1. The qualifications for conducting foreign trade, the scope of the operation, and the type of application.

According the Related Rules on the Management of Qualifications Concerning the Operation of Import and Export, with the purpose of accelerating the reform of the institution of foreign trade operation, promoting and normalizing the foreign trade operation for all types of enterprises, Shanghai adopts the registration and approval approach in the application for qualification of foreign trade operation by enterprises in Shanghai in accordance with the principles of autonomous amplification, fairness and transparency, uniform specification and supervision according to law. All types of ownerships (excluding foreign capital enterprises) are subject to the uniform criterion and management approach.
(1) Rights of operation in foreign trade circulation and scope of operation:
The import and export of all kinds of goods and technology (excluding those goods and technology prohibited from import and export or restricted to authorized corporation)

Approval of an application for the operation of foreign trade.

The right to engage in foreign trade and the scope of operation:

The export of products manufactured by the enterprise itself and the export of the machinery, equipment, accessories and spare parts, raw materials and additional materials needed by the enterprise.(excluding those goods and technologies prohibited from import and export or restricted to authorized corporations); the "enterprise itself" includes the member enterprises of the enterprise.

The Ministry of Foreign Economic & Trade and Shanghai Foreign Economic & Trade Commission do not list the methods of conducting trade particularly when approving or registering the enterprise's operation scope. The enterprise may conduct the import and export business in various methods of trade according to related national regulations.

2. The qualifications of enterprises applying for the rights of operation in foreign trade, and the materials required to be submitted.

1.Applying for the rights to operate in foreign trade.

Qualifications.

A. The enterprise shall have legal personnel and shall have been established for more than one year. The enterprise must be registered with the administrative department for industry and commerce, secure a Legal Enterprise Business License, complete the procedures for the business (annual audit and passing the audit).
B. The registered capital shall not be less than RMB 5 million (no less than RMB 3 million for enterprises set up in Pudong New Area).
C. The enterprise must go through tax registration, pay taxes lawfully, complete the procedures for annual tax audit and pass the audit.
D. The statutory representative or leading official of the enterprise must not, in the past three years, have acted as the statutory representative or leading official of an enterprise whose License for Foreign Trade Operation was cancelled. (This means that during the statutory representative or leading official's term of office, the License for Foreign Trade Operation was not cancelled for a violation of the law.)

Materials required to be submitted.

A. Complete the Application Form for Foreign Trade Operation in Shanghai.
B. Complete a written application. (include a brief introduction of the nature of the enterprise, components of the investment and the main business; business conditions in recent years, the reasons for and the type of application.)
C. A copy of the duplicate annual audited Business License of the Enterprise by the Legal Representative (signed and sealed by administrative department for industry and commerce).
D. A copy of the annual audited Certificate of Tax Registration.
E. A copy of the Certificate of Code of Organization in the State
F. A copy of identification documents of the Legal Statutory representative registered on the Business License of Enterprise.
G. Documentary evidence of the investment share of the stockholders of the enterprise.
These copies shall be attached to the original documents for examination.

Application for the rights to engage in foreign trade.

Qualifications.

A. The enterprise shall be the enterprise with legal personnel, or the individual proprietorship or partnership enterprise (hereinafter referred to as the enterprise). It must register with the administrative department for industry and commerce, securing a Business License for Legal Representative of the Enterprise or the Business License.
B. The registered capital shall not be less than RMB 3 million (no less than RMB 1 million for research institutes, high and new tech enterprises or machinery and electrical enterprises)
C. The enterprise must go through tax registration and pay taxes lawfully.
D. The statutory representative or leading official of the enterprise must not, in the past three years, have acted as the statutory representative or leading cadre of an enterprise whose License for Foreign Trade Operation was cancelled.(It means that during the statutory representative or leading cadre's office term , the License for Foreign Trade Operation was not cancelled for a violation of law.)

Materials required to be submitted.

A. Complete the Application Form for Foreign Trade Operation in Shanghai.
B. Complete a written application. (Include a brief introduction on the nature of the enterprise, components of investment and main business; business conditions in recent years, the reasons for and the type of application.)
C. A copy of the duplicate annual audited Business License of Enterprise Legal Person (signed and sealed by administrative department for industry and commerce).
D. A copy of annual audited Certificate of Tax Registration.
E. A copy of the Certificate from the Code of Organizations in the State
F. A copy of identification documents of the statutory Legal representative registered in the Business License for the Enterprise or of the person in charge who is registered on the Business License.
G. The individual proprietorship and partnership enterprise shall submit the Capital Inspection Report issued by an accounting firm, auditing firm or other qualified capital-inspecting department.
H. High & new tech enterprises, and machinery and electrical appliance enterprises shall submit copies of certificates issued by the appropriate technology department or other related department.
The copy materials shall be attached to the original documents for examination.