(3) In China, foreign invested enterprises include foreign capital enterprises (also referred to as wholly foreign-owned enterprises) and joint ventures and there are two types of joint ventures: equity joint ventures and contractual joint ventures.

The proportion of foreign investment in an equity joint venture shall be no less than 25 per cent of the registered capital of the joint venture.

The establishment of branches by foreign enterprises is unbound as the laws and regulations on branches of foreign enterprises is under formulation.

Representative offices of foreign enterprises are allowed to be established in China, but shall not engage in any profit-making activities except for the representative offices under the CPC 861, 862, 863, 86502 in the sectoral specific commitments.

(3) Unbound for all the existing subsidies to domestic services suppliers in the sectors of audio visual, aviation and medical services.

The land in the People's Republic of China is State-owned. Use of land by enterprises and individuals is subject to the following maximum-term limitations:

(4) Unbound except for measures concerning the entry and temporary stay of a natural person who falls into one of the following categories:

(a) Managers, executives and specialists defined as senior employees of a corporation of a Member to the GATS that has established a branch or subsidiary in the territory of the People's Republic of China, temporarily moving as intracorporate transferee, shall be permitted entry for an initial period of three years's stay.

(b) Managers, executives and specialists defined as senior employees of other Members to the GATS, being engaged in the foreign invested enterprise in the territory of the People's Republic of China for conducting business shall be granted a long-term stay permit as stipulated in the terms of contracts concerned or a minimum stay of three years, which ever is shorter.

(4) Unbound except for the measures concerning the entry and temporary stay of a natural person who falls into the categories referred to under the market access column.

(c) Service salespersons - persons not based in the territory of the People's Republic of China and receiving no remuneration from a source located within China, and who are engaged in activities related to representing a service supplier for the purpose of negotiation for the sale of services of that supplier where: (a) such sales are not directly made to the general public; and (b) the salesperson is not engaged in supplying the service. Entry for salespersons is limited to a 90-day period.

(1) None

(a) Legal services

(CPC 861), excluding Chinese law practice)

(2) None

(3) Foreign law firms can provide legal services only by the form of representative office in Beihing, Shanghai, Guangzhou, Shenzhen, Haikou, Dalian, Qingdao, Ningbo, Yantai, Tianjing, Shuzhou, Xiamen, Zhuhai, Hangzhou, Chengdu, Shenyang, Kumming, Fuzhou and Wulhan only.

The representative offices in China shall not exceed the number of 80. A foreign law firm can only establish one representative office in China.

The business scope of foreign law firms' representative offices is limited to the following:

The chief representative shall be a partner of a law firm and a member of the bar of his country and practices home country law for five consecutive years. Other representatives shall be practitioner lawyers who are members of the bar of their country and practice law in their country for more than three years. All the representatives shall be resident in China no less than six months each year. The foreign law firms' representative offices shall not employ Chinese lawyers.

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound except as indicated in Horizontal Commitments.

(b) Accounting, auditing and bookkeeping services

(CPC 862)

(c) Taxation services

(CPC 8630)

(1) None

(2) None

One foreign accounting firm can only establish one joint venture accounting firm in China.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) The staff members of the representative offices must hold the CPA or equivalent titles of their home countries.

The foreign professional staff members employed by a contractual joint venture accounting firm must hold the CPA or equivalent titles of their home countries.

(4) Unbound except as indicated in Horizontal Commitments.

(d) Architectural services

(CPC 8671)

(1) Only in the form of cooperation with Chinese partners.

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) Registered architects or enterprises engaged in architectural services in home country.

(4) Unbound except as indicated in Horizontal Commitments.

(e) Engineering services

(CPC 8672)

(f) Integrated engineering services

(CPC 8673)

(1) Foreign services suppliers can provide services in the form of cooperation with Chinese partners.

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) Registered engineers or enterprises engaged in engineering services in home country.

(4) Unbound except as indicated in Horizontal Commitments.

