Decree of thePeople’s Government of Guangdong Province

　　No.213

　　The Trial Measuresfor theAdministration of China (Guangdong)Pilot Free Trade Zoneadopted at the Forty-secondExecutive Meetingof theTwelfth Session of thePeople’s Government of GuangdongProvince on February17, 2015are hereby promulgatedand shall become effective as of thedate of promulgation.

　　Governor

　　Zhu Xiaodan

　　April 20, 2015

　　Trial Measures on the Administration of China (Guangdong)

　　Chapter I General Provisions

　　Article 1

　　These Measures are formulated for the purpose of facilitating and safeguarding the development of China (Guangdong) Pilot Free Trade Zonein accordance with the Decision of the Standing Committee of the National People’s Congress on Authorizing the State Council to Temporarily Adjust the Administrative ApprovalItemsunder the Relevant Laws in China (Guangdong) Pilot Free Trade Zone, China (Tianjin) Pilot Free Trade Zone, China (Fujian) Pilot Free Trade Zone and the Expanded Area of China (Shanghai) Pilot Free Trade Zone, the FrameworkPlan for China (Guangdong) Pilot Free Trade Zone approved by the State Council and relevant laws and regulationsand in light of theactual situationof this Province.

　　Article 2

　　These Measuresshall apply to China (Guangdong) Pilot Free Trade Zone (hereinafter referred to as “the GDFTZ”) established upon the approval of theState Council. The GDFTZcovers Nansha Areaof Guangzhou, Qianhai and Shekou Areaof Shenzhen and Hengqin New Areaof Zhuhai.

　　Article 3

　　The GDFTZ shall, utilize the strengths ofHong Kong and Macao, serve the Mainland of Chinaand be orientated tothe world. It shallfocus on institutional innovation andpromote in-depth economic cooperation between Mainland China on the one hand andHong Kong and Macaoon the other, further the liberalization of service trade between Guangdong Province, Hong Kong and Macao, enhance the integration of international trade functions and deepen the opening-up and innovation in thefinancial sector. It shall innovate on modes of supervision and regulation, establish an administrativesystem that is in line with the international rulesof investment and trade,and foster an internationalized and market-oriented business environment based on the rule of law, so as to explore new methods and accumulate new experience for comprehensively deepening reform and expanding opening-up in thecountry.

　　Chapter II Administrative System

　　Article 4

　　The GDFTZ shall, on the basis of the principles of overall coordinatedadministration,graded responsibility, competency and efficiency, establish a provincial administration forthe GDFTZand an administration foreach Areaunderthe GDFTZ.

　　Article 5

　　The People’sGovernment of Guangdong Province shall set up a leadership coordination body for the GDFTZ, which is responsible for the overall deliberationof regulations and policies as well as development plans for the GDFTZ.The coordination bodyshall decidemajorissues concerning the development of the GDFTZon the basis of adequatestudy, makean overall guidance relating tothe pilot reform tasks,and coordinatewith the competent authoritiesof theState, Hong Kong, Macao and relevant cities on matters in respect of the GDFTZ.

　　Article 6

　　The Office for China (Guangdong) Pilot Free Trade Zone, established by the People’s Government of Guangdong Province, shall perform the following functions and responsibilities in accordance with these Measures:

　　(1) To implement the national guidelines, policies, laws, regulations and systems concerning the development of the GDFTZ;

　　(2) To facilitate study and initiationof policiesfor the GDFTZin connection withcomprehensive reform, investment, trade, finance and human resources and to guide the implementation of such policies;

　　(3) To coordinate with competent national and provincial authorities and with Hong Kong, Macao and relevant cities on specific matters in respect of the GDFTZ;

　　(4) To promote the administrative bodiesof allAreasto establish and improve their respectivesystem of interim and ex postregulation;

　　(5) To check the implementation of regulations and policies in each Area of the GDFTZandcarry outcomprehensive assessment of theoperationof the GDFTZ;

　　(6) To collectand release public information in respect of the GDFTZand organize publicity and communicationin respect thereof;

　　(7) To undertake the day-to-day work of theleadership coordination body of the GDFTZ; and

　　(8) To undertake otherfunctions andresponsibilities delegated by the People’s Government of Guangdong Province.

