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Green Cards Go Ahead

The otherwise happy and fulfilling life of Canadian Louise Cadieux is marred by the nagging worry that she may not be able to get to her octogenarian mother in Canada at short notice should the need arise.

Louise is currently language consultant at the French Edition of China Today, and has lived and worked in China for 10 years.

She explains, "I hold an annually extendable Foreigners' Residential Card, which works fine for working and traveling within the PRC, but if I need to go outside of China, I must go through the complex and vexatious process of applying for a re-entry visa." Upon hearing that China was to institute a "green card" system, her instant response was, "I want one!"

Louise has other reasons for wanting this green symbol of permanent residence status. "It will make China seem more like home," she says.

Nowadays more and more foreigners opt to live and work in China, and the number of long-staying foreigners such as Louise number more than 200,000.

Large cities like Beijing, Shanghai and Guangzhou have become increasingly international; the foreign population of all three exceeded 100,000 at the end of 2004.

Foreign residents view permanent resident status as a means of deeper integration into Chinese life and culture, as it gives them the same rights and obligations as native Chinese residents.

Why Green Cards?

On August 15, 2004 the Chinese ministries of Public Security and Foreign Affairs jointly promulgated the Measures for the Administration of Examining and Approving Permanent Residence in China for Foreigners (Measures). According to public security ministerial aide Hao Chiyong, this move was taken in acknowledgement of increasing economic globalization and as a means to advance China's reform, opening up and socialist market economy. More accessible permanent residence status in China will help to accommodate China's urgent need for high-level overseas talents keen to invest, do business and conduct scientific, technological and cultural undertakings in the country.

Liu Jiong, an American of Chinese origin, is pharmaceutical director of the New York-based RP company Rudder Finn Inc., Shanghai office. To Liu, the new policy demonstrates China's aim to "gear into international norms," and has long-term significance. It will, Liu says, offset the problems China faces in relation to its own "brain drain," as institution of the green card system will attract an influx of foreign talents.

China's foreign trade was estimated at in excess of US$1 trillion in 2004, and it ranks second only to the United States in terms of absorption of international investment. These figures indicate the extent to which China has become a driving force in the world economy and confirm that it is now the place to seek and find a fortune. Green card implementation is, therefore, a crucial and necessary measure on the part of the Chinese government as it will give foreign residents freedom from red tape and allow them to concentrate on business. Encouraging foreign talents to enter and reside reflects the desire for international exchange and is also an indicator of economic strength.

According to Ding Xueliang, associate professor at the Hong Kong University of Science and Technology, over the past 25 years 600,000 Chinese have left China to study abroad, 450,000 of whom have not returned on a permanent basis. This would suggest that many have obtained green cards in their chosen country of residence. Professor Ding believes that if China does not establish a parallel and flexible scheme for foreigner permanent residence status, it will lose out as regards absorbing talented human resources, and that the sooner this discrepancy is redressed, the better it will be for both China and its foreign residents.

Who Qualifies for a Green Card?

As stipulated in the Measures, the foreigners that qualify for green cards are:

Those that can play an important role in propelling China's economic, scientific, technological and social progress;

Those that have undertaken considerable direct investment in China;

Those that have made outstanding contributions to the country;

Those who have specialized skills needed in the country; and

Those that wish to join their spouse, parents (in the case of minors), and family members (in the case of the elderly) in China.

Louis Cadieux is confident of being granted a green card as she won the Friendship Award, highest honor the Chinese government presents to foreign experts working in China, in 2001. This will put her in the "outstanding contributions to the country" slot.

Many foreigners like Louise welcome the new policy for the increased mobility it brings. Green card holders need not apply for entry or re-entry visas, as they may enter and exit the country as they choose upon presentation of their green card and passport. They need not extend their residence card while living in China, and are not required to go through relevant physical examinations and approval procedures when they change their job here. The green card permits them legally to work and live in any part of the country.

In Beijing alone, more than 2,000 foreigners have applied for green cards. Not every one, however, is as confident as Louise. A senior translator for a transnational company in Beijing, known by her Chinese name Lao Lunsuo, has lived in the city for 11 years. She made extensive enquiries at the Exit and Entry Management Section of the Beijing Municipal Public Security Bureau and was disappointed with the result. Her reaction: "If I had known there was such a high green card threshold I would have either married a Chinese man or got an associate professorship teaching German at a Chinese university five years ago." She nonetheless believes that, green card or not, China's stable social and economic situation provides her the best opportunity for developing her career.

