The Economic and Technological Development Zone of Jinhua City, Zhejiang Province (JHETDZ for short) is the model area for developing export-oriented economy, the crucial place for opening up, and the major source of economic growth of the City Proper. Since it was founded in 1992, the Zone, with its peculiar advantageous position, favorable investment environment and preferential policies, has attracted a number of businessmen to make investment and do business here, and there are zones with different functions: the commercial center, the high and new technological zone, the specialized industrial area, and the educational and recreational area. In the year of 2003, the major economic indexes, such as gross product, export, foreign investment and investment in fixed assets, accounted for one third of the total in Jinhua area. Till now, an energetic new city, with complete infrastructure facilities, convenient transportation network, comfortable living environment, has come into being along the beautiful Wujiang River.

At present, people have shown their pioneering creative spirit and practical realistic working style in the JHETDZ. Guided by the scientific view of development, motivated by the advances in science and technology, and aiming at overall development and a more competitive position, they are marching along the road to build the Zone into a modernized ¡°trinity¡±: a zone with model investment environment in Midwest Zhejiang, with intensive capital and technology, and as the focal display of the whole city.

We sincerely welcome you to pay visits of sightseeing or investigation, and choose here as your investment destination. Your supervision over the official efficiency and effectiveness are also welcomed.

Introduction

	Jinhua Economic and Technological Development Zone Jinhua High and New Technology Park Geographic location The JHETDZ today
	Jinhua Economic and Technological Development Zone The Jinhua Economic and Technological Development Zone (abbr. JHETDZ) was founded in July 1992. Consisting of the Economic and Technological Development Area, the provincial High and New Technology Industrial Park and the Agricultural Export-oriented Comprehensive Development Area, the Zone was approved to cover a total area of 65.22 km2. It is situated on the south side of Wujiang River, facing the old urban area, and is the central part of Jinhua¡¯s Overall City Planning. During the past ten years, with its tremendous economic and social development, the JHETDZ has become the crucial source of industrial economic growth in Jinhua. It invites large amounts of trades and investment, and encourages technological invention and creation. It is now an effective carrier for the overall development. 1.Specialized Industrial Park: Jinhua Industrial Park is situated in the west wing of the JHETDZ, and functions as the crucial source of the industrial growth of Jinhua City. The Park is approved to cover an area of 20 km2, and to be divided into two parts: the north one which is of 12 km2 and the south one, 8 km2, along the new No. 330 National Highway. Since the construction started in April 2000, great achievements have been made in the aspects of infrastructure and business promotion. By the end of 2003, the total area of the Park had reached 12 km2. And in the year of 2003 alone, the amount of available foreign capital reached 45.46 million US dollars, and altogether 288 enterprises entered the Park with a total contracted foreign capital of 4.5 billion yuan. In 2003, Jinhua Industrial Park¡¯s industrial production value reached 2.523 billion yuan, with a growth rate of 73.9%, and the income from profit taxes hit 109 million yuan with a growth rate of 60.3%. The Park is equipped with the supplementary infrastructure facilities, according to the standard. Till now, a total of over 2 billion yuan has been spent on the infrastructure development, and on average, there are about 150~200 million yuan has been spent on every square kilometre. The Park proceeds on its business promotion with a focus on the distinctive industries including automobile and fittings, biology and pharmacy, hardware, and communication and electronics, prolong and extend the industrial chain, and urge to form a dominant industrial group with certain companies as the lead, and other related industrial chain developing on a large scale. The Park now has embodied a few enterprises which produce over 100 million yuan per year, such as Neoplan Vehicle, Conba Group, Lion Brewing Group, Huatai Tourist Goods, and Crown Electric Motorbike. Among the large number of enterprises, Neoplan Vehicle and Conba Group have established their leading positions, and other kernel enterprises are booming. 2.Ecological Industrial Park The Ecological Industrial Park of Jinhua Economic and Technological Development Zone is situated in an area east to the Qingtang Park, south to the southern second circling road, north to the old third circling road and west to No. 8 Road, covering altogether 9.7 km2 as planned. The planning and development of Ecological Industrial Park are to stick to the scientific view of development, and to realize industrialization in a new way of integrating high technology and considerable economic benefits with low resource consumption, few environmental pollution, and efficient personnel management. In short, it aims to achieve the integration of economic benefits, environmental benefits and social benefits, and then reach the win-win. The following ten points are significant in pursuit of this purpose. 1) The ecological environment in the region should be strictly protected, on the basis of which the hills, rivers and wood can be taken full advantage of, while the natural pattern and continuity and wholeness of the land being preserved. 2) The land should be utilized economically and reasonably, while the historic ecological blocks and corridors are protected. 3) The infrastructure development should be promoted to protect and improve the ecological environment in the region; meantime, the infrastructure facilities should be improved as required by the ecological development. 4) The living and consuming style should be innovated with the ideal of recycling economy and thrifty society in mind, and with the ultimate purpose of realizing this ideal harmony in society. 5) All the enterprises to be moved here should be of the first class and make clean manufacturing, and they should gradually become enterprise groups which possess relatively high resources utility ratio, few pollution and good economic benefits. Enterprises should all be introduced according to Guide to the Industries Entering the Ecological Industrial Park. 6) The recycle and reuse of the waste (waste residue, liquid waste, exhaust gas, etc) is encouraged in the enterprises in the Ecological Industrial Park. 7) The enterprises in Ecological Industrial Park should gradually get in touch with enterprises in the Industrial Park and in the High and New Technology Park of the Jinhua Economic and Technological Development Zone, and promote recycling and reusing of the waste (waste residue, liquid waste, exhaust gas, etc) as well as ecological reformation. Or, it should set a good example to help promote the reformation of the enterprises in the Industrial Park. 8) The computational model and database should be established to make association between industrial enterprises in Downtown Jinhua, Jinhua Proper and even other cities. This may help their organization and production in accordance with the requirements of recycling economy, 9) The Ecological Industrial Park and its enterprises should both create favorable conditions to connect with agriculture and commerce to achieve mutual promotion and development. 