Under the influence of the steady growth policy and the bank’s quarter-end impulse, both corporate and residential sector financing strengthened in June, driving the scale of new RMB loans and social financing to grow beyond expectations.

　　According to the latest data released by the People’s Bank of China on July 11th, RMB loans increased by 3.05 trillion yuan in June, up by 229.6 billion yuan year-on-year, and social financing increased by 4.22 trillion yuan, down by 985.9 billion yuan year-on-year, still better than market expectations. The social financing stock increased by 9.0% year-on-year, down by 0.5 percentage point from the end of last month.

　　For the unexpected financial data in June, the market tends to think that it should be treated rationally.

　　It can be seen that by the end of June, the year-on-year growth rates of M1 and M2 were 3.1% and 11.3%, respectively, down by 1.6 percentage points and 0.3 percentage points from the previous month, and the scissors difference of "M1-M2" was -8.2%, further expanding from -6.9% in May, indicating that the degree of currency activation still needs to be improved.

　　Why did residents’ loans increase more?

　　Corporate loans are still the main force of new credit in June, but the market is more concerned about the unexpected recovery of residential loans. Data show that in June, new residential loans reached 963.9 billion yuan, an increase of 115.7 billion yuan year-on-year, of which short-term loans and medium-and long-term loans increased by 63.2 billion yuan and 46.3 billion yuan respectively.

　　Under the background that the real estate sales data has not improved, the market tends to think that the early repayment of loans is an important reason.

　　The team of Zheshang Securities Bank believes that residents’ short-term loans increased by 63.2 billion yuan year-on-year in June, reflecting the continuous repair of residents’ consumption and the increase in consumer loans by banks; Residents’ medium and long-term loans increased by 46.3 billion yuan year-on-year, which deviated from the weak real estate sales in June and exceeded market expectations. There are two main factors behind the judgment that the increase of residents’ medium and long-term loans exceeds expectations: the early repayment of loans eased in June, and the year-on-year decline of medium and long-term loans supporting residents’ consumption narrowed or even increased year-on-year (medium and long-term consumer loans were mainly mortgages); Banks have increased the supply of medium and long-term loans in residential business to fill the mortgage gap. Since January 2023, medium and long-term loans in residential business have continued to increase year-on-year.

　　"The downward trend of loan interest rate boosted residents’ short-term loans by 63.2 billion yuan year-on-year, which is in line with the current moderate recovery of consumption; In June, when the sales of commercial housing were sluggish year-on-year, the medium-and long-term loans of residents, mainly composed of mortgages, unexpectedly increased by 46.3 billion — — We analyze that this may be related to the reduction in the down payment ratio of home purchases in some areas, and in the context of increasing credit supply, banks concentrated on issuing mortgage loans before the end of June. " Oriental Jincheng pointed out.

　　In terms of social financing, social financing increased by 4.22 trillion yuan in June, a year-on-year decrease of 985.9 billion yuan. Structurally, government bonds were mainly affected by the high base, and the year-on-year increase was less than one trillion yuan.

　　"On the whole, the social financing data in June this year, especially the credit data, exceeded expectations, which made the RMB credit increase more than last year’s high base. Even so, the high base of social financing last year was the result of the high base of credit and the high base of centralized issuance of government bonds. In June this year, the issuance of government bonds was relatively stable, making the overall social financing data nearly 1 trillion yuan lower than that of the same period last year, and the growth rate of social financing scale balance further dropped to 9.0%, a record low. The monthly data can be said to be not bad, but what needs to be vigilant is whether the downward trend of social growth will continue. " CICC pointed out.

　　How to follow-up credit and social financing?

　　In the context of the unexpected credit growth and structural improvement, the market pays special attention to the subsequent credit and social financing trends and policy trends.

　　The macro team of Everbright Securities believes that overall, the remarkable recovery of corporate credit in June indicates that the effect of interest rate cuts has begun to appear. Looking ahead, the year-on-year growth rate of social financing stocks may have bottomed out, and it is expected to rebound rapidly in July-August. On the one hand, the peak of local debt issuance will be ushered in July-August this year. After experiencing a sharp decline in May-June, the growth rate of social financing stocks is expected to stabilize quickly in July-August; On the other hand, after the interest rate cut, a package of steady growth policies is being introduced intensively, which continues to promote the improvement of credit willingness of enterprises and residents.

　　The fixed income team of Huatai Securities pointed out that the financial data in June should be treated rationally. On the one hand, the unexpected credit has seasonal disturbances such as the end of the season, and the sustainability of residential mortgage loan repair needs to be observed and there are doubts. On the other hand, the current economy as a whole is still in a weak recovery path, the consumption cycle continues to improve, and infrastructure investment such as water conservancy and electric power in the first half of the year is also remarkable. From this point of view, the market’s previous expectations for credit growth may be low. In the first half of the year, credit increased by 2.02 trillion yuan year-on-year, basically completing the annual task. In the second half of the year, government bonds entered a low base, and the growth rate of social financing also had some support. It is expected that the general tone of the central bank’s credit policy is still "moderate total amount and steady pace", credit growth is more determined by market-oriented mechanism, and credit line management may continue to weaken. In the third and fourth quarters, the probability of credit social integration will increase year-on-year, but the magnitude is not expected to be large.

　　Dongfang Jincheng predicted that under the prospect that the price level is expected to remain at a moderate level in the second half of the year, if it is necessary to further strengthen the policy of steady growth, there will be some room for interest rate cuts and RRR cuts. Focusing on creating a favorable monetary and financial environment for economic recovery, it is expected that financial data will continue to run at a high level in the third quarter. To this end, the regulatory authorities will supplement the medium and long-term liquidity of the banking system in a timely manner and support banks to increase credit supply through timely RRR reduction and continuous increase in MLF. In addition, the financing cost of the real economy will continue to decline steadily in the third quarter. In addition, the support of monetary policy for the real estate industry will be further increased in the second half of the year. On the basis of continuing to implement the special loan support plan for Baojiaolou, the possibility of increasing the quota in the third quarter or even launching new targeted support tools will not be ruled out. The overall goal is to effectively guide the residents’ mortgage interest rate to decline rapidly, and then drive the real estate industry to achieve a soft landing as soon as possible.

　　News background:　

　　Recently, there was a news in the programmer world that someone launched a project called "996.ICU" on the well-known code hosting platform GitHub to resist the "996" working system. This move was immediately responded by a large number of programmers. The so-called "996" refers to working from 9 am to 9 pm every day, working 6 days a week; "996.ICU" means "Work 996, sick ICU (Intensive Care Unit)".

　　"996"-The unbearable burden for young people

　　For Internet companies, "996" is nothing new. Not long ago, an e-commerce company advocated "996" and "persuading divorce" in a high-profile way, which triggered a frenzy of public criticism and unveiled the chaos of employment in the industry. Moreover, the "996" working mode is only one kind, and there are also popular working modes such as "247", "white plus black" and "5+2" in the workplace, all of which are extremely long overtime and high-intensity work, and even some companies compare overtime hours with each other and take pride in overtime culture. [detailed]

　　Undoubtedly, every generation and everyone has their own pressure, which comes from society, family and themselves. As the saying goes, "People are light without pressure." Everyone’s growth and progress really need some pressure, and in the process of resolving the pressure, they can constantly break through themselves and move towards a higher stage of life. However, stress also depends on whether it is positive motivation or anxiety, and whether it exceeds the burden of young people to some extent. If the pressure loses its positive incentive function and is beyond the tolerance of young people, young people will inevitably lose their spirit and vitality and become depressed. [detailed]　

　　Don’t let the unique phenomenon spread to more industries

　　Some media said that China society is entering an era of "explosion" of young people’s pressure. In 2018, CBN Weekly released the Report on the Survey of Urban People’s Stress. The results showed that 30.24% of the respondents felt stress several times a day, while 43.3% thought that the pressure they were under was too great for them to eat. In addition, a survey conducted by the China Academy of Social Sciences shows that in 2017, the average leisure time in Chinese was only 2.27 hours, and the average leisure time in the United States, German and other countries was more than twice that in Chinese. In addition, statistics show that the incidence of depression and sudden death in China is increasing year by year. Under pressure, some people will suddenly collapse because of a small matter, and some people will "work 996 and get sick in ICU". Although there are only a few cases, this phenomenon can not be ignored and may continue to intensify, and we must find ways to curb it. [detailed]

　　In the legal sense, the legitimacy of the "996" work system is obviously in doubt. It directly converts overtime work into normal working hours for employees, and even wraps this mechanism with words, giving it some cultural and moral colors. For example, those who are willing to accept are regarded as active, enterprising and have dreams, while those who are not active in cooperation may be reprimanded as greedy for comfort and muddling along. In this context, it is almost impossible for individuals to say "no" to this mechanism. It is said that if you don’t accept the 996 working system, you can jump to other industries. Not to mention that this statement avoids the legitimacy of employees’ rights protection, and also ignores that today’s "996" work system is not only a unique phenomenon of Internet startups, but is spreading to more industries. This phenomenon should inspire the labor inspection department to pay more attention and intervention. [detailed]

　　Sacrificing the development of employees can’t meet the future of the industry

　　The initial stage and development stage of an industry can be fought by biting one’s teeth, but the development at the expense of employees’ normal life and rest time is unsustainable, which not only lays hidden dangers for employees’ health, but also cannot usher in the future of an industry. Some critics say: Programmers are drained before they are 30 years old. "Go to work 996, sick ICU", although it is ridicule, is enough to alert related companies. Only work and no life, in such a state, even if employees have high salaries, where does happiness come from? The "996" working system should not be the norm in any industry, not only Internet enterprises. [detailed]

　　Overtime is the norm and no overtime pay is given. Whether it is beautified into corporate culture or dedicated, the essence behind it is that the boss is playing the wishful thinking of saving costs and squeezing employees. On the issue of labor rights protection, trade union organizations at all levels and labor rights protection departments should take action when it is time to do so. This is the responsibility, the inevitable requirement of regulating the market, and the proper meaning of governing the country according to law. From a broader perspective, China’s economy has shifted from a high-speed growth stage to a high-quality development stage. High-quality development involves not only ecological protection, but also people-oriented. [detailed]

　　Speak with great justice:　

　　@ Eternal Land, the sea is dry and the rocks are rotten: It doesn’t matter if you work overtime, as long as you pay overtime.

　　@ Name a name that is hard to find: "996" or "867"?

　　@ 京京京京: Not only programmers, but many positions are like this. Who is not tired?

