Published by ChinaMNC · Yongkang

Jinhua Sets Fire Safety Penalty Benchmarks for Rented Factory Buildings: What Foreign Founders Need to Know

Jinhua Fire and Rescue Detachment clarifies administrative penalty discretion for violations under the city's fire safety management regulations for rented factory buildings, effective April 15, 2025. Foreign founders operating in China should understand these rules to avoid penalties.

Jinhua Clarifies Fire Safety Penalty Benchmarks for Rented Factory Buildings

Foreign founders operating manufacturing or storage businesses in Jinhua, Zhejiang Province, should be aware of new guidance that clarifies how fire safety penalties will be applied under the city’s local regulations for rented factory buildings. The Jinhua Fire and Rescue Detachment issued a notice on March 14, 2025, specifying the administrative penalty discretion benchmarks for violations related to Article 11 of the “Jinhua City Fire Safety Management Regulations for Rented Factory Buildings” (hereinafter “the Regulations”). The document, numbered Jin Xiao Ban [2025] No. 26, takes effect on April 15, 2025.

Background and Purpose

The notice aims to standardize the exercise of fire safety administrative penalty discretion and promote strict, standardized, fair, and civilized law enforcement. It applies to all fire rescue agencies in Jinhua when enforcing penalties under the Regulations. The benchmarks are based on Article 7 of the “Zhejiang Province Fire Safety Administrative Penalty Discretion Regulations.”

Three Categories of Violations and Penalty Ranges

Violations under Article 11 of the Regulations are classified into three categories: serious, general, and minor. Each category corresponds to a specific range within the statutory fine amount:

• Serious violations: 70% to 100% of the statutory fine range.
• General violations: 30% to 70% of the statutory fine range.
• Minor violations: 0% to 30% of the statutory fine range.

These percentages help determine the actual fine within the legal limits. Foreign founders should note that the classification depends on the specific circumstances of each case.

Specific Violations and Their Classification

1. Failure to Install Escape Alarm Devices (Lessor)

Under Article 8 of the Regulations, lessors are required to install escape alarm devices. The notice clarifies the circumstances for each violation category:

• Minor violation: The violation is discovered by the fire rescue agency for the first time (defined as the first time the same type of fire safety violation is found during an inspection within two years), and rectification is completed within 15 days from the date of re-inspection, with no harmful consequences.
• General violation: The unit does not meet the criteria for a fire safety key unit, and the situation does not qualify as a minor violation.
• Serious violation: The unit meets the criteria for a fire safety key unit, and the situation does not qualify as a minor violation.

2. Failure to Set Up Rental Information Boards or Inconsistent Information

This covers two scenarios: lessors failing to set up rental information boards as required by Article 4, Item 2, or the displayed information being inconsistent with actual conditions; and lessees failing to publicize information as required by Article 5, Item 1, or the publicized information being inconsistent with actual conditions.

• Minor violation: The violation is discovered for the first time, and a rental information board has been set up in a prominent location in the rented factory building, but the information is inconsistent with actual conditions or one item is missing.
• Serious violation: The lessor has not set up a rental information board in a prominent location, or the lessee has not publicized any information on the rental information board.
• General violation: All other situations not falling under minor or serious.

Rectification Periods

To further standardize fire safety enforcement, the notice specifies minimum rectification periods for violations under Article 11:

• For failure to install escape alarm devices (Article 8): the ordered rectification period should generally be no less than 30 days.
• For failure to set up rental information boards or inconsistent information (Article 4, Item 2): the ordered rectification period should generally be no less than 10 days.

Local enforcement agencies may determine a reasonable rectification period based on the difficulty of rectification.

Applicability and Effective Date

All fire rescue agencies in Jinhua must apply the “Zhejiang Province Fire Safety Administrative Penalty Discretion Regulations” when exercising penalty discretion under the Jinhua Regulations. The notice is effective from April 15, 2025, and remains valid.

Practical Implications for Foreign Founders

Foreign founders renting factory buildings in Jinhua should ensure compliance with the Regulations to avoid penalties. Key actions include:

• Install escape alarm devices as required by Article 8.
• Set up rental information boards in prominent locations and ensure the information is accurate and complete.
• If violations are found, rectify them promptly within the specified periods to potentially qualify for reduced penalties.
• Be aware that repeat violations or failure to rectify may lead to higher penalty tiers.

Understanding these benchmarks helps businesses anticipate enforcement and maintain safe operations. For specific legal advice, consult a qualified professional.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.