Article 1. Objectives of the Law
1.1. The objective of this Law is to determine the legal basis of the industrial and technological park, establish its purpose, principles and form, regulate relations related to the organization, operation and support of the park by the state.

Article 2. Legislation on the legal status of the industrial and technological park
2.1. The legislation on the legal status of the industrial and technological park consists of the Constitution of Mongolia, this Law and other legislative acts issued in accordance with these laws.
2.2. If an international treaty to which Mongolia has acceded provides otherwise than in this Law, the provisions of the international treaty shall apply.

Article 3. Scope of the Law
3.1. This Law regulates relations related to the establishment of the industrial and technological park, its management and the establishment of the legal basis for the organization of the activities of its units.
3.2. Relations related to the urban development, infrastructure, and construction of industrial and technological parks shall be regulated by the relevant law.

Article 4. Definition of legal terms
4.1. The following terms used in this law shall be understood as follows:
4.1.1. "industrial and technological park" /hereinafter referred to as "park"/ means a special territory, favorable business environment, infrastructure provision, and interconnected production and technological complex in a specific sector for the implementation of specific goals of industrial and technological development;
4.1.2. "park management" means a legal entity holding a special license with the function of organizing and developing the activities of the park;
4.1.3. "park unit" means a legal entity, business incubator, training, and research and development organization engaged in production and services in the territory of the park on the basis of an agreement concluded with the park management;
4.1.4. "research and development organization" means an organization responsible for developing products and services in the park by introducing scientific and research results into production, conducting experiments and design work, and transferring and localizing advanced techniques and technologies;
4.1.5. "park infrastructure" means a complex with energy and heat sources, pipelines, clean water supply, sanitation and treatment facilities, roads and railways in the park territory;
4.1.6. "park development plan" means a development document based on the technical and economic rationale, technical and technological level of the unit, and market demand and supply research and cluster principles.

Article 5. Purpose, form and principles of the park
5.1. The park shall be established for the following purposes:
5.1.1. Implementing national projects and programs for the production of export products of special importance to the country's social and economic development, substituting imports, and improving economic competitiveness;
5.1.2. Transferring, introducing and localizing environmentally friendly, new, advanced and high technologies;
5.1.3.developing environmentally friendly production;
5.1.4.supporting national and regional socio-economic development;
5.1.5.creating an environment for the development of small and medium-sized industries and services, and creating jobs;
5.1.6.developing waste sorting, recycling, reuse, destruction, and burial industries.
5.2.The park management shall have the following forms of ownership:
5.2.1.state-owned;
5.2.2.local-owned;
5.2.3.private-owned;
5.2.4.other.
5.3.The park shall adhere to the following principles in its operations:
5.3.1.not restricting competition;
5.3.2.being free from profit interests;
5.3.3.being efficient;
5.3.4. be transparent and open;
5.3.5. be stable and continuous.

Article 6. Powers of the State Great Khural
6.1. The State Great Khural shall approve the industrial and technological park and other related laws and regulations, and shall review their implementation.

Article 7. Powers of the Government
7.1. The Government shall exercise the following powers regarding the park:
7.1.1. Implement the state policy on the park and organize the implementation of laws and regulations;
7.1.2. Issue, extend, suspend, restore, and revoke special licenses for park operations based on the proposal of the relevant state administrative central body;
7.1.3. Establish the park management specified in Article 5.2.1 of this Law and approve the regulations;
7.1.4. Adopt and enforce relevant rules, regulations, and instructions on issues of supporting and monitoring the park's operations;
7.1.5. Acquire and allocate land for special state needs for the purposes specified in Article 16.1.16 of the Land Law;
7.1.6. approve the list of production sectors, areas of activity, product types, and park locations to be operated in the park, taking into account industrialization, long- and medium-term development and innovation policies, infrastructure development, raw materials, labor resources, and market demand and needs;
7.1.7. promote and support the sale of products manufactured in the park in foreign markets, and develop trade, economic, scientific, and technical cooperation;
7.1.8. other powers specified in the law.

Article 8. Powers of the Central State Administrative Organization
8.1. The central state administrative organization in charge of industrial and technological park issues specified in the Law on the Government of Mongolia /hereinafter referred to as the "central state administrative organization"/ shall exercise the following powers regarding the park:
8.1.1. implement, ensure compliance with, and supervise the implementation of the legislation on the park on matters within its jurisdiction;
8.1.2. To establish and maintain a park database for the purpose of conducting advanced technical and technological research, determining the price and demand prospects of products and services, and to approve relevant regulations;
8.1.3. To study, evaluate, and draw conclusions on the impact of the park on society and economy;
8.1.4. To cooperate with relevant organizations in the field of creating, training, and retraining the human resources needed for the park;
8.1.5. To develop proposals for the issuance, extension, suspension, restoration, and revocation of a special license (hereinafter referred to as a "special license") to operate the park and have it decided by the Government;
8.1.6. To conclude contracts with the park management, ensure implementation, monitor and evaluate implementation;
8.1.7. To establish a non-permanent council responsible for providing conclusions and making recommendations on the park development plan and the technical and economic feasibility of the unit, and to approve the regulations;
8.1.8. to improve production efficiency, expand the market, introduce new technologies, establish professional standards, protect domestic production, attract and promote investment;
8.1.9. other powers specified in the law.

