Kangping Bio Recognised as National High-Tech Enterprise

In October 2023, Heilongjiang Kangping Bioengineering Co., Ltd. received the High-Tech Enterprise Certificate (Certificate No.: GR202323001472) jointly issued by the Heilongjiang Provincial Department of Science and Technology, the Heilongjiang Provincial Department of Finance, and the Heilongjiang Provincial Tax Service of the State Taxation Administration, officially passing the National High-Tech Enterprise recognition.

Policy Background

The National High-Tech Enterprise recognition is an important qualification system established by the Chinese government to support and encourage the development of high-tech industries and promote economic structural transformation and upgrading. The system is implemented in accordance with the High-Tech Enterprise Recognition and Management Measures (Guokefafahuo [2016] No. 32) jointly issued by the Ministry of Science and Technology, the Ministry of Finance, and the State Taxation Administration, together with supporting Implementation Guidelines, conducting comprehensive evaluation across dimensions including core independent intellectual property, R&D investment intensity, technology commercialisation capability, R&D organisation and management level, and growth indicators.

The recognition criteria set a high threshold: enterprises must possess independent intellectual property that provides core support for their main products; the proportion of scientific and technical personnel engaged in R&D and related technological innovation activities shall not be less than 10% of the total workforce; the ratio of total R&D expenses in the last three fiscal years to total sales revenue during the same period shall not be less than 3%-5% (depending on revenue scale); and the proportion of high-tech product (service) revenue to total enterprise revenue during the same period shall not be less than 60%.

Enterprises that pass the recognition are eligible for multiple national policy supports, the most significant being a reduction in corporate income tax rate from 25% to 15%, a decrease of 40%; they can also enjoy 100% super-deduction of R&D expenses before tax, extension of loss carry-forward period from 5 to 10 years, and other preferential tax policies. Statistics show that numerous enterprises apply for the National High-Tech Enterprise recognition each year, but the final pass rate is limited, giving this qualification broad recognition in industry and capital markets.

From a national strategic perspective, the National High-Tech Enterprise recognition system serves as an important lever for implementing the innovation-driven development strategy. The report of the 20th National Congress explicitly calls for “strengthening the principal role of enterprises in technological innovation and leveraging the leading and supporting role of backbone technology enterprises.” In 2024, the Ministry of Science and Technology further increased policy support for high-tech enterprises, guiding enterprises to increase R&D investment, promote deep integration of industry-university-research collaboration, and accelerate breakthroughs in key core technologies. As an important nexus where the “innovation chain” meets the “industrial chain,” high-tech enterprises bear the critical mission of transforming technological achievements into real productive forces.

Kangping Bio’s Technological Innovation Practice

Kangping Bio attaches great importance to investment in R&D and innovation. The internal R&D team closely tracks industry development trends and continuously promotes product iteration and technology upgrades. At the same time, the company long-term engages industry experts and scholars from universities and research institutions as technical consultants, and has established industry-university-research alliances with multiple domestic universities. In core fields including bovine colostrum functional substance purification, production process innovation, manufacturing equipment R&D, and product application innovation, the company has accumulated 17 authorized technical patents. As a production enterprise in China’s bovine colostrum sub-sector, Kangping Bio deeply participates in industry standardisation construction, leading and co-developing multiple core industry standards and group standards, providing scientific, rigorous, and implementable production and quality control benchmarks for production enterprises within the sub-sector.

Significance of the Recognition

Passing the National High-Tech Enterprise recognition marks that Kangping Bio’s technological R&D capabilities, intellectual property portfolio, and innovation management level have been recognised by the national authoritative evaluation system. The company will continue to increase R&D investment, leveraging its existing 17 authorized technical patents and industry-university-research alliances to continuously advance technological innovation and industrial application in bovine colostrum deep processing.