according to an announcement at the first Apec Conference on Science and
Technology Industrial Park Network, which began on September 15 in Beijing.

The conference is held to pursue a proposal by Chinese President
Jiang Zemin last November calling for enhancement of scientific and
technical co-operation among Asian-Pacific nations.

In his congratulatory message to the conference, President Jiang said
that the conference marks the initial operation of the network for
Apec science and technology industrial parks. The network will make a
contribution to a sustained economic growth in the Asian Pacific
region.

Science and technology industrial parks have become a dynamic force
of the commercialization, industrialization and globalization of
scientific innovations and technological revolution since their birth
half a century ago. Many science and technology industrial parks in
the world today have become a new factor of boosting regional
economic and social development, Jiang said.

The four parks, approved by the State Council, are the first group of
high-tech development zones opened to Apec members, said Wang Ruiming,
director of the State Science and Technology Commission's (SSTC)
Torch Programme.

He added that more science and technology industrial parks in the
country will open for cooperation with Apec.

The four parks will collaborate on technological research and project
development with their counterparts of the 18 Apec members.

The State will provide support for the four parks in funds,
technology and equipment, and technological experts, said Wang.

The conference, jointly held by the SSTC and Ministry of Foreign
Affairs, attracted more than 100 participants from governments,
science and technology industrial parks, universities, research
institutes and enterprises in the 18 Apec member economies.

During the three-day conference, participants exchanged experiences
of operating science and technology industrial parks and promoted
bilateral and multilateral co-operation of technology, training and
industrial development.

According to the SSTC Vice-Minster Xu Guanhua, China began setting up
the parks in 1985 and now has 110.

These parks target industrial development in areas including micro-
electronics and electronic information services, space and aviation,
optics, machinery and electronics, life science and biological
engineering, new materials, new energy resources, ecological science
and environmental protection, medical science and bio-pharmaceutical
technology.



RESEARCH AND DEVELOPMENT

A group of Chinese scientists are trying to develop a more powerful
vaccine to control hepatitis B in China, where roughly 1 in 10 people
carry the virus, a health official said recently.

Jiang Huanbo, president of China National Biological Products Crop in
the Ministry of Health, said his unit, in co-operation with Shanghai
Medical University and foreign research centres, already has begun
researching the new vaccine. He said their research is well underway,
and he hoped for a breakthrough in hepatitis B control in the text
few years.

Data from the Ministry of Health suggest that about 10 per cent of
the Chinese population carry hepatitis B virus. Hepatitis, a viral
disease that inflames the liver, occurs in A and B forms. Hepatitis A,
transmitted through feces and infected food, causes fever and
jaundice and is relatively easily treated. The more dangerous form,
hepatitis B, is transmitted through infected blood and causes fever,
debility and jaundice.

The Ministry of Health began hepatitis B vaccine research in the late
1980s.

Through expanded immunization, about 90 per cent of urban children
are given hepatitis B vaccination immediately after birth. The
programme has reduced the incidence rate of hepatitis B to below 1
per cent among children in urban areas. The immunization rate among
rural children has also increased.

Jiang made these comments during a press conference for the
International Symposium on Biotechnology and Biopharmaceuticals in
China, Which opened in Beijing yesterday.

Jiang said that besides a new hepatitis B vaccine, the country also
plans to make better use of blood research and develop vaccines that
could prevent several illnesses through one injection.

International collaboration will be expanded to help develop China's
bio-pharmacy industry. Jiang said American Hyclone Laboratories Inc,
a world pioneer and leading researcher in cell biology, has opened an
office in Beijing to extend Sino-American co-operation in the field.

More than 200 enterprises and institutions manufacture some 200
varieties of bio-pharmaceuticals in China.

Chinese pharmaceutical manufacturers will put more time, talent and
money into researching world-level, anti-cancer traditional Chinese
medicines.

The state Administration of Traditional Chinese Medicine (SATCM) is
scheduled to develop several such medicines before the turn of the
century-used to help alleviate cancer victims' pain around the world,
said Yu Shenglong, SATCM deputy director.

World Health Organization (WHO) statistics indicate more than 6
million people died from various forms of cancer in the world last
year.

In China, 1.6 million cancer cases are reported annually. Cancer is
the second leading cause of death in the country, behind heart and
brain vascular diseases.

More than 2 million patients currently suffer from malignant tumours.
One in 200 Chinese families is affected.

However, only 20 per cent receive surgery, due to various reasons,
including financial and physical situations.

Between 10 and 15 per cent are suitable for chemical and radiation
therapies, known to cause side effects, said Hong Jing, SATCM
official in charge of scientific research.

China began researching anti-cancer medicines from Chinese herbs in
the 1950s, Hong said.

Some 3,000 herb varieties were tested. Of those, 200 were deemed
effective in improving patients' physical conditions.

Nearly 100 of the drugs have been approved and are being used
clinically.

Scientists have so far developed 20 preparations out of Chinese herbs,
Five have been recognized as new traditional Chinese medicines by the
State.

One oral medicine, developed by Beijing Huayi Traditional Chinese
Medicine Factory under the China Medicinal Materials Co, passed
second-phase, clinical-trial use.

It has been determined capable of killing cancer cells, said Hong.

This medicine will soon enter third-phase, clinical-trial use in
several Beijing hospitals and be upgraded for world markets, she said.