10) The Ecological Industrial Park, no matter it is on construction or after construction, should play a positive role in both the living and manufacturing environment, and should be helpful in making Jinhua an ecological city with hills and rivers. Jinhua High and New Technology Park The Jinhua High and New Technology Park was built in 1998 and was ratified by the Science and Technology Department of Zhejiang Province in 2001. It is now acknowledged as a provincial-level high and new technology park. The Park¡¯s approved area is 7.02 km2, which is made up of the core area (the Jinhua Science and Technology Park of Chinese Academy of Sciences) and the High and New Technology Zone. There are 164 enterprises in the Park now, in which 31 enterprises are ranked as the municipal-level high and new technology enterprises (state-level: 3 enterprises, provincial-level: 12, municipal-level: 16). Moreover, there are one state-level Science and Technology Tackling-Key-Problem Project and one State 863 Project, four items of state-level Innovation Fund, 13 items of provincial-level Innovation Fund, 18 items of state-level ¡°Torch Projects¡± and 8 items of provincial-level ¡°Torch Projects¡±. Therefore, there have been four high and new technological industry groups: creature and medicine, electromechanical integration, software and automobile and fittings. In 2003, the gross income of trade was 3.608 billion yuan, and the total value of industrial output reached 3.514 billion yuan. The Zhejiang Science and Technology Department acknowledged the Jinhua High and New Technology Park as a provincial-level Excellent Park. The Park places stress on the systematic construction of technological innovation, and successively set up the Undertaking Service Center of Jinhua Science and Technology Park, the Jinhua Undertaking Park for Returned Overseas Students, and Postdoctoral Scientific and Technological Working Station. Geographic location Jinhua is a central city to the Midwest of Zhejiang and its favorable location makes the City a hub of communications in Zhejiang. It is in the southern wing of Changjia Delta Economic Loop, 350 km away from Shanghai. The transportation is convenient in and nearby Jinhua, since highways, railroads, waterways and airlines are all available to passengers. The network of highways leads to Hangzhou in the north, to Quzhou in the west, to Ningbo, Jiaojiang in the east, and to Wenzhou in the south. According to the Overall Planning, there are eight expressways across Jinhua, among which Hangzhou-Jinhua-Quzhou and Jinhua-Lishui-Wenzhou Expressways have already been in use, and the other three such as Jinhua-Ningbo Expressway are under construction. The three railroads, namely, the double-tracking Zhejiang-Jiangxi Railway that traverses Jinhua area, the Jinhua-Wenzhou Railway, and the Jinhua-Qiandaohu Railway, are intersected here in Jinhua, so is the in-planning Jinhua-Ningbo Railyway. Jihua is also the starting point of the waterway of Lanjiang-Fuchunjiang-Qiantangjiang Rivers. And it is only 20-minute journey driving from Downtown Jinhua to Yiwu Civil Airport, and 70-minute to Hangzhou Xiaoshan International Airport. All in all, Jinhua has formulated a pattern of three-dimensional transportation with water, landway and air transports. It has become the political, economical, cultural and educational center and important-material-distributing center in central Zhejiang. Jinhua is a beautiful city with prosperous trade and business, particularly developed in mechanics, electronics, fine chemistry and small commodity industry. Jinhua Economic and Technological Development Zone is situated on the south of Wujiang River, facing the old City center across the river. It is in the core of Jinhua¡¯s Overall City Planning and is the ¡°New City in the City¡±. The JHETDZ today 1.Economical indexes: From January to September of the year of 2004, the industrial production value of the enterprises reaching standards hit 4.067 billion yuan, with a growth rate of 23.8% compared to that of the same period last year, among which 2.467 billion yuan is from the Industrial Park, with a growth rate of 45.77%. During this period, the Development Zone has invited 18 foreign projects, in which there are 41.98 million US dollars of contracted foreign capital, and 26.24 million US dollars are available. 2.General situation of the economic development Under the guidance and support of the Jinhua Committee of the Communist Party of China (abbr. CCPC) and the Municipal Government Council, the Jinhua Economic and Technological Development Zone (abbr. JHETDZ) constantly carries out the strategies of urbanization, industrialization and integration of urban and rural areas. It manages to keep pace with the times, and has achieved the historic breakthrough in economical and social developments by reformation and innovation in the following aspects: Steady development of urbanization; Prosperous development of industrial economy; Remarkable effects of promoting business; Preliminary setup of the platform for technological innovation; Overall development of urban and rural areas 3.Goals and requirements of the development: Looking back to the past 12 years, the Jinhua Economic and Technological Development Zone (abbr. JHETDZ) has gradually shaped a distinctive way for developing itself. It has a comprehensive planning for making the City and the Industrial Parks a integral whole. It complements industry with commerce, gives priority to supplementary equipments, lays emphasis on promoting business and inviting investment, highlights technological developments and conducts deputy management and effective administration. After experiencing the early hard times and the extension period, the Zone is entering a rising stage which calls for aggregated promotion and overall development. In the new situation, the JHETDZ will build up and put into effect the scientific view of development, and change the style to achieve aggregated promotion. In terms of the development pattern, it will avert the focus from extension to promotion. In making use of the land, it will move from extensive-oriented management to intensively-oriented one. In attracting foreign investment, it will turn from the sheer introduction of trades and investment to multi-level aspects including capital, intelligence and technology, emphasizing more on the subsequent management to seek the rapid and sustainable overall development of the economy and society. The general requirements this year are: in adherence to the theory proposed by Deng Xiaoping and the essential idea of ¡°Three Represents¡±, fully implementing what was approved in the 11th Session of the 4th JHCCPCC and the extensive meeting composed of all the members of the Municipal Government, we should speed up promoting business and trade centers, focus on developing the North-and-South Industrial Zone, and start new investment areas ahead of the schedules. In order to give a perfect end to the development of North-and-South Industrial Zone which covers an area of 20 km2 to the north of the second circling road, and to make a good start to the development of the new investment area of 13 km2 to the north of the third circling road, we must continue to reform and open up to the outside world and try to catch up with the international level, overcome all kinds of difficulties to achieve aggregated promotion and overall development. With hard work in the next 3 years, we will strive for building another industrial park, and make the growth rate of the Zone¡¯s major economic indexes, including gross product, fiscal revenue, foreign export and business promotion, higher than the average level of the City, and higher than the average level of all the provincial Development Zones. In this way, we¡¯ll make greater contribution to developing Jinhua to be the core city in Midwest Zhejiang.