(g) Urban planning (excluding general urban planning)

(CPC 8674)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(h) Medical and dental services

(CPC 9312)

(1) None

(2) None

(3) Wholly foreign-owned hospitals or clinics (i.e. foreign-capital enterprises) are not permitted, but foreign services suppliers are permitted to establish equity joint venture or contractual joint-venture hospitals or clinics with Chinese partners with a quantitative limitation in line with China's needs.

(4) Foreign doctors with professional certificates issued by home state shall be permitted to provide short-term medical services in China. The licence shall be obtained form the health authorities at provincial level. The term of service is six months and may be extended to one year.

(1) None

(2) None

(3) The majority of the doctors and medical personnel of the joint venture hospitals and clinics shall be of Chinese nationality.

(4) Unbound except as indicated in Horizontal Commitments.

B. Computer and Related Services

(a) Consultancy services related to the installation of computer hardware (CPC 841)

(b) Software implementation services

(CPC 842)

(1) Unbound

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) Unbound

(2) None

(3) None

(4) Certified engineer or Bachelor's degree or above and 3 years of experience in these fields.

(c) Data processing services

(CPC 843)

(1) Foreign information suppliers can provide services by signing business contracts with the competent authority (the Ministry of Post and Telecommunications) which arranges the circuit and the designated gateway.

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(1) Foreign services suppliers can only be the terminal users of the circuit and are not allowed to establish networks in the territory of China.

(2) none

(3) None

(4) Certified engineer or Bachelor's degree or above and 3 years of experience in these fields.

(e) Maintenance and repair services of office machinery and equipment including computers

(CPC 845)

(1) Unbound^*

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) Unbound*

(2) None

(3) None

(4) Certified engineer or Bachelor's degree or above and 3 years of experience in these fields.

D. Real Estate Services

(a) Real estate services involving won or leased property

(CPC 821)

(b) Real estate services on a fee or contract basis

(CPC 822)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

E. Rental and Leasing Services without Operators

(CPC 8310)

(1) None

(2) None

(3) Foreign services suppliers who meet the following conditions are allowed to provide services in China on trial basis in the form of equity joint venture only:

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

F. Other Business Services

(a) Advertising services

(CPC 871)

(1) Foreign services suppliers who want to solicit advertisement from China shall conduct advertising business through the Chinese advertising agents possessing the right to operate foreign advertisements.

(2) None

(3) Foreign enterprises engaged in advertising services can establish advertising companies in China only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) Unbound

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(c) Management consulting

service

(CPC 865, excluding CPC 86502)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(e) Technical testing and analysis services

(CPC 8676)

(1) None

(2) None

(3) Foreign services suppliers which have been engaged in inspection services in his own country for more than 3 years are permitted to establish technical testing and analysis institutions or companies with Chinese partners in the form of equity joint ventures.

The registered capital of the joint venture shall not be less than US$500,000.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(f) Services incidental to agriculture, forestry, hunting and fishing

(CPC 881, 882)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(m) Related scientific technical consulting services

(CPC 8675)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

- Offshore oilfield services geological, Geophysical and other scientific prospecting services

(CPC 86751)

Sub-surface surveying services

(CPC 86752)

(1) None

(2) None

(3) Only in the form of petroleum exploitation in cooperation with Chinese partners.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

- Onshore oilfield services

(1) None

(2) None

(3) Only in the form of petroleum exploitation in cooperation with China National Petroleum Corp (CNPC) in the designated areas approved by the Chinese Government.

(1) None

(2) None

(3) The foreign service supplier shall furnish CNPC accurately and promptly with the report on the petroleum operations, and shall submit to CNPC the data and samples as well as various technological, economic, accounting and administrative reports related to petroleum operations.

In order to carry out the petroleum contract, the foreign service supplier shall establish a branch or subsidiary or representative office within the territory of the People's Republic of China and go through registration formalities in accordance with the laws. The domiciles of the said offices shall be determined through consultation with CNPC.

CNPC shall have the ownership of all of the data records, sample, vouchers and other original information acquired during the implementation of the petroleum operations.

