Issue 63

Shanghai Weekly Bulletin

No.4, September 2024

Shanghai Weekly Bulletin is an information service presented by the Foreign Affairs Office of Shanghai Municipal People's Government in collaboration with Wolters Kluwer to foreign-funded enterprises, foreign-related institutions as well as people from overseas living in Shanghai. Covering major national and Shanghai foreign-related news, event information, policy Q&A and interpretations in the past week, it keeps you up-to-date with the latest foreign-related policies and developments in Shanghai.

 

Laws and Regulations

【National】

1. China Issues Guidelines for the Development of Smart PoEs

【Keywords: Smart PoEs】

The General Administration of Customs (GAC) and other eight governmental departments issued on September 10, 2024 the Guidelines for the Development of Smart Ports of Entry (PoEs). The document proposes 17 measures in six aspects for the development of smart PoEs, including developing intelligent facilities and equipment, digitalizing operations and management, coordinating supervision, promoting ubiquitous services, advancing regional cooperation, and building digital foundation.

Source: China Customs

 

2. STA Issues Tax Refund Guidelines for Overseas Warehouses

【Keywords: Cross-border E-commerce; Export Tax Refund (Exemption)】

The State Taxation Administration (STA) recently issued the Operational Guidelines for Export Tax Refund (Exemption) for Overseas Warehouses in Cross-border E-commerce, in an effort to provide detailed tax management guidance for overseas warehouse companies in cross-border e-commerce, help them accurately understand the export tax refund (exemption) policies, get abreast of the tax refund (exemption) procedures, adapt to the new development situation of the sector, and promote the vigorous development of overseas warehouses in cross-border e-commerce.

Source: STA

 

【Shanghai】

1. Shanghai Issues Action Plan to Accelerate Green and Low-carbon Transition

【Keyword:Green and Low-carbon】

Shanghai Municipal People's Government recently issued the Action Plan of Shanghai on Accelerating Green and Low-carbon Transition (2024-2027). The document sets green and low-carbon transition goals in five key sectors including energy, industry, transportation, building and circular economy, and proposes institutional innovation and guarantee measures in eight aspects including improving technological innovation mechanism, and strengthening financial support mechanism.

Source: Shanghai Municipal People's Government

 

2. Shanghai Issues Document for the Development of a Global Fintech Center

【Keywords: Fintech Center】

The General Office of the Shanghai Municipal People's Government recently issued the Action Plan of Shanghai for the High-quality Development of a Global Fintech Center. The document proposes to build Shanghai into a world-leading fintech center in three to five years, and introduces 31 policy measures to meet the target. It will take effect on October 1, 2024, and remain valid until September 30, 2029.

Source: Shanghai Municipal People's Government

 

One Week in Shanghai

【Latest News】

1. Shanghai Launches International Container Transport Service Platform

【Keywords:International Container; Transport Service Platform】

The International Container Transport Service Platform (MaaS) system, jointly developed by the Shanghai Municipal Transportation Commission and Shanghai International Port Group, was officially launched on September 10, 2024. The system realizes the data query of container trucks and ships at 18 nodes in the international container transport export process and 14 nodes in the import process, and builds a sea-rail intermodal logistics information network spanning across 40 cities in nine provinces. Besides, it can shorten the order exchange process from 1-2 days to 3-4 minutes.

Source: International Services Shanghai

 

2. China's First Compliance Guidelines for Digital Operations in Biomedicine Issued

【Keywords: Biomedicine; Digital Operations】

China’s first Compliance Development Guidelines for Digital Operations in Biomedicine were officially released in Pudong New Area on September 12, 2024. The document includes requirements for participating entities, general principles for price evaluation, process standards, systems and data assets, covering all parties in the medical industry ecosystem. Through standardization, it seeks to integrate the industry chain, innovation chain, supply chain and standard chain deeply to promote the rapid transformation of scientific research and innovation results into industrial applications.