Excellent enterprises

	Jinhua Neoplan Vehicle Co., Ltd Zhejiang East Crystal Electronic Co., Ltd Zhejiang Conba Pharmaceutical Co., Ltd Jinhua Luyuan Electric Vehicle Co., Ltd Jinhua Lion Brewing Co., Ltd
	Jinhua Neoplan Vehicle Co., Ltd Jinhua Neoplan Vehicle Co., Ltd is the state-assigned enterprise to manufacture saloon cars. We imported the world-level manufacturing technology from the NEOPLAN Company in Germany in order to specifically manufacture ¡°Youth Neoplan Saloon cars¡±. Our company got ¡°Five No. Ones¡± in the level of cars, the production of top-grade cars, the sales volume of top-grade cars, the number of top-grade cars and the rate of growth in the same field of China. We are one of the top 10 passenger cars enterprises and the top 500 engineering industries all through the country. Our cars are assessed as the top-grade five-star passenger cars in state tourism industry by Chinese Ministry of Construction. The sale reached 1.33 billion yuan, and the income from profit taxes reached 0.2 billion yuan in 2003. In March 2004, a series of ¡°Youth¡¤Star¡± saloon cars with the length of 13.7 meters were put into production, which rewrote the industry standard and filled up domestic market vacancy. In August 2004, the MAN heavy trucks from Germany were under lines in Jinhua, and the Youth Group was considered as the only strategic partner in China by ¡°MAN¡± and this type of car has become another leading product in Jinhua Neoplan Vehicle Co., Ltd. Zhejiang East Crystal Electronic Co., Ltd Zhejiang East Crystal Electronic Co., Ltd is specialized in electronic components manufacture, which is regarded as a high and new technology enterprise in Zhejiang Province. With the introduction of the key production and checkout equipment of Quartz crystal resonators, the annual productions of Quartz crystal resonators are 150 million sets. Our annual productions of ceramic tubular capacitors that are used for IFT are 500 million pieces. The company¡¯s products are listed as ¡°the recommending products to European Union markets¡± by State Trade Sales Promotion Committee, and are recommended as ¡°High Quality Technological Products¡± by France Technological Quality Assessment Committee as well. In 2003, the company took the lead in manufacturing Quartz crystal resonators with SMD full automatically in China. Zhejiang Conba Pharmaceutical Co., Ltd Zhejiang Conba Pharmaceutical Co., Ltd. regards the enterprise as the main body, uses universities and colleges and scientific research stations as its guide, combines self-innovation with introduction, digestion and improvement, and adopts the ways of experts¡¯ consultation and scientific policy-making. The company has more than 270 professionals who are occupied with technological exploitation of medicine, among which there are three personnel with a doctor¡¯s degree and about 50 with a master¡¯s degree. The company has developed famous drugs such as the "Conprosta", "Taponing", "Keting", ¡°Jinaokang¡±, ¡°Beibei Xuebao¡±. In April 2004, Zhejiang Conba Pharmaceutical Co., Ltd. officially came into the market in Shanghai Stock Exchange Station. Jinhua Luyuan Electric Vehicle Co., Ltd Jinhua Luyuan Electric Vehicle Co., Ltd was founded in July 1997. Luyuan enterprise has become an intact manufacturer with assisting core system which is from key parts researching and manufacturing to machine processing, and from parts installing to whole bicycle assembling. All the achievements make LuYuan enterprise become one of the biggest manufacture enterprises and technology innovation base-stations in China. In 2003, the turnout reached 86,000 pcs which took the lead both in Zhejiang Province and in China. Jinhua Lion Brewing Co., Ltd Jinhua Lion Brewing Co., Ltd., a Chinese foreign joint venture, was co-built by Kinkoda Group, China Lion Brewing Group, Malaysian Kingsida Co., Ltd. and Malaysian Deyi Brewing Co., Ltd. In June 2003, the company invested 0.16 billion yuan in the industrial zone of the city to build an advanced large-scale garden-like enterprise in the middle and west parts of Zhejiang Province. The annual production capacity of brewing is 0.15 million tons. The company has imported the advanced technical skill from Germany. The diastatic fermentation equipment and pipelines strictly meet the demands of pure plysiochemistry. At the same time, the company also adopts 40 thousand tons per hour of fill levels that also take the lead in China.

