Original Title: Notice on the Issuance of the "Several Policies on the Clustered Development of the 'Changyang Xiudai' Online New Economy Industry"

Yangfu Fa [2022] No. 2

To All Commissions, Offices, and Bureaus of the District Government, and All Subdistrict Offices:

The "Several Policies on the Clustered Development of the 'Changyang Xiudai' Online New Economy Industry" were adopted at the 161st Executive Meeting of the District Government on December 21, 2021. They are hereby issued to you for strict implementation.

People’s Government of Yangpu District, Shanghai

January 12, 2022

Several Policies on the Clustered Development of the "Changyang Xiudai" Online New Economy Industry

These policies are formulated to implement the Municipal Party Committee and Municipal Government’s “Opinions on Comprehensively Advancing Shanghai’s Urban Digital Transformation,” to ensure the implementation of Yangpu District’s “Action Plan for Fully Building the ‘Changyang Xiudai’ and Achieving Leapfrog Development of the Online New Economy Industry (2021–2023),” and to promote the development of the “Changyang Xiudai” online new economy industry.

I. Development Objectives

Centered on the construction of the “Changyang Xiudai” Online New Economy Eco-Park, this policy focuses on sectors such as online entertainment, smart consumption, smart transportation, industrial internet, and online R&D and design. It aims to attract, nurture, and cultivate a group of digital economy enterprises with annual revenues of 10 billion yuan, 2–3 leading online new economy enterprises with annual revenues of 100 billion yuan, and 1–2 leading enterprises with annual revenues of 1 trillion yuan. The goal is to establish the area as Shanghai’s premier destination for the online new economy, a talent reservoir, a hub for business model innovation, a testing ground for integrated applications, and a pilot zone for institutional innovation.

II. Support Measures

For online new economy enterprises that fall within the district’s supported sectors, annual funding from the “Changyang Xiudai” Industrial Development Fund will be allocated. This funding will prioritize supporting the clustering of the online new economy industry, encouraging the vigorous growth of online new economy enterprises, and facilitating the implementation of their innovation projects.

III. Support Measures

(1) Optimizing Industrial Agglomeration and Strengthening the Introduction and Cultivation of Market Entities

1. Support the Attraction and Cultivation of Leading Enterprises. Vigorously attract and cultivate leading platform-based enterprises in the online new economy, including online entertainment, smart consumption, smart transportation, smart healthcare, and industrial internet. For newly introduced core enterprises that drive the digital transformation and upgrading of industries or develop cutting-edge technologies such as industrial chips—or for newly introduced (or newly recognized) headquarters of online new economy enterprises—a subsidy of up to 15 million yuan will be provided for start-up costs and office space.Support platform-based leading enterprises in enhancing their industrial influence; for newly established business segments with market-leading potential, support will be provided in accordance with regional headquarters policies following certification and evaluation.

2. Support industrial clustering and development. Encourage leading online new economy enterprises to establish industrial chain alliances, invest in and attract upstream and downstream enterprises, and form an industrial ecosystem for the online new economy. Plan and construct industrial innovation bases in fields such as artificial intelligence, big data, blockchain, and cloud computing to drive the development of the online new economy. For newly settled enterprises in these bases, upon approval and evaluation, provide rent subsidies of up to 1 million yuan annually for three years.

3. Support brand building and promotional activities. Support the hosting of large-scale events, forums, festivals, and exhibitions that possess significant international influence, strong brand recognition, and contribute to the development of the online new economy and regional economic growth. Upon prior approval and filing, provide special support in the form of subsidies covering up to 50% of actual event expenses, with a maximum of 3 million yuan per event.

(II) Optimizing Collaborative Innovation and Strengthening R&D and Technological Breakthroughs

1. Support the construction of innovation platforms. Leading enterprises in the online new economy are encouraged to collaborate with universities, research institutes, and other entities to establish cross-industry and cross-domain industrial collaborative innovation platforms, key laboratories for industrial applications, engineering centers, technology innovation centers, and new-type R&D institutions within the district. Specialized platforms recognized at the national or municipal level will receive special support equivalent to 50% of their construction costs, with a maximum of 6 million yuan and 3 million yuan, respectively.

2. Support core technology breakthroughs and applications. Conduct research and application of key and generic technologies such as artificial intelligence, big data, the Internet of Things, cloud computing, cybersecurity, and digital twins. Subsidies of up to 2 million yuan will be provided, equivalent to 10%–30% of the enterprise’s R&D expenditure. Enterprises are encouraged to overcome major “chokepoint” technologies and apply them; based on relevant policy support standards, funding of up to 50% of the total project investment will be provided.

