Original Title: Notice from the Office of the Shaoxing Municipal People’s Government on Issuing the “Several Policies of Shaoxing City for Accelerating the Development of the Integrated Circuit Industry” and the “Several Policies of Shaoxing City for Accelerating the Development of the Biopharmaceutical Industry (Trial)”
To the People’s Governments of All Districts, Counties (Cities), and All Departments and Units of the Municipal Government:
The “Several Policies of Shaoxing City on Accelerating the Development of the Integrated Circuit Industry” and the “Several Policies of Shaoxing City on Accelerating the Development of the Biomedical Industry (Trial)” have been approved by the Municipal Government. They are hereby issued to you for earnest implementation.
Office of the Shaoxing Municipal People’s Government
May 18, 2023
Several Policies of Shaoxing City on Accelerating the Development of the Integrated Circuit Industry
To implement the “No. 1 Development Project” for innovation and quality enhancement in the digital economy and meet the provincial requirements for the high-level construction of the “415X” advanced manufacturing cluster, to thoroughly implement the “4151” Plan to build a strong city in advanced manufacturing, and to promote the leapfrog development of our city’s integrated circuit industry, the following policies are hereby formulated.
I. Fiscal and Tax Policies
(1) Eligible integrated circuit enterprises shall enjoy the fiscal and tax policies stipulated in the “Several Policies for Promoting the High-Quality Development of the Integrated Circuit and Software Industries in the New Era” (State Council Document [2020] No. 8) issued by the State Council.
Lead Agency: Municipal Tax Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
(2) For professional and technical personnel in integrated circuit enterprises with an annual salary of 500,000 yuan or more, and for mid-to-senior management personnel with an annual salary of 600,000 yuan or more, a reward equal to 100% of their contribution to the local economy shall be granted.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Party Committee Talent Office, Municipal Finance Bureau, Municipal Taxation Bureau
II. Financial Support
(3) Effectively leverage the role of the municipal industrial fund, coordinate with industrial funds in various districts, counties (cities), attract social capital, promote the construction of the Binhai New Area’s “10,000 Mu, 100 Billion Yuan” integrated circuit industrial platform, and drive the development of the city’s integrated circuit industry.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Financial Affairs Office, Municipal Investment Promotion Center
(4) Encourage banks to establish specialized loans for the integrated circuit sector and develop financial products tailored to the industry. For integrated circuit projects included in the municipal key industrial project plan or the municipal key digital and intelligent transformation project plan, a 50% interest subsidy based on the Loan Prime Rate (LPR) for the corresponding period will be provided for non-policy-based loans obtained from financial institutions. The subsidy period is three years, with a maximum subsidy of 10 million yuan per project.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Financial Affairs Office, Municipal Investment Promotion Center
III. Investment Subsidies
(5) For investment in integrated circuit enterprise projects, subsidies will be provided at a rate of 15% of the equipment and technology investment amount for design-oriented enterprises (based on actual financial expenditures) and 12% for non-design-oriented enterprises, with a maximum subsidy of 30 million yuan per project.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau
(6) For leading integrated circuit enterprises or integrated circuit projects with fixed-asset investments of 500 million yuan or more, provided they comply with territorial spatial planning and industrial development guidelines, the city will actively ensure the allocation of land, energy consumption, and pollution discharge quotas for such projects, and support the construction of dormitory-style affordable rental housing.
Lead Agency: Municipal Development and Reform Commission; Cooperating Agencies: Municipal Bureau of Natural Resources and Planning, Municipal Bureau of Ecology and Environment, Municipal Construction Bureau, Municipal Bureau of Economy and Information Technology
(7) For integrated circuit manufacturing enterprises undertaking cleanroom renovation and refurbishment, a subsidy of 1,500 yuan per square meter will be provided for Class 100 cleanrooms, 1,000 yuan per square meter for Class 1,000 cleanrooms, and 500 yuan per square meter for Class 10,000 cleanrooms, with a total subsidy not exceeding 2 million yuan.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Construction Bureau
IV. Talent Support
(8) For the core team of an enterprise (as defined by the enterprise itself), rewards will be granted in categories based on the enterprise’s annual operating revenue and upon certification by a professional institution:
1. Chip Design: When annual revenue first exceeds 50 million yuan, 100 million yuan, or 200 million yuan, the core team will receive a one-time reward of 1 million yuan, 3 million yuan, or 6 million yuan, respectively.
2. Wafer Manufacturing: When annual revenue first exceeds 1 billion, 5 billion, or 10 billion yuan, the core team will receive one-time rewards of 2 million, 4 million, or 8 million yuan, respectively.