Transportation

	Highways Railways Airlines Water Transport
	Highways There is an interlaced network of highways that extend in all directions, leading to Hangzhou and Shanghai in the north, to Quzhou in the west, to Ningbo and Taizhou Ports in the east, and to Wenzhou Port in the south. The radiating highways, including the Hangzhou-Jinhua-Quzhou and Jinhua-Lishui-Wenzhou Expressways and other national and provincial highroads, all contribute to the transportation network, with the City Proper as its center. The Jinhua-Ningbo and Jinhua-Jiaojiang Expressways are under construction, and the Hangzhou-Xin¡¯anjiang-Jinhua Expressway and the City¡¯s Loop Road are being planned. Today it is only a one-and-a-half-hour journey driving from Jinhua to Hangzhou, and a three-hour to Shanghai. When the Jinhua-Ningbo Expressway is open to traffic, the distance between the two cities will be narrowed to a 90-minute ride. Railways Three railroads, namely, the double-tracking Zhejiang-Jiangxi Railway that traverses Jinhua area, the Jinhua-Wenzhou Railway, and the Jinhua-Qiandaohu Railway, are intersected here in Jinhua. Among other railroads, the Jinhua-Ningbo and Jinhua-Jiaojiang Railways, and the extended part of the Jinhua-Qiandaohu (i.e., from Jinhua all the way to Mt. Huang) Railroad, are all included in the blueprint. Jinhua Railway Station, one that ranks Class 3 in Grade A conferring the sate norm, is the biggest marshalling yard in East China, and the City is an important center of railway transportation in the area as well. Water Transport There is a 1-to-3 hour journey driving from Jinhua Proper to the surrounding international airports in Hangzhou, Shanghai and Ningbo, and a 20-minute to Yiwu Civil Airport, where over ten air routes are available at present, including those destined for Guangzhou, Shenzhen, Beijing and Xiamen, et alibi. Water Transport In the vicinity of Jinhua are the harbors in Shanghai, Ningbo and Wenzhou, and the Jinhuajiang River (also known as the Wujiang River), the largest of the district, flows down into the Lanjiang River, the Fuchunjiang River and the Qiantangjiang River.

Infrastructure facilities

	Water supply Electricity Central heating Piped liquefied gas Sewage treatment Posts and telecommunications
	The Development Zone of Jinhua is equipped with high standard infrastructure facilities, and has been provided with convenient transportation, electricity, tap water, piped liquefied gas, central heating, drainage, sewage, posts and telecommunications, cable television, and flat ground. Water supply In the zone there is the third factory of Jinhua Water Supply Corporation, which provides 150 thousand tons of tap water coming from Jinhua Shafan reservoir with fine water quality. Electricity There has been built a 220 kv. transformer substation with the transforming capacity of 300 thousand KVA, and a 110 kv. transformer substation, which has the transforming capacity of 80 thousand KVA and double west circuit power supply. Besides, another 110 kv. transformer substation is to be built recently. Central heating There is Jinhua Electric-Heating Factory to the north of the Development Zone, which have the capacity of supplying 80 tons per hour to the zone. Piped liquefied gas Jiangnan Piped Liquefied Gas Company is to supply gas for the residents in the zone. Sewage treatment A sewage treatment plant is being built, which is expected to treat 80 thousand tons per day in the first period, and ultimately to treat 450 thousand tons per day. Posts and telecommunications All the posts and telecoms services, like international and home direct-dial program-controlled telephone, wireless mobile communication, fax and telegraph, and EMS (Express Mail Service), are available in the Development Zone. Besides, the Wide Band has just got through, and thus the ¡°information highway¡± has really been realized in the zone.

