Administrative Regulations of the People's Republic of China on Production Licenses for Industrial Products

Administrative Regulations of the People's Republic of China on Production Licenses for Industrial Products

Order of the State Council [2005] No.440

July 9, 2005

The Administrative Regulations of the People's Republic of China on Production Licenses for Industrial Products, adopted at the 97th executive meeting of the State Council on June 29, 2005, are hereby issued and shall come into force as of September 1, 2005.

Premier, Wen Jiabao

Administrative Regulations of the People's Republic of China on Production Licenses for Industrial Products

Chapter I General Provisions

Article 1 These Regulations have been formulated with a view to assuring the quality and safety of major industrial products that have a direct bearing on public safety, physical health, or the safety of life and property, implementing state industrial policy, and promoting the healthy and harmonious development of the socialist market economy.

Article 2 The state shall implement a production licensing system for enterprises that produce the following important industrial products:
1. Dairy produce, meat products, beverages, rice, flour, edible oils, alcohol and other foods that have a direct bearing on physical health;
2. Heated carpets, pressure cookers, gas-fired water heaters and other products that may endanger the safety of people or property;
3. Fiscal cash registers, money detectors, ground-level reception facilities for satellite television broadcasts, wireless radio and television transmission equipment and other products connected with financial stability and the safety and quality of communications;
4. Safety nets, safety helmets, building fasteners and other products that assure worker safety;
5. Electricity pylons, bridge supports, railway industrial products, water engineering metallic structures, hazardous chemicals and their packaging and containers, and other products that may affect production safety or public security; and
6. Any other product subject to an administrative production licensing requirement in accordance with laws and administrative regulations and in light of the provisions of these Regulations.

Article 3 The Catalogue of Industrial Products (hereinafter refers to as the Catalogue) that forms part of the production licensing system implemented by the state shall be formulated by the State Council department responsible for production licenses for industrial products together with the other relevant State Council departments, and after soliciting the opinions of consumer associations and industrial associations for the relevant products, shall be issued to the public after being submitted to the State Council for approval.
The production licensing system shall not apply to industrial products the quality of which can be effectively assured through consumer judgment, the self-discipline of enterprises and market competition.
The production licensing system shall not apply to industrial products the safety and quality of which can be effectively assured through a system of certification and authentication.
The State Council department responsible for production licenses for industrial products, together with the other relevant State Council departments, shall promptly evaluate and adjust, and gradually reduce, the scope of the Catalogue, and shall issue it to the public after submitting it to the State Council for approval.

Article 4 These Regulations shall govern the production, sale and use in the course of business activities of products listed in the Catalogue within the territory of the People's Republic of China.
The administration of imports and exports of products listed in the Catalogue shall be implemented in accordance with laws, administrative regulations and relevant state provisions.

Article 5 Any enterprise that has not obtained a production license for a product listed in the Catalogue shall be prohibited from producing the relevant product. No entity or individual may sell or use in the course of business activities any product listed in the Catalogue for which it has not obtained a production license.

Article 6 The State Council department responsible for production licenses for industrial products shall be responsible for the overall administration of production licenses for industrial products nationwide in accordance with these Regulations. Local departments at or above the county level responsible for production licenses for industrial products shall be responsible for the administration of production licenses for industrial products within their own administrative districts.
The state shall administer industrial products subject to the production licensing system on the basis of the standard Catalogue, standard inspection requirements, standard certification symbols and a standardized system of supervision and administration.

Article 7 Production licenses for industrial products shall be administered in accordance with the principles of systematization and justice, openness and transparency, legitimate procedures, and public convenience and efficiency.

Article 8 The departments at or above the county level responsible for production licenses for industrial products and their staff members, inspection institutions and inspectors shall have an obligation to maintain the confidentiality of national secrets and business secrets of which they become aware.

Chapter II Application and Acceptance

Article 9 Any enterprise that seeks to obtain a production license shall:
1. Have a business license;
2. Have the professional and technical personnel required for the products it produces;
3. Have production, inspection and quarantine facilities suitable for the products it produces; 4. Have technical and technological documents relating to the products it produces;
5. Have established a sound and effective quality control system and a system of responsibilities;
6. Have products that comply with relevant national standards, industrial standards and requirements designed to ensure personal health and the safety of personnel and property; and
7. Comply with state industrial policy provisions and not be involved in activities such as the use of any backward technique, high energy costs, pollution of the environment, or the wastage of resources, etc., prohibited by state proclamation or in which investment is prohibited.
The provisions of other applicable laws and administrative regulations shall also be followed.

Article 10 In accordance with the criteria prescribed in Article 9 of these Regulations, and in light of the differing characteristics of industrial products, the State Council department responsible for production licenses for industrial products shall formulate and issue specific requirements for obtaining production licenses for products listed in the Catalogue; where it is necessary to formulate specific provisions on specific requirements applicable to production licenses for products listed in the Catalogue, such provisions shall be formulated and issued in conjunction with the other relevant State Council departments.
In formulating specific requirements applicable to production licenses for products listed in the Catalogue, input shall be sought from consumers associations and industrial associations for the relevant products.

Article 11 Any enterprise that seeks to produce any product listed in the Catalogue shall apply to the department responsible for production licenses for industrial products within the relevant province, autonomous region or municipality directly under the Central Government for a production license.
Where a product currently being produced by an enterprise is listed in the Catalogue, the enterprise shall apply for a production license within the period of time prescribed by the State Council department responsible for production licenses for industrial products.
Enterprises may apply by way of letter, telegraph, telex, fax, electronic data exchange, email, or in any other way.

Article 12 After receiving an application from an enterprise, the department responsible for production licenses for industrial products within the relevant province, autonomous region or municipality directly under the Central Government shall handle the application in accordance with the relevant provisions of the Administrative Licensing Law of the People's Republic of China.

Article 13 No department responsible for production licenses for industrial products within a province, autonomous region or municipality directly under the Central Government nor any other entity shall impose any condition that has the effect of restricting any enterprise from applying for a production license.

Chapter III Examination and Decision

Article 14 After accepting an application from an enterprise, the department responsible for production licenses for industrial products within the relevant province, autonomous region or municipality directly under the Central Government shall arrange to carry out an examination on the enterprise.
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