(NDC No. 10)
All provincial, autonomous region and municipal People’s Governments, all State Council Ministries and Commissions, all directly subordinate organs:
In order to vigorously develop advanced socialist culture, fully muster all of society to partake in cultural construction and enthusiasm, further guide and standardize the entry of non-public capital into the cultural industry, progressively shape a cultural industry structure that is mainly under public ownership, and developing together with many other systems of ownership industries, raise the overall strength and competitiveness of the cultural industry, the following decisions concerning some relevant questions have been taken:
I, Encouraging and supporting non-public capital to enter the following areas: art performance troupes, performance venues, museums and exhibition halls, Internet surging service business venues, art education and training, culture and art agency, cultural tourism services, cultural entertainment, art work operations, cartoons and network games, advertising, film and television drama production and dissemination, film and television broadcast technology development and application, cinema’s and cinema chains, rural film projection, retail of books, newspapers and periodicals, retail of audiovisual products, packaging, mounting and printing of printed products, etc.
II, Encouraging and supporting non-public capital to engage in cultural products and cultural services export activities.
III, Encouraging and supporting non-public capital to reconstruct companies belonging to State cultural work units such as art performance troupes, performance venues, etc., the non-public capital may be in control.
IV, Allowing non-public capital to enter the cultural industry and areas such as publication printing, recordable compact disc production, read-only compact disc duplication, etc,
V, Non-public capital may invest and purchase shares in State-owned cultural areas in the following areas: publication printing and distribution, press and publication work units’ advertising and distribution, production of radio stations and television stations’ programming in the fields of music, technology, sports and entertainment. State capital in the above cultural enterprises must comprise 51% or more.
VI, Non-public capital may establish and operate cable television connection networks, participate in cable television receiving and digitalization transformation, State capital in the above cultural services must comprise 51% or more. Non-public capital may control enterprises engaging in cable television connection network community and section work.
VII, Non-public capital may start up demonstration screen advertising operations outdoor, indoor and within communication tools, store rooms, etc., may provide on-demand radio and television channel programming services in hotels meeting requirements. Relevant entities must strictly control qualification recognition, make the business scope clear and strengthen daily supervision.
VIII, Non-public capital entering in the cultural industry will be managed according to current relevant regulations, those entering in the items in Article V, Article VI and Article VII must be approved by the relevant controlling administrative authority. Relevant investment items’ examination and approval, will be carried out according to the “State Council Decision Concerning Investment Structure Reform” (NDC No. (2004)20). It is necessary to strictly carry out examination and approval procedures, perfect examination and approval methods, standardize cultural industry development, protect the lawful rights and interests of enterprises, ban business violating laws and regulations. Non-public cultural enterprises shall enjoy equal treatment with State-owned enterprises in aspects such as project examination and approval, qualification recognition, finances, etc.
IX, Non-public capital may not invest in establishing and operating news agencies, newspaper and periodical companies, publishers, radio stations, television stations, radio and television broadcast platforms, relay stations, radio and television satellites, satellite sending and receiving stations, microwave stations, monitoring stations, cable television transmission backbone networks, etc; may not use information networks to launch audiovisual programme services as well as operation of news websites, etc., may not operate newspaper and periodical layout, radio and television channels and programming, may not engage in import operations of cultural products such as books and periodicals, film and television programmes, finished audiovisual products, etc; may not enter into State-owned cultural relic museums.
X, The Ministry of Culture, SARFT, and GAPP will formulate concrete implementation rules according to this Decision, and make clear the industry catalogue which the State encourages, allows, limits and prohibits, guide non-public cultural enterprises into continued, quick and healthy development.
All regions and all entities must arrange and revise regulations conflicting with this Decision. Foreign capital entering into the cultural industry will be implemented according to the provisions of relevant laws and regulations.
13 April 2005
国 务 院