Issue 101

Shanghai Weekly Bulletin

No.2,July 2025

Shanghai Weekly Bulletin is an information service presented by the Foreign Affairs Office of Shanghai Municipal People’s Government in collaboration with Wolters Kluwer to foreign-funded enterprises, foreign-related institutions as well as people from overseas living in Shanghai. Covering major national and Shanghai foreign-related news, event information, policy Q&A and interpretations in the past week, it keeps you up-to-date with the latest foreign-related policies and developments in Shanghai.

 

Laws and Regulations

【National】

1.China Replicates and Promotes Pilot Measures of China (Shanghai) Pilot Free Trade Zone

【Keywords: Pilot free trade zone】

 

On July 2, the Notice of the State Council on Fully Aligning Free Trade Pilot Zones with International High-standard Economic and Trade Rules and Advancing the Replication and Promotion of High-level Institutional Opening-up Pilot Measures was issued. The document aims to fully leverage the experiences of the China (Shanghai) Pilot Free Trade Zone in aligning with high-standard international economic and trade rules. The initiative seeks to further unleash the institutional dividends of reform and promote deeper-level reforms and high-quality development through high-standard opening-up.

 

Source:Website of the Chinese Government

https://www.gov.cn/zhengce/content/202507/content_7030496.htm

 

2.Three Authorities Release Tax Credit Policy for Foreign Investors Making Direct Investments with Distributed Profits

【Keywords: Foreign investors, Direct investment, Tax credit】

 

Recently, the Ministry of Finance (MOF), the State Taxation Administration, and the Ministry of Commerce jointly issued the Announcement on the Tax Credit Policy for Foreign Investors Making Direct Investments with Distributed Profits. According to the Announcement, if a foreign investor uses distributed profits from a Chinese resident enterprise for eligible direct investment within China during the effective period of the Announcement, a tax credit equivalent to 10% of the investment amount may be applied to the investor’s payable tax for the year. Any unused portion may be carried forward to subsequent years. The Announcement is valid from January 1, 2025 to December 31, 2028.

 

Source:MOF

http://szs.mof.gov.cn/zhengcefabu/202506/t20250630_3966887.htm

 

3.16 Measures to Support High-quality Development of Innovative Drugs

【Keywords: Innovative drugs】

 

The National Healthcare Security Administration (NHSA) and the National Health Commission recently issued the Measures to Support the High-quality Development of Innovative Drugs. The document outlines 16 targeted actions across five key areas, namely, strengthening R&D support for innovative drugs, facilitating their inclusion in the national basic medical insurance drug list and commercial health insurance drug catalogues, promoting clinical application of innovative drugs, enhancing diversified payment capabilities, and reinforcing supporting measures.

 

Source:NHSA

https://www.nhsa.gov.cn/art/2025/7/1/art_104_17058.html

 

【Shanghai】

 

1.Shanghai Further Enhances the “Invest in Shanghai” Brand

【Keywords: Invest in Shanghai】

 

The Office of Shanghai Investment Promotion Leading Group recently released Several Measures to Further Enhance the “Invest in Shanghai” Brand through Enhanced Services and an Improved Business Environment. The document outlines 13 concrete actions across four key areas, namely, efficient policy resources alignment, tailored support for project implementation, comprehensive services for project advancement, and cultivation of a market-oriented investment promotion environment.

 

Source:Shanghai Municipal Commission of Economy and Informatization

 

2.Several Measures for the Special Action to Promote Cross-border Trade Facilitation at Shanghai Ports in 2025 Released

【Keywords: Cross-border trade, Facilitation】

 

The Shanghai Municipal Commission of Commerce, together with nine other departments and authorities, recently issued Several Measures for the Special Action to Promote Cross-border Trade Facilitation at Shanghai Ports in 2025. The document puts forward 31 initiatives across five key areas, including optimizing regulatory models to enhance trade facilitation in goods, strengthening logistics networks to elevate Shanghai’s role as a logistics hub, and intensifying policy support to foster new business models and trade formats.

