Supreme Court Decisions

MEASURES FOR ELECTION OF DEPUTIES FROM THE CHINESE PEOPLE’S LIBERATION ARMY TO THE NATIONAL PEOPLE’S CONGRESS AND LOCAL PEOPLE’S CONGRESSES AT OR ABOVE THE COUNTY LEVEL

The Measures for Election of Deputies from the Chinese People’s Liberation Army to the National People’s Congress and Local People’s
Congresses at or Above the County Level

     CHAPTER I GENERAL PROVISIONS CHAPTER II ELECTION COMMITTEES CHAPTER III DECISION ON AND ALLOCATION OF THE NUMBER OF DEPUTIES CHAPTER
IV ELECTORAL DISTRICTS AND ELECTORAL UNITS CHAPTER V NOMINATION OF CANDIDATES FOR DEPUTIES CHAPTER VI ELECTION PROCEDURE CHAPTER
VII SUPERVISION OVER AND RECALL OF DEPUTIES AND BY-ELECTION CHAPTER VIII SUPPLEMENTARY PROVISIONS

   Article 1 The Measures are enacted in accordance with the relevant provisions of the Constitution of the People’s Republic of China and the
Electoral Law of the National People’s Congress and Local People’s Congresses of the People’s Republic of China.

   Article 2 Members of the Chinese People’s Liberation Army on active service and other persons who take part in election in the PLA shall, according
to these Measures, elect their deputies to the National People’s Congress or local people’s congresses at or above the county level.

   Article 3 An election committee shall be established for the PLA as a whole and for any PLA unit at or above the regimental level.

The PLA Election Committee shall direct the election work of the entire PLA. Election committees at other levels shall conduct the
election work of the units at their own levels respectively.

   Article 4 The servicemen committees of companies and other grassroots units shall conduct the election work of their own units.

   Article 5 Members of the PLA on active service, persons who have retired from active service and for whom arrangements have been made in the
PLA or who are waiting to be transferred to local governments for arrangements, workers and office staff serving in the PLA, and
other persons who are administratively affiliated to the PLA, shall take part in election in the PLA.

Family members of officers who live together with the officers may, with the approval of the election committee or the servicemen
committee, take part in election in the PLA, if it is difficult for them to take part in local election because the residential area
of the local inhabitants is far from the place where the PLA unit is stationed.

   Article 6 PLA representatives stationed in civilian factories or railway, water transport or scientific research institutions, and PLA members
studying at civilian colleges and schools may take part in local election.

   Article 7 All the persons listed in Article 5 of these Measures who have reached the age of 18 shall qualify as voters and have the right to
vote or stand for election, regardless of ethnic status, race, sex, occupation, family background, religious belief, education, property
status or length of residence.

Persons who have been deprived of political rights according to law shall have no right to vote or stand for election.

Persons who suffer from mental illness and are incapable of exercising their electoral rights, when verified by an election committee
as such, shall not take part in election.

   Article 8 The members composing the PLA Election Committee shall be subject to approval of the Standing Committee of the National People’s
Congress. The members composing the election committee at any other level shall be subject to approval of the election committee
at the next higher level.

Election committees at lower levels shall be subject to the direction of election committees at higher levels.

   Article 9 The PLA Election Committee shall be composed of nine to fifteen members, including one chairman and one to three vice-chairmen. An
election committee at any other level shall be composed of five to eleven members, including one chairman and one or two vice-chairmen.

   Article 10 The election committee at or above the regimental level shall organize and guide the election work of the subordinate units, and
do the following:

(1) examine the qualifications of the delegates to the servicemen congress;

(2) fix the date for election;

(3) publish the list of candidates for deputies to the people’s congress;

(4) preside over balloting at the servicemen congress or the servicemen assembly at the corresponding level; and

(5) preside over the servicemen congress or the servicemen assembly when recalling deputies to the people’s congress or holding a
by-election and accept resignations of deputies.

   Article 11 The election committee at any level shall establish an office to handle specific routine matters related to election at that level.

The office shall be affiliated to the political department, and its staff members shall be determined by the election committee itself.

CHAPTER III DECISION ON AND ALLOCATION OF THE NUMBER OF DEPUTIES

   Article 12 The number of deputies to be elected from the PLA to the National People’s Congress shall be decided by the Standing Committee of
the National People’s Congress.

   Article 13 The number of deputies to the National People’s Congress to be elected by the PLA general departments, units at the level of major
military command and the General Office of the Central Military Commission shall be allocated by the PLA Election Committee.

   Article 14 The number of deputies to the local people’s congresses at or above the county level to be elected by PLA units stationed in different
places shall be decided by the standing committees of the people’s congresses of the places where the PLA units are stationed.

Matters concerning election shall be decided respectively by the provincial military command, the garrison command, the military subcommand
or the arm-the-people department through consultation with the standing committee of the people’s congress of the place where it
is stationed; where a major military command is located in a province, autonomous region or municipality directly under the Central
Government, such matters shall be decided exclusively by the major military command through consultation with the standing committee
of the people’s congress of the province, autonomous region or municipality directly under the Central Government.

CHAPTER IV ELECTORAL DISTRICTS AND ELECTORAL UNITS

   Article 15 Deputies to the people’s congress at the county level from stationed PLA units shall be elected directly in the electoral district
by the PLA members on active service and other persons qualified to take part in election in the PLA who are stationed in that administrative
region. Electoral districts shall be zoned according to the distribution of the PLA units stationed in that administrative region.

The zoning of electoral districts shall be decided on the basis of one to three deputies to be elected from each electoral district.

   Article 16 Deputies to be elected by stationed PLA units to the people’s congresses of cities divided into districts, autonomous prefectures,
provinces, autonomous regions and municipalities directly under the Central Government shall be elected at the servicemen congresses
convened by units at or above the regimental level.

Deputies to the National People’s Congress shall be elected at the servicemen congresses convened by the general departments, units
at the level of major military command and the General Office of the Central Military Commission.

   Article 17 Delegates to the servicemen congress of the unit at or above the divisional level shall be elected at the servicemen congress at
the next lower level. Where no servicemen congress is held by the unit at the next lower level, the delegates shall be elected at
the servicemen assembly.

Delegates to the servicemen congress of the unit at the brigade or regimental level shall be elected at the servicemen assemblies
convened by the companies and other grassroots units.

Servicemen congresses shall be convened by election committees; servicemen assemblies shall be convened by election committees or
servicemen committees.

CHAPTER V NOMINATION OF CANDIDATES FOR DEPUTIES

   Article 18 Candidates for deputies to be elected by the PLA to the National People’s Congress and local people’s congresses at or above the
county level shall be nominated on the basis of electoral districts or electoral units.

Organizations of the Communist Party of China at various levels in the PLA may recommend candidates for deputies. A group of at least
ten voters or ten delegates of the servicemen congress may also recommend candidates. Those who submit recommendations shall provide
information to the election committee or the servicemen committee on the backgrounds of the candidates.

   Article 19 The number of candidates for deputies shall be greater than the number of deputies to be elected.

The number of candidates for deputies to be directly elected by the voters shall be from one-third to one hundred percent greater
than the number of deputies to be elected; the number of candidates for deputies to be elected by the servicemen congress shall be
from 20 to 50 percent greater than the number of deputies to be elected.

   Article 20 The election committee or the servicemen committee shall collect the list of candidates for deputies directly elected by the voters
and publish it, 20 days prior to the date of election, for repeated deliberation, discussion and consultation by the voters of the
electoral district, and shall, in accordance with the opinion of the majority of voters, decide upon a formal list of candidates
to be made public five days prior to the date of election.

When the servicemen congress at or above the regimental level is to elect deputies to the people’s congress, the time for nominating
and deliberating candidates for such deputies shall not be less than two days. The election committee at the said level shall print
and distribute the list of candidates for deputies nominated according to law to all the delegates to the servicemen congress for
deliberation and discussion. If the number of nominees conforms to the proportion for competitive election as provided in Article
19 of these Measures, balloting shall be held directly. If the number of nominees exceeds the maximum proportion for competitive
election as provided in Article 19 of these Measures, preliminary election shall be held. By order of the number of votes that the
nominees have obtained in the preliminary election, a formal list of candidates shall be decided upon in agreement with the specific
proportion for competitive election as is determined by the servicemen congress at the said level.

   Article 21 When a servicemen congress is to elect deputies to the National People’s Congress and local people’s congresses at or above the county
level, the candidates for deputies shall not be limited to the current delegates to the servicemen congress.

   Article 22 The election committee or the servicemen committee shall give information about the candidates’ backgrounds.

Organizations or individuals may, at group meetings of voters or of delegates to the servicemen congress, give information about backgrounds
of the candidates they nominate. However, it must stop on the day of election.

   Article 23 Where deputies are to be directly elected, the election in each electoral district shall be conducted by convening servicemen assembly
or setting up polling stations or providing mobile polling boxes. Balloting shall be presided over by the servicemen committee or
the election committee.

Balloting to be held at the servicemen congress shall be presided over by the election committee.

   Article 24 Deputies from the PLA to the National People’s Congress and local people’s congresses at or above the county level shall be elected
by secret ballot.

A voter who cannot fill out his ballot due to disability or other reasons may ask another person he trusts to do it for him.

   Article 25 A voter who is absent during the time of an election may, with the approval of the servicemen committee or the election committee,
entrust another voter with a proxy vote. A voter shall not stand proxy for more than three persons.

   Article 26 A voter may vote for or against a candidate for deputy and may vote instead for any other voter or abstain.

   Article 27 When balloting has been concluded, scrutineers and vote- counters elected by the voters or by the delegates to the servicemen congress,
and members of the election committee or of the servicemen congress shall check the number of people who voted against the number
of votes cast and make a record of it; the record shall be signed by scrutineers.

   Article 28 An election shall be null and void if the number of votes cast is greater than the number of people who voted, and it shall be valid
if the number of votes cast is equal to or less than the number of people who voted.

A ballot shall be null and void if the number of candidates voted for is greater than the number of deputies to be elected, and it
shall be valid if the number of candidates voted for is equal to or less than the number of deputies to be elected.

   Article 29 In a direct election, the election shall be valid if more than half of all the voters in an electoral district cast their votes.
Candidates for deputies shall be considered elected only when they have obtained more than half of the votes cast by the voters who
take part in the election.

In an election held by the servicemen congress, candidates for deputies shall be considered elected only when they have obtained more
than half of the votes cast by all the delegates.

   Article 30 Where the number of the candidates who have obtained more than half of the votes exceeds the number of deputies to be elected, the
ones who have obtained more votes shall be considered elected. Where the number of votes for some candidates is tied, making it impossible
to determine the ones to be elected, another balloting shall be conducted for these candidates to resolve the tie, and the ones who
have obtained more votes shall be considered elected.

Where the number of elected deputies who have obtained more than half of the votes is less than the number of deputies to be elected,
another election shall be held to make up the difference. When another election is held, the name list of candidates shall, by order
of the number of votes they have obtained in the first balloting, be determined in accordance with the proportion for competitive
election as provided in Article 19 of these Measures. If only one deputy is to be elected, the number of candidates shall be two.

When another election is held to elect deputies to a people’s congress at the county level in accordance with the provisions in the
preceding paragraph, the candidates who have obtained more votes shall be considered elected; however, the number of the votes they
have obtained shall not be less than one-third of the votes cast. When another election is held by the servicemen congress at or
above the regimental level to elect deputies to the people’s congresses of a city divided into districts, an autonomous prefecture,
province, autonomous region or municipality directly under the Central Government or to the National People’s Congress, the candidates
shall be considered elected only when they have obtained more than half of the votes cast by all the delegates to the servicemen
congress.

   Article 31 The election committee or the servicemen committee shall determine, in accordance with the provisions in these Measures, whether
or not the result of an election is valid and shall announce it accordingly.

CHAPTER VII SUPERVISION OVER AND RECALL OF DEPUTIES AND BY-ELECTION

   Article 32 All deputies elected from the PLA to the National People’s Congress and local people’s congresses at or above the county level are
subject to supervision by the voters and the electoral units which elected them. Both the voters and electoral units shall have the
right to recall the deputies elected by them.

   Article 33 With respect to deputies to the people’s congress at the county level, a group of at least ten voters in the electoral district may
submit a demand in writing to the election committee at the brigade or regimental level for the recall of a deputy they elected.

In a demand for the recall of a deputy, the reasons for the recall shall be clearly stated. The deputy proposed to be recalled shall
have the right to defend himself at the servicemen assembly or may present a written statement in his own defence.

