Changchun High-Technology Industries Development Area (CHIDA) was one of the first 27 national high-tech development areas that were approved by the State Council in March 1991.

　　CHIDA is located in the normal extension part in the southwest of Changchun City. Its total area is 49 kilometer square including 27kilometer square policy area and 22 kilometer square planned scientific town.

　　According to the statistic of economic indictor in 2000 made by the Torch Center of the Ministry of Science and Technology, the gross income of technology, industry and trade and the gross output value of CHIDA ranked the eleventh; the increment value of industry ranked the eighth and the profit and tax revenue ranked the fifth.

　　Education environment and talents resources

　　18 full-time universities and colleges, 39 research institutes directly attached to the State and Jilin Province and 11 national key open laboratories are located in the Area. 28 academicians from Academy of Sciences and Academy of Engineering work in the Area. The scientific and technological personnel account for 16.6% of total population of the Area, with rich intellectual resources and strong scientific innovation capability.

　　Convenient transportation and infrastructure

　　Transport is well-developed-two runs of trains through Changchun to Moscow and Kraskino of the Far East, dozens of international and domestic scheduled flights. CHIDA is connected with Chang-Dalian Expressway. The area is 2.5km away from Changchun Railway Station and 10km away from Changchun Airport. The environment here is comfortable, quite and tasteful with complete infrastructure. Financial facilities, administration of industry and commerce, tax bureaus, insurance companies, accountant offices and law offices make up the powerful service and supporting system.

　　Fast-growing investment

　　The good investment environment of CHIDA attracts 13 famous transnational companies such as American CE Corporation, Fort Corporation, Wal-mart Corporation, Japanese Itochu Corporation, Marubeni Corporation, German Mercedes-Bens Corporation, Siemens Corporation and Henkel Corporation. Nearly 350 enterprises with forms of sole investment, joint venture or corporative management have been established in the Area and most enterprises have obtained rich returns on investment.

　　By the end of 2000, 1,380 registered enterprises have been established in the Area. The gross income of technology, industry and trade increased from 160 million yuan in 1991 to 21.2 billion yuan in 2000. The profit and tax revenue increased from 25 million Yuan to 3.7 billion Yuan. In the past 10 years, the accumulative total gross income of technology, industry and trade was 74.6 billion Yuan; gross output value of technology was 65.4 billion Yuan and output value of high and new technology products was 41 billion Yuan.

　　At present, CHIDA is making a leap of development. The five key industries including automobile engineering, biological pharmacy, photoelectron, new materials and electronic information grow in strength. By 2005, the estimated gross income of technology, industry and trade will be 80 billion yuan(US.673 billion) and the profit and tax revenue will be 16 billion yuan(US.93 billion) , which are two times more than that in year 2000 respectively. At that time, "Northeast Silicon Valley" -CHIDA will show its new face of modernization, multifunction and high civilization.

　　Preferential Policies for overseas investment

　　According to the regulations of the state, Province, City and the Management Committee, all the overseas investment enterprises can enjoy the following preferential polices if they establish high and new technology enterprises in Changchun High-Tech Industries Development Area (CHIDA).

　　1. The income tax for the overseas investment enterprises will be levied for 15% of the rates regulated by the State Council to high and new technology development zone. The income tax for new establishing enterprise will be exempted for two years calculated from the year of payoff. From the 3rd to 8th year the income tax will be levied at the rate of 10%.

　　2. The local income tax for new establishing enterprise will be exempted for ten years calculated from the year of payoff.

　　3. For export-orientated enterprises, after termination of the tax relief period, if the output value of export products exceeds 70% of the total output value of the enterprise at current year, the income tax of the enterprise will be levied at the rate of 10%.

　　4. If the profit after tax payment is used to establish or extend export-oriented enterprises or advanced enterprises and the operating period is not less than 5 years, all income tax paid by the enterprises will be returned.

　　5. If the profit shared form the enterprise is remitted abroad by the foreign investor, the income tax will be free.

　　6. The tariff and value added tax would be free for the imported production equipment in the limit value of investment.

　　7. The tariff for the export products of high and new technology enterprise will be exempted except the export-restricted products and regulated products by the State.

　　8. With the approval of Customs, the high and new technology enterprises can establish bonded warehouse and bonded plant. According to the regulations for processing imported materials, the Customs will exempt (bonded system) the import tariff and import value added tax according to the actual quantities of processing export products.

　　9. The official exit permission for personnel in the zone and invitation documents for overseas guests can be submitted to Management Committee for approval.

　　Preferential Policies for Domestic Investment

　　1. The income tax of high and new enterprise will be levied fo 15%of tax rates regulated by the State.

　　2. The income tax of new establishing enterprise will be exempted for two years from the approval date Of the enterprise. From 3rd year, the tax will be levied at the rate of 15%.

　　3. If the output value of import product accounts for more than 70%of the gross output value of current year, the income tax will be levied at the rate of 10%.

　　4. With the approval of Customs, the high and new technology enterprises can establish bonded warehouse and bonded plant.

　　5. Technical titles of various levels can be evaluated by Administration Committee of CHIDA without quota limit by the Administration Committee of CHIDA. Such personnel can enjoy relevant treatment in CHIDA.

　　6. The development funds of large-sized project were established in CHIDA. Special funds from the development funds of large-sized project will be allocated to the unit and project principal that have outstanding contribution. The units and individuals can be given honorary tiles.

　　7. The tariff and value added tax would be free for the imported components, raw materials and equipment that can't be produced at home, if the products can be exported.

　　8. The project land use for the production enterprises in the Area will be given preferential price. If the project is technology-intensive high and new project, more preferential price can be enjoyed. The preferential price for key project will be subject to negotiation.

　　9. If the enterprises in CHIDA intend to purchase the "Restriction Commodities for SocialsgroupsProcurement" regulated by the State, they can obtain approval from the finical department of CHIDA.