　　@ 丫丫丫丫丫丫丫丫: Civil engineering is "007" …

　　Editor’s Note of Economic Daily-China Economic Net:　

　　In fact,existUnder the "996" working condition, employees are likely to reduce their work efficiency because they can’t get enough rest time. The "996" working system is essentially "forced overtime". In the increasingly perfect market competition and diversified employment choices, any enterprise and even industry can’t do without talent reserve and management. If some enterprises and industries can’t fully realize the importance of employees, achieve people-oriented, and still squeeze employees and sacrifice employees at the cost of development, then even if they have a large scale of operation, they can’t guarantee to retain talents continuously.

　　Review: Hot comments on previous "classics"　

In recent years, Suqian has seized the new track of digital economy, built new opportunities for industrial development, and made every effort to build a "famous e-commerce city", and the e-commerce market has flourished. The pace of "Double Eleven" is getting closer and closer. Recently, e-commerce companies have sprinted to meet the "Double Eleven".

E-business people busy in front of the screen.

On October 30th, the staff of Suqian Malt E-commerce Co., Ltd. located in Sucheng District were busy processing a large number of orders on the computer screen. They are ready for the "Double Eleven".

It is reported that Suqian Malt E-Commerce Co., Ltd. was established in 2017. It is an e-commerce company specializing in carpet sales. At present, the company cooperates with many independent brands of carpets, covering a variety of styles to meet the needs of different customers. At the same time, it provides national multi-warehouse distribution service to ensure that customers can receive their favorite products in the shortest time. During the "Double Eleven" period last year, the company’s sales exceeded 9 million yuan, and this year, the company’s sales target during the "Double Eleven" period is to exceed 20 million yuan.

"At present, our company has 12 anchors, 16 customer service staff and 8 operators … The manpower is still sufficient. In order to welcome the’ Double Eleven’, we are also ready, which not only extends the live broadcast time of various e-commerce platforms, but also carries out related preferential activities. Customers will enjoy the lowest price in the whole year when they start our carpets at the’ Double Eleven’." Wang Wenjie, the person in charge of Suqian Malt E-Commerce Co., Ltd., said that recently, the popularity of the company’s live broadcast room has increased significantly, which is about three times as usual. Not only that, the daily sales in recent days have exceeded 300,000 yuan, and the sales target should be achieved steadily as expected.

In all the office areas of Suqian Malt E-Commerce Co., Ltd., balloons and pendants with the words "Facing the Double Eleven" were carefully arranged. In front of the computer, the voice of customer service staff tapping the keyboard came and went, and several dialogue windows flashed on the screen of each computer. In the live broadcast room on one side, the anchor is trying to recommend different styles of carpets to customers in front of the screen …

"Nowadays, there are more and more e-commerce platforms we cooperate with, and there are more promotional activities. Everyone’s consumption enthusiasm is very high. As an e-commerce merchant, what we have to do is to provide customers with intimate services as much as possible, and we must shoulder the responsibility before and after sales." Wang Wenjie said.

Meet the "Double Eleven" and have sufficient confidence and confidence.

On the morning of October 29th, in a software industrial park near Yingbin Avenue in Shuyang County, several logistics vehicles were parked in front of Jiangsu Zhimei Cosmetics Co., Ltd., and the staff were busy transporting the goods into the logistics vehicles through the conveyor belt, and these goods were about to be transported to thousands of households from here.

"Founded in February 2010, the company is a new e-commerce enterprise integrating cosmetics R&D, production, testing and sales. It has successfully hatched a number of cosmetics brands. We have a strict and perfect R&D management system, and the R&D team brings together all kinds of talents, with a total of 15 members. At the same time, it has internationally advanced R&D equipment and testing instruments to provide customers with many high-quality products with distinctive features." Wang Biao, general manager of the company, proudly introduced.

In order to welcome the "Double Eleven", in September this year, Jiangsu Zhimei Cosmetics Co., Ltd. began to plan ahead. "First of all, in terms of stocking, our operation department determines the required quantity of this year’s’ Double Eleven’ best-selling products in advance and submits it to the purchasing department, and then the purchasing department connects with the factory in advance to ensure sufficient supply of goods; Secondly, actively create a’ Double Eleven’ atmosphere within the company, hang banners and put up posters in the company, provide snacks and drinks for employees, and provide logistics support for employees. " Wang Biao said, at the same time, they also tested the network lines in advance to ensure the smooth operation of the network.

"We have more than 300 employees, and everyone is busy with the’ Double Eleven’. From November 1 to 11 last year, the number of parcels we delivered was about 550,000, and there were about 200,000 parcels on the 11 th." Wang Biao said that they have confidence and confidence to meet the "Double Eleven".

Focus on superior categories and publicize special agricultural products

"Let’s have a look, this product in my hand is the characteristic of Suqian …" On October 30th, in Suqian Jiangbei Food Co., Ltd. located in Buzi Town, Sucheng District, two anchors were facing the camera of the mobile phone, promoting Suqian’s special agricultural products with flying spirits.

According to reports, Suqian Jiangbei Food Co., Ltd. mainly sells agricultural products with local characteristics through e-commerce platforms and webcasts, and at the same time selects online celebrity products such as Xinjiang jujube, walnut and macadamia fruit to promote them vigorously. Up to now, the company has opened 20 stores in JD.COM, Tmall, Taobao and other well-known online platforms, and has storage centers in Shanghai, Wuhan and Tianjin.

"We have participated in the’ Double Eleven’ activities for nearly 10 years, and this time of year is the busiest. At present, we seize the time to expand our warehouse, prepare enough goods, and launch various preferential profit-making activities to do a good job in various services. Now, the staff of the warehousing department are picking and delivering various orders. " Chen Yunkai, manager of the company’s operation department, introduced.

Goods are particularly important in the preparation before the "Double Eleven". "In the early stage, we have been paying attention to the daily data feedback of the e-commerce platform and selecting products that may become explosions. We find that consumers become more rational when making consumption choices, and they are more inclined to choose products with brand awareness. " Chen Yunkai said, therefore, from this year’s publicity strategy, they mainly focus on the company’s superior categories and carry out network promotion.

"The annual’ Double Eleven’ is a test for us. We also have great expectations for this’ Double Eleven’. " Chen Yunkai said that it is estimated that the company’s overall sales will be around 15 million yuan during the "Double Eleven" period this year.

Suqian builds a "famous e-commerce city" at a high level.

From January to September, Suqian completed e-commerce transactions and online retail sales of 188 billion yuan and 50 billion yuan respectively, up 13.9% and 11.1% respectively. From January to September, the express delivery service enterprises in Suqian completed 542.976 million pieces of business, up 25.6% year-on-year, ranking fifth in the province in terms of total volume and growth rate, with an average of 23 pieces of express delivery from Suqian to all parts of the world every second.

During the "Double Eleven" period, all e-commerce enterprises in Suqian are fully prepared and full of tricks, and various promotional activities will be launched simultaneously. The Municipal Bureau of Commerce will also continue to provide service guarantees to help e-commerce enterprises achieve "brand value+operating income" double growth. Actively organize local specialty products to carry out "Double Eleven" promotion, maintain dynamic communication with e-commerce business entities, and do a good job in various service guarantees; Guide business entities to carry out online and offline integration promotion activities. Highlight e-commerce to help agriculture, focus on local agricultural products and food, and further play the important role of e-commerce in helping rural revitalization. Highlighting live broadcast to help sales, and promoting live broadcast through e-commerce platforms have become an important way to drive product sales. Highlight the network boost, do a good job in promoting the image of Suqian local enterprises and products with the influence of "Double Eleven", and enhance the visibility and reputation of products; Strengthen communication and urge e-commerce business entities to operate in good faith.

Recently, Suqian issued "Several Measures on Building a Famous E-commerce City at a High Level" (hereinafter referred to as "Measures"), aiming at seizing the new opportunities of digital economy strategy, taking the high-quality development of the city’s e-commerce industry as the main line, highlighting the development focus of "industrial prosperity, multi-production, symbiosis and mutual promotion of production and city", speeding up the construction of e-commerce industry ecosystem, increasing the total volume, expanding the increment, optimizing the stock and improving the quality. The Measures shall come into force on January 1, 2024 and shall be valid until December 31, 2026. In these three years, Suqian will strive to achieve significant enhancement of e-commerce application innovation, continuous optimization of service support, comprehensive improvement of scale and quality, standardized and orderly development of the industry, and comprehensive enhancement of empowerment. The main energy level, professional services, innovative elements and business environment of the e-commerce industry rank high in the province and have national influence, and basically build a new highland for high-quality development of the national e-commerce industry with high concentration of subjects, efficient innovation of elements and perfect industrial ecology.

Once a cross-border e-commerce enterprise violates the tax law, it needs to bear criminal responsibility and non-criminal responsibility. Non-criminal liability should first pay taxes, second pay fines, and third pay late fees. The late fees are 18.25% annualized and the fines are 0.5 -5 times. The other is criminal responsibility. According to Articles 201-205 of the Criminal Law, the maximum sentence can be life imprisonment. Therefore, in order to enable cross-border e-commerce enterprises to develop in a long-term and better way, fiscal and taxation compliance is both the general trend and imperative.

The most important compliance is tax. The domestic e-commerce law aims at us to do pure export trade e-commerce, because the income is overseas, not in China. Many sellers have asked, what impact does this have on cross-border e-commerce? If we also do import e-commerce, such as Tmall and Taobao, it matters a lot, but it doesn’t matter if we do export.

The CRS common declaration standard, that is, global taxation, before 2017 and 2018, many sellers have registered offshore accounts, and funds may flow overseas. Since the implementation of CRS, this piece is almost inevitable, and all information will be exchanged. In the past, it would have been good for funds to go to overseas personal accounts, but now it is not.

Why do we have to let people pay attention to CRS? Because global taxation is in China, as long as it belongs to China resident taxpayers, as long as there is income, it needs to be declared.

So how on earth should we achieve compliance?

Pay according to domestic tax laws, in fact, compliance is very simple. However, our input invoices are not available, especially for small and medium-sized sellers, so it is difficult to comply with the tax. On the mainland side, taxes are set by votes, and if there is income, taxes will be paid.

If you have funds to spend, but you can’t offset the tax without the invoice, the tax for this kind will be very high.

For example, at the purchasing end, you have expenses, but because you have not obtained the cost ticket, you can’t offset the tax. It’s very high to pay taxes according to the full amount of income. Before income tax, it was 25%, and the value-added tax was 13%. After payment, it may be reversed.

So how to solve the tax problem?

One is value-added tax, and the other is income tax. For our cross-border sellers, the most important issue is income tax, because the state stipulates that export value-added tax is exempt. As long as you have the right to import and export, you can go abroad for tax-free filing and purchase without invoices. At the same time, income tax is divided into personal income tax and enterprise income tax. From the current point of view, income tax of most enterprises has been avoided, because the funds have gone to individuals. The income that should have been borne by the company did not go to the public account, but went to the private account, that is, this tax was passed on to the personal income tax, but has the personal income tax been paid? In the case of income, it is illegal not to pay taxes, and in life, personal income tax bears greater risks.

