Notification on Measures to Promote Foreign Direct Investment [Xia Fu (2018) No.111] is issued by Xiamen Municipal People's Government and distributed to all district governments, departments directly under municipal government, administrative committees of development zones and all the other related departments in Xiamen for their implementation.
Xiamen Municipal People's Government April 13, 2018
Notification on Measures to Promote Foreign Direct Investment in Xiamen
According to Notification issued by State Council on Measures to Further Open Up and Actively Utilize Foreign Direct Investment [Guo Fa(2017)No.5], Notification on Measures issued by State Council to Promote the Growth of Foreign Direct Investment [Guo Fa(2017)No.39], and Notification issued by Fujian Provincial People's Government on Scheme to Implement the State Council's Measures on Promoting Foreign Direct Investment [Min Zheng(2017)No.42], and in light of the situation in Xiamen, Xiamen Municipal People's Government draft the following measures to further promote foreign direct investment, attract high quality foreign investment to facilitate industry upgrading.
I. Open wider to foreign investment
(1) An overall implementation of pre-establishment national treatment and negative list management system
The negative list on foreign investment with trial implementation in Pilot Free Trade Zone is to be implemented in the whole city. Local investment environment is to be further improved by accelerating the opening up, transparency and standardization.
(Competent Authority: Xiamen Development & Reform Commission (DRC), Bureau of Commerce, Bureau of Market Supervision and Administration, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(2) Further expand market access for foreign investors
Closely follow the national time table and road map for expanding market access and grasp the opportunity to introduce investment into major industrial chains (clusters) in flat panel displays, computer and communication devices, IC, machinery and equipment, tourism &MICE, modern logistics, software and information service, financial service and cultural creativity.
(Competent Authority: DRC, Bureau of Commerce, Bureau of Economic and Information Technology, Bureau of Science and Technology, Bureau of Transportation, Commission of Tourism Development, Municipal Office of Finance, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
II. Further boost foreign investment
(3) Incentives to encourage new foreign-invested enterprises to have actual paid-in foreign capital
From 2018 to 2022, newly established foreign-funded enterprises investing on Xiamen priority industrial projects (excluding M&A projects) with yearly actual paid-in foreign capital of USD10 million or above (excluding loans from foreign shareholders) will be rewarded as follows: (a) A one-off reward equivalent to 2% of the total yearly actual paid-in foreign capital is offered with the capping of RMB20 million for a single enterprise. (b) When the yearly actual paid-in foreign capital reaches over USD10 million or above, starting from the first year when VAT is paid, the enterprise will receive a reward equivalent to 100% of its contribution to the locally retained part of corporate income tax and VAT for the first 2 years, and 50% in the following 3 years.
(Competent Authority: Bureau of Commerce, DRC, Bureau of Finance, Bureau of Economic and Information Technology, Xiamen State Taxation Bureau, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(4) Encourage existing foreign-invested enterprises to have actual paid-in foreign capital
Foreign-invested enterprises established before January 1 of 2018 with investment in Xiamen priority industrial projects will enjoy a reward equivalent to 2% of its yearly actual paid-in foreign capital with the capping of RMB20 million on the condition that the yearly actual paid-in foreign capital of USD10 million or over is realized during 2018 and 2022 period.
(Competent Authority: Bureau of Commerce, DRC, Bureau of Finance, Bureau of Economic and Information Technology, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(5) Encourage high quality foreign M&A
Overseas investors with high quality are encouraged to establish foreign-invested enterprises by acquiring local enterprises and to take part in the mixed ownership reform carried out on SOEs. Besides, streamlined procedures and lower bars are applied to those participating the restructuring of local enterprises. Work needed to achieve the goal includes setting up a database of potential target projects and a panel consisting of qualified and experienced law firms, accounting firms and M&A consulting institutes to guide the candidate enterprises. In terms of incentives, from 2018 to 2022, a foreign-invested enterprise established through an M&A project (either equity or capital M&A) with a yearly actual paid-in foreign capital of over USD10 million will receive a reward equivalent to 2% of the actual paid-in foreign capital. The maximum reward is RMB20 million for an enterprise.
(Competent Authority: Bureau of Commerce, Bureau of Finance, DRC, Xiamen State Asset Commission, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(6) Encourage existing overseas investors to sustain investment growth in Xiamen
In case the profits distributed to existing overseas investors from domestic resident enterprises are directly invested in the projects which fall within the encouraged sectors in Catalogue of Industries for Guiding Foreign Investment, the said investment, upon meeting prescribed conditions, is entitled to the policy of deferred tax payment and suspended withholding corporate income tax.
(Competent Authority: Xiamen State Taxation Administration, Xiamen Local Taxation Administration, Bureau of Finance)
(7) Encourage overseas listed companies to invest back to Xiamen
Fast track of administrative service is provided to investment projects made by Chinese companies listed in overseas markets. Governmental departments will coordinate to help out in dealing with problems arising and in obtaining supporting policies from the State, provincial or municipal level. Incentives are awarded to the mentioned investors based on Opinions Issued by Xiamen Municipal People's Government on Facilitating Public Listing Process [Xia Fu (2016) No.362]
(Competent Authority: Municipal Office of Finance, DRC, Bureau of Finance, Bureau of Commerce, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(8) Support foreign-invested R&D projects and institutions
Foreign entities are supported to establish R&D centers either in cooperation with domestic and foreign companies or with scientific institutions and to establish creative platforms such as technology innovation centers, corporate technical centers and PhD scientific research stations. Qualified foreign-invested enterprises are awarded with weighed deduction of R&D fees, and R&D subsidy and enjoy other preferential policies designed for new and hi-tech enterprises, creative platforms and scientific research institutes. Full refund of VAT is offered accordingly for foreign-invested R&D institutes' purchase of domestically manufactured lab equipments. Meanwhile, in order to facilitate the operation of creative platforms and encourage investment of foreign R&D, streamlined import procedure is applied to research-used samples, specimens and reagents.
