Policies Regulations

Ministry of Commerce's Overall Plan for Comprehensive Pilot Program to Expand Opening-up of Hainan's Service Industry

Release Date:4/21/2021

This plan is formulated to comprehensively and effectively promote the comprehensive pilot work of expanding the opening up of the service industry in Hainan Province.

I. General requirements

(I) Guiding ideology. Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirit of the 19th National Congress of the Communist Party of China and the Second, Third, Fourth and Fifth Plenary Sessions of the 19th Central Committee, coordinate the promotion of the "five-in-one" overall layout, coordinate the promotion of the "four comprehensive" strategic layout, follow the decisions and arrangements of the Party Central Committee and the State Council, based on the new development stage, implement the new development concept, and build a new development pattern, with the theme of promoting high-quality development, deepening supply-side structural reform as the main line, reform and innovation as the fundamental driving force, and satisfying the people's growing needs for a better life as the fundamental purpose, closely focus on the development positioning given by the state to Hainan to build a comprehensive deepening reform and opening-up pilot zone, a national ecological civilization pilot zone, an international tourism consumption center and a national major strategic service support zone, further promote the reform and opening up of the service industry, accelerate the development of modern service industry, create new advantages in international cooperation and competition, promote the construction of a new open economy system with a higher level, and contribute to the acceleration of the construction of a new development pattern.

(II) Basic principles.

Strengthen top-level design. Adhere to the mutual promotion and progress of expanding high-level opening-up and deepening market-oriented reforms, focus on institutional innovation, coordinate domestic and foreign opening-up, and promote the transformation from commodity and factor flow-based opening-up to institutional opening-up such as rules. Scientifically plan the path of opening-up and enhance the systematic, holistic and coordinated nature of work.

Focus on key areas. Actively adapt to the new trend of global industrial chain reshaping and international economic and trade rules reconstruction, focus on key areas such as tourism, transportation, finance, business services, technical services, medical health, education, culture and entertainment, classify and relax access restrictions, promote the elimination of administrative barriers, improve the regulatory system, deepen reforms in key areas, and enhance the international competitiveness and overall development level of the service industry.

Give play to comparative advantages. Give full play to Hainan's ecological and resource advantages and its location advantages facing the Pacific and Indian Oceans, backed by a super-large domestic market and hinterland economy, seize the important opportunities of the new round of global scientific and technological revolution and industrial transformation, adhere to ecological priority and green development, gather global innovation factors, deepen domestic and foreign opening-up, and cultivate new advantages of cooperation and competition with Hainan characteristics.

Strengthen risk prevention. While expanding opening-up, coordinate development and security, and strengthen risk awareness and bottom-line thinking. Further improve the risk assessment and early warning mechanism, establish a statistical monitoring and risk assessment system for the development of service industry-related industries, and continuously improve the risk prevention and control capabilities to ensure industrial security.

(III) Development goals. After three years of pilot projects, by relaxing market access, reforming the regulatory model, and optimizing the market environment, we will strive to form a new pattern of expanding the opening up of the service industry with a more open market, more standardized systems, more effective supervision, and a better environment, accumulate pilot experiences that can be replicated and promoted nationwide, and play a demonstration and leading role in the country's all-round opening up and innovative development of the service industry.

II. Main tasks and measures

(I) Promote the deepening of reform and expansion of opening up in key industries of the service industry.

1. Fully competitive service industry. In the field of science and technology services: explore and improve intellectual property financing mechanisms such as intellectual property pledge financing, promote the development of science and technology insurance and related reinsurance business, and carry out patent insurance pilot projects for scientific and technological enterprises. Actively promote a new model of combined pledge loans for intellectual property, equity and related physical assets. Support foreign-invested credit investigation companies. Introduce high-quality market research and consulting institutions. Commercial service sector: Further relax restrictions on overseas professionals in professional qualification examinations. Except for matters involving national sovereignty and security, overseas people who work legally in pilot areas are allowed to apply for relevant professional and technical professional qualification examinations in my country (excluding legal professional qualification examinations) in accordance with regulations. Overseas professionals in the fields of architectural design and planning with nationally recognized overseas professional qualifications are allowed to provide professional services to enterprises in specific areas of pilot areas in accordance with regulations after filing or mutual recognition. Their overseas work experience can be regarded as domestic work experience. Well-known overseas arbitration institutions and dispute resolution institutions are allowed to establish business institutions in specific areas of Hainan Province after registration with the Hainan Provincial Judicial Administration Department and filing with the Ministry of Justice to provide arbitration services for civil and commercial disputes in the fields of international trade and investment. Hainan International Arbitration Institutions are encouraged to conduct business cooperation with well-known overseas arbitration institutions and dispute resolution institutions. Support and protect the application and execution of interim measures such as property preservation, evidence preservation, and behavior preservation by Chinese and foreign parties before and during arbitration in accordance with the law.

