Decision of the State Council to Amend or Abolish Certain Administrative Regulations

Decision of the State Council to Amend or Abolish Certain Administrative Regulations

Decision of the State Council to Amend or Abolish Certain Administrative Regulations

Order of the State Council of the People's Republic of China No.732

November 29, 2020

The Decision of the State Council to Amend or Abolish Certain Administrative Regulations is hereby promulgated, and shall come into force as of the date of promulgation.

Li Keqiang, Premier

Decision of the State Council to Amend or Abolish Certain Administrative Regulations

In order to implement the Foreign Investment Law of the People's Republic of China (hereinafter referred to as the "Foreign Investment Law"), the State Council has sorted out the administrative regulations that are inconsistent with the Foreign Investment Law. Upon doing so, the State Council has decided to:

I. Amend some clauses of 22 administrative regulations.

II. Abolish the Administrative Measures for the Establishment of Partnership Enterprises in China by Foreign Enterprises or Individuals (Promulgated as the Order of the State Council of the People's Republic of China No.567 on November 25, 2009).

This Decision shall come into force as of the date of promulgation.

Appendix: Administrative Regulations Decided by the State Council to Be Amended

I. Paragraph 2 of Article 16 of the Regulations on the State Treasury of the People's Republic of China shall be deleted.

II. The phrase "foreign-invested banks and Sino-foreign joint venture banks" in Paragraphs 2 and 3 of Article 3 of the Interim Provisions on the Statistics and Monitoring of Foreign Debt shall be amended to read "foreign-invested banks".
The phrase "Sino-foreign equity joint ventures, Sino-foreign cooperative joint ventures and wholly foreign-owned enterprises" in Paragraph 1 of Article 5 shall be amended to read "foreign-invested enterprises".

III. The phrase "Sino-foreign equity joint venture or Sino-foreign cooperation" in Article 2 of the Administrative Measures for Public Security in the Hotel Industry shall be amended to read "foreign investment".

IV. The phrase "Sino-foreign equity joint venture and Sino-foreign cooperative" in Article 16 and Article 36 of the Implementing Rules of the Fisheries Law of the People's Republic of China shall be amended to read "foreign-invested".

V. Article 52 of the Interim Regulations of the People's Republic of China on the Assignment and Transfer of the Right to Use State-owned Land in Urban Areas shall be deleted.

VI. The phrase "Sino-foreign equity joint ventures or Sino-foreign cooperative joint ventures" in Item 3 of Article 3 of the Administrative Measures for the State-owned Assets Appraisal shall be amended to read "foreign-invested enterprises".

VII. The phrase "Sino-foreign cooperative" in Item 4 of Article 3, Item 2 of Article 6, Article 7, Article 8, and Item 1 of Article 12 of the Administrative Measures for the Participation of Foreign Firms in the Salvage of Sunken Ships and Objects in Chinese Coastal Waters shall be deleted.
The phrase "Ministry of Communications of the People's Republic of China" in Article 5, Article 8, and Paragraph 2 of Article 14 shall be amended to read "competent transport authority under the State Council".
The phrase "industry and commerce administration" in Paragraph 1 of Article 9 shall be amended to read "market regulatory department", and Paragraph 2 shall be deleted.
Article 19 shall be deleted.

VIII. The phrase "a Sino-foreign equity joint venture, a Sino-foreign cooperative joint venture or a wholly foreign-owned enterprise" in Item 3 of Article 4 of the Provisions on the Implementation of International Copyright Treaties shall be amended to read "a foreign-invested enterprise".

IX. The phrase "Chinese enterprises with legal personality (including wholly foreign-owned enterprises, Sino-foreign equity joint ventures, and Sino-foreign cooperative joint ventures)" in Item 4 of Article 8 of the Regulations on Administrative Protection of Agricultural Chemical Products shall be amended to read "Chinese enterprises".

X. The phrase "go through relevant examination and approval formalities in pursuance of the provisions of laws and administrative regulations on foreign-invested enterprises" in Article 6 of the Administrative Regulations on Urban Real Estate Development and Operation shall be amended to read "comply with the provisions of laws and administrative regulations on foreign investment".

