Foreign-funded enterprises engaging in business activities within the territory of China must comply with Chinese laws and regulations, and shall not jeopardize China's social public **** interests. Article 3 The establishment of a foreign-funded enterprise must be conducive to the development of China's national economy and be able to achieve significant economic benefits. The State encourages foreign-funded enterprises to adopt advanced technology and equipment, engage in new product development, realize product upgrading and modernization, conserve energy and raw materials, and encourage the organization of foreign-funded enterprises that export products. Article 4 The industries in which the establishment of foreign-funded enterprises is prohibited or restricted shall be implemented in accordance with the provisions of the State guiding the direction of foreign investment and the Catalogue of Industries Guiding Foreign Investment. Article 5 An application for the establishment of a foreign-funded enterprise shall not be approved under any of the following circumstances:
(1) if it is detrimental to China's sovereignty or the public **** interests of the society;
(2) if it jeopardizes China's national security;
(3) if it is in violation of China's laws and regulations;
(4) if it is not in conformity with the requirements for the development of China's national economy;
(5) if it which may cause environmental pollution. Article 6 Foreign-funded enterprises shall operate and manage independently within the approved scope of business without interference. Chapter II Procedures for Establishment Article 7 The application for the establishment of a foreign-funded enterprise shall be examined and approved by the Ministry of Foreign Trade and Economic Cooperation of the People's Republic of China (hereinafter referred to as the Ministry of Foreign Trade and Economic Cooperation) and a certificate of approval shall be issued.
The application for the establishment of foreign-funded enterprises belongs to the following circumstances, the State Council authorizes the people's governments of provinces, autonomous regions, municipalities directly under the Central Government and municipalities with separate plans, special economic zones to examine and approve the application, and then issue a certificate of approval:
(a) the total amount of investment in the State Council within the authority of the approval of the investment;
(b) does not require the state to allocate raw materials, does not affect energy, transportation, foreign trade export quotas and other national comprehensive balance.
Provinces, autonomous regions, municipalities and municipalities and municipalities and special economic zones, the people's governments in the State Council within the scope of the authorization to approve the establishment of foreign-funded enterprises, shall be reported to the Ministry of Foreign Trade and Economic Cooperation for the record within 15 days after the approval (the Ministry of Foreign Trade and Economic Cooperation and the provinces, autonomous regions, municipalities and municipalities and people's governments of cities and special economic zones, hereinafter referred to as the approving authority). Article 8 A foreign-funded enterprise applying for establishment whose products involve export licenses, export quotas, import licenses or are subject to state import restrictions shall, in accordance with the relevant administrative authority, obtain the prior consent of the competent department of foreign trade and economic cooperation. Article 9 A foreign investor shall submit a report on the following matters to the local people's government at or above the county level where the proposed foreign-funded enterprise is located before filing an application for the establishment of the foreign-funded enterprise. The contents of the report include: the purpose of the establishment of the foreign-funded enterprise; the scope and scale of business; the products to be produced; the technical equipment to be used; the area of the land and its requirements; the conditions and amount of water, electricity, coal, gas or other energy sources to be used; and the requirements for the public **** facilities.
The local people's government at or above the county level shall reply to the foreign investor in writing within 30 days from the date of receipt of the report submitted by the foreign investor. Article 10 A foreign investor who establishes a foreign-funded enterprise shall apply to the examination and approval authority through the local people's government at or above the county level where the proposed foreign-funded enterprise is located and submit the following documents:
(1) an application for the establishment of the foreign-funded enterprise;
(2) a feasibility study report;
(3) the articles of association of the foreign-funded enterprise;
(4) List of legal representatives (or candidates for the board of directors) of the foreign-funded enterprise;
(v) Legal documents of the foreign investor and documents proving its creditworthiness;
(vi) Written reply from the local people's government at or above the county level of the place where the foreign-funded enterprise is proposed to be established;
(vii) List of the materials that need to be imported;
(viii) Other documents that need to be submitted. documents.
The documents in (a) and (c) of the preceding paragraph must be written in Chinese; (b), (d) and (e) can be written in a foreign language, but should be accompanied by a Chinese translation.
Two or more foreign investors **** with the application for the establishment of foreign-funded enterprises, shall be signed by a copy of the contract shall be sent to the approving authority for the record. Article 11 The approval authority shall decide to approve or disapprove the application for the establishment of a foreign-funded enterprise within 90 days from the date of receipt of all the documents of the application for the establishment of a foreign-funded enterprise. If the approval authority finds that the said documents are not complete or are inappropriate, it may request that they be made up or amended within a certain period of time. Article 12 After the application for the establishment of a foreign-funded enterprise has been approved by the approval authority, the foreign investor shall, within 30 days from the date of receipt of the certificate of approval, apply to the administrative organ for industry and commerce for registration and obtain a business license. The date of issuance of the business license of the foreign-funded enterprise shall be the date of establishment of the enterprise.
If the foreign investor fails to apply for registration with the administrative organ for industry and commerce within 30 days from the date of receipt of the approval certificate, the approval certificate of the foreign-funded enterprise shall automatically become invalid.
The foreign-funded enterprise shall apply for tax registration with the tax authorities within 30 days from the date of establishment of the enterprise. Article 13 A foreign investor may entrust a foreign-invested enterprise service agency or other economic organization in China to handle the matters stipulated in Articles 8, 9(1) and 10 of these Implementing Rules on his behalf, provided that a contract of entrustment is signed. (d) the total amount of investment, registered capital, source of funds, mode and duration of capital contribution of the foreign-funded enterprise;
(e) the organizational form and structure of the foreign-funded enterprise to be established and its legal representative;
(f) the main production equipment to be used and its old and new degree, production technology, process level and its sources;
(g) the direction, region and sales channels and mode of product sales;< /p>
(viii) Arrangements for the income and expenditure of foreign exchange funds;
(ix) Arrangements for matters relating to the setting up of institutions and staffing, recruitment, training, wages, welfare, insurance and labor protection of employees;
(x) The degree of environmental pollution that may be caused and the measures for solving it;
(xi) The choice of site and the size of the site;
(xii) Capital, energy and raw materials required for capital construction and production and operation and their solutions;
(xiii) Progress plan for the implementation of the project;
(xiv) Operation period of the proposed foreign-funded enterprise.