1. Corporate Income Tax
The corporate income tax rate in NDDZ is 15% and subjects to "Five-year exemption and five-year half-reduction", i.e., as of the first profit-earning year, the corporate income tax is completely exempted for five years, and subjects to half-reduction for the following five years.

2. VAT and Business Tax
Enterprises in NDDZ can enjoy five years' preferential treatment in VAT or business tax as follows:
l By December 31, 2001, financial subsidy can be given to enterprises for VAT or business tax in the following rate:
Amount of basic construction investment Subsidy rate
RMB 1 to 5 million 40%
RMB 5 to 10 million 50%
RMB 10 and above 55%
l From January 1, 2002 to December 31, 2004, the subsidy rate for the VAT or business tax is as follows:
Amount of basic construction investment Subsidy rate
RMB 1 to 5 million 25%
RMB 5 to 10 million 30%
RMB 10 and above 35%

3. Land subsidy
The transfer period for land use right is 50 years. The land transfer price is RMB 180/ m2, which subjects to subsidy as per the following:
l For basic construction investment between RMB 1 to 5 million, RMB 45/ m2 can be subsidized.
l For basic construction investment above RMB 5 million, RMB 75/ m2 can be subsidized.
l For investment in high and new technology, additional RMB 30 m2 can be subsidized.

4. Others
NDDZ has its own independent customs office. Subject to approval, duty-bonded warehouses and plants can be set up.