3. Packaging and Testing: When annual revenue first exceeds 100 million yuan, 500 million yuan, or 1 billion yuan, the core team will receive a one-time reward of 500,000 yuan, 1 million yuan, or 2 million yuan, respectively.
4. Equipment Sector: When annual revenue first exceeds 100 million yuan, 500 million yuan, or 1 billion yuan, the core team will receive a one-time reward of 1 million yuan, 3 million yuan, or 5 million yuan, respectively.
5. Materials Sector: When annual revenue first exceeds 50 million yuan, 100 million yuan, or 200 million yuan, the core team will receive a one-time reward of 1 million yuan, 3 million yuan, or 5 million yuan, respectively.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agency: Municipal Finance Bureau
(9) High-level talent recruited by integrated circuit enterprises that meet the criteria will be directly included in the city’s talent support program and will be eligible for policies regarding children’s education, medical care, and housing. Local universities are encouraged and supported to expand enrollment in integrated circuit-related majors and improve the quality of their programs.
Lead Agency: Municipal Party Committee Talent Office; Cooperating Agencies: Municipal Education Bureau, Municipal Bureau of Natural Resources and Planning, Municipal Construction Bureau, Municipal Health Commission, Municipal Bureau of Economy and Information Technology
V. Encouraging Application
(10) Support integrated circuit enterprises in adapting to the digital transformation of the industry and strengthening R&D and mass production.Enterprises that purchase and use for the first time chips or modules independently developed by integrated circuit enterprises will receive a one-time subsidy of up to 500,000 yuan, equivalent to 10% of the actual purchase amount; enterprises that purchase and use for the first time equipment or materials independently researched, developed, and produced by integrated circuit enterprises will receive a one-time subsidy of up to 1,000,000 yuan, equivalent to 10% of the actual purchase amount. Purchases made from affiliated enterprises will not be included in the total purchase cost for subsidy calculation.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agency: Municipal Finance Bureau
(11) Enterprises providing packaging and testing services for integrated circuit design firms (excluding integrated device manufacturers) will receive financial support equivalent to 5% of the packaging and testing costs, with an annual support cap of 2 million yuan per enterprise.Integrated circuit manufacturers that make their production capacity available to other enterprises for wafer fabrication (8-inch wafers and larger) shall receive a subsidy of 100 yuan per wafer (calculated based on 8-inch equivalents). The total annual support for a single enterprise shall not exceed 10 million yuan. Purchases made from affiliated enterprises shall not be included in the total procurement costs for the purposes of calculating this subsidy.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agency: Municipal Finance Bureau
(12) For integrated circuit design enterprises, universities, and research institutes conducting multi-project wafer (MPW) wafer fabrication for products with independent intellectual property rights, a subsidy of 70% of the wafer fabrication costs will be provided, with an annual subsidy cap of 3 million yuan (1.5 million yuan for universities and research institutes).Integrated circuit design enterprises conducting full-mask (Full Mask) engineering wafer runs for products with independent intellectual property rights shall receive a subsidy equivalent to 50% of the mask fabrication costs. For processes larger than 28nm, the annual subsidy shall not exceed 3 million yuan; for processes 28nm or smaller, the annual subsidy shall not exceed 8 million yuan. The total annual subsidy per enterprise shall not exceed 10 million yuan.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agency: Municipal Finance Bureau
(13) For integrated circuit design and module enterprises, a subsidy of 50% of the actual certification costs will be provided for automotive-grade certification conducted through third-party platforms with national-level accreditation. The total annual subsidy shall not exceed 500,000 yuan.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agency: Municipal Finance Bureau
VI. Innovation Support
(14) The introduction and establishment of public service platforms for integrated circuit design, testing, intellectual property, industrial design, engineering services, and industrial research projects are encouraged. Universities and other institutions are encouraged to provide public training and technical services. For newly established specialized or comprehensive technical service platforms, a subsidy of 20% of the self-raised investment in project equipment, not exceeding 10 million yuan, will be provided.Public service platforms (institutions) serving more than 50 integrated circuit SMEs will receive an annual subsidy of up to 3 million yuan, equivalent to 10% of their service revenue.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Bureau of Education, Municipal Bureau of Science and Technology, Municipal Bureau of Finance, Municipal Market Regulation Bureau
(15) Support integrated circuit enterprises in participating in domestic and international specialized trade fairs, expositions, and similar events. For participation in key provincial and municipal-level exhibitions, provide subsidies for exhibition expenses in accordance with regulations.
