CHINA  SCIENCE  AND  TECHNOLOGY
NEWSLETTER
The Ministry of Science and Technology
People's Republic of China
 
N0.271 September 20,2001

SPECIAL  FEATURE

Catalog on Advantageous Industries for Foreign Investment  in Middle and West Regions
(Effective data: June 16, 2000)

For the purpose of implementing the nation's west development strategy, encouraging the utilization of foreign capital, introducing advanced technologies and equipment, developing relatively advantageous industries and technically advanced enterprises in the middle and west regions, promoting the optimization and upgrading of industrial structures and stimulating the improvement of the quality of overall economy of the regions, this Catalog is promulgated in accordance with the nation's industrial policies.
On the basis of the existing conditions of the middle and west regions, the Catalog has defined the industries and products of distinctive advantages or potentials in terms of environment, resources, manpower, production, technology and market. The middle and west regions shall, by taking advantage of foreign capital, foreign advanced technologies or equipment, modern management systems and international market, promote the fast growth of these industries and products and make them the economic growth points with local characteristics, promoting the transformation and upgrading of the industrial, technical and economic structures in the regions. In the meanwhile, these industries and products fall in the categories supported or encouraged for development by the nation's industrial policies.
The foreign-invested construction projects under the Catalog shall enjoy the policies provided by the encouraging categories in the Interim Regulations on Guiding Foreign Investment Orientation and the relevant favorable policies stipulated by the Circular on Further Encouraging Foreign Investment (No.73, 1999) issued by the Ministry of Foreign Trade and Economic Cooperation and recommended by the Administration Department of the Chinese State Council.
The projects established before the effective date of this Catalog but remaining under construction shall be implemented in accordance with the relevant policies provided by this Catalog.
When approving foreign investment projects in the middle and west regions in accordance with the Catalog, the competent authorities shall fully act on the nation's industrial policies and strictly implement competent state laws and regulations, and make the verification checks in the light of the existing terms of approval and procedures. In the meanwhile, attention shall be paid to the improvement of production and technical level and optimizing products composition, rational utilization of resources and protection of ecological environment, and avoiding redundant construction and inappropriate expansion of production scales.
The state will, according to the demands of the economic development and the changes in both domestic and overseas markets, readjust or revise the catalog when appropriate.
Catalog on Advantageous Industries for Foreign Investment in Provinces, Autonomous Regions and Municipalities under Direct Jurisdiction of the Central Authorities in the Middle and West Regions

Shanxi Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Manufacturing of non-phosphorous washing powder
4. Technical transformation of cotton industries and printing/dyeing industries
5. Manufacturing of new textile machinery
6. Construction and operation of highways, independent bridges and tunnels
7. Development of applied coal processing technologies and associated products manufacturing
8. Deep processing of coal tar
9. Exploration, development and utilization of coal gas bed resources
10. Construction and operation of thermal power stations with single unit capacity of 300,000 KW or above
11. Exploration and development of copper resources (independent foreign investment shall not be allowed)
12. Development and manufacturing of high performance NdFeB materials and rare earth electric motors.

Inner Mongolia Autonomous Region
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Manufacturing of health wines
4. Leather finishing and high-grade leather products manufacturing
5. Dairy products processing
6. Technical transformation of wool textile and wool knitting industries
7. Construction and operation of highways, independent bridges and tunnels
8. Development of applied coal processing technologies and associated products manufacturing
9. Exploration, development and utilization of coal gas bed resources
10. Construction and operation of thermal power stations with single unit capacity of 300,000 KW or above
11. Construction and operation of wind power stations
12. Rare earth minerals processing and associated products manufacturing
13. Exploration and development of copper resources (independent foreign investment shall not be allowed)
14. Processing of Chinese and Mongolian traditional medical herbs

Heilongjiang Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Deep processing of soy beans and corns and associated products development and manufacturing
4. Technical transformation of wood pulp and paper making mills
5. Flax textile and associated products manufacturing
6. Construction and operation of highways, independent bridges and tunnels
7. Development of applied coal processing technologies and associated products manufacturing
8. Exploration, development and utilization of coal gas bed resources
9. Exploration and development of copper resources (independent foreign investment shall not be allowed)
10. Technical transformation of sophisticated aluminum material processing industries
11. Manufacturing of electrician instruments and intelligent power grid management and control system
12. Computer software development
13. Development and manufacturing of new electronic components and parts
14. Graphite mining, processing and associated products manufacturing
15. Manufacturing of raw medical materials for antibody production
16. Manufacturing of frozen, dried, powdered Chinese traditional medicines and injections