How to solve the current personal tax problem?

The New Deal came out at the end of last year and was officially implemented on February 1 this year. The policy of 4% cross-border e-commerce income tax:

New Deal calculation method:

Explaining the appeal policy, the taxable income rate is uniformly determined by 4%, such as 10 million sales, the payable income is 10 million times 4% which is 400,000 (payable income), and then multiplied by 5% according to the payable income, which is to pay 20,000 yuan (small and micro enterprise policy), and the tax amount is controlled below 2,000.

It’s much lower than before, but many sellers can’t take the New Deal.

First of all, to use this policy, we must go through the approval process. At present, most areas have not formally implemented the new policy because:

First, there are many supporting measures that have not come out, so it is difficult to go through the procedure. Second, you have to have a lot of qualifications to go through the procedure.

In this regard, Yin Binzhi proposed two ways to reduce taxes:

The taxation of overseas warehouses is more advantageous. How can we build a compliance framework for overseas warehouses?

(Note: Overseas companies don’t need invoices, just pro forma invoices.)

The scheme adopted by most sellers:

Compliance method: the parent company in mainland China files overseas investment and sets up a subsidiary in Hong Kong. If there is an invoice, the parent company will be used for normal tax refund; Without an invoice, use a third-party tool to carry out capital settlement, so that the flow between individuals and companies will be reduced.

The above are the methods of reasonable tax avoidance and compliance management put forward by lecturer Yin Binzhi. The lecturer Yin Binzhi is currently the financial director of cross-border e-commerce sellers, the financial consultant of several cross-border e-commerce enterprises and the tax collector of cross-border e-commerce. He has more than 6 years of financial work experience in cross-border e-commerce, and his content is well received!

Click here to learn more!

Editor: Jiang Tong

1. Application status of invention patent in high-tech field

　　According to the classification scheme of high-tech industries (24 small industries) researched and formulated by the Ministry of Science and Technology and the international patent classification (IPC), the comparison table between industrial classification and international patent classification is established (see Annex 1). According to this comparison table, the number of invention patent applications in high-tech industries from 1997 to 1999 is counted (see Table 2). This paper briefly analyzes the situation of inter-industry and domestic patent application.

　　First, look at the development of the four major industries (see Table 1). In terms of the total amount, it was basically the same in 1997 and 1998, but it decreased in 1999, mainly due to the large decrease in foreign applications (the decrease was about 40%). Domestic applications have maintained a growth momentum, with an average annual growth rate of 14.2%, with a surge of 40% in 1999 compared with 1998, making the applications for invention patents in high-tech fields received by China in 1999 equally divided between domestic and foreign countries; Among them, "computer and office equipment manufacturing" has the fastest growth, with an annual growth rate of nearly 19 percentage points, followed by "electronic and communication equipment manufacturing", with an average annual growth rate of about 17%, which indicates the development of science and technology and the progress of these two industries in owning independent intellectual property rights to some extent. Although domestic applications in high-tech fields have increased by a large margin, they accounted for only about 4% of the total domestic applications in that year, which is still far from the 20% of foreign applications in high-tech fields.

　　Secondly, look at the development of various industries. As can be seen from Table 2, the industries with the highest number of applications have basically changed little in the past three years. Among them, there are four industries in which the number of domestic applications accounts for more than half of the total number of domestic and foreign applications (the number in 1999): ① "chemical preparation manufacturing" (mainly Chinese patent medicine manufacturing), ② "computer external equipment manufacturing", ③ "biological products manufacturing" and ④ "chemical raw material manufacturing". ① ② The two industries have always maintained great advantages, accounting for about 60% to 80% of the total patent applications at home and abroad; It is particularly noteworthy that in 1999, the number of foreign applications decreased by more than two times compared with the previous year, but the number of domestic applications increased by four times, making nearly 90% of applications in this field domestic, which is of great significance to changing the situation that the biological product technology market is monopolized by foreign patents. But generally speaking, among the applications for invention patents involving high-tech industries accepted by our bureau, those with relatively high technical content, dominant economic competition and international competitiveness are still mainly from abroad.

　　Finally, look at the application status of major countries in China. This paper takes the United States, Japan, Germany and South Korea, four countries with developed economies and patents, as the objects, and makes statistics on the application status in China during the three years from 1997 to 1999 (see Table 3). Generally speaking, compared with foreign applications to China in that year, the applications from the four countries all accounted for more than half; Especially, "electronic and communication equipment manufacturing" and "computer and office equipment manufacturing" are outstanding, accounting for about 90% of the total number of foreign applications, which has obvious advantages over similar domestic applications. Take the "electronic and communication equipment manufacturing industry", which has the fastest development, the widest application scope and the largest consumer market, as an example. In 1997, the number of domestic applications was only one seventh of that of foreign applications in China (only 35.4% of Japanese applications in China). By 1999, although this situation had improved, foreign applications still accounted for 80%. At present, applications in this field in China are mainly made by Panasonic, Sony, Hitachi and NEC in Japan, Motorola and IBM in the United States, and Samsung and Hyundai in South Korea. These are the major brands that monopolize China’s electronics and communication market today. Although state-owned brands are also striving to expand their market share, they are still at a disadvantage in terms of innovation, market competitiveness and brand awareness.

　　2. Analysis of invention patent authorization

　　(1) Analysis and comparison of authorized cumulative quantity

　　From 1985 to August 18, 2000, there were more than 98,000 applications for ending the examination procedure of domestic invention patent applications, of which more than 21,000 were authorized to be announced. Compared with the number of domestic invention patent applications of more than 145,000, the settlement rate was about 68%.

　　In contrast, from 1985 to now, there are about 82,000 applications for foreign invention patent applications that have ended the examination procedure, of which more than 31,000 are authorized to announce. Compared with the number of foreign invention patent applications of more than 166,000, the settlement rate is about 50%, of which authorization accounts for 38% of the closed cases and authorization accounts for 19% of the applications.

　　Judging from the total number of applications and the total authorized amount, domestic invention patent applications account for 46.6% of the total invention patent applications, and foreign invention patent applications account for 53.4% of the total invention patent applications; Domestic invention patents accounted for 40.2% of the total invention patents granted, and foreign invention patents accounted for 59.8% of the total invention patents granted.

　　(2) Analysis and comparison of hot areas of technological innovation.

　　From the perspective of authorization rate, there is still a big gap between domestic invention patent applications and foreign invention patent applications. On the whole, although domestic invention patent applications and authorization are at a disadvantage, we still have advantages in some technical fields.

　　(a) Comparison of ten hot areas of technological innovation

　　From the statistical results, the top ten IPC categories in the cumulative amount of invention patent authorization in China are (see Table 1):

　　As can be seen from Table 1, among the top ten IPC categories in China, seven categories not only have a large number of patents granted, but also account for more than 50% of the domestic patents granted, which reflects that these categories have relatively strong technological development strength, active research and development, rapid technological development, and a large share of high-level technological innovation, so there are more new technologies and new products, and the upgrading of new technologies and new products is also faster. For example, in A61, the development of new products and technologies represented by traditional Chinese medicine, health care drugs and cosmetics is very active and of high quality.

　　Correspondingly, the top ten IPC categories in the cumulative amount of foreign invention patents granted in China are (see Table 2):

　　As can be seen from Table 2, among the top ten IPC categories of foreign invention patents, five categories are the same as those of domestic invention patents, but the order is different. It shows that in some hot areas, the development trend of domestic science and technology is basically consistent with that of the international community, but it is not synchronized.

　　(b) Changes in ten hot areas of technological innovation

　　In recent years, the top ten changes in the cumulative amount of domestic invention patents can better reflect the distribution, development and changes of domestic technological innovations with independent intellectual property rights in the technical field. The following table lists these changes.

　　As can be seen from Table 3, except that the number of authorization announcements in the first year is too small to be statistically significant, there are only two categories that rank first in the number of authorizations in each year. Before 1994, it was G01, and then it was A61. G01 category has been declining since 1994, and began to disappear from the top ten in 1999, which reflects that the technology development activities of G01 category are weakening in recent years. Before A61 was ranked as the first authorized category in 1994, it basically kept fluctuating among the top ten. After the revision of the patent law in 1992, the restrictions on traditional Chinese medicine and other drugs were liberalized, which was the main reason for A61′ s long-term ranking first.

　　3. Patent application status

　　In 2000, our bureau accepted a total of 170,682 applications for three kinds of patents, an increase of 36,443 over the previous year’s 134,239, with a growth rate of 27.1%.

　　By December 31st, 2000, our bureau had accepted 1,166,427 patent applications. Among them, there are 972,860 domestic patent applications, accounting for 83.4% of the total number of patent applications; There are 193,567 foreign patent applications, accounting for 16.6% of the total number of patent applications.

　　Since 1994, our bureau has officially become a member of PCT, and as of December 31, 2000, we have received 1,767 international applications. Received 1,709 international application search books and completed 1,299 international search reports; Received 903 requests for international preliminary examination and completed 698 international preliminary examination reports; International applications for entering the domestic stage in China: 59,419 inventions and 19 utility models. In 2000, 746 international applications were received; Received 671 international application search books and completed 364 international search reports; Received 267 requests for international preliminary examination and completed 230 international preliminary examination reports; International applications for entering the domestic stage in China: 15,798 inventions and 4 utility models.

　　The characteristics of patent applications in 2000 are as follows: (1) According to the number of three kinds of patent applications, there were 51,747 invention patent applications, up 41.0% from 36,694 in the previous year; There were 68,815 applications for utility model patents, up 19.7% from 57,492 in the previous year; There were 50,120 applications for design patents, up 25.1% from 40,053 in the previous year. (2) From the domestic and foreign composition, domestic applications are mainly utility model and design patents, accounting for 81.9%; Foreign applications are mainly invention patents, accounting for 87.0%. (3) judging from the composition of the three kinds of patents, domestic applications for invention patents have developed by leaps and bounds. In 2000, there were 25,346 applications, an increase of 62.5% over the same period of last year, making the number of domestic and foreign applications for invention patents equally divided; Domestic applications for utility models and designs account for more than 90% of the total.

　　4. Distribution of patent applications by region, industry and country

　　In 2000, the ranking of domestic patent applications by provinces and cities changed compared with the previous year. The top ten provinces and cities were: Guangdong, Shanghai, Taiwan Province, Beijing, Zhejiang, Shandong, Jiangsu, Liaoning, Sichuan and Fujian.

　　In 2000, the number of patent applications from domestic industrial and mining enterprises was 45,862, an increase of 40.5% over the previous year’s 32,636; The number of patent applications from domestic colleges and universities was 2,924, an increase of 65.3% over the previous year’s 1,769; The number of patent applications from domestic scientific research institutes was 4,122, an increase of 35.2% over the previous year’s 3,048.

