The appendix of "Catalogue for the Guidance of Industries for Foreign Investment"
I. Encouraging types

1. Venture exploration and exploitation of petroleum and natural gas: Restricted to cooperation
2. Development of low penetrate oil fields and natural gas fields: Restricted to cooperation
3. Development and application of the new technology for improving recovery ratio of crude oil: Restricted to cooperation
4. Development and application of the new technologies for petroleum exploration such as searching, well drilling, well measurement, under-well operations: Restricted to cooperation
5. Manufacture of complete automobiles and motorcycles: The ratio for foreign investment shall not exceed 50%
6. International seaborne transportation timely or untimely: The ratio for foreign investment shall not to exceed 49%
7. Multi-way transport of international containers: The ratio for foreign investment shall not exceed 50%; Foreign controlling share will be allowed no later than December 11, 2002; wholly foreign-owned enterprises will be allowed no later than December 11, 2005
8. Highway transportation companies: Foreign controlling share will be allowed no later than December 11, 2002; wholly foreign-owned enterprises will be allowed no later than December 11, 2004
9. Wholesale, retail, logistics distribution: Please refer to restriction type (V) for restriction conditions
10. Accounting and audit: Restricted to cooperation and partnership

II. Limited types

( i) Inbound and outbound automobile transportation companies: Foreign controlling share will be allowed no later than December 11, 2002; wholly foreign-owned enterprises will be allowed no later than December 11, 2004

(ii) Water transportation companies: The ratio for foreign investment shall not exceed 49%

(iii) Railway transportation companies: The ratio for foreign investment shall not exceed 49%; foreign controlling share will be allowed no later than December 11, 2004; wholly foreign-owned enterprises will be allowed no later than December 11, 2007

(iv) Telecom companies:

1. Calling services in value-added telecom and basic telecom: Foreign investment will be allowed from December 11, 2001, and the ratio for foreign investment shall not exceed 30%; The ratio for foreign investment not exceeding 49% will be allowed no later than December 11, 2002; The ratio for foreign investment reaching 50% will be allowed no later than December 11, 2003
2. Mobile voice and data services in basic telecom: Foreign investment will be allowed from December 11, 2001, and the ratio for foreign investment shall not exceed 25%; The ratio for foreign investment not exceeding 35% will be allowed no later than December 11, 2002; The ratio for foreign investment reaching 49% will be allowed no later than December 11, 2004; Wholly foreign-owned enterprises will be allowed no later than December 11, 2006
3. Domestic business and international business in basic telecom: Foreign investment will be allowed from December 11, 2004, and the ratio for foreign investment shall not exceed 25%; The ratio for foreign investment reaching 35% will be allowed no later than December 11, 2006; The ratio for foreign investment reaching 49% will be allowed no later than December 11,2007

(v) All kinds of companies dealing with commodity trade, direct sale, mail order, on-net sale, franchised business, entrusted business, sales agent, commercial management, as well as wholesale, retail and logistics distribution of grain, cotton, vegetable oil, sugar, pharmacy, tobacco, automobile, crude oil and agriculture production means; wholesale and retail of books, newspapers and magazines; wholesale of finished oil and construction and management of gas stations
1. Commission agent and wholesale (excluding salt and tobacco): Foreign investment will be allowed no later than December 11, 2002, and the ratio for foreign investment will be allowed to reach 50%, however, management of books, newspapers, magazines, pharmacy, pesticide, agrofilm, fertilizer, finished oil, crude oil will not be allowed; Foreign controlling share will be allowed no later than December 11, 2003; Wholly foreign-owned enterprises will be allowed no later than December 11, 2004, and management of books, newspapers, magazines, pharmacy, pesticide, agrofilm will be allowed; management of fertilizer, finished oil, crude oil will be allowed no later than December 11, 2006
2. Retail (excluding tobacco): Foreign investment will be allowed, however, management of books, newspapers, magazines, pharmacy, pesticide, agrofilm, fertilizer, finished oil, crude oil will not be allowed; The ratio for foreign investment at 50% will be allowed no later than December 11, 2002, and management of books, newspapers, magazines will be allowed; Foreign controlling share will be allowed no later than December 11, 2003; Wholly foreign-owned enterprises will be allowed no later than December 11, 2004, and management of pharmacy, pesticide, agrofilm, finished oil will be allowed; management of fertilizer will be allowed no later than December 11, 2006. The chain with more than 30 branches for managing products including automobiles (limitation will be cancelled no later than December 11, 2006), books, newspapers, magazines, pharmacy, pesticide, agrofilm, fertilizer, finished oil, grain, vegetable oil, sugar, tobacco, cotton will not be allowed to be share controlled by foreign investment.
3. Franchised business, wholesale and retail without fixed sites: Foreign investment will be allowed no later than December 11, 2004

(vi) Distribution of video and audio products (excluding movies): Restricted to cooperation, and share controlled by Chinese party

(vii) Cargo leasehold companies: Foreign controlling share will be allowed no later than December 11, 2002; Wholly foreign-owned enterprises will be allowed no later than December 11, 2004

(viii) Agent companies

1. Shipping: The ratio for foreign investment shall not exceed 49%
2. Freight (excluding special services of post office): The ratio for foreign investment shall not exceed 50% (The ratio for foreign investment in express services shall not exceed 49%); Foreign controlling share will be allowed no later than December 11, 2002; Wholly foreign-owned enterprises will be allowed no later than December 11, 2005
3. Foreign ship agent: Restricted to cooperation and partnership
4. Advertisements: The ratio for foreign investment shall not exceed 49%; Foreign controlling share will be allowed no later than December 11, 2003; Wholly foreign-owned enterprises will be allowed no later than December 11, 2005

(ix) Insurance companies

1. Non-life-insurance companies: the ratio for foreign investment shall not exceed 51%; Wholly foreign-owned enterprises will be allowed no later than December 11, 2003
2. Life insurance companies: The ratio for foreign investment shall not exceed 50%
(x) Securities companies, securities investment fund management companies
1. Securities companies: foreign investment will be allowed no later than December 11, 2004; and the ratio for foreign investment shall not exceed 1/3
2. Securities investment fund management companies: foreign investment will be allowed, and the ratio for foreign investment shall not exceed 33%; The ratio for foreign investment at 49% will be allowed no later than December 11, 2004

(xi) Insurance broker companies: The ratio for foreign investment shall not exceed 50%, foreign investment at 51% is allowed no later than December 11, 2004; Wholly foreign-owned investment enterprises are allowed no later than December 11, 2006

(xii) The companies dealing with import & export goods inspection, verification and authentification: Foreign controlling share will be allowed no later than December 11, 2003; Wholly foreign-owned enterprises will be allowed no later than December 11, 2005