Official Reply of the State Council on Approving the Establishment of Cross- boundary E-commerce Comprehensive Pilot zones in 12 Cities including Tianjin (Letter No. 17 (2016) of the State Council)

  1. Approval to set up cross-boundary E-commerce comprehensive pilot zones in the cities of Chengdu, Chongqing, Dalian, Guangzhou Hefei, Ningbo, Qingdao, Shanghai, Shenzhen, Suzhou, Tianjin, and Zhengzhou, under the name of “China (name of city) Cross-boundary E-commerce Comprehensive Pilot Zone”. Speci c details of the implementation will be printed and issued by the provincial people’s government of the respective cities.
  2. The cross-boundary E-commerce comprehensive pilot zone (pilot zone) should comply with the requirements of the “Four Comprehensive Strategies”, to uphold the development principles of innovation, co- ordination, environmentally friendly, opening up and sharing of resources. It is driven by the implementation of deepened reforms, wider opening of the economy and making reference to the experience and implementation of the “Six Systems” and “Two Platforms” under the development of the China (Hangzhou) Cross- boundary E-commerce Comprehensive Zones, highlighting local characteristics and strengths, and focuses on the setting of technical standards, business ow, monitoring system and information management of the cross-boundary E-commerce B2B model, to provide valuable experience for the sound development of nation-wide E-commerce that can be replicated and to facilitate effective new models to stimulate market development, and attract large, medium and small-sized enterprises and encourage the growth of new forms of business, and promote business start ups, innovation, increase employment, support quality imports and exports and upgrade development.
  3. Related departments, the governments of provinces and municipalities should try to comply with the requirements of new business model developments, carry out the reforms of “simplifying administrative procedures and delegating powers”, “integrating the delegation of power and monitoring” and improving the quality of services, as well as supporting the exploration and innovative development of the pilot zone, and monitoring the risks encountered in the pilot zone. On the basis of safeguarding national security, Internet safety, transaction safety, border biological safety, quality and safety of import and export commodities and the effective prevention of trading risks, to uphold the principle of “ xing development standards, and standardising development”, making development regulations and regulating development” to create a favourable business environment for the fair participation and competition between various market entities in the pilot zone. The implementation of the pilot zone should be conducted in an orderly manner and make timely adjustment as necessary.
  4. Relevant government of the province, municipality should: strengthen the co-ordination of various aspects of the pilot zone, in terms of organisation and guidance, the establishment of a sound mechanism, clear division of authority, assumption of responsibility, effective and orderly implementation of the development of the pilot zone; amend and improve specific operation plans as soon as possible and ensure effective co-ordination and implementation, under the guidance of the departments of the Ministry of Commerce; to re ne the work of the pilot implementation, and highlight the priorities and introduce innovations in order to fully utilise the decisive role of resource allocation by market forces for the reasonable deployment of public resources and consolidate the development of the pilot zone; to establish a sound cross-boundary e-commerce information management mechanism to provide timely electronic information according to the management needs of the relevant departments. The establishment of the various pilot zones involving major policy and development projects should seek approval in accordance with established requirements.
  5. Related departments under the State Council should take up responsibilities according to their roles and functions and strengthen guidance and service; strengthen liaison co-operation and policy matching between departments, conduct in-depth studies and provide guidance and assistance to local governments when required solve problems and dif culties encountered in the course of the development of the pilot zone practically, so as to create a favourable environment for its development. The Ministry of Commerce should strengthen comprehensive co-ordination, keep track of the analysis and monitoring, and review the progress of the various pilot zones at the appropriate time and report immediately to the State Council when major issues occur.

The State Council 12 January 2016 Source: website of the China government http://www.gov.cn/zhengce/content/2016-01/15/ content_10605.htm

“Regulation on Commercial Registration in Guangdong Province” effective from 1 March

Based on the experience of commercial registration and reform of its commercial system Guangdong province has formulated the “Regulation on Commercial Registration of Guangdong Province” (the Regulation) effective from 1 March. The Regulation is the rst local legislation on commercial registration in the country, aimed at improving the business environment in Guangdong province, stimulating the development of its economy and promoting commercial registration. It will be bene cial to the business start ups and business development, and will provide valuable reference to the standardisation of the commercial registration law in China.

