1. Agriculture, forestry, animal husbandry and fishery
1)
Transformation of low and medium yield farming land.
2)
Pollution free techniques for growing vegetables (including edible
fungus and water melon), fruits and tea, and development and production
of associated product lines.
3)
Development of new techniques and species ( excluding genetically
modified species) for growing sugar, fruit trees, flowers and grazing
grass and associated production.
4)
Production of flowers, and construction and operation of flower gardens.
5)
Fertilizer applications of crop stalk and associated integrated utilization,
development of organic fertilizer resources and associated production.
6)
Growing or breeding of Chinese traditional medical materials ( only
allowed for joint ventures or cooperation)
7)
Timber (bamboo) afforestation and fine species breeding.
8)
Growing of natural rubber, sisal hemp and coffee.
9)
Reproduction oriented breeding of fine domestic animals, birds and
aquatic species (excluding China's unique fine and rare species).
10)
Breeding of brand-named, special and fine aquatic products and deep
water caged breeding.
11)
Construction and operation of ecological environment protection projects
such as trees and grass growing aiming at prevention of desertification
or soil erosion.
2. Mining industry
*1)
Venture prospecting and development of oil and natural gas.
*2)
Development of oil and gas reserves (fields) of low permeability.
*3)
Development and applications of new techniques able to improve crude
oil recovery.
*4)
Development and applications of new techniques for oil prospecting
and development such as geophysical prospecting, boring, well logging
and in-the-pit operation, etc.
5)
Prospecting and development of coal and associated resources.
6)
Prospecting and development of coal gas.
7)
Mining and separation of low grade or difficult metallurgical mines
( only allowed for joint ventures or cooperation. Independent foreign
investment may be allowed in the western regions).
8)
Prospecting, mining and separation of iron and manganese reserves.
9)
Prospecting and mining of copper, lead and zinc ( only allowed for
joint ventures or cooperation. Independent foreign investment may
be allowed in the western regions).
10)
Prospecting and mining of aluminum (only allowed for joint ventures
or cooperation. Independent foreign investment may be allowed only
in the western regions).
11)
Mining and separation of chemical reserves such as sulfur, phosphor
and potassium.
3. Manufacturing Industry
1)
Food processing.
a.
Storage and processing of grains, vegetables, fruits, livestock and
poultry products.
b.
Processing of aquatic products, cleaning and processing of shell products,
and development of algae based functional food.
c.
Development and production of fruit and vegetable beverage, protein
beverage, tea beverage and coffee beverage.
d.
Development and production of baby food, food for aged people and
functional food.
e.
Production of dairy products.
f.
Development and production of biological and protein feed.
2)
Tobacco processing.
a.
Processing of diacetin
acid fiber and tows.
b.
Production of tobacco sheets with paper making method.
3)
Textiles.
a.
Production of special textile products for engineering applications.
b.
Dyeing and finishing of high grade textile materials.
4)
Leather and fur processing.
a.
New techniques for wet blue pig, beef and sheep skin processing.
b.
New techniques for leather finishing and dressing.
5)
Timber processing and manufacturing of bamboo, cane, palm and grass
products .
a.
Development of new techniques and products for integrated utilization
of defected, small and firewood timbers in forested areas and bamboo,
and associated production.
6)
Paper making and associated products.
a.
Construction and operation of projects integrated with timber growing
and pulp making for an annual capacity of 300,000 tons chemical pulp
or 100,000 tons CTMP, BCTMP or APMP (only allowed for joint ventures
or cooperation).
b.
Production of high grade paper products, excluding news printing paper.
7)
Petroleum processing and coke making.
a.
In-depth processing of needle coke and coal tar.
b.
Production of tamping coke and dry quenching coke.
c.
Production of heavy pitch for road applications.
8)
Chemical raw materials and chemical products manufacturing.
a.
Heavy oil catalyzing and cracking based alkene production.
b.
Ethylene manufacturing with an annual capacity for 600,000 tons or
above (Chinese party shall hold relative majority equity).
c.
Integrated utilization of by-product of ethylene such as C5-C9.
d.
Massive production of Corvic(ethylene
approach).
e.
Production of chemical product lines for organic chlorine (excluding
the products of high residues).
f.
Basic organic chemical raw materials: integrated utilization of derivative
products of benzene, methylbenzene and xylol.
g. Supplementary raw materials for synthetic materials: production
of bisgallic acid A,
4.4' diphenyl methane, vulcabond,
toluenevulcabond.
h. Raw materials for synthetic fiber: production of diphenyl acid,
acrylconitrile, hexanediamine, nylon 66 salt.
i.
Synthetic rubber: production of soluble butadiene styrene rubber,
butyl rubber, isopentyl
rubber, polychloroprene, duprene rubber, polyester rubber; polyurethane
rubber; Daltoflex, acrylic rubber, chlorohydrin rubber.
j.
Production of engineering plastics and plastic alloy.
k.
New products and techniques for fine chemicals, catalysts, auxiliary
agent and petroleum additive agent, commercialized processing techniques
for dye products, and production of high tech chemicals for electronic
and paper making applications, food additive, feed additive, leather
chemicals, oil field auxiliary, surface active solvent, water treatment
reagent, adhesive and inorganic fiber and powder filling.
l.
Production of auxiliary, oiling agent and dye stuff for textile and
chemical fiber drawing applications.
m.
Production of auto tail gas purifying agent, catalyst and other supporting
agents.
n.
Production of natural spices, synthetic spices and mono-isolate.
o.
Production of high performance paint
p.
Production of chloridized titanium white.
q.
Production of fluorochlorohydrocarbon substitutes.
r.
Massive production of coal based chemicals.
s.
Development of new techniques and products for timber chemicals and
associated production.
t.
Production of ion film for caustic soda applications.
u.
Production of biological fertilizer, high concentration fertilizer
(potassium and phosphor)
and compound fertilizer.
v.
Development and production of new raw pesticide products of high effect
with low toxicity and residue.
w.
Development and production of biological pesticides.
x.
Development and production of inorganic, organic and biological film
for environment protection applications.
y.
Integrated utilization, treatment and disposal of waste gas, fluids
and dregs.
9)Medication
manufacturing industry.
a.
Production of raw medicinal materials under China's patent or administrative
protection and raw chemical materials that need importation.
b.
Production of vitamins and niacin.
c.
Production of amino acids, serine, tryptophan and hercynine.
d.
Production of febrifuge
and pain killers with new techniques and equipment.
e.
Production of advanced anti-cancer medications and cardiovascular
and cerebrovascular medications.
f.
Production of new, efficient and economic contraceptive tools.
g.
Production of new drugs with bioengineering techniques.
h.
Production of genetic engineering vaccines (AIDs vaccines, hepatitis
C vaccine and contraception vaccine).
i.
Development and production of marine medications.
j.
Production of reagents for diagnosing AIDS viruses and radioimmuno
diseases.
k.
Medicinal preparations: production of new prescriptions and products
by taking advantage of new techniques such as delayed release, controlled
release, targeting and skin penetrated absorption.
l.
Development and applications of new medicinal adjuvant.
m.
Processing and production of Chinese traditional medical herbs, extracts
and Chinese patent drug (excluding traditional preparing techniques
for Chinese traditional medicinal tablets).
n.
Production of biomedical materials and products.
o.
Production of antibacterial raw materials for vet applications, including
antibiotics and chemical compounds.
p.
Development and production of new products and new prescriptions for
vet antibacterial, parasiticide, pesticide, anticoccidium and antifilarial.
10)
Chemical fiber manufacturing.
a.
Production of high tech chemical fibers such as differentiating chemical
fiber, aryl fiber, polyurethane fiber and carbon fibers.
b. Production of environment friendly adhesive and non-toxicant
chemical fibers.
c.
Production of fiber and non-fiber polyester with a daily capacity
for 400 tons.
11)
Plastic manufacturing.
a.
Production of polyimide freshness keeping film.
b. Development of new techniques for producing farming films of
photo degradation or multiple functions, and associated raw material
production.
c.
Decomposition and recycling of plastic wastes.
12)
Non-metal products manufacturing.
a.
Production of fine float glass with a daily capacity for 500 tons
or above ( only allowed for middle and western regionss).
b. Dry cement production with a daily capacity for 2000 tons or
above of clinker ( only allowed for middle and western regionss).
c.
Production of glass fiber (from kiln based glass fiber drawing production
line) and glass fiber
reinforced plastics with an annual capacity for 10,000 tons or above.
d.
Production of high grade ceramics with an annual capacity for 500,000
pieces or above.
e.
Standardized fine making of ceramic raw materials and production of
high grade ceramic decoration materials.
f.
Production of high grade fireproof materials for glass, ceramic and
glass fiber kilns.
g.
Production of inorganic metalloid materials and associated products
(artificial crystals, high performance compound materials, special
glass, special ceramics, special sealing materials and special gelatinizing
materials).
h.
Production of new construction materials (light wall materials of
high intensity and multiple functions, high grade environment friendly
decoration materials, fine quality waterproof sealing materials and
efficient heat preservation materials).
i.
In-depth processing of nonmetallic ores ( super fine smashing, high purity, refining and property changing).
13)
Ferrous metal melting, pressing and processing.
a.
Production of wide and thick plates.
b.
Production of galvanized and erosion resistant lead-zinc alloy plates
and coated plates.
c.
Production of immediate melting reductive iron.
d.
Processing of waste steel.
14)
Non-ferrous metal melting, pressing and processing.
a.
Production of alumina with an annual capacity for 300, 000 tons or
above
b.
Melting of low class ores difficult for separation (only allowed for
joint ventures or cooperation. Independent foreign investment may be allowed in the western
regions).
c.
Production of hard alloy, tin compound and stibium compound.
d.
Production of non-ferrous metal compounds and new alloy materials.
e.
Applications of rare earth.
15)
Metal products manufacturing.
a.
Design and manufacturing of non-metal molds.
b.
