Relevant sectors, areas and businesses which concern investment and business operations of market players and where the procedure for administrative permission may be instituted by the law;

Other circumstances stipulated by the law, administrative regulations and the State Council decisions.

8. Main types and applicable objects of negative lists.

Negative lists mainly include a negative list for market access and a negative list for foreign investment. A negative list for market access, which applies to domestic and overseas investors with consistent management measures, is the unified requirement for market access of all kinds of market players; a negative list for foreign investment, which applies to overseas investors' investment and business operations in China, is the special management measure for foreign investment entry. While drawing up a negative list for foreign investment, we should give an overall consideration to negotiations over foreign investment issues. Relevant matters shall be formulated separately. Where there are other provisions in the bilateral or multilateral agreements signed by China, the provisions of those agreements shall prevail.

III. Procedures of drawing up, implementing and adjusting a negative list for market access

9. Principles of drawing up a negative list.

The principle of the rule of law. While drawing up a negative list for market access, we should fully implement the basic strategy of the rule of law in governance. New items, which are not covered by the law, administrative regulations and the State Council decisions but indeed need to be incorporated into a negative list for market access, should be submitted for formulation in accordance with legal procedures based on scientific evaluations; or in another way, laws, administrative regulations and the State Council decisions should be revised. Significant items concerning the national economic and social development and those with the high degree of specialization should go through decision-making procedures including public participation, expert argumentation, risk assessment, legality review and collective deliberation.

The principle of security. While drawing up and implementing a negative list for market access, we should maintain a holistic view of national security and follow laws and regulations safeguarding national security as well as the national systems concerning security in various fields. With a focus on safeguarding economic security, we should maintain the national basic economic system and the socialist market economic order, improve the institutional mechanism to prevent and dissolve the economic security risks, guarantee key sectors and areas that are the lifeblood of the economy, key industries, major infrastructure and major construction projects, and ensure the security of other significant economic benefits.

The principle of progression. While drawing up and implementing a negative list for market access, we should proceed from our national conditions in a gradual and orderly way, have an overall planning and implement it step by step. Full implementation is allowed only after the experience gained is replicable and widely applicable. As for new technologies, products, operation formats and business models emerging in the market, we should, based on the principle of encouraging innovation and lowering the threshold to entrepreneurship, strengthen institutional supply, integrate supervision with service and not rush to incorporate them into a negative list for market access.