Regulations of Shanghai Municipality on Promoting the Development of the Artificial Intelligence Sector
Regulations of Shanghai Municipality on Promoting the Development of the Artificial Intelligence Sector
(September 22,2022)
No.127
(Adopted at the 44th Session of the Standing Committee of the 15th Shanghai Municipal People's Congress on September 22, 2022)
Chapter I General Provisions
Article 1
With a view to promoting the high quality development of the artificial intelligence sector, strengthening new-generation artificial intelligence science and technology as a source of innovation, promoting in-depth integration of artificial intelligence and such areas as economy, people’s life, and urban governance, and creating a world-class cluster sector of artificial intelligence, these Regulations are formulated according to the relevant laws and administrative rules and in the light of the actual circumstances of this Municipality.
Article 2
Artificial intelligence (hereinafter referred to as AI) referred to in these Regulations means the theories, methods, technologies and application systems that use computer or computer-controlled machine to simulate, extend and expand human intelligence, perceive the environment, acquire knowledge and use knowledge to obtain the best outcomes.
The AI sector referred to in these Regulations means the development and production of software and hardware products, system application and integration services involved in the research, development and application of AI technologies, including the production of key basic components, intelligent software and intelligent terminals; and related sectors driven by the integrated application of AI technologies in economy, people’s life, urban governance and other fields.
Article 3
These Regulations shall apply to activities such as AI scientific and technological innovation, business development, application promotion and sector governance within the administrative area of this Municipality.
Article 4
In developing the AI sector in this Municipality, the principle of putting people first, developing science and technology for public good and pursuing innovation driven and market oriented development shall be followed, so as to establish a system of AI sectors featuring openness and integration, active innovation clusters, ubiquitous super scenarios as well as flexible governance and safety and security, and to build Shanghai into an AI leader with international standing.
Article 5
The Municipal People’s Government shall strengthen leadership over the development of the AI sector in this Municipality, take lead in formulating a plan for developing the AI sector, incorporate it into the plan for economic and social development, provide guidance and take coordinated steps to resolve major problems encountered in AI oriented science and technology innovation, business cultivation, application scenario development, and development of business environment.
The district people’s governments shall meet the overall requirements and arrangements of this Municipality, carry out work for AI development in areas under their administration, and strengthen the promotion of AI scenario application and the development of AI business environment.
The town/township people's governments and sub-district offices shall strengthen the application of AI technologies and enhance intelligent services and governance in communities.
Article 6
The municipal department of economy and informatization shall oversee the AI sector in this Municipality, and be responsible for planning, implementing, coordinating and promoting the development of this sector.
The municipal department of development & reform shall ensure coordination in launching major projects and developing the AI infrastructure.
The municipal department of science and technology shall support research of frontier AI basic theory and research, development and innovation of key AI technologies, promote the building of major science and technology innovation bases, improve governance of AI technologies and carry out other related work.
The municipal department for cyberspace administration shall ensure coordination in network security and the application of information technology in AI development. It shall be responsible for the governance, supervision and management of information contents of Internet networks and other related work.
The municipal department of market regulation shall be responsible for AI measurement, standards, inspection and testing, certification and accreditation, supervision over product quality and other related work.
The respective municipal departments for state-owned assets supervision and administration, human resources and social security, education, health, finance, statistics, and national security shall, within their scope of functions and duties, formulate policies and measures to promote work related to the development of the AI sector.
Article 7
The Municipal People’s Government shall set up a municipal AI development strategy advisory committee composed of experts from institutions of higher learning, research institutes, enterprises and other organizations to provide expert opinions concerning major strategies for and decisions on the development of the AI sector in this Municipality.
Article 8
The AI business association and other artificial intelligence-related business organizations (hereinafter referred to as the business organizations) shall safeguard the lawful rights and interests of their members in accordance with the law, promote research, development and extension of AI technologies and coordinated development of the sector, strengthen self-regulation of the sector, conduct statistics compilation and monitoring of the sector, and formulate development standards and norms, so as to promote the sound development of the AI sector.
Article 9
This Municipality shall encourage citizens, legal persons and other organizations to carry out innovative activities in the AI sector, with the exception of activities explicitly prohibited by laws, rules, regulations and relevant provisions of the State and this Municipality. The municipal department of economy and informatization shall, together with other relevant departments, explore the formulation of a negative AI list in research, application and other related areas.