Molds for automobiles and motorcycle including die mold, injection
mold, mould pressing mold and fixtures (welding fixture and testing
fixture).
c.
Development and production of hardware including heating and piping
materials for high grade structures and regular hardware.
16)
Conventional machinery manufacturing.
a.
Manufacturing of digital machine tools, control system and servers
geared with at least triaxial.
b.
Manufacturing of high performance robot welder and efficient welding
equipment.
c.
Production of high temperature resistant insulation materials (class
F and H) and insulation components.
d.
Proportioned and serving hydraulic pressure techniques, low power
pneumatic control valve and production under static sealing condition.
e.
Production of fine die mold, accurate chamber mold and standard molds.
f.
Manufacturing of accurate bearing and special bearing of different
specifications.
g.
Manufacturing of cast semi-finished products for automobile and motorcycles.
17)
Special equipment manufacturing.
a.
Development of new techniques and equipment manufacturing for storage,
freshness keeping, sorting, packaging, drying, shipping and processing
of grain, cotton, edible oil, vegetables, fruits, flowers, feed grass,
meat and aquatic products.
b.
Manufacturing of agricultural facilities and equipment.
c.
Manufacturing of farming and forestry machinery with new technology.
d.
Design and manufacturing of engines for farming machinery such as
tractors and combined harvesters.
e.
Manufacturing of equipment for turning crop stalk into fertilizer
in the field and associated integrated utilization.
f.
Manufacturing of equipment for integrated utilization of rural wastes
and wastes discharged from domestic animal or poultry farms.
g.
New technologies for water efficient irrigation machinery and associated
manufacturing.
h.
Manufacturing of machinery for wetland earthwork and sludge cleaning.
i.
Environment protection techniques and equipment manufacturing for
aquatic ecological system.
j.
Manufacturing of commanding system for distant water diversion projects.
k. Manufacturing of rescuer machinery and equipment for flood
events.
l.
Manufacturing of key equipment for fast and sterile food filling and
sealing as well as sticker making.
m.
Production techniques and key equipment manufacturing for amino acid,
enzyme preparation and food additive.
n.
Production of set equipment and key components for feed processing
with a capacity of 10 tons/hour or above.
o.
Manufacturing of multiple color offset press for single sheet web
or folio.
p. New techniques and equipment for leather finishing.
q.
Manufacturing of high tech industrial sewing machines.
r. Manufacturing of set equipment for new textile machinery and
paper making machinery (including pulp).
s.
Design and manufacturing of new machinery and equipment for highway
and harbors.
t.
Manufacturing of equipment for road and bridge maintenance and self-testing.
u.
Manufacturing of equipment for road and tunnel operation monitoring,
ventilation, disaster prevention and rescue.
v.
Design and manufacturing of equipment for major railway construction
and maintenance.
w.
New techniques and equipment and tools for gardening.
x.
Manufacturing of equipment for urban environment maintenance applications.
y.
Manufacturing of equipment for road surface milling and repairing.
z.
Manufacturing of equipment for tunnel digging and underground subway
digging.
aa.
Manufacturing of equipment with a capacity of 80,000 tons/day or above
for urban sewage water treatment, industrial waste water, upper stream
anaerobic fluid-bed and other biological waste water treatment, waste
plastic recycling equipment, industrial boiler desulfur and desaltpetre,
large high temperature and acid resistant dust remover and garbage
incinerator.
bb.
Manufacturing of turbine presser and pellet mixer for set ethylene
equipment with an annual capacity of 300,000 tons or above for synthetic
ammonia and 480,000 tons or above for urea and 450,000 tons or above
for ethylene.
cc.
Desulfur techniques and equipment manufacturing for thermal power
station.
dd.
Manufacturing of continuous thin plate caster.
ee.
In-depth processing and equipment manufacturing for flat glass.
ff. Manufacturing of equipment for underground mining, loading
and shipping, automatic mechanic unloading vehicle for 100 tons or
above, mobile roller, bucket wheel grab capable for 3000 m3/hour,
loading vehicle for 5 m3and sectional tunnel digger.
gg.
Design and manufacturing of new equipment for oil prospecting and
development.
hh.
Manufacturing of equipment for machinery clearing and production of
associated cleaning solvent.
ii.
Manufacturing of electronic endoscope.
jj.
Manufacturing of 80 kw medical X ray device of high frequency, direct
digital image processing with low radiation.
kk.
Manufacturing of MRI with high field and strong superconductivity.
ll.
Manufacturing of equipment for individual plasma collection.
mm.
Manufacturing of full automatic enzyme immune system with functions
of sampling, enzyme indicator, washing, incubating and data processing.
nn.
New techniques and equipment for medical products quality control.
oo.
New techniques for analyzing effective matters in Chinese traditional
medications and development of new techniques and equipment for extraction.
pp.
Manufacturing of advanced equipment for new medicinal packaging materials,
containers and medicine making.
18)
Transportation equipment manufacturing.
*a.
Manufacturing of automobiles and motor cycles.
c.
Manufacturing of automobiles and motor cycles' engines.
d.
Manufacturing of key automobile components: brake assembly, driving
bridge assembly, transmission gear, diesel engine oil pump, diesel
engine turbine supercharger, diesel engine external exhaust control
device, filters, constant speed gimbal, shock absorber, gauge panel,
special high intensity fixtures.
e.
Electronically controlled fuel jet system, electronically controlled
ABS system, air bag and other automobile electronic systems.
f.
Manufacturing of motorcycles' key components: carburetor, magnetor,
starting motor and disk brake.
g. Manufacturing of special desert vehicle for oil field applications.
h.
Railway transportation technologies and equipment: design and manufacturing
of locomotive and rolling stocks and associated major components;
design and manufacturing of rail lines and bridge equipment; technologies
and equipment for high speed trains; equipment for traffic signals
and transportation security and equipment for electric railway system.
i.
Equipment for fast urban transportation: design and manufacturing
of urban light rail locomotives and associated major components.
j.
Design and manufacturing of civil aircraft (Chinese party shall hold
majority equity).
k.
Manufacturing of civil aircraft's components.
l.
Design and manufacturing of civil helicopter (Chinese party shall
hold majority equity).
m.
Design and manufacturing of aircraft engines (Chinese party shall
hold majority equity).
n.
Design and manufacturing of civil aircraft air-born equipment (Chinese
party shall hold majority equity).
o.
Manufacturing of light gas burning turbine.
p.
Design and manufacturing of diesel engine's crank for slow speed boat.
q.
Repairing, design and manufacturing of special boats and high performance
boats (Chinese party shall hold relative majority equity).
r.
Design and manufacturing of medium and high speed diesel engine, auxiliary
engine, radio telecommunication equipment and navigation equipment
for boat applications (Chinese party shall hold relative majority
equity).
s.
Manufacturing of glass fiber reinforced plastic fishing and cruising
boats.
19)
Electric machinery and equipment manufacturing.
a.
Thermal power generation equipment: 600,000 kw super critical generation
units and large gas burning turbines; 100,000 kw gas- steam cogeneration
units, IGCC, PFBC and 600,000 kw or above air cooling generation units
(only allowed for joint ventures or cooperation).
b.
Hydraulic power generation units: large pumping generator of 150,000
kw or above and large
through-flow generation units of 150,000 kw or above (only allowed
for joint ventures or cooperation).
c.
Nuclear power generation equipment: generation units of 600,000 kw
or above (only allowed for joint ventures or cooperation).
d.
Power transmission and transforming equipment: super high voltage
direct current transmission and transforming equipment of 500 kv or
above ( only allowed for joint ventures or cooperation).
20)
Electronic and telecommunication equipment manufacturing.
a.
Manufacturing of digital TV, digital video camera, digital recorder
and player, digital audio equipment.
b.
Production of new flat displaying components, color kinescopes and
display tubes of medium or high resolution and glass tubes.
c.
Manufacturing of digital audio and video coding and decoding equipment,
digital radio broadcasting and TV studio equipment, digital cable
TV system equipment, digital audio broadcasting transmitters.
d.
Design and production of large IC products with a width of 0.35 microns.
e.
Manufacturing of large and medium electric com puter, portable mini-computer
and high performance server.
f.
Development and manufacturing of optic and magnetic drivers of large
volume and associated components.
g.
Manufacturing of 3-D CAD, CAT, CAM, CAW systems and other computation
application systems.
h.
Development and production of software products.
i.
Development and production of special materials for making semiconductor
and components.
j.
Manufacturing of special electronic equipment, testing instruments
and molds.
k.
Production of new electronic components ( chip components, sensitive
elements and sensors, frequency control and selective components,
mixed integrated circuits, power electronic components, optic electronic
components and new mechanic electronic components.
l.
Production of high tech and environment friendly batteries such as
mercury free alkaline-manganese battery, dynamic nickel-hydrogen battery,
lithium ion battery, maintenance free high volume and full sealed
lead-acid storage battery, fuel cells, cylinder zinc air cells.
m.
Development and production of key components for high density digital
optic disc unit.
n.
Production of CD-R, CD-RW, DVD-R, DVD-ARM.
o.
Design and manufacturing of civil satellites (Chinese party shall
hold majority equity).
p.
Manufacturing of civil satellite payloads (Chinese party shall hold
majority equity).
q.
Manufacturing of civil satellites' components and parts.
r.
Design and manufacturing of civil carrier rockets (Chinese party shall
hold majority equity).
s.
Manufacturing of satellite telecommunication system.
t.
Manufacturing of satellite navigation and receiving equipment and
associated key components (only allowed for joint ventures or cooperation).
u.
Manufacturing of optic-fiber preparation bar.
v.
Manufacturing of series digital microwave synchronous transmission
equipment of 622 megabit/second or above.
w.
Manufacturing of series optic synchronous transmission equipment of
10 kilomegebit/second or above.
x.
Manufacturing of broadband accessing network telecommunication system.
y.
Manufacturing of OXC equipment.
z.
Manufacturing of ATM and IP data telecommunication system.
aa.
