The State Council: dealing with discrimination in government procurement, bidding and tendering emphasizes the need to improve the bidding and tendering system

                                                                                                                                                                                                        Source: General Office of the State Council                                                             

 

         The General Office of the State Council recently issued the Action Plan for Steadily Promoting High-level Opening Up and Making Greater Efforts to Attract and Utilize Foreign Investment (hereinafter referred to as the "Plan")。

 

The Plan proposes to clean up behaviors and policy measures that violate fair competition。Timely handle the discriminatory acts against foreign-invested enterprises in government procurement, bidding and bidding, qualification licensing, standard setting, subsidies and other aspects reported by business entities, notify the responsible entities and rectify within a time limit。We will accelerate the formulation and introduction of standards for government procurement of domestic products, and in government procurement activities, products produced by domestic and foreign enterprises that meet these standards will be treated as equals。We will comprehensively review policies and measures that impede the unified market and fair competition。

 

The plan also pointed out that the revision of the bidding law should be accelerated。We will organize special efforts to address prominent problems in the field of bidding and tendering, focus on correcting problems that are strongly reflected by a number of business entities, and remove unreasonable restrictions that restrict enterprises of all forms of ownership from participating in bidding and tendering on an equal basis。

 

 

 

Notice of The General Office of the State Council on the issuance of the Action Plan for Steadily Promoting High-level Opening Up and Making Greater Efforts to Attract and Utilize Foreign Investment

 

Guochangfa (2024) No. 9

 

People's governments of provinces, autonomous regions and municipalities directly under the Central Government, ministries and commissions under The State Council:

 

The Action Plan for Steadily Promoting High-level Opening Up and Making Greater Efforts to Attract and Utilize Foreign Investment has been approved by The State Council and is hereby distributed to you. Please earnestly implement it。

 

General Office of the State Council　　　　　 

February 28, 2024　　　　　

 

The action plan to steadily advance high-level opening up and make greater efforts to attract and utilize foreign investment

 

Foreign investment is an important force to participate in the Chinese-style modernization drive and promote the common prosperity and development of the Chinese economy and the world economy。We will steadily advance opening-up at a high level and make greater efforts to attract and utilize foreign investment，必须坚持以习近平新时代中国特色社会主义思想为指导，Implement the new development concept in a complete, accurate and comprehensive manner，Better balance the domestic and international overall situation，We will create a market-oriented, law-based and internationalized business environment，Give full play to the advantages of China's ultra-large scale market，We will strengthen the confidence of foreign investment in China，Upgrade the quality and level of trade and investment cooperation。In order to implement the decision-making and deployment of the Party Central Committee and The State Council, the following action plans are hereby formulated。

 

First, expand market access and raise the level of foreign investment liberalization

 

1. Appropriately reducing the negative list for foreign investment access。We will improve the management system of pre-establishment national treatment plus a negative list for foreign investment, remove all restrictions on foreign investment in the manufacturing sector, and continue to open up the telecommunications, medical and other sectors。

 

2. Launching trials to expand access for foreign investment in science, technology and innovation。Beijing, Shanghai, Guangdong and other pilot free trade zones are allowed to select a number of qualified foreign-invested enterprises to expand pilot opening-up in the fields of genetic diagnosis and treatment technology development and application。Support information services (limited to app stores) and other areas of opening up measures in the free trade pilot zone better landing。

 

3. Expand access for foreign financial institutions in the banking and insurance sectors。On the premise of ensuring safety, efficiency and stability, support qualified foreign-funded institutions to carry out bank card clearing business according to law。We will deepen the opening up of commercial pension insurance, health insurance and other industries, and support qualified overseas professional insurance institutions to invest in and establish or participate in domestic insurance institutions。

 

(4) Expand the business scope of foreign financial institutions to participate in the domestic bond market。We will optimize procedures for foreign financial institutions to participate in the domestic capital market and further facilitate their participation in China's bond market。Support qualified foreign financial institutions to participate in domestic bond underwriting in accordance with regulations。We will study and steadily promote more qualified foreign banks to participate in the pilot trading of Treasury bond futures。

 

5. We will carry out trials of domestic investment by qualified overseas limited partners。We will expand the scope of the pilot program for qualified foreign limited partners, standardize the requirements for registered capital and shareholders of enterprises and funds managed by qualified foreign limited partners, and broaden the scope of investments that funds can make。We will improve the management measures for private investment fund services and encourage foreign investors to set up private funds and carry out various investment activities in accordance with the law。

 

Second, strengthen policy efforts to make it more attractive to foreign investment

 

6. Expand the catalogue of industries and the list of projects to encourage foreign investment。The national catalogue of industries encouraged by foreign investment gives more support to advanced manufacturing, new and high technology, energy conservation and environmental protection, and the catalogue of industries with advantages for foreign investment in the central and western regions gives more support to basic manufacturing, applicable technologies, and people's livelihood and consumption。We will actively support foreign investment projects in the fields of integrated circuits, biomedicine, and high-end equipment to be included in the list of major and key foreign investment projects, and allow them to enjoy corresponding support policies。

