I. Background and Basis

China attaches great importance to scientific and technological innovation and is committed to promoting global collaboration on scientific and technological innovation. At the national level, China has introduced a series of documents, including the Regulation for Implementing the Foreign Investment Law of the People's Republic of China and Opinions of the General Office of the State Council on Further Stabilizing Foreign Trade and Foreign Investment, to encourage and promote foreign investment, protect the legitimate rights and interests of foreign investors, reduce the threshold of foreign-funded R&D centers for preferential policies, and encourage foreign investors to establish R&D centers in China. At the municipal level, no specific document has yet been issued to support the establishment and development of foreign-funded R&D centers, without a relatively clear identification boundary for foreign-funded R&D centers. To better serve foreign investors, Beijing Municipality has introduced a special policy to attract foreign investors to establish R&D centers in Beijing. The policy aims to promote more open, inclusive, and mutually-beneficial international scientific and technological cooperation, and speed up the development of Beijing into an international center for innovation.

II. Target Groups

The Regulations aims at supporting the establishment and development of foreign-funded R&D centers, including R&D innovation centers and open innovation platforms.

Foreign-funded R&D centers refer to institutions that are wholly or partly funded by foreign investors mainly operating overseas, registered within the territory of China in accordance with Chinese laws, and engaged in R&D and experimental development in natural sciences and related fields of science and technology (including pilot testing conducted for R&D activities).

R&D innovation centers refer to R&D centers that maintain an independent R&D team and are responsible for the key steps and most processes of the regional or global R&D projects.

Open innovation platforms refer to R&D centers that promote project-based cooperation with SMEs and innovation teams to realize collaborative innovation by providing facilities, equipment, R&D sites, and professional guidance.

III. Main Content

(I) Talent Services

Facilitate the application for permanent residence of qualified foreign talent employed by foreign-funded R&D centers in China, as well as for their spouses and unmarried children under the age of 18.

Provide convenience in the application for visas and work permits of foreign high-end talent employed by foreign-funded R&D centers.

Optimize the monitoring and examination services of infectious diseases for foreign talent.

Provide convenience in entry, physical examination, medical treatment, and other services for foreign talent employed by foreign-funded R&D centers.

Support express customs clearance of imported articles of high-level overseas returnees employed by foreign-funded R&D centers, and the duty-free release for imported articles that are listed as duty-free scientific research and teaching articles or duty-free personal articles.

Provide corresponding facilitation services for Chinese high-level talent introduced by foreign-funded R&D centers.

Support Chinese employees of foreign-funded R&D centers to apply for the APEC Business Travel Card, and relevant authorities to facilitate their travel to Hong Kong, Macao, Taiwan, or overseas for business purposes.

(II) Research Incentives

Support qualified foreign-funded R&D centers to carry out technology transfers and enjoy corresponding preferential income tax in accordance with relevant regulations.

Encourage qualified foreign-funded R&D centers to apply for the high-tech enterprise certification.

Exempt eligible foreign R&D centers from import duties, import value-added tax, and consumption tax on scientific research, scientific and technological development, and teaching supplies.

Support foreign-funded R&D centers eligible for tax rebates to receive full refund for, value-added tax on their purchased domestic equipment.

Explore to implement the R&D incentive plan for foreign-funded R&D centers.

Support foreign-funded R&D centers to participate in key science and technology projects in Beijing and apply for the Beijing Science and Technology Award.

Ensure that foreign-funded R&D centers receive the same treatment as domestic R&D institutions in the commercialization of research findings.

Support foreign-funded R&D centers to make full use of various public service platforms for scientific and technological innovation in Beijing and enjoy relevant R&D experimental services.

Encourage foreign-funded R&D centers to set up post-doctoral research stations, apply for accreditation to various scientific and technological innovation platforms in Beijing, and participate in the development of new scenarios in Beijing.

(III) Intellectual Property

Foreign-funded R&D centers are entitled to the same financial support policies for domestic and foreign invention patents as domestic-funded institutions.

Permanent representative offices for foreign patent agencies will be piloted to provide intellectual property services for foreign-funded R&D centers.

Support overseas renowned arbitration institutions to set up business divisions in China (Beijing) Free Trade Zone.

Support foreign-funded R&D centers to obtain one-stop comprehensive services of intellectual property pledge financing through the Beijing Intellectual Property Exchange Center and Beijing Loan Service Center.

(IV) Business Environment

Facilitate cross-border financial services for qualified foreign talent employed by foreign-funded R&D centers in remuneration foreign exchange and settlement of tuition fees for their children (if moving to China with them).

Support banks to provide cross-border financial services for foreign-funded R&D centers.

Support foreign-funded R&D centers with facilitated customs clearance measures in accordance with relevant regulations.

Facilitate the entry of special goods of foreign-funded R&D centers by making use of the policies of the Zhongguancun Biomedical Inspection and Quarantine Pilot Area.

Better implement the "One-window Acceptance" service by integrating relevant government service matters involving foreign-funded R&D centers in the government service centers at the municipal and district levels.

Encourage the R&D centers to apply for the identification of cluster registration sites, so that they can provide registration services for enterprises settled there.

Build information platforms for policy release and interpretation, and provide various information services by virtue of the official web portal of the People's Government of Beijing Municipality.

(V) Local Services

All district people's governments (including the Administrative Committee of Beijing Economic-Technological Development Area) shall ensure the land use needs and other requirements of foreign-funded R&D centers properly satisfied in accordance with the law.

Eligible employees of foreign-funded R&D centers will be included for purchasing housing with shared ownership in each district.

Encourage foreign-funded R&D centers to use international talent community apartments and related supporting facilities.

Support primary and secondary schools to enroll the children of employees of foreign-funded R&D centers according to the relevant national and municipal regulations.

Foreign-funded R&D centers are allowed to receive corresponding vocational training subsidies for employees in accordance with relevant regulations.

IV. Highlights

(I) Exploring innovative management models

First, integrate channels for accessing policies and assign responsible departments. Beijing Municipal Science and Technology Commission, Zhongguancun Science Park Administrative Commission, Beijing Municipal Commerce Bureau, and departments concerned in carrying out the certification work, so as to facilitate policy access and provide efficient services for foreign-funded R&D centers.

Second, incorporate relevant government service items into the government service centers at the municipal and district levels to better implement the "One-window Acceptance" service and simplify the approval procedures, thus to effectively facilitate the formalities for foreign-funded R&D centers.

(II) Creating an open innovation system

First, implement the R&D incentive plan for foreign-funded R&D centers to support the establishment and development of foreign-funded R&D centers in Beijing and increase R&D investment to stimulate the innovation vitality of the city.

Second, support foreign-funded R&D centers to engage in key science and technology projects in Beijing and apply for the Beijing Science and Technology Award. Foreign-funded R&D centers will receive the same treatment as domestic R&D institutions in the commercialization of research findings. Foreign-funded R&D centers are also encouraged to apply for the certification of various scientific and technological innovation platforms in Beijing and participate in the development of local new scenarios, and provide attentive services for foreign-funded R&D centers to engage in the city's innovation system.

(III) Optimizing talent services

First, better serve the talent employed in foreign-funded R&D centers in Beijing by providing convenience in such aspects as certificate handling, entry and exit, physical examination and medical treatment, customs clearance of imported goods, foreign exchange settlement and purchase, and housing supply and support.

Second, support foreign-funded R&D centers to set up post-doctoral research stations and recruit post-doctoral researchers for relevant studies, and support these centers to attract high-calibre talent.