15 Sector: Communication Services Obligations Concerned: Market Access National Treatment Level of Government: Central Source of Measure: Telstra Corporation Act 1991 (Cth) Description: Aggregate foreign equity is restricted to no more than 35 per cent of shares of Telstra. Individual or associated group foreign investment is restricted to no more than five per cent of shares. The chairperson and a majority of directors of Telstra must be Australian citizens and Telstra is required to maintain its head office, main base of operations and place of incorporation in Australia. 16 Sector: Research and Development Services Obligations Concerned: National Treatment Level of Government: Regional Source of Measure: Biodiscovery Act 2004 (Qld) Description: Queensland Benefit sharing agreements require sublicences for use of samples or derivates to conduct biodiscovery research and commercialisation to be offered first to Queensland-based entities, then to Australian-based entities, and then to overseas-based entities. Any entity with a benefit sharing agreement must obtain consent before granting a sublicence to an overseas-based entity. 17 Sector: Real Estate and Distribution Services Obligations Concerned: National Treatment Level of Government: Regional Source of Measure: Community Land Management Act 1989 (NSW) Strata Schemes Management Act 1996 (NSW) Property, Stock and Business Agents Act 2002 (NSW) Agents Licensing Act (NT) Agents Act 2003 (ACT) Property Agents and Motor Dealers Act 2000 (Qld)
(c) Taxation services (CPC 8630) (1) None (2) None (3) of Australia are permitted to establish wholly foreign-owned subsidiaries. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. (d) Architectural services (CPC 8671) (e) Engineering services (CPC 8672) (f) Integrated engineering services (CPC 8673) (g) Urban planning services (except general urban planning) (CPC 8674) (1) None for scheme design. Co-operation with Chinese professional organisations is required except scheme design. (2) None (3) Wholly foreign-owned enterprises are permitted. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) Service suppliers of Australia shall be registered architects/engineers, or enterprises engaged in architectural/engineering/urban planning services, in Australia. (4) Unbound except as indicated in horizontal commitments. 1. For Australian architectural enterprises established in China, when applying for higher-level qualifications, their performance in China and Australia will be recognised by the competent authority in the process of review and approval. 2. For Australian urban planning enterprises established in China, when applying for higher-level qualifications, their performance in China and Australia will be recognised by the competent authority in the process of review and approval. (h) Medical and dental services (CPC 9312) (1) None (2) None (3) Service suppliers of Australia are permitted to establish joint venture hospitals or clinics with Chinese partners with quantitative limitations in line with China’s needs, with foreign majority ownership permitted. (4) Unbound except as indicated in horizontal commitments and as follows: Doctors of Australia with professional certificates issued by Australia shall be permitted to provide short-term medical services in China after they obtain licences from the National Health and Family Planning Commission of the People’s Republic of China. The term of service is six months and may extend to one year. (1) None (2) None (3) The majority of doctors and medical personnel of the joint venture hospital and clinics shall be of Chinese nationality. (4) Unbound except as indicated in horizontal commitments.
D. Real Estate Services (a) Real estate services involving own or leased property (CPC 821) (b) Real estate services on a fee or contract basis (CPC 822) (1) None (2) None (3) Wholly foreign-owned enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. F. Other Business Services (a) Advertising Services (CPC 871) (1) Only through advertising agents registered in who have the right to provide foreign advertising services. (2) Only through advertising agents registered in China who have the right to provide foreign advertising services. (3) Service suppliers of Australia are permitted to establish advertising enterprises in China. Wholly foreign-owned subsidiaries are permitted. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. (b) Market research services (CPC 86401, only limited to investigation services designed to secure information on the prospects and performance of an organisation’s products in the market) (1) Unbound (2) Unbound (3) Only in the form of joint ventures, with foreign majority ownership permitted. Economic needs tests are required. (4) Unbound except as indicated in horizontal commitments. Requirement for a commercial presence. (1) Unbound (2) Unbound (3) Unbound (4) Unbound except as indicated in horizontal commitments. (c) Management Consulting services (CPC 865) (1) None (2) None (3) Wholly foreign-owned subsidiaries are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments.
(i) Services incidental to manufacturing (CPC 884, 885, except for 88442, and excluding prohibited foreign investment industries defined in Catalogue for the Guidance of Foreign Investment Industries published by the Chinese Government.) (1) Unbound (2) None (3) Wholly foreign-owned subsidiaries are allowed. (4) Unbound except as indicated in horizontal commitments. (1) Unbound (2) None (3) None (4) Unbound except as indicated in horizontal commitments. (m) Related scientific technical consulting services (CPC 8675) services for iron, copper, manganese, coal bed methane and shale gas. Geological, geophysical (excluding gravity and magnetic prospecting and surveying services) and other scientific prospecting services (part of CPC 86751) Sub-surface surveying services (part of CPC (1) None (2) None (3) Only in the form of prospecting and surveying services for iron, copper, manganese, coal bed methane and shale gas in cooperation with Chinese partners. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. In accordance with the requirements of Catalogue for the Guidance of Foreign Investment Priority Industries in the Central and Western Regions, and subject to approval, the Australian services suppliers are allowed to provide comprehensive utilization of mineral resources exploitation services in the central and western regions of (m) Related scientific technical consulting services (CPC 8675) - Offshore oil-field services geological, geophysical and other scientific prospecting services (CPC 86751) Sub-surface surveying services (CPC 86752) (1) None (2) None (3) Only in the form of petroleum exploitation in cooperation with Chinese partners. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments.