Manufacturing of mobile telecommunication system (including GSM, CDMA,
DCS1800, PHS, DECT, IMT2000), mobile phone, base station, switch equipment
and digital integration system.
bb.
Development and manufacturing of high end router, network switchboard
of kilomegabit or above.
cc.
Manufacturing of air traffic control system (only allowed for joint
ventures or cooperation).
21)
Instruments and office equipment manufacturing.
a.
Development and production of digital camera and associated key components.
b.
Development and manufacturing of sophisticated online measuring instruments.
c.
New technologies and equipment for production security and environment
protection related monitoring and measuring.
d.
New technologies and equipment for water quality and smoke watch and
measuring.
e.
Manufacturing of instruments and equipment for hydraulic data collection,
processing and transmission and flood warning.
f.
Production of new instruments and gauge components and materials (mainly
sensors for intelligent instruments, plug parts, soft circuit board,
optic-electric on-off switch, approaching on-off switch and functional
materials for instrument applications).
g.
Manufacturing of advanced printer devices such as laser and jet printers.
h.
Maintenance and service for sophisticated instrument and equipment.
22)
Other manufacturing sectors.
a.
Development and utilization of clean coal technology and associated
products (coal gasification, liquidation, liquid coal slurry and industrial
coal).
b.
Integrated utilization of coal washing, coal powder including desulfur
plaster and gangue .
4. Utilities production and supply
1)
Construction and operation of thermal power station with individual
unit capacity reaching 300,000 kw or above.
2)
Construction and operation of power stations with clean burning technologies.
3)
Construction and operation of cogeneration power station for both
electricity and heat.
4)
Construction and operation of natural gas burning power station.
5)
Construction and operation of electricity generation oriented hydraulic
power station.
6)
Construction and operation of nuclear power station (Chinese party
shall hold major equity).
7)
Construction and operation of power station using new energy such
as solar energy, wind energy, magnetic energy, geothermal energy,
tidal energy and biomes energy.
8)
Construction and operation of urban water supply works.
5. Water irrigation management
1)
Construction and operation of integrated water irrigation network
( Chinese party shall hold relative majority equity).
6. Transportation, storage and post and telecommunication
1)
Construction and operation of railway trunk lines ( Chinese party
shall hold majority equity).
2)
Construction and operation of railway branch lines, local railway
lines and associated bridges, tunnels and ferry system ( only allowed
for joint ventures or cooperation).
3)
Construction and operation of highway, detached bridges and tunnels.
4)
Construction and operation of public piers in harbor areas.
5)
Construction and operation of civil airports (Chinese party shall
hold relative majority equity).
6)
Airliners (Chinese party shall hold majority equity).
7)
General airliners for agriculture, forestry and fishery ( only allowed
for joint ventures or cooperation).
*8)
Regular or irregular international ocean-going shipment.
*9)
International combined container transport service in different modes.
*10)
Highway goods shipment company.
11)
Construction and operation of oil (gas) transmission pipeline, oil
(gas) tanks and piers for oil transmission.
12)
Construction and operation of pipeline based coal transmission facilities.
13)
Construction and operation of transportation oriented storage facilities.
7. Wholesales and retails
*1)
Wholesale, retail and distribution of regular commodities.
8. Real estate
1)
Development and construction of common residential structures.
9. Social services
1)
Infrastructures.
a.
Construction and operation of urban enclosed roads.
b.
Construction and operation of urban subway and light rail system (
Chinese party shall hold majority equity).
c.
Construction and operation of sewage water and garbage treatment works,
hazardous wastes treatment works such as incinerator and filling ground,
and environment pollution control facilities.
2)
Information and consultation services.
a.
International economy, S&T and environment protection information
consultation services.
*b.
Accounting and auditing.
10. Health, sports and social welfare
1)
Services for aged and disabled population.
11. Education, culture and arts, and radio broadcasting, film and
TV
1)
Higher learning institutions (only allowed for joint ventures and
cooperation).
12. Scientific research and integrated technical services
a.
Bioengineering and biomedical engineering technologies.
b.
Isotope, radiation and laser technologies.
c.
Marine development and marine energy development technologies.
d.
Seawater desalination technologies and associated applications.
e.
Ocean monitoring technologies.
f.
Energy efficiency technologies.
g.
Resources cycling and associated integrated utilization technologies.
h.
Environmental pollution control and monitoring technologies.
i.
Desertification prevention and desert control technologies.
j.
Civil satellite applications.
k.
Research and development centers.
l.
High technology and new products development and industrial incubator
centers.
13. Foreign invested projects whose entire products go for export
in the Categories Allowed for Foreign Investment.
Categories Restricted for Foreign Investment
1. Agriculture, forestry, animal husbandry and fishery
1)
Development and production of grains (including potato), cotton, edible
oil seeds (Chinese party shall hold majority equity).
2)
Processing of rare species timbers.
2. Mining
1)
Prospecting and mining of tungsten, tin, stibium, platinum, barite,
fluorite (only allowed
for joint ventures or cooperation).
2)
Prospecting and mining of precious metals (gold, silver and platinum).
3)
Prospecting and mining of diamond and other precious metalloid ores.
4)
Prospecting and mining of special and rare coals (Chinese party shall
hold majority equity).
5)
Prospecting and mining of boron-magnesium
ore and boron-magnesium-iron ore.
6)
Mining of celestite.
3. Manufacturing industries
1)
Food processing.
a.
Production of rice wine and famous Chinese liquors.
b.
Production of foreign brand carbonate beverage.
c.
Production of saccharin and other sweeteners.
d.
Oil and fat processing.
2)
Tobacco processing.
a.
Production of cigarettes and filter tips.
3)
Textile.
a.
Wool and cotton textile.
b.
Silk.
4)
Printing and photocopying.
a.
Publication printing (Chinese party shall hold majority equity, excluding
for package and cover printing).
5)
Petroleum refinery and coking.
a.
Construction and operation of oil refinery.
6)
Manufacturing of raw chemical materials and products.
a.
Ion film based caustic soda production.
b.
Production of photosensitive materials.
c.
Production of benzidine.
d.
Production of toxicants making chemicals such as ephedrine, 3,4-diphenyl
oxide-2-acetone, benzene acetic acid, 1-phenyl-2-acetone, heliotropin,
yellow camphor, isosafrole, acetic oxide.
e.
Production of vitriol based titanium white.
f.
Processing of boron-magnesium-iron ore.
g.
Production of baric salt.
7)
Medication manufacturing.
a.
Production of chloromycetin, penicillium G, lincomycinum, gentamycin,
dihydrostreptomycin, amikacin, chlorhydric acid cyclomycin, terramycin,
medemycin, kitasamycin, ciprofloxacin hydrochloride, norfloxacin,
fluoroacid.
b.
Production of analginum, paracetamol, vitamin B1, vitamin B2, vitamin
C and vitamin E.
c.
Production of vaccines under state planned immunity program, vaccines,
antitoxin and toxoid (BCG, tephromyelitis, chincough, measles, encephalitis
B, epidemic cerebrospinal meningitis).
d. Production of addictive narcotic drugs and raw materials for
mental diseases medications (Chinese party shall hold majority equity).
e.
Production of blood products.
f.
Production of disposable injector, fluid and blood transfusion device
and blood bag.
8)Chemical fiber manufacturing.
a.
Production of conventional textile chemical fiber drawing.
b.
Production of viscose staple fiber with single thread annual capacity
under 20,000 tons.
c.
Production of fiber and non-fiber polyester and spandex with daily
capacity under 400 tons.
9)
Rubber products manufacturing.
a.
Production of cross-ply, old tire renovation (excluding radial tire)
and lower performance industrial rubber components.
10)
Non-ferrous metal melting, pressing and processing.
a.
Rare earth melting and separation (only allowed for joint ventures
or cooperation).
11)
Conventional machinery manufacturing.
a.
Production of containers.
b.
Manufacturing of small and medium conventional bearing.
c.
Manufacturing of auto crane under 50 tons (only allowed for joint
ventures or cooperation).
12)
Special equipment manufacturing.
a.
Manufacturing of low or medium B type ultrasonoscope.
b.
Manufacturing of common long polyester thread and short fiber making
equipment.
c.
Manufacturing of caterpillar bulldozer under 320 horsepower and wheeled
loading machine under 3 cubic meters ( only allowed for joint ventures
or cooperation).
13)
Electronic and telecommunication equipment manufacturing.
a.
Manufacturing of satellite TV receiver and associated key components.
4. Utilities production and supply
1)
Construction and operation of conventional coal burning power plant
with single unit capacity under 300,000 kw, designed mainly for power
generation (excluding small power grid).
5. Transport, storage and post and telecommunication
1)
Highway passenger transportation company.
*2)
Cross border automobile transportation company.
*3)
Water route shipping company.
*4)
Railway goods shipping company.
5)
Railway passenger transportation company (Chinese party shall hold
majority equity).
6)
General airliners for photographing, mine exploration or industrial
applications ( Chinese party shall hold majority equity).
*7)
Telecommunication companies.
6. Wholesales and retails
*1)
Companies for commodity trading, direct selling, mail purchasing,
online selling, franchising, licensing, sales agent and business management;
companies doing business of wholesale, retail and delivery of grains,
cotton, edible plant oil, sugar, medicine, tobacco, automobile, crude
oil, farming production materials.
*2)
Wholesale and retail of books, newspapers and periodicals.
*3)
Distribution of audio and video products (excluding films).
4)
Commodity auction.
*5)
Goods leasing companies.
*6)
Agent company (ships, shipment, foreign freight shipment agent, advertisement,
etc.).
*7)
Wholesale of finished oil and construction and operation of gas stations.
8)
Foreign trade companies.
7. Banking and insurance
1)
Banks, financial companies, credit and investment companies.
*2)
Insurance companies.
*3)
Stock and securities, securities investment and fund management companies.
4)
Banking leasing companies.
5)
Foreign exchange brokerage.
*6)
Insurance brokerage.
