Ⅰ. The financial support policy

1.For newly run industrial enterprises with fixed assets more than five million Yuan, the local government will give a support funds gratis equal to the whole retained portion of the value added tax actually paid by them in the first year beginning from the date when the enterprise is put into production and 50% as the support funds gratis in the following two years; for those with fixed assets equal to or less than five million Yuan, 40% of the local retained portion of the value added tax actually paid by them will be given as the support funds gratis within two years from the year when the enterprise is put into operation .For new and high technology projects confirmed as the state class ,the whole local retained portion of the value added tax will be given as the support funds within five years .

2.For newly run industrial enterprises, the local government will give them the whole income tax actually paid by them as the support funds gratis in the first three years beginning from the date when they obtain profits and 50% of that as the support funds gratis in the next three years.

3.For newly run industrial enterprises, the local government will give them the whole urban construction tax, education surcharge, house property tax, vehicle and vessel use tax (license tax), land use tax and stamp tax paid by them as the support funds in the first year beginning from the date when the enterprise is put into production, 50%,as the support funds in the second year and 30%,in the third year.

4. Those which purchase the original bankrupted or loss making industrial enterprises fully can enjoy the preferential policies of articles 1,2 and 3.

5.Enterprises which invest to reform the industrial enterprises wi11 enjoy the preferential policies of articles 1,2 and 3 with the newly increased tax corresponding to the outside investment in the newly 1,rincreased fixed assets investment after deducting the last year s base tax of the original enterprise.

6.For the newly run commercial, food and service projects with the fixed assets investment more than one million Yuan, the local government will give them the whole income tax actually paid by them as the support funds gratis in the first year from the date when they get profits, 50% as the support funds gratis in the second year and 30% in the third year. (Enterprises invested by the foreign business-men enjoy the original policies made by the state).

7.Those who invest to run the basic facilities of water conservancy, transportation and urban public facilities and social undertaking of education and scientific research wi11 obtain the whole income tax paid by them as the support funds gratis from the local government in the first five years beginning from the year when getting profits and 50%as the support funds in the next five years.

8.Enterprises oriented for export and foreign exchange earnings confirmed by the concerned department can obtain 50% of the income tax as the support funds gratis form the local government at the expiration of the preferential pciicy mentioned above, providing that their self export reaches more than 70% of the sales income of the same year.

9.The outside investors who use the obtained profits to run enterprises in the district can enjoy the preferential policy mentioned above.

10.The business income obtained by the layoffs who engage in the community service will be exempted from business tax and individual income tax within three years from the date when the individuals with the laid –off certificates or the community placement certificate issued and unified by the labor security department are put on file in the local tax department or from the date when the self employed industrial and commercial individuals get the tax registration.

11. Enterprises with the laid –offs arranged by the enterprise more than 60%of the total employees can be exempted from the business tax and other charges except the social security within three years from the date when they obtain the tax registration. For enterprises that arrange more than 30% laid—offs and out –of—work employees, half of the income tax of the same year according to the state tax regulations will be exempt within two years after the approval of the tax bureau.

12. The support funds gratis given by the township (office) will not be listed into the finance base

Ⅱ. The preferential charge policy

1.The newly invested projects will be charged only the cost of production for various licenses when going through the relevant formalities beside the charges set clearly by the city, province and the state, the administrative charges wi11 be exempt with the operation expense levied by half.

2.The newly invested outside enterprises wi11 be exempt from various administrative charge, the environmental protection effluent disposal charge, the sewage treatment charge and the cost of production of the formalities. The business service charge will be collected according to the minimum standard set by the price department.

3.All charge related to the foreign invested enterprises will be charge according to the minimum standard except those set clearly by the province, the state and those mentioned in the above article.

4.A charge registration card will be given to the outside investors, Units concerned must collect charges according to the regulations. The registration card must be filled in carefully when charging, the enterprise has the right to reject if the card is not filled in.

Ⅲ. The preferential policy for the land use

1.The outside enterprises can obtain the right of land use through ways of selling and renting with a period of 50 years for the land used for industry, 40 years for commercial and service use and 70 years for houses. In this period, the land can be transferred, rented and held in pledge. The land user can preferably continue the land use at the expiration of the period.

2.The newly built industrial project The project with a fixed assets from (including) RMB 10 to 30 million Yuan will be exempt from the land profits of the district government for ten years for land used within 30mu according to the regulation of land use limit The project with a fixed assets from (including )30 to 50 million Yuan will be exempt from the land profits of the district government for ten years for the land used within 50mu according to the regulation of land use limit ,The project with a fixed assets from (including) 50 to 100 million Yuan or the new and high technological project confirmed by above the provincial level with the confirmed fixed assets more than 10million Yuan will be exempt from the land profits of the district government for 70 years for the land used within 50mu according to the land use limit regulations .Projects with a fixed assets equal to or more than 100million Yuan will be given the special preferential policy according to the requirements of the investors if the want to increase the land use.

3.For investors who use the enterprise fields of the district to run enterprises, the district government will reduce the land selling price by 80% when making up the formalities to transfer the land use right if the original enterprise land belongs to the administrative transfer.

4.Land can be offered in the way of administrative transfer if the investors run public utilities and social undertakings.

5.The selling price will be reduced by 20% if the land selling money is paid at one time and investors run agriculture, forestry, animal husbandry and fishery productions; The front money can be charged according to 5% of the total selling price and the remain of the selling money will be paid from the sixth year after the contract comes into effect with a proportion of 20% per year and completely paid in 5years in succession for payment by installments.

6.For those who rent waste mountains, waste hillside and waste beach, rental will be exempt within 10years if approved by the district government. For the wasteland used as stock, the government will not share out bonus within 5 years.

Ⅳ. The preferential policy of the residence registration

1.The investors, their spouses, children and parents can be turned into urban residence ship at one time and exempt from the population increase expense if their fixed assets actually received is more than one million Yuan.

2.Management personnel and technicians with intermediate professional titles employed by the enterprises with fixed assets actually received more than one million Yuan or 100 thousand USD can be turned into urban residence ship at one time and exempt from the population increase expense.

Ⅴ. Other preferential policies

1.Investors will enjoy the same treatment as the local residents in purchasing house, medical, nursing and schooling of their children and career.

2.Water, electricity, gas, heat, drainage, transportation and communication will be arranged by departments concerned preferably with the charge standard same as that of the local enterprise.

3.The enterprise has its own right of employment, it can advertise for, recruit, dismiss or expel workers according to the law but reports to the local labor department to put into file, the enterprise has the right to set the standard and types of workers wages and the award system on the basis that minimum wages must be guaranteed.

4.Investors who invest bigger number money and have a stronger effect or scientific and technical persons who have made outstanding achievements can be awarded with honorary titles or posts they agree.

5.We will follow the principal “each incident discussion dividedly” and “each policy for each company” and “special ways for detail things” for the foreign enterprise to deal their problems.