Policies of Kunming National Hi-Tech Industries Development ZoneAdministrative Committee onPromoting Industrial Development
Chapter 1 General Rules
1. For the purpose of turning the Kunming Hi-TechIndustries Development Zone (hereinafter referred to as the Kunming Hi-Tech Development Zone) into an internationally renowned and domestic first-class innovativepark and highlighting its industrial policy orientation, this policy is formulated according to relevant national, provincial and municipal laws, regulations and policies based on the actual situations of the development zone.
2. The key industries of the Kunming High-Tech Development Zone are: biological and pharmaceutical industry; advanced material industry focused on new nonferrous and precious metal products; environmental protection and energy conservationindustry; high-end equipment manufacturing industry centeringon general aviation; new energy industry; and modern service industries such as finance, electronic information, and cultural and creative industries.
3. Enterprises whose industrial and commercial relationsaresettled in the Kunming High-Tech Development Zone are entitled to enjoy relevant national, provincial and municipal preferential policies, as long as theprojects are among the industrial areas mentioned above, and the enterprises comply with environmental protection and energy conservationrequirements without major safety accidents.
4. The Kunming High-Tech Development Zone arranges 15 percent of local general budget revenue as special funds to support enterprises (projects) that conform to this policy.
Chapter 2 Reward Policy for Newly Introduced Projects
5. Support will be provided for enterprises with newly introduced projects that play an outstanding role in promoting industrial development, featurehigh technology and havebright market prospects. The project’s investmentamount should be more than 100 million yuan ($16.03 million). Thefund will be no more than 70 percent of the enterprise’s actual investment assets(not including plants, facilities and early stage investment). The fund will be realizedgraduallyaccording to the construction schedule agreed in the investment agreement.
6. Investors who build professional sub-parks (non-industrial), headquarter economic zones and special function urban complexes in the development zone will obtain funds no more than 20 percent of actual investment assets (not including plants, facilitiesand early stage investment expenditure) thatwill be realized graduallyaccording to the construction schedule in the investment agreement.
7. Projects with intellectual property, high technology and bright development prospectsthatare included in the zone’sincubator will get support ofless than 50 percent of house rent.
8. “Zero cost” for enterprise registration
Administrative expensesfor enterprise registration will be paid by the zone. Capital verification fee for foreign and domestic projectswith 100 million yuan(included) of paid-in investmentwill be subsidized by the zone.
Chapter 3 Reward Policies for Enterprises with Outstanding Contribution
9. Corporationsthat paid taxestotaling3 million yuan (included)to the Kunming High-Tech Development Zone will be rewarded according to their contribution and growth.
10. Enterprises with fixed asset investment of more than 100 million yuanwill enjoy 50 percent interest subsidiesfor fixed assets loans. The interest subsidy will reachup to 1million yuan in total.
11. For enterprises that contribute more than 2million yuan to the zone’s revenue, one of the senior executives can get a full grant of his/her individual income tax. Each additional 1million yuan increases thequota for onesenior executive, with up to 10 total.
Chapter 4 Science and Technology Innovation Supportive Policies
12. TheKunming High-Tech Development Zone will allocate no less than 40 percent of total science and technology expenditure budget asproject supportive funds each year. It will also give fundingto projects getting nationalor provincial support in the way of free financing and loans with discounted interest.
13. From 2012 on, the Kunming High-Tech Development Zone will spare 15 million yuanas“special funds for technological innovation of small and medium enterprises” each year from the zone’s science and technology expenditure budget to support their development and enhance innovation ability.
14. The Kunming High-Tech Development Zone has a special fund for academician and expert workstations, each 800,000 yuanper year, for three consecutive years, to attract global and domestic academicians and chief scientists in a particular field to build workstations in the zone. The academicians and experts will be provided with an apartment, one-time settling-in allowance of 200,000 yuan, necessary working and living facilities, and logistics serviceduring their work in Yunnan.
15. High level R&D entities and technology management departments (namely corporate technology centers, engineering centers and key laboratories) will be subsidized with 1million yuan as aone-time science and technology innovation support.
16. The Kunming High-Tech Development Zone gives a subsidy of 800,000 yuan and 500,000 yuan to corporationswho build science and technology cooperation bases at national and provincial levels, respectively.
17. Corporationswith domestic certificated intellectual property rights will be rewarded with 5,000 yuanfor each right; with Hong Kong/Macau/Taiwan certificated intellectual property rights, 8,000 yuan for each; with US/Japan/EU member certificated intellectual property rights, 30,000 yuan for each; with other countries’ certificated intellectual property rights, 20,000 yuan for each.
18. Corporationswinning the title of “China Famous Brand” and “Yunnan Famous Brand”will be rewarded with 200,000 yuanand 100,000 yuan, respectively.
Chapter 5Supportive Policies forCultural CreativityIndustries
19. The Kunming High-Tech Development Zone allocates 10 million yuanfor “special development fund for cultural industries”to give support to key projects in the form of loans with discounted interest, subsidy and reward.
20. The Kunming High-Tech Development Zone aims at building a gathering area of creative design, e-commerce and electronic information industries to South Asia and Southeast Asia. Corporationsin the zone will get a one-time reward of no more than 500,000 yuan, which will be realized after the enterprise’s firstyear of normal operation.
21. Non-profit public cultural facilities (including libraries, museums, memorial halls, cultural relics protection facilities, cultural centers, youth palaces, youth science and technology museums, youth centers and children centers) will get land in accordance with relevant policies.
Chapter 6 Supplementary Provisions
22. The reward policies for financial enterprises shall be executed according to Interim Provisions of the Kunming NationalHi-Tech Industries Development Zone on Encouraging Investment and Financing.
23. The execution of the reward policies for cultural industries shall refer to Policies of Accelerating the Development of CulturalIndustries in Yunnan Province.
24. The execution of the reward policies for software service outsourcing shall refer to Preferential Policies of Accelerating the Development of Software Industry and Service Outsourcing Industry in Yunnan Province.
25. The execution of the reward policy for senior science researchers and introduced high-level talents shall refer to the Implementation Measures of Kunming High-Tech Zone on Encouraging Innovation and Entrepreneurship of High-Level Science and Technology Talents in the Zone.
26. For corporationsthat make a significant or special contribution to the development zone, there will be a “one corporation, one policy” standard.
27. If there is any new content, it will automatically become a part of this reward policy.
28. If some items in this policy overlap with those in other preferential policies, corporationscan only enjoy the preferred ones.
29. The Department of Economic Development and Investment Promotion is authorized by the administrative committee of the Kunming High-Tech Development Zone to be responsible for the interpretation of this policy.
30. This policy will be executed on the day it is issued by the administrative committee of the Kunming High-Tech Development Zone. Supportpolicies, tax preference policies and industrial policies for attracting foreign businesses and investment in Policies Collection of Kunming National Hi-Tech Industries Development Zone implemented in July 2009 will be abolished at the same time.
1