Article 10
This Municipality shall promote the collaborative and integrated AI development in the Yangtze River Delta Region (hereinafter referred to as the Delta), and explore joint promotion of cross-regional alignment of AI development plans, mutual recognition of technical standards, sharing and mutual recognition of test data in key fields, and cost and benefit sharing of AI infrastructure development.
This Municipality shall expand cooperative AI development with other regions in China.
Article 11
This Municipality shall deepen international cooperation, and, through exhibitions and events such as the China International Import Expo and the World Artificial Intelligence Conference, host and introduce leading international AI academic conferences and joint innovation institutions, so as to provide a platform of international cooperation for relevant entities to participate in AI development and governance.
This Municipality shall support enterprises, institutions of higher learning, research institutes and other organizations to strengthen international cooperation in areas such as basic AI research, technology development, business development, standard formulation and personnel training.
Article 12
This Municipality shall promote the popularization of AI related science and technology, raise public awareness of new AI advances through radio, television, newspapers, the Internet and other media, and strengthen the guidance of ethical satety and values in the field of AI.
Chapter II Basic Elements and Scientific and Technological Innovation
Section 1 Basic Elements
Article 13
The municipal departments of economy and informatization and of development & reform shall strengthen the planning of computing infrastructure, promote the building of public computing infrastructure, promote green and low-carbon development of computing infrastructure, and support relevant entities in building computing infrastructure based on self-developed special AI computing framework for open use.
The municipal department of economy and informatization shall, together with the municipal departments of development & reform and of science and technology, formulate procedures for the supply of public computing resources, promote the building and utilization of public computing resource platforms, strengthen efficient use of computing resources, and, by means of allocating more computing power as a reward, provide support of public computing for the development and application of AI technologies, and ensure that small and medium-sized enterprises have easy access to public computing.
This Municipality shall encourage relevant entities to participate in the development of computing infrastructure, make market transactions of computing resources, guide various sectors to use computing resources in an efficient and orderly way, and ensure efficient use of computing infrastructure.
Article 14
This Municipality shall implement the national project of transmitting computing resources from East China to West China, work with other provinces and cities of the Delta to build in the Delta a national hub of the nationwide big data system, improve the development layout of data infrastructure, enhance the cross-network and cross-regional data exchange capacity of data s, guide data s to become efficient, larger, and green ones, and thus meet computing demand created by AI development.
Article 15
This Municipality shall support algorithm innovation, encourage relevant entities to conduct algorithm research and development through policy support and platform development, see that algorithm is reliable, and is hardware, module and platform based and is systematic in form, and promote the innovative development, application and use of algorithm models.
The municipal department of economy and informatization shall support relevant entities in building and operating open source platforms, open source communities, open source projects and other related projects that use self-developed technologies, promote the application of open source software projects in compliance with regulations, accelerate the commercialization of these projects, and foster a healthy open source environment.
Article 16
This Municipality shall promote the trading of algorithmic models. The municipal department of economy and informatization shall, together with the relevant departments, guide business organizations to formulate recommended catalogue of AI algorithm models, reduce the risk of algorithm model trading and improve its efficiency.
This Municipality shall encourage enterprises or third-party entities to conduct testing and evaluation of algorithm models. For algorithm models involving public interests, the entities involved shall be encouraged to submit evaluation reports to the municipal department of economy and informatization and other relevant competent departments, and explain the basic principle, purpose of design and other aspects of the algorithm in a way that the public can easily understand.
This Municipality shall strengthen protection of algorithm models and promote their lawful application and extension. The municipal department of economy and informatization shall, together with other relevant departments, explore a system of filing the tested and evaluated algorithm models for the record, with focus on AI related data set, algorithm design and model training.
This Municipality shall encourage business organizations to formulate guidelines for making algorithm innovation and promoting algorithm cooperation and improve the benefit sharing mechanism for trading of algorithm models.
Article 17
This Municipality shall promote the development of high-quality AI data sets and support relevant entities in fully integrating data with sectoral knowledge, develop data products, and meet algorithm designing, model training, product verification, scenario application and other demands.