8. Real estates
1)
Land development in whole piece (only allowed for joint ventures or
cooperation).
2)
Construction and operation of star hotels, villas, office buildings
and international exhibition and conference centers.
9. Social services
1)
Infrastructures.
a.
Construction and operation of cooking gas, heating and water supply
and sewage pipeline networks in large and middle cities (Chinese party
shall hold majority equity).
2)
Information and consultation services.
a.
Legal affairs consultation.
10. Health, sports and social welfare
1)
Medical institutions (only allowed for joint ventures or cooperation).
2)
Construction and operation of golf course.
11. Education, culture and arts, and radio broadcasting, film and
TV
1)
Middle level education institutions (only allowed for joint ventures
or cooperation).
2)
Construction and operation of cinemas (Chinese party shall hold majority
equity).
12. Scientific research and integrated technical services
1)
Measuring and mapping companies (Chinese party shall hold majority
equity).
*2)
Companies for imported and exported goods testing, verification and
authentication.
13. Other industries restricted by state or international treaties
where China is a signatory party
Categories Prohibited for Foreign Investment
1. Agriculture, forestry, animal husbandry and fishery
1)
Breeding and growing of China's rare and precious species (including
fine genes of plants, animals and aquatic animals).
2)
Production and development of genetically modified plant seeds.
3)
Aquatic products catching within sea water areas under China's jurisdiction
and inland waters.
2. Mining
1)
Prospecting, mining and dressing of radioactive ores.
2)
Prospecting, mining and separation of rare earth.
3. Manufacturing industries
1)
Food processing.
a.
Green tea and special tea such as famous tea and black tea processed
with Chinese traditional techniques.
2)
Medical engineering.
a.
Processing of Chinese traditional medical herbs listed under the state
resources protection (muskiness, licorice, jute etc.).
b.
Applications of Chinese traditional medicinal slices making techniques
and production of traditional medicines made of secret recipe.
3)
Non-ferrous metal melting, pressing and processing.
a.
Melting and processing of radioactive ores.
4)
Arsenal manufacturing.
5)
Other manufacturing.
a.
Ivory carving.
b.
Tiger bone processing.
c.
Production of bodiless lacquerware.
d.
Production of enamel products.
e.
Production of rice paper and Chinese inker.
f.
Production of products leading to cancer, deformation, sharp changes
and long lasting organic pollution.
4. Utilities production and supply
1)
Construction and operation of power grids.
5. Transportation, storage and post and telecommunication
1)
Air traffic control companies.
2)
Post and telecommunication companies.
6. Banking and insurance
1)
Futures companies.
7. Social services
1)
Development of wild animal and plant resources under state protection.
2)
Construction and operation of natural animal and plant conservation
zones.
3)
Lottery (including gambling such as horse racing).
4)
Pornography.
8. Education, culture and arts, and radio broadcasting, film and TV
1)
basic education (compulsory education) institutions.
2)
Publication, general distribution and import of books, newspapers
and periodicals.
3)
Publication, preparation, general distribution and import of audio
and video products and e-publications.
4)
News media institutions.
5)
Radio broadcasting station and TV station at different levels and
radio and TV transmission network (transmitting station, relay station,
broadcasting and TV satellite, satellite uplink station, satellite
receiving and relay station, microwave station, monitoring station,
and cable radio and TV transmission network).
6)
Companies for radio and TV program making, publication and distribution.
7)
Film studio and film distribution companies.
8)
Video show companies.
9. Other sectors
1)
Projects endangering security and use of military facilities.
10. Other industries restricted by state or international treaties
where China is a signatory party
Note:
items marked with * mean the ones related to China's conformity to
its accession to WTO and please see details in the Appendix.
Appendix
1. Categories encouraged
1)
Venture prospecting and development of oil and natural gas: only allowed
for cooperation.
2)
Development of oil and gas reserves (fields) of low permeability:
only allowed for cooperation.
3)
Development and applications of new techniques for improving crude
oil recovery: only allowed for cooperation.
4)
Development and applications of new techniques for oil prospecting
and development such as geophysical prospecting, boring, well logging
and in-the-pit operation, etc.: only allowed for cooperation.
5)
Manufacturing of automobiles and motor cycles: foreign investorsss shall hold an equity no more than 50%.
6)
Regular or irregular international ocean-going shipment: foreign investorsss shall hold an equity no more than 49%.
7)
International combined container services in different modes: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and foreign investorsss will be allowed to hold full equity not
later than December 11, 2005.
8)
Highway goods shipment companies: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and foreign investorsss will be allowed to hold full equity not
later than December 11, 2004.
9)
Wholesale, retail and distribution of regular commodities: see restriction
conditions in 5) under categories restricted.
10)
Accounting and auditing: only allowed for cooperation or partnership.
2. Categories restricted
1)
Cross border automobile transportation companies: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and to hold full equity not later
than December 11, 2004.
2)
Water route shipping companies: foreign investorss shall hold an equity no more than 49%.
3)
Railway goods shipping companies: foreign investorss shall hold an equity no more than 49%. foreign investorsss will be allowed to hold majority equity
not later than December 11, 2004, and to hold full equity not later
than December 11, 2007.
4)
Telecommunication company.
a.
Paging service in value added and basic telecommunication systems:
foreign investment will be allowed from December 11, 2001 and foreign investorss may hold an equity no more than 30%. foreign investorsss will be allowed to hold an equity no more
than 49% not later than December 11, 2002, and to hold an equity up
to 50% not later than December 11, 2003.
b.
Mobile voice and data service in basic telecommunication system: foreign
investment will be allowed from December 11, 2001 and foreign investorss may hold an equity no more than 25%. foreign investorsss will be allowed to hold an equity up to
35% not later than December 11, 2002, and to hold an equity up to
49% not later than December 11, 2004.
c.
Domestic and international services in basic telecommunication system:
foreign investment will be allowed not later than December 11, 2004
and foreign investorss
may hold an equity no more than 25%. Foreign investorsss will be allowed to hold an equity no more
than 35% not later than December 11, 2006, and to hold an equity up
to 49% not later than December 11, 2007.
5)
Companies for commodity trading, direct selling, mail purchasing,
online selling, franchising, licensing, sale agent, business management;
wholesale, retail and delivery of grains, cotton, edible plant oil,
sugar, medicine, tobacco, automobile, crude oil, farming production
materials; wholesale and retail of books, newspapers and periodicals;
wholesale of finished oil and construction and operation of gas stations.
a.
Commissioned agent and wholesale (excluding salt and tobacco). Foreign
investment will be allowed not later than December 11, 2002 and foreign investorsss may hold an equity up to 50%. However,
no business operation will be allowed for books, newspapers, periodicals,
medicine, pesticide, farming films, fertilizer, finished oil and crude
oil. foreign investorsss
will be allowed to hold majority equity not later than December 11,
2003 and to hold full equity not later than December 11, 2004, allowing foreign investorsss to run businesses of books, newspapers,
periodicals, medicine, pesticide, farming film, and not later than
December 11, 2006 of chemical fertilizer, finished oil and crude oil.
b.
Retails (excluding tobacco): foreign investment will be allowed but
no business operation of books, newspapers, periodicals, medicine,
pesticide, faring film, fertilizer, finished oil; foreign investorsss will be allowed to hold an equity up to
50% not later than December 11, 2002 and to run businesses of books,
newspapers and periodicals not later than December 11, 2003. foreign investorsss will be allowed to hold full equity not
later than December 11, 2004, and allowed for business operation of
medicine, pesticide, farming film, chemical fertilizer and finished
oil. foreign investorsss
will be allowed to run businesses of chemical fertilizer not later
than December 11, 2006. When branch stores exceeding 30 in number,
chain stores whose commodities cover automobiles (the restriction
will be removed no later than December 11, 2006), books, newspapers,
periodicals, medicine, pesticide, farming film, finished oil, chemical
fertilizer, food, edible oil, sugar, tobacco and cotton, will not
be allowed for foreign
investorsss to hold majority equity.
c.
Franchising, wholesale and retail without fixed location: foreign
investment will be allowed not later than December 11, 2004.
6)
Distribution of audio and video products (excluding films): only allowed
for cooperation and Chinese party shall hold majority equity.
7)
Goods leasing companies: foreign
investorss will be allowed to hold majority equity not later than
December 11, 2002 and to hold full equity not later than December
11, 2004.
8)
Agent companies.
a.
Ships: foreign investorss
may hold an equity no more than 49%.
b.
Freight shipment (excluding services provided solely by post authorities): foreign investorss may hold an equity no more than 50% (no
more than 49% for express services); foreign investorss will be allowed to hold majority equity
not later than December 11, 2002 and to hold full equity not later
than December 11, 2005.
c.
Foreign freight shipping agent: only allowed for joint ventures or
cooperation.
d.
Advertisements: foreign
investorss may hold an equity no more than 49% and will be further
allowed to hold majority equity not later than December 11, 2003 and
eventually to hold full equity not later than December 11, 2005.
9)
Insurance companies.
a.
Non life insurance company: foreign investorss may hold an equity
no more than 51%;foreign investorsss will be allowed
to hold majority equity not later than December 11, 2003.
b.
Life insurance companies: foreign investorss may hold an equity no
more than 50%.
10)
Securities companies and securities investment and fund management
companies.
a.
Securities companies: foreign investment will be allowed not later
than December 11, 2004 with foreign equity holding no more than one
third.
b.
securities investment and fund management companies: foreign investment
will be allowed with foreign equity holding no more than 33% and further
up to 49% not later than December 11, 2004.
11)
Insurance brokerage companies: foreign investorss may hold an equity no more than 50% and
be allowed for up to 51% not later than December 11, 2004 and to full
equity not later than December 11, 2006.
12)
Companies for imported and exported goods testing, verification and
authentication: foreign
investorss may hold a majority equity not later than December 11,
2003 and full equity not later than December 11, 2005.
