Chapter I General Provisions Article 1 In order to standardize the management of state-owned enterprises in Hong Kong and Macao in this Municipality, promote enterprises to actively carry out international operations, explore the international market, and promote the development of state-owned enterprises in Hong Kong and Macao in this Municipality, these Provisions are formulated in accordance with relevant state regulations and combined with the actual situation of this Municipality. Article 2 These Provisions shall apply to enterprises and institutions established in Hong Kong and Macao by Xiamen enterprises (hereinafter referred to as investment units) with state-owned assets or property of state-owned legal persons (hereinafter referred to as state-owned enterprises in Hong Kong and Macao). Article 3 The establishment of enterprises in Hong Kong and Macao should be conducive to opening up the international market, making use of overseas resources, capital, advanced technology and management experience, developing foreign trade and expanding foreign economic and technological cooperation. Article 4 The municipal foreign trade department is responsible for the industry management of state-owned enterprises in Hong Kong and Macao. Its main responsibilities are:

(1) To study and formulate development plans and management measures for state-owned enterprises in Hong Kong and Macao;

(two) responsible for the examination and approval or audit report of state-owned enterprises in Hong Kong and Macao;

(three) to coordinate the comprehensive management of state-owned enterprises in Hong Kong and Macao by relevant functional departments;

(four) tracking research and summary analysis of the development of state-owned enterprises in Hong Kong and Macao, and regularly report to the municipal government.

Departments of finance, state-owned assets, auditing and foreign exchange management shall be responsible for the supervision and administration of state-owned enterprises in Hong Kong and Macao according to their respective responsibilities. Article 5 Investors shall be responsible for the specific management and supervision of state-owned enterprises in Hong Kong and Macao according to the principle of "who invests, who manages and who is responsible", and shall be directly responsible for maintaining and increasing the value of state-owned assets of state-owned enterprises in Hong Kong and Macao.

An investment entity shall truthfully submit its report on the business activities of state-owned enterprises in Hong Kong and Macao to the relevant departments in accordance with the provisions, and the relevant departments shall keep business secrets for the providers. Article 6 The government shall take the following measures to support the development of state-owned enterprises in Hong Kong and Macao:

(a) the implementation of the tax exemption policy for regular profits of state-owned enterprises in Hong Kong and Macao;

(two) the establishment of Hong Kong and Macao state-owned enterprise development fund;

(three) to encourage Hong Kong and Macao state-owned enterprises to invest in domestic projects;

(4) Other supporting measures.

The specific implementation measures specified in the preceding paragraph shall be formulated by the municipal foreign trade and economic cooperation department jointly with relevant departments and implemented after being approved by the municipal government. Article 7 State-owned enterprises in Hong Kong and Macao shall enjoy operational autonomy according to law, and relevant government functional departments shall not directly interfere in the business activities of state-owned enterprises in Hong Kong and Macao. Conditional Hong Kong and Macao state-owned enterprises can carry out asset management upon approval. Under the condition of ensuring the preservation and appreciation of state-owned assets, internal shareholding management of enterprise employees or risk mortgage contract management can be implemented. Article 8 The inspection, assessment and audit of state-owned enterprises in Hong Kong and Macao by relevant government functional departments shall be jointly conducted once a year with the consent of overseas enterprise management coordination agencies. Chapter II Examination and Approval for the Establishment of State-owned Enterprises in Hong Kong and Macao Article 9 An investment unit that has registered with the administrative department for industry and commerce, has the corresponding capital, can raise the funds needed for the establishment of state-owned enterprises in Hong Kong and Macao by itself, and has a certain technical level of operation ability may apply for the establishment of state-owned enterprises in Hong Kong and Macao. Article 10 To apply for the establishment of a state-owned enterprise in Hong Kong and Macao, the following documents and materials shall be submitted:

(1) Project proposal;

(two) the feasibility study report and the review opinions of the property right operation unit of the investment unit on the feasibility study report;

(3) The valid business license of the investor;

(four) the examination and approval opinions of the state-owned assets supervision department;

(five) resolutions of the board of directors of joint-stock enterprises investing in Hong Kong and Macao;

(6) Credit information of the foreign party to the joint venture or cooperation;

(7) Joint venture and cooperation contracts and articles of association;

(8) Review opinions on foreign exchange risks and sources of foreign exchange funds issued by the foreign exchange administration department;

(nine) other relevant documents and materials required by the examination and approval department. Eleventh applications for the establishment of state-owned enterprises in Hong Kong and Macao should be reported to the municipal foreign trade department in accordance with the relevant provisions of the state, and approved by the municipal foreign trade department at a higher level. Twelfth state-owned enterprises in Hong Kong and Macao to change or terminate, investors should go through the relevant formalities with the municipal foreign trade department, and report to the municipal foreign exchange management department for the record. Thirteenth investment units should go through the local registration procedures within one year from the date of approval of their state-owned enterprises in Hong Kong and Macao. Failing to register in the local area within the time limit shall be revoked according to law.

State-owned enterprises in Hong Kong and Macao shall, within 30 days from the date of registration, submit the registration documents, bank accounts and other relevant materials to the municipal foreign trade and economic cooperation department and the foreign exchange administration department for the record. Chapter III Management of State-owned Assets Article 14 Where an investor invests in Hong Kong and Macao in kind or intangible assets, he must make an asset evaluation in advance, and report it to the state-owned assets supervision department for confirmation after being signed by the property right operator. Fifteenth Hong Kong and Macao state-owned enterprises shall handle the registration of property rights of state-owned assets in accordance with the regulations. Sixteenth Hong Kong and Macao state-owned enterprises shall not be registered in the form of unlimited liability companies or in the name of individuals.

Managers of state-owned enterprises in Hong Kong and Macao shall not hold shares in state-owned assets in their own names. Under special circumstances, if it is really necessary to hold the equity of state-owned assets in the name of an individual, it shall be reported to the state-owned assets supervision department for approval after being audited by the main body of property rights operation, and the legal procedures shall be performed according to the laws of China and the laws of the region where it is located. Seventeenth Hong Kong and Macao state-owned enterprises to implement the asset management responsibility system. An investment entity shall sign a letter of responsibility for the operation of state-owned assets with state-owned enterprises stationed in Hong Kong and Macao, specifying the investment benefit, the goal of maintaining and increasing the value of state-owned assets, the remuneration of asset managers, the methods of rewards and punishments, and the period of responsibility for asset operation, and shall be responsible for implementation, assessment and supervision.