　　As of December 31st, 2000, there were 105 countries and regions that applied for patents in China. In 2000, there were 71 countries and regions that applied for patents in China, and there were 6 new countries: Vatican (2), Andorra, Dominican Republic, Estonia, Morocco and Vietnam (1 each). The top ten countries and regions in terms of applications are: Japan, the United States, Germany, South Korea, France, the Netherlands, Switzerland, the United Kingdom, Sweden and Italy.

　　5. Distribution of patent applications in various technical fields

　　In 2000, according to IPC classification, 116,769 patent applications for inventions and utility models were completed, an increase of 19.5% over the previous year’s 97,753.

　　Judging from the classification of invention patent applications in 2000, its characteristics are as follows: (1) Applications for medical, dental and cosmetic preparations (A61K) ranked first in the total number of applications for the tenth consecutive year, of which domestic applications accounted for nearly 70%; Applications related to electronic digital data processing (G06F) rank second, and domestic and foreign applications are basically equally divided; (2) The application for peptide and amino acid (C07K) was a hot spot in the growth of domestic applications in 2000, ranking second in the domestic rankings, and the application for drugs (A61K) and electronic digital data processing (G06F) ranked third in the domestic rankings for the fifth consecutive year; (3) The foreign applications are mainly about heterocyclic compounds (C07D), information storage (G11B) and transit switching equipment (H04Q), which account for more than 80% of the total applications.

　　Since more than 95% of utility model patents are domestic applications, the ranking actually reflects the status of domestic utility model applications: applications for containers or packages for storing or transporting substances (B65D) have been in the first place for eight consecutive years, and applications for valves, ventilation, inflatable devices, etc. (F16K), electronic digital data processing (G06F) and door and window devices, etc. (E06B) are among the best.

　　6. Examination and approval of patent applications

　　By December 31st, 2000, China Patent Office had granted a total of 636,385 patents. In 2000, 105,345 patents were granted, up 5.2% from 100,156 in the previous year.

　　In 2000, 38,290 invention patent applications were published. In 2001, 33,449 requests for actual examination of invention patents took effect. In the substantive examination, 961 applications for invention patents were rejected and 5,820 were withdrawn. 12,683 invention patents were granted, an increase of 66.1% over the previous year’s 7,637.

　　In 2000, 54,743 utility model patents were granted, a decrease of 2.9% compared with 56,368 in the previous year; 273 cases were rejected and 9,841 cases were withdrawn.

　　In 2000, 37,919 design patents were granted, an increase of 4.9% over the previous year’s 36,151; 21 cases were rejected and 4,543 cases were withdrawn.

　　Table 1: Statistics of three kinds of patent applications at home and abroad in 2000 by job and non-job respectively.

　　Table 2: Distribution of job and non-job applications in China in 2000

　　Table 3: Distribution of Domestic Job Applications from 1997 to 2000

　　Table 4: Top Ten Foreign Companies and Enterprises with Applications in 2000

　　Table 5: Top Ten Colleges and Universities with Domestic Applications in 2000

　　Table 6: Top Ten Research Institutes with Domestic Applications in 2000

　　Table 7: Top Ten Industrial and Mining Enterprises with Domestic Applications in 2000

　　Table 8: Top Ten Provinces and Cities with Domestic Applications in 2000

　　Table 9: Top Ten Countries with Foreign Applications in 2000

　　Table 10: Classification of Invention and Utility Model Patent Applications by IPC in 2000

　　Table 11: the top ten categories of invention patent applications in 2000 according to IPC classification

　　Table 12: the top ten categories of utility model patent applications in 2000 according to IPC classification

　　Table 13: Approval Status of Three Kinds of Patent Applications at Home and Abroad in 2000

　　7. Technical development prospect of biological fertilizer

　　"Bio-fertilizer" technology refers to the technology that crops get specific fertilizer efficiency by the life activities of organisms. It includes two kinds of inventions: the invention of using organisms to prepare fertilizers and the invention of fertilizer products containing organisms, and the latter invention accounts for the vast majority.

　　In fact, the research and application of bio-fertilizer in China began shortly after the founding of the People’s Republic of China. At first, leguminous plants were inoculated with rhizobia. In 1950s, autotrophic nitrogen-fixing bacteria, phosphorus bacteria and silicate bacteria were introduced from the Soviet Union. In 1960s, China successfully developed actinomycetes "5406" antibiotic fertilizer and nitrogen-fixing cyanobacteria fertilizer. From 1970s to 1980s, VA mycorrhiza made of soil fungi was developed, which improved the phosphorus nutrition conditions of plants and increased water use efficiency. From 1980s to 1990s, China successively applied combined nitrogen-fixing bacteria and bio-potassium fertilizer as seed dressing agents, and recently developed to popularize the application of bio-fertilizer made of rhizobia, nitrogen-fixing bacteria, phosphorus bacteria, potassium bacteria and organic fertilizer as base fertilizer.

　　Since the implementation of China’s patent law in 1985, the number of patent applications for biological fertilizers has changed as shown in Figure 1.

　　As can be seen from Figure 1, the patent application for bio-fertilizer increased rapidly in 1991, and now it has reached about 30 patent applications every year. It is believed that with the continuous development of high and new technologies in China, especially biotechnology, and the continuous pursuit of modern agriculture, the number of patent applications for bio-fertilizer will also increase, which will have a far-reaching impact on China’s agriculture.

　　We believe that the following aspects are the development trends of bio-fertilizer in China at present and in the future:

　　(1) Development from single biological strain to compound multi-strain

　　Because the fertilizer efficiency of microbial fertilizer is not the result of single function, it will inevitably develop into the compound of many bacteria. At present, domestic microbial fertilizers tend to combine rhizobia, nitrogen-fixing bacteria, phosphate-solubilizing bacteria, potassium-solubilizing bacteria and other microbial strains to form a variety of synergistic effects by using different mechanisms of different biological strains on crops, so it is inevitable to develop from a single biological strain to a compound multi-strain direction.

　　(2) Development from inoculants to compound bio-fertilizers.

　　Because it is difficult to meet the demand of the vast farmland for fertilizer by using effective fungi as inoculants for crop seed dressing fertilizer. Farmland soil is hardened due to the decreasing application of farm manure, which affects the fertility base. This phenomenon has become the biggest obstacle to the further development of agriculture in China. Using biological compound fertilizer composed of microbial fungi and organic fertilizer matrix can greatly increase the beneficial flora in rhizosphere and increase the active organic matter and nutrient elements in soil, which is the mainstream direction of microbial fertilizer in the future.

　　(3) From single function to multi-function.

　　Although the mechanism of action on microorganisms in the field of bio-fertilizer has been debated for many years, the basic consensus is that the functions of various microorganisms are not single. For example, some nitrogen-fixing bacteria can not only fix nitrogen, but also inhibit germs, some insecticidal bacteria can also inhibit bacteria, and many soil microorganisms can stimulate plant growth. With the deepening of people’s understanding of bio-fertilizer, it is bound to put forward higher and more comprehensive requirements for this kind of fertilizer, which requires bio-fertilizer to have comprehensive functions such as improving plant nutrition, stimulating growth and inhibiting bacteria. Therefore, in the future, bio-fertilizer should develop in a multi-functional direction, which requires not only its fertilizer efficiency, improving crop quality and appearance, but also its multiple functions such as preventing and controlling crop diseases and insect pests and adjusting crop maturity.

　　(4) Development from spore-free bacteria to spore-bearing bacteria.

　　The rhizobia and nitrogen-fixing fungi used in the existing biological fertilizers belong to spore-free fungi. Because Bacillus-free bacteria are not resistant to high temperature and drying, their stress resistance is low, and they are not resistant to storage, so they have to adopt liquid form or adsorb microbial strains in some carriers, such as peat or vermiculite, for convenience of storage and transportation. However, with the continuous expansion of the application scope and the increasing dosage of bio-fertilizers, it is difficult to transport and fertilize liquid or adsorbed bio-fertilizers, especially to commercialize them. In order to change the dosage form of microbial fertilizer, it is necessary to update the strains. The above situation can be avoided by using Bacillus as the strain in the bio-fertilizer. For example, at present, many patent applications have proposed to select Bacillus B.megatherium, Bacillus B.polymyxa and Bacillus B.mucilaginosus. These Bacillus and their variants can withstand high temperature and drought, so the bio-fertilizer containing these strains can be dried into dry powder or formed into particles, so as to be stored for a long time.

　　With the increasing attention of society to environmental protection and the development of ecological agriculture, China’s bio-fertilizer is bound to develop greatly. More than 70 countries in the world have been vigorously promoting the application of microbial fertilizer, and its application ratio has reached more than half of the total agricultural fertilizer in developed countries in Europe and America, and it is gradually replacing chemical fertilizer products. Although research work has been carried out in China for nearly 50 years, and there are hundreds of manufacturers, its scale, depth, breadth and application have lagged behind developed countries.

　　8. Nanotechnology Analysis and Prediction

　　At present, nanotechnology is in a period of rapid development. The number of patent applications for nano-materials and technologies has increased sharply. From the perspective of patent applications in China, there are about 312 in total, of which domestic ones are the main ones. Since 1997, there have been about 149 inventions, including 136 inventions, mainly from scientific research institutes, universities and large enterprises in China. According to the derwent database, there have been a lot of foreign applications for nano-materials and technologies in recent one or two years. The number of applications in several major hot areas in the past 99 years is now counted in Table 1.

　　Analysis:

　　A) The number of applications is relatively concentrated in China, the United States, Germany, Japan and South Korea.

　　B) The contents of the application can be roughly divided into three categories: first, nanomaterials and their developed products; second, preparation methods and devices; and third, the application of nanomaterials. As far as chemistry is concerned, nanomaterials mainly involve the development and application of metals or nonmetals and their oxides, coating compositions, polymer nanocomposites, catalysts, ceramics, alloys, single crystals and medical or cosmetic preparations, and carbon nanotubes.

　　C) Most domestic applications involve material preparation methods; There are relatively many applications involved in foreign applications.

　　D) In terms of preparation methods, besides the traditional sol-gel method and pyrolysis method, there are also gas-phase and solid-phase methods, and modern technologies such as radiation, ultrasound and laser are added.

　　E) The products developed with nano-materials involve various fields, and are concentrated in ceramics, coatings and medical or cosmetic preparations at home and abroad; Foreign applications are higher than domestic ones, such as magnets and optical components.

　　Forecast:

　　A) From next year, foreign countries may apply to China in large quantities, mainly focusing on materials, developed products and their applications. At the same time, domestic applications will also increase, mainly focusing on developed products, methods and devices.