Guidance Catalog for Foreign Investment
Categories Encouraged for Foreign Investment
1. Agriculture, forestry, animal husbandry and fishery
1)
Transformation of low and medium yield farming land.
2)
Pollution free techniques for growing vegetables (including edible
fungus and water melon), fruits and tea, and development and production
of associated product lines.
3)
Development of new techniques and species ( excluding genetically
modified species) for growing sugar, fruit trees, flowers and grazing
grass and associated production.
4)
Production of flowers, and construction and operation of flower gardens.
5)
Fertilizer applications of crop stalk and associated integrated utilization,
development of organic fertilizer resources and associated production.
6)
Growing or breeding of Chinese traditional medical materials ( only
allowed for joint ventures or cooperation)
7)
Timber (bamboo) afforestation and fine species breeding.
8)
Growing of natural rubber, sisal hemp and coffee.
9)
Reproduction oriented breeding of fine domestic animals, birds and
aquatic species (excluding China's unique fine and rare species).
10)
Breeding of brand-named, special and fine aquatic products and deep
water caged breeding.
11)
Construction and operation of ecological environment protection projects
such as trees and grass growing aiming at prevention of desertification
or soil erosion.
2. Mining industry
*1)
Venture prospecting and development of oil and natural gas.
*2)
Development of oil and gas reserves (fields) of low permeability.
*3)
Development and applications of new techniques able to improve crude
oil recovery.
*4)
Development and applications of new techniques for oil prospecting
and development such as geophysical prospecting, boring, well logging
and in-the-pit operation, etc.
5)
Prospecting and development of coal and associated resources.
6)
Prospecting and development of coal gas.
7)
Mining and separation of low grade or difficult metallurgical mines
( only allowed for joint ventures or cooperation. Independent foreign
investment may be allowed in the western regions).
8)
Prospecting, mining and separation of iron and manganese reserves.
9)
Prospecting and mining of copper, lead and zinc ( only allowed for
joint ventures or cooperation. Independent foreign investment may
be allowed in the western regions).
10)
Prospecting and mining of aluminum (only allowed for joint ventures
or cooperation. Independent foreign investment may be allowed only
in the western regions).
11)
Mining and separation of chemical reserves such as sulfur, phosphor
and potassium.
3. Manufacturing Industry
1)
Food processing.
a.
Storage and processing of grains, vegetables, fruits, livestock and
poultry products.
b.
Processing of aquatic products, cleaning and processing of shell products,
and development of algae based functional food.
c.
Development and production of fruit and vegetable beverage, protein
beverage, tea beverage and coffee beverage.
d.
Development and production of baby food, food for aged people and
functional food.
e.
Production of dairy products.
f.
Development and production of biological and protein feed.
2)
Tobacco processing.
a.
Processing of diacetin
acid fiber and tows.
b.
Production of tobacco sheets with paper making method.
3)
Textiles.
a.
Production of special textile products for engineering applications.
b.
Dyeing and finishing of high grade textile materials.
4)
Leather and fur processing.
a.
New techniques for wet blue pig, beef and sheep skin processing.
b.
New techniques for leather finishing and dressing.
5)
Timber processing and manufacturing of bamboo, cane, palm and grass
products .
a.
Development of new techniques and products for integrated utilization
of defected, small and firewood timbers in forested areas and bamboo,
and associated production.
6)
Paper making and associated products.
a.
Construction and operation of projects integrated with timber growing
and pulp making for an annual capacity of 300,000 tons chemical pulp
or 100,000 tons CTMP, BCTMP or APMP (only allowed for joint ventures
or cooperation).
b.
Production of high grade paper products, excluding news printing paper.
7)
Petroleum processing and coke making.
a.
In-depth processing of needle coke and coal tar.
b.
Production of tamping coke and dry quenching coke.
c.
Production of heavy pitch for road applications.
8)
Chemical raw materials and chemical products manufacturing.
a.
Heavy oil catalyzing and cracking based alkene production.
b.
Ethylene manufacturing with an annual capacity for 600,000 tons or
above (Chinese party shall hold relative majority equity).
c.
Integrated utilization of by-product of ethylene such as C5-C9.
d.
Massive production of Corvic(ethylene
approach).
e.
Production of chemical product lines for organic chlorine (excluding
the products of high residues).
f.
Basic organic chemical raw materials: integrated utilization of derivative
products of benzene, methylbenzene and xylol.
g. Supplementary raw materials for synthetic materials: production
of bisgallic acid A,
4.4' diphenyl methane, vulcabond,
toluenevulcabond.
h. Raw materials for synthetic fiber: production of diphenyl acid,
acrylconitrile, hexanediamine, nylon 66 salt.
i.
Synthetic rubber: production of soluble butadiene styrene rubber,
butyl rubber, isopentyl
rubber, polychloroprene, duprene rubber, polyester rubber; polyurethane
rubber; Daltoflex, acrylic rubber, chlorohydrin rubber.
j.
Production of engineering plastics and plastic alloy.
k.
New products and techniques for fine chemicals, catalysts, auxiliary
agent and petroleum additive agent, commercialized processing techniques
for dye products, and production of high tech chemicals for electronic
and paper making applications, food additive, feed additive, leather
chemicals, oil field auxiliary, surface active solvent, water treatment
reagent, adhesive and inorganic fiber and powder filling.
l.
Production of auxiliary, oiling agent and dye stuff for textile and
chemical fiber drawing applications.
m.
Production of auto tail gas purifying agent, catalyst and other supporting
agents.
n.
Production of natural spices, synthetic spices and mono-isolate.
o.
Production of high performance paint
p.
Production of chloridized titanium white.
q.
Production of fluorochlorohydrocarbon substitutes.
r.
Massive production of coal based chemicals.
s.
Development of new techniques and products for timber chemicals and
associated production.
t.
Production of ion film for caustic soda applications.
u.
Production of biological fertilizer, high concentration fertilizer
(potassium and phosphor)
and compound fertilizer.
v.
Development and production of new raw pesticide products of high effect
with low toxicity and residue.
w.
Development and production of biological pesticides.
x.
Development and production of inorganic, organic and biological film
for environment protection applications.
y.
Integrated utilization, treatment and disposal of waste gas, fluids
and dregs.
9)Medication
manufacturing industry.
a.
Production of raw medicinal materials under China's patent or administrative
protection and raw chemical materials that need importation.
b.
Production of vitamins and niacin.
c.
Production of amino acids, serine, tryptophan and hercynine.
d.
Production of febrifuge
and pain killers with new techniques and equipment.
e.
Production of advanced anti-cancer medications and cardiovascular
and cerebrovascular medications.
f.
Production of new, efficient and economic contraceptive tools.
g.
Production of new drugs with bioengineering techniques.
h.
Production of genetic engineering vaccines (AIDs vaccines, hepatitis
C vaccine and contraception vaccine).
i.
Development and production of marine medications.
j.
Production of reagents for diagnosing AIDS viruses and radioimmuno
diseases.
k.
Medicinal preparations: production of new prescriptions and products
by taking advantage of new techniques such as delayed release, controlled
release, targeting and skin penetrated absorption.
l.
Development and applications of new medicinal adjuvant.
m.
Processing and production of Chinese traditional medical herbs, extracts
and Chinese patent drug (excluding traditional preparing techniques
for Chinese traditional medicinal tablets).
n.
Production of biomedical materials and products.
o.
Production of antibacterial raw materials for vet applications, including
antibiotics and chemical compounds.
p.
Development and production of new products and new prescriptions for
vet antibacterial, parasiticide, pesticide, anticoccidium and antifilarial.
10)
Chemical fiber manufacturing.
a.
Production of high tech chemical fibers such as differentiating chemical
fiber, aryl fiber, polyurethane fiber and carbon fibers.
b. Production of environment friendly adhesive and non-toxicant
chemical fibers.
c.
Production of fiber and non-fiber polyester with a daily capacity
for 400 tons.
11)
Plastic manufacturing.
a.
Production of polyimide freshness keeping film.
b. Development of new techniques for producing farming films of
photo degradation or multiple functions, and associated raw material
production.
c.
Decomposition and recycling of plastic wastes.
12)
Non-metal products manufacturing.
a.
Production of fine float glass with a daily capacity for 500 tons
or above ( only allowed for middle and western regionss).
b. Dry cement production with a daily capacity for 2000 tons or
above of clinker ( only allowed for middle and western regionss).
c.
Production of glass fiber (from kiln based glass fiber drawing production
line) and glass fiber
reinforced plastics with an annual capacity for 10,000 tons or above.
d.
Production of high grade ceramics with an annual capacity for 500,000
pieces or above.
e.
Standardized fine making of ceramic raw materials and production of
high grade ceramic decoration materials.
f.
Production of high grade fireproof materials for glass, ceramic and
glass fiber kilns.
g.
Production of inorganic metalloid materials and associated products
(artificial crystals, high performance compound materials, special
glass, special ceramics, special sealing materials and special gelatinizing
materials).
h.
Production of new construction materials (light wall materials of
high intensity and multiple functions, high grade environment friendly
decoration materials, fine quality waterproof sealing materials and
efficient heat preservation materials).
i.
In-depth processing of nonmetallic ores ( super fine smashing, high purity, refining and property changing).
13)
Ferrous metal melting, pressing and processing.
a.
Production of wide and thick plates.
b.
Production of galvanized and erosion resistant lead-zinc alloy plates
and coated plates.
c.
Production of immediate melting reductive iron.
d.
Processing of waste steel.
14)
Non-ferrous metal melting, pressing and processing.
a.
Production of alumina with an annual capacity for 300, 000 tons or
above
b.
Melting of low class ores difficult for separation (only allowed for
joint ventures or cooperation. Independent foreign investment may be allowed in the western
regions).
c.
Production of hard alloy, tin compound and stibium compound.
d.
Production of non-ferrous metal compounds and new alloy materials.
e.
Applications of rare earth.
15)
Metal products manufacturing.
a.
Design and manufacturing of non-metal molds.
b.