 

Source:Shanghai Municipal Commission of Commerce

https://sww.sh.gov.cn/zwgkgfqtzcwj/20250627/d257daa63b314ef49ab458871a69e121.html

 

3.Shanghai Standardizes the Management of Residence Permits for Overseas Talent

【Keywords: Overseas talent, Residence permits】

 

The Shanghai Municipal People’s Government recently released the Administrative Measures for Residence Permits for Overseas Talent in Shanghai. These measures took effect on July 1, 2025, and will remain valid until June 30, 2030. 

 

Source:International Services Shanghai

https://english.shanghai.gov.cn/en-Latest-TalentsinShanghai/20250702/a72b41aae93447b69b1e8435543f05a9.html

 

4.Shanghai Further Improves Tax Refund Environment for Departing Visitors

【Keywords: Tax refund for departing visitors】

 

The Shanghai Municipal Commission of Commerce, together with five other authorities, recently released the Shanghai Action Plan for Optimizing the Tax Refund Environment for Departing Visitors (2025–2027). The plan sets targets for 2027, including increasing the number of tax refund stores to over 3,000 and refund service outlets to more than 10,000. Over 80% of stores will offer instant tax “refund upon purchase” service, and more than 80% of major commercial areas will have centralized refund service counters. In addition, central areas with high inbound visitor traffic will achieve full coverage of tax refund stores.

 

Source:Shanghai Municipal Commission of Commerce

https://sww.sh.gov.cn/zwgkgfqtzcwj/20250703/226eeedb57b64973b16dd759ef908207.html

 

5.Shanghai Financial Court Releases Several Opinions to Serve and Support the Development of the “Five Key Financial Pillars”

【Keywords: Five Key Financial Pillars】

 

The Shanghai Financial Court recently released Several Opinions on Serving and Supporting the Development of the “Five Key Financial Pillars”. The document outlines targeted measures across five key domains, namely, supporting sci-tech finance to foster innovation in new-quality productive forces, promoting green finance to facilitate the transition toward a green and low-carbon economy, advancing inclusive finance to enhance social well-being and stability, strengthening pension finance to contribute to the sound growth of the silver economy, and developing digital finance to support the steady rise of the smart economy.

 

Source:Shanghai Financial Court

 

One Week in Shanghai

 

【Latest News】

 

1.2025 “Shanghai Summer” International Consumption Season Kicks Off

【Keywords: Shanghai Summer】

The 2025 “Shanghai Summer” International Consumption Season will take place from July to October 2025. The “Shanghai Summer” will focus on making it easy for global travelers to visit, enjoy, and shop. With a variety of “activities, products, services, and policies”, it aims to fully showcase the vibrancy and charm of Shanghai in summer.

 

Source:International Services Shanghai

https://english.shanghai.gov.cn/en-EditorsPick-ShopinShanghai/20250702/6ec2ac8924b44b23808afd5fb736574b.html

 

2.LEGOLAND Shanghai Resort Officially Opens

【Keywords: LEGOLAND】

 

On July 5, the opening ceremony of LEGOLAND Shanghai Resort and the launch of the Shanghai Tourism Festival Summer Tourism Season were held in Jinshan District, Shanghai. The resort’s completion stands as a model of international cultural and tourism cooperation. After a decade of planning, it brings together the expertise and efforts of over 10,000 builders from more than 300 teams across 15 countries.

 

Source:Shanghai Release

 

3.“This Is Shanghai” Global Short Video Collection Initiative Officially Launched

【Keywords: Short video collection】

The “This Is Shanghai” Global Short Video Collection Initiative was officially launched recently. Initiated by the Information Office of Shanghai Municipal People’s Government and organized by Shanghai Media Group DocuChina Co., Ltd, the campaign invites creators worldwide to submit high-quality micro-documentaries or short videos up to five minutes in length. It encourages creators to focus on Shanghai and use authentic, diverse visual storytelling to document and share the vibrancy of the city. Submissions are open until October 31, 2025.

 

Source:Shanghai Release

 

4.“Hongqiao Overseas Development Service Center – G60 Go Global Service Center” Officially Unveiled

【Keywords: Hongqiao, Go Global Services】

 

The “Hongqiao Overseas Development Service Center – G60 Go Global Service Center” was officially unveiled at the 2025 Yangtze River Delta G60 Sci-Tech Innovation Corridor Joint Conference and the Sci-Tech Achievement Commercialization Conference. The new center will leverage the resource advantages of the Hongqiao International Central Business District to launch a series of themed events, providing one-stop go-global solutions to enterprises across the Yangtze River Delta region.