Jilin Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Construction and operation of advanced agricultural crops and domestic animal species breeding bases
3. Timber afforestation and introduction of advanced timber species
4. Integrated utilization of agricultural by-products such as corn stalks
5. Technical transformation of chemical fiber and pulp industries and associated integrated utilization
6. Construction and operation of highways, independent bridges and tunnels
7. Construction and operation of wind power stations
8. Deep processing of ethylene lower end products and fine chemical products manufacturing
9. Manufacturing of auto components and parts
10. Manufacturing of auto electronic components and parts
11. Development and manufacturing of high performance NdFeB materials and rare earth electric motors
12. Development and manufacturing of LCD monitors
13. Development of software for computers
14. Growing and processing of medical herbs and development of new medicine manufacturing techniques
15. Bioengineering medicine manufacturing techniques

Anhui Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Technical transformation of cotton industries
5. Development and manufacturing of carbon fibers
6. Construction and operation of highway, independent bridges and tunnels
7. Development of applied coal processing technologies and associated products manufacturing
8. Exploration, development and utilization of coal gas bed resources
9. Exploration and mining of non-metal mines and associated products deep processing
10. Manufacturing of farming machinery
11. Manufacturing of copper based electronic products
12. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities.

Jiangxi Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Manufacturing of high-grade daily ceramics (exclusive of blue-white porcelain)
5. Ramie textile and associated products manufacturing
6. Construction and operation of highways, independent bridges and tunnels
7. Development of applied coal processing technologies and associated products manufacturing
8. Exploration, development and utilization of coal gas bed resources
9. Smelting and processing of rare metals (rubidium、cesium、cobalt、tantalum、niobium)
10. Manufacturing of wet phosphorus acid and highly concentrated NPL compound fertilizers
11. Development and manufacturing of new electronic components and parts and electronic illumination materials
12. Processing of Chinese traditional medical herbs and medicines
13. Development and manufacturing of fermenting techniques and recipes
14. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Henan Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Technical transformation of cotton industries and printing/dyeing industries
4. Construction and operation of highways, independent bridges and tunnels
5. Development of applied coal processing technologies and associated products manufacturing
6. Construction and operation of thermal power station with single unit capacity of 300,000 KW and above
7. Technical transformation of copper processing industries
8. Mining and processing of natural soda
9. Development and manufacturing of new electronic components and parts
10. Manufacturing of new digital products and supporting components
11. Integrated automatic electric power management system and manufacturing of electrician instruments
12. Processing of advanced float glass
13. Growing and processing of Chinese traditional medical herbs

Hubei Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Rational development, utilization and protection of water resources
5. Aquatic products breeding and deep processing
6. Technical transformation of cotton industries and printing/dyeing industries
7. Processing of high-grade clothing materials and garments
8. Construction and operation of highways, independent bridges and tunnels
9. Construction and operation of wind power station
10. Mining of phosphorus and manufacturing of highly concentrated phosphorus compound fertilizer, phosphorus and salt chemical products
11. Manufacturing of auto components and parts
12.  Manufacturing of large environment protection equipment
13. Development and manufacturing of new electronic components and parts
14. Mining and deep processing of graphite

Hunan Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Red soil transformation projects
5. Rational development, utilization and protection of water resources
6. Manufacturing of high-grade daily ceramics
7. Ramie textile and associated products manufacturing
8. Construction and operation of highways, independent bridges and tunnels
9. Development of applied coal processing technologies and associated products manufacturing
10. Mining and selecting of iron and manganese ores and deep processing of series manganese products
11. Designing and assembling of large integrated circuits
12. Manufacturing of semi-finished and finished products of Chinese traditional medical herbs and medicines

Guangxi Zhuang Nationality Autonomous Region
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Deep processing of rosin
5. Aquatic products breeding and processing
6. Integrated utilization of cane sugar production
7. Construction and operation of highways, independent bridges and tunnels
8. Development, construction and operation of hydraulic power resources
9. Mining of non-ferrous metals such as indium and zinc (independent foreign investment shall not be allowed)
10. Technical transformation of industries manufacturing salt fluoride, salt chloride, and phosphate compound
11. Development and manufacturing of new electronic components and parts
12. Manufacturing of semi-finished and finished products of Chinese traditional medical herbs and medicines
13. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities
 
Sichuan Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Construction and operation of advanced agricultural produce bases
4. Integrated utilization of bamboo resources
5. Transformation of the production lines of cotton, hemp and silk industries
6. Construction and operation of highways, independent bridges and tunnels
7. Development of applied coal processing techniques and associated products manufacturing
8. Development, construction and operation of hydraulic power resources
9. Mining and processing of vanadium and titanium minerals ( independent foreign investment shall not be allowed)
10. Development of natural gas resources and manufacturing of natural gas based chemical products
11. Development of software for computers and manufacturing of network products  
12. Manufacturing of new digital products and associated components
13. Manufacturing of new electronic components
14. Development and production of Chinese traditional medical herbs, medicines and plant based chemical materials
15. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Chongqing Municipality
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Rational development, utilization and protection of water resources
5. Ecological environment protection and control for reservoir area
6. Technical transformation of ramie textile and associated products manufacturing
7. Construction and operation of highways, independent bridges and tunnels
8. Construction and operation of urban subways and light rail system (Chinese partners shall occupy dominant equity)
9. Prospecting and mining of natural gas and manufacturing of natural gas based chemical products
10. Manufacturing of auto and motorcycle parts and electronic components
11. Manufacturing of large environment protection facilities
12. Manufacturing of large automation control system
13. Manufacturing of semi-finished and finished products of Chinese traditional medical herbs and medicines
 
