30/09/13

What foreigners better know under the new PRC Exit and Entry rules

We would like to raise your special attention to the new PRC Exit and Entry Law of July 1, 2013 (hereinafter, the "New Law") as well as to the Regulation on the Entry and Exit of Foreigners being the implementation of the New Law which entered into force on September 1, 2013 (hereinafter, the "Implementing Regulation"). Pertaining to these two documents, a couple of previous entry and
exit rules for foreigners have been changed, tightened or further clarified.

1. Visa Exemption

The New Law stipulates that any foreigner who travels to a third country or region through theChinese territory by international aircraft, ship or train with a transit ticket and who stays in China's port no more than 24 hours or in a special location not exceeding a specific time-limit can be exempted from visa application. Previously, only foreigner transit in China by aircraft was entitled for
this preferential policy1.

2. Change of visa category

Further to the Implementing Regulation, the visa categories have been adjusted into 12 types (8 types before) to further clarify the purpose of foreigner's entrance into China. The essential changes are listed as below:

(1) M visa is newly established for the commercial and trade activity, which was previously covered by F visa;

(2) R visa is also a new category issued to foreign high-level talents that China needs, and to specialized talents that are urgently needed due to shortage; and

(3) L visa will from now on cover the tourism in China only. The previous family reunion has been moved out from the L visa and moved to Q visa (family reunion with a Chinese citizen or a foreigner with permanent residence permit) and S visa (family reunion with a foreigner legally staying or residing in China but not permanently).

3. Foreigner's stay and residence in China

The New Law clearly clarifies that foreigners are allowed to stay within Chinese territory with a valid visa for maximum 180 days, except when special visa category requires otherwise. Any extension of visa shall be applied with local Public Security Bureau (hereinafter, the "PSB") 7 days before the expiry.

It is worth to mention that in case the foreigner resides or stays at a domicile other than a hotel, the foreigner or the host shall register the same with the local PSB within 24 hours of his/her staying.

Previously, the time-limit for such registration varied on the location of the domicile.

4. Foreigner's working in China

As a result of the New Law, the minimum validity period for work-related residence permit has been changed to 90 days where the maximum period (5 years) remains the same. The New Law publishes for the first time the definition of illegal work of foreigners in China as:(a) working without a work permit and work-related residence permit as required; (b) taking up jobs other than that which has been permitted; and (c) working of a foreigner student beyond the prescribed types of work or duration which is in violation of the administrative rules on work-study. 

Furthermore, the New Law and the Implementing Regulation have imposed a report obligation on the employer when he is aware of any illegal entrance, residence or work of its foreigner employee in China, and when his/her alien employee's employment ends, working location changes or when
he/she dies or is missing.

5. Penalties

The New Law has increased the penalties on the foreigners in case of violation of the rules, i.e.:

(a) Any illegal residence in China of a foreigner in serious situation will be fined for 500 RMB per day with 10.000 RMB as the maximum, or detained for no more than 15 days;
(b) Any illegal work in China of a foreigner will be fined for 20.000 RMB as the maximum, and,where serious, he/she can be detained. Meanwhile, the employer will be fined for 10.000 RMB per illegal working foreignerwith 100.000 RMB as the maximum, and illegal gains (if any) will be confiscated.

Compared to previous penalties on the same issue, the level of punishment has been raised significantly, which underlines the intention of the Chinese government to intensify its crack-down on the illegal activities of the foreigners in China.

1-Without prejudice to the law and regulation at national level, some local cities, i.e. Shanghai, Beijing and etc, have already issued their own policies in this regard where the alien coming from 45 countries, including the Benelux, and transiting in these cities for no more than 72 hours by aircraft , can be exempted from Chinese visa application.

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