(q) Packaging services (CPC 876) (1) None (2) None (3) Service suppliers of Australia are permitted to establish wholly subsidiaries. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. (r) Printing of packaging materials, on a fee or contract basis (CPC 88442, only limited to the printing of packaging materials) (1) Unbound (2) Unbound (3) Wholly foreign-owned enterprises are allowed. Economic needs tests are required. (4) Unbound except as indicated in Horizontal Commitments. (1) Unbound (2) Unbound (3) Unbound (4) Unbound except as indicated in Horizontal Commitments. (s) Convention services (CPC 87909) (1) None (2) None (3) Only in the form of ventures, with foreign majority ownership permitted. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. (t) Translation and interpretation services (CPC 87905) (1) None (2) None (3) Wholly foreign-owned enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Qualifications are as follows: three years of experience in translation or interpretation and a good command of the working language(s). - Maintenance and repair services (CPC 63, 6112 and 6122) - Maintenance and repair services of office machinery and equipment including computers (CPC 845 and 886) - Rental and leasing services (CPC 831, 832, excluding CPC 83202) (1) None (2) None (3) Wholly foreign-owned subsidiaries are permitted. For Rental and Leasing services, service suppliers are required to have global assets of US$ 5 million. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. COMMUNICATION SERVICES
B. Courier Services (CPC except for those specifically reserved to Chinese postal authorities by law) (1) None (2) None (3) Service suppliers of Australia are permitted to establish wholly foreign-owned subsidiaries (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. C. Telecommunication Services Value-added Services Including the following: (h) Electronic mail (i) Voice mail (j) On-line information and database retrieval (k) Electronic data interchange (l) Enhanced/Value-added facsimile services (including store and forward, store and retrieve) (m) Code and protocol conversion (n) On-line information and/or data processing (including transaction processing) (1) See mode 3 (2) None (3) Service suppliers of Australia are permitted to establish joint venture value-added telecommunication enterprises and foreign investment in the joint ventures shall be no more than 50 percent. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. Services suppliers of Australia are permitted to set up either Australia-China joint ventures or wholly enterprises in the China (Shanghai) Pilot Free Trade Zone (“FTZ”) in order to undertake the following value-added telecom services: 1. Information services (App store only); 2. and forward; 3. Call center; and 4. Domestic Multi-Parties Communication. Services suppliers of Australia are permitted to set up Australia-China joint ventures in the FTZ in order to undertake On-line Data and Transaction Processing Services (for-profit E-Commerce). The Australian investment in the joint venture shall be no more than 55 per cent. All these Australia-China joint ventures or wholly Australian-owned telecom enterprises shall be registered in the Shanghai FTZ. The services facilities of these enterprises shall be located in the Shanghai FTZ as well.
A. Sewage Services (CPC 9401) (1) Unbound except for environmental consultation services. (2) None (3) Wholly enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. B. Solid Waste Disposal Services (CPC 9402) (1) Unbound except for environmental consultation services. (2) None (3) Wholly enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. Cleaning Services of Exhaust Gases (CPC 9404) (1) Unbound except for environmental consultation services. (2) None (3) Wholly foreign-owned enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. D. Noise Abatement Services (CPC 9405) (1) Unbound except for environmental consultation services. (2) None (3) Wholly foreign-owned enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. E. Nature and Landscape Protection Services (CPC 9406) (1) Unbound except for environmental consultation services. (2) None (3) Foreign services suppliers engaged in environmental services are permitted to provide services only in the form of joint ventures, with foreign majority ownership permitted. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments.
F. Other Environmental Protection Services (CPC 9409) (1) Unbound except for environmental consultation services. (2) None (3) Foreign services suppliers engaged in environmental services are permitted to provide services only in the form of joint ventures, with foreign majority ownership permitted. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. G. Sanitation Services (CPC 9403) (1) Unbound except for environmental consultation services. (2) None (3) Wholly foreign-owned enterprises are allowed. (4) Unbound except as indicated in horizontal commitments. (1) None (2) None (3) None (4) Unbound except as indicated in horizontal commitments. 7. FINANCIAL SERVICES A. All Insurance and Insurance-Related Services (a) Life, health and pension/annuities insurance (b) Non-life insurance (c) Reinsurance (d) Services auxiliary to insurance (1) Unbound except for: (a) reinsurance; (b) international marine, aviation, and transport insurance; and (c) brokerage for large scale commercial risks, international marine, aviation, and transport insurance, and reinsurance. (2) Unbound for brokerage. Other, none. (3) A. Form of establishment Non-life insurers of Australia are permitted to establish as a branch or as a wholly-owned subsidiary; i.e., with no form of establishment restrictions. Life insurers of Australia are permitted 50 percent foreign ownership in a joint venture with the partner of their choice. (1) None (2) None (3) None, except for: - Insurance institutions of Australia shall not engage in the statutory insurance business, except that insurance institutions of Australia are permitted to undertake third party auto liability insurance.