The foreign service supplier shall use appropriate and advanced technology and managerial experience, and have the obligation to transfer its technology and pass on its experience to the Chinese personnel.

The foreign service supplier shall open its bank account with a bank approved by the Chinese Government authorities to engage in foreign exchange business within the Chinese territory.

To meet the requirements of the Bidding Documents and Model Contract from the Chinese side.

The investment of foreign service suppliers shall be made in US dollar or other hard currency.

With regard to personnel, materials, equipment, facilities and service required in the petroleum operations, priority shall be given to the employment of the Chinese subcontractors, provided that they are competitive in delivery, time, price and quality.

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound except as indicated in Horizontal Commitments.

(n) Maintenance and repair of equipment services

(CPC 886)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(p) Photographic services

(CPC 875)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(s) Convention services

(CPC 87909)

(1) None

(2) None

(3) Only in forms of joint ventures.

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Unbound except as indicated in Horizontal Commitments.

(t) Translation and interpretation services

(1) None

(2) None

(3) Only in the form of equity joint ventures. Foreign services suppliers who meet the following conditions shall be permitted to establish joint-venture companies in China:

(4) Unbound except as indicated in Horizontal Commitments.

(1) None

(2) None

(3) None

(4) Qualifications are as follows: three years of experience in translation or interpretation and a good command of the working language(s).

2. COMMUNICATION SERVICES

Value-added services

including the following:

3. CONSTRUCTION AND RELATED ENGINEERING SERVICES

(CPC 512, 513, 514, 515, 516, 517)

4. DISTRIBUTION SERVICES

(CPC 631, 632, motorcycles in 6121)

(excluding rice, edible oil and slat in bulk in CPC 63109, CPC 63243), CPC 63245, books, newspaper and magazines in CPC 63253, pets and agricultural fertilizer in CPC 63295, CPC 63297)

(1) Unbound

(2) None

(3) Foreign services suppliers are permitted to supply services only in forms of the equity joint venture or contractual joint venture in five Special Economic Zones (Shenzhen, Zhuhai, Shantou, Xiamen and Hainan) and six cities (Beijing, Shanghai, Tianjin, Guangzhou, Dalian and Qingdao). In each place, the total of no more than two joint-venture retailing corporations are allowed.

Foreign services suppliers shall be the enterprises engaged in retailing services.

(4) Unbound except as indicated in Horizontal Commitments.

(1) Unbound

(2) None

(3) Unbound

(4) Unbound except as indicated in Horizontal Commitments.

6. ENVIRONMENTAL SERVICES

(excluding environmental quality monitoring and pollution source inspection)

A. Sewage services

(CPC 9401)

B. Solid waste disposal services

(CPC 9402)

C. Cleaning services of exhaust gases

(CPC 9404)

D. Noise abatement services

(CPC 9405)

E. Nature and landscape protection services

(CPC 9406)

F. Other environmental protection services

(CPC 9409)

7. FINANCIAL SERVICES

A. All Insurance and Insurance-Related Services

(CPC 812)

(a) Life insurance provided to foreigners and Chinese citizens who bear payment of premiums by themselves.

(b) Non-life insurance of foreign enterprise abroad, property insurance and its relative liability insurance of foreign-capital enterprises in China.

(c) Reinsurance related to (a) and (b).

(d) Services auxiliary to insurance (excluding brokerage and agency services)

Requirement of reinsurance: a foreign insurance institution shall transact 20 per cent of its total insurance business as reinsurance to the Peoples' Insurance Company of China.

(4) Unbound except as indicated in Horizontal Commitments.

B. Banking and Other Financial Services

(excluding insurance)

Banking services

1. Foreign currency business:

The minimum registered capital of a subsidiary of foreign bank and a Chinese-foreign joint bank shall be RMBY 300 million equivalent in freely convertible currencies. The minimum registered capital of a foreign finance company and a Chinese-foreign jointly owned finance company shall be RMBY 200 million equivalent in freely convertible currencies. Their paid-in capital shall be no less than 50 per cent of their registered capital.