Lead Agency: Municipal Bureau of Commerce; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
VII. Supplementary Provisions
(1) This document shall take effect upon issuance. The implementation period for all types of incentive and subsidy policies shall commence on January 1, 2023, and the scope of application shall cover enterprises, social organizations, and institutions throughout the city that possess independent legal person status.
(2) Districts, counties (cities) may formulate tailored policies based on local conditions, industrial characteristics, and development directions, provided such policies do not violate laws, regulations, or mandatory provisions of higher-level authorities. For the same matter, benefits shall be granted according to the “higher-rather-than-lower” principle.
(3) This policy is implemented once a year. Enterprise application materials shall undergo preliminary review by the industry and information technology departments of each district, county (city), followed by re-examination by the finance department at the same level. After review by the Office of the Municipal Digital Economy Development Leading Group, the materials shall be submitted to the Municipal Government for approval, and disbursement shall be carried out by the local authorities.Strengthen the review of fiscal fund disbursements and performance evaluations. District and county (city) governments are responsible for verifying the authenticity of projects and conducting performance evaluations, while finance departments are responsible for ensuring the appropriate use of funds. Enterprises that have been investigated by relevant authorities and listed on the severe dishonesty list due to tax evasion or fraud, malicious wage arrears, intentional infringement of intellectual property rights, or illegal activities in areas such as food and drug safety, ecological environment, engineering quality, work safety, or fire safety shall not be eligible for this policy.
(4) If a single enterprise qualifies for two or more support provisions regarding the same matter (including county-level policies and other municipal policies), the provision offering the highest benefit shall apply, and duplicate benefits shall not be granted. Newly recruited enterprises that have already received investment promotion benefits shall not be eligible for this policy.
(5) Should there be changes in higher-level laws, regulations, or major policies during the implementation of this policy, this policy shall be adjusted accordingly.
(6) The “Several Policies of Shaoxing City on Accelerating the Development of the Integrated Circuit Industry (Trial)” (Shaozhengbanfa [2021] No. 6) is hereby repealed, except for cases where the original incentive and subsidy policies have not yet been fully implemented.
(7) The Municipal Government Office, in conjunction with the departments responsible for policy implementation, shall be responsible for interpreting this policy.
Several Policies of Shaoxing City for Accelerating the Development of the Biopharmaceutical Industry
(Trial)
To accelerate the growth of the biopharmaceutical industry, build a high-end biopharmaceutical manufacturing base and innovation hub in the Yangtze River Delta, and promote the high-quality development of our city’s biopharmaceutical industry, the following policies are hereby formulated.
I. Strengthening Industry Development
(1) Support for Resource Allocation. Subject to compliance with territorial spatial planning, industrial development guidelines, and the “Three Lines and One List” ecological and environmental zoning controls, actively ensure land use, energy consumption, and pollution discharge quotas for biopharmaceutical projects, and advance the construction of wastewater and solid waste treatment capacity within industrial parks.Localities are encouraged to engage in regional cooperation and strengthen coordinated development, rationally planning the layout of production bases for chemical drugs, active pharmaceutical ingredients (APIs), and finished dosage forms. Support will be provided to districts, counties (cities) in their efforts to establish core zones and collaborative zones within biopharmaceutical industry clusters, and to build bases for the commercialization of innovative biotechnology achievements.