Source:Pudong Release

 

【Competitive Event】

1. 2024 Shanghai International Public Service Advertising Competition Kicks off

【Keywords: Public Service Advertising Competition】

The 2024 Shanghai International Public Service Advertising Competition was launched on September 13. With the theme “The Tide Comes from the East, the Future of Philanthropic Creativity Awaits You", the competition is divided into three thematic sections: "Beautiful World", "Cultural China" and "Tech Life". It conducts social solicitation and targeted invitations from all walks of life at home and abroad, encourages the use of digital forms such as generative artificial intelligence, VR/AR/XR, and games for ad creations, and sets up special contests to spur youth creativity and expedite corporate communication on philanthropic spirit. The competition encourages participation from all people to showcase the unique charm of Shanghai as an "International City of Digital Advertising".

Source: Shanghai Municipal Administration for Market Regulation

 

2. UIM F1H2O World Championship Grand Prix of Shanghai to Be Held

【Keywords: F1H2O World Championship】

The UIM F1H2O World Championship Grand Prix of Shanghai, China 2024 will be held at the Wusongkou International Cruise Terminal from October 4 to 6. By then, the organizers will arrange for 3,600 spectator seats at the approach bridge to the terminal, and hold a comprehensive carnival that blends sports competition, cultural tourism, leisure, and entertainment at the Lingdian Square near the terminal.

Source: International Services Shanghai

 

【Culture & Art】

1. Twenty-four Hours of Creation • Shanghai Intangible Cultural Heritage Exhibition Opens

【Keywords: Twenty-four Hours of Creation; Intangible Cultural Heritage】

The Twenty-four Hours of Creation • Shanghai Intangible Cultural Heritage Life Aesthetics Exhibition recently kicked off at EKA Tianwu (No. 535 Jinqiao Road, Pudong New Area). The exhibition features twelve classic works and innovative achievements of intangible cultural heritage, and demonstrates the value of intangible cultural heritage from the perspective of life aesthetics. It will last until October 17.

Source: Shanghai Public Art Cooperation Center

 

2. 2024 Shanghai International Horse Culture Week to Be Held

【Keywords: International Horse Culture Week】

The 2024 Shanghai International Horse Culture Week will be held at the Shanghai Juss International Equestrian Center from September 30 to October 7. The week-long event will be highlighted by "innovation" and bring many "firsts" in the equestrian world of Shanghai, China and even Asia, creating exclusive memories for the participants.

Source: Pudong Release

 

【Corporate Activities】

1. Honeywell's Shanghai Technology Experience Center Reopens After Renovation

【Keywords: Honeywell】

Honeywell's Shanghai Technology Experience Center, located in Zhangjiang Hi-Tech Park, has reopened after renovation. As a window for Honeywell to showcase its cutting-edge technologies, the experience center exhibits innovative technologies and advanced solutions from Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainable Solutions. The exhibition hall covers an area of over 1,400 square meters and has five theme exhibition areas. It is Honeywell's second largest technology experience center in the world

Source: Honeywell

 

Q&A

Q1: Officials with the National Medical Products Administration (NMPA) answered reporters' questions at a press conference on the theme "Promoting High-quality Development" held by the State Council Information Office. We have noticed that the Third Plenary Session of the 20th CPC Central Committee has made reform arrangements to promote the development of biomedicine, medical equipment and other industries. What specific plans does the NMPA have for implementing the relevant arrangements?

A1: The Resolution adopted at the Third Plenary Session of the 20th CPC Central Committee proposed to improve the policy and governance system to promote the development of strategic industries such as biomedicine, improve and strengthen the development system and mechanism of key industrial chains such as medical equipment, and improve the mechanism to support the development of innovative drugs and medical devices. Drug authorities are planning a package of policy measures to deepen drug regulatory reform in accordance with the deployment of the plenary session, focusing on creating a globally competitive pharmaceutical innovation ecosystem, accelerating the pace of bringing innovative drugs and medical devices to the market, and improving the quality and economic benefits of pharmaceutical industry. The reform measures will involve full process, multiple links, and profound significance. Here I will make some brief introductions:

Firstly, we will increase support for pharmaceutical R&D and innovation. We will strengthen service guidance in review and approval, inspection and verification of innovative drugs and medical devices that are supported by the state, and guide companies to stick to clinical value-oriented and patient-centered R&D strategies. We will step up policy publicity and technical consultation for product registration and declaration, integrate technical resources of national and provincial drug regulators, establish multi-channel and multi-level communication methods, and adopt online channels to run cloud-based classrooms for the review and approval of drugs and medical devices. We will improve the availability of innovative drugs and medical devices, implement the decisions and arrangements of the Party Central Committee on promoting the coordinated development and management of medical insurance, medical services, and pharmaceuticals, and support the introduction of innovative drugs and medical devices into hospitals and medical insurance.

