The commerce authorities in each province, autonomous region, municipality directly under the Central Government, city specifically designated in the state plan and Xinjiang Production and Construction Corps, all state-level economic and technological development zones, Xiamen Haicang Taiwanese Investment Zone, Shanghai Jinqiao Export Processing Zone, Hainan Yangpu Economic Development Zone, Ningbo Daxie Development Zone, and Suzhou Industrial Park: Currently, great achievements have been made in the promotion of investments throughout the country, but many a question is involved in this work. There still exist such phenomena as violations of the state policies on land administration and control in attracting investments in some localities. For instance, the right of land use for industrial purposes has been transferred to a foreign investor at a price lower than the cost or even at "zero price" in some localities, without considering the cost; in order to attract foreign investments, the statutory land taxes and fees have been reduced or exempted; the local government has refunded the payment for land requisition from its fiscal funds after the completion of construction of a foreign-invested enterprise; or the land has been used beyond the planned purposes. All the acts have strengthened the vicious competition in attracting investments, diluted the consciousness of land conservation, and led to the loss of state-owned assets. In order to reinforce the consciousness of land protection and strictly carry out the state policies on land administration and control, the following related matters are hereby informed to you: 1. All localities shall make a serious research on the Decision of the State Council on the Furtherance of Reform and Tightening Land Administration (Guo Fa [2004] No.28), the Circular of the State Council on Issues concerning Strengthening the Land Control (Guo Fa [2006] No.31) and other related documents, so as to firmly carry out the various policies and measures related to strengthening land administration and control. 2. In accordance with the provisions of the foregoing documents on the land administration and control, all localities shall make an overhaul of their practices in carrying out the land policies in attracting investments and shall immediately put them in order. Violation of the related provisions of the state shall be corrected and the related matters shall be properly dealt with so as to reduce the external negative effects. 3. Henceforth in the promotion of investments, all localities shall transform their conceptions, attach importance to improving the investment environment in an integrated manner, and improve the quality of government services. The Ministry of Commerce shall, in collaboration with international organizations, assist all localities in formulating the local strategies on the promotion of investments and improving the quality and results of the promotion of investments in a scientific and efficient way. General Office of the Ministry of Commerce April 3, 2007