Financial services

	Jinhua, the financial center in the center of Zhejiang Province, possesses more than a thousand branches of various financial institutions with perfect financial facilities and complete services. In 2003, there is a bank balance of 111.990 billion yuan of deposits and 80.680 billion yuan of loans. And from July 2004 on, Jinhua Municipal Government will gradually raise as much as 2 billion yuan to establish a technological starting fund to back up the development of those high and new technological projects and enterprises.

Education, science and culture

	Jinhua College of Profession & Technology Jinhua has a long and rich history with a great many eminent persons, thus titled as ¡°Home to Crafts, Home to Architecture, Home to Education and Ph Ds¡¯ Home¡±. At present, people still attach great importance on education and cultural development. There are two comprehensive universities¡ªZhejiang Normal University and Jinhua University, dozens of junior colleges and technical schools. Every year more than 20,000 students are recruited to universities and colleges. Jinhua is a top educational city in Zhejiang. Till now, there have been 12 academicians, who were born in Jinhua, working in Chinese Academy of Sciences and Chinese Academy of Engineering. Besides, more than two thousand professors and over five hundred Ph Ds around the nation have Jinhua as their hometown. Therefore, Jinhua enjoys the reputation of the Home to Professors and Doctors. Such a fine atmosphere of education and cultural development makes a group of high-quality laborers and entrepreneurs, provides a lot of all-round talents for the economic and technological development in Jinhua, and saves powerful potential for further development. As for the medical condition in Jinhua, there are more than 30 hospitals and clinics of various types. Jinhua Central Hospital is developed from Jinhua Evangel Hospital, which was founded by an American doctor in 1908, and now has become No. 1 hospital with its clean and comfortable environment, complete branches of medicine, and advanced treatment. Other hospitals like Jinhua Traditional Chinese Medical Hospital, Jinhua Guangfu Hospital and Jinhua People¡¯s Hospital are also provided with excellent facilities and medical condition.

Residence environment

	Jinhua Economical and Technological Industrial Development Zone has fully performed the city functions, in which there are complete cultural and amusing entertainment facilities and beautiful environment around. There are quite a few parks and gardens in Jinhua, among which the most noticeable are Wuzhou Park, Huang Binhong Park, Camellia Park, Camellia¡¯ Species Garden, and Shi Guangnan Musical Square, etc.. Furthermore, there are numerous natural sceneries and places of historic relics and cultural heritages.

Investment guidance

	Priority areas for investment:
	1¡¢Foreign investors are encouraged to put money into knowledge-and-technology-intensive and export-oriented projects. 2¡¢Foreign entrepreneurs are encouraged to invest in projects of planting vegetables, flowers and fruits of high yields and top quality by means of employing the large areas of hilly land, or to develop products of deep-processed subsidiary agricultural products. 3¡¢Investments are welcome to projects of infrastructure, such as transportation, water conservancy, power supply, city planning, etc. 4¡¢Capital and advanced technologies are to be introduced to accelerate the technological innovations in the existing enterprises; and major areas of investment include mechanics, electronics, pharmacy, fine chemistry, and other hi-tech and hi-appendix industries. 5¡¢The regional advantages of the central city will be brought into full play, for both the construction of public facilities in the city and the development of tertiary industries including tourism, real estate, trade and business, modern commodity interflow, real-property management, etc.

