Original Title: Notice on the Issuance of the "Implementation Rules for Special Support for Industrial Integration and Development in Songjiang District"

Article 1 (Purpose and Basis)

To accelerate the deep integration of advanced manufacturing and modern service industries in our district, further promote the improvement of quality and efficiency as well as the transformation and upgrading of manufacturing, and advance the high-quality development of service-oriented manufacturing, in accordance with the “Guiding Opinions on Further Promoting the Development of Service-Oriented Manufacturing” (MIIT Joint Policy Document [2020] No. 101) and the"Implementation Opinions on Implementing the <Guiding Opinions of the State Council on Accelerating the Development of Productive Services and Promoting Industrial Restructuring and Upgrading>," and the "Several Policy Provisions of Songjiang District on Accelerating Industrial Development in the G60 Science and Technology Innovation Corridor," and in light of the actual conditions of our district, these Implementation Rules are hereby formulated.

Article 2 (Definitions)

For the purposes of these Implementation Rules, “service-oriented manufacturing” refers to enterprises that, through innovation and optimization of production organization, operational management, and business development models, continuously increase the proportion of service elements in both inputs and outputs. This involves a transition from a focus on processing and assembly to a “manufacturing + services” model, and a shift from the mere sale of products to the sale of “products + services.” By extending and upgrading the value chain, enterprises thereby enhance total factor productivity, product value-added, and market share.

Article 3 (Principles of Use)

The use of special support funds shall align with the policy orientation of industrial integration and development in Songjiang District and comply with relevant regulations on fiscal budget management. It shall adhere to the principles of openness, fairness, and impartiality to ensure the safe and efficient use of funds.

Article 4 (Management Responsibilities)

The Songjiang District Economic Commission (hereinafter referred to as the District Economic Commission) shall prepare the budget for the special support funds in accordance with relevant policy provisions, issue annual project application notices, organize relevant departments and experts to conduct project evaluations, and carry out daily management and performance management of the projects.

The Songjiang District Finance Bureau (hereinafter referred to as the District Finance Bureau) is responsible for the budget management and disbursement of the Special Support Funds.

Article 5 (Eligible Recipients)

Recipients of the Special Support Fund shall meet the following basic criteria:

(1) Possess a standardized corporate governance structure;

(2) Sound financial management systems;

(3) Have a good credit standing and no serious violations or illegal acts within the past two years;

(4) Possess the necessary capacity to undertake project construction;

(5) Have no ongoing special projects of the same type that have not yet passed final acceptance.

Article 6 (Scope and Standards of Support)

(1) Support for the Development of Service-Oriented Manufacturing

1. One-time rewards of 400,000 yuan, 200,000 yuan, and 100,000 yuan shall be granted to enterprises recognized as national, municipal, and district-level service-oriented manufacturing demonstration enterprises, respectively; one-time rewards of 200,000 yuan, 100,000 yuan, and 50,000 yuan shall be granted to platforms (projects) recognized as national, municipal, and district-level service-oriented manufacturing demonstration platforms (projects), respectively.

2. Support enterprises in conducting industrial integration and innovation in the following service-oriented manufacturing demonstration model areas: R&D and design, personalized customization, supply chain management, shared manufacturing, inspection and testing, intelligent operation and maintenance, total integration and general contracting, full lifecycle management, energy conservation and environmental protection, and production-oriented finance.

For investment projects with a total investment of 5 million yuan or more that have not received special support from municipal-level programs for the development of production-oriented services and service-oriented manufacturing, financial support of up to 20% of the project’s approved total investment will be provided, with a maximum grant of 2 million yuan per project.

For enterprise projects involving service-oriented manufacturing business model innovation, with a contract value of 5 million yuan or more, and demonstrating exemplary and leading characteristics, financial support of up to 20% of the actual contract performance amount (excluding tax) will be provided, with a maximum grant of 2 million yuan per project.

3. Support the establishment of service-oriented manufacturing demonstration zones and demonstration cities in Songjiang District, and support the hosting of national and municipal-level service-oriented manufacturing themed events.

(II) Support for Enhancing Enterprises’ Industrial Design Capabilities

1. Support the establishment of enterprise industrial design centers. Provide one-time rewards of 600,000 yuan and 400,000 yuan, respectively, to enterprises with recognized national-level and municipal-level industrial design centers; provide a one-time reward of 200,000 yuan to enterprises recognized as municipal-level design leadership demonstration enterprises.

2. Support innovation in industrial design products. Enterprises whose products receive national-level industrial design awards or honors such as the “Shanghai Design 100+” will be granted one-time rewards of 200,000 yuan and 100,000 yuan, respectively.

3. Support enterprises in enhancing their industrial design capabilities. Projects with a total investment of 5 million yuan or more that have not received municipal-level special support for creative design industry development will be provided with financial support of up to 20% of the project’s approved total investment. The maximum support amount for a single key project shall not exceed 2 million yuan.

(3) Support the development of production-oriented service industry functional zones. A one-time reward of 1 million yuan will be granted to municipal-level production-oriented service industry functional zones recognized for the first time.

Article 7 (Support Principles)

For enterprises, projects, or platforms that are first recognized as district-level service-oriented manufacturing demonstration entities and subsequently upgraded to municipal- or national-level status, or for industrial design centers that are first recognized at the municipal level and subsequently at the national level, the difference in the reward amount shall be supplemented.

Enterprises that have been recognized as demonstration enterprises (platforms, projects) or industrial design centers will receive priority support when applying for ongoing projects; however, this support cannot be enjoyed concurrently with the one-time reward.