XI. The phrase "operated by wholly foreign-owned enterprises, Sino-foreign equity joint ventures or Sino-foreign cooperative joint ventures" in Paragraph 2 of Article 10 of the Administrative Regulations on Radio and Television shall be amended to read "foreign-invested".
Paragraph 1 of Article 13 shall be amended to read: "Where the radio stations or television stations established by the administrative departments of radio and television of the people's governments at or above the levels of cities divided into districts and autonomous prefectures or the television stations established by the education administrative departments of the people's governments at or above the levels of cities divided into districts and autonomous prefectures change their station names, program scope, or number of sets of programs, and the radio stations or television stations established by the administrative departments of radio and television of the people's governments at the provincial level or above or the television stations established by the education administrative departments of the people's governments at the provincial level or above change the station signs, they shall be subject to the approval of the radio and television administrative department of the State Council. Where the radio stations or television stations established by the administrative departments of radio and television of the people's governments at the level of county or cities not divided into districts change station names, program scope, or number of sets of programs, they shall be subject to the approval of the radio and television administrative department of the provincial people's government."

XII. The sentence "where an enterprise as a legal person has foreign investment in its registered capital, the proportion of contribution of foreign investors in its registered capital or paid-up capital shall not exceed 35%, the proportion of the right to vote of the representatives of such foreign investors on the board of directors and the shareholders' meeting (board of shareholders) shall not exceed 35%, and the chairman of the enterprise as a legal person shall be a Chinese citizen" in Item 2, Paragraph 1 of Article 2 of the Regulations of the People's Republic of China on the Nationality Registration of Civil Aircraft shall be deleted.

XIII. Item 1 of Article 8 of the Implementing Rules of the Law of the People's Republic of China on the Protection of Investment by Taiwan Compatriots shall be amended to read: "1. establishing enterprises wholly or partially invested by investors of Taiwan compatriots (hereinafter referred to as "enterprises invested by Taiwan compatriots")".
Article 10 and Article 11 shall be deleted.
Article 18 shall be renumbered as Article 16, and Paragraph 1 shall be amended to read "Enterprises invested by Taiwan compatriots shall enjoy the autonomy of operation and management in accordance with the law."

XIV. Paragraph 1 of Article 10 of the Regulations on the Administration of the Printing Industry shall be amended to read: "Enterprises applying for engaging in the business of printing of publications shall present their business licenses to submit their applications to the administrative department for publications of the People's Government of the province, autonomous region or municipality directly under central government at the place where they are located, and a printing business permit shall be issued if the applications are examined and approved."
Article 14 shall be amended to read: "The state allows foreign investors and Chinese investors to jointly invest in the establishment of enterprises engaging in the business of printing of publications, and allows the establishment of foreign-invested enterprises engaging in the business of printing of packaging materials and other printed matter."

XV. Article 22 of the Administrative Regulations of the People's Republic of China on Technology Import and Export shall be deleted.
Article 39 shall be renumbered as Article 38, in which the phrase "documents provided for in Article 38 of the Regulations" shall be amended to read "documents provided for in Article 37 of the Regulations".

XVI. The phrase "Sino-foreign cooperative joint ventures" in Article 35 of the Administrative Regulations on Audio and Video Products shall be amended to read "foreign-invested enterprises".

XVII. The phrase "Sino-foreign equity joint ventures, Sino-foreign cooperative joint ventures and wholly foreign-owned enterprises" in Article 39 of the Administrative Regulations on Publication shall be amended to read "foreign-invested enterprises".

XVIII. Article 11 of the Regulations of the People's Republic of China on Certification and Accreditation shall be deleted.
Article 13 shall be renumbered as Article 12, and the phrase "administration for industry and commerce" in Paragraph 1 shall be amended to read "market regulatory department".
The phrase "inspection organizations" in Article 32, Paragraph 1 of Article 35, Article 36, Article 52, Paragraph 1 of Article 64, Paragraph 1 of Article 65, and Item 3 of Article 70 shall be deleted.
Article 33 shall be renumbered as Article 32.
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