New regulations on the market entities registration confirmation system for the Pudong New Area came into effect on March 15 in the Lin-gang Special Area, located in East China's Shanghai city.

A number of companies – including Shanghai Guangquan Pharmaceutical Co Ltd – are understood to have benefitted from the policy for the first time on the day.

The Lin-gang Special Area has piloted the commercial subject registration and confirmation system since September 2020.

The new regulations – consolidating and expanding the results of the pilot reform – means the registration authorities no longer intervene too much in the operations of market entities and returns to market entities their autonomy in terms of production, operations and investment.

The new measures have issued rules to guarantee the authenticity of registration, such as establishing supervision and punishment systems to match the new confirmation system.

In addition, several rules have been formulated to simplify the procedures.

For example, announcements on directors, supervisors and senior managers will be changed from being filed with the registration authority to being independently disclosed by market entities.

The scope of their business can be independently confirmed by market entities and they need only apply to the registration authority to register the main business and license the scope of business, giving them the option of independent operations.

Other measures – such as implementing intelligent registration and the registration authority no longer receiving self-governing documents for market entities – will also be carried out.

An interior view of the Lin-gang Special Area Administrative Service Center [Photo/IC]