　　B) In the field of organic chemistry, the applications of three kinds of nano-lubricating materials, such as organic macromolecule modified nano-particle lubricating oil additives, solid lubricating coatings for enhancing adhesion, nano-particle reinforced polymer composite materials or reinforced metal-polymer multilayer composite materials, and ultra-thin organic lubricating films, will gradually increase.

　　C) Recently, the patent application of carbon nanotubes is still a hot spot, and carbon nanotube arrays will make new progress.

　　D) In the future, applications for promising hydrogen fuel sources, information technology, preparation of nanoparticles with bioactive substances, and nanomaterials that can be used in the fields of pharmacy, medicine and cosmetics will continue to increase.

　　9. Mobile communication technology analysis and patent application prediction

　　In recent years, mobile communication technology has developed rapidly, and its patent applications account for a large proportion in China’s communication field. The number of patent applications in 2000 was basically the same as that in 1999. The proportion of patent applications in major countries and regions in 1999-2000 is shown in Figure 1, and the proportion of patent applications in major companies is shown in Figure 2.

　　From the statistical data, we can see that the number of applications is relatively concentrated in several communication companies in the United States, Japan, Europe and South Korea, such as Nippon Electric, Lucent of the United States, Samsung of South Korea, etc., while the number of applications for mobile communication patents of Chinese communication companies has increased slightly. From the perspective of patented technology, it mainly focuses on power control, diversity reception, switching, terminal equipment and so on.

　　At present, because communication companies are actively developing the third generation mobile communication products, it is expected that in the future, patent applications such as smart antenna technology, baseband processing, power control technology, switching technology, congestion control, resource allocation and management will be the hot spots of patent applications. In addition, a patent application will also be filed for the small image mobile terminal technology applying the wireless access protocol (WAP).

　　Therefore, it is expected that the patent application in the field of mobile communication technology is still a hot spot in patent application in China; In the future, the number and proportion of patent applications of domestic communication companies will increase.

　　China Overseas Chinese Network June 15th Issue: Attention overseas Chinese friends! When you return to China during the Dragon Boat Festival, you can enjoy another entry and exit convenience.

　　I’m afraid overseas Chinese friends have encountered this annoying thing when they return home on holidays: getting off the plane and getting ready to enter the country, looking at the long queue waiting for customs clearance in front of them, thinking that it will take an hour at the earliest to pass the border inspection, and the enthusiasm for returning home to visit relatives and friends immediately cooled a lot …

　　Xiaoqiao had a similar experience. On the last day of the National Day holiday in a certain year, the overseas Chinese who returned home after traveling caught up with the return peak. It took a full hour and a half to get off the plane and go to the border inspection. They were exhausted by the long flight and felt even more exhausted after going through customs.

　　Someone wants to ask, isn’t there a self-service entry channel? Wouldn’t it be quicker to go there? On the one hand, the self-service channel requires a new version of electronic passports, and many people’s old passports have not expired and have not been replaced yet, so they cannot enjoy convenience; On the other hand, self-service customs clearance is exempt from stamping, but when applying for visas from some countries, the entry stamp on the passport must be complete.

　　At present, although many self-service aisles are equipped with cover patches, many people are not aware of them. There was a case before: when Ms. Zhao applied for a tourist visa, because she entered the country through the self-service channel when she returned to China the previous time, the "entry stamp" was missing from her passport. The travel agency worried that she might be refused a visa, and suggested that she go to the airport to reissue the entry stamp, which was equivalent to running again.

　　However, starting from the 18th of this month, that is, this year’s Dragon Boat Festival, all China citizens, including overseas Chinese, will no longer have to worry about the long queue for entry and exit customs clearance!

　　China’s National Immigration Bureau announced at the press conference of the Ministry of Public Security on the 14th that starting from June 18th this year, the national land, sea and air ports will be required to queue up for entry and exit customs clearance of China citizens for no more than 30 minutes, so as to solve the problem of long queues of China citizens at the peak of large ports.

　　I have to say that the introduction of this regulation is too timely! In recent years, with the continuous improvement of people’s living standards and the deepening of China’s opening up to the outside world, China citizens’ overseas travel, visiting relatives and business activities have greatly increased.

　　The data shows that in 2017, the total number of entry-exit personnel nationwide reached 598 million, an increase of more than 140 times compared with 1977 before the reform and opening up, and an increase of 73% compared with 2007. Among them, there are quite a few overseas Chinese groups who frequently travel between China and foreign countries.

　　The increasingly huge passenger flow undoubtedly puts great pressure on the border inspection port. According to statistics, up to now, there are 35 ports with an average daily inspection of more than 5,000 passengers, 19 ports with more than 10,000 passengers and 7 ports with more than 50,000 passengers.

　　Especially on weekends and holidays, the inbound and outbound passenger flow is relatively concentrated, and the queue waiting for inspection at peak hours is longer. Then, what measures will the relevant departments take to ensure the 30-minute customs clearance period?

　　Currently known methods are:

　　Set up a special passage for China citizens.

　　Optimize on-site organization, improve process setting and improve inspection management level.

　　Improve the application level of scientific and technological informatization, promote self-service customs clearance and increase the proportion of self-service customs clearance.

　　Improve the customs clearance environment, and solve the problems such as narrow waiting area and insufficient inspection channels.

　　Undoubtedly, this is another big gift package to improve the level of entry and exit facilitation after the establishment of the National Immigration Bureau. Why do you say "again"? Friends who pay attention to media reports must be well aware that since the official establishment of the Immigration Bureau in April this year, all kinds of good news about entry and exit have simply poured in:

　　Launched "visa-free entry travel for personnel from 59 countries in Hainan"

　　From May 1st this year, Hainan Province implemented a visa-free policy for inbound tourists from 59 countries, further supporting Hainan’s comprehensive deepening of reform and opening up.

　　Handling entry and exit documents such as passports "only runs once"

　　Also on May 1st, the whole country began to implement the system of "only running once" for passport and other entry and exit documents:

　　Optimize the process of handling licenses, and concentrate all the links scattered in different time periods and places, such as photo collection, fingerprint collection, application materials submission, face-to-face verification and certificate payment, in the same place at the same time;

　　The "green channel" permits, increasing the scope of emergency permits, and providing "go and go" expedited permit service for those who go abroad to attend meetings and negotiations, sign contracts, and report for study abroad when the time is approaching, and their documents are lost or damaged before departure;

　　"Non-working-day certification", which provides office workers with the service of accepting applications on Saturdays, during the peak of certification, and before holidays.

　　"Shorten the time for applying for permits in different places", and the time limit for examination and approval of cross-provincial applications for entry and exit documents has been shortened from 30 days to 20 days;

　　"One form", one person who applies for multiple documents at the same time only needs to submit an application form, take a number, and send it synchronously according to the applicant’s needs;

　　"One-line processing", applicants can make an appointment in advance by using the Internet booking platform, which is convenient for applicants to apply for entry and exit documents at the entry and exit reception window according to the appointment time period; Provide the service that applicants voluntarily choose two-way express mail entry and exit documents.

　　Improve and perfect the examination and approval mechanism for permanent residence qualifications.

　　After the establishment of the National Immigration Bureau, the review process for foreigners’ applications for permanent residence was continuously optimized to improve work efficiency. In two months, 1,881 eligible foreigners were approved for permanent residence in China, equivalent to the total amount of approval in 2017.

　　Some of these new regulations directly cover overseas Chinese groups, while others can indirectly benefit foreign Chinese, and once they are promulgated, they will be recognized by overseas Chinese. I believe that with the continuous advancement of the work of the Immigration Bureau, there will be more powerful new policies coming out one after another, which will bring more convenience to the entry and exit of overseas Chinese.

　　(Source: China Overseas Chinese Network official WeChat, Author: Fu Qiang, ID: qiaowangzhongguo)

