The English version is for reference only. If there is any inconsistency or conflict between the English and Chinese version, the Chinese version shall prevail.

(Hu Fu Ban Fa [2013] No. 53)

All District/County People’s Governments, and all commissions, offices and bureaus of the Municipal Government:

Upon approval of the Municipal People’s Government, the Implementation Opinions of the Shanghai Municipal People's Government on Implementing the Opinions of the General Office of the State Council on Promoting the Growth Stabilization and Structural Adjustment of Imports and Exports is hereby printed and issued to you for your conscientious implementation.

General Office of Shanghai Municipal People's Government

September 23, 2013

Implementation Opinions of Shanghai Municipal People's Government on Implementing the Opinions of the General Office of the State Council on Promoting the Growth Stabilization and Structural Adjustment of Imports and Exports

In order to implement the Opinions of the General Office of the State Council on Promoting the Growth Stabilization and Structural Adjustment of Imports and Exports (Guo Ban Fa [2013] No. 83), make efforts to promote the steady growth of Shanghai’s foreign trade and accelerate the transformation of the development mode of foreign trade, the following implementation opinions are hereby proposed:

I. Playing the role of implementing pilot programs to further raise the integrated competitiveness of foreign trade

Expanding new trade services. The opportunity of construction of the China (Shanghai) Pilot Free Trade Zone shall be seized upon to accelerate the development of offshore trade, service trade, financial leasing, testing and maintenance and other new trade services and new types of business. It is necessary to gather the Asia-Pacific operations center and other functional headquarters of multinational companies to improve trade functions, support enterprises to coordinate international and domestic trade to achieve the integration of domestic and international trade, and carry out high-tech and high value-added maintenance services, promote the development of a domestic recycling industry and extended trade chain. The formation of the new competitive advantages in foreign trade with technology, brand, quality and service at the core shall be accelerated to raise Shanghai’s position in the global trade value chain. (Municipal Commission of Commerce, Municipal Development and Reform Commission, Municipal Commission of Economy and Informatization, and the Management Committee of the Shanghai Comprehensive Free Trade Zone)
Promoting the pilot programs of cross-border e-commerce. It is necessary to accelerate pilot programs of all kinds of cross-border e-commerce trade modes, optimize the supervision and service of Customs clearance, inspection and quarantine, settlement of exchange, tax return, statistics and other phases of cross-border e-commerce goods, establish a cross-border e-commerce market system, foster cross-border e-commerce comprehensive service enterprises, support professional service enterprises to provide cross-border e-commerce enterprises with market information, deal-making, e-payment, cross-border logistics, supply chain management and other services, and expand cross-border e-commerce and import and export scale. (Municipal Commission of Commerce, Municipal Development and Reform Commission, and Municipal Commission of Economy and Informatization)
Strengthening the monitoring and analysis of foreign trade operations. It is necessary to intensify foreign trade situation research and analysis, strengthen the monitoring of operations of import and export enterprises, activate the goods trade operation monitoring system of Shanghai, and make appropriate foreign trade operation analysis, order tracking and situation judgment. (Municipal Commission of Commerce, and Municipal Bureau of Statistics)

II. Improving tax policies to reduce operating costs of foreign trade enterprises

(IV) Intensifying the support for export tax refund. The efficiency of export tax refund examination shall be further improved, the progress of export tax refunds shall be accelerated, and timely tax refunds in full amounts shall be guaranteed. For tax refund applications with complete materials and meeting application conditions, the tax authority shall complete the examination within 20 working days from acceptance of the formal application and provide the examination results to the applicant. The tax authority shall actively help resolve the situation and problems reflected by enterprises during the implementation of the export tax refund policies and if appropriate timely report to the relevant national authority. (Shanghai Local Taxation Bureau)

(V) Rectifying import and export charges. The specifications on import and export clearance charges shall be further strengthened, operating service charges shall be rectified, and administrative and institutional charges shall be reduced, to effectively reduce enterprises’ foreign trade operating costs. (Municipal Development and Reform Commission, and Municipal Finance Bureau)

(VI) Exempting legal inspection fees for certain export commodities. From August 1, 2013 to December 31, 2013, inspection and quarantine fees for goods and means of transport, identification service fees for goods and means of transport, safety monitoring and special testing fees, lab testing and identification fees, examination and registration, certificate (document) issuance, inspection and re-inspection fees, sealing costs, isolation site (field) fee and other legal inspection fees for exported commodities shall be exempt. (Shanghai Entry-Exit Inspection and Quarantine Bureau)

III. Innovating financial service modes to ease enterprises' financial pressure

(VII) Improving trade financing services. Negotiation under guarantee for import, export factoring, loan under export insurance and other international trade financing services shall be energetically developed, and financial products and services meeting import and export trade requirements shall be innovated and optimized. Financial institutions are encouraged to innovate and enrich hedging products to help enterprises to effectively avoid the risk of exchange rate fluctuations. (Municipal Financial Service Office, Municipal Development and Reform Commission, Municipal Commission of Commerce, and SAFE Shanghai Branch)