2. Limited competitive service industry. Educational services: vigorously develop integrated online education, allow vocational schools and general colleges and universities to purchase and use qualified socialized and market-oriented excellent online course resources, incorporate them into the daily teaching system of vocational schools and general colleges and universities, and pilot them in some schools. Encourage and support ordinary primary and secondary schools to enroll children of foreigners. Financial services: grant Hainan's financial services industry more autonomy in opening up and innovation, and promote the all-round opening up of the financial services industry to the outside world. Support the establishment of RMB overseas investment and loan funds. Support the pilot of qualified domestic limited partners (QDLP) and qualified foreign limited partners (QFLP). Expand the scope of qualified domestic institutional investors to investment management institutions initiated and established by domestic and foreign institutions in pilot areas, including domestic securities companies, fund management companies and futures companies. Allow foreign banks to participate in import and export customs clearance tax payment and tariff guarantee business. Promote the reform of corporate credit enhancement guarantee, corporate group financial company guarantee and tariff guarantee insurance. Support the establishment of financial technology and green finance exchange and cooperation platforms, strengthen financial technology innovation, actively develop carbon spot trading and environmental rights financing, develop green financing tools, and support qualified local corporate banks and enterprises to issue green bonds overseas. Support multinational companies to set up wholly foreign-owned financial companies in Hainan Province. Support qualified financial companies and other financial institutions to obtain foreign exchange settlement and sales and derivative trading business qualifications, support qualified securities companies, fund management companies and other financial institutions to obtain foreign exchange settlement and sales business qualifications, and conduct foreign exchange spot and derivative transactions in accordance with the law and regulations under the premise of controllable risks. Support qualified enterprises to list and raise funds on the National Equities Exchange and Quotations and overseas markets. Support cooperation with overseas institutions to develop cross-border commercial medical insurance products, and carry out international commercial medical insurance settlement in accordance with regulations. Encourage overseas financial institutions to invest in and establish foreign-invested securities companies. Support Hainan's oil and gas spot trading venues to carry out futures and spot cooperation with futures exchanges, and support local oil and gas infrastructure to be included in the national oil and gas product futures bonded delivery facility network. Support financial institutions to provide cross-border financial services based on free trade accounts for real and legal spot commodity offshore transactions and bonded delivery in accordance with the law, and promote the coordinated development of the spot market and the futures market. Provide better quality and more efficient financial services for ship and aircraft financing, cancel restrictions on overseas financing of ships and aircraft, and explore replacing margin with insurance. Allow qualified foreign banks to participate in domestic gold and silver futures trading. Hainan Province is allowed to issue offshore RMB local government bonds overseas. Support the implementation of the digital RMB pilot. Health care service sector: Support Hong Kong and Macao service providers to establish wholly-owned medical institutions, and support Taiwan service providers to establish wholly-owned hospitals. Support foreign-funded joint ventures to establish non-profit medical institutions and provide basic medical and health services. Actively develop the service industry in the field of traditional Chinese medicine, promote the internationalization of domestic standards for a number of Chinese medicinal materials and the construction of national traditional Chinese medicine service export bases. Pilot preventive treatment services and charges in for-profit medical institutions. Support the development of Internet medical care, explore mutual recognition systems such as examination results and online prescription information, and establish and improve patient-led medical data sharing methods and systems. Include eligible Internet medical service fees in the scope of medical insurance payment according to procedures. Promote the implementation of the medical device registrant system to promote the development of the "registration ' production" cross-regional industrial chain. Relax the access of private non-enterprise units that are funded by foreign investors to non-profit nursing homes.