(Competent Authority: DRC, Bureau of Economic and Information Technology, Bureau of Finance, Xiamen Customs, Xiamen Entry-Exit Inspection & Quarantine Bureau)
III. Further attract and retain talents
(9) Incentives for talents
From 2018 to 2022, for foreign-funded enterprises with investment in Xiamen priority industrial projects and with yearly actual paid-in foreign capital over USD10 million, their employees will enjoy the following incentives:
A. Employees paying an income tax of RMB80,000 and above can be refunded out of the locally retained portion of personal income tax.
(a)50% refund for paid income tax at RMB80,000;
(b)75% refund for the portion between RMB80,000 and RMB250,000
(c)100% refund for the portion exceeding RMB250,000
B. Non-Xiamen residents with personal income tax more than RMB50,000 are eligible to purchase commercial housing as Xiamen residents.
C. Non-Xiamen residents can obtain local household registry if they continue the contract after serving the enterprise for 3 years and have paid social pension insurance.
(Competent Authority: Bureau of Human Resource & Social Security, Bureau of Public Security, Bureau of Finance, Bureau of Land, Resources and Housing Administration, DRC, Bureau of Commerce, Administration of Local Taxation, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
IV. Further optimize business environment
(10) Land–use support
Fast track of administrative service is provided for foreign-invested projects which fall within the encouraged sectors in Catalogue of Industries for Guiding Foreign Investment and which have intensive use of land. And foreign-invested enterprises are encouraged to adopt the industrial land which is preferably available in the form of "leasing before purchasing".
(Competent Authority: Bureau of Land, Resources, and Housing Administrations, Commission of Planning, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
(11) Provide better service for foreign investment
Accelerate the reform of "Integrating multiple certificates of varied formalities into one unified business certificate". Business registration and collection of information required by various departments will be integrated into one step and the information will be shared online. Administrative examination & approval and service provided will be operated online. Service mechanism of both the city level and the district level will be established to facilitate the investment and operation of Xiamen priority industrial projects. A monitoring and service mechanism is to be established to deal with complaints, strengthen communication and tackle other issues arising in the whole process and even after, which attracts and retains investors by creating an investor friendly environment.
(Competent Authority: Xiamen Commission of Administrative Center, Bureau of Market Supervision & Administration, Bureau of Commerce, DRC)
(12) Strengthen contract honoring and commitment fulfilling
Strengthen government credit construction. Policy commitment made to investors or foreign-invested enterprises must be duly fulfilled. Contracts signed in various investment promotion events must be honored. In case of any modification or change required by the concern of national interest, public interest or other legal reasons, lawful authority and procedures must be observed.
(Competent Authority: Bureau of Legislative Affairs, district governments, FTZ Committee, Administration of Torch Hi-Tech Park)
V. Others
(1) Applicant enterprises for the above-mentioned incentives shall not transfer registration location out of Xiamen within 10 years and shall not reduce the registered capital during the period. The aggregate annual reward or subsidy that an enterprise obtains according to the above-mentioned incentives (excluding reward for newly established foreign-invested enterprises on its paid-in capital) shall not exceed the total locally retained portion of the enterprise’s corporate income tax and VAT in the same year. If the reward or subsidy outnumbers the locally retained portion, the extra amount can be redeemed in the following years. If the incentives covered by this Notification overlap with other municipal-level incentives in Xiamen, the enterprise should choose either one instead of being entitled to both.
(2) All the related incentives in this Notification shall be implemented by the district-level governments (or the administration of development zones) where the investment projects locate, while the incentive funds are allocated by the financial authorities of both the municipal and the district governments (or the administration of development zones) based on the current financial system. Industry administrative departments, district governments (or administration of development zones) can adopt their own supporting policies to promote the growth of foreign investment. Any individualized support incentives for major foreign-invested projects will be submitted, on case–by-case basis, to the CPC Xiamen Municipal Committee and Xiamen Municipal Government for approval.
(3) Xiamen Priority Industries are referred to the Xiamen Guiding Catalogue of Priority Industries.
(4) Xiamen Municipal Bureau of Commerce and Bureau of Finance are competent authorities to interpret the measures in this Notification and other concerned departments are responsible to adopt specific approaches to make sure the measures are fully implemented.
(5) The measures are valid for 5 years since the day of issuance, except for those with special time period specified.
The translation is for reference only. In case of any discrepancy, the Chinese version should prevail.
Annex
Xiamen Guiding Catalogue of Priority Industries (2018)
I. Flat panel display, optoelectronic products
1. Manufacturing of High-resolution new semiconductor display devices includes Micro-LED, quantum dot display panel, LCD panel, LTPS, OLED, LD, Flexible display, 3D display.
2. Manufacturing of new electronic components includes SMC, frequency components, HIC, electrical and electronic components, optoelectronic components, sensing components, sensors, new electromechanical components, HDPCB and flexible PCB.
3. Core Material and key components required by manufacturing new display including glass substrate, flexible plastic substrate, optical filter, polarizer, photomask, driver and touch control IC, ITO and its replacement, BEF, diffuser, target of reflect sheet.
4. R&D and manufacturing of LED lighting, smart lighting, healthy lighting and its peripherals, chips, encapsulations.
II. Computers and communication devices
1. Manufacturing of high performance computers including universal servers, cloud computing servers, cloud storage devices and supporting power supply systems.
2. Design and manufacturing of industrial control system based on computer and AI, automatic manufacturing equipment, high-performance core components and peripherals of computers.