(VIII) Intensify credit support to foreign trade enterprises. Financial institutions shall be driven to intensify financial support to import and export enterprises, and micro- and small-sized enterprise loan size of enterprises and projects with orders and profitable business shall be expanded. Import and export enterprises with market prospects shall be effectively screened by the industrial administration department and recommended to financial institutions in batches to promote effective match up between banks and enterprises and to guide financial institutions to increase financial support. (Municipal Commission of Commerce, and Municipal Financial Service Office)

(IX) Playing the role of SME financing guarantee service platform. It is necessary to perfect the functions of the small- and medium-sized foreign trade enterprise financing guarantee platform, support large- and medium-sized general foreign trade service enterprises to enhance cooperation with financing guarantee institutions, carry out financing guarantee business, play the role of re-guarantee mechanism, expand the coverage of small- and medium-sized foreign trade enterprise financing guarantee policies, and raise the enthusiasm of guarantee institutions to participate in small- and medium-sized foreign trade enterprise financing guarantee business. (Municipal Commission of Commerce, and Municipal Finance Bureau)

(X) Expanding the scale of credit insurance. More support shall be given to export credit insurance policies, the country credit limit of the short-term credit insurance and medium and long-term project insurance for emerging markets and developing countries shall be increased, the limit examination and approval rate and limit use rate shall be raised, and approval efficiency shall be improved. China Export & Credit Insurance Corporation Shanghai Branch’s role as the main channel of effecting insurance shall continue, and PICC Shanghai Branch shall be pushed to carry out short-term export credit insurance business, to improve market competiveness and expand the coverage of short-term insurance of small- and micro-sized enterprises. (Municipal Commission of Commerce, and Municipal Finance Bureau)

IV. Broadening market channels, and improving the ability of enterprises to take orders

(XI) Supporting enterprises to explore emerging markets. Enterprises are encouraged and supported to explore international markets, and priority is given to supporting SMEs to participate in major overseas exhibitions. Newly increased SME international market exploration funds shall be more favorable to emerging market exploration projects, and enterprises are organized and supported to focus on exploring Southeast Asia, the Middle East, Africa, South America and other markets. (Municipal Commission of Commerce, and Municipal Finance Bureau)

(XII) Accelerating the construction of overseas market networks. A wider range of support shall be given to enterprises in Shanghai to carry out the construction of overseas marketing networks by establishing exhibition trade centers, warehousing and logistics centers, marketing companies and other means and to extend trade service chains. Foreign trade enterprises shall be supported to explore international markets through e-commerces, and special assistance shall be given to a number of overseas marketing network projects with strong representation, good penetration and innovative modes. (Municipal Commission of Commerce, Municipal Development and Reform Commission, and Municipal Finance Bureau)

V. Optimizing trade structure and promoting the transformation and upgrade of foreign trade.

(XIII) Strengthening the linkage between industry and trade. Strategic emerging industries in Shanghai shall be promoted to take full advantage of global innovation resources, and energetic support shall be given to enterprises’ multinational operations. Enterprises are supported to introduce advanced technology, intellectual property, and key components and equipment with market potential and potential competitive advantage. The linkage between industry and trade shall be strengthened, Shanghai’s independent export brands shall be fostered, and international competitiveness shall be raised for the new generation of information technology, high-end equipment manufacturing, bio-tech, new energy, new material and other industries. (Municipal Commission of Economy and Informatization, and Municipal Commission of Commerce)

(XIV) Further promoting the construction of an import and export base. All kinds of special Customs supervision areas shall be supported to be transformed and upgraded to comprehensive free trade zones, and great impetus shall be given to the creation of industrial product quality and safety demonstration areas. Classified guidance and support shall be strengthened for ship, automobile and parts, bio-medicine, clothing, light industrial products and other export demonstration bases as well as design and trade promotion centers and international trade technical standard service centers, and the core competitiveness of foreign trade enterprises shall be raised. (Municipal Commission of Commerce, Municipal Commission of Economy and Informatization, Municipal Finance Bureau, and Shanghai Entry-Exit Inspection and Quarantine Bureau)

(XV) Actively expanding import trade. Waigaoqiao shall play its role of “national import trade promotion and innovation demonstration area”, and the development of bio-medicine, international machine tool, high-end automobile and other themed industrial parks shall be accelerated; the generative function of liquor, watches, cosmetics and other professional trading platforms shall be enhanced; the integrative development of domestic and international trade shall be promoted, support shall be given to establish country trade pavilions and country commodity centers, and the import of consumer goods shall be expanded; existing bulk commodity trading platforms shall be guided to carry out import trade, the integration of trade and finance shall be promoted, the scale of bulk commodities markets shall be expanded, and the right to fix prices of bulk commodities imported shall be enhanced. (Municipal Commission of Commerce, Municipal Development and Reform Commission, and the Management Committee of Shanghai Comprehensive Free Trade Zone)