Molds for automobiles and motorcycle including die mold, injection
mold, mould pressing mold and fixtures (welding fixture and testing
fixture).
c.
Development and production of hardware including heating and piping
materials for high grade structures and regular hardware.
16)
Conventional machinery manufacturing.
a.
Manufacturing of digital machine tools, control system and servers
geared with at least triaxial.
b.
Manufacturing of high performance robot welder and efficient welding
equipment.
c.
Production of high temperature resistant insulation materials (class
F and H) and insulation components.
d.
Proportioned and serving hydraulic pressure techniques, low power
pneumatic control valve and production under static sealing condition.
e.
Production of fine die mold, accurate chamber mold and standard molds.
f.
Manufacturing of accurate bearing and special bearing of different
specifications.
g.
Manufacturing of cast semi-finished products for automobile and motorcycles.
17)
Special equipment manufacturing.
a.
Development of new techniques and equipment manufacturing for storage,
freshness keeping, sorting, packaging, drying, shipping and processing
of grain, cotton, edible oil, vegetables, fruits, flowers, feed grass,
meat and aquatic products.
b.
Manufacturing of agricultural facilities and equipment.
c.
Manufacturing of farming and forestry machinery with new technology.
d.
Design and manufacturing of engines for farming machinery such as
tractors and combined harvesters.
e.
Manufacturing of equipment for turning crop stalk into fertilizer
in the field and associated integrated utilization.
f.
Manufacturing of equipment for integrated utilization of rural wastes
and wastes discharged from domestic animal or poultry farms.
g.
New technologies for water efficient irrigation machinery and associated
manufacturing.
h.
Manufacturing of machinery for wetland earthwork and sludge cleaning.
i.
Environment protection techniques and equipment manufacturing for
aquatic ecological system.
j.
Manufacturing of commanding system for distant water diversion projects.
k. Manufacturing of rescuer machinery and equipment for flood
events.
l.
Manufacturing of key equipment for fast and sterile food filling and
sealing as well as sticker making.
m.
Production techniques and key equipment manufacturing for amino acid,
enzyme preparation and food additive.
n.
Production of set equipment and key components for feed processing
with a capacity of 10 tons/hour or above.
o.
Manufacturing of multiple color offset press for single sheet web
or folio.
p. New techniques and equipment for leather finishing.
q.
Manufacturing of high tech industrial sewing machines.
r. Manufacturing of set equipment for new textile machinery and
paper making machinery (including pulp).
s.
Design and manufacturing of new machinery and equipment for highway
and harbors.
t.
Manufacturing of equipment for road and bridge maintenance and self-testing.
u.
Manufacturing of equipment for road and tunnel operation monitoring,
ventilation, disaster prevention and rescue.
v.
Design and manufacturing of equipment for major railway construction
and maintenance.
w.
New techniques and equipment and tools for gardening.
x.
Manufacturing of equipment for urban environment maintenance applications.
y.
Manufacturing of equipment for road surface milling and repairing.
z.
Manufacturing of equipment for tunnel digging and underground subway
digging.
aa.
Manufacturing of equipment with a capacity of 80,000 tons/day or above
for urban sewage water treatment, industrial waste water, upper stream
anaerobic fluid-bed and other biological waste water treatment, waste
plastic recycling equipment, industrial boiler desulfur and desaltpetre,
large high temperature and acid resistant dust remover and garbage
incinerator.
bb.
Manufacturing of turbine presser and pellet mixer for set ethylene
equipment with an annual capacity of 300,000 tons or above for synthetic
ammonia and 480,000 tons or above for urea and 450,000 tons or above
for ethylene.
cc.
Desulfur techniques and equipment manufacturing for thermal power
station.
dd.
Manufacturing of continuous thin plate caster.
ee.
In-depth processing and equipment manufacturing for flat glass.
ff. Manufacturing of equipment for underground mining, loading
and shipping, automatic mechanic unloading vehicle for 100 tons or
above, mobile roller, bucket wheel grab capable for 3000 m3/hour,
loading vehicle for 5 m3and sectional tunnel digger.
gg.
Design and manufacturing of new equipment for oil prospecting and
development.
hh.
Manufacturing of equipment for machinery clearing and production of
associated cleaning solvent.
ii.
Manufacturing of electronic endoscope.
jj.
Manufacturing of 80 kw medical X ray device of high frequency, direct
digital image processing with low radiation.
kk.
Manufacturing of MRI with high field and strong superconductivity.
ll.
Manufacturing of equipment for individual plasma collection.
mm.
Manufacturing of full automatic enzyme immune system with functions
of sampling, enzyme indicator, washing, incubating and data processing.
nn.
New techniques and equipment for medical products quality control.
oo.
New techniques for analyzing effective matters in Chinese traditional
medications and development of new techniques and equipment for extraction.
pp.
Manufacturing of advanced equipment for new medicinal packaging materials,
containers and medicine making.
18)
Transportation equipment manufacturing.
*a.
Manufacturing of automobiles and motor cycles.
c.
Manufacturing of automobiles and motor cycles' engines.
d.
Manufacturing of key automobile components: brake assembly, driving
bridge assembly, transmission gear, diesel engine oil pump, diesel
engine turbine supercharger, diesel engine external exhaust control
device, filters, constant speed gimbal, shock absorber, gauge panel,
special high intensity fixtures.
e.
Electronically controlled fuel jet system, electronically controlled
ABS system, air bag and other automobile electronic systems.
f.
Manufacturing of motorcycles' key components: carburetor, magnetor,
starting motor and disk brake.
g. Manufacturing of special desert vehicle for oil field applications.
h.
Railway transportation technologies and equipment: design and manufacturing
of locomotive and rolling stocks and associated major components;
design and manufacturing of rail lines and bridge equipment; technologies
and equipment for high speed trains; equipment for traffic signals
and transportation security and equipment for electric railway system.
i.
Equipment for fast urban transportation: design and manufacturing
of urban light rail locomotives and associated major components.
j.
Design and manufacturing of civil aircraft (Chinese party shall hold
majority equity).
k.
Manufacturing of civil aircraft's components.
l.
Design and manufacturing of civil helicopter (Chinese party shall
hold majority equity).
m.
Design and manufacturing of aircraft engines (Chinese party shall
hold majority equity).
n.
Design and manufacturing of civil aircraft air-born equipment (Chinese
party shall hold majority equity).
o.
Manufacturing of light gas burning turbine.
p.
Design and manufacturing of diesel engine's crank for slow speed boat.
q.
Repairing, design and manufacturing of special boats and high performance
boats (Chinese party shall hold relative majority equity).
r.
Design and manufacturing of medium and high speed diesel engine, auxiliary
engine, radio telecommunication equipment and navigation equipment
for boat applications (Chinese party shall hold relative majority
equity).
s.
Manufacturing of glass fiber reinforced plastic fishing and cruising
boats.
19)
Electric machinery and equipment manufacturing.
a.
Thermal power generation equipment: 600,000 kw super critical generation
units and large gas burning turbines; 100,000 kw gas- steam cogeneration
units, IGCC, PFBC and 600,000 kw or above air cooling generation units
(only allowed for joint ventures or cooperation).
b.
Hydraulic power generation units: large pumping generator of 150,000
kw or above and large
through-flow generation units of 150,000 kw or above (only allowed
for joint ventures or cooperation).
c.
Nuclear power generation equipment: generation units of 600,000 kw
or above (only allowed for joint ventures or cooperation).
d.
Power transmission and transforming equipment: super high voltage
direct current transmission and transforming equipment of 500 kv or
above ( only allowed for joint ventures or cooperation).
20)
Electronic and telecommunication equipment manufacturing.
a.
Manufacturing of digital TV, digital video camera, digital recorder
and player, digital audio equipment.
b.
Production of new flat displaying components, color kinescopes and
display tubes of medium or high resolution and glass tubes.
c.
Manufacturing of digital audio and video coding and decoding equipment,
digital radio broadcasting and TV studio equipment, digital cable
TV system equipment, digital audio broadcasting transmitters.
d.
Design and production of large IC products with a width of 0.35 microns.
e.
Manufacturing of large and medium electric com puter, portable mini-computer
and high performance server.
f.
Development and manufacturing of optic and magnetic drivers of large
volume and associated components.
g.
Manufacturing of 3-D CAD, CAT, CAM, CAW systems and other computation
application systems.
h.
Development and production of software products.
i.
Development and production of special materials for making semiconductor
and components.
j.
Manufacturing of special electronic equipment, testing instruments
and molds.
k.
Production of new electronic components ( chip components, sensitive
elements and sensors, frequency control and selective components,
mixed integrated circuits, power electronic components, optic electronic
components and new mechanic electronic components.
l.
Production of high tech and environment friendly batteries such as
mercury free alkaline-manganese battery, dynamic nickel-hydrogen battery,
lithium ion battery, maintenance free high volume and full sealed
lead-acid storage battery, fuel cells, cylinder zinc air cells.
m.
Development and production of key components for high density digital
optic disc unit.
n.
Production of CD-R, CD-RW, DVD-R, DVD-ARM.
o.
Design and manufacturing of civil satellites (Chinese party shall
hold majority equity).
p.
Manufacturing of civil satellite payloads (Chinese party shall hold
majority equity).
q.
Manufacturing of civil satellites' components and parts.
r.
Design and manufacturing of civil carrier rockets (Chinese party shall
hold majority equity).
s.
Manufacturing of satellite telecommunication system.
t.
Manufacturing of satellite navigation and receiving equipment and
associated key components (only allowed for joint ventures or cooperation).
u.
Manufacturing of optic-fiber preparation bar.
v.
Manufacturing of series digital microwave synchronous transmission
equipment of 622 megabit/second or above.
w.
Manufacturing of series optic synchronous transmission equipment of
10 kilomegebit/second or above.
x.
Manufacturing of broadband accessing network telecommunication system.
y.
Manufacturing of OXC equipment.
z.
Manufacturing of ATM and IP data telecommunication system.
aa.