3. Manufacturing of consumer mobile terminals, smart terminals, and software and hardware design, industrial design and structural design.
4. Design of network core devices and complete unit of wireless telecom device and mainboard systems.
5. Manufacturing of core components for consumer mobile terminals and smart terminals, such as smart modules, and LCMs.
6. Design and manufacturing of robots, Unmanned Aerial Vehicles (UAVs), auto-pilot systems, automatic control systems including core components for sensing, analyzing and processing.
7. R&D and manufacturing of network core devices and network security products in mobile network, the Internet and private industry network.
8. Manufacturing of core electronic components including new components, key electronic material and special electronic devices.
9. Manufacturing of core network devices and network access equipment based on 4G and 5G.
10. R&D, manufacturing and servicing of key components, application terminals, positioning and information systems related to Beidou Navigation Satellite System (BDS) and commercial low earth orbit satellites (LEOS).
11. Manufacturing of equipment for Internet of Things (IoT) and IoT gateways including IoT terminals, Near Field Communication (NFC) nodes and smart sensors, multi-purpose sensors, chemical and biological quantity sensors.
12. R&D and manufacturing of core components of electronics, communication, control, power and network for high-end equipment such as rail transport, aerospace, green energy system of new energy automobiles.
13. R&D and industrialization of wearables used in information, recreation, sports and fitness, health and medicine, military and other special purposes; Manufacturing of wearables with proprietary IP rights such as helmets, glasses, wrist watches, bracelets, pendants and exoskeletons.
14. Research and application of smart furniture including wireless communication, routers, security control, HCI technology and smart furnishings with self-learning capability backed by the Internet.
15. R&D and manufacturing of VR and AR technology/ equipment.
III. IC
1. IC design
2. Manufacturing techniques or OEM in IoTs, smart terminals, automobile electronics, smart grid, and industrial control.
3. Manufacturing of power devices such as 8 inches (and above) IGBT and MOSFET and MEMS.
4. R&D and manufacturing of the 3rd generation compound semiconductors.
5.R&D and industrialization of advanced packaging and testing technology for BGA, PGA, FPGA, CSP, MCM, SIP, WLP, TSV, FOPLP and FOWLP.
6. Manufacturing of advanced packaging substrates.
7. Manufacturing of etchers, ion implanters, multi-wire saws, automatic packaging systems, and automatic wafer testing machines.
8. Manufacturing of monocrystalline silicon, silicon epitaxial slices, target materials, photoresists, high purity chemical reagents, bonding wires, molding compounds.
IV. Mechanical equipment
(a) Aerospace
1. Design, manufacturing and maintenance of civil aeroplanes including helicopters and their parts/ components.
2. Design, manufacturing and maintenance of aeroengines, parts/ components and Auxiliary Power Unit (APUs).
3. Aircraft ground equipment manufacturing.
4. Development and manufacturing of aircraft ground simulation training systems.
5. Aviation service industry including aero-technology service, modern aviation logistics, commercial air service, airline operation support and leasing of aircrafts and equipment.
6. Industrialization of satellite utilization including satellite communication systems, satellite navigation systems, satellite remote sensing systems.
(b) Automobiles
1. Complete new-energy car manufacturing: Electric Vehicles (Evs), Plug-in Hybrid Electric Vehicles (PHEVs) and Fuel Cell Electric Vehicles (FCEVs).
2. R&D and manufacturing of key components and parts for new energy car batteries, electric motors, electrical control systems including cathode materials, separators, battery management systems, drive motors, plug-in hybrid electromechanical coupling drive systems, electromechanical management systems.
3. R&D on battery recycle and reuse technology for new energy automotive vehicles, and manufacturing of related equipment.
4. R&D centers for core technology of new energy car engines and batteries, electrical motors and electrical controls.
5. R&D and manufacturing of main parts and components for cars.
(c) Engineering Machinery
1. R&D and manufacturing of advanced forklift trucks, loaders and diggers.
2. Main parts/ components manufacturing for hydraulic, transmission and control systems.
(d) Power transmission and distribution equipment
1. R&D and manufacturing of smart grid equipment and smart micro grid control equipment.
2. Manufacturing of medium voltage switches, smart integration of 1st and 2nd switches, outdoor switches.
3. Manufacturing of high voltage DC distribution devices.
4. Manufacturing of power transmission, distribution and control equipment.
5. R&D and manufacturing of battery charging and changing devices for new energy vehicles.
6. R&D and manufacturing of low voltage electrical smart equipment for IoTs for civil or commercial use.
7. R&D and manufacturing of composite material for electric circuits.
8. Manufacturing of core components for city rail transport and of automatic system assemblies.
9. R&D of energy storage technology, and manufacturing of key raw material and supporting equipment.
(e) Shipping industry
1. Design, development and manufacturing of luxury cruisers, sightseeing yachts, sailboats, RoRo ships and high-performance law enforcement boats.
2. Design and manufacturing of low and medium speed diesel engines and parts for boats.
(f) Smart manufacturing equipment and systems
1. Manufacturing of intelligent service robots and their key components/ parts including industrial robots, special service robots, health and rehabilitation robots, public service robots and personal service robots.
2. Development and application of robot operation systems, cloud service platforms, systematic integration platforms and industrial software.
3. Manufacturing of multi-parameter integrated sensors and sensors of self-calibration, self-diagnosis and self-compensation.
4. Manufacturing of all-digital open Computer Numerical Control (CNC) system, high-precision, high-efficiency speed reducers, high-performance low cost controllers, high-definition absolute grating rulers, encoders, servo motors and drivers.