This Municipality shall encourage relevant entities to conduct collaborative research and development of the big data and AI technologies, develop specialized tools and standards for data annotation, build a big data laboratory for AI training, and build a large AI database.
The municipal department of economy and informatization shall, together with relevant departments, conduct survey of data resources of the AI sector, strengthen compilation of available data resources in key areas and key enterprises and compilation of key data resources in the whole sector, and promote the development of the AI sector.
Article 18
This Municipality shall, through the mechanism of open public data, release a list of open and regularly updated public data on economic development, public service and urban governance and other sectors, promote category and tier based and orderly opening of public data in the fields of public health and self-driving, and expand the scope of public data supply to the AI sector. It shall support relevant entities in applying to access public data individually or jointly, and ensure the equitable use of open data by small and medium-sized enterprises, individual data developers and other entities.
This Municipality shall support AI enterprises in developing and using data generated in AI application, encourage enterprises to trade relevant data products through Shanghai Data Exchange and create data value and share data value-added yields in compliance with laws, rules and regulations, thus promoting data flow and trading in the AI sector.
Section 2 Scientific and Technological Innovation
Article 19
The Municipal People’s Government and its relevant departments shall formulate policies to encourage institutions of higher learning, research institutes and enterprises to conduct basic theoretical research on major and frontier scientific AI developments, and conduct research and development of key generic technologies.
This Municipality shall support institutions of higher learning, research institutes and enterprises to conduct AI oriented interdisciplinary research, and undertake major scientific, technological and business innovation projects.
Article 20
The Municipal People’s Government and its relevant departments shall strengthen support for major AI oriented scientific and technological infrastructure and major research platforms, provide service to relevant national laboratories and promote their innovation and development, enhance the performance of national key laboratories, and support the setting up of AI research institutes under institutions of higher learning, research institutes and enterprises.
Article 21
Institutions of higher learning, research institutes and enterprises may set up new research and development institutions of various forms, explore a model that integrates research, development, testing and application in keeping with the rapid development of new generation of AI technologies. Such institutions, institutes and enterprises may use market mechanism to integrate advanced AI technologies and quality resources, conduct research and development, train talents for innovation, apply and extend research outcomes, and conduct other such activities.
Article 22
This Municipality shall encourage institutions of higher learning, research institutes and enterprises to make innovation and conduct independent research and development in the whole AI sector, support the development, research and production of core systems and key hardware and software, and realize self-control of cutting-edge technologies and their application in the fields of underlying interfaces, generic algorithms and data processing protocols.
Article 23
This Municipality shall encourage institutions of higher learning, research institutes and enterprises to open large AI research instruments and facilities to public use.
The municipal departments of economy and informatization and of science and technology shall, together with relevant departments, improve the incentive mechanism for opening and sharing the use of large AI research instruments and facilities.
Article 24
This Municipality shall increase the share of AI oriented technological innovation projects in launching strategic emerging industrial projects; it shall strengthen support to AI oriented technological innovation, industrial foundation re-engineering, production demonstration and application in launching high-quality special industrial projects.
The municipal department of science and technology shall include a special AI project in the major scientific and technological innovation projects to be launched in this Municipality, so as to support research on basic theories and core technologies in the AI sector.
Article 25
This Municipality shall promote reform of screening and approval procedures as well as organization and management of research projects, grant AI innovation teams and their leaders greater power to decide what technological approaches to take and how to use their funds; it shall support giving flexible compensation and rewards to researchers who undertake major scientific and technological research projects in the AI sector.
This Municipality shall explore granting researchers ownership or long-term use right of their on-post AI scientific and technological achievements.
Article 26
This Municipality shall establish an incentive mechanism to promote commercialization of AI focused scientific and technological achievements, and encourage entities involved to engage in cooperation in commercializing scientific and technological achievements. It shall support researchers in institutions of higher learning and research institutes to leave their posts to start businesses or start businesses on post, or engage in commercializing scientific and technological achievements in enterprises on a part-time basis. It shall encourage setting up professional service agencies of various types to commercialize AI focused scientific and technological achievements.
Chapter III Development of the AI Sector
Section 1 General Provisions
Article 27
This Municipality shall foster a good development environment for AI enterprises, take steps to improve the business environment for promoting integrated AI software and hardware development, strengthen clusters of AI enterprises, and establish a well-functioning AI business chain.