Preferential policies

	Preferential policies of the JHETDZ Preferential policies of science and technology Park Preferential policies of Jinhua Undertaking Center of Science and Technology Park Preferential policies of Jinhua Undertaking Park for Returned Overseas Students Main policies of Jinhua Science and Technology Park of Chinese Academy of Sciences
	Preferential policies of the JHETDZ Land policy: Long-cultivated land in perfect facilities and road conditions, the price of net land is 135-180 yuan / m2. To the enterprises invested by foreign businessmen and the state-level and provincial-level high and new projects, we will offer land-using rights at a more favorable price. Technical Reform: A Subsidy of 3%~10% of the total investment on new equipment purchased for technical reform will be given upon approval. A lump-sum bonus ranged from RMB 500 thousand to RMB 1 million will be given to the profitable companies whose gross investment of single project is above RMB 50 million and the income from profit taxes over RMB 20 million. Earning of foreign exchange upon exportation: The value-added tax of self-operation enterprises export is levied first and returned second. To self-operation enterprises and foreign trade circulation enterprises, we carry out the incentive system according to accumulatively increasing by degrees. Besides enjoying foreign exchange allowance given by state, Development Zone will award them again. Charge-free Zone: All companies that belong to the Administration Committee of the JHETDZ will be free from all administrative fees in three years. Introducing investment award: We will reward the first middleman of introducing foreign trade enterprises according to a 1%-8% of invested foreign capital. Booth allowance: The enterprises of the Park are encouraged to participate in overseas sales exhibition, and can get booth allowance from Development Zone. Supporting facilities: The Industrial Park provides the enterprises with industrial standard factory building and employees¡¯ apartments at a competitive price. The monthly rental of standard factory building is 5-8 yuan/m2. Foreign investors are encouraged to rent standard factory buildings, and subsidiaries to the rent will be available in the light of a discount of 20%-50% of standard rent price of the Zone (five yuan/m2/month) in three years. Round trip service agency: The projects boosting center of Development Zone provides the enterprises of the Park with round trip agency service free of charge. We will spend 15 workdays in finishing one agency service. Preferential policies of science and technology Park To those identified as high and new technology enterprises and incubation enterprises of municipal-level or higher level by Authentication Commission in the Science and Technology Park, besides enjoying the preferential policies of state-level, provincial-level and municipal-level high and new technology enterprises, and preferential policies of Jinhua Industrial Park, they can enjoy the following favorable polices: 1) Incubation funds of Jinhua Undertaking Center of Science and Technology Park. From 2001 to 2003, we will raise 3.5 million yuan each year for directly investing in incubating and establishing high and new technology enterprises and for various discounts or encouragement. 2) If technologists incubate or establish high and new technology enterprises in undertaking center, after being approved by the experts organized by technological department, as to house rent for researching, developing, incubating, producing and office accommodation, we will grant rent exemptions in the first two years and grant half of house rent in the third year (the term of incubation is no more than three years.) 3) To high and new technology enterprises settling in city industrial Park that have succeeded in incubating and graduating from undertaking center, rights to use the state land are offered and net land price is 60 thousand yuan/mu. 4) To those senior and medium technologists incubating and establishing high and new technology enterprises of provincial-level or higher level in science and technology Park, besides enjoying the favorable treatments to the talents ratified by the Municipal Government, if they buy house in Jinhua City, we will grant housing subsidies to them. The detailed standard is as follows: professors, professor-level senior engineers and doctors can enjoy a subsidiary of 40% of house price with 160 m2 of building area; associate professor, senior engineers and masters can enjoy a subsidiary of 15% of house price with 140 m2 of building area. The subsidiaries to the returned staff may increase by 10% on the basis of above-mentioned subsidiaries standards. 5) The enterprises incubated or established by the staff studying abroad in the Center can be registered as foreign-owned enterprises or domestic-owned enterprises. The lowest standard of registered capital is 10 thousand US dollars; self-operation import and export right is given to the enterprises whose registered capital is above 61 thousand US dollars. The enterprises incubated by domestic technologists in the Center with 30 thousand capitals can be registered as separate legal entity enterprises. 6) The outcome of high and new technology, patented technology, patent and trademark can be viewed as intangible assets. If they bear a part in the project investment after the evaluation of legal evaluation organization, as to their price, a discount of 35%-50% of registered capital can be given approvals. If the cooperation side has made an engagement, we will obey their engagement. 7) To the incubation enterprises, high and new technology enterprises of provincial-level or high level and state-level high and new technology enterprises in the Science and Technology Park, the local retention of sector of their income taxes will be returned to the enterprises in five years as encouragement. 8) To state-level science and technology enterprises and state-level ¡°Torch Projects¡±, if remise fees will be paid off in three months and these items can be carried out in four months, land-using rights can be offered at the price of no more than 50 thousand yuan/mu. (After signing the transfer contract, but in half of a year, if the items are not to be carried out, we can take back land-using rights. The enterprises have a right to use land but can not transfer or sublease to others, at the same time, the property of land will not be changed.) 