Investment Orientation

    1. Projects encouraged:

    1.1 New agricultural technology, synthesis agricultural development, energy,transportation, essential industrial sources and material;

    1.2 Of High-Tech, applicable and advanced technology, those that can improve product property; enhance technical and unconventional equipment and material that are not enough at home, which can enhance technical and economical strength of an enterprise;

    1.3 Those demanded by market, with product upgrading ability; those that can open up new market or can increase compatibility of home products;

    1.4 Of new-tech, new equipment, energy saving, material saving, syntheses utilization or recycling of resources and of environment protective and pollution free;

    1.5 Those that comply with state policy, and can make full use of advantages in human and natural resources of the middle and western parts;

    1.6 Those that otherwise stipulated by laws and regulations;

    1.7 Those, of which products are all for export and foreign investment permitted, are deemed to be projects encouraged.

    2. Projects limited for Foreign Investment:

    2.1 Of outdated technology;

    2.2 Those against resource saving, and those against improvement of environment;

    2.3 Special exploration and mining that are under state protection and ruled out by laws and regulations;

    2.4 Of categories that will be opened at later atage by the state;

    2.5 Those that otherwise stipulated by laws and regulations;

    3. Projects Banned for Foreign Investment:

    3.1 Those that violate state security or harm public interests;

    3.2 Those that damage or pollute environment, natural resources and human health;

    3.3 Those that largely occupy field, or without land source convergence and protection;

    3.4 Those that jeopardize military installation and its functions;

    3.5 Those that use special techniques and technology of our nation's;

    3.6 Those that otherwise stipulated by laws and regulations;

    4. Projects permitted for Foreign Investment:

    4.1 Those that don't belong to categories encouraged, limited, banned for foreign investment;

    Should export turnover take 70% of total product sales turnover of a projected foreign investment that belongs to limited category, an approval can be exceptionally given by concerned authorities of provincial, municipal level or that directly under the jurisdiction of the state or that of the state council. Such project can be regarded as permitted. Projects encouraged can enjoy preferential policies stipulated by concerned laws, and regulations, besides, those that with large sum of capital and long term recapture-investment in energy, transportation, infrastructure, (coal, oil, natural gas, power, railroad, harbor, airport, city roads, sewage treatment, trash treatment) construction and business can enlarge their business scope concerned with the main.

     4.2 For those that can really take advantage of the middle and west though belong to limited or permitted categories, can be approved with less stringent preconditions; of which, those listed in the Catalogue of Preferential Foreign Investment Projects in Middle and West will enjoy the preferential policies given to categories encouraged.