The election committee at the brigade or regimental level shall print and distribute the demand for the recall of a deputy and the
written defence of the deputy proposed to be recalled to the voters in the electoral district from which he was elected.

When the demand for the recall is put to vote, the election committee at the brigade or regimental level shall preside over it.

   Article 34 When a servicemen congress is in session, an election committee at or above the regimental level may submit a proposal for the recall
of a deputy to the people’s congress who was elected by the servicemen congress. In such a proposal, the reasons for the recall shall
be clearly stated.

When a servicemen congress is in session, the deputy proposed to be recalled shall have the right to defend himself or submit a written
defence. The proposal for the recall shall be put to vote after it is examined by the congress.

   Article 35 The proposal for the recall of a deputy shall be voted by secret ballot.

   Article 36 The recall of a deputy to the people’s congress at the county level shall be subject to adoption by a majority vote of the voters
in the electoral district from which the deputy was elected.

The recall of a deputy elected at a servicemen congress to the people’s congress shall be subject to adoption by a majority vote of
the delegates to that servicemen congress.

The resolution on the recall shall be reported for the record to the standing committee of the people’s congress at the corresponding
level and to the PLA election committee at the next higher level.

   Article 37 Deputies elected from the PLA to the people’s congress of a city divided into districts, an autonomous prefecture, province, autonomous
region or municipality directly under the Central Government or to the National People’ Congress may submit their written resignations
to the election committees of the electoral units that elected them. Deputies elected from the PLA to the people’s congress at the
county level may submit their written resignations to the election committees or servicemen committees of the electoral districts
from which they were elected. When the request of a deputy for resignation is granted by a servicemen congress or by a servicemen
assembly, the matter shall be reported for the record to the standing committee of the people’s congress at the corresponding level
and to the PLA election committee at the next higher level.

   Article 38 If a deputy’s post becomes vacant for some reason during his term of office, the electoral district or electoral unit which elected
him shall hold a by-election to fill the vacancy.

If a deputy elected from the PLA to a local people’s congress at or above the county level is transferred out of his administrative
region during his term of office, he is automatically disqualified as deputy and a by-election shall be held to fill the vacancy.

When a by-election is conducted to fill the vacant posts of deputies, the number of candidates may be greater than or equal to the
number of deputies to be elected.

CHAPTER VIII SUPPLEMENTARY PROVISIONS

   Article 39 Expenses for elections in the PLA shall be covered by military expenditure.

    






PROVISIONS ON THE ADMINISTRATION OF THE DEVELOPMENT AND OPERATION OF URBAN REAL ESTATE

Provisions on the Administration of the Development and Operation of Urban Real Estate

     CHAPTER ONE GENERAL PROVISIONS CHAPTER TWO REAL ESTATE DEVELOPERS CHAPTER THREE REAL ESTATE DEVELOPMENT AND CONSTRUCTION CHAPTER FOUR
REAL ESTATE OPERATION CHAPTER FIVE LEGAL RESPONSIBILITIES CHAPTER SIX SUPPLEMENTARY PROVISIONS

Article One In order to standardize the real estate development and operation behaviors, strengthen the supervision and administration
of urban real estate development and operation activities and promote and safeguard the healthy development of the real estate sector,
these articles are hereby formulated in accordance with the Urban Real Estate Administrative Law of the People’s Republic of China.

Article Two Real estate development and operation referred to in these articles shall mean the behaviors of real estate developers
who carry out infrastructural facilities construction, housing construction and transfer real estate development projects or sell
or lease commercial housing on the state-owned land within an urban planning zone.

Article Three Real estate developers and operators shall, in line with the principle of combining economic, social and environmental
returns, develop an overall plan, have a rational layout, conduct comprehensive development and construct supporting facilities.

Article Four The competent construction administrative authorities under the State Council shall be responsible for the work of supervising
and administering the real estate development and operation activities throughout the country.

The competent real estate development authorities of local people’s governments above the county level shall be responsible for the
work of supervising and administering the real estate development and operation activities within their respective administrative
jurisdiction.

The competent land administration authorities of the people’s government above the county level shall be responsible for the work
of land administration related to real estate development and operation in conformity with relevant laws and administrative regulations.

CHAPTER TWO REAL ESTATE DEVELOPERS

Article Five To set up a real estate developer, in addition to the need to comply with the conditions for the establishment of an
enterprise as stipulated in relevant laws and administrative regulations, the following conditions shall be met:

(1) The registered capital shall exceed RMB 1 million yuan;

(2) There shall be more than four full-time technical personnel with qualification certificates in the real estate major or the construction
engineering major and more than two full-time accountants with qualification certificates;

The people’s government at the provincial, autonomous and directly administered municipality level may, in line with local realities,
formulate provisions that exceed the conditions contained in the above paragraph regarding the registered capital and technical professionals
for the establishment of a real estate developer.

Article Six To set up a real estate developer involving foreign investment, in addition to the need to comply with the provisions
of Article Five of these rules, it shall also be imperative to go through relevant examination and approval formalities according
to the provisions of laws and administrative regulations governing foreign- invested enterprises.

Article Seven To set up a real estate developer, an application for registration shall be filed with the administrative authorities
for industry and commerce of the people’s government above the county level. The administrative authorities for industry and commerce
shall, within 30 days upon receipt of the application, grant registration if the conditions as stipulated in Article Five of these
rules are met; reasons for the refusal of registration shall be explained if such conditions are not met.

When the administrative authorities for industry and commerce examine the application for registration for the establishment of a
real estate developer, they shall solicit the opinion of the real estate development authorities at the same level.

Article Eight Within 30 days upon obtaining the business license, a real estate developer shall present the following documentation
for recordation purposes to the real estate development authorities where the registration authorities are located:

(1) A copy of the business license;

(2) The articles of association of the enterprise;

(3) The certificate of investment verification;

(4) The identity certificate of the legal representative of the enterprise;

(5) The qualification certificates and employment contracts of its technical professionals.

Article Nine The real estate development authorities shall, based upon the assets, technical professionals and development and operation
performance of a real estate developer, verify and determine the grade of qualification and quality of a recorded real estate developer.
The real estate developer shall, in line with the verified and determined grade of qualification and quality, undertake corresponding
real estate development projects. The specific methods shall be formulated by the construction administrative authorities under the
State Council.

CHAPTER THREE REAL ESTATE DEVELOPMENT AND CONSTRUCTION

Article Ten In determining a real estate development project, it shall be imperative to comply with the requirements as contained
in the overall plan for land use, the annual plan for land for construction and the annual plan for urban planning and real estate
development. If, in compliance with the State’s relevant provisions, the approval of the planning authorities is required, it shall
be imperative to make a submission for the approval of the planning authorities and incorporate the project into the annual fixed
assets investment plan.

Article Eleven In determining a real estate development project, it shall be imperative to persist in the principle of combining renovation
of existing areas with construction of new areas, attach importance to the development of sections where the infrastructural facilities
are weak, traffic is jammed, environmental pollution is serious and dilapidated housing is centered, protect and improve the urban
ecological environment, and protect historical and cultural legacy.

Article Twelve The land used for real estate development shall be obtained by transfer, with the exception of cases whereby the provisions
of laws and the State Council permit the adoption of the allocation approach.

Prior to the transfer or allocation of the land use right, the urban planning administrative authorities and the real estate development
authorities of the local people’s government above the county level shall present their written opinions regarding the following
items and form one of the basis for the transfer or allocation of the land use right:

(1) The nature, scale and development tenure of the real estate development project;

(2) The designing conditions for urban planning;

(3) The requirements for the construction of infrastructural and public facilities;

(4) Definition of the property right of infrastructural facilities after completion; and

(5) The requirements for relocation compensation and resettlement of the project.

Article Thirteen For a real estate development project, the equity fund system shall be established; the equity fund shall account
for no less than 20% of the total project investment.

Article Fourteen Development and construction of a real estate development project shall be accompanied by an overall plan for supporting
infrastructural facilities and such a plan shall be implemented based on the principle of the underground portion having priority
over the ground portion.

Article Fifteen The real estate developer shall develop and construct a project in compliance with the purpose of land use and the
time limit for development startup as agreed upon in the contract on the transfer of the land use right. Failure to start up the
project development one full year after the expiry of the time limit agreed upon in the transfer contract may lead to the imposition
of a land idling fee amounting to less than 20% of the payment for the transfer of the land use right; if development fails to start
two full years after expiry, the land use right may be taken back without compensation, with the exception, however, of the situations
in which delays are caused by force majeure, action of the government or relevant government authorities, or early stage work necessary
for starting the development process.

Article Sixteen The real estate project, developed and constructed by a real estate developer, shall conform to the provisions of
relevant laws and regulations, technical standards for construction engineering quality, safety standards, construction engineering
prospecting, designing and execution, and contractual stipulations.

The real estate developer shall be responsible for the quality of a real estate project that it develops and constructs.

Prospecting, designing, executing and supervising agencies shall undertaken corresponding responsibilities on the basis of the provisions
of relevant laws and regulations or contractual stipulations.

Article Seventeen A completed real estate development project can be delivered for use only after passing the acceptance test; no
delivery for use shall be made without the acceptance test or without having passed the acceptance test.

Upon completion of a real estate development project, the real estate developer shall file an application for the acceptance test
with the real estate development authorities of the local people’s government above the county level where the project is located.
The real estate development authorities shall, within 30 days after receipt of the application for the acceptance test, organize
such relevant authorities or agencies as engineering quality supervision, planning, fire prevention and civil air defense to conduct
the acceptance test regarding contents involving public safety.

Article Eighteen Upon completion of a cluster real estate development project like a small residential section, a comprehensive acceptance
test shall be conducted in line with the provisions of the Article Seventeen of these rules and the following requirements:

(1) The situation regarding the implementation of the urban planning and designing conditions;

(2) The situation regarding the supporting infrastructural and public facilities as required by urban planning;

(3) The situation regarding the acceptance test of the engineering quality of individual engineering projects;

(4) The situation regarding the implementation of the relocation and resettlement; and

(5) The situation regarding property management.

If cluster real estate development projects like a small residential section are developed in phases, the acceptance test may be conducted
in phases.

Article Nineteen The real estate developer shall record the main events in the course of construction of a real estate development
project in the real estate development project manual and submit it on a regular basis to the real estate development authorities
for recordation purposes.

CHAPTER FOUR REAL ESTATE OPERATION

Article Twenty To transfer a real estate development project, the conditions as contained in Articles Thirty-eight and Thirty-nine
of the Urban Real Estate Administrative Law of the People’s Republic of China shall be met.

Article Twenty-one To transfer a real estate development project, the transferor and the transferee shall, within 30 days after the
completion of the formalities for the change in registration of the land use right, present the contract on the transfer of the real
estate development project to the real estate authorities for recordation.

Article Twenty-two When a real estate developer transfers a real estate development project, if the relocation compensation and resettlement
have not been finished, the rights and obligations in the original relocation compensation and resettlement contract shall accordingly
be transferred to the transferee. The project transferor shall notify the relocated person in written form.

Article Twenty-three A real estate developer pre-sells commercial housing shall comply with the following conditions:

(1) It has paid all the fee for the transfer of the land use right and obtained the certificate of the land use right;

(2) It has the construction engineering planning license and the execution license;

(3) Calculated according to the pre-sold commercial housing made available, it has inputted over 25% of the total investment for construction
of the project and determined the execution schedule and the date for completion and delivery; and

(4) It has gone through formalities for pre-sale registration and obtained the commercial housing pre-sale permit.

Article Twenty-four When applying for commercial housing pre-sale, a real estate developer shall submit the following documentation:

(1) The certificates as stipulated in Sections (1) through (3) of Article Twenty-three of these rules;

(2) The business license and the certificate of qualification and quality;

(3) The engineering execution contract;

(4) The floor-by-floor plane map of the commercial housing to be presold; and

(5) The program for the pre-sale of commercial housing.

Article Twenty-five The real estate development authorities shall, within 10 days upon receipt of the application for commercial housing
pre-sale, make a reply agreeing or disagreeing to the pre-sale. In case of agreement to presale, a commercial housing pre-sale permit
shall be issued; and in case of disagreement to pre-sale, reasons shall be explained.

Article Twenty-six The real estate developer shall not make any untruthful advertisement; in the commercial housing pre-sale advertisement,
the document number of the commercial housing pre-sale permit.