3. Support the commercialization of R&D outcomes and the development of standards. Encourage online new economy enterprises to undertake the commercialization of university technology projects through platforms such as the Shanghai Technology Exchange and the National Technology Transfer Eastern Center.Online new economy enterprises are encouraged to accelerate the industrialization of high-tech achievements. For projects commercialized within the district, a research and development subsidy of up to 5 million yuan will be provided following certification and evaluation. Support is provided for enterprises to lead or participate in the formulation of digital common standards and key technology standards; following certification and evaluation, a one-time reward of up to 100,000 yuan will be granted to the primary participating enterprises.

(3) Optimizing Integrated Development and Strengthening Digital Empowerment in Application Scenarios

Support the development of application scenarios. Deepen data utilization and support enterprises in developing innovative applications based on new information infrastructure such as Beidou and 5G. Upon verification and evaluation, provide retroactive subsidies of up to 1 million yuan for bandwidth traffic, precise positioning data services, and professional cloud platform services, based on a certain percentage of the costs. Promote the orderly and lawful opening of public data to digital economy enterprises, encourage enterprises to conduct in-depth processing and value-added use of public data, and support enterprise participation in the development and construction of application scenarios through mechanisms such as “open challenges.”Encourage the integration of online and offline scenarios. Focusing on sectors such as transportation, healthcare, e-commerce, and online entertainment, guide enterprises to implement demonstration applications of their innovative achievements in communities, industrial parks, and commercial districts. Upon certification and evaluation, project funding of up to 5 million yuan will be provided based on a certain percentage of the total investment.

(IV) Optimizing Investment and Financing, and Strengthening Credit and IPO Support

1. Support private capital investment. Initiate the establishment of a 1 billion yuan Online New Economy Fund of Funds to leverage private capital in the online new economy sector and support the clustering and development of the online new economy industry.

2. Support corporate financing. Establish a “Whitelist of Key Online New Economy Enterprises.” For loans taken by enterprises on the list for key projects such as digital platform construction, procurement of intelligent equipment, and digital transformation, provide an interest subsidy of up to 500,000 yuan based on 40% of the People’s Bank of China’s LPR for the same period and category;For guaranteed loans or performance guarantee insurance loans of up to 10 million yuan per transaction for enterprises on the list, a subsidy of up to 2% will be provided for the portion of annual guarantee fees or insurance premiums exceeding 1%; encourage banks and other financial institutions to offer specialized financial products to online new economy enterprises, explore innovative loan businesses such as intellectual property pledges or mortgages, and provide subsidies for eligible loans.

3. Support enterprise restructuring and listing. Establish a cultivation pool for online new economy enterprises preparing for listing, and support enterprises in conducting project promotion, investment and financing matchmaking, and listing guidance activities.Following a tiered cultivation framework of “listing/quoting a batch, filing applications for a batch, providing guidance to a batch, and reserving a batch,” provide full-chain services in a phased and targeted manner. For enterprises conducting initial public offerings (IPOs) and listing on domestic main boards, SME boards, Growth Enterprise Market (GEM), STAR Market, or the Beijing Stock Exchange, provide a restructuring and listing subsidy of up to 3 million yuan; those listing overseas shall enjoy support equivalent to that for domestic main board listings.

(5) Optimizing the Business Environment, Strengthening Talent Cultivation and Recruitment, and Promoting Reform Pilots

1. Support Talent Cultivation and Recruitment. Promote the procurement and supply of talent apartments and ensure housing services for talent; encourage employers to build or procure housing on their own, or convert non-residential properties, to provide various types of affordable rental housing for eligible young talent in the online new economy sector. Support online new economy enterprises in cultivating and recruiting talent teams; in accordance with relevant policies regarding designers at municipal-level software enterprises and core teams at municipal-level software enterprises, provide certain talent incentives to eligible innovative talent in the online new economy sector.

2. Support Pilot Programs for Flexible Employment Reform. Support flexible workers conducting business activities through pilot online new economy platforms to register as individual business operators, thereby clarifying their status as new market entities; encourage eligible online new economy platforms to sign management agreements with flexible workers, allowing the pilot platform’s registered address to serve as the business operator’s registered address. Promote flexible employment, diversify the industrial structure, and support the healthy and compliant development of the online new economy workforce.

IV. Supplementary Provisions

(1) This policy shall be interpreted by the relevant departments of the Yangpu District People’s Government in accordance with their respective functions. Specific implementation rules shall be formulated by the Yangpu District Science and Technology Commission in conjunction with relevant departments in accordance with their respective functions.

(2) Where this policy overlaps with other relevant policies, it shall be implemented in accordance with the principles of “selecting the most favorable, applying the higher standard, and avoiding duplication.”

(3) Should new regulations be issued by the central government or the Shanghai Municipal Government during the implementation of this policy, such new regulations shall prevail.

(4) This policy shall take effect thirty days after the date of issuance and shall remain valid for three years.