Regulations on Administration of Technologies the Import of Which Is Prohibited or Restricted

Article 1These regulations are formulated in accordance with the Foreign Trade Law of the People's Republic of China and the Regulations of the People's Republic of China on Administration of Import and Export of Technologies in order to promote import of technologies.

Article 2Import of technologies which fall within the Subsection of Technologies Prohibited from Import in the Catalogue of Technologies the Import of Which Is Prohibited or Restricted (to be published separately) shall be prohibited.

Article 3The State adopts a licensing system for the import of technologies the import of which is restricted. The importer of technologies which fall within the Subsection of Technologies Restricted to Be Imported is in the Catalogue of Technologies the Import of Which Are Prohibited or Restricted shall apply for licenses in accordance with these Regulations.

Article 4MOFTEC and SETC are jointly responsible for the administration of the licensing system for the import under Article 3 above of technologies restricted to be imported.

Article 5The importer shall, before importing in accordance with Article 3 above technologies restricted to be imported, shall fill in the Application Form for Import of Restricted Technologies which is attached here as Attachment I, and submit it to MOFTEC in order to apply for a license.

Article 6Within thirty (30) working days after receiving the Application Form, MOFTEC shall make the trade review and SETC the technical review of the application before they decide to approve or disapprove the application.In case the application documents are incomplete, unclear or do not conform with the requirement, the documents shall be returned to the applicant for revision and completion. The date on which the applicant re-submits the application or hands in the final documents shall be deemed as the date of reception of the application.

Article 7The trade review of the application for import of restricted technologies shall include:(1)Review on whether the application is in conformity with the foreign trade policies of the State and on whether it will promote the economic and technological cooperation between China and other countries;(2)Review on whether the application is in conformity with the international commitments binding on China.

Article 8The technical review of the application for import of restricted technologies shall include:(1)Review on whether the application may jeopardize the State security or social and public interests;(2)Review on whether the application is detrimental to the life and health of human beings;(3)Review on whether the application will damage the natural environment;(4)Review on whether the application is in conformity with the State policies for industrial, economic and social development, conducive to technological progression and upgrading of industrial products, and to the protection of the national rights and interests in economic and technological development.

Article 9If the application is approved, MOFTEC will issue a standard and uniformly numbered Proposal for Technology Import License, which is attached here as Attachment II. The importer of technologies may enter into contracts of import of technologies upon obtaining the Proposal for Technology Import License.

Article 10Upon signing the contract of import of technologies, the importer shall submit the Proposal for Technology Import License, copies of the contract and attachments and documents evidencing the legal status of the contracting parties, to MOFTEC in order to apply for a Technology Import License.

Article 11MOFTEC shall, upon reviewing the authenticity of the contract, decides to grant or not grant the Technology Import License within ten (10) working days after receiving the documents listed in Article 10 above.

Article 12The importer may, when submitting the application to MOFTEC in accordance with Article 5 of these Regulations, also submit copies of the contract of import of technologies and its attachments which are already signed.Within thirty (30) working days after receiving the above documents, MOFTEC shall make the trading review and SETC the technical review of the application and decide to approve or disapprove the application for import. MOFTEC shall, within ten (10) working days after the application is approved, review the authenticity of the contract, and decide to grant or not grant the Technology Import License.In case the application documents are incomplete, unclear or do not conform with the requirement, the documents shall be returned to the applicant for revision and completion. The date on which the applicant re-submits the application or hands in the final documents shall be deemed as the date of reception of the application.

Article 13If deciding to grant the License, MOFTEC shall issue a standard and uniformly numbered Technology Import License, which is attached here as Attachment III. The contract of import of restricted technologies shall be effective upon the date on which the License is issued.

Article 14The importer of restricted technologies shall, when approaching MOFTEC to obtain the Technology Import License, log on the System of Administration of Contracts of Import of Technologies on the website of China International E-Commerce Network (http://info.ec.com.cn), and upload the content of the contract.

Article 15In case an investment project needs the approval by the competent authorities and involves import of restricted technologies, the importer of the said technologies shall, when submitting the application in accordance with Article 5 or 12 of these Regulations to MOFTEC, also provide the approval documents of the competent authorities.

Article 16In case revision is made to the main content of the contract of import of technologies for which a License has been obtained, the importer is required to apply for a new License in accordance with these Regulations.

Article 17The importer shall present the Technology Import License in order to go through the formalities at the authorities of foreign exchange, banking, taxation and customs.

Article 18Importers who have violated the provisions of these Regulations shall incur legal responsibilities in accordance with the Regulations of the People's Republic of China on Administration of Import and Export of Technologies.

Article 19Import of special technologies for military use and national defense is not subject to these Regulations.

Article 20These Regulations shall enter into force on January 1, 2002.Attachment:I. Application Form of Import of Restricted Technologies (omitted)II. Proposal for Technology Import Licence of the People's Republic of China III. Technology Import Licence of the People's Republic of China

Attachment II:Proposal for Technology Import Licence of the People's Republic of ChinaNo:1.Importer2.No.of proposal for technology import license3.Application No.4.Exporter5.Mode of technology import6.Technologyitem:Code:7.Supplementary detail:8.Issuing authority stamp & signature9.Issuing date

Attachment III:Technology Import Licence of the People's Republic of China1.Importer2.No.of technology import license3.Application No.4.No.of proposal for technology import license5.Exporter6.Mode of technology import7.Technologyitem:Code:8.Supplementary detail:9.Issuing authority stamp & signature10.Issuing date

The Ministry of Foreign Trade and Economic Cooperation, the State Economic and Trade Commission 2001-12-28