B. Banking and Financial Services (excluding insurance and securities) Banking services as listed below: (a) Acceptance of deposits and other repayable funds from the public; (b) Lending of all types, including consumer credit, mortgage credit, factoring and financing of commercial transaction; (c) Financial leasing; (d) All payment and money transmission services, including credit, charge and debit cards, travellers cheques and bankers drafts (including import and export settlement); (e) Guarantees and commitments; (f) Trading for own account or for account of customers: foreign exchange. (1) Unbound except for the following: - Provision and transfer of financial information, and financial data processing and related software by suppliers of other financial services; - Advisory, intermediation and other auxiliary financial services on all activities listed in subparagraphs (a) through (k), including credit reference and analysis, investment and portfolio research and advice, advice on acquisitions and on corporate restructuring and strategy. (2) None (3) A. Geographic coverage For foreign currency and local currency business, there is no geographic restriction. (1) None (2) None (3) Except for prudential measures, foreign financial institutions may do business, without restrictions or need for case-by-case approval, with foreign-invested enterprises, natural persons, Chinese natural persons and Chinese enterprises. Otherwise, none. For financial leasing services, financial leasing corporations of Australia will be permitted to provide financial leasing service at the same time as domestic corporations.
- Securities (1) Unbound except for the following: (a) Securities institutions of Australia may engage directly (without Chinese intermediary) in B share business. (b) Service suppliers of Australia which meet the requirements of China’s relevant laws and regulations are permitted to provide the following services to Chinese Qualified Domestic Institutional Investors (QDII): - Trading for account of QDII; - Providing securities trading advice ; - Providing portfolio management; - Providing custody for overseas assets of QDII. (2) None (3) (a) Unbound except for the following: Representative offices in of securities institutions of Australia may become Special Members of all Chinese stock exchanges. Service suppliers of Australia are permitted to establish joint ventures with foreign investment up to 49 percent to conduct domestic securities investment fund management business. Securities institutions of Australia are permitted to establish joint ventures, with foreign minority ownership not exceeding 49 percent, to engage (without Chinese intermediary) in underwriting A shares and in underwriting and trading of B and H shares as well as government and corporate debts, launching of funds. (1) None (2) None (3) None Subject to approval, the Australian financial services institutions in China are allowed to participate in the securitisation business (CSRC-approved securities related services only) after having obtained relevant business qualifications. With such approval, these financial services institutions will enjoy national treatment in accordance with China’s laws and regulations.
8. HEALTH RELATED AND SOCIAL SERVICES Hospital services (CPC 9311) (excluding Traditional Chinese Medicine hospitals) Social Services - Services for the aged (part of CPC 93311 and 93323) (1) Unbound (2) Unbound (3) Qualified service suppliers of Australia are permitted to establish wholly foreign-owned hospitals by constitution or acquisition in Beijing, Tianjin, Shanghai, Jiangsu, Fujian, Guangdong and Hainan province. The establishment procedures, practice registration, diagnosis and treatment activities of such hospitals are subject to Chinese laws, regulations and rules, and the relevant rules of the abovementioned areas on foreign investment in hospitals shall be applied as well. (4) Unbound except as indicated in horizontal commitments. (1) Unbound (2) Unbound (3) Service suppliers of Australia are permitted to establish wholly foreign profit-making institutions for the aged in China. (4) Unbound except as indicated in horizontal commitments. (1) Unbound (2) Unbound (3) Unbound . (4) Unbound except as indicated in horizontal commitments. (1) Unbound (2) Unbound (3) Unbound (4) Unbound except as indicated in horizontal commitments. 9. TOURISM AND TRAVEL RELATED SERVICES
- Computer Reservation System (CRS) services (1) (a) Foreign computer reservation systems may provide services to Chinese aviation enterprises and aviation agents by connecting through a Chinese computer reservation system. (b) Direct access to and use of foreign computer reservation systems by aviation agents are subject to the approval of the General Administration of Civil Aviation of China (CAAC). (2) None (3) (a) Foreign CRS providers are permitted to establish joint ventures with Chinese CRS providers in China to provide CRS services. (b) The Chinese side shall hold at least 51 per cent shares in the joint ventures. (c) Licenses for the establishment of joint ventures are subject to economic needs test. (4) Unbound except as indicated in horizontal commitments. None None None (4) Unbound except as indicated in horizontal commitments. Airport Operation Services (1) Unbound (2) None (3) Unbound (4) Unbound except as indicated in horizontal commitments. (1) Unbound (2) None (3) Unbound (4) Unbound except as indicated in horizontal commitments.