3. Competitive businesses in the field of natural monopolies. Power service sector: Support private enterprises to carry out power generation, incremental distribution and power sales in the form of controlling or participating in shares. Steadily promote the market-oriented reform of grid-connected electricity prices, and explore innovative bidding grid-connected models. Establish and improve the electricity spot trading market, and form a market-oriented trading mechanism through spot trading, medium- and long-term trading, and auxiliary service trading. Further improve the transmission and distribution price supervision system, improve the transmission and distribution cost supervision and pricing system, and strengthen dynamic monitoring and all-round supervision. Adapt to the construction and development of a competitive electricity market, and steadily promote the reform of sales electricity prices.

4. Specific service industries. Culture, sports and entertainment: Innovate the construction of national sports tourism demonstration zones, promote the deep integration of sports and tourism, support tourist attractions to expand sports tourism projects, and encourage travel agencies and other tourism companies to design and develop tourism products and routes in combination with sports leisure projects and sports events. Encourage foreign investment in the tourism industry, participate in the development and construction of commercial tourist attractions, and invest in tourism products and facilities. Support Hainan to deepen the pilot of local online game content review, strengthen the protection of online game intellectual property rights, attract creative teams to gather, and promote the improvement of the overall innovation capacity of the game industry. Support Chinese and foreign companies in joint ventures in the field of culture. Optimize the approval and management of commercial performances, and provide convenience for art performance groups or individuals to participate in commercial performances in pilot areas.

(II) Optimize the system and mechanism for the open development of the service industry.

5. Accelerate the simplification of administration and decentralization of power. Deepen the reform of "delegating power, delegating power, and serving the people", fully implement the negative list system for market access, further reduce the prohibition and restriction clauses in the service industry, and regularly evaluate, investigate, and clear all kinds of explicit and implicit barriers. Fully implement the online and offline one-window acceptance and parallel processing of real estate registration, transactions, and tax payment. In the service industry, except for those directly related to national security, public security, financial prudential supervision, ecological and environmental protection, and the life and health of the people, the government service matters shall be notified and promised. Market entities shall promise to meet relevant requirements and submit relevant materials. After the government departments file or make an approval decision on the spot, they can carry out investment and business activities.

6. Improve the rule system. Promote the construction of regulatory standards and norms, and accelerate the comprehensive regulatory system of administrative supervision, industry self-discipline, social supervision, and public participation. Explore the establishment of a government integrity evaluation mechanism and increase the special governance of government dishonesty. Break administrative monopoly, prevent market monopoly, maintain fair competition market order, and ensure that market entities of all types of ownership enjoy equal treatment. Explore and carry out the construction of a digital business environment, benchmark against international high-standard and high-level rules, strengthen pilot projects, optimize and improve the digital business environment, and create an optimal place to attract relevant overseas investment.

(III) Strengthen the policy and factor guarantee for the open development of the service industry.

7. Promote trade and investment facilitation. Carry out international cooperation pilot projects for the "single window" for international trade, gradually expand to relevant countries and regions for the joint construction of the "Belt and Road", and rely on the "single window" to carry out international settlement facilitation for trade in services. For international flight passengers and their luggage on "international-domestic" and "international-international" transfer flights, on the premise of meeting the relevant security measures of the International Civil Aviation Organization, actively promote intermodal transport of inter-transfer flights. Improve the customs clearance efficiency of entry and exit personnel, clear the bottlenecks of exit customs clearance, improve the customs clearance environment, and continuously consolidate and enhance the public health management and service capabilities of ports. According to the law, exhibition exhibits are allowed to be registered in advance and released on a guarantee basis. Exhibits (except for ATA carnets) are transferred to bonded supervision places or customs special supervision areas after the exhibition for verification. Support the purchase of vehicle exhibits in accordance with the law and provide display and transaction convenience. Relying on the trade finance blockchain platform of the People's Bank of China, a trade finance blockchain standard system is constructed to provide financial, logistics and related government services for small and medium-sized enterprises.