Article Twenty-seven In the course of commercial housing pre-sales, the real estate developer shall show the commercial housing pre-sale
permit.

The real estate developer shall, within 30 days upon the signing of a commercial housing pre-sale contract, go to the real estate
development authorities and the land administrative authorities of the people’s government above the county level where the commercial
housing is located.

Article Twenty-eight For commercial housing sales, both parties shall sign a written contract. The contract shall stipulate the floor
space, usable floor area, price, delivery date, quality requirements, property management method and default responsibilities for
the commercial housing.

Article Twenty-nine Should the real estate developer entrust an intermediary to act as agent for commercial housing sales, it shall
issue an entrustment certificate to the intermediary. When the intermediary sells the commercial housing, it shall show to purchaser
of commercial housing the relevant certificates for the commercial housing and the entrustment certificate for the commercial housing
sales.

Article Thirty The price for the transfer of the real estate development project and for the sales of commercial housing shall be
negotiated through consultation between the parties concerned; however, the price for residential housing enpost_titled to the State’s
preferential policies shall be the government’s guidance price or the government-set price.

Article Thirty-one The real estate developer shall, when the commercial housing is delivered for use, present the purchaser with the
residential quality assurance certificate and the residential use instruction book.

The residential quality assurance certificate shall clearly list the quality grade verified by the engineering quality supervisory
agency, scope of warranty, period of warranty and the warranty agency. The real estate developer shall undertake the commercial housing
warranty responsibilities in line with the provisions contained in the residential quality assurance certificate.

Within the warranty period, if the original use functions are affected and losses are incurred to the purchaser due to the warranty
of the commercial housing conducted by the real estate developer, the developer shall undertake compensation responsibilities according
to law.

Article Thirty-two After commercial housing is delivered for use, if the purchaser thinks that the quality of the major structure
is sub- standard, an application may be filed with the engineering quality supervisory agency for re-verification. If verification
proves that the quality of the major structure is indeed sub-standard, the purchaser has the right to ask for refunding; if losses
have been incurred to the purchaser, the real estate developer shall under compensation responsibilities according to law.

Article Thirty-three The purchaser of pre-sold commercial housing shall, within 90 days upon delivery for use of the commercial housing,
go through the formalities for change in the land use right and the registration of house ownership; the purchaser of spot commercial
housing shall, within 90 days upon signing of the sales contract, go through the formalities for change in the land use right and
the registration of house ownership. The real estate developer shall assist the purchaser of the commercial housing in going through
the formalities for change in the land use right and the registration of house ownership and provide necessary certificates.

CHAPTER FIVE LEGAL RESPONSIBILITIES

Article Thirty-four In case of unauthorized engagement in real estate development and operation in violation of the provisions of
these rules and without the business license, the administrative authorities for industry and commerce of the people’s government
above the county level shall order the termination of real estate development and operation activities, confiscate the illegal gains,
and decide at its discretion to impose a fine amounting to less than five times the illegal gains.

Article Thirty-five In case of unauthorized engagement in real estate development and operation in violation of the provisions of
these rules and without the certificate of qualification and quality or in excess of the certificate of qualification and quality,
the real estate development authorities of the people’s government above the county shall order a time limit for corrective measures
and impose a fine amounting to between RMB 50,000 yuan and RMB 100,000 yuan; if no corrective measures are taken after the deadline,
the administrative authorities for industry and commerce shall revoke its business license.

Article Thirty-six In case of delivery for use of housing which has not gone through the acceptance test in violation of these rules,
the real estate development authorities of the people’s government above the county shall order a deadline for the developer to go
through the formalities for the acceptance test; if such formalities are not gone through after the deadline, the real estate development
authorities of the people’s government above the county shall organize relevant authorities and agency to conduct the acceptance
test and impose a fine amounting to between RMB 100,000 yuan and RMB 300,000 yuan. If the acceptance test is not passed, punitive
measures shall be taken according to the stipulations of Article Thirty-seven of these rules.

Article Thirty-seven In case of delivery for use of housing which has not passed the acceptance test in violation of these rules,
the real estate development authorities of the people’s government above the county shall order repairs within a deadline and impose
a fine amounting to less than 2% of the total building cost of the housing delivered for use; if the act is serious in nature, the
administrative authorities shall revoke the license; if losses are incurred to the purchaser, compensation responsibilities shall
be undertaken; and, if serious casualties, accidents or other serious consequences have been caused and criminal offices committed,
the criminal liabilities shall be investigated and dealt with according to law.

Article Thirty-eight In case of unauthorized transfer of a real estate development project in violation of the stipulations of these
rules, the land administration authorities of the people’s government above the county shall order a termination of the law-breaking
activities, confiscate illegal gains and decide at its discretion to impose a fine amounting to less than five times the legal gains.

Article Thirty-nine In case of unauthorized pre-sale of the commercial housing in violation of the stipulations of these rules, the
real estate development authorities of the people’s government above the county shall order a termination of the law-breaking activities,
confiscate illegal gains and decide at its discretion to impose a fine amounting to less than 1% of the already collected pre-payments.

Article Forty When any State authorities employee neglect his duties, play favoritism and commit irregularities and abuse his powers,
if criminal offenses are committed, the criminal liabilities shall be investigated and dealt with according to law; if such acts
do not constitute criminal offenses, administrative punishments shall be meted out according to law.

CHAPTER SIX SUPPLEMENTARY PROVISIONS

Article Forty-one In terms of real estate development and operation on the state-owned land inside the urban planning zone and in
terms of the exercise of supervision and administration of real estate development and operation, these rules shall be used as references.

Article Forty-two The collectively-owned land within the urban planning zone can only be used for real estate development and operation
after such land has been appropriated and converted into state-owned land according to law.

Article Forty-three These rules shall go into effect as from the date of promulgation.

    






REGULATION ON THE CUSTOMS’ PROTECTION OF INTELLECTUAL PROPERTY RIGHT

Regulation of the PRC on the Customs’ Protection of Intellectual Property Right

     CHAPTER I GENERAL PRINCIPLE CHAPTER II RECORD CHAPTER III APPLICATION CHAPTER IV PROCEDURE FOR INVESTIGATION AND PUNISHMENT CHAPTER
V LEGAL RESPONSIBILITY CHAPTER VI ATTACHMENT

   Article 1 This regulation is formulated in accordance with concerned laws of the People’s Republic of China, in order to enforce the customs’
Protection of intellectual property right, promote exchange of foreign economy, trade, technology and culture, safeguard social public
interests.

   Article 2 This regulation is applicable to intellectual property including copyright, patent and the right to exclusive use of Trade Marks,
which is relating to imported or exported goods and protected by the laws and administrative regulations of the people’s Republic
of China.

   Article 3 Import or export of the goods is forbidden, as long as they infringe the intellectual property right protected by the laws and administrative
regulations of the people’s Republic of China (called infringing goods for short following).

   Article 4 The customs of the People’s Republic of China enforce the protection of the intellectual property right relating to imported or exported
goods, exercise concerned power stimulated by the customs law of the People’s Republic of China.

   Article 5 Consignees of imported goods or consigners of exported goods and their agent (called consignees or consigners by a joint name following)
shall declare honestly to the Customs the state of intellectual property relating to imported or exported goods and submit concerned
documents for verifying.

   Article 6 If intellectual property right owners and their agents (called intellectual property owners by a joint name following) require the
customs to enforce the protection of their intellectual property relating to imported or exported goods, they shall report their
intellectual property right to the Customs for the record and file an application with the Customs to take protection measures when
they consider it necessary.

   Article 7 When the Customs enforce the protection of intellectual property right, they shall keep the trade secrets of concerned parties.

   Article 8 Intellectual property right owners shall submit written applications to the Customs when they apply for the records of the Customs’
protection of intellectual property right.

The application shall include:

(1) The name or the surname and personal name, registration place or nationality, domicile, legal representative and principal business
place of intellectual property owners.

(2) Registrative number, content and period of validity of registered trademark, number, content and period of validity of patent
of concerned content of copyright.

(3) Name and place of production of the goods relating to intellectual property.

(4) Persons authorized or licensed to use the intellectual property.

(5) The circumstances of principal importing or exporting customs, importer or exporter, principal features, prices of the goods relating
to intellectual property.

(6) The circumstances of the producer, importer or exporter, principal importing or exporting customs principal features, prices of
the known infringing goods.

(7) Other circumstances that the Customs General considers necessary to illustrate.

When the application is submitted, following documents shall be enclosed:

(1) Copy of identification card, transcript of registration certificate or copy attested by registration organs of intellectual property
owner.

(2) Copy of registration certificate of registered trademark, copy of announcement of transfer of registered trademark approved by
Trademark Bureau or use of trademark license contract entered in the records of Trademark Bureau, copy of patent certificate, transcript
of transfer of patent contract registered and announced by Patent Bureau, copy of use of patent license contract or certificate or
proof of copyright.

(3) Other documents that the Customs General consider necessary to be enclosed.

   Article 9 The Customs shall notice the applicant whether the application is admitted to enter in the records within thirty days after receiving
all of the applying documents. If the Customs admit the record, they shall give record certificate of the customs’ protection of
intellectual property; If not, they should illustrate the reasons.

   Article 10 The period of validity of the Customs’ protection of intellectual property right shall be seven years, counted from the day the record
is admitted by the Customs General.

Subject to the validity of intellectual property, intellectual property owner may apply for a renewal of record within six months
before the period of validity of the record the customs’ protection of intellectual property right expires. The period of validity
for each renewal of record shall be seven years.

The record of the customs’ protection of intellectual property right shall be invalid of no application for renewal has been filed
before the period of validity of the record of the customs’ protection of intellectual property expires or the legal protection period
of the right to exclusive use of trademark, patent or copyright expires.

   Article 11 If the circumstances of the recorded intellectual property have changed, the intellectual property owner shall go through the formalities
of the change or cancel of record within ten days after the day when the authorities of intellectual authorities approve the change.

   Article 12 Intellectual property right owners who have entered in the record of the Customs may submit to the Customs located in importing or
exporting place the application to take protection measures of intellectual property right when they find that the goods which are
suspected of infringing is to enter or leave the country.

   Article 13 One shall submit written application of he require the customs to take protection measures of intellectual property.

The application shall include:

(1) Name of the intellectual property applied for protection, number of the Customs’ record.

(2) Name of the suspected infringer domicile legal representative, principal business place.

(3) Circumstances of the name, size of the suspected infringing goods.

(4) Circumstances of the port time, conveyance and consignee or consignor.

(5) concerned infringing proof.

(6) Measures the applicant requires the Customs to take.

(7) Other circumstances that the Customs consider necessary to submit.

   Article 14 If the applicant requires the Customs to detain the suspected infringing goods, the applicant should submit guarantees equal to C.I.F.
of imported goods or F.O.B. of exported goods.

   Article 15 If the intellectual property owner who requires the Customs to take protection measures of the intellectual property right hasn’t
enter in the records of the Customs General, he shall go through the formalities of the record of intellectual property in accordance
with Article 8 of these regulations when he applies with the customs.

   Article 16 If the application isn’t in conformity with the relevant provisions of this chapter, the Customs will not accept it.

CHAPTER IV PROCEDURE FOR INVESTIGATION AND PUNISHMENT

   Article 17

17. 1 If Customs, upon the petition of trademark or patent holder, decides to seize goods suspected of infringing the trademark or
patent, Customs must file a Customs Detaining Receipt and serve it on either the consignee or consignor of the goods and also notify
the petitioner in writing.

17. 2 The consignee or consignor of the seized goods has seven (7) days from the date of being served the Customs Detaining Receipt
to raise an objection to the customs seizure. The objection must be submitted in writing and explain the reasons they feel that their
goods do not violate any intellectual property rights. If no objection is filed within this seven (7) day period, the Customs Department
may conduct an investigation and depending on the outcome of the investigation, is enpost_titled to treat the seized goods as violating
a trademark or patent and deal with the goods accordingly. If the consignee or consignor submits an objection, Customs must immediately
notify the petitioner in writing that an objection has been made.

17. 3 The petitioner has fifteen (15) days from the date the written notification from the Customs Department is served, (as per Article
17. 1), to apply to the appropriate agency to deal with and commence an intellectual property infringement action in the People’s
Court.

   Article 18

18. 1 Customs has the right to detain goods suspected of infringing intellectual property rights registered with them. If goods are
detained, the Customs Department must serve either the consignee or consignor with a Customs Detaining Receipt and also notify the
intellectual property owner in writing. If the intellectual property owner submits a written petition for intellectual property protection
within three (3) days following the Customs Department’s written notification of the detained goods, the matter will be handled in
accordance with Article 17 of this regulation.