9) The incubation enterprises and high and new technology enterprises in the Jinhua Undertaking Center of Science and Technology Park will be provided with round trip agency service free of charge. And all these enterprises will be free from all the administrative fees in three years. Preferential policies of Jinhua Undertaking Center of Science and Technology Park 1) As to house rent for researching, developing, incubating, producing and office accommodation, we will grant rent exemptions in the first two years and grant half of house rent in the third year according to the stated area (the term of incubation is no more than three years.) 2) Land policies: To state-level high and new technology enterprises and state-level ¡°Torch Projects¡±, we will offer land-using rights at the price of 50 thousand yuan/mu. To provincial-level high and new technology enterprises and provincial-level ¡°Torch Projects¡± and incubation enterprises, we will offer land-using rights at the price of 60 thousand yuan/mu. (The land price for ordinary enterprises is 75 thousand yuan/ mu.) 3) To the incubation enterprises and high and new technology enterprises of provincial-level or high level in the Science and Technology Park, the local retention of sector of their income taxes will be returned to the enterprises in five years. 4) To those talents incubating and establishing high and new technology enterprises in the Science and Technology Park, besides enjoying the favorable treatments to the talents ratified by the Municipal Government, if they buy house in Jinhua, we will grant housing subsidies to them. The detailed standard is as follows: professors, professor-level senior engineers and doctors can enjoy a subsidiary of 40% of house price with 160 m2 of building area; associate professor, senior engineers and masters can enjoy a subsidiary of 15% of house price with 140 km2 of building area. A subsidiary of 500-800 yuan / month will be given to the talents if they rent the houses. 5) A subsidy of 5%~10% of the total investment on new equipment purchased for important technical reform by the enterprises will be given upon approval in the Park. 6) The excellent enterprises will be rewarded after the year-end examination. 7) The incubation enterprises can enjoy all the preferential policies of Jinhua science and technology Park at the same time. Preferential policies of Jinhua Undertaking Park for Returned Overseas Students The Park formulates a series of supporting policies for the returned overseas students to start an undertaking. The policies are as follows: 1) Funds for stating an undertaking: Some subsidiaries are given upon approval in the light of the returned overseas students¡¯ projects and investment. 2) Office accommodation: The returned students are provided with office accommodation. The rental exemption is available in the first two years and half of rent in the third year. They can get twice more than domestic undertakers in the area of office accommodation. 3) Common apartments: House rent exemption is available to experts¡¯ apartment. The returned doctors can enjoy a subsidiary of 50% of house price with 160 m2 of building area and returned masters can enjoy a subsidiary of 25% of house price with 140 m2 of building area if they buy common apartments. If the returned staff rent house, they can enjoy a subsidiary of 500-800 yuan/month. 4) Tax policy: Local retention sector of the enterprise income tax will returned to the enterprises as encouragement in five years. All the companies will be free from all administrative fees in three years. 5) Commerce and industry registration: The lowest standard of registered capital is 10 thousand US dollars. The self-operation export and import rights will be granted to those enterprises whose registered capital is over 61,000 US dollars. The price of patent is equal to a 35%-50% of registered capital if patent has been evaluated and bear a part in projects. 6) Various awards: We will pay more attention to science and technology award and science and technology items, local contribution award, selling land at the favorable price, bounty on export, round trip agency free of charge and so on. All the preferential policies of the Jinhua Undertaking Park for Returned Overseas Students can be enjoyed. Main policies of Jinhua Science and Technology Park of Chinese Academy of Sciences Establishing specific funds of Jinhua Science and Technology Park of Chinese Academy of Sciences. The state allocation of Jinhua Municipal Government is 10 million yuan, which is used for guidance, subsidiaries and encouragement of cooperation with Chinese Academy of Sciences¡¯ projects. 1) Cooperating with Chinese Academy of Sciences to establish research and development center, technique center, testing center, key laboratory and post-doctoral work stations. A subsidiary of 100-300 thousand yuan is granted to those centers after officially putting up shingle. 2) The items cooperating with Chinese Academy of Sciences that are listed in sate-level and provincial-level technological items can be granted a subsidiary of 100-500 thousand yuan. 3) The enterprises built in collaboration with Chinese Academy of Sciences that are identified as state-level and provincial-level high and new technology enterprises can be respectively awarded 500 thousand yuan and 150 thousand yuan as encouragement. 4) Those identified as key enterprises of Jinhua science and technology Park of Chinese Academy of Sciences can be awarded 80 thousand yuan as encouragement. 5) The experts of Chinese Academy of Sciences are welcome to Jinhua for participating in academic exchange activities and research activities. As to the expenses of academic exchange activities, a subsidiary of 30% can be granted from specific funds. 6) The experts of Chinese Academy of Sciences are encouraged to work and settle in Jinhua science and technology Park. Professors, researchers and professor-level senior engineers are given 50 thousand yuan as settlement expenses and can enjoy 1000-yuan government subsidiaries each month in five years at the same time. 7) Bonus and award are given to distinctive contributors.

