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Application for Right of Management for Foreign Contract Labor Service


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>> The Application for Right to Engage in Foreign Trade of Foreign Trade Companies
>> The Application for Right to Engage in Foreign Trade of Self-support Import & Export Manufacturing Enterprises
>> The Application for Right to Engage in Foreign Trade of China 's Top 120 Large-scale Experimental Enterprise Groups
>> The Application for Right to Engage in Foreign Trade of 1000 Selective Enterprises Determined by the State
>> Miscellaneous
>> Administrative Provisions for Enterprises with the Right of Management for Foreign Contract Labor Service

The Application for Right to Engage in Foreign Trade of Large Enterprise Entities


Qualifications:

1. All professional enterprise entities with the First-class Engineering Qualification authorized by relevant competent authorities of the State Council may apply for the Right of Contracted Project Management and Right of Labor Service Cooperation Management concerning the contracted project. The evaluation of their foreign trade achievements is not required.
2. All enterprise entities with the First-class Qualification for General Construction Contracting may apply for the Comprehensive (not industry restriction) Right of Management for Foreign Contract Labor Service

Documents to submit

1. Examination opinions of the competent authorities or application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application reports of the enterprise (including basic conditions, operation capacity, main engineering projects constructed in recent years and foreign engineering achievements of the enterprise);
3. Business License of Enterprise Legal Person (copy)
4. Certificates of the First-class Engineering Qualification or the First-class Qualification for General Contracting Construction (copies of the original and duplicate)
5. A limited liability company or joint-stock company should have evidentiary materials for the proportion of subscribed capital and ownership nature of the subscribers issued by the administrative departments for industry and commerce.
6. Other required documents.


The Application for Right to Engage in Foreign Trade of Designing Institutes


Qualifications:

1. All designing institutes with the Class A Designing Qualification authorized by relevant competent authorities of the State Council may apply for right of management for foreign designing, consultation, reconnaissance and supervision;
2. Class A designing institutes with the First-class Engineering Qualification and of business entity nature may apply for right of management for foreign contracted project;
3. Class A designing institutes with the First-class Qualification for Construction Contracting and of business entity nature may apply the comprehensive right of management for foreign contracted project.

Documents to submit

1. Examination opinions of the competent authorities or application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application report of the designing institute (including basic conditions, operation capacity, design projects and foreign operation achievements of the designing institute);
3. Business License of Enterprise Legal Person and other licenses (copy);
4. Certificates of the Class A Engineering Designing Qualification or the First-class Engineering Qualification or the First-class Qualification for General Construction Contracting (copies of the original and duplicate).
5. Other required documents.


The Application for Right to Engage in Foreign Trade of Foreign Trade Service Companies


Qualifications:

In principle, the right to engage in foreign trade shall not be granted to county-level foreign trade service companies.
Prefecture (city)-level foreign trade service companies shall not be granted the right of management for foreign contracted projects, instead, they shall be granted the Right of Management for Foreign Labor Service only. The application qualifications are: prefecture(city)-level foreign trade service companies who apply for Right of Management for Foreign Labor Service must meet the following conditions: (Prefectures (cities) in mid-west provinces, autonomous regions and municipalities where no foreign trade company is established may designate a state-owned or any other foreign trade company whose registered capital shall be at least 3 million RMB to apply for the Right of Management for Foreign Labor Service).
1. Prefecture (city)-level foreign trade service companies who apply for the Right of Management for Foreign Labor Service must meet the following conditions: GNP of the prefectures (cities) where the companies are registered must be at least 15 billion RMB for costal areas, 10 billion RMB for mid-west areas and 5 billion RMB for minority nationality regions and old revolutionary base areas.
2. The registered capital of the enterprise must be at least 5 million RMB; for western areas, minority nationality regions and old revolutionary base areas, such requirement can be relaxed.
3. Engaging in foreign labor service through companies with the Right of Management for Foreign Labor Service for at least three years;
4. The annual turnover of foreign contract labor service of the two years before the application must be at least USD 2 million and the number of personnel sent abroad must be not less than 100.
5. It must be a state-owned enterprise.

Documents to submit

1. Application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application report of the enterprise (including basic conditions, operation capacity, conditions and achievements of the foreign trade business);
3. The enterprise's achievements of foreign economic and technological cooperation business and credentials (provided by companies with the right of management for foreign contract labor service or the economic and commercial counselor's office of a Chinese embassy)
4. Business License of Enterprise Legal Person (copy)
5. A limited liability company or joint-stock company should have evidentiary materials for the proportion of subscribed capital and ownership nature of the subscribers issued by the administrative departments for industry and commerce.
6. Articles of association;
7. Other required documents.


