- Lists 130 items as focuses for innovation
- Projects in priority areas to receive incentives and support
The PRC Ministry of Science and Technology, the State Intellectual Property Office, the Ministry of Commerce (MOFCOM) and the National Development and Reform Commission (NDRC) have released a Development Guide for Current High-Tech Industrialization Priority Areas, which lists 130 items across nine sectors as focuses for China’s innovation drive in 2007. The nine sectors are information; life science; aerospace; new materials; advanced energy; modern agriculture; advanced manufacturing; environmental protection and resource utilization technology; and oceanic research. Three such guides have been issued in the past – in 1999, 2001 and 2004 – but this latest version features significant changes. It omits five items that meet the basic goals of industrial development, adjusts 44 items for which technology has progressed, edits the content of 35 items and adds 10 items to meet recommendations from experts and local government departments.
The new version was issued to implement the National Middle and Long-Term Science and Technology Development Plan. Projects falling within the priority areas will receive incentives and support from the PRC government.
The Tentative Rule for the Administration of National High Tech Industry Development Projects, issued by the NDRC in 2006, established a list of projects, in accordance with its own guidelines and other regulations, that would be eligible to obtain government subsidies.
The newly issued Enterprise Income Tax Law provides for the government to extend tax incentives to qualified high-tech companies. Although so far no rules have been presented indicating how this new guide will relate to these incentives, it is likely that the government will consider it when drafting tax incentives policies.