　　Article 7

　　The GDFTZ shall, by relying on the existing administrative institutions, establish an administration foreach Area of the GDFTZ, which is responsible for the specific matters within its own administrative area.The responsibilities of theadministration in each Area shall be separately defined by the people’s governments of Guangzhou City, Shenzhen City and Zhuhai City, in accordance with these Measures.

　　Where an Area administrative body requires a provincial level power in order to perform a duty, the relevant competent department authorities of the People’s Government of this Province shall delegate the said power and shall strengthen the coordination with sub-zones and support their work.

　　Chapter III Investment Management

　　Article 8

　　The GDFTZ shalladopt anadministrative approach to foreign investment that combinespre-establishment national treatment and a“Negative List”. Foreign investment projectsin thescopesnot covered by the “Negative List”shall be subject to a filing procedure(except for the domestic investment projectsfor which the State Council stipulates that the examination and approval procedures shall be preserved); and such a filing procedure shall be applicable to the establishment and alterationof foreign-investedenterprises,as well as totheir business contracts and articles of association.The administration in each Area of the GDFTZis responsible for the filing procedure as perforeign investment affairswithin its own administrativearea, and shall perform filing for foreign investment matters not covered by the "Negative List", and upon filing complete relevant formalities in accordance with relevant provisions of theState thereafter.

　　Article 9

　　Investors in the GDFTZmay carry out outbound investment in various forms. General outbound investment projects carried out by enterprises in the GDFTZare subject to the filing procedures, except for the outbound investment projects for which the State Council stipulates that the examination and approval procedures shall be preserved.

　　Article 10

　　The administration of each Area of the GDFTZ shallorganize parallel approval for the access of enterprisesto the Zone, and include such matters as foreign investment projects approval (or filing), approval (or filing) for the establishment and alterationof a foreign-investedenterprise, registration for the establishment of a commercial entity, filling for Organization Code Certificates, Tax Registration Certificates (for both national tax and local tax), social security registration numbers and registration of the production of official seals intothe“one-window processing”mechanism for parallel handling, and gradually integrate certificates such as the Business License, Organization Code Certificateand Tax Registration Certificate into one certificate and such certificate shall be identified with one and single serial number recognized by all authorities concerned.

　　Article 11

　　The GDFTZ shalloptimize the registrationprocedures with the industry and commerce authorities for the convenienceof enterprisesand adopt a registration system for registered capital subscriptionin accordance with law.

　　The investors who intend to establish foreign-investedenterprises in the GDFTZmay decide upon the term of operation of such enterprises at their sole discretion.

　　Enterprises incorporated in the GDFTZ(hereinafter referred to as “Enterprises in the GDFTZ”) may carry out investment or other business outside the GDFTZ. They shall go through the relevant formalities, if required, in accordance withthe applicable rules and regulations.

　　Article 12

　　The GDFTZ shallapply the principleof “obtaining a license prior to theoperating permit”. To be specific, an Enterprise in the GDFTZ, uponobtaining itsBusiness License, may engage in general production and business activities; if it intends toengage in production and business activities that are subject to examination and approval, itshall, after obtaining itsBusiness License, first apply to the competent authoritiesfor theapproval document and/ora permitin accordance with law, only with whichit may then proceed withrelevant production and business activities.

　　Enterprises engaging in production and business activities that are subject to ex anteapproval shall, before applying for a Business License, go through approval formalitiesin accordance with law.

　　Chapter IV Trade Development and Facilitation

　　Article 13

　　The GDFTZ shallpromote the integrated development of domestic and foreign trade, encourage enterprises in the GDFTZto engage in international trade and domestic trade on the basis of strategic overall planning, offercomprehensive services tothe enterprises in thePan-Pearl River DeltaRegion, and establish an international platformfor bulk commodity transaction and recourse distribution.