V. New materials
1. R&D and industrialization of new functional materials such as new metallic functional material, new functional ceramic material, rare earth functional material, high purity elements and compounds, surface functional material, high quality new organic active material, new film material, function glass, new optical material, semiconductor material, electronic function material, eco-environment material, new energy material, high quality synthetic rubber, high performance sealing material and new catalytic material and adjuvants.
2. R&D and industrialization of advanced structural material including high quality special steel material, high performance non-ferrous metal and alloy material, new structural ceramic material, engineering plastic and synthetic resin.
3. R&D and industrialization of high performance composites including those of high thermal conductivity, of high performance fibre, of metal/ceramic base and soft magnetism.
4. Manufacturing of Ultra High Pressure (UHP) graphite electrodes and industrialization of carbon nanomaterial of graphene and fullerene. R&D and industrialization of advanced new material including high-temperature alloy, shape memory alloy, liquid metal, metal and polymer additive manufacturing material, super- conducting material, self-healing material, smart biomimetic material and metamaterial.
5. Low cost production of nano carbon tubes and their application technology; Technique of metal surface nanocrystalizaiton; Technology of nanopowder industrialization; R&D and application of nano coating.
6. Innovative and startup service providers including renowned new material research institutions, professional incubators, organizations of inspection, testing and certification service.
VI. Biopharmaceutical and health industry
1. R&D and industrialization of vaccines, protein and polypeptide medicines, anti-body medicines and microecologics.
2. R&D and industrialization of medical devices including precision diagnosis reagents, molecule diagnostic agents, POCT, microfluidic chip, automatic diagnostic devices, high-end implanting and intervention medical material, high performance diagnostic devices.
3. R&D and industrialization of medical and health care wearables.
4. R&D and industrialization of innovative chemical drugs and new preparations including original drugs, first generic drugs; R&D and industrialization of Traditional Chinese Medicine(TCM) and natural medicine including new TCM, Chinese patent medicine, TCM tablets and drinks.
5. R&D and application of cutting-edge technology of biotherapies including cell therapies, immunotherapies, gene therapies and virus therapies.
6. R&D and industrialization of various high value added fermented products for medical or edible use and natural bioextracts through fermentation and new extraction process including amino acid, vitamins, fatty acid and polysaccharide.
7. Biotechnology service for biopharmaceutical and health R&D, technological transfer and application, testing and inspection accreditation, clinical tests, registration and approval, innovation incubation, IP protection, scientific technology consultation, financial technology, marketing and sales, science & technology human resource and CRO.
8. High quality State standard technological service for drug evaluation(efficacy, safety and equivalence), drug screening, modification of preparations, pilot scale-up, gene sequencing, analytic testing, bioinformation, clinical tests, experimental animals.
9. R&D and industrialization of functional food and formula food for special medical purpose.
10. Health care products including cosmetics. R&D and manufacturing of high end, customized, feature personal care products integrating the advantages of various areas including Chinese herbal medicines, marine resources, advanced manufacturing technology, fine chemical engineering and biomedical industry.
11. Smart elderly care service applying advanced technology including the internet+, cloud computing, big data, AI and health IoTs and digital wearables to achieve disease prevention, chronical disease management, health assessment and life intervention; medical and health care service organizations and telemedicine service including physical examination centers providing high level individualized checkout and testing, and medical labs providing medical inspection.
12. E-commerce service for pharmaceutical platforms, logistic and distribution platforms.
13. Professional technology service for establishing, maintaining and devoloping bio-information systems and databases.
VII. Tourism and MICE
1. Feature coastal tourism products of sea world, island vacationing, sailboats and yachts.
2. Cruise tourism and logistic supply for cruises.
3. Public service products for tourism including city sightseeing buses, sea tourism and transportation, tourist distribution service centers.
4. Recreational tourism destination projects including high-end relax/ resort hotels.
5. Professional exhibitions, high-end conferences.
6. High-end Professional MICE service providers for big scale professional exhibitions, big scale professional conferences, big scale conference and exhibition design and construction, exhibition halls supporting service and MICE network technology.
VIII. Modern logistics
1.Supply chain management service including supplier inventory management, sales and operation planning, collaboration, plan, forecast and replenishment; Value added service in supply chains covering logistics, capital flow, information flow and commodity flow.
2. Intercity/ City distribution and delivery service through major roads, rails and sea routes and multi-mode transportation (sea and rail road).
3. Modern distribution and logistic service featuring the integration of purchasing, gathering and distributing, agent network, sales and distribution centers.
4.Commercial logistic service integrating professional showroom sales, dispatching and distribution. Public logistics that supports e-commerce and its value-added service.
5. Managing Centers for supply chain and logistics, documents managing centers, settlement centers, data centers; Development and application of supply chain logistic technology, information technology, mobile network, IoTs and big data.
6. Cold chain logistics and drug supply logistics for urban living consumption; Regional logistic service centers for new strategic industries and related manufacturing, commerce, trade and MICE.
7. Service based on specialized testing, inspection technology to support processing and logistics; Value added supply chain service including third party payment, supply chain finance, commodity inspection and certification, guarantee, credit investigation, factoring and financial leasing.
8. Large multi-mode transportation platforms, goods transfer platforms and logistic headquarters service platforms as well as public logistic information platforms.
9. Domestic water transportation companies, international sea transporters and shipping agents.
IX. Software and information service
1. Mobile network innovation application and industrialization in mobile e-commerce, mobile searching, mobile office, positioning service, mobile social medium, online medical care, online education, online entertainment, shared applications and remote desktops.
2. Industry network service featuring customization and flexible manufacturing based on industrial systems, sensor technology, data digging and internet technology.