Chinese foreign-related laws mainly comprise three parts. The first
includes special foreign laws, such as the Law of the People's
Republic of China on Foreign Enterprises, and the Foreign Economic
Contract Law of the People's Republic of China.

The second concerns external relations established in the forms of
special chapters or special articles in individual domestic laws. For
example, the special chapter of the General Principles of the Civil
Law of the People's Republic of China prescribes the legally-
applicable principle for external civil relations. Although
stipulations are not set in special chapters or special articles in
certain laws concerning external legal relations, if the special
article of this law clearly indicates "stipulations of this law apply
to all behavior conducted within the People's Republic of China" and
other similar contents, foreigners in China shall abide by these
legal stipulations.

The third part concerns international treaties which China concludes
or in which it participates. When these international treaties
contain stipulations different from Chinese laws, China will declare
provisions to be reserved, and the stipulations of the international
treaties are applicable.

If no stipulations are set in Chinese laws and in the international
treaties China concludes or in which it participates, common
international practices can also serve as a legal basis for judging
external relations.

Investment includes stipulations on encouraging and guiding foreign
investment, the Law of the People's republic of China on Joint
Ventures Using Chinese and Foreign Investment and Regulations for its
implementation, stipulations on funds contributed by various parties
to the joint venture and the scheduled operational period of the
joint venture; the law on Sino-foreign cooperative enterprises as
well as stipulations on Sino-foreign jointly designed project and oil
extraction; the law on foreign-funded enterprises and detailed rules
for its implementation; the corporation law and regulations on the
registration and management of corporations; measures concerning
resident representative offices of foreign enterprises and for the
registration and management of foreign chambers of commerce;
stipulations on the accounting, financial and auditing systems of
foreign-funded enterprises; and stipulations concerning foreign
business people engaging in urban land and real estate development.

Foreign Trade and Economic Contract comprises the foreign economic
contract law and its judicial interpretations; import and export
commodity inspection law; foreign trade law and stipulations on the
management of foreign trade and management power; regulations on the
import and export licensing system and quota management method; and
stipulations on the foreign trade agent system.

Intellectual Property Right consists of the trademark law, the patent
law and detailed rules for its implementation; the regulations and
registration methods for the protection of computer software; the
copyright law and regulations for its implementation, the
implementing method for administrative penalty against infringement;
and the decisions, announcement and memorandum on bilateral
understanding concerning the protection of intellectual rights.

Finance includes regulations on foreign exchange control; the
regulations on financial management as well as management methods for
the entry and exit of gold, silver and money; regulations on the
management of foreign financial institutions; and stipulations on he
management of international commercial loans and registration of
external debts.

Taxation comprises the income tax law for foreign-funded enterprises
and foreign businesses and detailed rules for its implementation; the
question concerning tax refund for the re-investment made by foreign-
funded enterprises and the applicable tax rate for overseas incomes;
individual income tax law and regulations on its implementation; the
tax collection and management law and detailed rules for its
implementation.

Communications and Transportation include sea traffic safety laws,
and stipulations on the management of foreign ships sailing along the
Yangtze River area; regulations on the registration of ships, as well
as measures and rules for the management of foreign ships; and civil
aviation law.

Customs includes the customs law and the detailed rules for the
implementation of administrative penalty as set in this law and
provisional provisions on customs inspection; stipulations on the
management of baggage and other articles carried by coming and going
passenger, stipulations on declaring goods at the customs as well as
stipulations on selecting "red and green channels" to pass customs,
and the list of in-and-out goods to be prohibited or restricted; and
stipulations on the management of goods coming in and out of the
special economic zones, economic development zones and coastal open
areas; measures concerning establishment of free trade zones as well
as for management of goods and other articles in the latter zones;
and import and export tariff regulations.

Public Security includes the law on the management of the entry and
exit of foreigners and detailed regulations for its implementation,
and entry and exit frontier inspection regulations; the nationality
law, public order management and gun control; state security law and
detailed rules for its implementation.

Civil Affairs include the general principles of the civil law, the
adoption law and some stipulations on adoption registration, the
inheritance law and provisions on compensation for damage.

Marriage consists of regulations on the management of marriage
registration; judicial interpretations made by the supreme people's
court on questions relating to divorce as well as application for
recognition of the effectiveness of the judgment made by foreign
court concerning divorce.

The Criminal aspect includes the criminal law as well as decisions
passed by the Standing Committee of the National People's Congress,
and judicial interpretations made by the supreme people's court
concerning the applicable criminal law.

Lawsuit includes the law governing civil procedures, the law
governing administrative procedures, the law governing criminal
procedures, the arbitration law and arbitration regulations; the
judicial interpretations made by the supreme people's court
concerning applicable laws governing civil procedures, criminal
procedures and administrative procedures; and the series of judicial
assistance treaties signed by China and foreign countries.

Labor and employment management includes many stipulations on the
management of information, publication, film and television, the
protection of cultural relics, environmental protection, tourism,
health quarantine, religious, judicial and administrative management.

Explanations are required here, as regards the entry and exit
management of overseas Chinese, compatriots from Hong Kong, Macao and
Taiwan who come to the hinterland for investment, trade, tourism and
visiting relatives; applicable principles for reference are generally
stipulated in foreign-related laws. In addition, some special state
laws have been formulated for their protection.