(1) Shanghai will provide rewards for upgrading the headquarters’ level and adding new functions. Shanghai will grant a one-time reward of RMB 3 million to the China regional headquarters that upgrades to Asia-Pacific headquarters and has two or more functions. Headquarters recognized as a global business unit headquarters will receive a one-time reward of RMB 10 million. Headquarters that add R&D innovation or financial and asset management functions will receive a one-time reward of RMB 3 million upon evaluation. Recognized open innovation platforms will receive a one-time reward of RMB 3 million. Shanghai encourages headquarters to hold global executive meetings, international training, and other high-profile business events in the city and will provide categorized financial incentives. Relevant departments will formulate specific implementation measures for these rewards. District governments may develop corresponding support policies for emerging headquarters based on local conditions.(Responsible units: Shanghai Municipal Commission of Commerce, Shanghai Municipal Bureau of Finance, and District Governments)

(2) Shanghai will increase support for R&D activities. Shanghai supports headquarters with R&D functions in applying for recognition as high-tech enterprises and technology-advanced service enterprises, enabling them to enjoy preferential policies such as a reduced corporate income tax rate of 15%. Shanghai encourages headquarters to establish venture capital funds and to enjoy related tax incentives according to regulations. Shanghai supports headquarters in establishing public basic research science funds and provides fiscal subsidies proportionally to university and research institution projects supported by these funds. Shanghai encourages R&D-enabled headquarters to collaborate with universities, research institutes, and enterprises on frontier technologies and future industries and funds qualified collaborative innovation projects. Shanghai supports headquarters in building municipal key laboratories, technology innovation centers, and professional technical service platforms, offering related funding policies. Shanghai will include eligible headquarters’ innovation projects and products in the city’s high-tech achievement transformation projects and innovation catalogs. Shanghai facilitates qualified headquarters’ access to fast-track patent pre-examination and priority review channels and supports them in applying for pilot demonstration enterprises in patent work and outstanding intellectual property protection projects.(Responsible units: Shanghai Municipal Commission of Science and Technology, Shanghai Municipal Tax Service, State Taxation Administration, Shanghai Municipal Bureau of Finance, Shanghai Municipal Commission of Economy and Informatization, and Shanghai Intellectual Property Administration)

(3) Shanghai will support the establishment of shared R&D centers. Shanghai supports headquarters in setting up open innovation platforms, promotes cooperation between these platforms and various funds such as state-owned capital funds and industry mother funds, and strengthens support for innovation projects hosted on these platforms. Shanghai encourages headquarters to participate in the city’s high-quality incubator construction and provides cooperation platforms for startups and industry-leading enterprises, with corresponding policy support.(Responsible units: Shanghai Municipal Commission of Commerce, Shanghai Municipal Commission of Science and Technology, Shanghai Municipal State-owned Assets Supervision and Administration Commission, and Shanghai Municipal Commission of Economy and Informatization)

(4) Shanghai will support the establishment of treasury centers. Shanghai encourages headquarters to establish treasury centers and build cash pools as needed, exploring optimized cash pool management rules. Shanghai promotes banks’ gradual automation of cross-border payments to facilitate centralized management of domestic and foreign currency funds by lead corporations. Shanghai optimizes free trade account functions; for high-quality headquarters that have opened free trade accounts, RMB settlements with onshore ordinary accounts may be conducted in accordance with the three principles of “Know Your Customer”, “Know Your Business”, and “Due Diligence.” Shanghai supports banks in the city to further improve cross-border payment efficiency for headquarters. Shanghai supports headquarters in managing exchange rate risk by guiding them to access the Bank-Enterprise Foreign Exchange Trading Service Platform operated by the China Foreign Exchange Trade System, and encourages banks to provide preferential treatment on margins, fees, and foreign exchange option fees.(Responsible units: Shanghai Municipal Bureau of Local Financial Regulation and Supervision and Shanghai Head Office of the People’s Bank of China [Shanghai Branch of the State Administration of Foreign Exchange])

(5) Shanghai will support new types of trade. Shanghai supports qualified headquarters with actual demand to carry out offshore trade and economic activities. Shanghai supports headquarters in conducting bonded maintenance and cross-border remanufacturing pilot projects in accordance with regulations. Eligible headquarters may be included in the priority “Authorized Economic Operator” (AEO) cultivation list managed by Customs and will receive preferential treatment in the AEO certification process. They will also be prioritized for the group-based “1+N” certification model, maximizing the benefits of AEO-related policies. Shanghai explores ways to support foreign parent corporations in applying for advance rulings on import pricing through their Shanghai-based headquarters. Cross-border e-commerce enterprises are encouraged to apply for headquarters status. A green channel for cross-border data flows will be established for eligible headquarters to facilitate secure and efficient cross-border data transmission.(Responsible units: Shanghai Municipal Commission of Commerce, Shanghai Head Office of the People’s Bank of China [Shanghai Branch of the State Administration of Foreign Exchange], Shanghai Customs, and Shanghai Municipal Cyberspace Administration)

(6) Shanghai will encourage headquarters to expand investment. Shanghai deepens the implementation of deferred tax policies on reinvested domestic profits by foreign investors. Headquarters using retained earnings such as profits for investment expansion will receive the same supporting policies as new foreign investment. Shanghai supports headquarters in establishing equity investment funds to participate in state-owned enterprise reform and key industry development via equity investments. Shanghai supports headquarters in business integration and promotes listing of high-quality assets in China when conditions permit. Shanghai encourages headquarters and their investment-managed manufacturing enterprises to accelerate production line upgrades and equipment renewal. For eligible technology renovation investment projects, Shanghai provides subsidies up to 10% of the approved total investment, with a maximum of RMB 100 million. Shanghai optimizes direct information channels for headquarters, timely pushing relevant policies and investment information to overseas headquarters and key decision-makers. Shanghai encourages headquarters to pursue complementary partnerships with domestic enterprises, and to jointly explore international markets through collaboration in products, technologies, and services.(Responsible units: Shanghai Municipal Commission of Commerce, Shanghai Municipal Development and Reform Commission, Shanghai Municipal Tax Service, State Taxation Administration, Shanghai Municipal Bureau of Finance, Shanghai Municipal Bureau of Local Financial Regulation and Supervision, Shanghai Municipal State-owned Assets Supervision and Administration Commission, Shanghai Securities Regulatory Bureau, and Shanghai Municipal Commission of Economy and Informatization)

(7) Shanghai will facilitate entry and exit for headquarters personnel. Shanghai provides convenience in processing APEC Business Travel Cards and talent visas for Hong Kong and Macau for headquarters personnel. Shanghai offers multiple-entry, long-term visa facilitation for overseas headquarters staff. Shanghai provides convenience in work permits and residence permits for foreign talents employed by headquarters, including “acceptance with incomplete documents” and extended processing periods. Shanghai grants accompanying spouses and family members of headquarters experts and senior managers of Shanghai branches or subsidiaries the same entry and stay duration rights. Shanghai supports eligible foreign senior managers’ families in household registration. Shanghai facilitates multinational company executives attending high-level business events in the city by easing access to VIP meetings, visa arrangements, and airport hospitality.(Responsible units: Foreign Affairs Office of the Shanghai Municipal People’s Government, Shanghai Talent Work Bureau, Shanghai Municipal Bureau of Public Security [Exit-Entry Administration of Shanghai Municipal Bureau of Public Security], and Shanghai Airport Authority)