Cui Zhikun, director of the Exit and Entry Management Bureau of the Ministry of Public Security, admits that China's green card threshold is high. Cui explains, "Our situation is similar to that of other non-immigration countries; it complies with international norms and China's reality." Xia Xueluan, professor of sociology at Beijing University, believes that this step indicates China's intent to make its foreign residents feel at home.

Will Green Cardholders Steal Chinese Jobs?

Five years ago, Italian citizen Claudio Bonfatti and his wife started an Italian farm -- Agrilandia -- in Beijing's Shilipu near the Capital International Airport. For the first three years Agrilandia's operations were confined to farming and harvesting. Its proprietor has since hired Italian chefs for its Peter Pan Italian Restaurant, established recreational and entertainment facilities, and launched fruit picking and vegetable planting programs for tourists. Agrilandia is now a flourishing agro-tourism site for citizens of Beijing.

More and more foreigners have, like the Italian couple, come to China seeking their fortunes. In 2003 the number of foreign employees in Shanghai increased 28 percent over that of 2002, and the growth in the first eight months of 2004 was 38.6 percent compared to the same period in 2003.

The green card system has undoubtedly opened a door of convenience for foreign employees in China, elevating them to the same level as native Chinese as they may now compete on the employment market. Many see this as a threat to their chances of a livelihood. Are their fears founded?

Gao Lin, director of the Labor Market Section of the Training and Employment Department under the Ministry of Labor and Social Security, confirms that by the end of 2003 more than 90,000 foreigners had been legally employed in China, mainly in southeastern coastal areas and large cities like Beijing, Shanghai, Guangzhou and Dalian. The scope of employment for foreigners has expanded from education, management and high-tech fields to various trades and industries. Liu Zhengrong, global human resources director of the Lanxess Group, says, "Our positions are based on two requirements: work experience and capability, and adaptability to our needs. Whether applicants are Chinese or foreigners is irrelevant."

According to Professor Yao Yuqun of the Labor and Personnel School of Renmin University of China, countries that permit employment of foreigners do so on two levels: they offer preferential policies for foreign experts and foreign investors, while foreigners from under developed countries with poor economies are obliged to take on low-level ill paid work that locals shun. Many countries prohibit employment of foreigners in industries that constitute major pillars of the country's job market, and ensure local citizens' job security before opening their job market to aliens.

The Chinese government is considering a foreign "reserve" on its job market and its ramifications. "Our function is to protect the jobs and solve job-related problems of Chinese citizens," says Gao Lin. "But we are in favor of offering work to foreigners that Chinese citizens are incapable of, and attracting the skilled workers, senior technicians and managerial personnel that China lacks from abroad."

The employment of highly skilled foreign specialists in Chinese enterprises has advanced China's development. Foreign employees have brought in advanced technology and managerial skills, functioned as bridges spanning China and their home countries, and helped Chinese enterprises to expand their foreign markets. They have, moreover, positively influenced Chinese social and cultural concepts and promoted China's opening to the outside world.

Qualifications for Green Card Applicants

The Measures for the Administration of Examining and Approving Permanent Residence in China for Foreigners stipulates:

a. Those who have stable direct investment in China successively for three years and have a good taxation record;

b. Those who have held positions or professional titles at or above the level of deputy general manager, deputy factory director, associate professor, associate research fellow or their equivalent for a minimum of four years on condition that their stay in China within the four years is accumulatively no less than three years and they have a good taxation record;

c. Those who have made outstanding contributions to China or talents that are specially needed by China, and their spouses and unmarried children under the age of 18.

d. Foreign spouses of Chinese citizens and spouses of foreigners who have obtained permanent residence status in China on condition that their marriage is no less than five years, they have stayed in China successively for five years (no less than nine months each year), and they have stable source of livelihood and housing; and

e. Those above the age of 60 who do not have direct blood relatives abroad and come to join their direct blood relatives in China on condition that they have lived in China successively for five years (no less than nine months each year) and have a stable source of livelihood and housing.

Application Procedure

Applicants should first consult the Exit and Entry Management Section of the Beijing Municipal Public Security Bureau for information as to what documents they should present. They should then go to the Exit and Entry Management Section for an application form that they must fill out and present with the required personal documents. The section will issue a notice of approval or disapproval to the applicants in six months.

Exit and Entry Management Section of the Beijing Municipal Public Security Bureau

Add: No. 2, Andingmenwai Street, Dongcheng District, Beijing

Tel: 86-10-84020101

Office hour: 08:30-16:30

(China Today January 8, 2005)

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