　　The GDFTZ shallpromote the development of service trade, and encourage the development of new trade modes such as offshore trade, transaction through exhibition for bonded goods, financing by pledged warehouse receipt, finance lease, futures bonded delivery, cross-border e-commerce, forex duty-free shops and market procurement.

　　The GDFTZ shallestablish a public service platform to provideservices facilitatingthe transformation and upgrading of processing trade and shall assistprocessing trade enterprises in the GDFTZto develop such business as settlement, bonded services and independent marketing.

　　Enterprises are encouraged to set up headquarters in the GDFTZand to establish operation centersin the GDFTZ integrating trade, logistics, settlement and other functions.

　　Article 14

　　At Guangzhou’s Nansha Bonded PortArea, Shenzhen’s Qianhai Bay Bonded Port Areaand other special customs supervision areas within the GDFTZ, an entry and exit supervisionservice mode shall be applied that features “Frontier Opening”and “Effective and Efficient Controlon the Second-tier”. Theadministrative proceduresfor the special customs supervision areas shall be integrated and optimized,andinstitutionalinnovations in port supervisionshall be exploredas may be necessary forthe development of the GDFTZ.

　　The non-special customs supervision areas in the Nansha Areaof Guangzhou and Qianhai and Shekou Areaof Shenzhen shall keep tothe currentsupervision practicewithout introducing the new mode thatdistinguishesbetween “Frontier”and “Second-tier”.

　　In the Hengqin Areaof Zhuhai, differential administrative measuresshall be appliedaccording to the principles of“opening the frontier, controlling the second-tier, separatingpeople from goods, and conductingclassified management” as is determined by the State Council, and shallconstantly exploreways of innovation in theport inspection.

　　Article 15

　　The GDFTZ shall, for the purposeofconvenient, safe and efficient customsclearance, makeinnovations in theentry and exit controltherein.Aclassifiedsystem to supervise the goods status shall be established and paperless clearance and rapid release for low-riskdeclarationsshall be promoted,so as to improve the development of new trade modes in the GDFTZ.

　　Goods comingfrom the overseas into the Nansha Bonded Port Areaof Guangzhou, Qianhai Bay Bonded Port Areaof Shenzhen or Hengqin Areaof Zhuhai (hereafter referred to as “theFenced Areas”) may be first brought in withimport manifests,with the customs declaration formalities being dealt with on a step-by-step basis. Exported goods may first be declared at customs and then cleared at the port by customs.

　　No storage time limit shall be set for the bonded goods stored in the Fenced Areas. The goods circulation process within the Fenced Areas shall bestreamlinedtoallow one-time declaration for multiple deliveriesand self-controlled transportation of goodsso as to realize the efficient and convenient circulation of goods between the Fenced Areas and other special customs supervision areas.

　　Article 16

　　The GDFTZ shallmake innovations in theinspection and quarantine process therein,on the basis of the principleof “quarantine upon entry with appropriate relaxation on the import and export inspection, and optimizationfor entry and exit formalities with strict preventive measures againstquality and safety risks”.

　　The inspection and quarantine authorities shall establish an administrative systemregulatingmatters relating to quality safety and risks ofepidemicsin connection with exit and entry, implement paperless practice indeclaration, certificate issuanceand cargo release and provide information servicesin connection withexit and entry inspection and quarantine.

　　Goods coming from overseas into the Fenced Areas shall be subject to entry quarantine; allgoods except sensitive goods are exempted from inspection.

　　The goods going out of the Fenced Areas shall undergoa pre-inspection upon the application by the enterprises, subject to one-time concentrated inspectionand multiple releases upon verification. The bonded exhibition goods entering into and exiting from the GDFTZare exempted from inspection.

　　The warehousedgoods shipped between enterprises within the Fenced Areas are exempted from inspection and quarantine.

　　The GDFTZ shallestablish an administrative systemthat facilitates the development and standardization of third-party institutionsoninspection and identification. The inspection and quarantine authorities shall admit the inspection results froma third party in accordance with relevant law, regulations and prevailing international rules.

