All websites hosted on servers in mainland China require an ICP filing. However, commercial websites and apps must also complete the ICP registration process to get ICP Commercial license. 

What is an ICP license?

An Internet Content Provider license (or ICP license) is a Chinese license where you must apply to the local Ministry of Industry and Information Technology (MIIT) before certain commercial websites can be hosted on a server in China. Websites that do not have a valid ICP license or do not display the relevant ICP number visibly on the website will receive warnings and penalties, and may eventually be blocked. 

Who Should Obtain an ICP License

There is a big difference between an ICP Filing and an ICP License. An ICP Filing is mandatory for all websites hosted on servers in mainland China. Suppose you are going to engage in commercial activities on the website or app. You may need an ICP commercial license not simply an online ICP Filing. ICP Licenses are often (though not always) required for: any commercial website, paid games, in-app advertising, SaaS platforms, app stores, online marketplaces, live streaming platforms, etc... 

The ICP certification is divided into two stages:

a) ICP Filing (ICP BeiAn): Think of it as a non-commercial ICP license. All websites hosted in China require this basic ICP filing. The certificate received can be used on non-commercial sites. An ICP Filing is an informational license that formalizes the activities of non-commercial websites. However, when you want to add an e-commerce module to your site, for example, online payment, an ICP filing can quickly not be enough. 

b) Commercial ICP license (ICP Zheng): A Commercial ICP license is required for online stores and websites with commercial activity. Websites applying for an ICP license must register with the Public Security Bureau (PCB) within 30 days. Once the PCB registration is complete, your ICP license is approved. 

Who can apply for an ICP license?

· Chinese citizens can apply for the ICP individually.

· Foreign passport holders (residing in China for a certain period.)

· Foreign passport holders residing in China (ICP Filing Only)

· Chinese-owned businesses with business licenses

· Joint Ventures (Chinese entities or nationals must own at least 50% of the company)

· WFOE (ICP Filing Only) 

Benefits Of ICP License

· The first benefit is that your website can be legally hosted in China.

· Internet users in mainland China quickly load websites hosted in China, (i.e. it opens and responds faster).

· Owning an ICP allows you to use a China CDN (Content Delivery Network) to further increase speed.

· Make online sales. (with Commercial ICP)

· Advertisement. (with Commercial ICP)

· Conduct business activities that involve payments through your platform. (with Commercial ICP)

· Chinese search engines (Baidu and Sogou) give an extra ranking to locally hosted websites.

· Will be able to publish app or game on all the app and game stores

· You can use ".cn" and ".com .cn" domain names with ICP. 

How to Get an ICP License?

The first step is registering a domain name in China and purchasing a hosting service in mainland China. After getting a domain name and hosting, you get a Bei'an service number that connects to your server and links them with your ICP application file. 

ICP applications in China are made through the Ministry of Industry and Information Technology (MIIT). This site is only in Chinese, so there is no option for other languages. The first stage of the ICP application is the same for commercial or non-commercial websites. After completing the first stage, known as ICP Filing, you must also apply for the second stage, the ICP Commercial License, if you have created a website for commercial use. 

The ICP application process depends on whether your site is purely informational or commercial. It will be possible to receive digital payments and engage in e-commerce activities on a commercial website or app, so this stage is subject to some restrictions. You will need to provide:

· Your company's business license or organization code.

· A copy of your domain name registration certificate

· Identity information of the official who can be contacted in the company (must be a Chinese citizen)

· Company owner identification information (may not be a Chinese citizen)

· Face verification image of the website administrator

· Signed copy of ICP license application form 

The ICP filing application process takes between 20 days and 30 days, while obtaining an ICP Commercial License takes 1-2 months. You must register with a Public Safety Bureau (PSB) within 30 days of receiving the ICP commercial license. PSB checks whether the applicant has any criminal record. 

If you have an ICP commercial licensed website, it is expected that your site should have some technical and essential features. You should link to China's most popular social media channels. Your website should be integrated with online payment systems such as China-based Alipay, WeChat Pay, etc... 

Is It Possible To Enter The Chinese Market Without ICP License?

Some companies may choose Near-China (Soouth Korea, Taiwan, Hong Kong and Vietnam) CDNs if they have not obtained an ICP license. These CDNs are not located in China, so ICP license is not required, but you generally still cannot engage in a business activity involving the Chinese market this way. Briefly, ICP license lets companies host their website on a China-based server. It is required for all businesses that have an e-commerce site in China. ICP is often a must for all companies carrying out e-business activities in China. 

Can WFOEs Get ICPs?

In 2015, a pilot program was implemented in Shanghai that allowed foreign companies (WFOE) to obtain an ICP for their commercial websites, but this practice was not enacted. WFOEs can only receive ICP Filing, that is, non-commercial ICP. 

Expand into China without setting up a company, by employing or relocating key staff to take a first step in exploring the market. A professional employer organization (PEO) service can act as the official employer of record (EOR) for your staff in China while you expand your business. With the support of our trusted partner network, we can facilitate local hiring and employment without the time and cost of setting up a legal entity in country.

Contact us for more information at inquiries@ChinaLawSolutions.com