Lead Agency: Municipal Development and Reform Commission; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Bureau of Natural Resources and Planning, Municipal Bureau of Ecology and Environment
(2) Support the Attraction of Strong and High-Quality Enterprises. For industrial projects involving companies listed on the Fortune Global 500, the Global Top 50 Pharmaceutical Companies, or the Top 100 Chinese Pharmaceutical Companies, a subsidy of 20% of the actual equipment investment will be provided, with a cumulative subsidy per project not exceeding 100 million yuan.We encourage the development of high-end biopharmaceutical manufacturing sub-sectors centered on R&D innovation and application of biotechnologies such as genetic engineering, cell engineering, and enzyme engineering. For projects involving major innovations and possessing independent intellectual property rights, local authorities may provide more substantial financial support based on actual conditions.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Market Regulation Bureau
(3) Equipment Subsidy Support. For projects that have obtained a drug registration certificate (or active pharmaceutical ingredient registration number) and have commenced industrialization, a subsidy of 10% of the actual equipment investment will be provided. For projects that have obtained Class II or Class III medical device registration certificates and have commenced industrialization, a subsidy of 12% of the actual equipment investment will be provided. The cumulative subsidy for a single project shall not exceed 50 million yuan.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Market Regulation Bureau
(4) Support for Fund Investment. Encourage industrial funds at all levels to invest in the biopharmaceutical industry, with a focus on early- and mid-stage, as well as start-up, innovative and entrepreneurial enterprises in the city’s biopharmaceutical sector. Encourage various financial institutions in the city to include the biopharmaceutical industry in the priority support scope of government-bank-enterprise cooperation initiatives; innovate service models and improve the investment and financing service system to address enterprises’ credit, leasing, and insurance needs; and encourage government-backed financing guarantee institutions to provide credit enhancement support.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Financial Services Office, Municipal Investment Promotion Center
II. Encouraging R&D and Innovation
(5) Support for Innovative Drug R&D. For Class 1 chemical drugs, Class 1 biological products, and Class 1 traditional Chinese medicines that have commenced clinical trials in China and are undergoing industrialization, rewards will be granted based on the different stages of clinical trials: 8 million yuan, 10 million yuan, and 12 million yuan will be awarded for entering Phase I, Phase II, and Phase III clinical trials, respectively.For each new drug variety (different specifications are considered the same variety; the same applies below) that obtains a drug registration certificate, a one-time reward of 3 million yuan will be granted. The cumulative annual reward for a single enterprise shall not exceed 50 million yuan.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
(6) Support for the R&D of improved new drugs. For Class 2 chemical drugs, Class 2 biological products, and Class 2 traditional Chinese medicines that have already commenced clinical trials domestically and are undergoing industrialization, rewards will be granted based on the different stages of clinical trials: 4 million yuan, 5 million yuan, and 6 million yuan will be awarded for entering Phase I, Phase II, and Phase III clinical trials, respectively.For those that obtain a drug registration certificate, a one-time reward of 1.5 million yuan will be granted for each new drug variety, with the cumulative annual reward for a single enterprise not exceeding 30 million yuan.For Class 3 chemical drugs, Class 3 biological products, and traditional Chinese medicine compound preparations based on ancient classic formulas that have commenced clinical trials and entered industrialization within the country, rewards will be granted according to the different stages of clinical trials: 2 million yuan for entering Phase II clinical trials and 4 million yuan for entering Phase III clinical trials, with the cumulative annual reward for a single enterprise not exceeding 20 million yuan.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
(7) Support for the Development of Generic Drugs. For each generic drug that has newly obtained a drug registration certificate (or active pharmaceutical ingredient registration number) and has been commercialized, a reward of 4 million yuan will be granted.For generic drugs that have newly passed the quality and efficacy equivalence evaluation, a one-time reward of 3 million yuan will be granted per product; for the first three domestic companies to pass the equivalence evaluation for the same product, an additional one-time reward of 1 million yuan will be granted; for products exempt from bioequivalence (BE) trials, the reward amount will be halved.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
(8) Support for Traditional Chinese Medicine Product Innovation. A one-time reward of 30,000 yuan will be granted for each newly approved formula granule product license, with a cumulative annual reward per enterprise not exceeding 2 million yuan. For enterprises that have obtained production qualifications for traditional Chinese medicine formula granules and completed product registration, a subsidy of 20% of their actual equipment investment for that year will be provided, with a cumulative annual subsidy per enterprise not exceeding 10 million yuan.For TCM products that have newly obtained international, national, or provincial/local standards and have been commercialized, a reward of 1.5 million yuan, 1 million yuan, or 500,000 yuan will be granted per variety, respectively, with a cumulative annual reward per enterprise not exceeding 3 million yuan.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau
(9) Support for Medical Device R&D. Rewards will be granted to enterprises that obtain a medical device registration certificate for the first time and hold a national invention patent, or whose products have been recognized as innovative by the state or province and have been industrialized. Specifically: for Class II medical devices, products on the clinical exemption list will receive a one-time reward of 400,000 yuan, while those not on the clinical exemption list will receive a one-time reward of 1.5 million yuan;products listed in the clinical exemption directory for Class 3 medical devices will receive a one-time reward of 600,000 yuan, and products not listed in the clinical exemption directory will receive a one-time reward of 2.3 million yuan. The cumulative annual reward for a single enterprise shall not exceed 5 million yuan.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau, Municipal Health Commission
III. Promoting Strengthening and Specialization
(10) Support for the Acquisition of Marketed Products and Contract Manufacturing. Enterprises that acquire drug registration certificates for innovative drugs, modified new drugs, or the first domestic generic drugs, and successfully commercialize them with annual sales exceeding 1 million yuan, shall receive a reward of 5% of annual sales for up to three years from the start of production. The annual reward for a single product shall not exceed 5 million yuan.Where a marketing authorization holder for a drug or medical device entrusts production to a non-affiliated enterprise and the annual sales revenue reaches 1 million yuan or more, the location of the contract manufacturer shall grant a reward of 5% of the annual sales revenue to the contract manufacturer within three years of the product’s commencement of production, with an annual reward not exceeding 5 million yuan for the same product.
