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	PROVISIONS ON THE ADMINISTRATION OF CHINESE-FOREIGN COOPERATIVE PRODUCTION OF FILMS (2004)

	(Order of the State Administration of Radio, Film and Television (No. 31), July 6, 2004: The Provisions on the Administration of Chinese-foreign Cooperative Production of Films, which have been adopted at the administrative meeting of the State Administration of Radio, Film and Television on June 15, 2004, are hereby promulgated and shall become effective as of August 10, 2004)


SUBJECT : FILMS; CHINESE-FOREIGN COOPERATION
ISSUING DEPARTMENT : STATE ADMINISTRATION OF RADIO, FILM AND TELEVISION
ISSUE DATE : 07/06/2004
IMPLEMENT DATE : 08/10/2004
LENGTH : 1,482 words
TEXT :

Article 1. These Provisions are formulated in accordance with the Regulations on the Administration of Films in order to promote the creation and production of films, to safeguard the lawful rights and interests of the producers of and the persons relevant to Chinese-foreign cooperative production of films and to promote the exchange of Chinese and foreign films.

Article 2. For the purposes of these Provisions, the term "Chinese-foreign cooperative production of films" means that any Chinese films producer (hereinafter referred to "Chinese party") who obtains the License for Producing Films or the License for Producing Film (Single Film) and any foreign films producer (hereinafter referred to "foreign party") produce films jointly, harmoniously or by entrustment in China.

Article 3. These Provisions shall apply to films (including film films, digital films and telecines etc.) such as features films, cartoons, popular science films, documentary films and special topics films.

Article 4. The State Administration of Radio, Film and Television (hereinafter referred to "SARFT") shall be responsible for the administration of Chinese-foreign cooperative production of films.

Article 5. Chinese-foreign cooperative production of films shall take the following means:

(1) joint production, i.e. the way of production by which the Chinese and foreign parties jointly contribute capitals (including funds, labor or kinds), produce films and share interests and risks;

(2) harmonious production, i.e. the way of production by which the foreign party contributes capitals, the Chinese party provides with considerations assistances such as equipment, apparatuses, sites and labor, and the film is done in China; and

(3) production by entrustment, i.e. the way of production by which the foreign party entrusts the Chinese party to do films on behalf of it.

Article 6. Chinese-foreign cooperative production of films shall comply with the following principles:

(1) it shall abide by Chinese constitution, laws and regulations and relevant provisions;

(2) it shall respect the custom, religions, beliefs and life habits of all Chinese nationalities;

(3) it shall be beneficial to the promotion of the excellent traditional cultures of the Chinese Nation;

(4) it shall be beneficial to China's economic, cultural or ideological and ethical construction and social security;

(5) it shall be beneficial to the exchange of Chinese and foreign films; and

(6) it may not impair any interest of the third country.

Article 7. The state shall implement the license system on Chinese-foreign cooperative production of films.

Any entity or individual that does not obtain the License for Chinese-foreign Cooperative Production of Films or the approval document may not produce a film cooperatively with any foreign entity or individual. Without approval, no foreign entity or individual may produce a film independently in China.

Article 8. To apply for Chinese-foreign cooperative production of any film, the applicant shall fulfill the following conditions:

(1) it shall be the Chinese producer (including the Chinese-foreign equity joint venture films production company that has been approved and registered in China, infra the same) that holds the License for Producing Films or the License for Producing Film (single film); and

(2) Both the Chinese and the foreign parties are not under any penalty of ceasing the production of any film in violation of the Regulations on the Administration of Films.

Article 9. To apply for Chinese-foreign cooperative production of any film, the applicant shall submit to the SARFT the following materials:

(1) the Chinese producer's application for initiating the project of producing the film;

(2) the copies of the Chinese producer's License for Producing Films ("The License for Producing Film" (single film)) and of the business license;

(3) the film's scenario (in normative Chinese characters) in triplicate;

(4) the certificate of creditworthiness of the foreign party and the conditions of the film to be produced cooperatively thereof;

(5) the letter of intent of cooperation or agreement between and by Chinese and foreign parties whose contents shall clarify the investment ratio of both cooperative parties, Chinese and foreign main creative persons ratio, the place where to process and post-produce films and samples and whether the film is to participate in a Chinese or foreign films festival (exhibition) etc.; and

(6) the brief introductions of the creative persons.