3. Software development and application system, information technology service, e-commerce service, information service for public service, digital content, network and information security service, cloud computing service, big data storage and application, big data application for credit service and IoT technology.
4. Space infrastructure, satellite communication application systems, satellite navigation application service systems, satellite remote sensing application systems.
5. IoTs application service including smart transportation, power grid, water service, medical care, environmental protection, logistics, security, heat and gas supply, surveillance and public security.
6. Technology research in brain-like computing and neuro network, brain-like learning and processing algorithm.
7. Development of AI software and hardware including chips, sensors, operating systems, storage systems, high-end servers, key network equipment, network security; Open source software and hardware platforms and ecology construction.
8. R&D and industrialization of AI technology for computer vision and audition, biometrics feature recognization, complex environment identification, new type human machine interaction, natural language understanding, machine translation, intelligent decision control and network security.
X. Financial service
1. State headquarters of financial institutions, supporting service institutions and regional offices of financial institutions.
2. JV security companies and PE management firms set up with Taiwan financial institutions.
3. Emerging financial institutions for consumption, automobile, financial leasing, etc.
4. Institutions providing small loans, financial guarantee, financial leasing, and commercial factoring, and other financial service institutions providing inclusive financial service to SMEs.
5. Insurance companies, insurance asset management and insurance brokerage companies, outsourcing financial service and other financial brokerage services.
6. Fortune management institutions including industry fund, M&A fund, startup fund, PE fund, private securities fund, private business departments of large banks and specialized asset management subsidiaries for securities, funds and futures, which are also under large banks.
7. Trading venues for intellectual property, cultural property, environment emission right (carbon emission, etc.), stone material and agricultural products.
8. Fintech development, application and service; Service providers of financial big data.
9. Professional financial institutions of green finance and shipping finance.
10. Professional financial institutions of gold finance.
XI. Cultural creativity
1. Digital content creative production including animation creativity, screenplay and production, R&D of webgames and mobile game as well as digital technology talent training.
2.Integration and transmission of digital content including service for integration, transmission and planning of animation and game content.
3. New media based on mobile network.
4. Industrial design: model design and packaging design.
5. Fashion design: advertisement design, apparel design, brand design and cross-over designs.
6. Other professional design in arts and crafts, architecture decoration and consulting service for social economy.
7. Film and TV service.
8. R&D and performance of plays and entertainment shows, and comprehensive service.
9. Creation, trade and comprehensive service provided to artistic works.
10. Production of musical instruments, recreational equipment and audio and video devices.
11. Professional devices for film, TV and performing stages.
XII. Modern urban agriculture
1. Planting technology and production of green, organic vegetables, dried fruits and nuts and tea leaf.
2. Flower planting, and construction and operation of seedling sites.
3. TCM planting and farming.
4. New technology development and production of organic fertilizers.
5. Leisure agriculture and countryside tourism.
6. Highly processed vegetables, dried and fresh fruits and livestock and poultry products.
XIII. Marine economy
1. Marine drugs including biotoxin, antibiotics, polysaccharide, multipeptide, lipids; Marine original TCM, first generic drugs and secondary development drugs.
2. Development and production of new marine resource food, marine health care products and cosmetics, marine industrial enzyme, marine microbiological reagent, marine biological material, marine biological breeding and biological products development.
3. Manufacturing of marine stereoscopic monitoring/ exploring equipment, marine engineering equipment, core parts, auxiliary equipment and key material.
4. Manufacturing of deep sea resource exploration equipment/ key parts/ material, sea pollutant and waste separator and recycling, emergency disposal equipment and material.
5. Manufacturing of aqua-culture farming facilities with recycled water and complete farming system for offshore deep water cage culture.
6. Manufacturing of desalination membrane, key equipment and integrated desalination equipment for islands and ships/ boats; Desalination demonstration projects.
7. Public service platform for marine industry, consulting service for scientific research and industry support, marine education service, digital ocean, ocean scientific expedition, ocean remote sensing technology, marine monitoring and exploration, marine environmental assessment, feasibility study for sea area use.
8. Upgrading and reconstructing fishing harbors and their branches; Modern processing of aquatic products.
9. Rehabilitation of marine ecology in coastal wetland parks, island ecological parks and national ocean parks, comprehensive improvement of sea gulfs and beaches; beach dredging, beach ecological restoration.
XIV. Others
1. Industries not covered in the above Catalogue, however, linking to Xiamen’s priority industries, as well as spin-offs or emerging industries with new forms or models, can be reviewed and recognized by Xiamen Development and Reform Commission (DRC) together with other related departments.
2. All foreign-invested projects must conform with regulations in Catalogue of Industries for Guiding Foreign Investment (Revised 2017)
3. This catalogue is subject to revision headed by Xiamen DRC.
The translation is for reference only. In case of any discrepancy, the Chinese version should prevail.
I.Talent Policy
1.Housing purchase subsidy and housing rental subsidy for high-level talents shall be strengthened, the high-level talent who is newly introduced to Xiamen shall be provided with RMB 1.2 million-10 million housing purchase subsidy or 100-200 ㎡ guarantee commercial housing. “One discussion for one project” is provided for the significant investment attraction project which introduces a large number of talents, that is, it can be independently allocated with construction, sales, lease of guarantee housing within the talent housing guarantee standard scope in Xiamen. Talent housing guarantee shall be strengthened through multiple channels, and the rental housing shall be provided to the talent with academic degree above bachelor or equal technical skill who newly comes to Xiamen for work, with the monthly rent about 70% of market price.
2.Newly introduced personnel with academic degree above full-time postgraduate or personnel with bachelor degree of “Double First-class” university (including Taiwan compatriot and returned overseas student) can enjoy living subsidy at a time, RMB 20,000 per person for undergraduates (below 30 years old), RMB 30,000 per person for postgraduates (below 35 years old), RMB 50,000 per person for Ph.D. postgraduates (below 40 years old).
