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Obstacle Report Rules on the Investment to Different Countries

 China import & export Policy
 2004-11-18 11:04:08


2004-11-18 09:20
  Chapter I The Purpose of Working out the Report Rules
  
  Article 1 The said Rules are formulated in accordance with Foreign Trade Law, Temporary Rules on the Investigation into Foreign Trade Barrier and related regulations for the purposes of stepping up “Go Abroad” strategy, carrying out well the follow-up management and service of the investment abroa
d, safeguarding the investors’ lawful rights and interests, creating a fine environment, promoting the development of the investment abroad.
  
  Article 2 Implementing Obstacle Report Rules on the Investment in Different Countries means Chinese commercial organs, chambers of commerce and enterprises abroad reflect all obstacles, barriers and related problems of Chinese enterprises meet with in their investment to host countries (regions) by
writing report annually and at irregular intervals. The report will be used by the Ministry of Commerce as one of the basic materials to work out and distribute annual Report on The Environment of Trade and Investment in Different Countries and provided to the competent department and domestic depar
tment concerned for reference. Domestic departments concerned should safeguard the lawful rights and interests of Chinese enterprises by multilateral and bilateral mechanism on the basis of keeping abreast of overall obstacles and problems Chinese enterprises meet with in the investment abroad.
  
  Chapter II Main Parts of the Report
  
  Article 3 The main parts of the report are all economic and commercial organs sent abroad, Chinese invested enterprises, chambers of commerce, associations abroad, Chinese invested enterprises and branches abroad (hereinafter referred to as “Chinese invested enterprises”) and their domestic invest
ors. They should report to the Ministry of Commerce in accordance with the requirements.
  
  Article 4 All economic and commercial organs sent abroad, Chinese invested enterprises, chambers of commerce and associations abroad should organize Chinese invested enterprises to exchange opinions and make discussions on the content of the report, listen to the overall opinions of Chinese invested
enterprises and implement annual report rules carefully. They should report to the Ministry of Commerce the problems that Chinese enterprises met with in the investment and business abroad in accordance with the requirements. Important issues should be reported at any time (Refer to appendix 1 abou
t the form of the report).
  
  Article 5 Chinese invested enterprises abroad and their domestic investors may put forward the report on one or several problems at any time or at irregular intervals in the light of the actual problems they meet with in their investment and business abroad (Refer to Appendix 1 about the form of the
report).
  
  Article 6 The Report is Written and Issued With Signature
  
  Chapter III Major Content of the Report
  
  Article 7 The report should reflect the actual situation and the problems that Chinese enterprises meet with in the investment and service trade in host countries (including project contact, labor service cooperation, design and advisory) strictly according to the facts.
  
  1. Whole situation of Chinese enterprises’ investment and business
  (1) The whole situation of Chinese enterprises in quantity, investment scale, industrial distribution and operation situation, and as well as universal problems they are facing;
  (2) Brief introduction of major projects invested by Chinese enterprises, including the name of the enterprises, the name of the domestic investors (Please give a clear indication, If the investment is made through a third country or region.), investment scale, the way of investment, major business
and products, operation situation and main problems.
  
  2. The obstacles and risks of investment environment
  (1) The laws and regulations the host countries promulgated that are detrimental to the investment of China;
  (2) Non-business obstacles and risks which bring cost burden to the enterprises in host countries, such as public security and safety, reputation of the enterprises, incorruption of the government, labor union, strike,public’s attitudes about foreign invested enterprises and the rules of festivals
and holidays;
  (3) The shortcomings that host countries affect the enterprises’ investment in supply of basic facilities and price, such as traffic, water, electricity, gas and communication;
  
  3. The barriers of the investment and service trade
  Following measures that the governments of host countries implement or support to implement and violate multilateral and bilateral agreements, and cause or may cause unreasonable obstacles, restrictions or damages to Chinese enterprises’ investment and service trade are regarded as investment barri
er or service trade barrier, and mainly divided into following parts:
  (1) Access barrier, such as imposing unreasonable restrictions on the access of Chinese investment, the members of WTO do not open some specified fields for Chinese investment in accordance with their promise. In bidding for project contracts, the government stipulates that Chinese companies are not
allowed to enter a bid unless they enter a bid together with local enterprises or promise to subcontract the project to local companies.
  (2) Operation barrier, such as imposing unreasonable restrictions on business activities of Chinese enterprises in production, supply, sales, persons, money and materials. Working visa is difficult to be issued. The working procedures of the government are not made clear to the public or the formali
ties are diverse and complicated.
  (3) Withdrawal barrier, such as imposing restrictions on withdrawal of Chinese investment or Chinese invested enterprises’ remittance of business interests.
  
  4. Suggestions on respondent measures
  The suggestions on respondent measures the report put forward in the light of above problems, obstacles and investment barriers
  
  Chapter IV Report and Publication of the Report
  
  Article 8 The report should be reported to the Department of Cooperation, related local departments and Bureau of Fair Trade of the Ministry of Commerce in written and through internet.
  
  The organs that have good conditions should make good use of the information exchanging system of administrative affairs of the Ministry of Commerce to submit the report. They may also fill in a form and send directly in the column of Report of Business Obstacles on the Investment in Different Count
ries in Cooperation Guidance subnet (WWW. MOFCOM.GOV.CN), or send to Processing Division of the Department of Cooperation through HZJG@MOFCOM.GOV.CN or to Barrier Investigation Division of Bureau of Fair Trade through BOFT_TBI@MOFCOM.GOV.CN.
  
  Article 9 The Ministry of Commerce will publish related contents of the report, express its attention to the problems in the investment environment of host countries and call the attention of the investment enterprises to avoid the risks through The Environmental Report on Trade Investment in Differ
ent Countries regularly on the basis of safeguarding the enterprises’ interests and business secrete.
  
  Chapter V Settlement Mechanism of the Problems in the Report
  
  Article 10 After the receipt of the report, the Ministry of Commerce will exchange ideas and consult with related departments in time and put forward their comments and the measures to solve the problems in the light of the problems in the report.
  
  Article 11 The Ministry of Commerce may help the enterprises to seek a solution to the problems in the report by high level exchanges, bilateral economic and trade commissions or other diplomatic channels.
  
  Article 12 If the problems in the report are related to investment barrier or service trade barrier, the Ministry of Commerce may start an investigation into them in accordance with the provisions of Temporary Rules on the Investigation of Foreign Trade Barrier.
  
  Chapter VI Supplementary Article
  
  Article 13 The interpretation of the said Rules shall be vested in the Ministry of Commerce.
  
  Article 14 The said Rules come into effect as of the promulgation.
  
  Appendixes:
  1. The Form of Obstacle Report on the Investment of Chinese economic and commercial organs, Chinese invested enterprises, chambers of commerce and associations abroad in Different Countries (Regions)
  2. The Form of Obstacle Report on the Investment of Chinese Invested Enterprises, Domestic Investors in Different Countries (Regions)
  
  
 

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