Manufacturing of mobile telecommunication system (including GSM, CDMA,
DCS1800, PHS, DECT, IMT2000), mobile phone, base station, switch equipment
and digital integration system.
bb.
Development and manufacturing of high end router, network switchboard
of kilomegabit or above.
cc.
Manufacturing of air traffic control system (only allowed for joint
ventures or cooperation).
21)
Instruments and office equipment manufacturing.
a.
Development and production of digital camera and associated key components.
b.
Development and manufacturing of sophisticated online measuring instruments.
c.
New technologies and equipment for production security and environment
protection related monitoring and measuring.
d.
New technologies and equipment for water quality and smoke watch and
measuring.
e.
Manufacturing of instruments and equipment for hydraulic data collection,
processing and transmission and flood warning.
f.
Production of new instruments and gauge components and materials (mainly
sensors for intelligent instruments, plug parts, soft circuit board,
optic-electric on-off switch, approaching on-off switch and functional
materials for instrument applications).
g.
Manufacturing of advanced printer devices such as laser and jet printers.
h.
Maintenance and service for sophisticated instrument and equipment.
22)
Other manufacturing sectors.
a.
Development and utilization of clean coal technology and associated
products (coal gasification, liquidation, liquid coal slurry and industrial
coal).
b.
Integrated utilization of coal washing, coal powder including desulfur
plaster and gangue .
4. Utilities production and supply
1)
Construction and operation of thermal power station with individual
unit capacity reaching 300,000 kw or above.
2)
Construction and operation of power stations with clean burning technologies.
3)
Construction and operation of cogeneration power station for both
electricity and heat.
4)
Construction and operation of natural gas burning power station.
5)
Construction and operation of electricity generation oriented hydraulic
power station.
6)
Construction and operation of nuclear power station (Chinese party
shall hold major equity).
7)
Construction and operation of power station using new energy such
as solar energy, wind energy, magnetic energy, geothermal energy,
tidal energy and biomes energy.
8)
Construction and operation of urban water supply works.
5. Water irrigation management
1)
Construction and operation of integrated water irrigation network
( Chinese party shall hold relative majority equity).
6. Transportation, storage and post and telecommunication
1)
Construction and operation of railway trunk lines ( Chinese party
shall hold majority equity).
2)
Construction and operation of railway branch lines, local railway
lines and associated bridges, tunnels and ferry system ( only allowed
for joint ventures or cooperation).
3)
Construction and operation of highway, detached bridges and tunnels.
4)
Construction and operation of public piers in harbor areas.
5)
Construction and operation of civil airports (Chinese party shall
hold relative majority equity).
6)
Airliners (Chinese party shall hold majority equity).
7)
General airliners for agriculture, forestry and fishery ( only allowed
for joint ventures or cooperation).
*8)
Regular or irregular international ocean-going shipment.
*9)
International combined container transport service in different modes.
*10)
Highway goods shipment company.
11)
Construction and operation of oil (gas) transmission pipeline, oil
(gas) tanks and piers for oil transmission.
12)
Construction and operation of pipeline based coal transmission facilities.
13)
Construction and operation of transportation oriented storage facilities.
7. Wholesales and retails
*1)
Wholesale, retail and distribution of regular commodities.
8. Real estate
1)
Development and construction of common residential structures.
9. Social services
1)
Infrastructures.
a.
Construction and operation of urban enclosed roads.
b.
Construction and operation of urban subway and light rail system (
Chinese party shall hold majority equity).
c.
Construction and operation of sewage water and garbage treatment works,
hazardous wastes treatment works such as incinerator and filling ground,
and environment pollution control facilities.
2)
Information and consultation services.
a.
International economy, S&T and environment protection information
consultation services.
*b.
Accounting and auditing.
10. Health, sports and social welfare
1)
Services for aged and disabled population.
11. Education, culture and arts, and radio broadcasting, film and
TV
1)
Higher learning institutions (only allowed for joint ventures and
cooperation).
12. Scientific research and integrated technical services
a.
Bioengineering and biomedical engineering technologies.
b.
Isotope, radiation and laser technologies.
c.
Marine development and marine energy development technologies.
d.
Seawater desalination technologies and associated applications.
e.
Ocean monitoring technologies.
f.
Energy efficiency technologies.
g.
Resources cycling and associated integrated utilization technologies.
h.
Environmental pollution control and monitoring technologies.
i.
Desertification prevention and desert control technologies.
j.
Civil satellite applications.
k.
Research and development centers.
l.
High technology and new products development and industrial incubator
centers.
13. Foreign invested projects whose entire products go for export
in the Categories Allowed for Foreign Investment.
Categories Restricted for Foreign Investment
1. Agriculture, forestry, animal husbandry and fishery
1)
Development and production of grains (including potato), cotton, edible
oil seeds (Chinese party shall hold majority equity).
2)
Processing of rare species timbers.
2. Mining
1)
Prospecting and mining of tungsten, tin, stibium, platinum, barite,
fluorite (only allowed
for joint ventures or cooperation).
2)
Prospecting and mining of precious metals (gold, silver and platinum).
3)
Prospecting and mining of diamond and other precious metalloid ores.
4)
Prospecting and mining of special and rare coals (Chinese party shall
hold majority equity).
5)
Prospecting and mining of boron-magnesium
ore and boron-magnesium-iron ore.
6)
Mining of celestite.
3. Manufacturing industries
1)
Food processing.
a.
Production of rice wine and famous Chinese liquors.
b.
Production of foreign brand carbonate beverage.
c.
Production of saccharin and other sweeteners.
d.
Oil and fat processing.
2)
Tobacco processing.
a.
Production of cigarettes and filter tips.
3)
Textile.
a.
Wool and cotton textile.
b.
Silk.
4)
Printing and photocopying.
a.
Publication printing (Chinese party shall hold majority equity, excluding
for package and cover printing).
5)
Petroleum refinery and coking.
a.
Construction and operation of oil refinery.
6)
Manufacturing of raw chemical materials and products.
a.
Ion film based caustic soda production.
b.
Production of photosensitive materials.
c.
Production of benzidine.
d.
Production of toxicants making chemicals such as ephedrine, 3,4-diphenyl
oxide-2-acetone, benzene acetic acid, 1-phenyl-2-acetone, heliotropin,
yellow camphor, isosafrole, acetic oxide.
e.
Production of vitriol based titanium white.
f.
Processing of boron-magnesium-iron ore.
g.
Production of baric salt.
7)
Medication manufacturing.
a.
Production of chloromycetin, penicillium G, lincomycinum, gentamycin,
dihydrostreptomycin, amikacin, chlorhydric acid cyclomycin, terramycin,
medemycin, kitasamycin, ciprofloxacin hydrochloride, norfloxacin,
fluoroacid.
b.
Production of analginum, paracetamol, vitamin B1, vitamin B2, vitamin
C and vitamin E.
c.
Production of vaccines under state planned immunity program, vaccines,
antitoxin and toxoid (BCG, tephromyelitis, chincough, measles, encephalitis
B, epidemic cerebrospinal meningitis).
d. Production of addictive narcotic drugs and raw materials for
mental diseases medications (Chinese party shall hold majority equity).
e.
Production of blood products.
f.
Production of disposable injector, fluid and blood transfusion device
and blood bag.
8)Chemical fiber manufacturing.
a.
Production of conventional textile chemical fiber drawing.
b.
Production of viscose staple fiber with single thread annual capacity
under 20,000 tons.
c.
Production of fiber and non-fiber polyester and spandex with daily
capacity under 400 tons.
9)
Rubber products manufacturing.
a.
Production of cross-ply, old tire renovation (excluding radial tire)
and lower performance industrial rubber components.
10)
Non-ferrous metal melting, pressing and processing.
a.
Rare earth melting and separation (only allowed for joint ventures
or cooperation).
11)
Conventional machinery manufacturing.
a.
Production of containers.
b.
Manufacturing of small and medium conventional bearing.
c.
Manufacturing of auto crane under 50 tons (only allowed for joint
ventures or cooperation).
12)
Special equipment manufacturing.
a.
Manufacturing of low or medium B type ultrasonoscope.
b.
Manufacturing of common long polyester thread and short fiber making
equipment.
c.
Manufacturing of caterpillar bulldozer under 320 horsepower and wheeled
loading machine under 3 cubic meters ( only allowed for joint ventures
or cooperation).
13)
Electronic and telecommunication equipment manufacturing.
a.
Manufacturing of satellite TV receiver and associated key components.
4. Utilities production and supply
1)
Construction and operation of conventional coal burning power plant
with single unit capacity under 300,000 kw, designed mainly for power
generation (excluding small power grid).
5. Transport, storage and post and telecommunication
1)
Highway passenger transportation company.
*2)
Cross border automobile transportation company.
*3)
Water route shipping company.
*4)
Railway goods shipping company.
5)
Railway passenger transportation company (Chinese party shall hold
majority equity).
6)
General airliners for photographing, mine exploration or industrial
applications ( Chinese party shall hold majority equity).
*7)
Telecommunication companies.
6. Wholesales and retails
*1)
Companies for commodity trading, direct selling, mail purchasing,
online selling, franchising, licensing, sales agent and business management;
companies doing business of wholesale, retail and delivery of grains,
cotton, edible plant oil, sugar, medicine, tobacco, automobile, crude
oil, farming production materials.
*2)
Wholesale and retail of books, newspapers and periodicals.
*3)
Distribution of audio and video products (excluding films).
4)
Commodity auction.
*5)
Goods leasing companies.
*6)
Agent company (ships, shipment, foreign freight shipment agent, advertisement,
etc.).
*7)
Wholesale of finished oil and construction and operation of gas stations.
8)
Foreign trade companies.
7. Banking and insurance
1)
Banks, financial companies, credit and investment companies.
*2)
Insurance companies.
*3)
Stock and securities, securities investment and fund management companies.
4)
Banking leasing companies.
5)
Foreign exchange brokerage.
*6)
Insurance brokerage.