3.The living allowance shall be provided for the high-level overseas personnel newly introduced into Xiamen to work in enterprise, municipal (district) organ, or institution with independent legal person qualification. The standard of living allowance is RMB 2,000 per person per month for no more than 5 years, the first payment can be calculated from the first half year of the approved month, and the living allowance shall be terminated after expiry on its own. Living allowance of high-level overseas personnel with non full- time work in Xiamen is provided according to the actual working months in Xiamen within five years.
4.Talent of municipal unit selected for municipal or national talent introduction plans shall be provided with a subsidy of RMB 1 million and start-up support of RMB 5 million per person at most.
5.Outstanding youth can obtain working and living subsidies of RMB 1 million at most. Flexible talent is provided with a subsidy equivalent to 20% of remuneration and RMB 150,000 at most. Young innovation and entrepreneurship talent can obtain outlay subsidy and living allowance of RMB 400,000 at most.
6.Leading entrepreneurship talent selected for talent introduction plans above municipal level shall be provided with a reward, which is equivalent to different proportions (maximum 100%) of the locally retained part of individual income tax paid within three years. Technical leading talent working in the certified municipal headquarters enterprise for more than one year and selected for the “Inclusiveness” talent program shall be rewarded equivalently to 50% of locally retained part of individual income tax paid within three years. Professional talent with annual pay (pre-tax) above RMB 300,000, assuming the office of technical position above medium level employed by the enterprise that meets Xiamen key development industries guiding catalogue, shall be rewarded equivalently to 25% of locally retained part of individual income tax paid within three years.
7.Municipal finance will provide Taiwan distinguished full-time expert with a subsidy paid year-by-year, with the total subsidy amount of RMB 1 million-1.5 million within 3~5 years of employment period, and the subsidy is deemed as the bonus of Xiamen municipal government. Talent selected for Taiwan distinguished special talent plan shall be offered with a subsidy equivalent to 25% of remuneration for five years, with the annual subsidy amount no more than RMB 120,000.
8.Newly introduced high-skill talent that meets the municipal demand vocation (work) catalogue and working for one year shall be provided with a lump-sum subsidy of RMB 5,000 for a technician and RMB 10,000 for a senior technician. In order to encourage the construction of technician training bases and skill master studios, the construction subsidy of RMB 500,000 at most shall be provided after certification, and the high-skill talent trained by the base or studio is subsidized according to the standard of introduced high-skill talent. Newly assessed Chinese Skill Award winner and National Skill Master shall be respectively rewarded RMB 300,000, RMB 100,000 per person. Excellent high-skill talent enjoys the monthly allowance of RMB 800 and RMB 1,200 within five years.
II.Science and Technology Innovation Policy
（I）Tech Little Giant Enterprise
Enterprise with the title of “Xiamen Municipal Industrial Design Center” shall be provided with a lump-sum reward of RMB 200,000. Enterprise upgraded to the title of “Provincial Industrial Design Center” shall be provided with a lump-sum reward top-up to the amount of RMB 500,000. Enterprise further upgraded to the title of “National Industrial Design Center” shall be provided with a lump-sum reward top-up to the amount of RMB 2 million. In order to support the cultivated objects to implement industrialization of important scientific and technological achievements in Xiamen, for the cultivated object that has completed the pilot scale test, and has place for industrialization, equipments, professional technical R&D team and management talent team, a loan interest discount subsidy shall be provided, with the total subsidy amount no more than RMB 5 million.
（II）Technology Enterprise Incubator
Newly certified provincial, municipal incubator shall be provided with a lump-sum reward of RMB 1 million, and newly certified national incubator shall be provided with a lump-sum reward top-up to the amount of RMB 3 million. Public technical service platform constructed in the professional incubator shall be provided with a lump-sum subsidy equivalent to 30% of the purchase price for purchasing public equipments, and the accumulated subsidy amount of single professional incubator is no more than RMB 3 million. New incubator shall be provided with a lump-sum subsidy according to the standard of RMB 300/㎡ , and the subsidy amount is RMB 5 million at most; modified and expanded incubator shall be provided with a lump-sum subsidy according to the standard of RMB 200/㎡ , and the subsidy amount is RMB 3 million at most. Incubator shall be provided with a lump-sum reward of RMB 200,000 for per enterprise in incubation which obtains national hi-tech enterprise certification, or graduated enterprise which obtains the certification in the year of graduation.
（III）Key Laboratory
National key laboratory shall be provided with a lump-sum free subsidy of RMB 10 million. Provincial, municipal key laboratory shall be provided with a lump-sum free subsidy of RMB 1 million. Provincial, municipal key laboratory with good rate shall be provided with a free subsidy of RMB 200,000. Provincial, municipal key laboratory with excellent rate shall be provided with a free subsidy of RMB 500,000. National key laboratory with excellent rate shall be provided with a free subsidy of RMB 2 million.
（IV）Technically Advanced Service Enterprise
Enterprise income tax of certified technically advanced service enterprise is collected according to 15% tax rate. The part of employee education outlay of certified technically advanced service enterprise no more than 8% of total salary remuneration is approved to be deducted when the taxable income is calculated; the excess part is approved to be deducted when being carried over in the following tax payment year.
（V）Science and Technology Reward
For municipal science and technology significant contribution award, municipal science and technology progress award, municipal science and technology organization promotion award, the municipal people’s government will award the diploma, certificate and reward. The reward for municipal science and technology significant contribution award is RMB 500,000, in which RMB 150,000 belongs to the winner personally, RMB 350,000 is used as scientific research outlay by the winner who can select subject independently. The rewards of municipal science and technology progress award are RMB 250,000 for the first prize, RMB 100,000 for the second prize, RMB 50,000 for the third prize respectively.