Article 10. The procedures for reporting on and approving and examining the initiation of the project of Chinese-foreign cooperative production of any film shall be as follows:

(1) the Chinese producer files an application with the SARFT;

(2) the SARFT accepts the written application submitted by the applying entity within the time limit specified in the Administrative License Law;

(3) if the SARFT decides to accept the application, it shall decide on whether to approve the initiation of the project within twenty working days. If the film's scenario must be subject to the review of experts, the applying entity shall be informed in writing, and such review shall be completed within twenty working days; and

(4) if the conditions for the joint production are met, the non-reused License for Chinese-foreign Cooperative Production of Films shall be issued; if the conditions for harmonious or entrusted production are met, the approval document shall be issued. If an approval is not granted, the reasons therefor shall be explained in writing.

Article 11. After obtaining the License for Chinese-foreign Cooperative Production of Films or the approval document, the Chinese and foreign parties shall sign a contract based on the contents in respect of which the initiation of the project has been approved.

Article 12. The effective period of the License for Chinese-foreign Cooperative Production of Films shall last two years.

Article 13. If any foreign creative person needs to be engaged in any joint production, the matter shall be approved by the SARFT, and the ratio of foreign main actors and actresses may not exceed 2/3 of the total main actors and actresses.

Article 14. With respect to any jointly produced film, its Chinese putonghua edition shall be produced, and its Chinese captions shall use standard Chinese characters. Under the need of distributing the film, the production of other editions in the languages of the corresponding countries, regions or minor nationalities according to its Chinese putonghua edition shall be permitted.

Article 15. Any Chinese-foreign cooperatively produced film shall, after the administration of radio, film and television at the provincial level has raised opinions upon the preliminary examination, be submitted to the Films Examination Committee under the SARFT for examination. If any film producer affiliated to a central or state authority or any entity holding the License for Producing Film (single film) has filed an application for initiating the project of a film and has produced the film, the film shall be submitted directly to the Films Examination Committee under the SARFT for examination.

Article 16. Any cooperatively produced film may be shown publicly inside or outside China after it is examined and held to be up to standards, and the License for Publicly Showing Films issued by the SARFT has been obtained.

With respect to any film produced harmoniously or by entrustment, after it is examined and held to be up to standards, the procedures for the exit thereof may be followed on the strength of the approval document issued by the SARFT.

Article 17. If both the Chinese and the foreign parties need to change any film for which the License for Publicly Showing the Film has been obtained, the matter shall be reported to the SARFT for examination and approval.

Article 18. The processing and post-production of the films and samples of any Chinese-foreign cooperatively produced film shall be completed in China. If the processing and post-production is to be completed outside China for any special need, it shall be reported to the SARFT for approval.

The materials of the films and samples of any film that remain after editing shall be preserved by the Chinese party, and they may leave China only after the film is shown publicly for six months outside China.

Article 19. If any jointly produced film needs to participate in a Chinese or foreign films festival (exhibition), the matter shall be submitted to the SARFT for the record under the provisions relevant to holding and participating in Chinese or foreign films festivals (exhibition).

Article 20. The foreign party shall engage any film creative or labor person in the Mainland China via the Chinese party, and sign a contract with the person under Chinese laws and regulations.

Article 21. A penalty shall be imposed under the relevant provisions of the Regulations on the Administration of Films upon any act in violation of these Provisions.

Article 22. These Provisions shall apply to the cooperative production in the Mainland China of films by any films producers from Honghong Special Administrative Region, Macao Special Administrative Region or Taiwan region.

Article 23. These Provisions shall enter into force as of August 10, 2004. The Provisions of the SAFRT on the Administration of Chinese-foreign Cooperative Production of Films (Order No.19 of the SARFT) shall be repealed simultaneously.