Article 9. Powers of the Aimag and Capital City Citizens' Representative Khurals
9.1. The Aimag and Capital City Citizens' Representative Khurals shall exercise the following powers regarding the park:
9.1.1. to determine the territory and location of the park in accordance with the list specified in Article 7.1.6 of this Law;
9.1.2. to acquire and release land for special local needs for the purposes specified in Article 16.1.16 of the Land Law;
9.1.3. to resolve the issue of building the park's infrastructure by issuing securities, supporting the participation of the state and private sectors, and in other ways;
9.1.4. other powers specified in the law.

Article 10. Powers of the Governor of the Aimag and the Capital City
10.1. The Governor of the Aimag and the Capital City shall exercise the following powers regarding the park:
10.1.1. Monitor the negative impact on the environment caused by the park's activities;
10.1.2. Decide on the issue of land ownership and use by the park management based on the decision of the relevant authorized body and conclude contracts;
10.1.3. Resolve the issue of land ownership and use of the park specified in Articles 5.2.3 and 5.2.4 of this Law in accordance with the Law on Land;
10.1.4. Provide support for the establishment of industrial and technological parks in their jurisdiction;
10.1.5. Regularly inform the public about decisions made on industrial and technological parks and projects being implemented in their jurisdiction;
10.1.6. Other powers specified in the law.

Article 11. Issuance and renewal of a special license for park operations
11.1. A legal entity that meets the following requirements shall submit an application for the establishment of a park to the central state administrative body:
11.1.1. Be established in accordance with the laws of Mongolia;
11.1.2. Be a taxpayer in Mongolia;
11.1.3. Have a unit with financial, economic, technical, technological and management capabilities to implement the park development plan;
11.1.4. The entity operating the park specified in Article 5.2.1 of this Law shall be a state-owned legal entity.
11.2. In addition to the documents specified in Part 3 of Article 5.1 of the Law on Permits, the applicant for a special license shall submit the following documents to the relevant central state administrative body:
11.2.1. Technical and economic justification of the park unit;
11.2.2. Park development plan;
11.2.3. assessment of the technical and technological level of the park unit;
11.2.4. assessment of environmental impact;
11.2.5. list of park units for which the contract is to be concluded;
11.2.6. proposal of the Citizens' Representative Khural of the relevant aimag and the capital city.
11.3. The special license specified in Article 7.1.2 of this Law shall be issued for a period of up to 15 years.
11.4. Based on the special license, the central state administrative body shall conclude a contract with the park management for the period of the special license.
11.5. The central state administrative body shall annually review the contract specified in Article 11.4 of this Law and present it to the Government.
11.6. The license holder shall submit a request for extension of the special license period, together with relevant documents, to the central state administrative body 30 days before the expiration of the period specified in Article 11.3 of this Law.
11.7. The central state administrative body shall receive the request specified in Article 11.6 of this law, review the contract and consider it to be effectively implemented, and shall make a proposal to extend the special license for a period of up to 15 years, and the Government shall decide whether to extend it based on the proposal.
11.8. The period of the special license for operating a park shall be extended once for 15 years.
11.9. The central state administrative body shall submit a proposal for granting or extending a special license for operating a park to the Government within five working days after the completion of the verification process specified in the Law on Permits.
11.10. The Government shall discuss the issues specified in Article 11.8 of this law within 15 working days and make a decision.

Article 12. Suspension, restoration, and cancellation of special permits
12.1. If the authorized body specified in the relevant law has concluded that the following violations have been detected in the park's activities, it shall submit a proposal to the central state administrative body to suspend the special permit issued to the legal entity.
12.1.1. not operating in accordance with the park development plan or operating in a manner other than that specified in the plan;
12.1.2. misused state support;
12.1.3. failed to commence operations within the time specified in the contract without good reason;
12.1.4. in other cases specified in the law or the contract.
12.2. The special permit shall be suspended in accordance with Article 7.1.2 of this Law based on the provisions of Section 12.1 of this Law or Article 6.1 of the Law on Permits.
12.3. The special license for conducting park activities shall be revoked in accordance with Article 7.1.2 of this Law on the grounds specified in Article 17 of this Law or Article 6.2 of the Law on Permits.
12.4. If the suspended conditions specified in Article 12.2 of this Law are eliminated, the special license period shall be restored in accordance with Article 7.1.2 of this Law.
12.5. If the conditions specified in Article 12.3 of this Law arise, the central state administrative body shall submit a proposal to revoke the special license to the Government within five working days after the expiration of the period specified in Article 6.3, Paragraph 2 of the Law on Permits.
12.6. The Government shall discuss the issues specified in Article 12.5 of this Law within 15 working days and make a decision.

