Priority industries: 1. Agriculture, forestry, animal husbandry, fishery and related industries; 2. Light industry; 3. Textile industry; 4. Transportation and telecommunication industries; 5. Coal industry; 6. Power industry; 7. Ferrous metallurgy industry; 8. Non-ferrous metal industry; 9. Petroleum, petrochemical and chemical industries; 10. Machine-building industry; 11. Electronics industry; 12. Building material, equipment and other nonmetallic mineral products industries; 13. Pharmaceutical industry; 14. Medical equipment manufacturing industry; 15. Aviation and aerospace industries; 16. New industries; 17. Service industry; 18. Projects listed in the category permitting foreign investment, with all of their products for direct export.
Catalog of industries encouraging foreign investment: 1. Agriculture, forestry, animal husbandry and related industries: 1) Reclamation and development of wastelands, barren mountains and tidal-flat zones (excluding areas containing military installations); and transformation of low- and average-yield fields; 2) Development of new, high-quality and high-yield strains of agricultural crops, such as sugar crops, fruit trees, vegetables, flowers and plants, and forage grass, and related technologies; 3) Mass production of vegetables, flowers and plants using soilless cultivation techniques; 4) Afforestation and import of improved tree varieties; 5) Multiplication of fine breeds of animal, poultry and aquatic stocks, excluding rare and precious species peculiar to China; 6) Breeding of brand-name, special and high-quality aquatic species; 7) New varieties of safe and highly effective agricultural chemicals and pesticides, which have an effective rate of 80 percent or above and are safe to be used around humans, animals and crops; 8) Highly concentrated chemical fertilizers, such as potash and phosphate fertilizers; 9) New technologies for the production of agricultural plastic sheeting and development of new products, such as fiber, photolysis and multi-purpose film, and related raw materials; 10) Antibiotics for animals, including antibiotics and chemical synthetics; 11) New products and new preparations of anthelmintics, parasiticides and coccidiostats for animals; 12) Development of feed additive and protein resources; 13) New techniques and equipment for the storage, fresh preservation, drying and processing of grains, vegetables, fruit, meat and aquatic products; 14) Forestry chemicals, and new products and new technologies for comprehensive utilization of "inferior, small and firewood" timber and bamboo in forest areas; 15) Construction and operation of multi-purpose water-control projects, subject to the Chinese partner holding a controlling stake or leading position; 16) Manufacture of water-efficient irrigation equipment involving new technology; 17) Manufacture of agricultural machinery and equipment involving new technology; 18) Engineering projects related to improvement and conservation of ecological environment.
2. Light industry: 1) Design, processing and manufacture of molds for nonmetallic product; 2) Paper pulp, with an annual production capacity of 170,000 tons or more of wood pulp, and a corresponding raw material base; 3) Post-finishing and processing of leather and hides, and manufacture of related equipment involving new technology; 4) Production of mercury-free alkali-manganese secondary batteries and lithium-ion cells; 5) Manufacture of technologically advanced special-purpose industrial sewing machines; 6) Production of polyamide clinging wrap; 7) Production of new, highly efficient enzyme preparations; 8) Production of synthetic perfume and mono-isolate; 9) Research into and popularization of applied technology for Freon substitution; 10) Production of diacetate and tows for cigarette making.
3. Textile industry: 1) Wood pulp for textile artificial fiber, with an annual production capacity of 100,000 tons or more, and a corresponding raw material base; 2) Special textiles for industrial use; 3) Printing, dyeing and post-finishing of high emulation artificial fibers and high-grade fabrics; 4) Production of textile assistants, oiling agents and dyestuffs.
4. Transportation, posts and telecommunications: 1) Technologies and equipment for railway transportation: Design and manufacture of locomotives and main parts; design and manufacture of railway equipment; technologies for express railways and manufacture of related equipment; manufacture of equipment for communicational signals and safety monitoring; and manufacture of equipment and instruments for electrified railways; 2) Construction and management of feeder railways, local railways, and related bridges, tunnels and ferry facilities, with exclusive foreign investment prohibited; 3) Design and manufacture of new machinery and equipment for highway and port; 4) Construction and management of urban metro and light rails, subject to the Chinese partner holding a controlling stake or leading position; 5) Construction and management of highways, independent bridges and tunnels; 6) Construction and management of public dock facilities of ports, subject to the Chinese partner holding a controlling stake or leading position; 7) Construction and management of civil airports, subject to the Chinese partner holding a controlling stake or leading position; 8) Manufacture of equipment for DCS/CDMA systems; 9) Manufacture of phototiming and microwave synchronous digital transmission equipment at 2.5 Gb/s or above; 10) Manufacture of phototelegraphy, wireless and data communication metering devices at 2.5 Gb/s; 11) Manufacture of ATM switching equipment.