   Article 19

19. 1 A consignee or consignor of detained goods who maintains that his goods do not infringe any intellectual property rights, may
apply for clearance of the goods. A bailment bond in the amount equal to two (2) times the CIA import value of the goods or two (2)
times the FOB export value of the goods.

   Article 20

20. 1 If Customs detains goods suspected of violating intellectual property rights under the procedure described in Articles 17

    






REGULATIONS ON CIVIL AVIATION SECURITY

Regulations on Civil Aviation Security of the People’s Republic of China

     Whole document

Contents

Chapter I General Provisions

Chapter II Security Control in Civil Airport

Chapter III Security of Civil Aviation Operation

Chapter IV Security Inspection

Chapter V Penalty Provisions

Chapter VI Appendix

Chapter I General ProvisionsArticle 1

These Regulations are formulated for the purpose of safeguarding civilaviation activities against acts of unlawful interference,
maintaining theorder of civil aviation and ensuring the safety of civil aviation.Article 2

These Regulations are applicable to all civil aviation activities andto the units and individuals related to civil aviation activities
in theterritory of the People’s Republic of China.

These Regulations are applicable to civil aircraft possessing thenationality of the People’s Republic of China engaged in
civil aviationactivities outside the territory of the People’s Republic of China; unlessit is otherwise provided in international
treaties concluded orparticipated in by the People’s Republic of China.Article 3

Centralized management and division of responsibility shall beexercised in the work of civil aviation security.

The civil aviation public security department shall be responsible forthe centralized management, inspection and supervision
of the work ofcivil aviation security.Article 4

The local governments and civil aviation units concerned shallco-operate closely and safeguard civil aviation safety commonly.Article
5

Passengers, consignors, consignees and other persons entering anairport shall comply with the laws and regulations stipulated
for civilaviation safety control.Article 6

A civil airport operator and a civil aircraft operator shall fulfillthe following duties:

(1) Establish a civil aviation security programme of his own unit andreport to the competent civil aviation authorities under
the State Councilfor the record;

(2) Implement strictly the civil aviation security measures concerned;

(3) Carry out periodically civil aviation security training, andremove in time hidden dangers to the safety of civil aviation.

A foreign civil aviation enterprise operating air services to thePeople’s Republic of China shall submit its civil
aviation securityprogramme to the competent civil aviation authorities under the StateCouncil.Article 7

A citizen has the right to report to the civil aviation publicsecurity institute any premeditated seizure or destruction
of civilaviation aircraft or any other acts that endanger civil aviation safety.Article 8

Reward shall be given by the people’s government concerned or by thecompetent civil aviation authorities under the State Council
to a unit oran individual making outstanding contributions to safeguarding civilaviation safety.

Chapter II Security Control in Civil AirportArticle 9

The construction, modification or extension of civil airport(including the civil part in those airports joint-used by military
andcivil units) shall conform to the stipulations governing the constructionof civil airport security facilities of the competent
civil aviationauthorities under the State Council.Article 10

A civil airport shall be opened for use if it satisfies the securityconditions listed below:

(1) It has established an airport controlled area and is provided withfull-time security personnel;

(2) It has established protective fence and patrol passages up tostandard;

(3) It has established a security unit and is provided withcorresponding personnel and equipment;

(4) It has established a security facilities and is provided with thepersonnel and check-up equipments corresponding to the traffic
volume ofthe airport;

(5) It has established a full-time fire-fighting organization and isprovided with personnel and equipment in accordance with
the fire-fightinggrade of the airport;

(6) It has established a contingency plan and is provided withnecessary contingency rescue equipment.Article 11

The airpot controlled zone shall be divided, in accordance withsecurity requirements, into departure sterile area,
baggage sortingloading and unloading area, aircraft movement area, maintenance area andcargo storage area, etc. Security protection
facilities and distinct signsshall be set up respectively.Article 12

Strict security measures shall be established for the airportcontrolled area, and the area shall be of a closed type
and controlledseparately. The specific method of control shall be formulated by thecompetent civil aviation authorities under
the State Council.Article 13

All personnel and vehicles, while entering the airport controlledarea, must bear the airport controlled area pass and be
subject to theinspection of security personnel.

Airport controlled area pass shall be made, issued and controlled bythe civil aviation public security unit in accordance with
the regulationsconcerned of the competent civil aviation authorities under the StateCouncil.Article 14

In the aircraft movement area and the maintenance area, personnel andvehicles must follow the stipulated way. Vehicles and equipments
must beparked in designated positions. All personnel and vehicles must make wayfor aircraft.Article 15

The civil aircraft parked in an airport must be guarded by speciallyassigned persons; the departments concerned and their
working personnelmust strictly implement aircraft handing over and taking over procedure.Article 16

The following acts are prohibited in an airport:

(1) Climbing up and over (penetrate) or damage airport protectivefence and other security protection facilities;

(2) Hunting, herding, sunning grain or train vehicle driver in airportcontrolled zone;

(3) Entering airport controlled area without airport pass;

(4) Crossing aircraft runway or taxiway at will;

(5) Forcibly boarding or occupying an aircraft;

(6) Making a false report on dangerous situation and creatingconfusion;

(7) Any other acts disturbing the order in airport.

Chapter III Security of Civil Aviation OperationArticle 17

The carrier and its agent, in selling passenger ticket, must complywith the regulations concerned of the competent civil aviation
authoritiesunder the State Council; no passenger ticket shall be sold if notconforming to regulations.Article 18

The carrier, in performing the formalities for transportation, mustcheck up passengers and baggage in the aircraft.Article
19

The carrier must check the number of passengers when they board theaircraft.

The baggage of the passengers already checked in but failed to boardthe aircraft shall not be loaded or retained in the aircraft.

If a passenger gets off the aircraft midway, his baggage must beunloaded.Article 20

The carrier must assign special persons to supervise the baggage andcargo during the storage period on ground and transportation
period.Article 21

The unit which prepares the supplies and loads them must ensure thesafety of such supplies loaded into the aircraft.Article
22

The work of security of an aircraft in flight shall be the unifiedresponsibility of the pilot-in-command.

The aviation security officer shall undertake the concrete work ofsecurity under the leadership of the pilot-in-command.

The pilot-in-command, aviation security officer and other crew membersshall strictly fulfill their duties and protect the safety
of the civilaircraft and of the persons and property carried therein.Article 23

The pilot-in-command, in performing his duties, may exercise thefollowing powers:

(1) Before the aircraft takes off he may refuse to take off if hediscovers that the party concerned failed to take the
security measuresprescribed in the Regulations for the aircraft;

(2) During the flight he may take necessary measures of restraintagainst a person who disturbs the order in the aircraft,
interferes withthe normal work of crew members and disregards any warning;

(3) During the flight he may take necessary measures against theseizure or destruction of the aircraft or any other
acts harmful toaviation safety;

(4) During the flight he can make the final decision regarding thedisposal of the aircraft in case of extraordinary circumstances.Article
24

The following acts interfering with the order of civil aviationoperation are prohibited:

(1) Scalp the certificate for purchasing ticket, passenger ticket andthe effective reservation certificate of air transport enterprise;

(2) Purchase ticket and go aboard an aircraft by using the identitycard of another person;

(3) Taking advantage of the passenger ticket to check or bring alongthe baggage not belonging to the passenger himself.

(4) Load into the aircraft articles which have not gone throughsecurity inspection or for which no other security measures
have beentaken.Article 25

The following acts are prohibited in an aircraft:

(1) Smoke in no smoking area;

(2) Race to occupy seat or baggage compartment (rack);

(3) Fight, get drunk, or pick a quarrel and make trouble;

(4) Steal, damage deliberately or move without authorizationlifesaving articles or appliances;

(5) Commit other acts endangering flight safety and disturbing theorder in aircraft.

Chapter IV Security InspectionArticle 26

Passengers and other persons aboard the aircraft, together with thebaggage they carry, must be subject to security inspection
except thoseexempted from inspection as prescribed by the State Council.

A person who refuses to go through security inspection shall be deniedboarding and bear the losses himself.Article 27

The security inspection personnel shall examine the ticket, identitycard and boarding pass of the passenger and carry
out the securityinspection of the passenger and his baggage with instrument or manually;the inspection may be stricter if necessary.

The passengers already gone through security inspection shall wait inthe departure sterile area for boarding the aircraft.Article
28

The working personnel (including crew members) and the articlesbrought along by them shall be subject to security
inspection whileentering the departure sterile area.

The persons meeting or seeing off the passengers as well as otherpersonnel must not enter the departure sterile area.Article
29

Diplomatic mail bags are exempted from security inspection. Diplomaticcouriers and other articles brought along by them shall
be subject tosecurity inspection, except those otherwise provided in internationaltreaties concluded or participated in by
the People’s Republic of China.Article 30

The cargo for air transportation must go through security inspectionor other security measures.

The cargo consignor must not consign an article with a false name orsecretly include dangerous articles among the goods.Article
31

Air mail must go through security inspection. In case a suspiciousmail is discovered, the security inspection department
and the postaldepartment shall jointly open it for examination and handling.Article 32

Unless otherwise provided by the State Council, the persons flying ina civil aircraft are prohibited from carrying with them
or consign fortransportation the following articles:

(1) Firearms, ammunition, weapons, police arms;

(2) Controlled knives;

(3) Inflammables, explosives, poisonous, erosive and radioactivearticles;

(4) Other contraband stipulated by the State.Article 33

Other articles which could be used to jeopardize flight safety, thoughnot included in Article 32, still must not be taken
by the passengerhimself. However they can be consigned as baggage or can be carried, inaccordance with the regulations stipulated
by the civil aviationauthorities of the State Council, by crew members and be taken back at thedestination.

Articles for daily use containing inflammable substance may be carriedin limited quantity. The articles to be carried in limited
quantity andthe quantity to be carried shall be specified by the competent civilaviation authorities of the State Council.

Chapter V Penalty ProvisionsArticle 34

Those who violates the provisions of Article 14 or commits an actlisted in Article 16, item (1) and (2) of Article 24 or
Article 25 of theRegulations shall be punished by the civil aviation public securityinstitute in accordance with the relevant
provisions of the “Regulationsof the People’s Republic of China on Administrative Penalties for PublicSecurity.”Article 35

Those who violates the relevant provisions in the Regulations shall bepunished by the civil aviation public security institute
in accordancewith the following provisions:

(1) A person who commits an act listed in item 4 of Article 24 may bepunished by warning or imposing a fine of less than 3,000
RMB;

(2) A person who commits an act listed in item 3 of Article 24 may bepunished by warning, confiscating his unlawful earnings
or imposing a fineof less than 5,000 RMB;

(3) A person who violates item 2 of Article 30 and Article 32 but notserious enough to constitute a crime, may be punished by
imposing a fineof less than 5,000 RMB, and confiscating or withholding the articlesunlawfully carried.Article 36

Where the provisions of these Regulations are violated in one of thefollowing circumstances; the competent civil aviation authority
may punishthe unit concerned by warning, stopping its business for rectification orimposing a fine of less than 50,000 RMB;
the civil aviation publicsecurity organ may punish the person directly responsible by warning orimposing a fine of less than
500 RMB:

(1) Cause an aircraft to be out of control in violation of theprovisions of Article 15;

(2) Sell passenger ticket in violation of the provisions of Article17;

(3) Fail to check the persons to fly in the aircraft and baggage bythe carrier in performing the formalities for transportation
in violationof the provisions of Article 18;

(4) Violate the provisions of Article 19;

(5) Fail to take security measures for the articles accepted fortransportation and to be loaded into the aircraft in
violation of theprovisions of Article 20, Article 21, item 1 of Article 30 and Article 31.Article 37

Those who violates the relevant provisions of the Regulations andconstitutes a crime shall be investigated for criminal
responsibility.Article 38

Those who violates the provisions of the Regulations, in addition tothe punishment prescribed in this Chapter, shall bear the
liability to paycompensation according to law for any loss caused by him to a unit or anindividual.

Chapter VI AppendixArticle 39

In the Regulations the meanings of the following expressions are:

“Airport controlled area” refers to the area defined in an airportaccording to the requirement of safety, the entry into and
exit from whichare subject to restriction.

“Departure sterile area” refers to the area defined in a terminalbuilding (lounge) according to the requirement of
safety, in whichdeparting passengers who have gone through security inspection wait toboard the aircraft, as well as boarding
passage and ferry vehicle.