Lead Agency: Municipal Bureau of Economy and Information Technology; Cooperating Agencies: Municipal Finance Bureau, Municipal Market Regulation Bureau
(11) Support the development of industrial service platforms. For the construction of industrial public service platforms such as CROs (Contract Research Organizations), CMOs (Contract Manufacturing Organizations), CDMOs (Contract Development and Manufacturing Organizations), as well as medical big data clinical research application centers, medical testing and inspection centers, translational medicine centers, clinical medical research centers, and drug clinical trial institutions, a subsidy of 30% of the actual equipment investment will be provided, with a cumulative subsidy for a single institution not exceeding 30 million yuan;For platforms that have been established and are in operation, upon certification, a subsidy of 10% of the previous year’s service revenue generated from serving biopharmaceutical enterprises (non-affiliated enterprises) will be provided, with an annual subsidy not exceeding 5 million yuan per institution.
Lead Agency: Municipal Science and Technology Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau, Municipal Health Commission, Municipal Market Regulation Bureau
(12) Support for Expanding Overseas Markets. For pharmaceuticals (including active pharmaceutical ingredients) that obtain overseas marketing authorization for the first time through approval from the FDA (U.S. Food and Drug Administration), EMA (European Medicines Agency), PMDA (Japan’s Pharmaceuticals and Medical Devices Agency), WHO (World Health Organization), or similar agencies, a one-time subsidy of 1 million yuan will be provided for each product.For products that have already obtained domestic Class II or III medical device registration certificates and have obtained market access qualifications from the FDA, EMA, PMDA, WHO, or similar agencies for the first time, a one-time subsidy of 500,000 yuan will be provided for each product. The cumulative annual subsidy for a single enterprise shall not exceed 5 million yuan.
Lead Agency: Municipal Market Regulation Bureau; Cooperating Agencies: Municipal Bureau of Economy and Information Technology, Municipal Finance Bureau, Municipal Commerce Bureau
IV. Supplementary Provisions
(1) This document shall take effect upon issuance. The implementation period for all incentive and subsidy policies shall commence on January 1, 2023, and the scope of application covers enterprises, social organizations, and institutions throughout the city that possess independent legal person status.The scope of the biopharmaceutical industry includes pharmaceutical manufacturing (manufacture of active pharmaceutical ingredients for chemical drugs, manufacture of chemical drug formulations, processing of traditional Chinese herbal slices, production of proprietary Chinese medicines, manufacture of veterinary drugs, manufacture of biological products, manufacture of genetically engineered drugs and vaccines, manufacture of sanitary materials and medical supplies, and manufacture of pharmaceutical excipients and packaging materials),manufacture of specialized pharmaceutical equipment, manufacture of medical instruments and devices, engineering and technical research and experimental development, medical research and experimental development, testing services, biotechnology promotion services, health examination services, and clinical laboratory services.
(2) Provided they do not violate laws, regulations, or mandatory provisions from higher-level authorities, each district, county (city) may formulate tailored policies based on local conditions, industrial characteristics, and development directions, and shall implement incentives for the same matter according to the principle of “choosing the higher amount.”
(3) This policy is implemented once a year. The lead departments of the districts, counties (cities) are responsible for accepting and reviewing applications for implementation, and the reward funds are shared in accordance with the current fiscal system. Enterprises that have been investigated and listed on the severe dishonesty list by relevant authorities due to tax evasion or fraud, malicious wage arrears, intentional infringement of intellectual property rights, or illegal activities in the fields of food and drug safety, ecological environment, engineering quality, work safety, or fire safety shall not be eligible for this policy.
(4) In the event of a conflict between this policy and the municipal “1+9” policy or other relevant policies, if a single enterprise qualifies for two or more support provisions (including county-level policies and other municipal policies) for the same matter, the provision offering the highest benefit shall apply, and duplicate benefits shall not be granted. Newly recruited enterprises that have already benefited from investment promotion policies shall not be subject to the relevant provisions of this policy regarding “strengthening industrial cultivation.”
(5) Should there be changes in higher-level laws, regulations, or major policies during the implementation of this policy, this policy shall be adjusted accordingly.
(6) The Municipal Government Office, in conjunction with the departments responsible for policy implementation, shall be responsible for interpreting this policy.