5. Coal industry: 1) Design and manufacture of coal mining, conveyance and dressing equipment; 2) Coal mining, washing and dressing, with special and rare varieties of coal subject to the Chinese partner holding a controlling stake or leading position; 3) Production of coal slurry and liquefaction of coal; 4) Comprehensive utilization of coal; 5) Comprehensive development and utilization of low-thermal-value fuels and associated resources; 6) Pipeline transportation of coal; 7) Prospecting and mining of coal-seam gas.
6. Power industry: 1) Construction and management of thermal power stations with single-unit installed capacity of 300,000 kw or above; 2) Construction and management of hydropower stations built mainly for electricity generation; 3) Construction and management of nuclear power stations, subject to the Chinese partner holding a controlling stake or leading position; 4) Construction and management of power stations applying clean coal-burning technology; 5) Construction and management of power stations using new energy sources, including the solar, wind, magnetic, geothermal, tidal and biomass energy.
7. Ferrous metallurgical industry: 1) Steel making with ultra-high electric furnaces with a capacity of 50 tons or more, equipped with external refining and continuous casting capability, and converter furnaces with a capacity of 50 tons or more; 2) Smelting of stainless steel; 3) Production of cold-rolled silicon steel sheets; 4) Production of hot- and cold-rolled stainless steel plates; 5) Steel tubes for petroleum piping; 6) Processing and treatment of steel scrap; 7) Mining and dressing of iron and manganese ores; 8) Production of direct reduction iron (DRI) and retailored iron; 9) Mining of high-aluminum bauxite and hard clay ores and production of grog; 10) Deep processing of needle coke, tamped coke and coal tar; 11) Production of coke by dry quenching.
8. Nonferrous metallurgical industry: 1) Production of monocrystalline silicon (8 inches or above in diameter) and polycrystalline silicon; 2) Production of hard alloys, and tin and antimony compounds; 3) Production of nonferrous metal composite materials and new alloys; 4) Mining of copper, lead and zinc ores, with exclusive foreign investment prohibited; 5) Mining of aluminum ores, with exclusive foreign investment prohibited, and production of aluminum with an annual capacity of 300,000 tons or more; 6) Application of rare earth.
9. Petroleum, petrochemical and chemical industries: 1) Production of ion membrane for caustic soda use; 2) Ethylene, with an annual production capacity of 600,000 tons or more, subject to the Chinese partner holding a controlling stake or leading position. 3) Corvic, subject to the Chinese partner holding a controlling stake or leading position; 4) Comprehensive utilization of C5-C9 byproducts of ethylene; 5) Engineering plastics and plastic alloys; 6) Necessary raw materials for synthetics: bisphenol A, butadiene-styrene latex, pyridine, 4.4-diphenyl methane vulcabond, and vulcabond toluence; 7) Comprehensive utilization of basic organic raw chemicals: the derivatives of benzene and methylbenzene, including para-, ortho- or meta-dimethylbenzene; 8) Production of synthetic rubber: liquid butadiene styrene rubber, butyl rubber, isoamyl rubber, ethylene-propylene rubber, butadiene neoprene rubber, polyester rubber, acrylic rubber and chlorohydrin rubber; 9) Fine chemicals: new products and technology for dyestuffs (pigment), intermediates, catalytic agents, assistants and petroleum additives; processing techniques for commercialization of dyestuffs and pigment; and production of hi-tech chemicals for electronics and papermaking use, food and feed additives, leather and hide chemicals, oilfield assistants, surface active agents, water treatment agents, adhesives, inorganic fibers, and inorganic powder stuffing; 10) Production of chlorinated titanium white; 11) Production of coal chemicals; 12) Comprehensive utilization of waste gas, liquid and residue; 13) Production of automobile exhaust depurants, catalytic agents and other assistants; 14) Development and application of new tertiary oil recovery technology that can increase petroleum recovery rate, subject to the Chinese partner holding a controlling stake or leading position; 15) Construction and management of oil and gas pipelines, oil depots and oil port terminals, subject to the Chinese partner holding a controlling stake or leading position.