“Aircraft movement area” refers to the area in an airport used for thetakeoff and landing and other ground movements concerned
of aircraft,including runway, taxiway, connecting taxiway and passenger apron.Article 40

The Regulations shall go into effect on the date of promulgation.

    






INTERIM MEASURES ON THE MANAGEMENT OF FOREIGN DEBTS

The State Development Planning Commission, the Ministry of Finance, the State Administration of Foreign Exchange

Decree of the State Development Planning Commission, the Ministry of Finance, and State Administration of Foreign Exchange

No.28

The Interim Measures on the Management of Foreign Debts which are enacted with a view to regulating the act of raising foreign debts,
bringing more benefits from the use of foreign debt funds, and avoiding the risk of foreign debts, and are hereby promulgated and
shall come into effect as of March 1, 2003.

Director of the State Development Planning Commission Zeng Peiyan

Minister of the Ministry of Finance Xiang Huaicheng

Director of the State Administration of Foreign Exchange Guo shuqing

January 8, 2003

Interim Measures on the Management of Foreign Debts

Chapter I General Provisions

Article 1

The present Measures are enacted with a view to regulating the act of raising foreign debts, bringing more benefits from the use foreign
debt funds, and avoiding the risk of foreign debts.

Article 2

The term “foreign debt” as mentioned in the present Measures refers to the debts owed by domestic institutions to non-residents in
the form of foreign currency.

Article 3

“Domestic institutions” as mentioned in the present Measures refers to the permanent bodies established according to law in the territory
of China, including but not limited to the governmental organs, domestic financial institutions, enterprises, institutions and social
organizations.

Article 4

“Nonresidents” as mentioned in the present Measures refer to the institutions and natural persons abroad, and the nonpermanent institutions
established according to law in the territory of China.

Article 5

In accordance with the classification of the debts, foreign debts shall be divided into loans offered by foreign governments, loans
offered by the international financial organizations and international commercial loans.

1.

Loans offered by the foreign governments refer to the official credit raised by the Chinese government from foreign governments;

2.

Loans offered by the international financial organizations refer to the noncommercial credit which the Chinese government owes to
the World Bank, Asia Development Bank, Agricultural Development Funds of the United Nations and other international or regional financial
organizations; and

3.

International commercial loans refer to the commercial credit which the domestic institutions owe to the nonresidents, including:

(1)

loans raised from overseas banks or other financial organizations;

(2)

loans borrowed from overseas enterprises, or other financial organizations and natural persons;

(3)

medium-term or long-term bonds (including convertible bonds) issued by foreign banks or short-term bonds (including commercial negotiable
instruments, and large amount transferable deposit receipts);

(4)

the buyers’ credit, deferred payment and trade finance in other forms;

(5)

international financial leases;

(6)

foreign currency deposits of nonresidents;

(7)

debts repaid in cash in compensation trade; and

(8)

international loans of other categories.

Article 6

According to the responsibility for the repayment, foreign debts may be divided into sovereign debts and non-sovereign debts.

1.

The sovereign debts refer to the foreign debts borrowed by the institutions authorized by the State Council in the name of the state
and guaranteed with the state credit for the repayment; whereas

2.

The non-sovereign debts refer to other foreign debts except as of the sovereign debts.

Article 7

“Foreign guaranty” mentioned in the present Measures refers to the guaranty provided by the domestic institutions for the nonresidents
in accordance with the Guaranty Law of the People’s Republic China through means of surety, mortgage, and pledge. Potential obligations
for the repayment of the foreign debts resulting from the foreign guaranty shall be regarded as feasible foreign debts.

Article 8

The State shall conduct an overall control over all of the foreign debts and feasible foreign debts. The borrowing of foreign debts,
guaranty for foreign debts, and the usage and repayment of foreign debts shall comply with the provisions of relevant laws, rules
and regulations of the State and comply with the present Measures.

Article 9

The State Development Planning Commission, Ministry of Finance, and State Administration of Foreign Exchange are the departments responsible
for the administration of foreign debts.

Chapter II Raising of Foreign Debts and Foreign Guaranty

Article 10

According to the need of the national economy and social development, and the conditions of the international income and expenses
and capacity of bearing foreign debts, the State Development Planning Commission shall, jointly with other relevant departments,
draw up the State’s plan for the borrowing of foreign loans, and rationally determine the overall amount of foreign debts and the
standards of their structural adjustment and control.

Article 11

The State shall, in compliance with the category of foreign debts, liability for repayment, and the nature of the borrowers, effect
separate management on foreign debts.

Article 12

Loans provided by international financial organizations or foreign governments shall be borrowed by the State in a consolidated way.

The State Development Planning Commission shall, jointly with other relevant departments like the Ministry of Finance, make overall
plans for loan projects to be chosen provided by the World Bank, Asia Developing Bank, Agricultural Development Funds of the United
Nations, and foreign governments; the Ministry of Finance shall, in accordance with the overall plans, organize the foreign negotiation,
consultation and conclusion of loan agreements, and the direct relending or relending through the relevant financial institutions
to the domestic debtors. The plans for the loan projects to be chosen provided by the World Bank, Asia Developing Bank, Agricultural
Development Funds of the United Nations, and some key foreign governments shall undergo approval by the State Council.

Article 13

Where the Ministry of Finance, in the name of the State, issues bonds abroad, the Ministry shall report to the State Council for approval,
which shall be included in the plans of foreign loans. Medium-term or long-term bonds issued by any other domestic institutions abroad
shall be subject to examination and verification by the State Development Planning Commission and Ministry of Finance, which shall
report the bonds to the State Council for approval.; short-term bonds issued abroad shall be subject to examination and approval
by the State Administration of Foreign Exchange; where the issue of short-term bonds is scrolled, the issue shall be subject to the
joint approval by the State Administration of Foreign Exchange and State Development Planning Commission and Ministry of Finance.

Article 14

With regard to the medium-term or long-term international commercial loans which national commercial banks raise, the State shall
enforce a balance control; the balance shall be subject to the examination and verification of the State Development Planning Commission
and other relevant departments, and then shall be reported to the State Council for examination and approval.

Article 15

Long-term or middle-term international commercial loans borrowed by domestic institutions such as enterprises with Chinese capital
shall be subject to approval by the State Development Planning Commission.

Article 16

With regard to the short-term international commercial loans which domestic institutions with Chinese capital raise, the State shall
exert a balance control; the balance be subject to examination and approval by the State Administration of Foreign Exchange.

Article 17

With regard to the foreign debts raised by foreign-capital financial institutions within China, the State shall enforce an administration
on the total amount. Measures on the administration shall be separately enacted.

Article 18

The summation of the accumulated medium-term and long-term debts borrowed by enterprises with foreign investment and the balance of
short-term debts shall not exceed the surplus between the total investment in projects approved by the verifying departments and
the registered capital.

Within the range of the surplus enterprises with foreign investment may borrow foreign loans at their own will. If the loans exceed
the surplus, the total investment in projects shall be reexamined by the original examination and approval departments.

Article 19

Foreign guaranty provided by domestic institutions for foreign debts shall be in compliance with the State’s laws, rules and regulations
and the relevant provisions of the State Administration of Foreign Exchange.

Article 20

Domestic institutions shall not provide guaranty for non-business external organizations.

Article 21

Without approval of the State Council, no governmental organs, social organizations or institutions shall raise foreign loans or provide
foreign guaranty.

Article 22

After a domestic institution has concluded a contract for foreign loans or providing foreign guaranty, it shall, in accordance with
relevant provisions, apply to the foreign exchange administration departments for registration. Contracts for international commercial
loans or contracts for the corresponding guaranty shall not enter into force until they are registered.

Chapter III Use of the Foreign Debt Capital

Article 23

Foreign debt funds shall be used in the economic development and structural adjustment of the stored foreign debts.

Article 24

Favorable foreign medium-term or long-term loans such as loans provided by the international financial organizations or foreign governments
shall be mainly used in the infrastructure and construction projects for public welfare, with preference to the western part of China.

Article 25

Medium-term or long-term international commercial loans shall be mainly used for introduction of advanced technology and equipment,
and for the adjustment of the structure of industries and structure of foreign debts.

Article 26

Medium-term or long-term foreign debt capital borrowed by domestic institutions shall, strictly according to the approved purposes,
be rationally used, and shall not be diverted for other purposes. Any necessary change of the purposes of use shall be subject to
approval through the original procedures.

Article 27

Short-term debts borrowed by domestic enterprises shall be mainly used as circulating funds, which shall not be used for medium-term
or long-term purposes such as in fixed assets.

Article 28

Where investment projects of fixed assets are funded with foreign debt capital, legal person responsibility system of a key project
shall be practiced so as to make the legal persons of the project responsible for the benefit of the use of the foreign debt capital.

If, in accordance with the Law of the People’s Republic of China on Bid Invitation and Bidding and the relevant provisions prescribed
by foreign organizations which lend the money, any purchase must be conducted through bid invitation; the bid invitation shall be
handled in strict accordance to the relevant provisions.

Article 29

Foreign debts regulatory departments shall be responsible for the administration and supervision of the use of foreign debt capital.

Article 30

The State Development Planning Commission shall, in accordance with the provisions of the Regulations on the Check of the Important
National Construction Projects, shall send specials to key national construction projects which are funded with foreign debt capital,
and shall perform inspection on the implementation of the projects and usage of the debts.

Chapter IV Repayment of Foreign Debts and Management of Risk

Article 31

Sovereign foreign debts shall be repaid by the State uniformly. If the sovereign foreign debt capital is relent to domestic debtors
directly by the Ministry of Finance or through financial institutions, the domestic debtors shall be liable for repayment of the
debts to the Ministry of Finance or to the financial institutions which handle the relending.

Article 32

Non-sovereign foreign debts shall be subject to the responsibility of the debtors themselves for risk and repayment.

Article 33

Debtors may fulfill the repayment of the debts with the foreign exchanges which they possess, or upon verification and approval by
foreign exchange regulatory departments, with foreign exchanges purchased with Renminbi.

Article 34

With respect to the debts which a debtor fails to repay, if there is a surety, the surety shall be responsible for the repayment of
the debts.

Article 35

If the surety needs, pursuant to the provisions of the contract for surety, to perform the obligation of repayment of the debts for
the debtor, the surety shall apply to the foreign exchange regulatory departments for verification for the performance of the contract
for surety.

Article 36

Debtors shall reinforce the management on the risk of foreign debts, and adjust and optimize the debt structure.

On the premise that the range of the original debts is not enlarged, debtors may, upon examination and approval of the State Development
Planning Commission, reduce the cost of foreign debts and optimize the their structure by means of repayment of foreign debts at
a higher cost with foreign debts borrowed at a lower cost. Therein, if the sovereign foreign debts are concerned, examination and
approval by the Ministry of Finance shall be needed.

Article 37

Debtors may, for the purpose of evasion of risk, entrust competent financial institutions to use financial tools to evade the exchange
rate risk and interest rate risk of the foreign debts.

Chapter V Supervision and Administration on Foreign Debts

Article 38

Foreign debt regulatory departments shall, pursuant to the laws, rules and regulations, and the relevant provisions of the present
Measures, conduct supervision and administration on foreign debts and foreign guaranty.

Article 39

When the foreign debt regulatory departments perform duties and responsibilities of supervision and administration, they are enpost_titled
to demand the debtors and relevant units to offer information concerned, check the bills and capital.

Article 40

If a domestic institution fails to perform the procedures of examination and approval or to fulfill the registration according to
the relevant provisions when it raises foreign debts or provides foreign guaranty, the contracts for loans or guaranty which it concludes
shall not be legally binding.

Article 41

Foreign debts or guaranty, which are not embodied in the form of contracts for foreign debts or guaranty, but actually constitute
obligations or potential obligations of repayment of foreign debts, shall be subject to the supervision and administration on foreign
debts according to the present Measures.

Article 42

Violation of the principle of pooling of interest and joint assumption of risk shall be forbidden so as to ensure that the direct
foreign investors will not raise foreign debts disguisedly by means of fixed return.

Article 43

Without approval by the foreign debts regulatory departments, overseas enterprises with Chinese capital shall not transfer the risk
of their foreign debts or obligations of repayment to domestic enterprises.

Article 44

If financial institutions operating foreign exchange business find any act that violates the present Measures in the course of opening
foreign exchange and foreign debts accounts, and handling the business of foreign exchange, they shall timely submit report to the
foreign debts regulatory departments concerned, and shall cooperate with the regulatory departments to carry out investigations.