(XVI) Accelerating the development of service trade. In combination with the “VAT in lieu of business tax” pilot programs, for enterprises included in the “VAT in lieu of business tax” pilot programs, cross-border tax payment service shall be provided, and if meeting policy requirements, exemption or zero tax rate may apply. For certain key service trade and service outsourcing enterprises identified, the pilot programs of RMB current account simplification shall be carried out, and the scale of cross-border service trade RMB settlement shall be further expanded. Conditions shall be created to procure advanced technology service enterprises to recognize pilot policies and promote the service outsourcing development of bio-medicine, software information, management consulting, data service and other key sectors. (Municipal Commission of Commerce, Municipal Science and Technology Commission, and Shanghai Local Taxation Bureau)

(XVII) Promoting the development of private enterprises. Enterprises shall be encouraged and supported to actively innovate business mode, small and medium private enterprises shall be pushed forward in terms of structural adjustment, reorganization and merger, and brand cultivation, assistance shall be given to coordinate solving of difficulties incurred during production, operation, and import/export, and a number of success cases and best practices shall be summarized and popularized. (Municipal Commission of Economy and Informatization, and Municipal Commission of Commerce)

VI. Raising service efficiency and improving trade facilitation

(XVIII) Adjusting legal import and export inspection and quarantine commodity directories. The work on cracking down on the export of counterfeit and inferior commodities shall continue to be effectively conducted. In addition, according to the announcement of the AQSIQ and the General Administration of Customs, export commodity inspection shall no longer be made on general industrial products under 1507 Customs commodity codes from August 15, 2013. (Shanghai Entry-Exit Inspection and Quarantine Bureau)

(XIX) Optimizing the cooperation between Customs and inspection authorities and the regional Customs clearance cooperation mechanism. “One-stop” and “Customs transfer facilitating” services shall be promoted. (Municipal Port Office, Shanghai Customs, and Shanghai Entry-Exit Inspection and Quarantine Bureau)

(XX) Lifting port clearance efficiency. The paperless reform of sea transport Customs clearance shall be orderly expanded to air transport and special Customs supervision areas, and the realization of Shanghai ports’ complete paperless Customs clearance and paperless release of inspection and quarantine shall be promoted. By the means of “pushing forward and moving backward”, enterprises shall be encouraged to solve classification, valuation, identification of country of origin and other professional and technical issues before Customs clearance, to further lift port Customs clearance efficiency. (Shanghai Customs, and Shanghai Entry-Exit Inspection and Quarantine Bureau)

(XXI) Raising the convenience level of Customs inspection. “Compliance accompanied by convenience” shall be further deepened and implemented, and the Customs inspection mechanism shall be optimized. Class AA import and export enterprises and Class A production-oriented enterprises shall be included in the “green channel” for management, and classification inspection and inspection split-flow shall be implemented from August 1, 2013. Except in special circumstances, import and export goods of Class AA operating entities and Class B or above application entities shall be subject to random checks of a low proportion. If inspection is required for goods moving in and out the special Customs supervision area, the inspection shall be carried out by Customs of the special Customs supervision area in such area, unless otherwise specified by laws and regulations. (Shanghai Customs)

(XXII) Perfecting Customs tax payment measures. The domestic sales of bonded warehoused goods shall be actively promoted to apply the pilot program of “approvals for one certificate” at a preferential tax rate, the preferential scope for preferential trade agreements and arrangements shall be expanded, Customs bonded warehousing and distribution preferential formalities shall be simplified, and the construction of regional enterprise logistics and distribution centers shall be boosted. The tax facilitation payment mode shall be expanded, payment phases and formalities shall be simplified, and tax e-payment proportions and business fields shall be further expanded. (Shanghai Customs)

(XXIII) Implementing new inspection and quarantine modes. Efforts shall be made to fully implement the “declaration and release” mode of imported goods in Shanghai this year and to allow enterprises to at their discretion choose any branch to go through entry and exit goods declaration, inspection, release and visa formalities. The favorable degree of “quick inspection and quick release” measures shall be raised, the number and scope of benefited enterprises shall be increased, and import and export goods Customs clearance shall be sped up. The pilot programs of “release upon inspection” on-site inspection mode shall be fully promoted in port areas and be actively studied and promoted gradually. (Shanghai Entry-Exit Inspection and Quarantine Bureau)

The Implementation Opinions shall come into force on the date of printing and issuance and shall remain effective until September 30, 2018.

Circular of the Management Committee of the China (Shanghai) Pilot Free Trade Zone on Beginning to Use the Seal of the Management Committee of China (Shanghai) Pilot Free Trade Zone and Ceasing to Use the Seal of the Management Committee of the Shanghai Comprehensive Free Trade Zone

All entities:

According to the requirements of the Shanghai Committee of the Communist Party of China in its Official Reply on the Formation of the Management Committee of the China (Shanghai) Pilot Free Trade Zone (No. 818 [2013], CPC Shanghai Committee), from September 29, 2013, the seal of the “Management Committee of China (Shanghai) Pilot Free Trade Zone” shall be used, and the use of the seal of “Management Committee of Shanghai Comprehensive Free Trade Zone” shall cease concurrently.

It is hereby notified.

Management Committee of China (Shanghai) Pilot Free Trade Zone

September 29, 2013

Provided by Lawyers Working Committee of Pudong New Area.