Yunnan Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Introduction, development and operation of flowers and growing techniques; construction and operation of modern flower gardens
4. Integrated utilization of bamboo resources
5. Growing and processing of natural spices and edible fungus
6. Rational development, utilization and protection of water resources
7. Dianchi Lake pollution control and associated environment protection projects
8. Development and manufacturing of green foods and health foods
9. Integrated utilization of cane sugar production
10. Construction and operation of highways, independent bridges and tunnels
11. Development of applied coal processing techniques and associated products manufacturing
12. Mining of phosphorus and manufacturing of highly concentrated phosphorus compound fertilizer and phosphorus chemical products
13. Development and manufacturing of Chinese traditional medicines and biomedicines
14. Development, construction and operation of tourist scenic areas (spots) and  associated supporting facilities
 
Guizhou Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Integrated utilization of bamboo resources
4. Rational development, utilization and protection of water resources
5. Construction and operation of highways, independent bridges and tunnels
6. Development of applied coal processing techniques and associated products manufacturing
7. Technical transformation of titanium smelting and processing industries
8. Development of lower grade and difficult metal mines
9. Technical transformation of barium salt industries
10. Mining of phosphorus and manufacturing of highly concentrated phosphorus compound fertilizer and phosphorus chemical products
11. Development and manufacturing of new electronic components and parts
12. Manufacturing of semi-finished and finished products of Chinese traditional herbs and medicines
13. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Tibet Nationality Autonomous Region
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Manufacturing of special ethnic products, arts and crafts, packaging and containing materials and associated products
4. Construction and operation of highways, independent bridges and tunnels
5. Construction and operation of electric power infrastructures and new energy power stations
6. Mining and processing of chromium (independent foreign investment shall not be allowed)
7. Development and utilization of salt lake resources
8. New dry cement production line
9. Development and manufacturing of Tibetan medicines
10. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Shaanxi Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Technical transformation of cotton industries and printing/dyeing industries
4. Construction and operation of highways, independent bridges and tunnels
5. Development of applied coal processing [KG*3]technologies and associated products manufacturing
6. Exploration, development and utilization of coal gas bed resources
7. Prospecting and mining of copper resources (independent foreign investment shall not be allowed)
8. Development of natural gas resources and natural gas based chemical products manufacturing
9. Manufacturing of intelligent in-situ instrumentation
10. Development and manufacturing of new electronic components and parts
11. Manufacturing of natural drugs, care drugs and associated products
12. Designing and manufacturing of civic airplanes (Chinese partner shall take the dominant equity)
13. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Gansu Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Construction of advanced wine brewery bases and fine wine brewing
4. Deep processing of potato and corn starch
5. Rational development, utilization and protection of water resources
6. Technical transformation of wool textile industry, development and manufacturing of textile commodities of industrial applications
7. Construction and operation of highways, independent bridges and tunnels
8. Manufacturing of super power graphite electrode and carbon products
9. Manufacturing of natural gas based chemical products
10. Manufacturing of drilling and oil field machinery
11. IC assembling and special electronic equipment and instrument manufacturing
12. Development, construction and operation of tourist scenic areas (spots) and  associated supporting facilities

Qinghai Province
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Rational development, utilization and protection of water resources
4. Construction and operation of highways, independent bridges and tunnels
5. Mining, smelting and processing of copper, aluminum, zinc ( independent foreign investment shall not be allowed)
6. Development and processing of potassium resources
7. Integrated utilization of salt lake resources and manufacturing of associated products
8. Manufacturing of advanced construction materials
9. Growing and processing of Chinese and Tibetan traditional medical herbs
10. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Ningxia Hui Nationality Autonomous Region
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Rational development, utilization and protection of water resources
4. Grape growing and wine brewing
5. Corn and potato growing and deep processing
6. Silkworm breeding and silk processing
7. Construction and operation of highways, independent bridges and tunnels
8. Smelting and processing of tantalum and niobium
9. Manufacturing of tantalum capacitance and powder
10. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities

Xinjiang Uygur Nationality Autonomous Region
1. Storage, freshness keeping and processing of food, vegetables, fruits, and domestic animal products
2. Timber afforestation and introduction of advanced timber species
3. Growing and deep processing of improved tomatoes
4. Growing of improved grape species and associated brewing
5. Rational development, utilization and protection of water resources
6. Construction and operation of highways, independent bridges and tunnels
7. Technical transformation of cotton industries and development of new products
8. Construction and operation of wind and solar power generation
9. Development of lithium salt (independent foreign investment shall not be allowed)
10. Development, construction and operation of tourist scenic areas (spots) and associated supporting facilities