Article 28
The Municipal People’s Government and its relevant departments shall formulate measures to encourage leading domestic and foreign AI enterprises to establish headquarters and expand new businesses in Shanghai. They shall strengthen policy support in terms of financing, research and development, attracting talents and market access to leading enterprises with strong innovation capability, to boost their core technologies and business performance and help them grow into leading world-class technological enterprises.
This Municipality shall encourage first-class Chinese and foreign research institutes and talent teams to operate in Shanghai and incubate and foster AI start-ups.
Article 29
This Municipality shall support leading AI enterprises in opening up their AI operating systems, algorithm frameworks, generic technologies and data resources, so as to spur coordinated development of both the upstream and downstream of the business chain, and thus creating an enabling business environment for AI development.
Article 30
This Municipality shall build AI industrial parks, introduce more AI projects, and promote cluster development in the AI sector.
This Municipality shall encourage the AI industrial parks to provide services such as attracting talents, intellectual property protection, listing guidance, providing investment and financing service, and rent reduction and exemption.
The municipal department of economy and informatization as well as other relevant departments may, in accordance with relevant provisions, evaluate the degree of intelligence of the AI industrial parks.
Article 31
This Municipality shall ensure coordinated use of various special funds to support basic research, technological innovation, commercialization of research outcomes as well as their demonstration and extension, talents attraction and important international cooperation and exchange initiatives in the AI sector. Districts in this Municipality may provide due support to enterprises, institutions or projects supported by such municipal funds.
The municipal and district finance departments shall strengthen special support to qualified innovation projects, with focus on new technologies and products such as the first round of AI chips taped out, the first set of AI major technological equipment, the first version of AI software application, and the first version of AI software products; they shall explore ways of support such as providing loans with interest discount.
This Municipality shall encourage investment in AI research and development. Enterprises may include the innovation costs of AI products and technologies in their research and development expenses, and such costs shall be eligible for additional tax deduction coverage according to the provisions of the State.
Article 32
For key AI projects that meet the development goals of the AI sector, the relevant municipal and district departments may, according to relevant provisions, support them in terms of determining the nature of land use for such projects, floor area ratio, and building height; they shall give priority support to these projects in terms of computing energy consumption indexes, terminal communication spectrum resources, project power capacity connection and transmission, etc.
Article 33
This Municipality shall guide private capital to support the development of the AI sector through multiple channels such as venture capital, venture capital fund and capital market financing.
This Municipality shall encourage investment by state-owned capital in the AI sector; the municipal department for state-owned assets supervision and administration shall, according to relevant provisions of the State and this Municipality, establish a well-functioning system for state-owned assets supervision and administration to facilitate the development of the AI sector. This Municipality shall establish an AI development fund and other government-managed funds to leverage the role of industrial investment guiding fund and mobilize various private resources, with focus on support for early-stage projects and high-growth start-ups in the AI sector.
The municipal departments of local financial regulation and of economy and informatization shall support qualified AI enterprises to list for financing on the Science and Technology Innovation Board and other capital markets.
This Municipality shall encourage banks and other financial institutions to provide special loan support for AI enterprises.
Article 34
This Municipality shall encourage institutions of higher learning to open AI-focused disciplines and interdisciplinary subjects, support enterprises, institutions of higher learning and research institutes to jointly build integrated production-education bases and strengthen the training of interdisciplinary personnel.
This Municipality shall improve standards for evaluating AI professionals, and promote the evaluation of medium and senior professional titles of AI engineering and technical personnel and the examination and evaluation of AI trainers; it shall explore the introduction and application of international vocational AI training programs, and implement training and evaluation of digital technology engineers.
The municipal department of economy and informatization shall, together with the municipal department of human resources and social security and other relevant departments, give preferential policy support to top-level, highly skilled and urgently needed AI personnel, and provide assistance to them when they apply for household registration and residence permits and for accessing housing, medical security, children’s schooling and other services.
