Implementation Measures of Shanghai Municipality for Special Talent Incentives in Key Industrial Fields

Article 1 (Purpose and Basis)

With a view to accelerating the practice of new industrialization and giving full play to the leading role of talents in the development of a modern industrial system, these Measures are formulated in accordance with the Several Opinions on Implementing the Talent-Led Development Strategy in the New Era of Shanghai (SMPC D (2020) No. 22).

Article 2 (Scope of Application)

The Special Incentives for Talents in Key Industrial Fields (hereinafter referred to as the "Special Incentives") shall apply to relevant talents employed by enterprises engaged in key links of key industrial fields in this Municipality for the relevant awarding year.

The "key links of key industrial fields" as used herein refer to key links of eight fields, namely integrated circuits, artificial intelligence, biomedicine, software, high-end equipment, aerospace, advanced materials and new energy. The "relevant year" herein means the awarding year, which shall be clearly specified in the corresponding work notice.

Article 3 (Administrative Departments)

The municipal economy and informatization department and the municipal finance department shall jointly establish a municipal reward working mechanism (hereinafter referred to as the "municipal working mechanism"), which shall be responsible for the overall promotion, system design, supervision, and management of the Special Incentives policies.

The municipal economy and informatization department shall be responsible for drafting the scope of key links of the relevant key industrial fields, and conducting re-review of award eligibility.

Competent industrial departments of all districts, in conjunction with the district finance departments, shall be responsible for the preliminary review of award eligibility within their respective jurisdictions.

Article 4 (Enterprise Eligibility Criteria)

To qualify for the Special Incentives, an enterprise shall meet all of the following conditions:

1. It shall fall within the key industrial fields as defined in Article 2 of these Measures, and its principal business scope shall cover the key links of the relevant industrial fields.

2. It shall be lawfully established in this Municipality for no less than one year and maintain a sound credit record.

3. The number of regular employees on the payroll as of the end of the relevant year shall not be less than 20.

4. It shall have achieved remarkable development outcomes, satisfying any of the following criteria:

(1) For an enterprise engaged in the key links of production and manufacturing, its output value in the relevant year shall be not less than RMB 500 million and maintain a certain growth rate compared with the previous year; or for other enterprises engaged in other key links, its main business revenue in the relevant year shall be not less than RMB 500 million and maintain a certain growth rate compared with the previous year (the growth rate shall be dynamically adjusted according to actual conditions of the relevant year).

(2) The actual amount of newly added fixed asset investment (including technological renovation investment) completed in the relevant year shall be not less than RMB 100 million (the specific amount shall be dynamically adjusted according to actual conditions of the relevant year).

(3) In the relevant year, it shall have been recognized (or recognized by a second evaluation) as any of the following titles: a state-supported key integrated circuit design and software enterprise, a National-level Enterprise Technology Center, a National Single Champion Manufacturing Enterprise, a Specialized, Refined, Distinctive and Innovative (SRDI) Little Giant Enterprise, or a National-level Industrial Design Center.

(4) The national or municipal key projects (tasks) undertaken by the enterprise shall have passed the acceptance review in the relevant year, and the enterprise's R&D investment in the relevant year shall exceed RMB 30 million and account for not less than 5% of its principal operating income (the R&D investment amount shall be dynamically adjusted according to actual conditions of the relevant year).

(5) It shall have continuously made R&D investment over the past three years, with an average annual R&D investment of not less than RMB 10 million (accounting for not less than 3% of its principal operating income in the relevant year), and an average annual growth rate of not less than 5%; and it shall have obtained no less than three intellectual property grants through independent R&D over the past three years (the average annual growth rate shall be dynamically adjusted according to actual conditions of the relevant year).

For enterprises that play a key and core role in the industrial chain of key fields, the matter may be studied by the municipal working mechanism and reported to the Municipal People's Government for examination and approval of the award eligibility.

Article 5 (Number of Awardees)

1. For the fields of software, high-end equipment, aerospace, advanced materials, and new energy, the number of incentive winners per enterprise shall generally not exceed 3% of the enterprise's regular employees on the payroll as of the end of the relevant year, and shall not exceed 20 persons.

2. For the fields of integrated circuits, artificial intelligence, and biomedicine, the number of incentive winners per enterprise shall generally not exceed 5% of the enterprise's registered employees on the payroll as of the end of the relevant year, and shall not exceed 30 persons.

3. For any enterprise for which the number of incentive winners calculated in accordance with the above ratios is less than five, the number may be determined as five.

For enterprises undertaking major national and municipal technological breakthrough tasks, as well as state-supported key integrated circuit design and software enterprises, the number of incentive winners may be determined in light of actual circumstances.

Article 6 (Eligibility Criteria for Awardees)

1. The awardee shall pay taxes in this Municipality in accordance with the law and maintain a good credit record.

2. Employees who have left their positions shall not be included in the scope of awardees (unless otherwise provided).

3. The awardee shall have achieved remarkable work performance, satisfying any of the following conditions:

(1) Hold a senior professional title.