The Application for Right to Engage in Foreign Trade of Foreign Labor Service Companies


Qualifications:

In principle, companies engaging solely in foreign labor service shall not be considered. However, large shipping enterprises with a self-owned vessel gross tonnage of over 100 thousand tons, over 1000 employees in self-owned vessels, no less than 100 sailors sent abroad annually in the two years before the application and a sailor training base may be granted the right of management for foreign labor service concerning the shipping industry. Any public-owned (public share-holding) fishery enterprise with a registered capital of at least 100 million RMB, a total assets of at least 300 million RMB and at least 30 self-owned ocean shipping vessels can apply for the right of management for foreign fishery labor service.

Documents to submit:

1. Examination opinions of the competent authorities or application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application report of the enterprise (including basic conditions, operation capacity, conditions and achievements of the foreign trade business);
3. The enterprise's achievements of foreign economic and technological cooperation business and credentials (provided by companies with the right of management for foreign contract labor service or the economic and commercial counselor's office of a Chinese embassy)
4. Business License of Enterprise Legal Person (copy)
5. Credit Certification (provided by a bank or accounting firm);
6. Articles of association;
7. Other required documents.


The Application for Right to Engage in Foreign Trade of Subsidiaries of Foreign Trade Service Companies


Qualifications:

The subsidiary of a company mainly dealing in foreign contract labor service who applies for the right of management for foreign contract labor service must meet the following conditions:
1. Its parent company must be an enterprise under the management of ministries and commission under the State Council or Central Work Committee for Large Enterprises; the parent company has obtained the right of management for foreign contract labor service for at least 5 years; the parent company has an annual turnover of over USD 100 million in the two years before the application; the parent company has sent over 500 personnel abroad for labor service;
2. The subsidiary must have an annual turnover of at least USD 30 million and has a clear debtor-creditor relationship with its parent company;
3. The subsidiary must have the First-class Engineering Qualification and the First-class General Construction Contracting Qualification.


The Application for Right to Engage in Foreign Trade of Foreign Trade Companies


Qualifications:

Foreign trade companies with a total volume of foreign trade of at least USD 100 million or a value of exports of at least USD 50 million in the previous year for coastal areas, or a total volume of foreign trade of at least USD 50 million or a value of exports of at least USD 30 million in the previous year for mid-west areas may apply for the right of management for foreign labor service; foreign trade circulation companies which mainly deal in electromechanical devices (Account for the annual volume of export more than 60%) with a value of exports of at least USD 50 million (USD 30 million for mid-west areas) may apply for the right of management for foreign labor service and foreign contracted project. The minimum registered capital should be 5 million RMB for applicants in coastal areas and 3 million RMB for applicants in mid-west areas.

Documents to submit

1. Examination opinions of the competent authorities or application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application report of the enterprise (including the place in the Top 500 foreign trade enterprises in last two years and amount of exports);
3. Qualification Certificate for Import and Export Enterprise (copy)
4. Business License of Enterprise Legal Person (copy)
5. Other required documents.


The Application for Right to Engage in Foreign Trade of Self-support Import & Export Manufacturing Enterprises


Qualifications:

Manufacturing enterprises with an annual foreign exchange income of over USD 5 million from self-managed export trade as well as the capacity of designing, producing and exporting large complete equipment can contract for overseas installation engineering for self-produced complete equipment (including domestic international bidding engineering) and send contract workers to carry out the above-mentioned overseas engineering).

Documents to submit:

1. Examination opinions of the competent authorities or application documents of the foreign trade and economic cooperation commission (department or bureau) of a province, autonomous region, municipality or city directly under State planning;
2. Application report of the enterprise (including confirming documentation for amount of exports in recent years issued by the customs, category and number of Electromechanical products exports)
3.Qualification Certificate for Import and Export Enterprise (copy)
4. Business License of Enterprise Legal Person (copy)
5. Other required documents.


The Application for Right to Engage in Foreign Trade of China 's Top 120 Large-scale Experimental Enterprise Groups


Qualifications:

The parent company of an enterprise group can be granted the right of management for foreign contract labor service and deal in foreign contract and labor service of relevant industries of the group; subsidiaries and other member enterprises with the First-class Engineering Qualification may independently apply for the right of management for foreign contract labor service of their own industries; member enterprises with the capacity of designing, producing (including organization of the production) and exporting large complete equipment can be granted the right of management for foreign contracted project concerning the export of self-produced equipment as well as the right of sending technical and after-sale service personnel abroad for labor services including designing, installation, debugging and operations.