　　Article 17

　　The GDFTZ shallestablish a comprehensive, cross-departmentaladministrative platformthat provides services in such areas astrade, transportation, processing and warehousing,and shall open the International TradeSingle Window,so as to achieve information exchange, mutual recognition of regulation measuresand mutual assistance in law enforcementbetween the competent authorities.

　　Enterprises may make one-time submission ofstandard electronic information to the various administrative authoritiesthrough the Single Windowand receive feedbacks about theprocessing resultsfrom the Single Window.

　　Article 18

　　The GDFTZ shallstreamlinethe approval procedures of employment permitsfor Hong Kong, Macaoandforeign employees of the Enterprises in the GDFTZ, and offer them assistance inentry, exit and residence.

　　The GDFTZ shallprovide assistancefor the Mainlandemployees in theEnterprises in the GDFTZwhen processing the documents for overseas travel.

　　Chapter V Function Integration in the GDFTZ

　　Article 19

　　The GDFTZ shall, under the framework of theCloser Economic Partnership Arrangement between the Mainland and Hong Kongand the Closer Economic Partnership Arrangement between the Mainlandand Macao, carry out in-depth opening-up to Hong Kong and Macao, with focus on such fields as financial services, commercialandtrade services, professional services, technology and culture services, and social services.The GDFTZ shallcancel or relax such access restrictionsas qualification requirements, equity ratio limits and scope of business for the Hong Kong and Macao investors.

　　Article 20

　　The GDFTZ shall, relying on the advantages of Hong Kong’sglobal market network and Macao’s connection withPortuguese-speaking countries and learning from the advanced experience of Hong Kong and Macao in financial services, information, international trade network and risk management, develop itselfinto an important window and a comprehensive service platform for the Mainland’s initiative of“going global”, promotethe trade and investment between countries and regions covered by the “One Belt and One Road”Initiative, and jointly explore the international marketwith them.

　　Article 21

　　Bymaking the best use of easy connections among the land and sea ports and airports in Guangdong Province, Hong Kong and Macao, the GDFTZ shall strengthen the joint development of domestic and foreign shipping industry agglomerations in the GDFTZ, explore a way to develop the shipping industry with an internationally competitive edgeand in a joint-operation mode, and buildlogistics hubs servingthe 21stCentury Maritime Silk Road.

　　The GDFTZ shalldevelop industries such as international shipping, international ship management, international crew services and international shipping brokerage and expand opening-up for foreign investors in thefields such as international ship management, international marine and air transportation services, and shipping finance.

　　The GDFTZ shallapplya competitive international ship registration policy and establish an efficient ship registration system.

　　The GDFTZ shallfurther openup in terms ofnavigation routes and navigationrights, promote the development of transition and LCL（Less Container Load）businesses,and explore the development and transaction for over-the-counter derivatives of theshipping freight index.

　　Article 22

　　The GDFTZ shallfacilitatethe cooperation and innovative development in thecross-border RMB business therein, and promoteRMB as the main currency for large-amount cross-border transactionsbetween the GDFTZand overseascountries or regionsas well as for investment valuation and transaction settlement.

　　The GDFTZ shallestablish a financial service system therein catering to service and trade liberalization of commerce andtrade, technology, tourism, logistics and information in Guangdong Province, Hong Kong and Macao.

　　The GDFTZ shallexplorethefeasibility of innovative business in cross-border investment and financing through free trade accounts and other risk controlled manners. It shall carry outpilot reforms in foreign exchange administration, which shall be centered oncapital account convertibility, for the purpose of convenientinvestment and financing exchange therein.

　　Based on the development need of the GDFTZ, financial institutions at different levels, with different functions and of different types are allowed to enter the GDFTZupon approval bythe financial regulatory authorities. And an international trading platform in the GDFTZshall beestablished to provide multi-level and all-round financial services.

