Wuxi in East China's Jiangsu province released 10 measures on Jan 4 to improve foreign capital utilization.
The 10 measures include funding incentives, land use guarantees, support for R&D innovation and talent introduction. The new measures are more targeted than the measures released in September 2021 to support the development of foreign-funded enterprises and build the most satisfactory cities for foreign investment.
Multinational companies are encouraged to establish joint R&D institutions with local enterprises, scientific research institutions, and universities. Innovative enterprises and projects can also enjoy up to 10 million yuan ($1.57 million) in support, depending on the size of the industry.
Companies recognized as municipal-level regional headquarters will be given a one-time award of up to 60 million yuan or three consecutive years of business contribution awards with bonuses of up to 20 million yuan per year.
High-quality projects with strong growth potential will enjoy favorable policies on industrial lands. The local government will also organize various professional job fairs to introduce more talent.
In addition to financial incentives for major industrial projects, foreign investors who increase their registered capital with their corporate profits and capital accumulation can also receive a reward of up to 10 million yuan. Withholding income tax will not be levied on the part of direct investment with distributed profits, according to law.