Secondly, we would improve the efficiency of review and approval. We plan to speed up the review and approval of products that are urgently needed in clinical practices, add eligible products to the priority review and approval process, shorten the time limit for technical review, registration verification and registration inspection, and speed up the approval process. We plan to launch pilot operations in Beijing, Shanghai and other regions to shorten the review and approval period for innovative drug clinical trials from 60 workdays to 30 workdays. The review and approval procedures for drug supplementary applications have been optimized, and pilot projects have been launched in some provinces to provide post-market registration change verification and pre-registration inspection services, significantly shortening the review period for supplementary applications.

Thirdly, we support open cooperation in the pharmaceutical industry. We would strengthen the transformation and implementation of international general regulatory rules in China, support international multi-center clinical trials, and promote the simultaneous development, application, review, and marketing of global drugs in China. We will explore the segmented production of biological products, and carry out pilot projects for segmented production of innovative and clinically urgent biological products in some regions. We will increase support for the import and export of medicines, speed up the approval of new drugs that have been launched overseas, and encourage multinational companies to transfer their chemical drugs, biological products and high-end medical equipment to be produced in China. We will improve relevant policies on drug export sales certificates, encourage more Chinese pharmaceutical companies to participate in international trade and benefit all mankind on the planet.

Source: State Council Information Office

 

Expert Perspective

China FDI Review: Regulatory Updates of FDI in Modern Service

By: Zhao Yifan, Zhang Ziwei (ALLBright Law Offices)

[Continuing from the Last Issue]

II. Opening-up policy for modern service sector in pilot cities

On May 21, 2015, Beijing became the first comprehensive pilot city in China for expanding the opening-up of the service sector. On September 8, 2020, based on the successful experience of Beijing's three-year pilot implementation, Beijing has been upgraded from a "pilot city" to a "demonstration zone". After two expansions, Tianjin, Shanghai, Hainan, Chongqing, Shenyang, Nanjing, Hangzhou, Wuhan, Guangzhou and Chengdu have all been approved to carry out the pilot program. The opening-up areas include foreign investment access to some communication network businesses, access to commercial education institutions, conditional opening-up of financial businesses, and access to specific medical services and tourism services.

On July 3, 2024, Beijing Municipal Bureau of Commerce issued the Implementation Plan of Beijing for Expanding Opening-up of the Service Sector and Promoting Foreign Investment. The policy paper proposed more favorable measures for foreign investment in the National Comprehensive Demonstration Zone for Expanding Opening-up of the Service Sector in the fields of telecommunications, (including IDC, CDN, ISP, etc.), facilitation of cross-border data flow, and opening-up of the medical field (clinical trials such as stem cells, foreign doctors' clinics, genetic diagnosis and treatment technologies).

Since July 11, 2024, the State Council has adjusted the implementation of relevant provisions of the Interim Regulations on the Registration and Administration of Private Non-Enterprise Entities, the Regulation on Travel Agencies, the Regulation on the Administration of Entertainment Venues, the Regulation on the Administration of Commercial Performances, and the Special Administrative Measures for Foreign Investment Access (Negative List) (2021 Version) in six pilot cities including Shenyang, Nanjing, Hangzhou, Wuhan, Guangzhou and Chengdu for expanding the opening-up of the service sector. In terms of specifics of the policy adjustment, it covers foreign investment or engagement in non-profit medical institutions, non-profit nursing homes, outbound tourism business, Internet virtual private network business, app store information services, Internet access services provided to users, access to social survey business, entertainment venue operations, performance venue operating units, performance brokerage agencies, and approval authority for artists of foreign countries or Hong Kong, Macau and Taiwan to participate in commercial performances.

[To be continued]