III.Foreign Investment Promotion Policy
Foreign enterprise is encouraged to invest in key development industries in our city, and enterprise with the yearly actual paid-in foreign capital reaching USD 10 million and above and meeting the requirements is rewarded.
（I）New Foreign Enterprise Paid-in Capital Reward
A lump-sum reward is provided equivalent to 2% of the total yearly actual paid-in foreign capital, and the maximum reward is RMB 20 million for an enterprise.
After the yearly actual paid-in foreign capital amount reaches USD 10 million, from the first year when the value added tax is paid, the enterprise shall receive a reward equivalent to 100% of its contribution to the locally retained part of paid enterprise income tax and value added tax for first two years, and 50% in the following three years.
（II）Existing Foreign Enterprise Paid-in Capital Reward
A reward is provided equivalent to 2% of the yearly actual paid-in foreign capital amount, and the maximum reward is RMB 20 million for an enterprise annually.
（III）Foreign Capital A&M Paid-in Capital Reward
A reward equivalent to 2% of the yearly actual paid-in foreign capital amount is provided for the foreign invested enterprise established after A&M, and the maximum reward is RMB 20 million for an enterprise annually.
（IV）Talent Incentive Policy
Employees with yearly individual income tax more than RMB 80,000 can be refunded out of the locally retained part of individual income tax.
(a) 50% refunded for paid income tax at RMB 80,000.
(b) 75% refunded for the portion between RMB 80,000 and RMB 250,000.
(c) 100% refunded for the portion exceeding RMB 250,000.
Non-Xiamen residents with the yearly individual income tax more than RMB 50,000 are eligible to purchase commercial housing as Xiamen residents.
Non-Xiamen residents can obtain local household registry if they continue the contract after serving in enterprise for 3 years and have paid social endowment insurance.
IV.Private Economy Policy
（I）Innovation Encouragement
1.For the first unit (set) of significant technical device researched and developed by private enterprise, subsidy of RMB 5 million shall be provided for unit project at most.
2.Certified provincial, municipal key laboratory shall be provided with a lump-sum subsidy of RMB 2 million.
3.Conforming new type R&D institution shall be provided with a lump-sum subsidy of RMB 1 million for starting-up. Expense on purchasing scientific research instruments, equipment and software can be subsidized by RMB 30 million at most. The R&D institution shall be rewarded with RMB 200,000 for per enterprise incubated into national hi-tech enterprise.
4.Subsidy of RMB 8 million at most shall be provided for R&D of private enterprise.
5.Newly certified national hi-tech private enterprise shall be provided with a lump-sum reward of RMB 100,000.
（II）Investment Expansion
1.Conforming municipal private undergraduate institutions, higher vocational colleges shall be respectively provided with a lump-sum reward of RMB 1.2 million and RMB 800,000. Conforming private inclusive compulsory education schools and private inclusive kindergartens shall be rewarded according to the scale.
2.Private hospitals rated as national Grade Ⅲ Level A hospital and national Grade Ⅲ Level B hospital shall be respectively provided with a lump-sum subsidy of RMB 5 million and RMB 2.5 million. Private hospitals rated as national clinical key specialized western medicine, traditional Chinese medicine and clinical care shall be respectively provided with a lump-sum subsidy of RMB 5 million, RMB 3 million and RMB 2 million. Private hospital that passes international JCI certification for the first time shall be provided with a lump-sum subsidy of RMB 5 million. Private hospital that provides conforming basic medical service shall be provided with a subsidy according to the beds, and also offered with operation subsidy according to the standard of public hospital.
3.High-end elderly care service institution shall be provided with a lump-sum subsidy of RMB 20,000 for every bed as the starting expenses, and the operation subsidy of RMB 2,400 and liability insurance subsidy of RMB 150 every year, and its internal medical institution shall be provided with a lump-sum subsidy of RMB 500,000 for equipment purchase.
（III）Tax Relief
1.Income of conforming small low-profit enterprise shall be reduced by 50% for calculating the taxable income, and enterprise income tax shall be paid according to 20% tax rate. For aforesaid small low-profit enterprise newly established since January 1, 2018 during this period, the locally retained part of enterprise income tax shall be rewarded to enterprise while being collected.
2.Enterprise income tax or individual income tax paid for equity transfer income obtained by private enterprise or individual shareholder shall be properly rewarded.
（IV）Financing Difficulty Relief
1.Increase examination weight of credit business of private enterprise; develop and improve private enterprise financial service due diligence exemption system, define exemption circumstance, further implement non-performing loan tolerance management requirement, increase private loan nonperforming rate by 2%. Establish no repayment “white list” system, and realize seamless connection of repayment.
2.Increase emergency repayment fund of RMB 1 billion, effectively meeting the fund turnover demand of enterprise in repayment.
3.Support private enterprise to have direct financing through capital market, and provide corresponding reward.
（V）Promote Enterprise to be Larger and Stronger
1.For the conforming new private industrial enterprise above designated scale, private wholesale and retail enterprise above the limit, on the basis of local tax income paid by the enterprise in last year, 50% of the increment is rewarded to the enterprise to expand reproduction, with the reward term of 3 years. If post-tax profit of private enterprise is distributed to individuals, for the portion of the post-tax profit which is transferred to capital increase or reinvested in our city for reproduction expansion, the locally retained part of paid individual income tax will be rewarded in full amount.
2.Technical transformation project of private industrial enterprise above designated scale is provided with a subsidy of RMB 10 million at most.