Article 45

The foreign debt regulatory departments shall pay strict attention to the trends of the foreign debts, establish and perfect an overall
early warning system.

Article 46

The State Administration of Foreign Exchange shall be responsible for the monitoring of foreign debts through statistics, and regularly
publicize the statistical data of the foreign debts.

Article 47

If any domestic institution, in violation of the present Measures, raises foreign debts or provides foreign guaranty, its competent
department shall impose administrative sanction on the persons directly in charge or the other persons directly responsible. If the
offense constitutes a crime, criminal liability shall be pursued according to law.

Article 48

If a staff member of the foreign debt regulatory department engages in malpractices for personal gain, abuses his power or neglect
his duty, the department for which he works shall impose an administrative sanction on him. If the offense constitutes a crime, the
offender shall be subject to criminal liabilities.

Chapter VI Supplementary Provisions

Article 49

Loans raised by domestic institutions from the Special Administrative Regions of Hongkong and Macau, and from the Region of Taiwain
and guaranty provided for them, shall be subject to administration with reference to the present Measures.

Article 50

Foreign debts regulatory departments shall, according to the present Measures, enact and perfect the relevant regulations for the
implementation of the present Measures.

Article 51

The present Measures shall be subject to interpretation of the State Development Planning Commission, Ministry of Finance, and State
Administration of Foreign Exchange.

Article 52

The present Measures shall enter into force as of March 1, 2003.



 
The State Development Planning Commission, the Ministry of Finance, the State Administration of Foreign Exchange
2003-01-08

 







LETTER OF THE MINISTRY OF COMMERCE CONCERNING ASSISTING THE ESTABLISHMENT OF AN AID WORK MECHANISM FOR LABOR SERVICE ASSIGNED ABROAD






Letter of the Ministry of Commerce concerning Assisting the Establishment of An Aid Work Mechanism for Labor Service Assigned Abroad

Wai Jing Mao He Han [2003] No. 30
January 10, 2003

The people’s government of all provinces, autonomous regions, municipalities directly under the Central Government, and cities specifically
designated in the state plan,

China’s foreign-related labor service cooperation business developed rapidly, brought about good economic and social returns, and
played a positive role in increasing the foreign exchange revenue of the state, partly easing domestic employment pressure, bringing
along the development of local economy and promoting the reform and opening to the outside world during the past 20-odd years of
reform and opening to the outside world. It has become an important integral part of China’s export-oriented economy and the implementation
of the “going out” strategy. But with the continuous expansion of the scale of China’s foreign-related labor service cooperation
business, disputes and emergencies in respect of the labor service assigned abroad have gradually become more and more as well. Such
disputes or emergencies are usually paroxysmal, complicated and social, so if not disposed properly, they will influence the sound
development of China’s foreign-related cooperation cause and impair the reputation and image of China, or even trigger the unstable
factors of the society.

It is necessary to set up an aid work mechanism for labor services assigned abroad as soon as possible for the purpose of timely disposing
and solving the disputes and emergencies concerning labor service, actually protecting the legitimate rights and interests of the
workers assigned abroad as well as ensuring the sound development of the cause of China’s foreign-related labor service. In September
2001, the Ministry of Foreign Trade and Economic Cooperation began the pilot work of setting up aid centers for labor service assigned
abroad (hereinafter referred to as the aid centers) in Heilongjiang, Shanghai, Jiangsu and Zhejiang. At present, an aid Center has
been set up in Shanghai; a management and coordination team for outbound labor service has been set up in Zhejiang Province, the
general office of the provincial government takes the lead in the establish, simultaneously, involving the department of foreign
trade and economic cooperation, the department of labor and social security, the department of public security, the administration
for industry and commerce, department of foreign affairs, and the bureau of frontier defense. The aid centers of Heilongjiang and
Jiangsu provinces are still under construction. In September 2002, a complaint institution for workers assigned abroad was set up
by China International Contractors Association. The already set up institutions as mentioned above have obtained good effects ever
since began to implement the related work.

Taking into consideration what is stated above, the Ministry of Foreign Trade and Economic Cooperation believes that it is time to
set up an aid work mechanism for labor service assigned abroad. For this reason, in accordance with the actual situations, the people’s
governments of all provinces, autonomous regions, municipalities directly under the Central Government, and cities specifically designated
in the state plan should urge the foreign trade and economic cooperation commissions (departments and bureaus) under them to set
up an aid work mechanism for labor service assigned abroad and offer assistance to them to properly carry out the tasks as follows:

1.

Directing the foreign trade and economic cooperation commissions (departments, bureaus) to be fully aware of the importance of protecting
the legitimate rights and interests of the workers from the height of implementing the “Three Represents” Theory and urge them to
set up an aid work mechanism for labor service assigned abroad as soon as possible. The tasks of the aid work mechanism for labor
service assigned abroad include: to solve the disputes and emergencies both domestically and abroad happening to the workers assigned
abroad by the local enterprises with the foreign-related cooperative business qualifications, to accept the appeals of workers assigned
abroad as well as to provide policy consultation and legal aids to workers assigned abroad.

2.

An aid work mechanism for labor service assigned abroad may be set up in the forms as follows:

In case an aid center has been set up, it shall be run effectively and fully play its role. In case the basic conditions for setting
up an aid center are met, an aid center shall be set up as possible as can. In case the conditions for setting up an aid center are
not mature yet for the time being, an aid work mechanism for workers assigned abroad shall be set up in light of the actual situations
of this region, or there shall be a special department of the foreign trade and economic cooperation commission (department, bureau)
for providing aid to such workers.

3.

The name and contact information of the major persons-in-charge of the aid center already set up or of the aid work mechanism for
workers assigned abroad or of the special department designated by this commission (department or bureau) to (the Cooperation Department)
of the Ministry of Foreign Trade and Economic Cooperation shall be urged to be submitted at the end of February, 2003 by the foreign
trade and economic cooperation commission (department and bureau) of your province, autonomous region, municipality directly under
the Central Government or city under separate state planning.


Table of the Aid Work Mechanisms

￿￿

Table of the Aid Work Mechanisms of All Places for Labor Service Assigned Abroad

￿￿






￿￿

Province (City)

Name of Aid Mechanism Assigned Abroad

Contact Person

Tel

Fax

1

Beijing

Foreign Trade and Economic Cooperation Office of Beijing Foreign Trade and Economic Cooperation Commission

Zhao Weidong

010-65248762

010-65248762

2

Tianjin

Tianjin Aid Institution for Labor Service Assigned Abroad

Wang Jianxin

Li Liping

Song Yunping

022-23316905

022-83310768

022-23399725

022-23139482

022-23315231

022-23313152

3

Hebei Province

Leading Group of Hebei Province for the Management and Coordination of Labor Service of Assigned Abroad

Wang Deping

Rong Dan

0311-7044205

0311-7089689

0311-7041570

4

Shanxi Province

Aid Work Team of Shanxi Province for Labor Service Assigned Abroad

Yang Yushan

Wang Liping

Guo Xiangxiang

0351-3046214

0351-3046214

5

Inner Mongolia Autonomous Region

￿￿

￿￿

￿￿

￿￿

6

Liaoning Province

Foreign Trade and Economic Cooperation Office of the Foreign Trade and Economic Cooperation Department of Liaoning Province

Li Yan

Mu Dongyi

024-86892814

024-86892298-

7090

￿￿

7

Dalian

￿￿

￿￿

￿￿

￿￿

8

Jilin Province

Foreign Trade and Economic Cooperation Office of the Foreign Trade and Economic Cooperation Department of Jilin Province

Zeng Hong

0431-5624716

0431-5624772

9

Heilongjiang Province

￿￿

￿￿

￿￿

￿￿

10

Shanghai

Shanghai Aid Center for Labor Service Assigned Abroad

Mi Daming

021-63210165

021-63291984

11

Jiangsu Province

Management and Coordination Team Of Zhejiang Province for Outbound Labor Service

He Xiaoqun

0571-87706136

0571-87706029

12

Zhejiang Province

Coordination Team of Ningbo for Labor Service Assigned Abroad

Liu Xiaoyan

0574-87319285

0574-87328288

13

Ningbo

￿￿

￿￿

￿￿

￿￿

14

Anhui Province

Foreign Trade and Economic Cooperation Office of Foreign Trade and Economic Cooperation Department of Anhui Province

Hou Gexiong

0551-2831223

0551-2831287

15

Fujian Province

￿￿

￿￿

￿￿

￿￿

16

Xiamen

￿￿

￿￿

￿￿

￿￿

17

Jiangxi Province

Coordination Team of Jiangxi Province for Labor Service Assigned Abroad

Shui Dali

0791-6246230

0791-6246236

0791-6211405

18

Shandong Province

￿￿

￿￿

￿￿

￿￿

19

Qingdao Province

Cooperation Office of Qingdao Foreign Trade and Economic Cooperation Bureau

Wu Heng

05320-5918163

0532-5918135

0532-5910212

20

Henan Province

￿￿

￿￿

￿￿

￿￿

21

Hubei Province

Foreign Trade and Economic Cooperation Office of Hubei Foreign Trade and Economic Cooperation Department

Yang Qingsong

027-85774478

027-85774122

027-85773668

22

Hunan Province

Foreign Trade and Economic Cooperation Office of Hunan Foreign Trade and Economic Cooperation Department

Li Baosheng

0731-2285430

0731-2287181

23

Guangdong Province

Foreign Trade and Economic Cooperation Office of Guangdong Foreign Trade and Economic Cooperation Department

Fu Haikun

INTERIM PROVISION ON THE ESTABLISHMENT OF FOREIGN HOLDING AND WHOLLY FOREIGN-OWNED TRAVEL AGENCIES

The State Administration of Tourism, the Ministry of Commerce

Decree of the State Administration of Tourism of the People’s Republic of China and the Ministry of Commerce of the People’s Republic
of China

No.19

The Interim Provisions on the Establishment of Foreign Holding and Wholly Foreign-owned Travel Agencies are hereby promulgated upon
review and adoption at the director-general work meeting of the State Administration of Tourism of the PRC on May 19, 2003 and at
the second ministerial executive meeting of the Ministry of Commerce of the P.RC on June 10, 2003.

Director-General of the State Administration of Tourism He Guangwei

Minister of the Ministry of Commerce Lu Fuyuan

June 12, 2003

Interim Provision on the Establishment of Foreign Holding and Wholly Foreign-owned Travel Agencies

Article 1

In order to adapt to new situation upon China’s accession to the WTO and further open tourism to the outside world and promote the
development of travel agency industry, the Provision is formulated in accordance with the relevant laws and regulations of China
on foreign-invested enterprises, the Regulation on Travel Agency Management and the relevant provisions.

Article 2

The Provision is applicable to the foreign holding and wholly foreign-owned travel agencies established in China during transition
period prior to the scheduled term committed by China upon its accession to the WTO.

Article 3

The foreign investor for establishing a foreign holding agency shall be eligible for the following conditions:

(1)

Being a travel agency or an enterprise mainly undertaking tourism;

(2)

With total annual amount of tourism more than USD40m;

(3)

Being a member of the national (regional) association of tourism;

(4)

Being in good international credit with advanced management experience of travel agency;

(5)

Abiding by Chinese laws and the relevant Chinese regulations of tourism.

Article 4

For the foreign investor of wholly foreign-owned travel agency, besides meeting the conditions prescribed in Article 3 (1), (3),
(4) and (5) of the Provision, the annual total amount of tourism prescribed in (2) should be more than USD500m.

Article 5

The Chinese investor of a foreign holding agency shall meet the conditions prescribed in Article 29 of the Regulation of Travel Agency
Management.

Article 6

The foreign holding and wholly foreign-owned travel agency to be established shall meet the following conditions:

(1)

In compliance with development planning of tourism;

(2)

In compliance with the requirements of tourist market;

(3)

With investors meeting the conditions prescribed in Articles 3, 4 and 5 of the Provision; and

(4)

With registered capital no less than RMB4m.

Article 7

The eligible foreign investor can establish a foreign holding and wholly foreign-owned travel agency in the national tourist and holiday
area approved by the State Council and 5 cities, including Beijing, Shanghai, Guangzhou, Shenzhen and Xi’an.

Article 8

In general, for an investor applying for establishing foreign holding and wholly foreign-owned travel agencies, only one agency will
be approved.