Article 35
This Municipality shall strengthen the protection of AI intellectual property rights, improve the mechanism of interactive support for AI technological innovation, intellectual property rights protection and standardization, see that AI innovations acquire intellectual property rights, and promote the application and popularization of new AI technologies. This Municipality shall, acting in accordance with the relevant provisions of the State and this Municipality, support the coverage of relevant AI patent applications by the rapid patent review and confirmation services, and improve the system of collaborative protection, rapid safeguarding and overseas safeguarding of AI intellectual property rights.
Article 36
This Municipality shall encourage relevant insurance institutions to develop, in accordance with the relevant provisions of the State, insurance products designed for the AI sector and cover the whole-cycle business activities such as product research, development, production, marketing and application.
This Municipality shall support relevant entities in purchasing relevant insurance products when using AI products and services.
Article 37
The Municipal People’s Government and its relevant departments shall support the AI enterprises and relevant sector organizations in this Municipality in playing a guiding role in the formulation of national, sectoral and local AI standards and in participating in the formulation of technical standards for such aspects as algorithm performance, data security, privacy protection, product compatibility, performance testing.
The municipal department of market regulation shall, in light of the actual development of the AI sector in this Municipality, formulate local AI standards, and guide the Municipal Artificial Intelligence Standardization Technology Committee to enhance its work concerning local standardization technologies. The respective municipal departments of market regulation and of economy and informatization shall guide AI enterprises and relevant sectoral organizations to engage, in advance, in study and formulation of AI related enterprise standards and group standards. On the basis of voluntary application and third-party evaluation, those standards that are recognized as advanced both domestically and internationally may use the special logo of AI Shanghai Standard in their standard texts.
Article 38
This Municipality shall establish a statistical and classification system for the AI sector. The municipal statistics department shall, together with the municipal department of economy and informatization, formulate statistical classification standards for the AI sector, conduct statistical survey as well as monitoring and analysis of the AI sector, so as to provide support for evaluating the development trend of the sector and formulating policies and other measures.
Section 2 Promotion of Priority Areas
Article 39
This Municipality shall closely follow the global development trend of AI technologies and the AI sector, leverage its industrial strengths and development foundation, increase policy support, build an innovation system and promote cluster development to advance high-quality development of basic hardware, key software, intelligent products, etc.
Article 40
This Municipality shall support relevant entities in conducting innovation in designing high-performance smart chips based on advanced architecture, developing cloud chips and cloud smart servers, using brain-like chips and enhancing collaborative adaptation of software and hardware. It shall support the joint building of platforms for research and development, testing and application, strengthen technical collaboration and connectivity of chip architectures, increase the competitiveness of smart chip products and technologies and foster an ecosystem for smart chip application.
The municipal departments of development & reform, and of economy and informatization shall promote the application of intelligent chips using self-developed technology in major projects such as computing infrastructure.
Article 41
This Municipality shall support relevant entities in strengthening research, development and application of AI framework software, developing the tool system of engine framework, deepening the application of AI frameworks and platforms; it shall support these entities in strengthening the mutual adaptation, performance improvement, application and promotion of AI framework software, chips and other hardware.
This Municipality shall support relevant entities in developing AI system software and developing and promoting machine self-learning systems; it shall encourage these entities to develop intelligent-product-oriented operating systems and promote the development of various application functions.
Article 42
This Municipality shall promote standardization and modular development of intelligent robot hardware and software systems, support the creation of operators of intelligent robot system integration, and encourage relevant enterprises, product users and financial institutions to expand the application scenarios of intelligent robots by means such as product leasing and purchase of services.
The municipal departments of economy and informatization and of market regulation shall encourage relevant sectoral organizations to formulate standards for robot intelligence level classification, application safety testing, etc., provide guidance for creating new generation intelligent robot technologies, and ensure the information security of intelligent robots and their safe use.
Article 43
This Municipality shall support self-development and industrial application of key technologies, operating systems, exclusive chips and core components of intelligent Internet connected vehicles.
This Municipality shall support relevant entities in conducting test, application demonstration and operation demonstration of intelligent Internet connected vehicles on highways (including expressways), urban roads (including urban expressways) and within specific areas of this Municipality as permitted by relevant provisions. The specific provisions shall be formulated by the municipal departments of economy and informatization, of transport and of public security.
