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Features of New Foreign Investment Industrial Guidance Catalogue of 2007

2008-04-21

The new Catalogue reflects the following features: 1. Further expand areas for opening up. The amended Catalogue has 351 terms on encouragement, 94 more than the original catalogue and therefore, raised the proportion from 69% to 73%; 87 terms are on restriction, accounting for 18% from 21% originally; 40 terms are on prohibition, accounting for 8% from 9%. 2. Further improved transparency of foreign investment policy. The Catalogue has incorporated opening areas and share ration committed by Chinese government during access to WTO to keep requirements of foreign investment entrance in various law, regulation and specialized policy aligned. It forms standardized, transparent and executable policy for foreign investment entrance, and further improved convenience for investment. 3. Promote optimism and upgrade of industrial structure. Upon the requirement of national economic development, modern agriculture, high technology, modern service, high end manufacturing process, infrastructure, energy saving and environmental protection have been listed in the encouragement category, which indicates the active measures taken by Chinese government in promoting optimism and upgrade of industrial structure. 4. Adjust the guiding policy of purely encouraging export. Given the new situation of Chinese large trade surplus and rapid foreign exchange reserve, the government no longer implements the guiding policy of purely encouraging export, and cancels ¡°allowed foreign investment projects with all products directly exported¡± term in original encouraging category. 5. Promote balanced economic development from area to area. The term of ¡°limited to Central and West China¡± is no longer listed in the encouraging category given the combined strategies of development of West China, rising of Central China and vitalizing of traditional Northeast Industrial Base. All advantageous industries as well as characteristic industries in Central and West or in Northeast China traditional industrial base will be incorporated in the Guiding Foreign Investment in the Dominant Industrials of the Central and Western Regions Catalogue in future revision.

 

 


 
    
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