the general info of China?
In the past
few years there are many new international airports completed in several
major cities of China, i.e. Shanghai, Shenzhen, Beijing, Chengdu, Kunming,
Tianjin, Dalian and Guangzhou. International direct flights from major
cities of Asia, Europe and America are available.
China has a
total population of 1300 million. Similar to Beijing the population in
Shanghai is about 20 million, whist that in Canton Province is about 100
language is mandarin (Putonghua). English is also widely used, especially
amongst youngsters in major cities. There are many kinds of dialect in many
parts of China, for example, in Guangzhou, just like Hong Kong, Cantonese is
the dialect usually used.
is the official currency in China. Outside mainland of China it is only
convertible in Hong Kong within a limited amount. It is still not yet freely
convertible in other exchange markets but expected possible in near future.
required for foreigners visiting China.
30 degrees C in summer and below 0 degree in winter with snow
30 degrees C in summer and below 10 degrees in winter
with average 15-20 degrees
are the highest authority and the legal aspect in China?
People¡¦s Congress is the highest authority of the nation. It executes the
legislative power through the Standing Committee of the Congress.
government of China is the State Council, which execute the policies
authorized by the Congress.
the labor force in China?
of the population is in the agriculture force despite many of them have
turned to the cities to work in the factories.
government office working hours are 5-day week with 40 hours a week. Major
public holidays concentrate in Chinese ¡¥New Year¡¦ (in January or
February usually), National Day (October), Labor Day (May) (one week each)
There is no
compulsory membership in trade unions. However, foreign investment
enterprises have to support trade unions with certain facilities.
the economy in China?
opening policy launched in China in 1979, there has been rapid economic
growth. In 2005 the GDP is above US$2,225,700M and the growth rate is above
trading partners include Hong Kong, Japan, USA, Europe and Australia.
Textiles, energy resources, agriculture and light industry are the major
industries. Imported products include motorcars, aircrafts, machinery, steel
entry of WTO it is envisaged that economy growth in China is still strong in
the next couple of decades.
are the forms of companies for foreign investments doing business in China?
enterprises can establish in several forms of organization in China:
Co-operative joint venture
companies (foreign investment companies)
Can foreign enterprises only establish representative offices in China?
enterprises can set up representative offices in China. According
to Article 4 of the Detailed Rules on Foreign Representative offices, a
foreign resident representative office must not engage in profit-making
business operations in China directly. It can only engage in business
activities such as promotion, market studies and exchange of technology on
behalf of its parent company.
basic requirement has to be met in order to set up a resident representative
office in China:
- Be a
registered company in its country of origin;
- Have a good
reputation in its business;
true documents as required by Law;
- Follow the
required application procedures.
business license required for doing business in China?
It is very
important to obtain business license in China before setting up the
operation of the business. The license permits the holder to open bank
accounts, register with the local tax bureau for payment of income tax on
the project and file employee income tax.
domestic markets will be opened for foreign investments following China's
entry to WTO?
* Import and
including banking, telecommunications, insurance and professional services.
promises had been made when China entered WTO?
China¡¦s entry to WTO, four phases were promised as following: cutting
tariff, diminishing or eliminating non-barrier tariff, agriculture and
service industries. Including:
rates of tariff will be lower from 15% to 10% by 2005.
2) 400 kinds
of import quotas, that is, non-barrier tariffs, will be eliminated by 2005.
to the Agreement of Agriculture Cooperation between China and USA, China
agreed to lift the embargo on the export of TCK wheat from 7 states of USA
and allow more than 6,000 meatpacking plants to enter China market.
market, including banking, insurance, tourism, telecommunications and so on,
will be open step by step.
is Closer Economic Partnership Arrangement?
is China's free trade agreement with Hong Kong. It
grants easier access to China markets for Hong Kong-made
products, and Hong Kong-based service companies which
Duty-free export to China for Hong Kong-made products
1,407 categories of 'Made in Hong Kong' products will be
exempt from tariffs when exported to the mainland China.
Easier market entry for Hong Kong-based service
CEPA covers 27 service sectors and reduces, or removes
geographical, financial and ownership restraints. Any
nationality company can apply if it:
is incorporated in Hong Kong,
has operated for 3 to 5 years (depending on the sector),
is liable to pay Hong Kong profits tax, and
employs 50% of its staff locally
can non-HONG KONG companies benefit from CEPA?
companies, not based in Hong Kong, can take advantage of
CEPA by outsourcing to, or partnering with a CEPA-qualified
manufacturer or service provider in Hong Kong.
Overseas manufacturers, you do not need to have an
office in Hong Kong to benefit from CEPA. For your goods
to qualify as 'Made in Hong Kong', you need only satisfy
simple Rules of Origin. In essence, your products must
be "substantially transformed" in Hong Kong.
you are an overseas service-provider, you can partner
with, or invest in, a CEPA-qualified company to benefit
from easier access to the Chinese mainland.