Procedures of Application for Establishing Foreign Invested Enterprises and Fees
Examination and Approval of the Project
A. Procedures for establishment of Chinese-foreign equity ventures and Chinese-foreign equity ventures and Chinese-foreign cooperative ventures
1.Compilation and Submission of Project Proposal
Chinese or foreign investors can select their joint venture partners through various ways, and exchange the scope of business, credit standing and intention of cooperation.
Having decided the cooperative intention, the Chinese party shall compile the project proposal and submit to the examination and approval authority. The examination and approval authority shall, within 30 days after the date of receiving the proposal, decide whether to approve or disapprove the project proposal.
On approval of the project proposal, the Chinese party shall apply to the administrative authority of industry and commerce for the registration of the enterprise's name.
2.Compilation and Submission of Feasibility Study Report
On approval of the project proposal, further feasibility study of the project shall be made by the Chinese and foreign investors. Relevant matters such as funds, sites, technology, equipment, raw materials, marketing, profits, balance of foreign exchange and necessary infrastructures, etc., shall be ascertained, and the feasibility study report shall be jointly compiled by the Chinese and foreign investors. Problems may be settled through consultation with the examination and approval authority.
The examination and approval authority shall, within 15 days after the date of receiving the feasibility study report, or together with the contract and article of association, decide whether to approve or disapprove them.
If the construction and production condition of the project has been ready, and the project proposal has met the requirements of the feasibility study report, the project proposal may replace the feasibility study report, after the application made by the Chinese and foreign investors has been approved by the examination and approval authority.
3.Submission of Contract and Articles of Association
The contract and articles of association jointly compiled by the Chinese and foreign investors shall be submitted by the Chinese party to the examination and approval authority, during the compilation of feasibility study report.
The examination and approval authority shall, within 15 days after the date of receiving the contract and articles of association, or within 15 days after the date of receiving the feasibility study report, contract and the articles of association, decide whether to approve or disapprove them.
4.Issuance of Approval Certificate
On approval of the contract and articles of association, MOFTEC (Ministry of Foreign Trade & Economy) of the People's Republic of China or its appointed examination and approval authority will issue the approval certificate.
5.Application for Certificate and IC Card for Using PRC Institution Codes
6.Application for Business License
The Chinese and foreign investors shall, within 30 days after receiving the approval certificate, register with the administrative authority for industry and commerce. The date on which the business license is issued is regarded as the date of formal establishment of a joint venture.
B. Procedures for Establishment of Wholly Foreign owned Enterprise
In establishing wholly foreign-owned enterprise, foreign investors shall entrust the consultative bodies or agencies approved by the local government with the task of application, submission for approval, etc.
The application and approval for establishing wholly foreign-owned enterprise shall be handled with reference to the procedures for establishment of Chinese-foreign equity joint ventures and Chinese-foreign cooperative ventures.

Registration of Enterprise's Name
After the approval of project proposal and before the signing of the contract and article of association, the Chinese and foreign investors shall apply to the administrative authority for industry and commerce for the registration of the company's name with the following documents:
1. The registration from and application letter for registration of the enterprise's name, both signed by the people in charge of the establishment of the enterprise;
2.The written certificate of assigned representative or authorized agent;
3.The project proposal and its written approval;
4.An official certification of the Chinese and foreign investors (the copy of business license submitted by the Chinese party must be confirmed by the authority of issuance);
5.The confirmation of enterprise's name applied by the investors (including the name in Chinese and in English, and alternate names, signed jointly by the Chinese and foreign investors);
6.Other relevant documents.
Two copies of each document and certificate mentioned above shall be necessary.
Fees:
For a wholly foreign-owned enterprise, a joint venture or a cooperative venture: RMB 260 Yuan.

Application for Enterprise Approval Certificate
1.Obtain the original application form for approval certificate;
2.The original approval certificate (draft) for the foreign funded enterprises;
3.The original approval certificate (attached tables) for the foreign funded enterprises;
4.The original reference form for joint ventures and cooperative enterprises;
5.A copy of notice for confirming the registration of the name of the foreign funded enterprises;
6.The original official written reply for the feasibility study report, contract and articles; of association of the foreign funded project;
7.The original report submitted for advice concerning the feasibility study report, contract and articles of association of the foreign funded project;
8.The original written approval for the proposal of the foreign funded project;
9.The original report submitted for advice concerning the proposal of the foreign invested project;
10.The list of the board of directors of the foreign funded enterprises, the registration forms and assignment document for the Chinese directors and senior personnel, and the authorized letter for foreign directors and senior personnel;
11.The certification documents for the legal address of the enterprise.
Attached: the original copy of the project proposal and the letter of intent.
Copy of the business license of the project proposal and the letter of intent.
Copy of legal identification card of the legal representative, authorization letter (original), power of attorney (original), etc.
Minutes and records of the project evaluation meetings, evaluation of state-owned assets and the confirmation letters, contracts for product supply, credit, lease, etc., reports on impact to the environment, health, fire fighting, safety measure, certificates related to water supply, electricity, gas and other economic and legal documents.

