Ⅰ. Definition of notification and commitment system

The notification and commitment system mentioned in the Opinion on Implementing Notification and Commitment System for Recognition of Foreign-funded R&D Headquarters (For Trial Implementation) (the "Opinion") refers to a mechanism under which Beijing Municipal Commerce Bureau may directly decide whether to approve the application of an applicant after it notifies the applicant of approval requirements, application materials and related legal liabilities at one time, and the applicant makes a commitment in writing (including the form of electronic text) to meet the requirements for verification and approval and to undertake the legal liabilities for any failure of commitment fulfillment.    

The applicant may apply for an administrative approval either through the notification and commitment method or the conventional method.

Ⅱ. Matters to handle and conditions of recognition

(1) Recognition of foreign-funded R&D headquarters

Foreign-funded R&D headquarters refers to a foreign-invested R&D-specialized or R&D-focused enterprise or institution authorized by its overseas parent company and with a cumulative paid-in registered capital of USD 2 million (or above) in Beijing.   

A foreign-funded R&D headquarters can be identified and recognized when it meets the following conditions:

1. It is a foreign-invested enterprise or its internal institution registered as an independent legal entity; 

2. Its cumulative paid-in registered capital in Beijing reaches USD 2 million (or above);

3. It has its own fixed R&D sites and full-time R&D personnel;  

4. The parent company authorizes it to undertake the functions of a R&D headquarters such as scientific research and product development;

5. The enterprise or institution undertakes R&D projects in related scientific and technological fields such as the scientific research and product development.  

If a R&D center recognized by Beijing Municipal Science and Technology Commission and Administrative Commission of Zhongguancun Science Park meets the conditions of recognition specified herein, it can be directly recognized as a foreign-funded R&D headquarters. Conditions may be relatively relaxed for foreign-invested enterprises that are well-known or have made outstanding contributions.  

(2) Replacement of confirmation certificate for foreign-funded R&D headquarters

1. Changes are made to the information such as the name of a foreign-funded R&D headquarters;

2. The original confirmation certificate expires.

(3) Cancellation of confirmation certificate for foreign-funded R&D headquarters

The confirmation certificate shall be cancelled in the event that a foreign-funded R&D headquarters is deregistered, or relocated to places other than Beijing.

Ⅲ. Methods and procedures of handling

Enterprises and institutions can file an online application via eBeijing or submit an offline application to certain service desks of Beijing Municipal Government Service Center. They may apply for an administrative approval either through the conventional method or the notification and commitment method.  

(1) Conventional method

If an applicant opts for the conventional method, it will take three (3) working days for the recognition of foreign-funded R&D headquarters, and two (2) working days for the replacement or cancellation of confirmation certificate for foreign-funded R&D headquarters.  

1. Application submission. The applicant may submit application materials via Beijing Municipal Government Service Center

2. Review and decision-making. The service staff of Beijing Municipal Commerce Bureau will examine and verify the submitted application materials and will grant an approval for the applicants that submit complete materials and information and meet relevant approval requirements.

3. Certificate issuance and delivery. The confirmation certificate will be collected by the applicant at Beijing Municipal Government Service Center, or be delivered to the applicant by mail.  

(2) Notification and commitment method

If an applicant opts for notification and commitment method with regard to the recognition of foreign-funded R&D headquarters or the replacement of confirmation certificate, Confirmation Certificate for Foreign-funded R&D Headquarters will be produced and issued or cancelled right on the site. The time that takes for online handling shall not exceed half (0.5) working day.  

1. Application submission. The applicant shall submit a Notification and Commitment Statement and other required materials via Beijing Municipal Government Service Center.

2. Decision-making. Formal examination and verification will be conducted over the application materials submitted on the site by the applicant. Eligible applications will be accepted and approved and Confirmation Certificate for Foreign-funded R&D Headquarters will be made and issued on the site, while ineligible ones will be rejected and the reasons will be made known to the applicant.   

Ⅳ. Application materials

One copy of paper materials shall be submitted for offline handling and the corresponding scanned copy shall be uploaded for online handling.

(1) Recognition of foreign-funded R&D headquarters

1. An application form signed by the legal representative of the enterprise that is authorized to undertake the functions of a R&D headquarters (specifying such information as overview of the overseas parent company, organization chart of the enterprise incorporated in China by the overseas parent company, profile of the foreign-funded R&D headquarters and the application details, overall information of the applicant) (one original copy with the official seal of the applicant);     

2. One original copy of the power of attorney signed by the legal representative of the overseas parent company, or the documents specifying the establishment of the R&D headquarters and the performance of basic functions, including the articles of association of the enterprise incorporated in Beijing and the resolutions of the board of directors (one photocopy with the official seal of the applicant);

3. The registration document of the overseas parent company stamped with a valid inquiry seal of the archive inquiry department of the competent authority for market regulation, or the registration document legally certified and notarized (one photocopy with the official seal of the applicant);

4. Relevant certification materials including the R&D site lease contract, statistics on the number of managerial personnel and core technicians, the capital verification report or audit report for the previous year, the R&D investment statistics in the past three years, and the introduction of key R&D projects (one photocopy with the official seal of the applicant).