 

7. Implementing tax support policies。Enterprises with foreign investment that reinvest in projects within the territory of China and meet the conditions such as the catalogue of industries to encourage foreign investment may enjoy the tariff exemption policy for imported self-use equipment according to regulations。We will implement preferential tax policies for foreign investors investing in China's bond market and other financial markets。

 

8. Increasing financial support。We will encourage financial institutions to provide high-quality financial services and financing support for qualified foreign-funded projects in accordance with market-based principles。Support qualified foreign-invested enterprises to issue RMB bonds in China for financing and domestic investment projects。We will promote the implementation of foreign exchange management facilitation policies for cross-border trade and investment, and continue to make foreign exchange business more convenient for foreign-invested enterprises。

 

(9) Strengthening energy use guarantees。We will improve regulation of total energy consumption and its intensity, with a focus on controlling fossil energy consumption, implement policies that exclude raw material energy use and non-fossil energy consumption from total energy consumption and intensity control, and ensure that the rational energy use needs of foreign-funded projects are guaranteed on an equal basis。Accelerate the promotion of green certificate transactions and cross-provincial green electricity transactions to better meet the green electricity needs of foreign-invested enterprises。

 

10. Supporting the central and western regions and the Northeast in undertaking industrial relocation。We will encourage the central and western regions and the Northeast to give full play to their comparative advantages, and formulate policies and measures to reduce the cost of land, energy, labor, and logistics for manufacturing enterprises in light of local conditions。We will plan and integrate key development zones in the central and western regions and northeast China, pair up with the eastern region to carry out industrial transfer cooperation with foreign investment, and establish and improve the mechanism and implementation rules for project promotion, cadre exchanges and revenue sharing。

 

Third, optimize the level playing field and do a good job in providing services for foreign-invested enterprises

 

(11) Sorting out acts and policy measures that violate fair competition。Timely handle the discriminatory acts against foreign-invested enterprises in government procurement, bidding and bidding, qualification licensing, standard setting, subsidies and other aspects reported by business entities, notify the responsible entities and rectify within a time limit。We will accelerate the formulation and introduction of standards for government procurement of domestic products, and in government procurement activities, products produced by domestic and foreign enterprises that meet these standards will be treated as equals。We will comprehensively review policies and measures that impede the unified market and fair competition。

 

12. Improving the bidding and tendering system。We will accelerate the revision of the Law on tendering and bidding。We will organize special efforts to address prominent problems in the field of bidding and tendering, focus on correcting problems that are strongly reflected by a number of business entities, and remove unreasonable restrictions that restrict enterprises of all forms of ownership from participating in bidding and tendering on an equal basis。We will formulate rules for the review of fair competition in the fields of bidding and tendering, strengthen rigid constraints on the review of fair competition, and avoid issuing policy documents that exclude and restrict fair competition。

 

(13) Fair participation in the revision of standards。Support foreign-invested enterprises to participate in the standardization technical committees of advanced manufacturing, engineering materials, information and communications or relevant standardization organizations under the same conditions, and participate in the formulation and revision of standards on an equal footing according to law。Timely disclosure of information on national standards to improve the transparency and openness of standardization work。

 

14. Making administrative law enforcement more scientific。Strictly implement the administrative law enforcement publicity system, strictly implement the list of administrative inspection items, resolutely avoid repeated inspections, promptly correct irregular administrative law enforcement behaviors, and gradually implement off-site supervision with remote supervision, early warning and prevention and control as the main characteristics。

 

(15) Continue to build the "Invest in China" brand。Relying on important exhibition platforms, we will carry out key investment promotion activities of "Invest in China" to showcase China's high-quality business environment and investment opportunities to foreign investors in an all-round way。We will establish and improve working mechanisms, give full play to the role of Chinese diplomatic and consular missions in doing business, and support local governments in combining "going global" and "inviting people in" to attract investment on a regular basis。International industrial investment cooperation docking activities will be organized to promote more project negotiation and signing。

 

(16) Strengthening services for foreign-invested enterprises。We will make good use of platforms such as the Roundtable on foreign-invested enterprises, deepen regular exchanges with foreign-invested enterprises, associations of foreign chambers of commerce, and international organizations, respond to the concerns of all parties in a timely manner, and provide targeted services。Improve the inter-departmental coordination mechanism for complaints by foreign-invested enterprises at all levels, improve the direct contact system for foreign-invested enterprises, smooth communication channels, and promptly understand and promote solutions to the problems and reasonable demands of foreign-invested enterprises。Implement the foreign investment information reporting system, continue to promote departmental data sharing, and the information that can be obtained through departmental information sharing shall not require foreign-invested enterprises to submit twice。