10. Machine-building industry: 1) Manufacture of high performance welding robots and highly efficient welding assembly lines; 2) Production of high temperature resistant insulation materials (rated at F and H class) and molded insulation pieces; 3) Manufacture of underground trackless mining, loading and conveying equipment, 100-ton or over mechanically driven mine dumpers, mobile crushers, bucket-wheel excavators with a capacity of 3,000 cubic meters or more per hour, mine loaders with a capacity of five cubic meters or more, and full-face tunnel-boring machines; 4) Manufacture of multi-color offset presses for web and folio or paper of larger size; 5) Manufacture of underground electromechanical cleaning equipment and production of cleaning agents; 6) Manufacture of turbine compressors and mixing pelletizers for complete sets of equipment with an annual production capacity of 300,000 tons or more of synthetic ammonia, 480,000 tons or more of urea, and 300,000 tons or more of ethylene, subject to the Chinese partner holding a controlling stake or leading position; 7) Manufacture of complete sets of new-type textile and papermaking (including pulping) machines; 8) Development and manufacture of precision online measuring instruments; 9) Manufacture of new technological monitoring and testing instruments and equipment for production safety and environmental protection; 10) New-type components and materials for meters and instruments, mainly the new switches and function devices for instruments such as intelligent sensors, adapters, flexible circuit plates, photoelectric switches and proximity switches; 11) Research, design and development centers for key basic machinery and parts, and major technological equipment; 12) Development of proportional and servo hydraulic technology and manufacture of low-power pneumatic control valves and packing static sealing parts; 13) Manufacture of precision dies, precision cavity molds and matrix standard components; 14) Manufacture of urban sewage disposal equipment with a daily capacity of 250,000 tons or more, fixed-film industrial wastewater treatment equipment, upflow anaerobic fluidized bed equipment and other equipment for biological treatment of sewage, flyash brick making equipment with an annual production capacity of 50,000-100,000 tons, waste plastics recycling equipment, industrial boiler desulphurization and denitration equipment, and large high-temperature resistant, acid-proof bag-type dusters; 15) Manufacture of precision bearings and special bearings for all kinds of principal machines; 16) Manufacture of key automobile components and spare parts: brake and drive gear assemblies, gearboxes, fuel pumps of diesel engines, pistons (including piston rings), air valves, hydraulic jibs, axle bushes, pressurizers, filters (triple filtering), constant-velocity universal joints, shock absorbers, seat adjusters, car locks, rear-view mirrors, window openers, dashboard, light bulb holders and bulbs, and special high strength fasteners; 17) Manufacture of automobile and motorcycle molds, including dies, injection molds and press molds, and clamping apparatus such as those for welding and testing purposes; 18) Manufacture of semi-finished cast and forged components for automobiles and motorcycles; 19) Automobile and motorcycle technology research, design and development centers; 20) Manufacture of special desert vehicles and other special-purpose vehicles for use in the petroleum industry; 21) Manufacture of key motorcycle components and parts: carburetors, magnetos, starting motors, light panels and disc brakes; 22) Manufacture of new technological water-quality online monitoring instruments; 23) Manufacture of special flood prevention and emergency rescue machinery and equipment; 24) Manufacture of machinery for dredging and earthwork in wetlands; 25) Manufacture of complete sets of feed processing equipment with a capacity of 10 tons or more per hour, and key components; 26) Design and manufacture of new instruments and equipment for petroleum prospecting and exploration.
11. Electronics industry: 1) Production of large integrated circuits with a line width of 0.35 micron or smaller; 2) Production of new-type electronic components and devices, including chip elements, and electric electronic components and parts; 3) Production of photoelectric components, sensitive components and sensors; 4) Manufacture of large and medium-sized computers; 5) Manufacture of compatible digital TV, HDTV and digital cassette recorders; 6) Development of special materials for semiconductors and photoelectrons; 7) Manufacture of new-type display devices, such as panel display devices and screens; 8) Manufacture of computer application systems such as three-dimensional computer-aided design (CAD), computer-aided test (CAT), computer-aided manufacturing (CAM), computer-aided engineering (CAE) and others; 9) Manufacture of special electronic equipment, instruments and molds; 10) Manufacture of hydrological data collection instruments and equipment; 11) Manufacture of satellite communication equipment; 12) Manufacture of digital cross-connection equipment; 13) Manufacture of air traffic control equipment, with exclusive foreign investment prohibited; 14) Development and manufacture of CD and magnetic disc memory and components with large capacity; 15) Development and manufacture of new-model printing equipment, including laser printers; 16) Manufacture of multimedia system equipment for data communication; 17) Production of single-mode optical fiber; 18) Manufacture of equipment for access network communication systems; 19) Manufacture of new technological equipment for supporting communication networks; 20) Manufacture of broadband ISDN equipment.