　　Article 23

　　The GDFTZshall apply special policies to high-end professionalsfrom Hong Kong, Macao and foreign countries in such aspects as the exit and entry, stay and residence in China, project application, innovation and start-up, evaluation and assessment, and service support.

　　Mutual recognition between Guangdong Province, Hong Kong and Macaoof personnel qualifications forservice industry shallbe promoted by special institutional arrangements.

　　Article 24

　　The GDFTZ shallmake innovations oncustoms clearancefor ports in Guangzhou Provinceand ports toHong Kong and Macao, accelerate integrated regulation and establish a unified and efficient port regulatory mechanism that features coordination with Hong Kong and Macao.

　　The GDFTZ shallaccelerate the implementation of streamlined entry and exit procedures for Macao-registeredvehicles traveling betweenHengqin and Macao.

　　Chapter VI Comprehensive Administration and Service

　　Article 25

　　In the GDFTZ, administrative innovations shall be made to shift the focus of governmental administration from ex anteapproval to interim andex postregulation, to boostparticipation in the regulatoryprocessand to promote the development of a comprehensive regulatory system involving administrative regulation, strict intra-industry self-discipline, social supervision and public participation.

　　Article 26

　　Each Areaof the GDFTZ shallestablish a centralized and unified systemforcomprehensive administrative law enforcement,and a joint law enforcement mechanism featuringcooperation and coordination between all authorities concerned. It shall also timely disclose the information onlaw enforcement inspections in accordance with lawand timely release necessary warnings, precautions and other necessary informationfor cases involving food and drug safety, public health, environmental protection, work safety or occupational health.

　　Article 27

　　The GDFTZ shallcooperate with competent national authoritiesto implement national security review of foreign investment and anti-monopoly review of concentration of undertakings therein, and apply full-cycle regulation toforeign investment.

　　Article 28

　　The GDFTZ shallcooperate with financial regulatory authorities to improve financial risk monitoring and evaluation, establish a financial macro-prudential management system therein and establish a risk prevention mechanism that adapts to the development of thefinancial business therein.

　　Article 29

　　The GDFTZ shall effectively implement relevant existing tax policies and shall, in accordance with applicable provisions of theState, carry out relevant tax policies thatpromote investment and trade; in the Fenced Areas, the GDFTZ shallimplement the tax policies made specifically for the special customs supervision areas.

　　The tax authorities shall establish a convenient tax service system in the GDFTZ, carry out pilot schemes in connection with the modernization of tax collection and administration, promote onlineprocessing of tax affairs, andprovide services such as online tax payment consultation and inquiry of taxaffairs processing results, and gradually realize trans-regional processing of tax affairs.

　　The tax authorities shall conduct tax risk monitoring,to improve tax administration by the use of thetax information system and the GDFTZregulation information sharing platform.

　　Article 30

　　The GDFTZ shall,in accordance with law, protect the rights of theemployees therein to employment, remuneration, rest and vacation, work safety, occupational health, training, insurance and benefits, and participation in the business management.

　　The GDFTZ shallestablish fair, open, efficient and convenient mechanismsfor labor security supervision and labor dispute settlement, so as to protect the legitimate rights and interests of employees and employers.

　　Article 31

　　The GDFTZ shallenhance environmental protection, explore and carry out a classified management of environmental impact evaluation and dangerous factor evaluation and improve the management of environmental protectionin terms of qualityand efficiency.

　　Enterprises in the GDFTZare encouraged to apply for internationally acknowledgedcertification of standard environment and energy management system and to adopt advanced production techniques and technology to save energy and reduce pollutantsandemission of greenhouse gas.

　　Article 32

　　The GDFTZ shallstrengthen the protection of intellectual property rights and optimizethe mechanism bridgingadministrative protection and judicial protection. It shall also develop unifiedmechanismsforintellectual property right management and law enforcement.

　　The GDFTZ shalloptimizethe mediation mechanisms for disputes involving intellectual property rights andforthe assistance to theright protection.

