National Development and Reform Commission, Circular on Responding to the Epidemic and Further Intensifying Reform to Duly Carry Out the Work Associated with Foreign Investment Projects
国家发展改革委关于应对疫情进一步深化改革做好外资项目有关工作的通知
March 20, 2020 | BY
Susan MokGovernment support is offered to foreign investment projects in view of the coronavirus outbreak
Issued: March 9, 2020
Main contents: With respect to a foreign investment project in the manufacturing or hi-tech service industry with a total investment of at least US$1 billion that is currently being negotiated, at the contract execution stage or under construction, if the same involves matters requiring coordination by state ministerial-level authorities, the provincial-level development and reform commission is required to report the same to the National Development and Reform Commission in a timely manner, and if such a project satisfies the conditions, it shall, in accordance with the procedure, be included for coordination by the special work team for major foreign investment projects. The scale of technologically advanced or epidemic prevention and medical projects or of projects in key sectors, central or western China or northeast China may be suitably relaxed (Article 2).
With respect to a project included for coordination by the special work team for major foreign investment projects, the work team and relevant departments will provide policy support and, in concert with the government of the place where the project is located, push the same forward in a planned manner (Article 3).
Comprehensive implementation of the system of administration by the negative list for foreign investment access. With respect to foreign investment projects not falling within the scope of the negative list for foreign investment access (the Negative List), no separate access restrictions may be set solely against foreign investors. Other than those domestic and foreign investment projects specified in the List of Investment Projects Subject to Government Check and Approval as equally requiring check and approval, local development and reform commissions shall implement localized administration to foreign investment projects by means of record filing. With respect to foreign-invested newly constructed or acquisition projects falling within the scope of the Negative List that involve fixed-asset investment, check and approval procedures shall be carried out in accordance with the provisions on requirements such as shareholding percentage and senior management personnel. Of those, projects with a total investment of at least US$300 million shall be subject to check and approval by the National Development and Reform Commission, and those of less than US$300 million by the provincial-level development and reform commissions. For foreign investment projects established in pilot free trade zones, matters shall be handled in accordance with the pilot free trade zone negative list (Article 4).
Making record filing of foreign investment projects more convenient. All foreign investment projects requiring record filing shall be subject to administration by means of notified record filing. Once the record filing authority has received, through the national platform for oversight of online examination and approval of investment projects (the Online Platform), the basic particulars of a project provided by the project entity before implementation of the project, the record filing shall be complete. The basic particulars of a project include the project entity, name of the project, location of the project, details of the project, size of the investment, the investors and their countries, their capital contribution amounts and percentages, and a statement to the effect that the project complies with the Negative List and industry policy. The record filing certificate may be printed by the project entity itself from the Online Platform (Article 5).
Simplification of the check and approval procedures for foreign investment projects. Other than the specified information, when a project entity submits a project application, it is not required to attach corporate financial statements, fund credit certificate, approval document for the environmental impact assessment, energy saving review opinion or confirmation document for capital contributions made in the form of state-owned assets. Unless otherwise provided in laws or administrative regulations, the check and approval procedures for a foreign investment project may be carried out in parallel with other permission procedures. Qualified regions shall accelerate improvement of the document receipt and issuance functions of the Online Platform. For projects for which there exist difficulties in handling relevant appendices to application materials during the epidemic, the approval authority may implement acceptance in their absence, handling the application first and provision of the relevant appendices at a later date (Article 6).
Optimizing the procedure for confirmation of the exemption of duties on imported equipment for foreign investment projects in the encouraged category. With respect to foreign investment projects in the encouraged category of the Catalogue of Encouraged Foreign Investment in Industry, the policy of exempting duties on imported self-use equipment falling within the total investment shall continue to be implemented. For encouraged category foreign investment projects above the limit, the stage of forwarding from below the provincial level shall be eliminated, with the project entity directly submitting its duty exemption application to the provincial-level development and reform commission and the provincial-level development and reform commission then forwarding the same to the National Development and Reform Commission after preliminary review. With respect to projects for which the imported equipment list cannot be determined for the time being due to supply chain issues during the epidemic, the application shall be accepted without the same and the relevant materials may be submitted to the National Development and Reform Commission by the vertical network, so as to kickstart the handling procedure (Article 7).
Development and reform commissions at each level shall strengthen their communication and exchanges with foreign-invested enterprises and chambers of commerce for foreign-invested enterprises, publicize and explain policies and regulations, listen to the suggestions of foreign-invested enterprises and chambers of commerce for improving the investment environment of the region in question and actively respond to enterprises' concerns. When formulating foreign investment-related policies, they shall seek comments from foreign-invested enterprises through symposia, in writing, etc., fully take into account the actual situation in cross-border investment and duly exemplify equal treatment for domestic and foreign investors (Article 9).
Related legislation: Circular on Actively Coping with the Novel Coronavirus Pneumonia Epidemic and Strengthening Services to Foreign-Invested Enterprises and the Work of Attracting Investors and Investment
clp reference: 2300/20.03.09 issued:2020-03-09This premium content is reserved for
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