Shanghai Public Security Bureau Announced Detailed Rules on the New Policy of Residence Permit for Foreigners to support the City’s Technological and Innovative Development, effective from July 1st 2015.

Following the new policy made by the Ministry of Public Security of China on Residence Permit for Foreigners in Shanghai to support the City’s technological and innovative Development, Shanghai Public Security Bureau announced the detailed rules to carry out such policy, effective from July 1st 2015. According to these new rules, more foreigners will be qualified for permanent residence permit in China and the process of applying for residence permits of employment type will be more flexible.

I.      Regarding the permanent residence permit of foreign talents

1.     A foreigner who has been working in Shanghai for 4 years and lived in China for no less than 6 months each year, and whose annual salary is more than RMB 600,000 (gross) and annual individual income tax is more than RMB 120,000, is qualified for permanent residence permit.

2.    A foreigner who is recognized as ‘Talent’ by authorities concerned may firstly get a residence permit with ‘talent’ note for 5 years, which after actually working in Shanghai for 3 years, can be transferred into permanent residence permit.

3.     A foreigner who is a high-level expert employed by a company in the List of Technology and Innovation Industry of Shanghai, may firstly get a residence permit with ‘talent’ note for 5 years, which after actually working in Shanghai for 3 years, can be transferred into permanent residence permit.

II.    The process for visa and residence permit of employment type is simplified.

Originally, foreigners applying for residence permit of employment type shall firstly get employment license and apply for visa abroad, and then come to China to apply for employment permit and residence permit.

Under the new policy, foreigners, after obtaining the employment license, may apply directly in China for one year residence permit of employment type and then apply for employment permit later.

III.  Long-term residence permit are easier to obtain

Under the new rules, a foreigner who has got residence permit of employment type for twice and has no act of violating the laws of China, is qualified for a five-year term residence permit of employment type.

Restrictions on Foreign Shareholding Ratio in Online Data and Transaction Processing (Operating E-commerce) Business Removed

Recently, the Ministry of Industry and Information Technology has promulgated the Circular on Removing the Restrictions on Shareholding Ratio Held by Foreign Investors in Online Data Processing and Transaction Processing (Operating E-commerce) Business (the "Circular") for implementation as of the date of promulgation.

The Circular states that, on the basis of pilot schemes carried out in China (Shanghai) Pilot Free Trade Zone, the restrictions on shareholding ratio held by foreign investors in online data processing and transaction processing (operating e-commerce) business will be removed nationwide and may be raised to 100%. Foreign-invested enterprises, when applying for operation permit for such business, shall abide by other permit conditions or requirements and corresponding examination and approval procedures as provided by the Administrative Provisions on Foreign-invested Telecommunications Enterprises.

(Source: www.miit.gov.cn)

Administrative Regulations on Survey and Design of Construction Projects Revised

On June 23, the State Council issued the Decision on Revising the Administrative Regulations on the Survey and Design of Construction Projects (the "Decision") for implementation as of the date of promulgation.

According to the Decision, the Administrative Regulations on the Survey and Design of Construction Projects are revised as follows: a new article is added as Article 40, which reads: "Where entities surveying or designing construction projects, in violation of the provisions of the Regulations, fail to prepare the survey or design documents of construction projects in accordance with project approval documents, urban-rural planning and professional planning, and in-depth requirements for the survey or design of construction projects as prescribed by the State, they shall be ordered to make corrections within a time limit; if they fail to make corrections within the time limit, they shall be subject to a fine of not less than CNY100,000 but not more than CNY300,000; if accidents are caused due to poor construction quality or the environmental pollution and ecological damage are brought about, such entities shall be ordered to suspend their business for rectification, and shall have their qualifications downgraded; in the case of serious circumstances, their qualification certificates shall be revoked; if losses are caused, they shall assume the liability for compensation in accordance with the law." In addition, the wording "urban planning" in Paragraph 1 of Article 25 is revised to "urban-rural planning", and the sequence of articles thereof is adjusted accordingly.

(Source: www.gov.cn)