Article 1 The Measures are formulated in accordance with the laws and regulations of the People's Republic of China governing foreign investment and foreign trade to further promote and develop foreign trade, deepen open-up and foreign investment absorption. The setup of Foreign Invested Export-Oriented Procurement Cent er ( hereinafter referred to as FIEPC) in China shall comply with the Measures.
Article 2 FIEPC as used in this Measures shall refer to a wholly foreign owned enterprise or Chinese-foreign equity joint venture set up in China , undertaking export-oriented procurement business. FIEPC shall take the form of a limited liability company
Article 3 The foreign investor applying for the setup of FIEPC shall have multi-national marketing networks and export-oriented procurement capability. The Chinese investor applying for the setup of an equity joint venture FIEPC shall be good in credit and economically capable of establishing FIEPC
Article 4 Register capital of FIEPC should be no less than 30 million RMB. Capital contribution of Chinese and foreign investors should comply with current regulation.
Article 5 Foreign investor can set up FIEPC with the investment from its investment company in China .
Article 6 To establish FIEPC, following materials shall be submitted to Ministry of Commerce after the preliminary examination and approval of the department in charge of commerce at provincial level, where the FIEPC is to be set up
A. Application
B. Certificate of legal person registration and bank credit certificate of the investing party (photocopy)
C. Feasibility Study Report and Articles of Association (Joint venture contract is required for JV FIEPC)
D. Member list and resumes of the directorate
E. Notice for preliminary verification and approval of the enterprise name by Administration of Industry and Commerce Ministry of Commerce shall, within 30 working days from receiving all the above materials, make the decision on whether to approve the application.
Article 7 A FIEPC may run the following business:
A. Exporting domestic products, providing export-related storage, consultation and technology services.
B. Importing raw materials, consigning other companies to process the imported materials and re-exporting final products.
C. Importing sample products used for export-oriented domestic procurement. Quantity and value of imported samples should comply with the regulations on importing samples by Customs.
Article 8 For exporting commodities under the state quota or permit control, FIEPC must apply for and obtain quota or permit in accordance with related laws and regulations. As for exporting commodities under the state control of quota bidding, FIEPC must tender for bids in accordance with the bidding regulations set down by the supervisory department.
Article 9 FIEPC shall be in conformity with the existing provisions on foreign exchange when opening foreign exchange account for foreign exchange revenue and expenditure.
Article 10 Export VAT rebate regulation of foreign invested investment company shall apply to FIEPC established outside Free Trade Zone; Export VAT rebate regulation of company inside Free Trade Zone shall apply to FIEPC set up in Free Trade Zone.
Article 11 Regulation of Chinese-foreign Equity Joint Foreign Trade Corporations on import, processing consigning and re-exporting business shall apply to FIEPC engaging in similar business. FIEPC IS generally required to export all the products process. In case that export is not impossible, FIEPC shall apply to provincial level business department for the written approval of domestic sales in accordance with relevant regulation on processing trade (Documentation to Ministry of Commerce is required at the same time). In case import permit is required by relevant regulation, FIEPC shall apply for and obtain import permit. Customs pay tax evaded and examine according with permit of sale in domestic market, and importing license to process. Tariff levy and customs clearance shall be carried out for the said domestic sale products according to relevant approval and import permit.
Article 12 The present measures shall apply to FIEPC set up by investors from Hong Kong , Macao Special Administrative Region, and Taiwan in other area of China , except for situation subject to special regulation.
Article 13 The power to interpret the present Measures shall remain with the Ministry of Commerce, General Administration of Customs, State administration of Taxation and State Administration of Foreign Exchange.materials, make the decision on whether to approve the application.
Article 14 The present Measures shall come into force after 30 days as of the date of promulgation.
Promulgated by Ministry of Commerce, General Administration of Customs, State Administration of Taxation and State Administration of Foreign Exchange on November 17, 2003. |