Documents to submit:

1. Application report of the enterprise (including the introduction to the enterprise group)
2. Business License of Enterprise Legal Person (copy);
3. Approval documents of large pilot enterprise groups (copy);
4. Relevant qualification certificates (copy).


The Application for Right to Engage in Foreign Trade of 1000 Selective Enterprises Determined by the State


The 1000 selective enterprises determined by the State may be granted the right of management for foreign contract labor service with the approval and deal in the foreign contract labor service of their respective industries.

Documents to submit:

1.Application Report of Enterprise
2. Business License of Enterprise Legal Person (copy)
3. Approval documents of the National pivot-contacted enterprise
4. Other required documents.


Miscellaneous


Any public-owned (public share-holding) fishery enterprise with a registered capital of at least 100 million RMB, a total assets of at least 300 million RMB and at least 30 self-owned ocean shipping vessels can apply for the right of management for foreign fishery labor service.


Administrative Provisions for Enterprises with the Right of Management for Foreign Contract Labor Service


(I) Under any of the following circumstances in the business operations, a company is subject to the administrative penalty of warning:
1. The annual turnover of foreign contract labor service has been less than USD 100 thousand for two consecutive years since it obtains the right of management;
2. Disobeys the coordination of competent authorities of foreign trade, chambers of commerce, associations or institutions functioning abroad;
3. Fails to take part in the investment and management after it undertakes designing, consultation and reconnaissance projects for foreign contracted project, causing severe quality problems to the projects;
4. Undertakes foreign projects hastily regardless of its conditions and strength, disturbing the foreign economic cooperation order;
5. Default of various state funds or loans for 1~3 years.
6. Disobeys or eludes control of the State and violates administrative provisions for foreign economic cooperation of the State.

(II) Under any of the following circumstances in the business operations, a company is subject to the administrative penalty of suspension of the right of management for foreign contract labor service for one year:
1. The annual turnover of foreign contract labor service has been less than USD 100 thousand for three consecutive years;
2. Enters into foreign labor service contracts at a below-cost price for the purpose of elbowing out other domestic enterprises, or cuts price after the proprietor (intermediary organs, employer) has already enters into contracts with other domestic enterprises;
3. Engaging in foreign contract labor service in countries or regions that needs the approval of relevant departments of the State without permission;
4. Fails to take part in the management or causes mismanagement after it undertakes foreign contract labor service projects, leading to gross fault or malignant events;
5. Violates the administrative regulations on foreign economic and technical cooperation of the State, disturbing the foreign economic cooperation order and causing damages to the lawful rights and interests of the State, the enterprise and the Personnel to be Sent and Provide Labor Services Overseas;
6. Provides false qualification, credentials or materials for overseas enterprises by counterfeiting or using without permission the names, qualifications or achievements of other domestic enterprises;
7. Misappropriates various State funds and loans;
8. Default of various State funds or loans and the repayment is less than 20% of the aggregate level of borrowing within a year after the department concerned issued a warning penalty.

(III) Under any of the following circumstances in the business operations, a company is subject to the administrative penalty of revocation of the right of management for foreign contract labor service:
1. Causes material damages to the lawful rights and interests of the Personnel to be Sent and Provide Labor Services Overseas in its business operations;
2. Severely disturbs the foreign contract labor service order;
3. Severely violates the administrative regulations on foreign economic and technical cooperation of the State;
4. Default of various State funds or loans and the repayment is less than 50% of the aggregate level of borrowing within two years after the department concerned issued a warning penalty.
5. Cheats governmental departments or organs concerned by entering into false contracts with overseas enterprises.

(IV) A company which has lost its operation capacity according to the examination should be deprived of the right of management for foreign contract labor service.

(V) When an enterprise that has obtained the right to engage in foreign trade requests the transfer of right of management after restructure and reorganization, it must fulfill its obligation for various state funds and loans at first; otherwise its request will be overruled.


Contact Us:


Add: Foreign Economic Cooperation Division of The Department of Foreign Trade and Economic Cooperation of Guangdong Province, Provincial Foreign Trade and Economic Building, 351 Tianhe Road, Guangzhou City, Guangdong Province.
Tel: 38819879, 38819877
E-mail: hezuo@gddoftec.gov.cn


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