Notes to the State Council Order No.764 of People’s Republic of China (PRC)’s invoice management measures: (On December 12, 1993, the State Council approved the issuance of Order No.6 of the Ministry of Finance on December 23, 1993, which was first revised according to the Decision of the State Council on Amending the Measures for People’s Republic of China (PRC)’s Invoice Management on December 20, 2010 and second revised according to the Decision of the State Council on Amending Some Administrative Regulations on March 2, 2019. According to the Third Revision of the Decision of the State Council on Amending and Abolishing Some Administrative Regulations on July 20, 2023) Chapter I General Provisions Article 1 In order to strengthen invoice management and financial supervision, safeguard national tax revenue and maintain economic order, these measures are formulated in accordance with the Law of People’s Republic of China (PRC) on Tax Collection and Management. Article 2 Units and individuals that print, collect, issue, obtain, keep and hand in invoices within the territory of People’s Republic of China (PRC) (hereinafter referred to as units and individuals that print and use invoices) must abide by these Measures. Article 3 The term "invoice" as mentioned in these Measures refers to the receipt and payment vouchers issued and collected during the purchase and sale of commodities, the provision or acceptance of services and other business activities. Invoice includes paper invoice and electronic invoice. Electronic invoices and paper invoices have the same legal effect. The state actively promotes the use of electronic invoices. Article 4 The management of invoices shall adhere to and strengthen the leadership of the Party and serve the economic and social development. The competent tax authorities in the State Council are responsible for invoice management throughout the country.The tax authorities of provinces, autonomous regions and municipalities directly under the Central Government shall, according to their duties, do a good job in invoice management within their respective administrative areas. Finance, auditing, market supervision and management, public security and other relevant departments shall, within the scope of their respective duties, cooperate with the tax authorities to do a good job in invoice management. Article 5 Specific measures for the administration of the types, copies, contents, coding rules, data standards and scope of use of invoices shall be formulated by the competent tax authorities of the State Council. Article 6 Any unit or individual may report acts that violate the laws and regulations on invoice management. The tax authorities shall keep confidential the informer and reward him as appropriate. Chapter II Printing of Invoices Article 7 Special invoices for value-added tax shall be printed by enterprises determined by the competent tax authorities of the State Council; Other invoices shall be printed by enterprises determined by the tax authorities of provinces, autonomous regions and municipalities directly under the Central Government in accordance with the provisions of the competent tax authorities of the State Council. It is forbidden to print, forge or alter invoices without permission. Article 8 An enterprise that prints invoices shall meet the following conditions: (1) Obtaining a printing business license and a business license; (two) the equipment and technical level can meet the needs of printing invoices; (three) a sound financial system and strict quality supervision, safety management and confidentiality system. The tax authorities shall determine the enterprises that print invoices in accordance with the relevant provisions of government procurement. Article 9 When printing invoices, the national unified anti-counterfeiting special products for invoices determined by the competent tax authorities of the State Council shall be used. It is prohibited to illegally manufacture special anti-counterfeiting products for invoices. Article 10 Invoices shall be overprinted with the unified national invoice producer seal.The style of the unified national invoice producer seal and the requirements for invoice layout printing shall be stipulated by the competent tax department of the State Council. The invoice producer seal shall be made by the tax authorities of provinces, autonomous regions and municipalities directly under the Central Government. It is forbidden to forge the seal of invoice producer. The invoice shall be changed irregularly. Article 11 Enterprises that print invoices shall, in accordance with the unified provisions of the tax authorities, establish invoice printing management systems and storage measures. The use and management of invoice producer seal and invoice anti-counterfeiting special products shall be subject to the system of special person in charge. Article 12 An enterprise that prints invoices must print invoices in the style and quantity determined by the tax authorities. Article 13 Invoices shall be printed in Chinese. Invoices in ethnic autonomous areas may be printed with a common local national language. If there is a practical need, it can also be printed in both Chinese and foreign languages. Article 14 Invoices used by units and individuals in provinces, autonomous regions and municipalities directly under the Central Government shall be printed in the provinces, autonomous regions and municipalities directly under the Central Government, except for special VAT invoices; If it is really necessary to print in other provinces, autonomous regions and municipalities directly under the central government, the tax authorities of the provinces, autonomous regions and municipalities directly under the central government shall determine the enterprises that print invoices after consultation with the tax authorities of the provinces, autonomous regions and municipalities directly under the central government. It is forbidden to print invoices abroad. Chapter III Receipt of Invoices Article 15 Units and individuals that need to receive invoices shall go through the formalities of receipt of invoices with the competent tax authorities with the establishment registration certificate or tax registration certificate and the identity certificate of the agent. Receiving paper invoices,It shall also provide the impression of the special invoice seal made according to the pattern specified by the competent tax department of the State Council. The competent tax authorities shall, according to the business scope, scale and risk level of recipients, confirm the types, quantities and methods of recipients’ invoices within 5 working days. When receiving invoices, units and individuals shall report the use of invoices in accordance with the provisions of the tax authorities, and the tax authorities shall conduct inspections in accordance with the provisions. Article 16 Units and individuals that need to use invoices temporarily may directly apply to the tax authorities in the place of business for issuing invoices on the basis of written certificates of buying and selling commodities, providing or receiving services and engaging in other business activities and the identity certificate of the agent. If taxes should be paid in accordance with the provisions of tax laws and administrative regulations, the tax authorities should collect taxes first and then issue invoices. According to the needs of invoice management, the tax authorities may entrust other units to issue invoices in accordance with the provisions of the competent tax authorities in the State Council. Illegal invoicing is prohibited. Article 17 A unit or individual who temporarily engages in business activities outside the province, autonomous region or municipality directly under the Central Government shall, on the strength of the certificate of the local tax authority, receive the invoice of the place of business from the tax authority of the place of business. Measures for collecting invoices for temporary business activities across cities and counties within the province, autonomous region or municipality directly under the Central Government shall be formulated by the tax authorities of the province, autonomous region or municipality directly under the Central Government. Chapter IV Issuance and Custody of Invoices Article 18 Units and individuals that sell commodities, provide services and engage in other business activities shall collect money from foreign business operations, and the payee shall issue invoices to the payer;Under special circumstances, the payer will issue an invoice to the payee. Nineteenth all units and individuals engaged in production and business activities shall obtain invoices from the payee when purchasing goods, receiving services and engaging in other business activities. When obtaining an invoice, it is not allowed to change the name and amount. Twentieth invoices that do not meet the requirements shall not be used as financial reimbursement vouchers, and any unit or individual has the right to refuse. Twenty-first invoices shall be issued in accordance with the prescribed time limit, sequence and columns, all of which shall be issued in one lump sum, and paper invoices shall be stamped with special invoices. No unit or individual may commit the following acts of falsely issuing invoices: (1) Issuing invoices for others and for themselves that are inconsistent with the actual business conditions; (two) let others issue invoices for themselves that are inconsistent with the actual business situation; (three) introduce others to issue invoices that are inconsistent with the actual business situation. Twenty-second units and individuals that install tax control devices shall use tax control devices to issue invoices in accordance with the provisions, and submit the invoice data to the competent tax authorities on schedule. Where non-tax-controlled electronic devices are used to issue invoices, the software program description data of non-tax-controlled electronic devices shall be reported to the competent tax authorities for the record, and the invoice data shall be kept and submitted in accordance with the regulations. Units and individuals that develop electronic invoice information systems for their own use or provide electronic invoice services for others shall abide by the provisions of the competent tax authorities of the State Council.Article 23 Any unit or individual shall use invoices in accordance with the provisions on invoice management, and shall not commit any of the following acts: (1) Lending, transferring or introducing others to transfer invoices, invoice producer seals and special anti-counterfeiting products for invoices; (2) Receiving, issuing, storing, carrying, mailing or transporting invoices that are printed, forged, altered, illegally obtained or abolished without authorization; (three) the use of invoices; (4) Expanding the scope of use of invoices; (5) Use other vouchers instead of invoices; (6) Stealing, intercepting, tampering, selling or disclosing invoice data. The tax authorities shall provide convenient channels for inquiring the authenticity of invoices. Twenty-fourth except for special circumstances stipulated by the competent tax authorities in the State Council, paper invoices are limited to recipients and individuals in the province, autonomous regions and municipalities directly under the central government. The tax authorities of provinces, autonomous regions and municipalities directly under the Central Government may prescribe measures for issuing paper invoices across cities and counties. Twenty-fifth except for special circumstances stipulated by the competent tax authorities of the State Council, no unit or individual may carry, mail or transport blank invoices across the prescribed use areas. It is forbidden to carry, mail or transport blank invoices into or out of the country. Twenty-sixth units and individuals that issue invoices shall establish a registration system for the use of invoices, cooperate with the tax authorities for identity verification, and regularly report the use of invoices to the competent tax authorities. Twenty-seventh units and individuals that issue invoices shall go through the formalities of changing or canceling the tax registration at the same time.Twenty-eighth units and individuals that issue invoices shall store and keep invoices in accordance with relevant state regulations, and shall not damage them without authorization. Stubs of invoices that have been issued shall be kept for 5 years. Chapter V Inspection of Invoices Article 29 The tax authorities have the right to conduct the following inspections in invoice management: (1) Check the printing, receiving, issuing, obtaining, keeping and cancellation of invoices; (2) Inspection of transferred-out invoices; (3) Consulting and copying vouchers and materials related to invoices; (4) Asking the parties about issues and situations related to invoices; (five) when investigating and handling invoice cases, you can record, record, video, photograph and copy the information and materials related to the case. Thirtieth units and individuals that print and use invoices must accept the inspection by the tax authorities according to law, truthfully reflect the situation and provide relevant information, and may not refuse or conceal it. Tax officials shall show their tax inspection certificates when conducting inspections. Article 31 When the tax authorities need to transfer the issued invoices out for inspection, they shall issue invoices to the inspected units and individuals to exchange tickets. The invoice exchange certificate has the same effect as the invoice transferred out for inspection. Units and individuals who have been transferred out to check invoices shall not refuse to accept them. When the tax authorities need to transfer blank invoices out for inspection, they shall issue receipts; If there is no problem after investigation, it shall be returned in time. Article 32 If the tax authorities have doubts about the invoices or vouchers related to tax payment obtained by units and individuals from outside China,They may be required to provide confirmation certificates from overseas notaries or certified public accountants, which can only be used as vouchers for accounting after being examined and approved by the tax authorities. Chapter VI Penalty Provisions Article 33 If anyone violates the provisions of these Measures in any of the following circumstances, the tax authorities shall order him to make corrections and may impose a fine of less than 10,000 yuan; Illegal income shall be confiscated: (1) invoices should be issued but not issued, or invoices are not issued in a lump sum in accordance with the prescribed time limit, sequence and columns, or special invoices are not stamped; (two) using the tax control device to issue invoices, and failing to submit the invoice data to the competent tax authorities on schedule; (3) using non-tax-controlled electronic devices to issue invoices, failing to report the software program description data used by non-tax-controlled electronic devices to the competent tax authorities for the record, or failing to save and submit the invoice data in accordance with regulations; (four) the use of invoices; (5) Expanding the scope of use of invoices; (6) Using other vouchers instead of invoices; (7) Invoicing across prescribed areas; (8) Failing to pay the cancellation invoices in accordance with the provisions; (9) Failing to store and keep invoices in accordance with regulations. Article 34 Whoever carries, mails or transports blank invoices across the prescribed use areas, or carries, mails or transports blank invoices into or out of the country, shall be ordered by the tax authorities to make corrections and may be fined not more than 10,000 yuan; If the circumstances are serious, a fine of not less than 10 thousand yuan but not more than 30 thousand yuan shall be imposed; Illegal income shall be confiscated. Lost invoices or damaged invoices without authorization,Punish in accordance with the provisions of the preceding paragraph. Thirty-fifth in violation of the provisions of these measures, the tax authorities shall confiscate the illegal income; If the amount of false issuance is less than 10,000 yuan, a fine of less than 50,000 yuan may be imposed; If the amount of false issuance exceeds 10,000 yuan, a fine of 50,000 yuan to 500,000 yuan shall be imposed; If a crime is constituted, criminal responsibility shall be investigated according to law. Whoever issues invoices illegally shall be punished in accordance with the provisions of the preceding paragraph. Article 36 Whoever prints, forges or alters invoices privately, illegally manufactures special products for anti-counterfeiting of invoices, forges invoices’ producer seals, and steals, intercepts, falsifies, sells or divulges invoice data, the tax authorities shall confiscate the illegal income, confiscate and destroy tools and illegal articles, and impose a fine of not less than 10,000 yuan but not more than 50,000 yuan; If the circumstances are serious, a fine of not less than 50,000 yuan but not more than 500,000 yuan shall be imposed; If a crime is constituted, criminal responsibility shall be investigated according to law. The punishment prescribed in the preceding paragraph shall be implemented in accordance with the provisions of the Law of People’s Republic of China (PRC) Municipality on the Administration of Tax Collection. Article 37 In any of the following circumstances, the tax authorities shall impose a fine of not less than 10,000 yuan but not more than 50,000 yuan; If the circumstances are serious, a fine of not less than 50,000 yuan but not more than 500,000 yuan shall be imposed; Illegal income shall be confiscated: (1) Lending, transferring or introducing others to transfer invoices, invoices producer seals and special anti-counterfeiting products for invoices; (2) Accepting, issuing, storing, carrying, mailing or transporting invoices that are printed, forged, altered, illegally obtained or abolished without authorization.Thirty-eighth units and individuals who violate the provisions on invoice management for more than two times or if the circumstances are serious, the tax authorities may announce to the public. Article 39 In case of violation of the laws and regulations on invoice management, resulting in non-payment, underpayment or fraudulent tax payment by other units or individuals, the illegal income shall be confiscated by the tax authorities, and a fine of less than 1 time of the unpaid, underpaid or fraudulent tax may be imposed. Article 40 If a party refuses to accept the punishment decision of the tax authorities, he may apply for administrative reconsideration or bring an administrative lawsuit to the people’s court according to law. Article 41 Tax officials who take advantage of their functions and powers to deliberately make things difficult for units and individuals who print and use invoices, or who violate the laws and regulations on invoice management, shall be punished in accordance with the relevant provisions of the state; If a crime is constituted, criminal responsibility shall be investigated according to law. Chapter VII Supplementary Provisions Article 42 The competent tax authorities in the State Council may, in accordance with the special business methods and business needs of the relevant industries, formulate measures for the administration of invoices in conjunction with the relevant competent departments in the State Council. The competent tax authorities in the State Council may, according to the special needs of the management of special VAT invoices, formulate specific measures for the management of special VAT invoices. Article 43 These Measures shall come into force as of the date of promulgation. The Interim Measures for the Administration of National Invoices issued by the Ministry of Finance in 1986 and the Interim Provisions on the Administration of Invoices for Enterprises with Foreign Investment and Foreign Enterprises issued by the former State Taxation Bureau in 1991 shall be abolished at the same time.