12. Industries of building materials and equipment and other nonmetallic mineral products: 1) High-quality float glass production lines with a daily melting capacity of 500 tons or more; 2) High-grade sanitary ceramics production lines with an annual production capacity to 500,000 pieces or more, and auxiliary hardware and plastic parts; 3) New-type building materials, such as walling, decorating, finishing, waterproof and thermal insulation materials; 4) New-type dry process cement production lines with a daily capacity of 4,000 tons or more of clinker, with the projects allowed only for the central and western regions of China; 5) Bulk cement storage and shipping facilities; 6) Production lines of glass fiber (through direct melting process) and glass-fiber reinforced plastics, with an annual capacity of 10,000 tons or more; 7) Inorganic nonmetallic materials and related products, such as quartz glass and artificial crystals; 8) High-grade refractory materials used in kilns and furnaces for glass, ceramics and glass fiber; 9) Plate glass deep-processing techniques and manufacture of related equipment; 10) Manufacture of tunnel-boring machines and urban subway tunneling equipment; 11) Manufacture of special equipment for urban sanitation work; 12) Manufacture of tree transplantation machinery; 13) Manufacture of road planning and repair machines and equipment.
13. Pharmaceutical industry: 1) Crude chemicals under China's patent and administrative protection, and special pharmaceutical intermediates currently need to be imported; 2) Production of analgestic-antipyretic medicines through new technologies and equipment; 3) Vitamins: nicotinic acid; 4) New anti-cancer drugs and new medicines for treating cardiovascular and cerebrovascular diseases; 5) Pharmaceutical preparations: new preparations and products involving the new technologies of sustained release, controlled release, targeting and absorbing through skin; 6) Amino acid: serine, tryptophan, histidine, etc.; 7) New-type packing materials and containers for medicines, and advanced pharmaceutical equipment; 8) New, highly effective and economical contraceptive medicines and devices; 9) New technologies, equipment and instruments for controlling the quality and improving packaging of Chinese patent drugs; 10) New technologies for analyzing the effective elements of traditional Chinese medicines and new techniques and equipment for extraction; 11) New varieties of medicines produced by using bioengineering technology; 12) Development of new adjuvants; 13) Production of reagents for diagnosing hepatitis and AIDS, and for radioimmuno-diagnosis.
14. Medical apparatus manufacturing industry: 1) Medical X-ray machines of 80 kw and above applying intermediate frequency (IF), computer-control and digital image-processing technologies and using small radiation dosage; 2) Electronic endoscopes; 3) Medical catheters.
15. Space and aviation industries: 1) Design and manufacture of civil aircraft, subject to the Chinese partner holding a controlling stake or leading position; 2) Manufacture of components and parts for civil aircraft; 3) Design and manufacture of aircraft engines, subject to the Chinese partner holding a controlling stake or leading position; 4) Manufacture of airborne equipment; 5) Manufacture of light gas turbine engines; 6) Design and manufacture of satellites for civil use, subject to the Chinese partner holding a controlling stake or leading position; 7) Manufacture of civil satellite payloads, subject to the Chinese partner holding a controlling stake or leading position; 8) Manufacture of components and parts for civil satellites; 9) Development of application technologies of civil satellites; 10) Design and manufacture of carrier rockets for civil use, subject to the Chinese partner holding a controlling stake or leading position.
16. New industries: 1) Microelectronics technology; 2) New materials; 3) Bioengineering technologies, excluding the genetic engineering technology; 4) Information and communication system networking technology; 5) Isotope, radiation and laser technologies; 6) Ocean development and marine energy development technologies; 7) Technologies for desalination and utilization of sea water; 8) Technologies for energy-efficient development; 9) Technologies for recycling and comprehensive use of resources; 10) Environmental-pollution control projects and related monitoring and treatment technologies.
17. Service industry: 1) International economic, sci-tech and environmental protection information consulting service; 2) Maintenance and after-sales service for precision instruments and equipment; 3) Construction of centers for development of new and high technologies and new products, and incubation of enterprises.
18. Permitted projects with all products for direct export (referring to any foreign-invested project that is not included in the catalogs of encouraging, restricting or prohibiting foreign investment).
