Published by ChinaMNC · Bomi

Linzhi Government Office Opens Bidding for Scrapped Fixed Assets: A Practical Guide for Foreign Founders

Linzhi Municipal Government Office is auctioning 578 scrapped fixed assets, including electronic equipment and office furniture. Foreign founders can learn about eligibility, bidding process, and compliance requirements for asset disposal in China.

Linzhi Government Office Opens Bidding for Scrapped Fixed Assets

The General Office of Linzhi Municipal People's Government has announced a public bidding process for the disposal of a batch of scrapped fixed assets. The announcement, dated October 27, 2026, invites qualified buyers to participate in an open competitive bidding process. For foreign founders operating or establishing a company in China, this notice offers a window into how Chinese government entities handle asset disposal—and what compliance obligations apply to buyers.

Asset Overview

The assets being disposed of are fixed assets that have been officially approved for scrapping. They primarily include electronic equipment and office furniture, totaling 578 items. The total original book value is RMB 1,970,898.33, with a net book value of RMB 100,858.83. All items are damaged beyond practical use or have maintenance costs that exceed their value, and are currently in a scrapped state. A detailed inventory list is provided in the attachment “Linzhi Municipal People's Government Office Fixed Assets Scrapping Details.”

Bidders should note that the assets are offered on an “as-is” basis. The government office does not provide any warranty regarding the completeness or usability of the items. Interested parties are encouraged to inspect the assets in person before bidding.

Bidding Method

The disposal will be conducted through open bidding, with the highest bidder winning. If there is a tie for the highest price, the tied bidders will be invited to submit a second round of bids until a single highest price is determined. Bids must be for the entire lot; selective bids for only part of the assets will not be accepted. This package-bid approach means buyers must take all 578 items.

Eligibility Requirements for Bidders

To participate, bidders must meet specific criteria:

• Be a legally registered and validly existing enterprise legal person or individual industrial and commercial household within the People's Republic of China.
• The business license must include business scope covering waste material recycling, renewable resource recycling, or related activities.
• For recycling of electronic waste (such as computers and printers), the bidder must possess relevant permits or experience in processing waste electrical and electronic products, as well as confidentiality equipment.
• The bidder must have good commercial reputation and no major illegal or dishonest records in the past three years, and must not be listed as a dishonest judgment debtor on “Credit China.”
• Joint bids are not accepted.

Foreign founders should note that these eligibility rules effectively require a domestic entity with the appropriate business scope and qualifications. If you are operating a China-based company, ensure your business license covers the necessary activities before considering participation.

Registration and Bidding Schedule

The announcement period runs from October 27 to October 31, 2026. Prospective bidders may contact the office to arrange an on-site inspection before October 30, 2026. Transportation costs and safety responsibilities during the inspection are borne by the bidder. Once a bid is submitted, the bidder is deemed to fully accept the current condition of the assets.

Registration materials must include:

• A copy of the business license (with official seal).
• A copy of the legal representative's ID card; if an agent is authorized, a power of attorney and the agent's ID copy are required.
• A copy of relevant recycling qualification certificates (with official seal).
• A sealed and stamped “Quotation Form” (format provided in the attachment).

All materials must be submitted by 18:30 on October 31, 2026, to: Room 216, Linzhi Municipal People's Government Office, No. 18 Guangfu Avenue, Bayi Town, Bayi District, Linzhi, Tibet Autonomous Region. Late submissions will not be accepted.

Transaction and Handover

After bidding closes, the office will organize a review to determine the highest valid bidder, who will be announced publicly and receive a “Notice of Transaction.” The winning bidder must pay the full purchase price in a single lump sum to the designated account within three working days of receiving the notice.

Asset removal must be completed within ten working days after full payment. The winning bidder is responsible for all costs related to dismantling, transportation, and labor, as well as safety liabilities. Any damage to other facilities at the storage site during removal must be compensated at full value.

Compliance and Data Security Requirements

The winning bidder must dispose of the assets in strict accordance with national environmental and safety regulations. Importantly, for electronic devices that contain data storage, the storage hardware itself is not included in the disposal. The winning bidder must commit to thoroughly destroying or physically damaging all other equipment to ensure no data can be recovered, retained, or leaked. Any legal liability arising from improper disposal rests solely with the winning bidder.

Foreign founders should pay close attention to these data security obligations, as they reflect China's increasing emphasis on information security. Even when purchasing scrapped assets, buyers must ensure they do not inadvertently retain or expose any data.

Contact Information

For inquiries, contact Mr. Yang at 0894-5828992 or Mr. Zhu at 0894-5828936. The announcement is published on the Linzhi Municipal People's Government portal website. Interested bidders should independently assess the value and risks of the assets; participation in bidding indicates acceptance of all terms and the current condition of the assets. The final interpretation right belongs to the Linzhi Municipal People's Government Office.

Implications for Foreign Founders

While this specific bidding opportunity may be more relevant to local recycling companies, it illustrates several important points for foreign founders operating in China. First, government asset disposal follows transparent but strict procedures, including qualification checks, sealed bids, and compliance requirements. Second, environmental and data security regulations are taken seriously, and buyers must be prepared to meet these standards. Third, if your company's business scope includes recycling or waste management, participating in such bids could be a way to acquire materials, but only if you meet all eligibility criteria.

For most foreign founders, the key takeaway is to ensure your China entity's business scope and qualifications align with any government procurement or disposal activities you wish to pursue. Keeping abreast of local government announcements can also provide insights into regulatory trends and business opportunities.

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

Call to Action: Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for help registering and operating a company in China.