Article 9

The Application for establishing foreign holding and wholly foreign-owned travel agencies shall be processed by reference with the
procedure for examining and approving of foreign-invested travel agencies as specified in the Regulation of Travel Agency Management.

Article 10

The foreign holding and wholly foreign-owned travel agencies may not directly or in disguise engage in tourism businesses relating
to going abroad of Chinese citizen or Chinese people in other regions going to Hong Kong, Macao, and Taiwan regions.

Article 11

The responsibility for interpretation of the Provision shall be vested with the State Administration of Tourism and the Ministry of
Commerce.

Article 12

The Provision shall come into force 30 days after their promulgation.

 
The State Administration of Tourism, the Ministry of Commerce
2003-06-12

 




MEASURES FOR COMPULSORY LICENSING OF PATENT IMPLEMENTATION

The State Intellectual Property Office

Order of the Director of the State Intellectual Property Office

No.31

The Measures for Compulsory Licensing of Patent Implementation has passed the review of the directorate meeting, which are hereby
promulgated and will come into force on as of July15, 2003.

The State Intellectual Property Office

June 13, 2003

Measures for Compulsory Licensing of Patent Implementation

Chapter I General Provisions

Article 1

In order to standardize implementing the granting, expenses determination and termination procedures for compulsory licensing of invention
patent or patent of utility models (hereinafter referred to as the compulsory licensing), the Measures are hereby formulated in accordance
with the Patent Law of the PRC (hereinafter referred to as the Patent Law), the Implementation Rules of the Patent Law of the PRC
(hereinafter referred to as the Implementation Rules of the Patent Law) and the relevant laws and regulations.

Article 2

The State Intellectual Property Office is in charge of the acceptance and investigation of the petitions and makes decisions on compulsory
licensing, the adjudication of the use fees of compulsory licensing and the termination of compulsory licensing.

Article 3

The petitions for granting compulsory licensing, for adjudication of the use fees of compulsory licensing and for termination of compulsory
licensing shall be handled with in Chinese in a written form.

In case the certificates, certification document submitted in compliance with the Measures are in foreign languages, the parties concerned
shall provide the translation version in Chinese at the same time, and failure to submit the Chinese version will be deemed as failure
to provide the relevant certificates or certification documents.

Article 4

When petitioning for the right holders of invention or patent of utility models to offer licenses in implementing their patents but
failing to obtain such licenses in a reasonable term, the unit eligible for such implementation may petition for granting of the
compulsory licensing in implementing the invention patent or patent of utility models according to the provision of Article 48 of
the Patent Law.

In case an invention or utility model obtaining patent is of material technological advancement in obvious economic significance as
compared with the previous one that has obtained patent and its implementation depends on the implementation of the previous invention
or utility model, the patent holder thereof may according to the provision of Article 50 of the Patent Law petition for granting
the compulsory licensing in implementing the former patent, and vise versa.

In emergency or irregular event of the state, or for the purposes of public interest, the competent department under the State Council
is enpost_titled to grant the compulsory licensing for implementing the invention patent or patent of utility models as per the petitions
based on the provisions of Article 49 of the Patent Law.

Article 5

When authorizing the patent agency to submit the petition for compulsory licensing, the petitioner shall provide the power of attorney
and the authority indicated.

When there are no less than two petitioners without authorized patent agency, unless otherwise stated in the petition, the first petitioner
indicated in the petition shall be deemed as the representative.

Chapter II Review and Decisions of Petitions for Compulsory Licensing

Article 6

When petitioning for grant of compulsory licensing, an application for compulsory licensing should be submitted to the State Intellectual
Property Office, indicating the following items:

(I)

Name and address of the petitioner;

(II)

Nationality of the petitioner or the country where the headquarters is located;

(III)

The name, patent number, date of application and date of authorized announcement of the invention patent or patent of utility models
relating to the petitioned compulsory licensing;

(IV)

Name of the right holders of the invention patent or patent of utility models relating to the petitioned compulsory licensing;

(V)

Reasons and facts for petitioning for grant of the compulsory licensing;

(VI)

When authorizing a patent agency, the petitioner shall indicate the relevant items; and in case there is no authorized patent agency,
name, address, postcode and contact telephone of the contact person should be indicated;

(VII)

The signature or stamp of the petitioner; and if there is an authorized agency, the stamp of the agency is required also;

(VIII)

List of the attached documents;

(IX)

Other items required to state.

The petition and attached documents should be executed in two copies.

Article 7

In case a petition for compulsory licensing relating to multiple invention patent or patent of utility models involves two or more
patent right holders, different petitions should be submitted to different patent right holders.

Article 8

In any of the following cases relating to the compulsory licensing, the State Intellectual Property Office will not accept the petition
with notification to the petitioner:

(I)

the patent number of the invention patent or patent of utility models relating to the petitioned compulsory licensing is not clear
or is hard to identify;

(II)

The petitioning documents without Chinese version;

(III)

Obviously no reason available for petitioning compulsory licensing.

Article 9

In case the petitioning documents do not meet the provisions of Articles 6 and 7 of the Measures, the petitioner shall within 15 days
upon receipt of the notice make up for the documents. In case of failure to making up for the documents required, the petition will
be deemed as no submission.

The petitioner shall within a month upon the petition for compulsory licensing pay the petitioning fees of compulsory licensing; and
in case of nonpayment or insufficient payment of such petitioning fees, the petition will be deemed as no submission.

Article 10

In terms of the petitions for compulsory licensing in compliance with the provisions of the Patent Law, the Implementation Rules of
the Patent Law and the Measures, the State Intellectual Property Office shall send the copy of the petition to the patent right holders.
The patent right holders shall state their opinions within the time schedule specified. In case of no reply beyond the time schedule,
the State Intellectual Property Office may make a decision as usual.

Article 11

The State Intellectual Property Office shall review the reasons stated by the petitioner and the relevant certification documents.
In case of field verification required, the State Intellectual Property Office shall assign no less than two persons to carry out
the field verification.

In case the reasons stated by the petitioner and the relevant certification documents are insufficient or false, the State Intellectual
Property Office may prior to the refusal to the petition of compulsory licensing send notification to the petitioner for providing
the latter with an opportunity for statement of its opinions.

Article 12

In case the petitioner or the patent right holders request for hearing, the State Intellectual Property Office may organize a hearing.

The State Intellectual Property Office shall seven days before the hearing send notification to the petitioner, patent right holders
and other persons of interest.

Except for involvement of state secrets, commercial secrets or personal privacy, the hearing should be held in open session.

When the State Intellectual Property Office is holding a hearing, the petitioner, patent right holders and other persons of interest
may defend and make cross-examination.

The hearing should be recorded in writing, which should be singed or stamped upon confirmation without error by the participants.

The hearing procedure is not applicable to the petitions for grant of compulsory licensing according to the provisions of Article
49 of the Patent Law.

Article 13

In any of the following cases, the State Intellectual Property Office shall made a decision on refusal to the petition for compulsory
licensing, with notification sent to the petitioner:

(I)

the petitioner is not an eligible subject as specified by Article 4 of the Measures;

(II)

The reasons for petitioning the grant of the compulsory licensing are not in compliance wit the provisions of Articles 48, 49 and
50 of the Patent Law;

(III)

The reasons are not in compliance with the provision of Article 72 of the Implementation Rules of the Patent Law when the petition
for compulsory licensing involves the invention and creation of semiconductor technologies.

If objecting to the decision of refusal to the petition of compulsory licensing, the petitioner may institute a lawsuit with the people￿￿s
court within three months upon receipt of the notice.

Article 14

The petitioner may withdraw its petitions for compulsory licensing from time to time, and in case the petitioner withdraw its petitions
prior to the decision by the State Intellectual Property Office, the review procedures for the petition of compulsory licensing terminates.

In case of reaching a licensing contract on patent implementation by and between the petitioner and the patent right holder prior
to the decision by the State Intellectual Property Office, timely notice should be given to the State Intellectual Property Office
and the petition for compulsory licensing should be withdrawn directly.

Article 15

In case of no reason for refusal to the petition of the compulsory licensing through review, the State Intellectual Property Office
shall make a decision on granting compulsory licensing, with the following items stated:

(I)

Name and address of the individual or unit obtaining the compulsory licensing for patent implementation;

(II)

The name, patent number, date of application and date of authorized announcement of the invention patent or patent of utility models
relating to the petitioned compulsory licensing;

(III)

Scope, scale and term of the compulsory licensing granted;

(IV)

Reasons, facts and legal basis for the decisions;

(V)

The stamp of the State Intellectual Property Office and the signature of the responsible persons;

(VI)

Date of decisions; and

(VII)

Other relevant matters.

The decisions on granting the compulsory licensing should be timely notified to the petitioner and the patent right holders.

Article 16

In case the patent right holders object to the decision of granting compulsory licensing, lawsuit may be brought at the people￿￿s
court in within three months upon the receipt of the notice.

Article 17

The decision that has come into force on granting compulsory licensing should be registered on the patent register and published on
the patent gazette of the State Intellectual Property Office, the government websites and China Intellectual Property News.

Chapter III Review and Finding of the Petitions for Adjudication of the Use Fees of the Compulsory Licensing

Article 18

The petitions for the State Intellectual Property Office to determine the use fees of the compulsory licensing shall be available
for the following conditions:

(I)

Publication of the decisions on granting the compulsory licensing;

(II)

The petitioner is the patent right holder or a unit or individual that obtains the compulsory licensing￿￿

(III)

Failure to reach an agreement through mutual consultation.

Article 19

In case of petitioning for determining the use fees of the compulsory licensing, an application should be submitted for adjudication
of the use fees of the compulsory licensing, indicating the following items:

(I)

Name and address of the petitioner;

(II)

Nationality of the petitioner or the country where the headquarters of the petitioner is located;

(III)

Document number that making the decisions on granting the compulsory licensing;

(IV)

Name and address of the petitioned;

(V)

Reasons for petition of the adjudication of the use fees of the compulsory licensing;

(VI)

When authorizing a patent agency, the petitioner shall indicate the relevant items; and in case there is no authorized patent agency,
name, address, postcode and contact telephone of the contact person should be indicated;

(VII)

The signature or stamp of the petitioner; and if there is an authorized agency, the stamp of the agency is required also;

(VIII)

List of the attached documents;

(IX)

Other items required to state.

The petition and attached documents should be executed in two copies.

Article 20

In any of the following cases relating to the petitions for the adjudication of the use fees of the compulsory licensing, the State
Intellectual Property Office may not accept the petitions, with notification sent to the petitioner:

(I)

The decisions involved on granting the compulsory licensing are not clear or not published;

(II)

The petitioning documents without Chinese version;

(III)

Obviously no reason available for petition for adjudication of the use fees of the compulsory licensing.

Article 21

In case the petitioning documents do not meet the provisions of Articles 49 of the Measures, the petitioner shall within 15 days upon
receipt of the notice make up for the documents. In case of failure to making up for the documents required, the petition will be
deemed as no submission.

The petitioner shall within a month upon the petition for compulsory licensing pay the petitioning fees of adjudication of the fsue
fees of the compulsory licensing; and in case of nonpayment or insufficient payment of such petitioning fees, the petition will be
deemed as no submission.

Article 22

In terms of the petitions for adjudication of the use fees of the compulsory licensing in compliance with the provisions of the Patent
Law, the Implementation Rules of the Patent Law and the Measures, the State Intellectual Property Office shall send the copy of the
petition to the counterpart. The counterpart shall state their opinions within the time schedule specified. In case of no reply beyond
the time schedule, the State Intellectual Property Office may make a decision as usual.

During the adjudication of the use fees of the compulsory licensing, the parties concerned may submit written opinions. The State
Intellectual Property Office may listen to the oral opinions of both parties as required by the actual circumstances of the case.

Article 23

The petitioner may withdraw its petitions for adjudication from time to time, and in case the petitioner withdraw its petitions for
adjudication prior to the decision by the State Intellectual Property Office, the adjudication procedures terminates.

Article 24

The State Intellectual Property Office shall within three months upon receipt of the petition make a decision on adjudication of the
use fees of the compulsory licensing.

Article 25

The decision on the adjudication of the use fees of the compulsory licensing shall indicate the following items:

(I)

Name and address of the individual or unit obtaining the compulsory licensing for patent implementation;

(II)

The name, patent number, date of application and date of authorized announcement of the invention patent or patent of utility models
relating to the petitioned compulsory licensing;

(III)

Reasons for the adjudication;

(IV)

The stamp of the State Intellectual Property Office and the signature of the responsible persons;

(V)

Date of decisions; and

(VI)

Other relevant matters.