 

Fourth, smooth the flow of innovation factors and promote innovation cooperation between domestic and foreign-funded enterprises

 

(17) Support data flow between foreign-invested enterprises and headquarters。To standardize cross-border data security management, organize and carry out data exit security assessment, standardize personal information exit standards contract filing and other related work, and promote the cross-border safe and orderly flow of research and development, production, sales and other data of foreign-invested enterprises。To formulate standards for cross-border data transfer in the Guangdong-Hong Kong-Macao Greater Bay Area，Relying on major cooperation platforms such as Hengqin Guangdong-Macao Deep Cooperation Zone and Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone，Establish a mechanism for cross-border data flow between Hong Kong and Macao enterprises，We will explore the establishment of a "white list" system for cross-border data flows，Steadily promote the convenient flow of data within the Guangdong-Hong Kong-Macao Greater Bay Area。

 

(18) Facilitate the exchange of international business personnel。To provide convenience for foreign businessmen to apply for visas to China, the validity period of visa entry for managers and technical personnel of foreign-invested enterprises and their accompanying spouses and minor children will be relaxed to two years。We will accelerate the resumption of international flights at key aviation hubs such as Beijing, Shanghai and Guangzhou。

 

19. Improving the administration of foreigners' work and residence permits in China。We will optimize the processing process for foreigners' work permits and work residence permits in China, adopt a "one-step acceptance and parallel approval" approach, and form a more efficient and efficient approval mechanism。Strengthen departmental coordination to facilitate the work, stay and permanent residence of imported foreign talents in China。

 

20. Supporting cooperation and innovation between domestic and foreign institutions。We will fully implement the international science and technology cooperation plan under the new circumstances, and support foreign-invested enterprises, R&D institutions, and multinational corporations established in China to participate on an equal footing in national science and technology programs such as key national research and development programs and major national science and technology projects。

 

Fifth, improve domestic regulations and better align with high-standard international economic and trade rules

 

(21) Strengthening intellectual property protection。We will integrate high-standard international rules on intellectual property rights, improve regulations on intellectual property protection, accelerate the building of a national information platform for intellectual property protection, strengthen the system for protecting trade secrets, and thoroughly implement the work plan for administrative protection of intellectual property rights。Focus on key areas and key links, and strengthen the protection of intellectual property rights of foreign-invested enterprises。We will intensify investigation and punishment of intellectual property infringement cases, and resolutely crack down on and punish violations of intellectual property rights of foreign-invested enterprises。

 

(22) Improving rules on cross-border data flow。Define the scope of important data scientifically。We will fully and deeply participate in the WTO e-commerce negotiations and accelerate the establishment of global digital trade rules。We will explore pilot projects for cross-border data flows with members of the Digital Economy Partnership Agreement, accelerate the establishment of cooperation mechanisms for cross-border data flows with major economic and trade partners and regions, and promote the building of a multi-tiered global digital partnership network。

 

(23) Actively promote the negotiation and implementation of high-standard economic and trade agreements。China has actively promoted China's accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the Digital Economy Partnership, taken the initiative to promote domestic reforms in relevant fields in accordance with relevant rules, regulations, management and standards, and promoted the incorporation of some high-standard economic and trade rules into the Mainland's arrangements with Hong Kong and Macao on closer economic and trade relations。We will promote the negotiation and signing of free trade agreements with more countries and regions, and expand the network of high-standard free trade areas facing the world。

 

24. Intensify trials to align high-standard international economic and trade rules。We will give full play to the leading role of the national comprehensive demonstration zones in opening up the service sector, accurately match the needs of industrial development, take the lead in building a service sector opening up system that is in line with international high standards of economic and trade rules, and expand the integration of pilot areas in opening up the service sector at an appropriate time。We will support conditional pilot free trade zones and the Hainan Free Trade Port to align with high-standard international economic and trade rules based on national conditions, and take the lead in exploring and implementing the outcomes of World Trade Organization negotiations on domestic regulations on trade in services, investment facilitation, and digital trade。

 

All regions and departments should thoroughly implement the deployment requirements of the Party Central Committee and The State Council on expanding high-level opening up, take the initiative to implement, and effectively enhance the sense of gain of foreign-invested enterprises。All regions should make greater efforts to create an environment and improve services, take the practical problems of concern to foreign-invested enterprises as breakthroughs, be good at solving problems with innovative thinking, and consolidate confidence in the development of foreign investment in China。All departments should pay close attention to the elaboration of various tasks, formulate timetables and road maps, and promote the implementation of policies and measures。The National Development and Reform Commission, together with relevant departments, should strengthen guidance and coordination, track and evaluate the effect of the implementation of various policies, sum up experience in a timely manner, and replicate and promote。Timely request instructions and report to the Party Central Committee and The State Council on major matters。