V.Taiwan Benefit Policy
In April 2018, Xiamen took the lead in issuing Several measures for Further Deepening Xiamen-Taiwan Economic Social Cultural Exchange and Cooperation (“60 Measures for Taiwan Benefit”), in which 33 trial measures are pioneering and innovative measures first launched by Xiamen, to provide Taiwan compatriots with treatment equal to Xiamen residents in study, entrepreneurship, employment and living, and to promote Taiwan enterprises develop better and faster.
（I）Economic Exchange and Cooperation
1.Taiwan construction enterprise that obtains Taiwan qualification certificate can be approved to deal with relevant construction activities in Xiamen.
2.Implementation of “two standards in a city” is promoted to gradually realize tolerance and coexistence of Chinese Mainland standards and Taiwan standards in Xiamen.
3.Xiamen and Kinmen are supported to cooperate in mutual referral, emergency treatment, public epidemic prevention, elderly care medical treatment, medical education and training, etc. Xiamen-Kinmen inspection and quarantine special supervision area is constructed, and more convenient inspection and quarantine measures are taken for Jinmen.
（II）Social Cultural Exchange and Cooperation
1.Taiwan enterprise and Taiwan compatriot can establish high-end elderly care institution in the form of wholly funded private non-enterprise unit. The qualified Taiwan compatriot can apply for establishing individual clinic and medical inspection laboratory in the form of sole proprietorship in Xiamen.
2.Law firm in Taiwan is encouraged to establish representative office in Xiamen. Xiamen-Taiwan cooperation is encouraged to establish legal ascertaining mechanism to provide oversea legal ascertaining service for relevant business activities. Arbitration institution in Taiwan is encouraged to establish contact office in Xiamen. Civil meditation organizations in Xiamen and Taiwan are encouraged to cooperate and provide meditation service to enterprises and individuals in Xiamen.
（III）Study and Internship of Taiwan Compatriots in Xiamen
1.Taiwan student is generally arranged for schooling under the guidances of municipal bureau of education and district education bureau. Kindergartens and primary schools are generally arranged for schooling nearby by local district education bureau. Junior high school departments of some municipal First-rate schools reserve certain quota for enrolling Taiwan student every year. If Taiwan student takes senior high school entrance examination in Xiamen, with the results reaching the minimum admission line of regular senior secondary school in the year, they can apply for provincial First-rate high schools in Xiamen according to personal wills, and enrolled according to the parallel application.
2.Taiwan student scholarship is established in middle schools and primary schools in Xiamen. Special subsidy accounts for Taiwan student are established in universities in Xiamen to accept social donation and help in-school Taiwan students from poor families complete study.
3.According to Xiamen student source graduate internship subsidy standards, Taiwan student is provided with a internship subsidy and housing rent subsidy of RMB 500/month (only for one year). Taiwan student who participates in internship (for more than one month) for the first time in Xiamen from abroad is provided with a lump-sum traffic subsidy of RMB 2,000.
（IV）Employment and Entrepreneurship of Taiwan Compatriots in Xiamen
1.Taiwan compatriot is provided with no less than 5,000 employment and internship positions every year. Taiwan compatriot enjoys employment subsidy provided by municipal, district governments. Newly introduced Taiwan compatriot with academic degree above full-time postgraduate is provided with a lump-sum living subsidy of RMB 30,000/person for master (≤35 years old), RMB 50,000/person for doctor (≤40 years old) after working for one year in Xiamen. Taiwan compatriot can choose to transact employment permit according to personal requirement.
2.In-staff scope of institution in Xiamen applied by Taiwan compatriot is expanded. If having the following academic degree and meeting position qualification conditions, recruitment regulations, Taiwan compatriot can take supplementary in-staff recruitment examination of municipal, district institutions: obtain national admitted academic degree in Chinese Mainland / obtain academic degree of master and above in Taiwan and pass academic degree certification of Ministry of Education / obtain academic degree of bachelor and above in foreign country and Hong Kong, Macao, and pass academic degree certification of Ministry of Education.
3.Taiwan teacher who obtains teacher qualification certificate in Taiwan can teach music, sports, art in kindergarten and regular senior secondary school in Xiamen in the form of being distinguished teacher, purchase service, short-term two-way exchange. Attract Taiwan experts, scholars, teachers for specialized subject teaching work in universities, vocational schools in Xiamen, the academic results obtained in Taiwan can be included into working assessment system.
（V）Residence and Life of Taiwan Compatriots in Xiamen
1.Taiwan youth who work and start business in Xiamen can apply for public rental housing according to Implementation Rules for Management of Xiamen Municipal Public Rental Housing Applied by Taiwan Youth.
2.Electronic Mainland Travel Permit for Taiwan Resident is equal to Chinese Mainland ID card in Xiamen.
3.Taiwan compatriots who live in Xiamen for a long time can assume the office of municipal, district CPPC member and attend meeting according to regulated procedures, can sit in, audit municipal, district NPC, CPPC meeting according to regulated procedures.
4.Taiwan compatriots can be included in the employee basic endowment insurance or urban-rural resident endowment insurance individually according to the standard of Xiamen residents during the period of living in Xiamen. If Taiwan compatriots in Xiamen are included in unemployment insurance and work-related injury insurance, they can enjoy insurance treatment equal to Xiamen residents. After working in Xiamen and paying social insurance of relevant years, when Chinese Mainland spouse who gives up Chinese Mainland permanent registered residence for obtaining permanent registered residence of Taiwan comes back to Xiamen for work, social insurance paid in Xiamen during different periods can be transferred and consolidated. Housing accumulation fund paid by Taiwan compatriots, social insurance personal account deposit amount can be withdrawn in lump sum through personal application when leaving Chinese Mainland.