　　Article 33

　　The GDFTZ shallestablish and improve the system for the collection, disclosure and application of corporate credit information, promote the comprehensive management and application of credit information between authoritiesand in various fields, and improve incentive, warning and disciplinary systems.

　　The credit service institutions are encouraged to take advantage of credit informationof all sortsto develop credit products in the GDFTZin order to provide credit services for the administrative regulation and market transactions;and enterprises and individuals are encouraged to use credit products and services.

　　Article 34

　　The GDFTZ shallapplya disclosuresystem for annual corporate reports and asystemreleasing a list of enterprises with irregularity inoperation.

　　An enterprise in the GDFTZ shall, in accordance with relevant rules and regulations, submit annual reports to the corresponding Areaadministration. Such annual reportsshall be publicized, except for information therein concerning trade secrets. The said enterprise shall be responsible for the authenticity and timeliness of thecontent in such annual reports.

　　The administration in each Area of the GDFTZ shall carry out random inspections intothe information releasedby enterprises. Any enterprisethat failsto releaseannual reports within theprescribed time limit or failsto releasethe eligiblecorporate information within theordered time limit shall be included into thelist of enterprises with irregularity in operationand be disclosed to the publicthrough the corporate credit information publicity system.

　　Article 35

　　The GDFTZ shall promote the construction of e-government, facilitatewide use of electronic signature andlegally effectiveelectronic documents within theadministrative areas andimplement electronic filing and electronic filemanagement. Electronic files and paper files shall have the same legal effect.

　　Article 36

　　The GDFTZshall develop a unified platform for regulation information sharing so as to promote the collection, exchange and sharing of regulation information. The administration in each Area of the GDFTZand competent authoritiesshall promptly and actively provide information and participate in information exchange and sharing.

　　The administration in each Area of the GDFTZand competent authoritiesconcerned shall, relying on the regulation information sharing platform, integrate regulation resources, promote whole-process dynamic regulation and enhance the efficiency of joint regulation and coordinated service.

　　The methods for the collection, exchange and sharing of regulation information shall be formulated separately by the People’s Government of Guangdong Province.

　　Article 37

　　The administration of each Area shall report and submit the statistical data and business information to the provincial administration of the GDFTZin a timely and complete manner.

　　The GDFTZ shallestablish an information release mechanism and, by such means as press conferences, regular news briefingsor written releases, promptly release the relevant information with regard to the GDFTZ.

　　The administration of the GDFTZ shallreleasesuch information as laws, regulations, rules, polices and processing procedures in respect of the GDFTZon the portal site of China (Guangdong) Pilot Free Trade Zone and the portal site of theadministration of each Area to facilitate publicaccess thereto.

　　Article 38

　　The GDFTZ shallcarry out specialized and comprehensive assessment of thepilot practices, and the public, enterprises or third-party assessment institutions may participate in theassessment.

　　Article 39

　　Professional institutions such asthelaw firms, accounting firms, tax accounting firms, intellectual property rights service institutions, customs clearance and inspection agencies, inspection and examination institutions, certificationinstitutions, ship and crew agencies, notary public agencies,forensic identification institutions and credit service institutions are encouraged to carry out business in the GDFTZ.

　　Article 40

　　Where the parties concerned have objections to the administrative acts of theadministration of anyAreaof the GDFTZor of any of the competent authorities, they may, in accordance with the provisions of theLaw of thePeople’s Republic of China on Administrative Reviewor the Administrative Procedure Law of thePeople’s Republic of China, apply for administrative reviewor file an administrative lawsuit.

　　Article 41

　　Where an enterprise in the GDFTZ encounters any business dispute, it mayrefer such dispute to a competent people’s court or, as may be agreed between the parties concerned, apply for arbitration or commercial mediation.

　　Arbitration institutions and professional mediation institutions for commercial disputes shall,in accordance with lawand regulations and by reference to international practice, carry out the arbitration and commercial mediation within theareaof the GDFTZto solve commercial disputes.

　　Chapter VII Supplementary Provision

　　Article 42

　　These Measuresshallbecome effective as ofthe date of promulgation.