Charges catalogue

	Administration charges catalogue of the Development Zone Categories Cost Land and housing Common apartments 2000¨C3000 yuan/m2 Land for both commercial and living 1500¨C3000 yuan/m2 (bidding price for reference) Land for industry 135-180.00 yuan/m2 Monthly rental of standard factory building 5-8.00 yuan/m2 Monthly charge of real-property management 0.5 yuan/m2 Water (including sewage disposal) Water for daily life use 1.8 yuan/ton Water for commercial service 2.5 yuan/ton Water for production 2.0 yuan/ton Electrical power Power for production on large scale 0.48-0.51 yuan/kwh Peak hour: 0.575-0.611 Valley hour: 0.359-0.383 Power supply for non-production 0.673-0.708 yuan/kwh Power supply for common production Power supply for commercial production 0.864-0.899 yuan/kwh Steam 150 yuan/ton Pipelined liquid gas Common use 6.9 yuan/m2 Installation 3200 yuan/unit Labor Common workers 480-800 yuan/month Common technicians 800-1200 yuan/month Technicians at senior and medium levels 1000-4000 yuan/month

Standard factory building

	The standard factory buildings made up of light steel, mixture brick and frame construction in the Park cover an area of 300 thousand m2. Some of these factory buildings are single story and some of them multiple-stories. If necessary, we can design and build the factory buildings in the light of the demands of leaseholders. Monthly rental of standard factory buildings is 5-8 yuan/m2. Those newly-founded enterprises which rent standard factory buildings can enjoy a subsidiary of 3 yuan/m2/month, 2 yuan/m2/month, 1 yuan/m2/month separately in the first three years. The foreign-invested enterprises can enjoy a subsidiary of 1-2.5 yuan/m2/month on the basis of above-mentioned subsidiary standards each year. The employees¡¯ apartments furnished with dining rooms, supermarkets and real-property management center can be provided for the enterprises of Park. Selling price of these apartments is 730 yuan /m2, and monthly rental is 4 yuan /m2.

Organization

	Jinhua Economic and Technological Development Zone (JHETDZ) ¡¤JHETDZ Office   ¡¤Office of High and New Technology Industrial Park   ¡¤Administrative Service Center   ¡¤Labor and Personnel Bureau Sumeng Village Government ¡¤Construction and Planning Bureau   ¡¤Economic Development Bureau Jiangnan Street Affairs Office ¡¤Social Development Bureau     Sanjiang Street Affairs Office ¡¤Finance Bureau   ¡¤Division of Public Affairs Administration Xiguan Street Affairs Office ¡¤Bureau of Land Resource, JHETDZ Branch   ¡¤Public Security Bureau, JHETDZ Branch Qiubin Street Affairs Office ¡¤Industrial and Commercial Administration, JHETDZ Branch   ¡¤City Administration Bureau, JHETDZ Branch

Procedure of investment

	Procedure Required Documents Place Link Person Tel. Others 1 Signing of Intention Memo Service Hall, 2nd Floor, JHETDZAC Building Jiang Yusheng & Jiang Ying +86-579-2390289 2 Payment of 20% land fee 1 copy of Intention Memo Service Hall, 3nd Floor, JHETDZAC Building Zhang Bin +86-579-2391570 3 Red-line Map of proposed land & conditions for land design 1 copy of Intention Memo Service Hall, 2nd Floor, JHETDZAC Building Jin Jiancheng +86-579-2374053 4 Signing of Land Contracts 1 copy of Red-line Map of proposed land, conditions for land design, and Intention Memo Bureau of Land Resource, JHETDZ Branch Fu Xuenong (Room 1520) & Liu Xinghua (Room 1513) +86-579-2370810 Each of these materials should be prepared in quadruplicate, and each part holds two after signing and sealing. Choosing the designing departments 1 copy of Red-line Map of proposed land & conditions for land design Designing departments Measuring and lofting 1 copy of Red-line Map of proposed land & conditions for land design Service Hall, 2nd Floor, JHETDZAC Building Guan Minjuan +86-579-3183458 Payment of 80% land fee 1 copy of Land Contracts Service Hall, 3rd Floor, JHETDZAC Building Zhang Bin +86-579-2391570 5 Examination and ratification of General Ichnography Six copies of General Ichnography Service Hall, 2nd Floor, JHETDZAC Building Jin Jiancheng +86-579-2374053 After Joint Examination, a Plan Permission for Land for Construction Use and five copies of General Ichnography are issued. 6 Establishment of Project Referendum of establishing Project Service Hall, 2nd Floor, JHETDZAC Building Jiang Yusheng & Jiang Ying +86-579-2390289 9 copies of Approval Certificate are issued after Confirmation. 7 Gaining of Application Forms of Land for Construction Use Bureau of Land Resource, JHETDZ Branch Service Hall, 2nd Floor, JHETDZAC Building Liu Xinghua (Room 1513) +86-579-3183914 8 Transaction of Land Certificates A) Approval Certificate (First Copy) of Project Establishment, B) design conditions of Business Certificate, C) ratified Red-line Map of proposed land, D) Application Forms of Land for Construction Use, E) Land Contracts, F) 1 copy of Plan Permission for Land for Construction Use, G) 1 copy of Invoice of Land Fee Payment Bureau of Land Resource, JHETDZ Branch Fu Xuenong (Room 1520) & Liu Xinghua (Room 1513) +86-579-2370810 +86-579-3183914 All the documents should be prepared in quadruplicate (15-30 working days) 9 Design of Blueprint incl. Forestation Designing departments 10 Examination and ratification of Blueprint Construction Blueprint (Ichnography, Stereograph&Cutaway-View), General Ichnography, and Quantization Table of Disc Area (with seals of the submitting company and the designing departments) Service Hall, 2nd Floor, JHETDZAC Building Fu Maofeng +86-579-2374053 Construction project red drawing and project designing conditions are to be verified and issued.