Article 44
This Municipality shall encourage the development of the unmanned aerial vehicles sector, support the building of test bases (test areas) for civilian unmanned aerial vehicles, takeoff and landing sites and airports for general use for unmanned aerial vehicles, and a platform of management and services for unmanned aerial vehicle operation. This Municipality shall strengthen coordinated regulation by various government departments, provide air route planning, electronic fence setting and other services through such a platform, and support the expansion of application scenarios of unmanned aerial vehicles.
This Municipality shall encourage the development of the unmanned ships sector, improve support systems such as electronic waterway mapping and intelligent shipping communication for unmanned ships, and conduct waterway test for unmanned ships in designated areas.
Article 45
This Municipality shall support relevant entities in conducting research and development of key technologies for producing AI medical instruments, and give greater support to making breakthroughs in areas such as intelligence-assisted diagnosis algorithm, surgical positioning and navigation, and integrated brain-computer interfaces. This Municipality shall strengthen guidance and services for registration and approval of AI medical instruments, and support the coverage of relevant innovative products by national special approval procedures for innovative medical instruments; it shall support exploring fee charging models for clinical application of qualified AI medical instruments.
Chapter IV Enabling AI Application
Section 1 General Provisions
Article 46
This Municipality shall promote large-scale AI application in economy, people’s life, urban governance and other fields, speed up digital transformation, and encourage relevant organizations to carry out activities such as research and development, manufacturing, service, and management by using AI technologies and products and through product leasing, service procurement, system integration, financial lease and other ways.
The municipal department of economy and informatization shall, together with other relevant departments, formulate an AI demonstration application list and regularly update it, and guide relevant entities to promote AI application in economy, people’s life, urban governance and other fields.
The government departments, public institutions, state-owned enterprises, and other organizations having public administration functions mandated by laws, rules and regulations shall take lead in implementing the AI demonstration application list, upgrade the procurement system as needed, improve the transaction mechanism, and purchase and use safe and reliable AI products and services.
Article 47
This Municipality shall promote the application of innovative AI products and services. It shall provide support to qualified new products and their first-launched applications according to relevant policies. The government procurement managers may, upon approval according to law, purchase through non-public bidding innovative products that meet the amount standard for public bidding.
The municipal department of economy and informatization shall, together with the municipal department of science and technology, include qualified AI products and services in the catalogue of recommended innovative products of this Municipality.
Article 48
This Municipality shall establish an open system of AI application scenarios. The municipal department of economy and informatization shall establish and improve relevant incentive mechanism, regularly collect application scenarios demands and demonstration solutions and publish a list of them, build a real scenario testing environment, and promote scenarios cultivation, discovery and implementation as well as extension of demonstration scenarios.
Relevant entities involved in AI application shall promote the improvement and upgrading of application scenarios and their continued operation. Multiple entities such as third-party service providers and financial institutions shall be encouraged to participate in the development and operation of AI scenarios.
Article 49
The relevant municipal departments shall organize sectoral business organizations to formulate ways of evaluating the performance of AI application, establish a mechanism of evaluating the intelligent performance of AI products and applications, explore the evaluation of the general social impact of such products and applications, and promote in-depth AI application and its continuous innovation.
Article 50
Pudong New Area shall leverage its role as a leading area for AI innovation and application, launch trials of institutional innovation in the field of AI, and accelerate mutual promotion and development of leading sectors such as AI, integrated circuits and biomedicine.
Pudong New Area shall explore the establishment of systems for evaluating AI assets such as computing power, algorithm models and high-quality data sets, encourage relevant sectoral business organizations to formulate guidelines for evaluating AI assets, establish indicators for evaluating AI assets, and support relevant institutions in evaluating AI assets in Pudong New Area.
The relevant municipal departments and the People’s Government of Pudong New Area shall, in accordance with the relevant provisions of the State and this Municipality, intensify efforts to conduct trials of innovation in such fields as commercial operation of intelligent Internet connected vehicles, making technological breakthrough in research and development of AI medical instruments and AI-assisted drugs, and testing and operation of unmanned aerial vehicles and unmanned ships.
Section 2 AI Application in the Economy
Article 51
This Municipality shall promote full integration and innovation of AI and information technology with the manufacturing sector, and promote integrated application of key technologies and equipment and core supporting software of intelligent manufacturing, industrial Internet and other integrated systems. It shall adopt special policies for promoting high-quality development of economic sectors to support enterprises in carrying out technological upgrading, and promote digital and intelligent transformation of the manufacturing industry.