The regulation comprises 66 clauses, covering seven sections namely general provisions, registration items, filing items, registration procedures, advertising and credit constraints, legal responsibility and supplementary provisions. The regulation is set within the overall framework of the national commercial registration law, and establishes a standard commercial registration system for Guangdong province, to facilitate commercial registration, focusing on the unification of the registration pattern, to enhance the effectiveness of the registration system and to relax government regulations, improve the business environment and fully utilise the determining effect of the market in the deployment of resources and make full use of the role of the government.

In comparison with the existing commercial registration and law, the 10 innovations in the legislation are:

  1. Set out for the rst time, at the regulatory level that the business registration authority will examine the application material from the legal perspective. The examination will be made on whether the information provided is suf cient and complies with the statutory requirements. It is a demonstration that the rights of the commercial subject are respected, and promoting the facilitation of commercial registration and enhancing ef ciency.
  2. For the rst time at a regulatory level there is an adjustment of certain items for registration for commercial subjects from the legal perspective. The contribution of capital by the partners of partnership enterprises and investors of a sole proprietorship enterprise are not included as a registration item. The establishment of commercial subjects other than an enterprise legal person are to be standardised as a “business establishment”, to standardise the registration of the various kinds of branch organisations of the commercial subject.
  3. For the rst time at the regulatory level, reforms in the residential and business establishment of the commercial subjects have been strengthened. The registration procedures for the residential and business establishment is simpli ed, criteria for registration is relaxed to release resources to the fullest extent and allow multiple licences at one address, multiple addresses for one licence, delegate authority to People’s governments of municipalities at or above the prefecture level for formulating legislation for multiple licences at one address, one licence for multiple addresses, and the changing of a residential complex to a commercial establishment, and the implementation of the registration of a residential complex.
  4. For the rst time from a legal perspective, deepen the reform in the change of commercial subjects relaxing restrictions on names and relevant resources simplify procedures for name registration and gradually implement a self declaration and t a system for the removal of a commercial registration.
  5. Set out for the first time, from a legal perspective, the establishment of a mechanism to resolve disputes involving company shares. According to the principle of giving priority to civil cases and ef ciency, effort will be made to mediate between the parties at source.
  6. Set out for the first time, from a legal perspective, the de nition, nature and remedies, so as to avoid turning the ling system into an instant approval one, to adjust registration items and implement the system of company secretary. Filing errors should be corrected through administrative procedures and any disputes arising between those other than the ling applicant and the applicant should be resolved through civil means.
  7. For the rst time from a legal perspective, enhance commercial registration procedures. Criteria for registration included the presentation of all required documentation and complying with the statutory conditions. Registration for most businesses can be processed on site, and in order to facilitate the applicant, the general registration time will be reduced by 13 working days, and the longest processing time will be reduced by 16 working days, compared with the Administrative Licensing Law. A uni ed registration system for “certi cate and code in one” throughout the whole province.
  8. For the rst time from a legal perspective to implement electronic commercial registration reforms. To con rm that the Electronic le with e-signature, e- le and material in the hard copy form will have the same legal effect.
  9. For the rst time from a legal perspective to establish a “double noti cation” system for the management of the pre-requisites and post- registration of commercial registration.
  10. Strengthen credit control. Strengthen the function of credit information disclosure platform of enterprises, to implement Internet sharing of commercial subjects within the administrative district, increase penalties for dishonest behaviour, enforce registration of commercial subjects operating abnormally, strengthen legal liability of the commercial subjects if they do not disclose information or the dissemination of false information or if have not completed the ling registration as required by law.

For the full text of the legislation: http://www.gdrd.cn/rdhy/cwhhy/1221/jyjd/201512/ t20151208_149086.html Source: website of the Standing Committee of Guangdong Provincial People’s Congress http://www.gdrd.cn/rdhy/cwhhy/1221/jyjd/201512/ t20151208_149086.html