Laws of the People's Republic of China

Circular by the Ministry of Labor and Social Security, the Ministry of Commerce, the State Administration for Industry and Commerce on Permitting Hong Kong/Macao Service Providers to Establish Solely-funded Job Intermediary Institutions in the Mainland

No. 26 [2005] of the Ministry of Labor and Social Security

The bureaus of labor and social security, commerce administrative departments and administrative departments for industry and commerce of all provinces, autonomous regions or municipalities directly under the Central Government,

The mainland has signed the Supplementary Agreement on Mainland/Hong Kong Closer Economic Partnership Arrangement and the Supplementary Agreement on Mainland/ Macao Closer Economic Partnership Arrangement (hereinafter referred to as the CEPA) respectively with Hong Kong and Macao on October 27 and October 29, 2004, which have come into force on January 1, 2005. In order to implement the CEPA, we hereby make the following notices on relevant issues:

1.

Hong Kong service providers and Macao service providers may establish solely-funded job intermediary institutions with a minimum registered capital of 125, 000 U.S. dollars.

The Hong Kong service providers and Macao service providers as mentioned in the present Circular shall conform to the definition of the "service provider" in the CEPA and satisfy the requirements of the relevant provisions.

2.

The other procedures for Hong Kong service providers and Macao service providers to establish solely-funded job intermediary institutions in the Mainland shall be executed according to the Interim Provisions on the Establishment of Sino-foreign Equity Joint and Sino-foreign Contractual Job intermediary institutions.

The Ministry of Labor and Social Security

The Ministry of Commerce

The State Administration for Industry and Commerce

October 28, 2005