(2) Hold a vocational skill level of Senior Technician and above (possessing a national vocational qualification certificate or vocational skill level certificate).

(3) The total wages and salaries received from the enterprise in the relevant year exceed RMB 300,000.

(4) The total wages and salaries received from the enterprise in the relevant year exceed 1.5 times the average wages and salaries of all employees of the enterprise in that year.

4 Among the approved awardees, R&D technical personnel and core backbone personnel engaged in production positions shall account for no less than 80%, and young talents under the age of 40 shall account for no less than 50%.

Article 7 (Incentive Amount)

1. The annual incentive shall be calculated and disbursed based on the gross salary level of the awardee in accordance with certain rules.

2. Calculated from the 2021 calendar year, the total cumulative incentive for a single individual shall not exceed RMB 1.5 million.

Article 8 (Issuance of Work Notice)

The municipal economy and informatization department shall, based on the actual development of the industries, issue a work notice on carrying out the annual Special Incentives, specifying the requirements for the award.

Article 9 (Review and Approval)

1. An enterprise that meets the eligibility criteria for the award may, in accordance with the requirements of the work notice, prepare a proposed list of awardees within its entity, calculate and confirm the incentive amounts.

2. The district industry competent departments, in conjunction with the district finance departments, shall review the eligibility of the enterprise and its proposed awardees.

3. For awardees whose applications have passed the review, the enterprise shall publicize the relevant information internally.

4. The municipal economy and informatization department shall conduct a re-examination of the enterprises that have passed the initial review, and shall review any proposed awardee for which exceptional circumstances have been reported during the public notice period.

5. The municipal working mechanism shall compile the review results, study and draft an annual overall awarding plan, and report it to the Municipal People's Government for approval.

Article 10 (Disbursement of Incentives)

1. The municipal economy and informatization department shall, based on the awarding plan approved by the Municipal People's Government, issue a notice of the name list of the annual incentive winners, specifying the awardees, the amounts, and the requirements for the disbursement of the award,

2. The municipal economy and informatization department shall disburse the incentive funds to the enterprise in accordance with the management requirements of the state treasury, and the enterprise shall pay the funds to the individual within 20 working days of receipt of the government incentive funds in the manner prescribed by the notice.

3. Prior to the disbursement of the incentives to the enterprise, the enterprise shall remain in normal operation in this Municipality. If there are any circumstances rendering the award no longer appropriate, the district-level authorities shall submit the relevant information to the municipal working mechanism for filing, after which the implementation of the reward may be terminated.

4. After the incentive funds are disbursed to the enterprise but before they are paid to the individual, if the awardee has left the enterprise or there are other circumstances rendering the award no longer appropriate, the enterprise may terminate the award and refund the corresponding funds. The payment (or refund) of the incentive funds shall be promptly reported to the municipal working mechanism.

The incentive funds shall be jointly borne by the municipal and district finances, with the municipal finance bearing 45% and the district finance bearing 55%. The portion borne by district finance shall be remitted to the municipal finance through the municipal-district fiscal settlement mechanism.

Article 11 (Credit Management)

The municipal working mechanism shall implement credit management for the enterprises receiving the Special Incentives. During the review stage for the Special Incentives, the mechanism shall adopt a credit commitment system, record the information on credit breaches of enterprises and individuals, and make and use such information in accordance with relevant provisions.

Article 12 (Accountability and Supervision)

1. The incentive funds shall be used for their designated purposes only, and any withholding or misappropriation thereof is strictly prohibited. Any enterprise that, without special circumstances, fails to disburse the incentive funds within the required time period as prescribed shall have its eligibility for incentives revoked for the following reward year.

2. The municipal working mechanism may conduct inspections or spot checks of the talents who have received the Special Incentives and their affiliated enterprises. If any non-compliance with eligibility criteria or relevant provisions is discovered, the municipal working mechanism may, depending on the severity of the violation, take measures including, but not limited to, conducting a supervisory interview, making a public notice of criticism, or disqualifying the enterprise and individuals involved from applying for special funds administered by the municipal economy and informatization department for a period of three years.

3. Where an act violates relevant laws, regulations, or disciplines — including but not limited to obtaining Special Incentive funds by fraud, falsification of information, or unauthorized alteration of the designated use of funds — the enterprise and responsible individuals involved shall be held accountable in accordance with relevant provisions.

Article 13 (Miscellaneous)

These Measures shall be interpreted by the municipal economy and informatization department and the municipal finance department.

These Measures shall take effect as of November 27, 2025, and shall remain valid until November 26, 2027. The incentives specified in these Measures shall not be claimed concurrently with similar policies.

For enterprises registered and operating in the Lin-gang Special Area of the China (Shanghai) Pilot Free Trade Zone, the relevant talent policies of the Lin-gang Special Area shall apply.