration system wherein the business licence can be secured before permits shall be implemented on a trial basis in the Zone (Article 2).

The restrictions in Articles 9, 10 and 11 of the current Provisions for the Administration of Foreign-invested Advertising Enterprises shall no longer apply where an application is made to establish a foreign-invested advertising enterprise in the Zone, where a foreign-invested enterprise in the Zone applies to add an advertising business or where a foreign-invested advertising enterprise in the Zone applies to establish (sub-)branches. Additionally, examination and approval for the projects of, and the establishment of (sub-)branches by, foreign-invested advertising enterprises in the Zone are abolished, to be replaced by the record filing system. Separate approval for replacement of joint venture partners, equity transfers, changes in the advertising scope of business and changes in registered capital required after the establishment of foreign-invested advertising enterprises in the Zone shall not be required, to be replaced by the record filing system, and the registration of changes in enterprises may be carried out directly (Article 4).

Other policies include: trial implementation of the annual report publication system and delegation of powers for the registration and administration of foreign investment to the administration for industry and commerce of the Zone (Articles 3 & 5 ).

Related legislation: Provisions for the Administration of Foreign-invested Advertising Enterprises, Sep 22 2008, CLP 2008 No.9 p.48