Article 52
This Municipality shall promote in-depth integration of AI and big data with the financial sector, encourage the financial sector to improve its capacity of processing and understanding financial multimedia data, promote intelligent transformation of the financial sector, and develop innovative intelligent financial products and services.
This Municipality shall support financial institutions and other market entities in applying AI technologies and equipment such as intelligent investment advisor, intelligent customer services and intelligent risk control, so as to improve the capacity of intelligent early warning, prevention and control of financial risks.
Article 53
The relevant municipal departments shall support enterprises in using AI-based new business services and decision-making systems; it shall encourage them to develop and use new technologies such as trans-media analysis and reasoning and knowledge computing engine in conducting business, so as to promote intelligent transformation of business activities.
Article 54
The relevant municipal departments shall take measures to promote digital and intelligent upgrading of handling of goods, transportation services and station facilities; they shall support enterprises in developing and using emerging intelligent logistics equipment for intelligent loading, unloading, transportation, sorting and packaging, processing, distribution, etc., and enhance automatic and intelligent operation of logistics links.
Section 3 AI Application in People's Life
Article 55
This Municipality shall encourage the application of AI technologies in the Internet, the use of AI to improve the matching and predictability of information search, expand ways of content generation and interpersonal interaction in public intercourse, and promote integrated online and offline development of e-commerce.
Article 56
This Municipality shall promote AI application in all aspects of education such as teaching, management and resource development on a regular basis, and establish a new modernized educational system and an innovative talent training system essential for an era of intelligence. It shall build digital twin schools, explore the development and use of digital experiment, actual training, venues, etc., explore the use of AI technologies to expand the supply of educational resources, and build an intelligent and open platform of educational resources.
This Municipality shall encourage educational institutions and enterprises to provide intelligent, targeted and personalized services for various learning scenarios to help build an environment of intelligent education.
Article 57
This Municipality shall promote innovative AI application in the medical field, build intelligent medical infrastructure, establish a new model of AI-enabled medical services, improve capacity for making innovation in medical technology, and promote intelligent transformation of the medical sector. It shall support medical institutions, enterprises and other entities in using and developing human-machine intelligent medical systems, and encourage the development of flexible, wearable, and biologically compatible intelligent physiological monitoring systems.
Article 58
This Municipality shall promote AI application to upgrade urban elderly care, and speed up intelligent transformation and upgrading of urban infrastructure for elderly care. It shall encourage relevant entities to use AI technologies, intelligent terminals, digital platforms, etc., to provide convenient services for the elderly and encourage relevant entities to develop intelligent products and services suitable for elderly care.
Section 4 AI Application in Urban Governance
Article 59
This Municipality shall promote AI application to enhance modernized urban governance capacity and increase the application of and investment in AI technologies in such areas as development of government information systems.
This Municipality shall strengthen integrated development of Government Online-Offline Shanghai and Integrated Online Administration, develop AI platforms to facilitate government services and decision-making, apply AI technologies in an innovative way, and strengthen regular, intelligent and accurate monitoring over urban administration.
Article 60
This Municipality shall strengthen development of intelligent urban infrastructure, promote well-planned deployment of intelligent terminals such as videoing and imaging, monitoring and sensing as well as control and execution, strengthen integrated application of AI technologies and the Internet of Things, and support precise interaction between the physical city and the digital city.
Article 61
This Municipality shall build an intelligent for urban administration, establish a distributed multi- key urban data system, promote cross-departments, cross-sectors and cross-regions data collaboration, technology collaboration and business collaboration, encourage development of AI solutions to different application scenarios in a digital city, and build a twin urban digital platform.
Article 62
This Municipality shall promote all round AI scenario applications in urban governance, deepen full AI application in such fields as community governance, public security and safety, traffic management, emergency response, market regulation, ecological and environmental protection, planning and construction, and building glass facade management, improve the city’s overall administration and decision-making, and improve its capacity to prevent and respond to public health emergency and other emergencies.
