Investment Modes

Foreign investors may choose the modes of investment according to their own will and benefits:

Sole foreign capital enterprise, which all capital is invested by the foreign investor.

Chinese-foreign joint-venture enterprise or contractual-cooperation enterprise, joint-invested with the enterprises in China.

Processing with supplied material, processing with given sample, assembling with supplied component and compensation trade.

Other modes allowed by laws of the People's Republic of China.

Investment Contribution

In accordance with the relevant regulation, the registered capital of a foreign-funded enterprise should not less than RMB1 million yuan or the equivalent amount of foreign exchange. For Chinese-foreign joint-venture enterprise, the proportion of subscribed foreign investment should not less than 25% of the registered capital.

The investment contribution means include cash, machinery and equipment, components and parts, raw materials, subsidiary materials,factory buildings and relevant installation, or land-use rights, exclusive technologies and other property rights.

Investment Procedure

The foreign investors may go through investment procedure as following:

A.Consult or negociate with the investment administration organization of Longhu Distrct, or directly with the relevant enterprises.

B.Submit the relevant application documents to the investment administration organization of Longhu District. Upon approval by the concerned departments, Shantou Municipal Government shall issue the approval certificate.

C.Within one month after approval, submit the certificate issued by Shantou Municipal Government to register with the industrial and commercial administrations for a business license. After registration in Taxation Bureau and customs and opening of bank account upon the business license issued by the industrial and commercial administrations, the enterprise may start operation.

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