 

Source:Shanghai Municipal Development and Reform Commission

 

【Corporate Activities】

 

1.International Industrial Park for Japanese SMEs Officially Opens

【Keywords: Japanese enterprises】

 

On July 2, the opening ceremony of the International Industrial Park for Japanese SMEs was held in the Lin-gang Special Area. A total of 10 companies, including Shimadzu Laboratory Instruments, Takumi Innovators, TBM Eco-friendly Materials, and RobotBank, have moved into the park.

 

Source:Shanghai Lin-gang

 

2.Lexus New Energy Project Breaks Ground in Jinshan, Shanghai

【Keyword: Lexus】

 

The construction of the Lexus New Energy Project has officially commenced in Jinshan District, Shanghai, with the groundbreaking ceremony held recently. The factory is expected to be completed by August 2026 and begin production in 2027. With an initial annual production capacity of approximately 100,000 vehicles, the facility will serve not only the Chinese market but also Japan and other overseas markets.

 

Source:Shanghai Municipal Commission of Economy and Informatization

 

3.ZF Remanufacturing Center Opens in Yangshan Special Comprehensive Bonded Zone

【Keyword: ZF】

 

The ZF Remanufacturing Center has officially opened in the Yangshan Special Comprehensive Bonded Zone. It will be built into the company’s Asia-Pacific remanufacturing headquarters. By leveraging the ZF Group’s technological innovation capabilities, the open and innovative policies of the Lin-gang Special Area, and the advantages of global industrial chain collaboration, the center will achieve a strategic transformation from “localized services” to a model that serves the entire Asia-Pacific region and connects with global markets.

 

Source:Shanghai Lin-gang

 

【Culture & Art】

 

1.36th Shanghai Tourism Festival Grandly Unveils

【Keywords: Shanghai Tourism Festival】

 

The 36th Shanghai Tourism Festival will run from July to October. For the first time, the festival adopts an innovative “One Festival, Two Seasons” format. The “Summer Holiday Travel Season”, running from July 5 to August 31, is tailored for families and students, offering exclusive fun-filled experiences. From September 1 to October 6, the “Classic Events Season” will bring back popular events such as the iconic float parade.

 

Source:International Services Shanghai

https://english.shanghai.gov.cn/en-FestivalsCelebrations/20250703/424332fde8594745a0a58f6af5c89848.html

 

2.2025 (13th) Shanghai Fairy Tale Festival Kicks Off

【Keywords: Shanghai Fairy Tale Festival】

The 2025 (13th) Shanghai Fairy Tale Festival has officially opened under the theme “Reading Boundless”. This year’s festival brings together public libraries across the city, child-friendly reading spaces, schools, families, and various social organizations to host more than 400 reading events. The activities span seven major categories, including themed programs, children’s lectures, storytelling sessions, exhibitions, aesthetic education classes, volunteer initiatives, and other activities.

 

Source:Shanghai Tourism

 

3.World-renowned Music Festival “Tomorrowland” to Debut in Shanghai’s Huangpu District

【Keywords: Music festival】

 

On July 3, the official China press conference for the globally acclaimed music festival IP Tomorrowland was held at INS Land. The event announced that Tomorrowland will join forces with Hero Esports, INS Land, and Budweiser to bring “The Magic of Tomorrowland” to Shanghai this winter. This marks Tomorrowland’s highly anticipated debut in China and the first-ever official indoor music show in the brand’s history.

 

Source:Shanghai Tourism

 

Q&A

 

Q:At a press conference hosted by the Information Office of the Shanghai Municipal Government outlining the overall arrangements for the 2025 “Shanghai Summer” International Consumption Season, officials from the Shanghai Municipal Commission of Commerce and the Foreign Affairs Office of the Shanghai Municipal People’s Government responded to media questions — Last year’s inaugural “Shanghai Summer” International Consumption Season attracted a large number of overseas visitors to the city. In this process, have relevant Shanghai authorities conducted any market research to identify unmet consumer demands or areas for further improvement in services and supply? What new targeted measures, enhanced services, or innovative consumption scenarios have been introduced in this year’s “Shanghai Summer” to address the pain points of international tourists?