8. Provide talent guarantee. Provide entry and exit and residence convenience for high-level foreign talents in investment, entrepreneurship, lectures and exchanges, and economic and trade activities. "High-tech and scarce" foreign talents employed by qualified service industry enterprises can enjoy convenient business handling measures and "green channel" services such as talent visas, work permits, and social security. Enhance the inclusiveness of social security policies and strengthen the rights and interests of flexible employment personnel across enterprises, platforms, and multiple employers. Allow qualified overseas personnel to serve as legal representatives of statutory institutions, institutions, and state-owned enterprises in the pilot area. Further optimize the work permit system for foreigners, and implement more open and convenient policies and measures in terms of entry and exit of personnel and permanent residence of foreign talents.

9. Improve fiscal and tax support policies. When identifying high-tech enterprises in Hainan Province that are engaged in software, artificial intelligence, biomedicine, key materials and other fields, the proportion of research and development expenses incurred in China for more than one year and the proportion of total research and development expenses incurred in China to the total research and development expenses is not less than 50%, the "approval upon filing" policy will be implemented. Recognized as a high-tech enterprise, you can enjoy income tax incentives and other related policies in accordance with regulations, strengthen in-process and post-process supervision, and handle those found not meeting the high-tech enterprise certification standards in accordance with relevant regulations.

10. Strengthen financial risk prevention and control. Carry out management information sharing, regulatory cooperation and cross-border risk disposal cooperation in the financial field. Strengthen the collection, monitoring and use of cross-border receipts and payments business data involved in financial opening policies and measures, and investigate and prevent risks. Strengthen local regulatory responsibilities, conduct in-depth exploration in the research on major financial risk disposal and the improvement of financial risk prevention and control mechanism construction, further implement the work requirements of risk resolution and capital replenishment of small and medium-sized banks, financial derivatives business management, debt management, etc., improve relevant laws and regulations, and resolutely defend the bottom line of no systemic regional financial risks. Adhere to the requirements of licensed financial business operations, and strengthen guidance services for risk prevention and control of financial enterprises through risk warnings, risk control indicator calculations, information reporting and information disclosure.

11. Strengthen data and intellectual property protection. Accelerate the construction of basic laws and regulations in the fields of data security and personal information protection, improve policy standards, and optimize related technical services. Improve and perfect data security management systems such as data classification and data outbound security assessment, strengthen the management and risk prevention of sensitive data, explore the construction of a data cross-border flow security management system, and local governments provide support in terms of funds and supporting policies. Explore the construction of a data protection capability certification system and establish a third-party certification mechanism for corporate data protection capabilities. Promote compliance assessments, build relevant public service platforms, and guide enterprises to fulfill their main responsibilities. Increase penalties for intellectual property infringement and strictly implement the punitive compensation system for intellectual property infringement. Establish and improve mechanisms such as credit classification supervision and breach of trust punishment for market entities in the field of intellectual property. Promote the sharing of case clues and law enforcement resources among law enforcement departments in the province, and establish a cross-departmental intellectual property law enforcement mechanism.

III. Organization and Implementation

Based on the objectives and tasks, the Hainan Provincial People's Government will further improve the working mechanism, build a streamlined and efficient comprehensive pilot management system with clear responsibilities and powers; strengthen talent training and build a high-quality professional management team; carefully organize and implement, and solidly promote the implementation of various measures of this plan on the entire island of Hainan or in specific areas. Firmly establish the overall national security concept, strengthen security assessment and risk prevention, and ensure that related work is carried out in an orderly manner. The Ministry of Commerce will strengthen overall coordination, organize and carry out effectiveness evaluation work, guide the implementation of pilot tasks, and support Hainan Province in summarizing mature experience and organizing promotion in a timely manner. Relevant departments of the State Council will actively provide support according to their division of responsibilities, form a working synergy, and ensure that various reform and opening-up measures are implemented in place. If the pilot needs to temporarily adjust the implementation of relevant administrative regulations, State Council documents, and departmental regulations approved by the State Council, it shall be handled in accordance with the prescribed procedures. For the pilot