- Advisory and other auxiliary financial service (including credit reference and analysis)

(CPC 8133, excluding 81331)

B. Foreign financial institutions who meet the following conditions are permitted to establish a subsidiary of foreign bank or a foreign finance company in China:

- Provision and transfer of financial information data processing and related software by supplier of financial services.

C. Foreign financial institutions who meet the following conditions are permitted to establish a branch of a foreign bank in China:

D. Foreign financial institutions who meet the following conditions are permitted to establish a Chinese-foreign bank or a Chinese-foreign finance company in China:

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound except as indicated in Horizontal Commitments.

9. TOURISM AND TRAVEL RELATED SERVICES

A. Hotels (including apartment buildings) and restaurants

(CPC 6411, 64193, 64201)

(1) None

(2) None

(3) Foreign services suppliers may construct, renovate and operate hotel and restaurant establishments in China in forms of joint ventures.

(1) None

(2) None

(4) Foreign managers, specialists and senior executives who have signed contracts with joint venture hotels and restaurants in China shall be permitted to provide services in China.

(4) Unbound except as indicated in Horizontal Commitments.

(3) Foreign services suppliers who meet the following conditions are permitted to provide services in the form of equity joint venture first category travel agencies in the holiday resorts designated by the Chinese government:

The joint travel agency in the holiday resorts shall meet the following conditions:

The term of operations of a joint-venture travel agency in the holiday resorts shall not exceed 20 years.

Only one joint-venture travel agency is allowed in one holiday resort.

The business scope of a joint-venture travel agency is as follows:

A joint-venture travel agency is not allowed to establish branches in the territory of China.

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound except as indicated in Horizontal Commitments.

11. TRANSPORT SERVICES

(3) Foreign services suppliers (foreign airline companies will be given priorities) are allowed to establish joint-venture airlines on experimental basis. In the experimental period, only one or two joint ventures are permitted and subject to approval of the CAAC. Further opening is subject to the results of the experiments.

In running a joint-venture airline, the foreign investment is limited to 35 per cent, and foreign voting rights cannot exceed 25 per cent, and both the board chairman and the general manager shall be Chinese.

Foreign services suppliers are allowed to invest in agricultural and forestry civil industries by establishing joint ventures. The proportion of the investment shall be decided by both sides of the joint venture.

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound except as indicated in Horizontal Commitments.

11. TRANSPORT SERVICES

A. Maritime Transport Services

- International transport (freight and passengers) (CPC 7211 and 7212 less cabotage transport)

3. Provisioning, fuelling and watering

4. Garbage collecting and ballast waste disposal

5. Port Captain's services

6. Navigation aids

7. Shore-based operational services essential to ship operations, including communications, water and electrical suppliers

8. Emergency repair facilities

9. Anchorage, berth and berthing services

A. Maritime Transport Services

- International transport (freight and passengers) (CPC 7211 and 7212 less cabotage transport)

H. Maritime Auxiliary Services

(a) Maritime cargo-handling services

(b) Storage and warehousing services

Customs clearance services

Container station and depot services

Maritime freight forwarding services

B. Internal Waterway Transport Services

(1) Only international shipping in ports open to foreign vessels shall be permitted.

(1) Limitation as indicated under market access

Freight forwarding agency services (CPC 748, 749 excluding freight inspection)

The minimum registered capital of the joint ventures engaged in maritime, aviation and land forwarding services shall be US$1 million, US$800 thousand and US$600 thousand respectively. If the joint venture engages in two or more than two kinds of freight forwarding services, the minimum registered capital shall be increased accordingly.

Foreign service suppliers shall have at least three consecutive years experience of freight forwarding services. The operational term of the joint venture shall not exceed 20 years. After one year operation in China, the joint venture can set up branches when all the registered capitals of both sides have been finalized.

(4) Unbound except as indicated in Horizontal Commitments.

(4) Unbound as except as indicated in Horizontal Commitments.