Today’s "Good Morning Olympics" includes: China won the Olympic gold medal again in fencing after 9 years, and the foreign teachers carried the champion on their shoulders; A major mistake of Japanese gymnastics brother missed the horizontal bar final; The funeral of the assassinated president in Haiti was interrupted by gunshots; Heavy rains in India have killed 125 people.

Click on the phone to see the big picture-

Global focus

China once again won the Olympic gold medal in fencing after 9 years, and the foreign teachers carried the champion on their shoulders.

On July 24th, Beijing time, in the women’s individual epee final of the fencing event of the Tokyo Olympic Games, China’s Sun Yiwen (right) defeated Romanian popescu 11-10 to win the championship. French foreign teacher Yuge Oberli carried Sun Yiwen on her shoulders and finally gave Sun Yiwen a five-star red flag.

Oberli and Sun Yiwen celebrate winning the championship. Oberli was a legendary fencer in the world when he was an athlete-he won the individual silver medal in men’s epee at the 2000 Sydney Olympic Games and the gold medal in men’s epee team at the 2004 Athens Olympic Games. After 2014, Oberli led the French epee team to win the World Championships and the World Cup for many times, and led the French men’s epee team to win the team championship at the Rio Olympic Games. Since September 2016, Oberli has been the coach of men’s and women’s epee team of China fencing team.

Big mistake of Japanese gymnastics brother missed the horizontal bar final.

On July 24th, Beijing time, the first competition day of competitive gymnastics was held in Tokyo Olympic Games. In the ongoing men’s qualifying competition, Uchimura Kohei, the first Japanese gymnast, made a major mistake in the horizontal bar event and dropped his equipment, so he missed the horizontal bar final.

　

Wu Jingyu lost the taekwondo women’s 49 kg resurrection and missed the bronze medal.

On July 24th, Beijing time, Wu Jingyu lost to Serbian teenager 9-12 in the women’s 49kg Taekwondo resurrection of the 2020 Tokyo Olympic Games, and missed the bronze medal.

A quick tour of the world

The funeral of Haitian assassinated President moise was held, and the scene was interrupted by a sudden gunshot.

On July 23rd, 2021, in Cap Haitien, Haiti, the funeral of Haitian President moise was held. At the funeral, moise’s widow Martina spoke alternately in French and Creole. However, the funeral was interrupted by gunfire and protests nearby. A high-level American delegation attending the funeral left urgently, while other dignitaries hid in the car to avoid danger.

Continuous heavy rainfall in the Philippines caused floods and more than 15,000 people were evacuated.

On July 24th, 2021, local time, people rode through the flooded road in rizal province. Due to the continuous heavy rainfall in recent days, floods occurred in many places in the Philippines, and more than 15,000 people were evacuated.　

Heavy rains in India have killed 125 people. Modi: Providing assistance to the affected people.

On July 24th, 2021, in Maharashtra, India, people trapped in the flood were rescued. It is reported that heavy rain caused landslides and other accidents in the local area, and the death toll has risen to 125. Experts say that Maharashtra, India, suffered the worst rainfall in 40 years in July.

New confirmed cases reached a new high in a single day, and New South Wales, Australia, entered a state of emergency.

On July 24, 2021, in Sydney, Australia, pedestrians walked across the empty Sydney Opera House. New South Wales, where Sydney, Australia’s largest city, is located, declared a "state of emergency" on the 23rd. According to the Australian Broadcasting Corporation, as of 8: 00 pm on the 22nd, there were 136 new confirmed cases in COVID-19 in the past 24 hours, and one new death case. The number of newly confirmed cases in a single day reached a new high.

Lake water in Argentine village was polluted and turned pink.

On July 23rd, 2021, local time, in the province of Chubat, Patagonia, Argentina, the lagoon in the local village became a "pink sea". This color is caused by sodium sulfite preservative, which pollutes local river water and urban water.

　China’s giant panda Huanhuan will give birth to twins.

On July 23rd, 2021, Aignan, France, Bauvalle Wildlife Park announced that Huanhuan, a giant panda from China, would give birth to twins. Following the discovery of the first embryo in Huanhuan’s womb on the 20th, the zoo veterinarian found the second embryo on the other side of Huanhuan’s uterus on the 23rd when doing ultrasound examination for Huanhuan.

On the morning of July 25th, 2021, in Zhongtan Road, Putuo District, Shanghai, a vegetable delivery brother who bought vegetables ding-dong delivered the bill through the stagnant water section. The Central Meteorological Observatory predicts that "Fireworks" will move to the north-north direction at a speed of 15-20 kilometers per hour, and will land in the coastal area from Xiangshan, Zhejiang to Qidong, Jiangsu from noon to evening today. On the morning of 25th, Weibo @ Shanghai Weather, the official of Shanghai Meteorological Bureau, said in the comment area that the possibility of landing in Shanghai was not ruled out.

This article pictures Xinhua News Agency, people’s vision, and vision.　

CCTV News:Let’s look at the series of reports of "High-quality Development Research Bank". If basic research is a breakthrough from 0 to 1, then the industrialization of scientific research results is a leap from 1 to 10. In the process of high-quality development, it is very important to realize this leap. Facing the gap between scientific research and industry, Shanghai, which has strong scientific research strength, is looking for a way to solve it. Recently, Pudong New Area has released a list of the supply and demand sides of scientific research transformation. What’s the effect? Let’s watch the reporter’s investigation together.

When the reporter came to Shanghai Pudong New Area Science and Technology Commission, the staff were busy sorting out the latest docking situation. A few months ago, they launched a public service platform to collect technology and innovation needs for the whole society. Unexpectedly, more than 120 items were collected soon.

Enterprises need core technology, but they can’t find innovative resources. Scientific research institutions have innovative achievements, but they don’t know how to transform them. Even Shanghai, the "capital of innovation", is facing this practical problem. The heads of some scientific research institutions frankly told reporters that the crux of the problem lies in the imbalance between supply and demand of innovative resources.

How to get through the blocking point and cross the gap from academic to industrial? Shanghai established the Achievement Transformation Center of China Academy of Engineering, opened large scientific facilities to large enterprises, and built embedded innovation spaces in science and technology zones such as Lingang and Zhangjiang, which awakened a large number of sleeping scientific research resources.

In order to help enterprises accurately find the source of innovation, at the beginning of this year, Pudong New Area publicly collected the demand for scientific and technological innovation for enterprises in the fields of information technology, biomedicine and artificial intelligence for the first time, formed a "list" of scientific research projects, published it on public platforms, and docked the corresponding enterprises or research institutes by "revealing the list".

A platform to build a bridge of "two-way going"

In just a few months, seven major scientific research projects have been achieved, and the role played by this "list" cannot be underestimated. So, what is the current progress of the first batch of projects? What is the story behind their "two-way trip"? Continue to look at the reporter’s investigation.

This docking is undertaken by the Yangtze River Delta National Technology Innovation Center. When the reporter came to the China Innovation Center, he was catching up with the first batch of projects in-depth docking, and talked about topics such as joint research and talent training. The two sides talked endlessly.

Yang Weizhong is the head of a chemical fiber manufacturing enterprise. Because a key technology has not been solved, his industrial renewal has been stagnant. This time, he issued a scientific research demand with a try attitude. I didn’t expect to get a response from a professional research institute in Jiangsu three days later, and the scientific research results that the other party had painstakingly studied for more than a year also had a place to use.

Guochuang Center is a national scientific research and innovation platform with rich innovation resources. Here, the reporter saw many industrialization achievements. However, the relevant person in charge told reporters with regret that many scientific research results are still idle on the bookshelf.

The transformation from technology to industry requires deep cooperation and repeated polishing between scientific research institutes and enterprises. This process is long and trivial. Without a good cooperation mechanism, it often fails on the way. As an important platform for Industry-University-Research’s integration in the Yangtze River Delta region, the Innovation Center is building a variety of new R&D carriers to help scientific research institutions, enterprises and even the government adopt various modes of cooperation.

Cross-border integration to create a "tropical rainforest" innovative ecology

From the reporter’s investigation, we can easily see that once the supply and demand of scientific research and industry are blocked, it will stimulate new impetus and even produce new industries and tracks. It is precisely because of this that Shanghai Pudong is accelerating cross-border integration, creating a "tropical rain forest"-style innovative ecology and accelerating the layout of future industries such as artificial intelligence.

In Shanghai Institute of Advanced Studies, Zhejiang University, a research on new drugs is under way. Different from the traditional cytological research, researchers use artificial intelligence technology to analyze the protein structure of bacteria. Team members come from computer, physics, biology and other disciplines. Interdisciplinary research like this has been widely carried out in many fields.

Relying on the interdisciplinary research platform based on computing, Shanghai Pudong is laying out the artificial intelligence industry, and through the opening of innovation centers by large enterprises, it will form a collaborative innovation ecology in which large, medium and small enterprises are United and Industry-University-Research is integrated, so as to accelerate the transformation of scientific research into technology and empower thousands of industries.

Not long ago, Pudong also opened the intelligent networked automobile test demonstration zone to the society.

CCTV reporter:The road around me is the first open test road for self-driving cars in the central city of a megacity in China. At the scene, we saw that intelligent networked cars were tested on the road from time to time. This road is equipped with complex road conditions and multiple traffic lights, which can meet the application of multiple scenarios including intelligent driving and intelligent parking.

In the subsequent experience, the reporter learned that this section of road can not only meet the technical test requirements, but also be standardized in terms of road rights and driving rules, and constantly meet the needs of industrial innovation and application.

In addition to "future cars", Pudong also takes six hard-core industries such as "innovative drugs", "China Core", "intelligent manufacturing", "blue sky dream" and "data port" as the main direction in the future, and accelerates the promotion of all these key industries to the scale of "100 billion".