Registration of Starting Business
After obtaining the Enterprise Approval Certificate, foreign-invested enterprise should apply to the Administrative Authority for Industry and Commerce for starting business with the following in 30 days.
1.Notice for confirming the registration of the enterprise's name;
2.The registration form for applying for the foreign funded enterprise signed by the chairman of the board of directors of the enterprise (4 copies);
3.Approval certificate (duplicate and 3 copies);
4.Contract (not applicable to wholly foreign-owned enterprises), articles of association, feasibility study report and their official written replies;
5.Financcial credit certificate of thee foreign investor;
6.Name list of the board of directors (including directors from both parties and assignment letters of chairman and vice chairman), their resumes and ID certificates;
7.Appointment letters of the members of the board of directors from both parties, their reasumes and ID certificates;
8.Information sheet on enterprise's flunding;
9.Certificate of the location of the registered site;
10.The registration management card;
11.Other relevant document.
Fees:
If the registered capital is no more than RMB 10 million Yuan, registration fee is charged art the rate of 1/1000.
If the registered capital is more than RMB 10 million Yuan, the amount above RMB 10 million is charged at the rate of 0.5/1000.
If the registered capital is more than RMB 100 million Yuan, there will be no registration fee for the excess amount.
Expenses of the announcement in a newspaper:
1/16 of a whole page, RMB 4000 yuan
1/8 of a whole page, RMB 8000 yuan
1/4 of a whole page, RMB 12000 yuan

Enterprise Code
Foreign invested enterprises shall apply for the enterprise code certificate with the following documents:
1.The original and a copy of the business license;
2.The application form for the enterprise's code.

Getting Official Seal Engraved
After obtaining the business license, foreign-invested enterprise shall apply to Shanghai Public Security Bureau for engraving the enterprise official seal with the following.
A. Joint ventures or contractual co-operative ventures
1.An original and a copy of the business license;
2.An original and a copy of the written approval for the project;
3.The ID card of the legal representative of the enterprise;
4.A letter of introduction from the Chinese party for getting official seal engraved;
5.Identification Card of the person handling the case.
B.Wholly foreign-owned enterprises
1.An original and a copy of the business license;
2.A letter of introduction from the agent unit;
3.Authorization letter signed by the board chairman;
4.Identification card of the handler.
C.Foreign agencies
1.An original and a copy of the registration card;
2.A letter of introduction from the agent unit;
3.A copy of the chief representative's passport;
4.Authorization letter signed chief representative;
5.Identification card of the handler.
Fees:
Official seal: RMB 160 Yuan each
Contract seal: RMB 96-120 Yuan each

Tax Registration
Within 30 days after the Business License is issued, foreign-invested enterprise should apply to the Authority of Taxation for tax registration with the following:
A.Equity joint ventures or contractual co-operative ventures
1.A copy of the business liccense;
2.A copy of document establishing the project and a copy of the approval certificate;
3.A copy of legal representative's identification card;
4.A copy of tax registration (state taxation, local taxation) for the Chinese investing partner;
5.Feasibility study report, contract, articles of association and their official written replies;
6.Bank account information;
7.Name list of the board of directors;
8.Enterprise code certificate;
9.Tax register form.
B.Wholly foreign-owned enterprise
1.A copy of the business license;
2.A copy of the approval certificate;
3.A copy of legal representative's identification card;
4.Project proposal and its official written reply;
5.Feasibility study report, articles of association and their official written replies;
6.Bank account information;
7.Name list of the board of directors;
8.Enterprise code certificate;
9.A copy of the business license for the foreign partner or a copy of the business registration certificate;
10.Tax register form.
Fee:
Charge for the tax registration
Registration fee: RMB 1000 Yuan

Application for Foreign Exchange Registration Certificate
1. A copy of the project approval certificate;
2. A copy of business license;
3. A copy of contract (exempt for a wholly foreign owned enterprise);
4. A copy of articles of association;
5.A copy of enterprise code;
6.Information card foreign invested enterprises (officially sealed).

Application for Foreign Exchange Account
Enterprises can select banks to open their accounts with the following:
1.A original copy of business license;
2.A duplicate copy of enterprise code;
3.A copy of the appointment letter of finance manager and his (or her) identification card;
4.An enterprise official seal, a seal exclusively for financial use and a seal of legal representative;
5.Foreign exchange registration certificate;
6.Notice for opening an account;
7.Foreign exchange management card (IC card).
Fees:
Bank reconciliation and IC card: RMB 500 yuan

Customs Registration
Foreign-invested enterprises shall apply to the customs house for registration with the following documents:
1.A duplicate copy of business license;
2.A duplicate copy of enterprise approval certificate;
3.A copy of the articles of association;
4.Letter of guarantee from a bank or similar legal documents, if deemed necessary by the customs house;
5.Application form for customs registration;
6.Seal impression specimen for reference (including seal exclusively for customs declaration use and seal of the persons in charge of customs declaration or the specimen of their signatures);
7.Funding verification report;
8.Enterprise's finance and accounting system
Fees:
Registration service fee: RMB 39 yuan

Application & Examination of Commodity Inspection
Foreign invested enterprises shall apply to Shanghai Import and Export Commodity Inspection Bureau for commodity inspection with the following:
1.A copy of the feasibility study report, contract (wholly foreign owned enterprise is exempt), articles of association and written approvals;
2.A copy of the approval certificate;
3.A copy of the business license;
4.Equipment (products, materials…) purchase contract;
5.Original invoice, packing list, bill of lading, and insurance policy of the equipment (products, materials…);
6.Declaration form of the export country;
7.Tax form of the equipment (products);
8.Sample of the equipment (products);
9.A letter of guarantee;
10.Handbook of the import declarations;
11.Fill in "application for assets evaluation and estimation issued by the assets evaluation and estimation services of Shanghai Import and Export Commodity Inspection Bureau" and "project register of assets evaluation and estimation concerning foreign affairs for Shanghai Import and Export Commodity Inspection Bureau of China".