Preferential policies

Law of the People's Republic of China on Corporate Income Tax was approved by the 5th plenary of the 10th National People's Congress on March 16, 2007 and has been put into effect since January 1st, 2008. According to the new law, the income tax rate of companies with foreign investment is 25%, which is the same as companies with domestic investment. Only the encouraged projects and industries in accordance with the related regulations of the state are entitled to enjoy the preferential rate.