(2) Replacement of confirmation certificate for foreign-funded R&D headquarters

1. An application form for confirmation certificate replacement (specifying such information as the profile of the applicant, the time of recognition and the application details; one original copy with the official seal of the applicant);

2. The original confirmation certificate for foreign-funded R&D headquarters.

(3) Cancellation of confirmation certificate for foreign-funded R&D headquarters

1. An application form for confirmation certificate cancellation (specifying the information such as the time of recognition and the matters applied for handling; one original copy with the official seal of the applicant);

2. The original confirmation certificate for foreign-funded R&D headquarters.

Ⅴ. Benefits

Eligible foreign-funded R&D headquarters can enjoy the relevant preferential policies of Beijing Municipality for headquarters-type enterprises and foreign-funded R&D centers. Member units of Beijing Municipal Joint Meeting for the Development of Headquarters Economy will provide policy training and guidance, and a publicity and promotion platform for foreign-funded R&D headquarters.

Ⅵ. Day-to-day supervision

1. The service staff of Beijing Municipal Commerce Bureau will examine and verify all the materials submitted by the enterprises, record their supervisory work and put it in a dedicated file.   

2. If the actual situation of an applicant is found to deviate from the commitments through examination and verification, such deviation from commitment shall be handled in accordance with relevant laws and regulations based on the actual situation. For a minor or moderate deviation from commitment, the applicant shall be ordered to make rectifications within a prescribed time limit. If the applicant fails to make rectifications within the time limit, or fails to meet relevant requirements after rectifications, the Confirmation Certificate for Foreign-funded R&D Headquarters shall be revoked. For a serious deviation from commitment, the Confirmation Certificate for Foreign-funded R&D Headquarters shall be directly revoked, and the applicant shall be held legally liable.

Ⅶ. Credit supervision and punitive measures

(1) Categories of failure of commitment fulfillment

The inspection results regarding commitment fulfillment shall be included into the Beijing Public Credit Information Service Platform for differentiated credit management. Three categories are specified for failure of commitment fulfillment as follows: minor, moderate and serious deviation from commitment.

Minor deviation from commitment refers to behaviors such as submitting incomplete materials or inaccurate information for no good reason. Moderate deviation from commitment refers to behaviors such as submitting information inconsistent with the facts or failing to submit accurate required materials. Serious deviation from commitment refers to behaviors such as submitting false materials, failing to make rectifications within a prescribed time limit or failing to meet the requirements despite rectifications.

With regard to the recognition of foreign-funded R&D headquarters, an applicant shall be identified as moderate deviation from commitment and be treated accordingly if committing three (3) (or more) times of minor deviation from commitment within one (1) year, and be identified as serious deviation from commitment and treated accordingly if committing two (2) (or more) times of moderate deviation from commitment within one (1) year.

(2) Punitive measures

Information concerning a minor deviation from commitment shall be included into the Beijing Public Credit Information Service Platform, and just be kept on file instead of being publicly notified.

Information concerning a moderate deviation from commitment shall be included into the Beijing Public Credit Information Service Platform and be publicly notified for a period of one (1) to six (6) months.

Information concerning a serious deviation from commitment shall be included into the Beijing Public Credit Information Service Platform and be publicly notified for a period of six (6) months to one (1) year.

(3) Credit restoration

An applicant may restore its credit by making a credit commitment or completing a credit rectification. After completion of credit restoration, the period of public notification may be shortened by one (1) to six (6) months based on the actual situation. When the applicant completes a credit restoration, the public notification of information concerning the deviation from commitment shall be ceased, and information concerning the credit restoration shall be included into the Beijing Public Credit Information Service Platform.

Ⅷ. Channels for complaints

In the event of a dissent to a recognition process or decision-making, an applicant may go to the Service Hall of Beijing Municipal Government Service Center to state opinions and requests. If the issue remains unsettled, the applicant may file a complaint with Beijing Municipal Commerce Bureau, or consult or complain via government official websites and other channels.

In the event that an applicant believes that information concerning any deviation from commitment recorded on the Beijing Public Credit Information Service Platform is inconsistent with the facts or should not be publicly notified in accordance with relevant laws, the applicant may file a written objection with Beijing Municipal Bureau of Economy and Information Technology, and provide relevant evidentiary materials.  

Ⅸ. Effective date

The Opinion shall come into effect from the date of issuance.

Annex 1: Notification and Commitment Statement for Recognition of Foreign-funded R&D Headquarters

Annex 2: Notification and Commitment Statement for Replacement of Confirmation Certificate for Foreign-funded R&D Headquarters

Annex 3: Notification and Commitment Statement for Cancellation of Confirmation Certificate for Foreign-funded R&D Headquarters