 

A: Following the conclusion of last year’s “Shanghai Summer” International Consumption Season, the Shanghai Municipal Commission of Commerce, in collaboration with relevant authorities, conducted follow-up visits with the program’s global experience officers. The aim was to gain deeper insight into the challenges encountered by international visitors while shopping in and exploring the city. Key issues identified included the lack of multilingual versions on mobile applications, limited one-stop services in the city customized card, and inconvenient tax refund procedures upon departure. To address these issues, several targeted improvements have been introduced: 

First, we have rolled out multilingual services. This year’s “Shanghai Summer” features a range of upgraded multilingual services. For instance, the “HiChina” App, newly launched by Umetrip, offers overseas travelers convenient access to essential travel tools in five languages — English, French, Japanese, Korean, and Spanish — with added functionalities to ease the arrival process. Amap (Gaode Map) has introduced the first English-language navigation map in China designed specifically for international users, supporting driving, walking, cycling, and public transit routes. Meanwhile, the Dianping App has launched a dedicated “Shanghai Must Eat List” activity page, providing food recommendations in English, Chinese, and Korean to help visitors navigate the city’s culinary offerings.

Second, we have upgraded the city customized card. In line with international standards, this year’s “Shanghai Summer” features an enhanced edition of the Shanghai Pass, a city-customized card that combines a variety of benefits across transportation, tourism, shopping, and dining. The Shanghai Pass can be activated without real-name registration and is ready for immediate use upon purchase. In addition to offering basic public transport functions, it also integrates access to popular attractions such as the Huangpu River cruise, Yuyuan Garden, and double-decker sightseeing buses, while providing shopping discounts in major commercial areas like Xintiandi, Middle Huaihai Road, and Xujiahui. The upgraded version now includes multi-day passes, connecting more attractions and offering more discounts to further stimulate spending.

Third, we have enhanced tax refund services for departing visitors. At the end of June, Shanghai released the Shanghai Action Plan for Optimizing the Tax Refund Consumption Environment for Departing Visitors (2025–2027), outlining 16 measures across four areas, namely, improving service point layout, expanding product offerings, enhancing convenience, and optimizing the service environment. To improve the service point layout, the city has so far established 1,391 tax refund shops — nearly double the number at the end of last year. Sixteen shopping malls have set up centralized instant tax “Refund upon Purchase” service counters. Starting from July 2, three major “Citywide Refund Centers” — Bund Central, Zhangyuan, and Pudong Ba Bai Ban — offer citywide refund services. To enhance convenience, the nation’s first self-service tax refund application machine has been installed at New World Daimaru Department Store, with over half of refund applicants using the self-service option. Self-service refund machines have also been installed at the airport to make the refund process more convenient for departing overseas visitors. Electronic payment platforms such as Alipay are now supported in the tax instant “Refund upon Purchase” process. In addition, the city is piloting the use of sealed bags for refundable items to improve customs inspection efficiency. It also offers multilingual refund guides, and launched a digital map for tax refund locations.

Since last year, the Foreign Affairs Office of the Shanghai Municipal People’s Government has made continuous efforts to enhance services. It has taken the lead in establishing three one-stop service centers for foreign nationals at the city’s two airports — Pudong and Hongqiao — and has launched a new version of the International Services Shanghai Portal, systematically upgrading services for foreigners. This year, with a focus on addressing the urgent need to improve digital convenience for inbound travelers, the Foreign Affairs Office of the Shanghai Municipal People’s Government, in collaboration with the Shanghai Head Office of the People’s Bank of China and other municipal departments, has developed and launched Easy Go—an integrated application designed to streamline services for international visitors. Now officially launched, Easy Go serves as a themed service for this year's “Shanghai Summer”, offering overseas travelers a one-stop digital companion to explore and shop in the city with ease.

With the core concept of “user-friendly English interface, comprehensive functionality, and seamless experience”, Easy Go integrates popular digital service apps frequently used by international travelers in Shanghai — covering dining, transportation, culture and tourism, and shopping—to form a unified service hub. In its first phase, 30 mini-programs from 24 companies have been integrated, categorized by function for easy and quick access. The highlights of Easy Go can be summarized as the “Four Ones”: One-time Registration, One-tap Dining, One-code Travel, and One-touch Tax Refund.