Article 13. Park management, unit and its rights and obligations
13.1. Park management shall be in the form of a company established in accordance with the Law on Companies.
13.2. Other relations related to the organization, governance, control and operation of the park management shall be regulated by the Law on Companies.
13.3. Park management shall have the following rights and obligations:
13.3.1. conclude and ensure the implementation of contracts with the central state administrative body;
13.3.2. conclude and ensure the implementation of contracts with park units based on the technical and economic justification, technical and technological level and environmental impact assessment;
13.3.3. collect fees for services provided to park units by concluding contracts in accordance with Article 13.3.2 of this Law;
13.3.4. implement the park development plan, construct and own the necessary infrastructure, and ensure its normal operation;
13.3.5. To own and use the special-purpose land allocated for park purposes in accordance with its intended purpose, and to have the land used by the park unit on a contractual basis;
13.3.6. To provide and receive information related to the park's activities in the database specified in Article 8.1.2 of this Law;
13.3.7. To receive support in accordance with this Law;
13.3.8. To attract investment in the park unit, sell its products, build human resources, mediate in obtaining financial services, and provide other necessary services based on the park's investment plan.
13.4. The park unit shall have the following rights and obligations:
13.4.1. To conclude contracts specified in Articles 13.3.2 and 13.3.5 of this Law with the park management and to require the park management to fulfill its obligations under the contract;
13.4.2. To receive support in accordance with this Law;
13.4.3. provide and receive information related to the activities of the park unit in the database specified in Article 8.1.2 of this Law;
13.4.4. pay the relevant fees in accordance with the agreement specified in Article 13.3.3 of this Law;
13.4.5. ensure the implementation of the agreement concluded with the park management;
13.4.6. use the park infrastructure on an equal basis.
13.5. The agreement specified in Article 13.3.5 of this Law shall specify the size, location, and period of use of the land.
13.6. The Government shall determine the amount of fees to be paid by the park unit to the park management and the procedure for paying them.

Article 14. Income from park management activities
14.1. The activities of the park management shall be financed from the following income:
14.1.1. income from its own activities;
14.1.2. fees for providing services to the park unit;
14.1.3.others permitted by law.

Article 15. Requirements for the Park
15.1. The park shall meet the following requirements:
15.1.1. be open, transparent and based on fair competition in order to support business;
15.1.2. meet urban development norms, rules and standards;
15.1.3. provide a favorable and stable environment for attracting investment and operating in the park territory;
15.1.4. have no negative impact on the environment;
15.1.5. support and mutual protection of public-private partnerships and investments;
15.1.6. the park territory shall have the necessary infrastructure, such as roads and railways, or shall have the possibility of developing these infrastructures;
15.1.7. be provided with reliable sources of water supply and energy necessary for the projects, infrastructure and construction to be implemented in the park territory;
15.1.8. have a detailed plan for supporting the sustainable development of the country and the economy, reducing unemployment, and training professional personnel;
15.1.9. other specified by law.
15.2. The park may have a unit that provides training, research and development, and business incubator services.

Article 16. State support for park operations
16.1. The state may provide the following types of support for park operations:
16.1.1. provide tax support for park management and unit operations;
16.1.2. issue securities and provide capital guarantees for foreign concessional loans in order to create sources of financing required for state support for park operations;
16.1.3. support public-private partnerships, private sector investment, and participation in the construction of park infrastructure and facilities;
16.1.4. to finance the construction of the park's infrastructure from the state and local budgets, government bonds and other relevant sources;
16.1.5. to establish a special customs zone and a customs bonded factory in the park's territory;
16.1.6. to provide support for obtaining necessary permits in connection with projects and programs;
16.1.7. to increase the number and volume of labor and specialists to be recruited from abroad, and to issue relevant permits in a simplified manner;
16.1.8. to provide jobs to foreigners for the purpose of training and practicing park management and production unit employees, and to exempt them from job fees if they provide income-generating work or services;
16.1.9. to issue a stabilization certificate and conclude an investment contract in accordance with the Law on Investment;
16.1.10. other support specified in the law.
16.2. The support specified in Article 16.1 of this Law shall apply only to activities carried out within the territory of the park.
16.3. The support specified in Article 16.1 of this Law shall be provided in accordance with the relevant legislation.
16.4. In the following cases, the state support provided to the park unit shall be canceled and the tax expenditures incurred in the budget shall be refunded within 30 days from the date of determination of the relevant circumstances:
16.4.1. if the park unit is liquidated for reasons other than bankruptcy before the expiration of the special license;
16.4.2. if the park unit has not started its activities within 12 months from the date of conclusion of the contract;
16.4.3. if the park unit has started its activities, but its activities have been interrupted or stopped for more than 24 consecutive months;
16.4.4. if the special license has been revoked in accordance with Article 12.3 of this Law.
16.5. If the circumstances specified in Articles 16.4.1, 16.4.2, 16.4.3, and 16.4.4 of this Law arise due to unexpected or force majeure factors, the park unit shall not refund tax expenditures.