Article 63
This Municipality shall support developing an intelligent judicial system, integrate its functions such as data application, judicial openness and tracking on a regular basis, promote AI application in such aspects as case transfer, evidence collection, case analysis, reading and analysis of legal documents, and improve the intelligent operation of the judicial system.
Chapter V Governance and Security of the AI Sector
Article 64
This Municipality shall, guided by the overarching vision on national security, both promote the development of the AI sector and ensure its security, and ensure the security of the industrial chain and the supply chain. The relevant departments shall conduct security inspection and supervision over the application of AI in accordance with the law.
Article 65
The Municipal People’s Government and its relevant departments shall closely follow the development of new technologies, new businesses, new forms of business and new models of AI, adapt to the rapid AI generation upgrading, formulate, modify or abolish the relevant regulatory rules and standards, explore tier-based governance and sandbox regulation, motivate various entities to make innovation, and expand the development space of AI.
High-risk AI products and services shall be placed under list management and subject to compliance review in accordance with the principle of necessity, legitimacy and controllability. The governance model of pre-disclosure and post-control shall be adopted for low- and medium-risk AI products and services, so as to promote their trial application. The relevant procedures shall be formulated separately by the Municipal People’s Government.
The relevant municipal departments may, in accordance with the law, formulate a list of imposing no administrative penalties on minor illegal acts committed in the AI development; they shall urge citizens, legal persons and other organizations to engage in production and business operations in compliance with the law by taking measures such as making criticism, giving guidance and having face-to-face meeting with them.
Article 66
This Municipality shall set up an expert committee on AI ethics, which shall perform the following duties:
1. taking lead in formulating ethical AI guidelines;
2. giving guidance to institutions of higher learning, research institutes, enterprises and relevant business organizations in conducting research and exploration of theories on AI ethics, and promoting participation in discussions of major AI ethical issues and formulation of norms at home and abroad;
3. encouraging AI enterprises to explore the establishment of a system of ensuring ethical safety;
4. assessing potential risks of AI application in key areas such as people’s life, health and public security and safety;
5. providing ethical AI consulting, and providing consulting services for decision-making by relevant governments departments; and
6. conducting activities to raise public awareness of AI ethical safety.
Article 67
In making AI research, development and application, relevant entities shall abide by the laws, rules and regulations and observe ethical standards. They shall not engage in any of the following acts:
1.providing products or services that endanger state security or public security;
2.providing products and services that endanger a user’s personal safety or property safety or infringe upon personal privacy or personal information rights and interests;
3.providing products and services that discriminate against a user because of his/her ethnicity, race, sex, age, occupation, or religious belief;
4.using algorithmic technology to commit acts that infringe on the rights and interests of consumers such as price discrimination or consumer fraud, or to commit acts of monopoly or unfair competition;
5.using deep synthesis technology to conduct acts prohibited by the State; or
6.other acts that violate relevant laws, rules, regulations, public order or fine customs.
Article 68
An entity that provides services by using biometric identification technology and an entity that provides technical support (hereinafter referred to as the biometric identification service providers) shall take secure and controllable technical safeguard measures and establish and improve the algorithm management systems. The municipal department of cyberspace administration and other relevant departments shall strengthen supervision over biometric information, and supervise biometric identification service providers and give guidance to them as they provide such services.
Article 69
When using AI technologies to provide assistance for making such decisions as labor discipline management, employee job assignment, recruitment and promotion, the employing institution shall comply with laws, rules, regulations and ethical norms and shall not set up discriminatory conditions; they shall protect the lawful rights and interests of employees.
Article 70
This Municipality shall strengthen AI application in such fields as education, medical care, elderly care, care for the young, assistance to the disabled, so as to improve the quality of life of the elderly, the disabled, women, minors and other special groups. When providing intelligent public services, full consideration shall be given to the needs of special groups such as the elderly, the disabled, women and minors and alternative services shall be provided as called for.
Chapter VI Supplementary Provisions
Article 71
The AI technologies referred to in these Regulations are those listed in the Development Plan for the New Generation of Artificial Intelligence formulated by the State Council, including machine learning, knowledge mapping, natural language processing, computer vision, human-computer interaction, biometric identification, virtual reality (augmented reality) and other key technologies.
Article 72
These Regulations shall be effective as of October 1, 2022.