“One-time Registration” allows international users to register and authorize once on their mobile phone, enabling seamless access to all services without the need for multiple app downloads or repetitive sign-ups. While English is the platform’s main service language, it also supports real-time translation in 14 languages, significantly easing language barriers for international visitors.

“One-tap Dining” enables international travelers to browse local culinary recommendations via Easy Go and place delivery orders with just a tap. Whether it is authentic Shanghai cuisine or specialties from across China, delicious food is just a click away.

“One-code Travel” integrates various modes of transportation. With the Shanghai QR Code, users can access public transportation throughout the city, including buses, subway, suburban railways, maglev trains, and ferries. The platform also supports taxi booking, smart parking, and shared bike services. Additional features such as travel consultation, ticket booking, and luggage storage enable travelers to explore not just Shanghai, but all of China, conveniently from their mobile device.

“One-touch Tax Refund” is a pioneering feature of Easy Go, enhancing the existing instant tax “Refund upon Purchase” service. After completing the required procedures at a designated tax refund service point, users simply tap or scan their phones to receive their refund — enjoying a faster, more enjoyable refund experience. This service will soon expand to major offline locations, including Shanghai’s two international airports.

Easy Go aspires to offer global travelers a smart, streamlined, and user-centric Shanghai experience: “One Tap, Easy Go!” We will continue refining the platform’s functions to better serve every international guest, making dining more convenient, travel more efficient, journeys more exciting, and the overall experience more memorable and enjoyable — ensuring that every visit to Shanghai is heartwarming and unforgettable.

 

Source:Shanghai Release

 

Expert Perspective

 

Foreign Investment Access Regime in China’s Cell and Gene Therapy Industry: Policy Analysis, Industry Implications and Compliance Recommendations

 

By Zhang Qixiang, Cheng Junge, Zhang Menglin, and Deng Zike (Zhong Lun Law Firm)

 

[Continued from the Previous Issue]

II. Evolution of China’s Foreign Investment Access Policies in the CGT Industry

(3)Encouragement and Pilot Opening Stage (Since 2019)

1.Certain CGT Sectors Included in the Catalogue of Industries Encouraged for Foreign Investment

The 2020 Edition of the Catalogue of Industries Encouraged for Foreign Investment, which came into effect in January 2021 (now obsolete), for the first time included “R&D and manufacturing of cell therapy drugs (excluding prohibited areas for foreign investment)” as an encouraged sector for foreign investment. This provision has been retained in the currently effective 2022 Edition of the Catalogue.

2.Policies to Expand Opening-up Pilots

Since 2019, regulatory authorities in cities such as Shanghai, Beijing, Shenzhen, and Tianjin have issued policies moderately easing restrictions on foreign investment in stem cell and gene diagnosis and therapy technology development and application, proposing exploratory pilot programs.

On February 28, 2024, the General Office of the State Council released the Action Plan for Effectively Advancing High-standard Opening-up and Further Attracting and Utilizing Foreign Investment, announcing pilot relaxations of foreign investment access in the field of scientific and technological innovation. The plan allows certain qualified foreign-funded enterprises in pilot free trade zones in Beijing, Shanghai, Guangdong, and other regions to engage in pilot programs for expanded access in areas such as gene diagnosis and therapy technology development and application. Subsequently, on September 7, 2024, the Ministry of Commerce, the National Health Commission, and the National Medical Products Administration jointly issued the Notice on Carrying Out Pilot Programs for Expanded Opening-up in the Medical Field (hereinafter referred to as the “Pilot Notice”). The Pilot Notice proposes to carry out pilot programs in the China (Beijing) Pilot Free Trade Zone, the China (Shanghai) Pilot Free Trade Zone, the China (Guangdong) Pilot Free Trade Zone, and the Hainan Free Trade Port. Under the pilot program, foreign-funded enterprises will be allowed to engage in the development and application of technologies related to human stem cells and gene diagnosis and therapy for the purpose of product registration and production. Products that have been duly registered and approved for production under the pilot may be used nationwide. Foreign-funded enterprises participating in the pilot must comply with relevant Chinese laws, administrative regulations, and requirements governing human genetic resource management, clinical trials (including international multi-center trials), drug registration and approval, pharmaceutical production, and ethical review, and must complete the necessary regulatory procedures.

[To be Continued]