Article 8 (Support Methods)

Special support funds shall be provided in the form of grants.

Article 9 (Application Notice)

The District Economic Commission shall compile and publish annual application guidelines for the special support funds in accordance with the district’s policy orientation on industrial integration and development, announcing specific details such as application requirements, submission deadlines, and submission locations.

Article 10 (Project Application)

Eligible entities may submit project applications within the specified timeframe in accordance with the requirements of the annual application guidelines. The entity submitting the application is responsible for the authenticity of the application materials.

Article 11 (Project Evaluation)

The District Economic Commission shall conduct written reviews and necessary on-site inspections of submitted projects in accordance with the requirements of the application guidelines. For projects aimed at enhancing industrial design capabilities and promoting service-oriented manufacturing (hereinafter referred to as “project-based support”), the District Economic Commission shall first conduct a preliminary review; projects passing this preliminary review will then be submitted to a panel of experts for evaluation.

Specific criteria shall be determined using a scoring and tiered system:

(1) Tier 1: Financial support equivalent to 20% of the project’s approved total investment or the actual contract performance amount (excluding tax);

(2) Tier 2: Financial support equivalent to 15% of the project’s approved total investment or the actual contract performance amount (excluding tax);

(3) Tier 3: Financial support equivalent to 10% of the project’s approved total investment or the actual contract performance amount (excluding tax).

Article 12 (Project Public Notice)

Project entities proposed for special support shall be publicly announced by the District Economic Commission for a period of 5 working days. For projects receiving objections during the announcement period, the District Economic Commission shall promptly organize an investigation and verification.

Article 13 (Project Contracts)

Project contracts shall clearly specify the project scope, acceptance and evaluation criteria, implementation period, amount of financial support, and method of fund disbursement. Without the approval of the District Economic Commission, the project undertaking entity shall not arbitrarily adjust the content of the project contract.

Article 14 (Fund Disbursement)

For recognition-based support, funds shall be disbursed in a single lump sum upon approval; for project-based support, funds shall be disbursed in two installments: 50% of the total support funds shall be disbursed upon project approval, and the remaining 50% shall be disbursed upon successful project acceptance.

Article 15 (Project Management)

During the implementation of project-based support, the project entity shall execute the project in accordance with the terms of the agreement and regularly report on project progress and the use of special support funds to the District Economic Commission or the third-party agency entrusted by it. The District Economic Commission may conduct unscheduled inspections of the project-bearing entity either directly or through a third-party agency.

Expenses incurred in connection with supervision, inspections, project evaluations, audits, and acceptance inspections conducted to strengthen the management of this special fund and standardize the use of funds may be charged to the special support funds.

Article 16 (Project Acceptance)

Project-based support recipients shall prepare all project acceptance materials and submit a project acceptance application within three months after the project’s completion. The District Economic Commission or a third-party agency entrusted by it shall conduct the project acceptance in accordance with the agreement.

For projects that have not submitted an acceptance application within three months after the end of the project implementation period, the District Economic Commission shall notify the project-bearing entity, require the person in charge of the project-bearing entity to explain the reasons, and require the project-bearing entity to cooperate with the project acceptance work within the agreed timeframe. If the project cannot be accepted on schedule due to special circumstances, the enterprise shall submit an application for an extension three months before the end of the implementation period; the extension may be granted only once and shall not exceed 12 months.

Projects for which no acceptance application has been submitted within six months of the project implementation period’s end date shall be deemed to have failed acceptance.

Article 17 (Project Changes)

If a project undergoes any of the following major changes, the project unit shall promptly explain the details and reasons for the changes to the District Economic Commission and submit them for review.

(1) A change in the project legal representative;

(2) A change in the project’s principal entity;

(3) A change in the construction site;

(4) A change in the main construction scope;

(5) Significant changes to the construction period (project extension of one year or more);

(6) A reduction of 20% or more in the total contract value or total investment.

Article 18 (Project Revocation)

In any of the following circumstances, the relevant competent authority shall report to the District Economic Commission to request a decision to revoke the special fund project; the District Economic Commission may also make the revocation decision directly:

(1) Significant changes in project implementation conditions render the project unable to proceed;

(2) The project entity has arbitrarily altered the construction scope, resulting in a significant discrepancy between the actual investment achieved and the funding plan;

(3) The project remains unable to be completed on schedule even after a one-year extension;

(4) Failure to complete phased tasks due to poor project management;

(5) Other circumstances where the project shall be revoked in accordance with laws, regulations, rules, or normative documents.

Where a special fund project is revoked, the District Economic Commission shall urge the project entity to return the special funds already disbursed to the District Finance Bureau through the original channels.

Article 19 (Accountability)

Project-bearing units shall implement a credit commitment system during the project application phase. If serious acts of dishonesty are discovered at various stages—including project approval, implementation, and acceptance—the relevant unit’s eligibility to apply for any special funds from the District Economic Commission shall be revoked for three years. For acts such as fabricating information to fraudulently obtain special support funds that violate national laws, regulations, or relevant disciplinary rules, the project unit and its principal responsible persons shall be held accountable in accordance with regulations.

Article 20 (Information Disclosure)

The District Economic Commission shall ensure the disclosure of information regarding special support funds in accordance with relevant requirements for government information disclosure.

Article 21 (Interpretation)

The District Economic Commission and the District Finance Bureau shall be responsible for interpreting these Implementation Rules.

Article 22 (Effective Date)

These Implementation Rules shall take effect on April 11, 2022. The original "Implementation Rules for Special Support for the Development of Productive Services in Songjiang District" (Hu Song Jing Gui [2020] No. 1) is hereby repealed.