In order to fulfill China's pledge to join the WTO, accelerate the establishment of a socialist market economic system and promote the development of foreign trade, the Ministry of Commerce recently issued the notice of the Ministry of Commerce on adjusting the qualification and approval procedures for import and export business (hereinafter referred to as the notice).

According to the notice, all domestic enterprises registered in the customs territory of China shall implement a unified policy in the management of import and export business qualifications.

The notice said that since September 1, 2003, the registered capital requirement of domestic enterprises applying for the qualification of foreign trade circulation has been reduced from RMB 5 million yuan (not less than 3 million yuan in the central west to less than RMB 3 million yuan) to no less than 1 million yuan (not less than 500 thousand yuan in the central and western parts), and the requirement for the original establishment time to be more than 1 years has been removed. The registered capital requirement of the production enterprise that applies for self import and export business qualification has been reduced from no less than 3 million yuan (Midwest or less than 2 million yuan) to no less than 500 thousand yuan RMB.

While relaxing the requirement of registered capital, the authority of approval and registration has also been put down.

The Ministry of Commerce authorized the competent departments of Commerce in all autonomous regions, municipalities directly under the central government and cities directly under the central government to approve and register the qualification for import and export business and issue the qualification certificate of import and export enterprises in People's Republic of China.

This certificate is the only valid certificate for enterprises to import and export business.

The enterprise that obtains the certificate can freely engage in import and export business in all the territory of China in accordance with the scope of its business and in various trade modes stipulated by the state.

Therefore, China has fulfilled its commitments ahead of schedule in accordance with the timetable for accession to the WTO.

The above measures will also play an active role in the development of our foreign trade and economic undertakings.