Passage 1
In the coastal cities, only factories where plant is being upgraded by foreign investment, enjoy the 15% tax rate or less for target projects such as transport, energy and telecommunications).The major source of confusion for foreign investors, however, is not the tax rate but who has the authority to approve projects. One official who is well aware of the confusion afflicting both local authorities and foreign investors is Mr. Jing, president of China International Economic Consultants Inc. which is the consultancy arm of the China Intemational Trust and Investment Corp. While a comprehensive framework for the country's modernization has been provided by the central committee's decision to reform the economic structure, it will be some time before the dust settles and local authorities and foreign investors can deal with one another in a systematic way.
What are"target projects"?
key projects
