ANNOUNCEMENT 27 Jul 2020
July 27th, 2020 - The Chinese government announced the expansion of an industry-specific support scheme.
NUMBER OF INTERVENTIONS
PRC State Council, July 27th, 2020. (国发〔2020〕8号 国务院关于印发新时期促进集成电路产业和软件产业高质量发展若干政策的通知)
On July 27th, 2020, the Chinese State Council released Guofa 2020/8 (hereafter, 'New Policy') - a new edition in a decennial series of policies released by the Chinese government to support the software and integrated circuit (IC) industries through various targeted support instruments. The previous edition, Guofa 2011/4 (hereafter, 'Old Policy') is linked in the 'related acts' section, with full details.
The New Policy explicitly continued the existing support measures, as well as expanding their scope and degree of support. The changes are summarised below.
The New Policy reiterated the other support measures applicable to the industry, which included import duty exemptions, various accounting leniencies, and other procedural support measures. These are broadly the same as in the Old Policy.
The New Policy was stated to go into effect upon its promulgation. The support instruments contained within top-level policies such as this one are often revealed in more concrete detail when the specific industries tasked with implementing the policies release more focused announcements. In this case, the GTA considers this New Policy implemented unless evidence to the contrary emerges.