Villi, Director of Science, Technology and Economic Committee of Pudong New Area:Give full play to the strategic role of scientific and technological innovation, build a innovation chain from basic research, technical research to the transformation and application of achievements, lay out new tracks around five areas, such as future information, future health, future intelligence, future energy and future space, cultivate future industrial clusters and promote high-quality economic development.

Try first, break the ice. Strong scientific research strength has given Shanghai Pudong a foundation from 0 to 1. Nowadays, as a leading area of socialist modernization, it is accelerating the deep integration of innovation chain and industrial chain, and striving to cross the gap from 1 to 10. We have reason to believe that with the continuous improvement of innovation ecology, Pudong will achieve a continuous breakthrough from 10 to 100 in the future.

Wen | Wu Moment, author | Robbery of Darts

As a former executive of Alstom France, Pieruzzi is called the protagonist of "French version of Meng Wanzhou incident".

In 2013, Pieruzzi was arrested by the U.S. Department of Justice at JFK International Airport, charged with a business corruption case in Indonesia in 2003. In September 2018, after Pieruzzi was freed from prison, he wrote the book "American Trap" based on his personal experience. So far, the whole story of General Electric’s acquisition of Alstom, which was regarded as the shame of France, was declassified.

In the past decade, American legal and regulatory authorities have taken extraterritorial legal actions against many large foreign companies. Large companies that have been under the threat of "long-arm jurisdiction" in the United States for a long time have almost reached the point where everyone fears for himself.

Alstom was founded in France in 1928, and it is a leading enterprise in power generation and rail transit infrastructure in the world.

It is understood that a quarter of the global power stations come from Alstom’s equipment. In 2013, there were 58 nuclear reactor turbogenerators in France, which were manufactured and maintained by Alstom. In France, 75% of the production equipment in the store came from Alstom, even including the propulsion turbine of Charles de Gaulle aircraft carrier. Known as "the crown of French power equipment industry".

Therefore, the global power business targeted by GE is also related to France’s economic and strategic security.

In 2003 and 2008, Alstom was caught in the suspicion of commercial corruption. In 2003, Alstom was faced with debt and was on the verge of bankruptcy. With the help of then French Minister of Economy and Finance Sarkozy, it was only through the government’s repurchase of 20% assets that it was able to continue its life. Later, it was only by the order of Tallahan Power Plant in Indonesia that it was brought back to life.

Subsequently, in an audit report of KPMG Fides Peat in Switzerland in 2004, it was found that Alstom used the records of transfer from several offshore shadow companies, with a total amount of 20 million euros. Alstom was also found to have opened accounts in Liechtenstein, Switzerland, the United States, Singapore, Hong Kong, Thailand and Bahrain, and transferred more than $12 million to personal accounts in Venezuela, Singapore, Thailand and China through these accounts.

In 2008, a former Alstom employee said that some European companies had long acquiesced in paying kickbacks to foreign officials or customers, especially in the 1990s. In the early days, some countries even stipulated that companies could get a maximum tax reduction of 7.5% if they reported to the tax authorities.

American multinational companies have strongly protested against this, believing that it will put American enterprises at an extremely unfavorable competitive disadvantage, which is particularly obvious when entering the market of developing countries.

Alstom, which was not "clean" originally, received an offer from General Electric at this time.

After the global financial tsunami in 2008, GE Capital, which contributed 40% of GE’s annual income, began to return to manufacturing. Holding more than 50 billion yuan without cash, even if the opponent is in France with strong "economic patriotism", GE is determined to win. Where does it come from?

A French company engaged in business activities in Indonesia, but its executives were arrested while on a business trip in the United States, which is such an incredible thing in the eyes of ordinary people.

The "reasonable explanation" presented by the police to Pieruzzi was actually hidden in the US Department of Justice, because in this case, the Ministry of Justice used two key laws — — Foreign Corrupt Practices Act and Long-arm Jurisdiction.

The Foreign Corrupt Practices Act was originally a law aimed at preventing American enterprises from engaging in bribery overseas. However, in the second amendment in 1998, it was stipulated that it also had jurisdiction over corrupt acts of foreign enterprises overseas.

The long-arm jurisdiction is easy to understand, and the explanation given by European tradesmen is: "If the arm is long, everything should be taken care of".

When the defendant has a "minimum contact" with a certain state in the United States, for example, the defendant’s enterprise has a branch in the United States, or only communicates through the American mail system and transfers money through American banks, the United States will think that it has jurisdiction.

In other words, when implementing the Foreign Corrupt Practices Act, the U.S. Department of Justice has the right to sue any overseas company under the preset long arm jurisdiction.

Facts have proved that the Foreign Corrupt Practices Act and the long-arm jurisdiction have actually become important legal tools for the United States to achieve the national strategic goal of "re-industrialization" by non-economic means and help American enterprises make profits, and have become an important part of General Electric’s acquisition of Alstom, France.

With the active cooperation of the Ministry of Justice, General Electric successfully won Alstom, the pearl of French industry.

In the process of acquisition, the U.S. Department of Justice took the initiative to cooperate with GE three times.

1. Arrest Pieruzzi. In Pieruzzi’s self-report, the U.S. prosecutor had expressed the hope that Pieruzzi would become his informant in Alstom. After being rejected, the Ministry of Justice gave him two choices.

One option is to plead not guilty and stand trial. Therefore, the Ministry of Justice will strive for the court to sentence him to 15 to 19 years in prison. He was told that the preparation for the trial would last three years and cost millions of dollars.

Another option is to plead guilty and cooperate with the American authorities, and only need to be locked up for a few more months before you can go out. The email provided by the US Department of Justice shows that Pieruzzi is an insider even if he does not encourage bribery — — Confessing to this part of the crime will only result in him being sentenced to a maximum of six months in prison, and he has served more than half of his sentence.

When Pieruzzi finally succumbed to the pressure and signed the plea agreement, the American judicial authorities still imprisoned him for more than five years, and he was not freed until 2008.

2. coerce the CEO to submit. Pierucci’s claim that he has become an "economic hostage" carries considerable weight, and the arrest shocked Alstom’s top management. About 30 executives were warned not to go to the United States to avoid repeating the mistakes of Pieruzzi.

By the spring of 2014, in order to put pressure on Alstom to cooperate with the US Department of Justice, the US authorities arrested at least three former colleagues of Pieruzzi. By inserting an informant, I got a 49-hour secret conversation recording inside Alstom.

At this point, CEO Bai Kelong can only take the lead, and secretly contact with GE executives to discuss the acquisition. After the acquisition was completed in 2015, an official of the US Department of Justice said that Alstom was not willing to sit down and negotiate until we started arresting their executives.

3. Push back Siemens. After learning about the secret conversation between Bacron and GE, Siemens suddenly stepped in and asked for the establishment of a joint venture with Alstom, which was followed by the invitation of Monteberg, then Minister of Industry of the French government. Obviously, Germany, as France’s EU partner, Siemens’ acquisition of Alstom is more in line with France’s national interests than that of American enterprises.

However, the Ministry of Justice warned Siemens that if it formed a joint venture with, the company would face a fine of $1 billion (in 2006, Siemens was accused by the United States of bribery in Argentina and Venezuela, and two years later, Siemens pleaded guilty and paid a fine of $800 million, and CEO von Pierre resigned).

In the end, the European Commission approved the acquisition on September 8, 2015 under the lobbying of the interests of all parties. Alstom was "dismembered": its core energy and electricity business was forced to be sold to American companies, and the company’s business was only rail transit. The Economist, a well-known economic journal, commented in the article that the investigation by the US Department of Justice distorted Alstom’s process of selling assets and created an advantage for potential American buyers.

In 2015, Mark Kong Lung took over as Minister of Economy. He tried to start an inquiry about the acquisition, but he finally gave up. "I believe that there is a causal relationship between the investigation by the US Department of Justice and the sale of Alstom assets, but … … I have no evidence. "

"Pieruzzi is the epitome of French tragedy," French historian Fran? ois Godement admitted frankly in 2016. "At least in industry, France and even Europe have long been conquered by the United States, and we are powerless in the global competition."

When we mention General Electric, we always think of a great name — — Edison. The story of Electric Light Wire is accompanied by several generations’ childhood memories. Today, GE once again appeared in the Wall Street Journal. The title of the article has become "The Dilemma of General Electric: How a company that defined the" American Age "went into decline". In 2018, the overall share price fell by more than 50%, which was nearly 90% lower than the high point in 2000.

High-tech industry, as one of the four pillars of the United States, has now ushered in a challenger from China — — Huawei.

Will Huawei be the next Alstom? Recent performance has shown that Huawei is strong enough to leverage and tear a hole in the rules built by American enterprises and government alliances.

How can we subvert the existing organizational system rules? Mihali, the author of "Flow", introduced in "Creativity: Flow and Innovation Psychology" that the disintegration process has a unique dynamics in the face of rules determined by the contrast of forces:

The first is unimodal preference, and the challenger faces a tough counterattack from conservatives, followed by sub-conservatives.

In the process of disintegration, confrontation will gradually evolve into a "double-peak preference". Conservatives still don’t like you, but they don’t like the sub-conservatives who are not so strongly opposed, and they are caught in internal struggles. The small differences are worse than the sky: the enemy is hateful, the "traitor" is even more hateful, and those who are different from me are traitors. At this point, congratulations, you will win.

Under the blockade, Huawei has also received the support of some "sub-opposition parties". Ren Zhengfei’s answer is: if you get more help, you will get less help.

"We can also make chips like American chips, but that doesn’t mean we won’t buy them."

"We will not narrowly exclude American chips easily and grow together, but if there is a supply difficulty, we have a backup. We are at ‘ Peacetime ’ Half of them are from American chips and half are from Huawei. We cannot be isolated from the world. "

"Huawei’s 5G will not be affected. In terms of 5G technology, others will definitely not catch up with Huawei in two or three years."

In addition, Ren Zhengfei also stressed in his previous public interviews with Japan and Britain that no-spy agreements can be signed. In the face of absolute strength, we see Huawei’s confidence.

After being released on bail, Meng Wanzhou made a circle of friends with Huawei’s propaganda pictures of ballet feet as a picture.

Behind greatness is suffering, and behind continuous greatness is continuous suffering. Restricting Huawei’s development is only a means for the United States to try to maintain its superpower hegemony once again. Whether it is Alstom, its ally, or Huawei in fair trade, what it can’t restrain is the long arms that the United States constantly wants to extend.

At present, it is a pity that the 75-year-old man said when talking about his family: "What I am most sorry for in my life is my children. I was too busy when I started my business, and I had little time to communicate with them. When I was young, my company was in a desperate struggle for survival, and I often had little contact with children for several months. I owed them."