Measures for the Recordation Administration of Foreign-Funded Projects in China (Tianjin) Pilot Free Trade Zone
- November 16, 2017
- Posted by: Yolandy
- Category: Policy
Chapter I General Provisions
Article 1 To regulate the system for administration of foreign-funded projects in China (Tianjin) Pilot Free Trade Zone (hereinafter referred to as “TJFTZ”), these Measures are formulated in accordance with the Framework Plan for China (Tianjin) Pilot Free Trade Zone (No. 19 , State Council), the Measures for the Administration of China (Tianjin) Pilot Free Trade Zone (Order No. 15 , Tianjin Municipal People’s Government) and other relevant provisions.
Article 2 These Measures shall apply to foreign-funded projects in TJFTZ subject to recordation administration. Foreign-funded projects in TJFTZ subject to recordation administration shall include: Chinese-foreign equity joint venture projects, China-foreign contractual joint venture projects, wholly foreign-owned projects, foreign-funded partnership projects, projects of acquisition or merger of a domestic enterprise by a foreign investor, projects of capital increase for a foreign-funded enterprise, and various other foreign-funded projects provided they are not subject to the special access management measures (negative list) for foreign investments in TJFTZ (except domestic investment projects which the State Council reserves the right to confirm).
Where any law or regulation provides otherwise, such law or regulation shall apply.
Article 3 Foreign-funded projects subject to national security review shall undergo the security review according to the relevant provisions.
Article 4 The management committee of Dongjiang Bonded Port Area (Dongjiang Port Area), the management committee of Bonded Area (Airport Economic Area) and the management committee of Central Business District shall constitute the recordation authorities for foreign-funded projects in TJFTZ (hereinafter referred to as “Project Recordation Authorities”), which shall be responsible for recordation, supervision and administration of foreign-funded projects in TJFTZ.
Chapter II Project Recordation Procedures
Article 5 An applicant for a foreign-funded project subject to recordation administration of foreign-funded projects in TJFTZ (hereinafter referred to as the “recordation applicant”) shall complete and submit a Recordation Form for a Foreign-Funded Project in TJFTZ, along with the following materials, to the Project Recordation Authority:
(1) Certificates of enterprise registration (business licenses) and business registration certificates (personal identification for individual investors) of Chinese and foreign investors.
(2) An investors’ letter of intent signed by Chinese and foreign investors and, for a project of capital increase, acquisition, or merger, a resolution of the board of directors or a relevant contribution resolution.
(3) A real estate title certificate, a land sale confirmation, a contract for assignment of state-owned construction land use right, or a lease agreement.
(4) Other relevant materials required by laws and regulations.
The recordation applicant shall be responsible for the authenticity of the application materials submitted.
Where an application for recordation of a foreign-funded project and an application for formation (or modification) of an enterprise are filed concurrently, the “all-in-one application and one-stop processing” mechanism for TJFTZ shall apply.
Article 6 The Project Recordation Authority shall, within five working days upon receipt of the application materials, issue a recordation opinion on the foreign-funded project in TJFTZ (hereinafter referred to as the “recordation opinion”) to the recordation applicant.
The Project Recordation Authority shall grant recordation to a foreign-funded project which is not in violation of laws and regulations, complies with the national industry policies and is within the scope of recordation administration of foreign-funded projects in TJFTZ. If recordation is not granted, the reasons shall be stated in the recordation opinion.
Article 7 If a foreign-funded project is granted recordation, the recordation applicant may, on the basis of the recordation opinion, undergo the approval formalities for planning, land use, environmental impact assessment, and construction, among others. To apply for governmental subsidy, on-lending, interest subsidy and other preferential policies, an application report for such capital shall be filed with the competent authority on the basis of the recordation opinion. To apply for tax reduction or exemption on imported equipment and other preferential policies, the recordation applicant may apply to the National Development and Reform Commission or the Municipal Development and Reform Commission for undergoing the relevant formalities on the basis of the recordation opinion.
Article 8 When issuing a recordation opinion, the Project Recordation Authority shall send the basic recordation information on the project and the recordation document, among others, to the relevant authorities.
Chapter III Modification of Recordation
Article 9 Where a foreign-funded project which is granted recordation falls under any of the following circumstances, it shall be deemed a major modification, and an application for modification shall be filed with the Project Recordation Authority:
(1) A change in investor or equity.
(2) A change in project location.
(3) A change in production techniques, primary products, production capacity or any other primary construction content of the project.
(4) Total investment exceeding the originally recorded amount of investment by 20% or more.
(5) Any other circumstance requiring modification as prescribed by the relevant laws, regulations and industry policies.
The recordation modification procedures shall be governed by the relevant provisions of Chapter II of these Measures.
Article 10 Where a foreign-funded project which is granted recordation is modified, if, after modification, it is not within the scope of recordation administration of foreign-funded projects in TJFTZ, an application shall be filed with the competent authority for undergoing the confirmation formalities according to the relevant provisions on the confirmation of foreign-funded projects, and the original project recordation document shall be automatically invalidated on the date of issuance of the confirmation document.
Where a confirmed foreign-funded project is modified, if, after modification, it is within the scope of recordation administration of foreign-funded project in TJFTZ, an application shall be filed with the Project Recordation Authority for undergoing the recordation formalities according to the relevant provisions of these Measures, and the original project confirmation document shall be automatically invalidated on the date of issuance of the recordation document.
Article 11 Where the implementation of a foreign-funded project which is granted recordation is suspended, the recordation applicant shall notify the Project Recordation Authority in writing in a timely manner.
Where a foreign-funded project which is granted recordation is relocated to a place outside of TJFTZ, the relevant formalities shall be undergone according to the provisions on administration of foreign-funded projects outside of TJFTZ, and the Project Recordation Authority shall be notified in writing in a timely manner.
Chapter IV Supervision, Administration and Legal Liability
Article 12 The Project Recordation Authority shall strengthen the interim and ex post regulation of foreign-funded projects subject to recordation in TJFTZ with the competent industry authorities, and may inspect the implementation of such projects through the regulatory information sharing mechanisms, the relevant government platforms and the annual enterprise report system in TJFTZ.
Article 13 Where any staff member of the Project Recordation Authority abuses power, neglects duties, practices favoritism, or solicits or accepts bribes in the process of project recordation, an administrative disciplinary action shall be taken against the staff member in accordance with the law; and if the violation constitutes a crime, the staff member shall be subject to criminal liability in accordance with the law.
Article 14 Where a foreign-funded project falls under any of the following circumstances, the Project Recordation Authority shall order suspension of investment and construction in accordance with the law, investigate the responsibility of the relevant enterprise and personnel in accordance with the law, and record the violation in the enterprise’s integrity file:
(1) Any falsified material is submitted.
(2) Construction commences without authorization when the project is not granted recordation.
(3) Investment and construction fail to comply with the recorded content.
Chapter V Supplementary Provisions
Article 15 The project recordation document shall be valid for two years, commencing from the date of issuance of the recordation document.
Article 16 These Measures shall apply, by reference, to projects funded in TJFTZ by investors from the Hong Kong Special Administrative Region, the Macao Special Administrative Region, and the Taiwan Region.
Article 17 These Measures shall come into force on May 8, 2015, and be effective for five years.