8. Real estates
1)
Land development in whole piece (only allowed for joint ventures or
cooperation).
2)
Construction and operation of star hotels, villas, office buildings
and international exhibition and conference centers.
9. Social services
1)
Infrastructures.
a.
Construction and operation of cooking gas, heating and water supply
and sewage pipeline networks in large and middle cities (Chinese party
shall hold majority equity).
2)
Information and consultation services.
a.
Legal affairs consultation.
10. Health, sports and social welfare
1)
Medical institutions (only allowed for joint ventures or cooperation).
2)
Construction and operation of golf course.
11. Education, culture and arts, and radio broadcasting, film and
TV
1)
Middle level education institutions (only allowed for joint ventures
or cooperation).
2)
Construction and operation of cinemas (Chinese party shall hold majority
equity).
12. Scientific research and integrated technical services
1)
Measuring and mapping companies (Chinese party shall hold majority
equity).
*2)
Companies for imported and exported goods testing, verification and
authentication.
13. Other industries restricted by state or international treaties
where China is a signatory party
Categories Prohibited for Foreign Investment
1. Agriculture, forestry, animal husbandry and fishery
1)
Breeding and growing of China's rare and precious species (including
fine genes of plants, animals and aquatic animals).
2)
Production and development of genetically modified plant seeds.
3)
Aquatic products catching within sea water areas under China's jurisdiction
and inland waters.
2. Mining
1)
Prospecting, mining and dressing of radioactive ores.
2)
Prospecting, mining and separation of rare earth.
3. Manufacturing industries
1)
Food processing.
a.
Green tea and special tea such as famous tea and black tea processed
with Chinese traditional techniques.
2)
Medical engineering.
a.
Processing of Chinese traditional medical herbs listed under the state
resources protection (muskiness, licorice, jute etc.).
b.
Applications of Chinese traditional medicinal slices making techniques
and production of traditional medicines made of secret recipe.
3)
Non-ferrous metal melting, pressing and processing.
a.
Melting and processing of radioactive ores.
4)
Arsenal manufacturing.
5)
Other manufacturing.
a.
Ivory carving.
b.
Tiger bone processing.
c.
Production of bodiless lacquerware.
d.
Production of enamel products.
e.
Production of rice paper and Chinese inker.
f.
Production of products leading to cancer, deformation, sharp changes
and long lasting organic pollution.
4. Utilities production and supply
1)
Construction and operation of power grids.
5. Transportation, storage and post and telecommunication
1)
Air traffic control companies.
2)
Post and telecommunication companies.
6. Banking and insurance
1)
Futures companies.
7. Social services
1)
Development of wild animal and plant resources under state protection.
2)
Construction and operation of natural animal and plant conservation
zones.
3)
Lottery (including gambling such as horse racing).
4)
Pornography.
8. Education, culture and arts, and radio broadcasting, film and TV
1)
basic education (compulsory education) institutions.
2)
Publication, general distribution and import of books, newspapers
and periodicals.
3)
Publication, preparation, general distribution and import of audio
and video products and e-publications.
4)
News media institutions.
5)
Radio broadcasting station and TV station at different levels and
radio and TV transmission network (transmitting station, relay station,
broadcasting and TV satellite, satellite uplink station, satellite
receiving and relay station, microwave station, monitoring station,
and cable radio and TV transmission network).
6)
Companies for radio and TV program making, publication and distribution.
7)
Film studio and film distribution companies.
8)
Video show companies.
9. Other sectors
1)
Projects endangering security and use of military facilities.
10. Other industries restricted by state or international treaties
where China is a signatory party
Note:
items marked with * mean the ones related to China's conformity to
its accession to WTO and please see details in the Appendix.
Appendix
1. Categories encouraged
1)
Venture prospecting and development of oil and natural gas: only allowed
for cooperation.
2)
Development of oil and gas reserves (fields) of low permeability:
only allowed for cooperation.
3)
Development and applications of new techniques for improving crude
oil recovery: only allowed for cooperation.
4)
Development and applications of new techniques for oil prospecting
and development such as geophysical prospecting, boring, well logging
and in-the-pit operation, etc.: only allowed for cooperation.
5)
Manufacturing of automobiles and motor cycles: foreign investorsss shall hold an equity no more than 50%.
6)
Regular or irregular international ocean-going shipment: foreign investorsss shall hold an equity no more than 49%.
7)
International combined container services in different modes: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and foreign investorsss will be allowed to hold full equity not
later than December 11, 2005.
8)
Highway goods shipment companies: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and foreign investorsss will be allowed to hold full equity not
later than December 11, 2004.
9)
Wholesale, retail and distribution of regular commodities: see restriction
conditions in 5) under categories restricted.
10)
Accounting and auditing: only allowed for cooperation or partnership.
2. Categories restricted
1)
Cross border automobile transportation companies: foreign investorsss will be allowed to hold majority equity
not later than December 11, 2002, and to hold full equity not later
than December 11, 2004.
2)
Water route shipping companies: foreign investorss shall hold an equity no more than 49%.
3)
Railway goods shipping companies: foreign investorss shall hold an equity no more than 49%. foreign investorsss will be allowed to hold majority equity
not later than December 11, 2004, and to hold full equity not later
than December 11, 2007.
4)
Telecommunication company.
a.
Paging service in value added and basic telecommunication systems:
foreign investment will be allowed from December 11, 2001 and foreign investorss may hold an equity no more than 30%. foreign investorsss will be allowed to hold an equity no more
than 49% not later than December 11, 2002, and to hold an equity up
to 50% not later than December 11, 2003.
b.
Mobile voice and data service in basic telecommunication system: foreign
investment will be allowed from December 11, 2001 and foreign investorss may hold an equity no more than 25%. foreign investorsss will be allowed to hold an equity up to
35% not later than December 11, 2002, and to hold an equity up to
49% not later than December 11, 2004.
c.
Domestic and international services in basic telecommunication system:
foreign investment will be allowed not later than December 11, 2004
and foreign investorss
may hold an equity no more than 25%. Foreign investorsss will be allowed to hold an equity no more
than 35% not later than December 11, 2006, and to hold an equity up
to 49% not later than December 11, 2007.
5)
Companies for commodity trading, direct selling, mail purchasing,
online selling, franchising, licensing, sale agent, business management;
wholesale, retail and delivery of grains, cotton, edible plant oil,
sugar, medicine, tobacco, automobile, crude oil, farming production
materials; wholesale and retail of books, newspapers and periodicals;
wholesale of finished oil and construction and operation of gas stations.
a.
Commissioned agent and wholesale (excluding salt and tobacco). Foreign
investment will be allowed not later than December 11, 2002 and foreign investorsss may hold an equity up to 50%. However,
no business operation will be allowed for books, newspapers, periodicals,
medicine, pesticide, farming films, fertilizer, finished oil and crude
oil. foreign investorsss
will be allowed to hold majority equity not later than December 11,
2003 and to hold full equity not later than December 11, 2004, allowing foreign investorsss to run businesses of books, newspapers,
periodicals, medicine, pesticide, farming film, and not later than
December 11, 2006 of chemical fertilizer, finished oil and crude oil.
b.
Retails (excluding tobacco): foreign investment will be allowed but
no business operation of books, newspapers, periodicals, medicine,
pesticide, faring film, fertilizer, finished oil; foreign investorsss will be allowed to hold an equity up to
50% not later than December 11, 2002 and to run businesses of books,
newspapers and periodicals not later than December 11, 2003. foreign investorsss will be allowed to hold full equity not
later than December 11, 2004, and allowed for business operation of
medicine, pesticide, farming film, chemical fertilizer and finished
oil. foreign investorsss
will be allowed to run businesses of chemical fertilizer not later
than December 11, 2006. When branch stores exceeding 30 in number,
chain stores whose commodities cover automobiles (the restriction
will be removed no later than December 11, 2006), books, newspapers,
periodicals, medicine, pesticide, farming film, finished oil, chemical
fertilizer, food, edible oil, sugar, tobacco and cotton, will not
be allowed for foreign
investorsss to hold majority equity.
c.
Franchising, wholesale and retail without fixed location: foreign
investment will be allowed not later than December 11, 2004.
6)
Distribution of audio and video products (excluding films): only allowed
for cooperation and Chinese party shall hold majority equity.
7)
Goods leasing companies: foreign
investorss will be allowed to hold majority equity not later than
December 11, 2002 and to hold full equity not later than December
11, 2004.
8)
Agent companies.
a.
Ships: foreign investorss
may hold an equity no more than 49%.
b.
Freight shipment (excluding services provided solely by post authorities): foreign investorss may hold an equity no more than 50% (no
more than 49% for express services); foreign investorss will be allowed to hold majority equity
not later than December 11, 2002 and to hold full equity not later
than December 11, 2005.
c.
Foreign freight shipping agent: only allowed for joint ventures or
cooperation.
d.
Advertisements: foreign
investorss may hold an equity no more than 49% and will be further
allowed to hold majority equity not later than December 11, 2003 and
eventually to hold full equity not later than December 11, 2005.
9)
Insurance companies.
a.
Non life insurance company: foreign investorss may hold an equity
no more than 51%;foreign investorsss will be allowed
to hold majority equity not later than December 11, 2003.
b.
Life insurance companies: foreign investorss may hold an equity no
more than 50%.
10)
Securities companies and securities investment and fund management
companies.
a.
Securities companies: foreign investment will be allowed not later
than December 11, 2004 with foreign equity holding no more than one
third.
b.
securities investment and fund management companies: foreign investment
will be allowed with foreign equity holding no more than 33% and further
up to 49% not later than December 11, 2004.
11)
Insurance brokerage companies: foreign investorss may hold an equity no more than 50% and
be allowed for up to 51% not later than December 11, 2004 and to full
equity not later than December 11, 2006.
12)
Companies for imported and exported goods testing, verification and
authentication: foreign
investorss may hold a majority equity not later than December 11,
2003 and full equity not later than December 11, 2005.