The decisions on adjudication of the use fees of the compulsory licensing should be timely notified to both parties.

Article 26

In case the patent right holder and the unit or individual obtaining the compulsory implementation licensing objects to the decision
of the adjudication of the use fees of the compulsory licensing, lawsuit may be brought at the people￿￿s court in within three months
upon the receipt of the notice.

Chapter IV Review and Decision on Terminating the Petition for Compulsory Licensing

Article 27

The compulsory licensing automatically terminates upon the expiry of the valid term of the compulsory licensing specified by the decision
on granting the compulsory licensing.

When the compulsory licensing terminates automatically, announcement should be registered on the patent register and published on
the patent gazette of the State Intellectual Property Office, the government websites and China Intellectual Property News.

Article 28

In case the reasons for compulsory licensing are eliminated without reoccurrence prior to the expiry of the valid term of the compulsory
licensing specified in the decision on granting the compulsory licensing, the patent right holders may request for the State Intellectual
Property Office to make a decision on terminating the compulsory licensing.

In case of petitioning for terminating the compulsory licensing, an application should be submitted for terminating the compulsory
licensing, indicating the following items:

(I)

Name and address of the patent right holders;

(II)

Nationality of the patent right holders or the country where its headquarters is located;

(III)

Document number that makes the decisions on the compulsory licensing requested to terminate;

(IV)

Reasons for petition of terminating the compulsory licensing;

(V)

When authorizing a patent agency, the patent right holder shall indicate the relevant items; and in case there is no authorized patent
agency, name, address, postcode and contact telephone of the contact person should be indicated;

(VI)

The signature or stamp of the patent right holder; and if there is an authorized agency, the stamp of the agency is required also;

(VII)

List of the attached documents;

(VIII)

Other items required to state.

The patent right holder shall submit the petition application and attached documents in two copies.

Article 29

In any of the following cases relating to the petitions for terminating the compulsory licensing, the State Intellectual Property
Office may not accept the petitions, with notification sent to the petitioner:

(I)

The petitioner is not the right holders of the invention patent or the patent of utility model requested under the compulsory licensing;

(II)

The document number is not clear for the decision on granting the compulsory licensing requested to terminate are not clear or not
published;

(III)

The petitioning documents without Chinese version;

(IV)

Obviously no reason available for terminating the compulsory licensing.

Article 30

In case the petitioning documents do not meet the provisions of Articles 28 of the Measures, the petitioner shall within 15 days upon
receipt of the notice make up for the documents. In case of failure to making up for the documents required, the petition will be
deemed as no submission.

Article 31

In terms of the petitions for terminating the compulsory licensing in compliance with the provisions of the Measures, the State Intellectual
Property Office shall send the copy of the petition to the unit or individual that obtains the compulsory implementation licensing.
The unit or individual that obtains the compulsory implementation licensing shall state their opinions within the time schedule specified.
In case of no reply beyond the time schedule, the State Intellectual Property Office may make a decision as usual.

Article 32

The State Intellectual Property Office shall review the reasons stated by the patent right holder and the relevant certification documents.
In case of field verification required, the State Intellectual Property Office shall assign no less than two persons to carry out
the field verification.

In case the reasons stated by the patent right holder and the relevant certification documents are insufficient or false, the State
Intellectual Property Office may prior to making decision send notification to the patent right holder for providing the latter with
an opportunity for statement of its opinions.

Article 33

When holding that the reasons for petition of terminating the compulsory licensing do not hold water through review, the State Intellectual
Property Office shall make a decision on rejecting the petition of terminating the compulsory licensing.

If objecting to the decision on rejecting to the petition of terminating the compulsory licensing, the patent right holder may institute
a lawsuit with the people￿￿s court within three months upon receipt of the notice.

Article 34

The patent right holder may withdraw its petitions for terminating the compulsory licensing from time to time, and in case the patent
right holder withdraws its petitions prior to the decision by the State Intellectual Property Office, the relevant procedures terminates.

Article 35

In case of no reason for refusal to the petition of terminating the compulsory licensing through review, the State Intellectual Property
Office shall make a decision on terminating the compulsory licensing, with the following items stated:

(I)

Name and address of the patent right holder;

(II)

Name and address of the individual or unit obtaining the compulsory licensing for patent implementation;

(III)

The name, patent number, date of application and date of authorized announcement of the invention patent or patent of utility models
relating to the petitioned compulsory licensing;

(IV)

Document number of deciding the grant of the compulsory licensing;

(V)

Facts and legal basis for the decisions;

(VI)

The stamp of the State Intellectual Property Office and the signature of the responsible persons;

(VII)

Date of decisions; and

(VIII)

Other relevant matters.

The decision on the petition of terminating the compulsory licensing should be timely notified to the patent right holders and the
unit or individual obtaining the compulsory implementation licensing.

Article 36

In case the unit or individual obtaining the compulsory implementation licensing objects to the decision on terminating the compulsory
licensing, lawsuit may be brought forth at the people￿￿s court in within three months upon receipt of the notice.

Article 37

The decision that has come into force on terminating the compulsory licensing should be registered on the patent register and published
on the patent gazette of the State Intellectual Property Office, the government websites and China Intellectual Property News.

Chapter V Supplementary Provisions

Article 38

The interpretation of the Measures is vested with the State Intellectual Property Office.

Article 39

The Measures shall come into force as of July15, 2003.

 
The State Intellectual Property Office
2003-06-13

 




BASIC REQUIREMENTS FOR OFFICIAL INSPECTION AND QUARANTINE CERTIFICATES OF EXPORTING COUNTRIES OR REGIONS OF ENTRY AQUATIC PRODUCTS

The State General Administration of Quality Supervision, Inspection and Quarantine

Order of the State General Administration of Quality Supervision, Inspection and Quarantine

No. 313

The Regulations on Inspection and Quarantine of Entry and Exit Aquatic Products, which were adopted at the executive meeting of the
State General Administration of Quality Supervision, Inspection and Quarantine on October 18, 2002, are hereby promulgated and shall
enter into force on December 10, 2002.

Director of the State General Administration of Quality Supervision, Inspection and Quarantine Li Changjiang

November 6, 2002

Regulations on Inspection and Quarantine of Entry and Exit Aquatic Products

Chapter 1 General Rules

Article 1

In order to strengthen the inspection and quarantine of entry and exit aquatic products and the supervision and administration thereof,
to guarantee the quality safety and sanitation of entry and exit aquatic products and to protect the safety of fishery production
and human health, these Regulations are formulated in accordance with the Law of the People’s Republic of China on Import and Export
Commodity Inspection and the implementation regulations thereof, the Law of the People’s Republic of China on Import and Export Animal
and Plant Quarantine and the implementation regulations thereof, the Law of the People’s Republic of China on Frontier Sanitation
Quarantine and the implementation regulations thereof, the Law of the People’s Republic of China on Food Sanitation, etc. and other
relevant laws and regulations.

Article 2

These Regulations shall apply to the inspection and quarantine of entry and exit aquatic products and the supervision and administration
thereof.

Article 3

Aquatic products as used in these Regulations shall refer to the aquatic animals and the products thereof (not including live aquatic
animals and the propagation materials thereof, hereinafter the same) for human consumption, including the aquatic animals like cephalochordata,
vertebrate, crustacean, chordate, molluse and aquatic plants like alga, etc. and the products thereof.

Article 4

The State General Administration of Quality Supervision, Inspection and Quarantine (hereinafter referred to as SAQSIQ) shall administer
the entry and exit inspection and quarantine and the supervision and administration thereof of the whole country in a unified way.
The entry and exit inspection and quarantine bodies set up by the SAQSIQ at the localities (hereinafter referred to as the inspection
and quarantine bodies) shall be in charge of the inspection and quarantine of entry and exit aquatic products and the supervision
and administration thereof within the areas under their respective jurisdictions.

Chapter 2 Entry Inspection and Quarantine.

Article 5

Inspection and quarantine bodies shall carry out inspection and quarantine over entry aquatic products pursuant to the state laws
and administrative regulations, the provisions of the SAQSIQ, and the inspection and quarantine requirements provided for in the
bilateral inspection and quarantine agreements, protocols and memos signed by China with the exporting countries or regions, and
shall take sanitary treatment against harmful substances when necessary.

Article 6

Quarantine of entry aquatic products shall be subject to the examination and approval of the SAQSIQ. The consignor of the entry aquatic
products or its agent shall, before singing the trade contract, go through the examination and approval formalities and obtain the
License for Quarantine of Entry Animals and Plants. Aquatic products for which the License for Quarantine of Entry Animals and Plants
hasn’t been obtained may not be imported.

Article 7

With respect to the aquatic products listed in the Catalog of Import Food Subject to Enterprise Registration, the departments of certification
and recognition of the state shall register the foreign manufacturing and processing enterprises. With respect to the aquatic products
listed in the Catalog of Import Food Subject to Enterprise Registration, if the foreign manufacturing and processing enterprises
thereof haven’t been registered, such products may not be imported.

Article 8

The SAQSIQ may, according to the needs, send personnel to the exporting countries or regions to make advance inspection of entry aquatic
products.

Article 9

Entry aquatic products must enter China through the ports accredited by the SAQSIQ. An entry port for aquatic products shall meet
the following conditions:

(1)

Having the storerooms accommodated to the quantity and scale of the entry aquatic products; a storeroom shall meet the Inspection
and Quarantine Requirements for Entry Aquatic Product Storerooms (see attachment 1), and shall be put on record with the inspection
and quarantine bureau directly under the SAQSIQ of the place where it is located;

(2)

The inspection and quarantine body of the port has the necessary professionals and facilities for carrying out inspection and quarantine
of entry aquatic products.

Article 10

Before or when the aquatic products enter China, the consignor or its agent shall apply for inspection with the inspection and quarantine
body of the entry port by taking the license for quarantine of entry animals and plants, the original of the inspection and quarantine
certificate issued by the authority of the exporting country or region, the certificate of origin, trade contract, letter of credit,
bill of lading, invoice and other relevant documents. With respect to the aquatic products listed in the Catalog of Import Food Subject
to Enterprise Registration, the registration numbers shall also be provided in the application for inspection.

The official inspection and quarantine certificate of the exporting country or region attached with the aquatic products shall meet
the Basic Requirements for Official Inspection and Quarantine Certificates of Exporting Countries or Regions of Entry Aquatic Products
(see attachment 2).

Article 11

The inspection and quarantine body shall make preliminary examination of the relevant documents submitted by the consignor or its
agent. If the requirements are met, the application for inspection shall be formally accepted, and the quantity examined and approved
in the License for Quarantine of Entry Animals and Plants shall be verified and written off. In any of the following cases, the application
shall be returned or destroyed:

(1)

Failing to obtain the License for Quarantine of Entry Animals and Plants through examination and approval formalities pursuant to
law, or the License for Quarantine of Entry Animals and Plants is invalid;

(2)

Failing to have the inspection and quarantine certificate issued by the authority of the exporting country or region, or the certificate
fails to meet the requirements;

(3)

With respect to the aquatic products listed in the Catalog of Import Food Subject to Enterprise Registration, the manufacturing enterprise
thereof hasn’t been registered.

Article 12

Vehicles from epidemic areas that carry entry aquatic products shall go through disinfection treatment under the supervision of the
inspection and quarantine body of the entry port; no unit or individual may, without the permission of the inspection and quarantine
body, unload the entry aquatic products from the vehicles.

Article 13

The inspection and quarantine body shall make on-spot inspection and quarantine over the entry aquatic products pursuant to the following
requirements, and collect or select samples for laboratory testing use pursuant to the provisions:

(1)

Checking the documents and examining the goods;

(2)

Examining whether the package meets the Basic Requirements for Package of Entry Aquatic Products (see attachment 3);

(3)

Carrying out quarantine over the salinized or dried entry aquatic products that are likely to grow plant pests.

Article 14

If any is found to have occurred to any of the entry aquatic products after on-spot inspection and quarantine, they shall be returned
or destroyed:

(1)

The goods fail to match the certificates or the goods fail to meet the inspection and quarantine requirements;

(2)

The goods are rotten and deteriorated or are polluted by poisonous and harmful substances;

(3)

The package fails to meet the Basic Requirements for Package of Entry Aquatic Products.

Article 15

The entry aquatic products that pass the on-spot inspection and quarantine shall be transported to the aquatic product storerooms,
which have been put on record with the inspection and quarantine body directly under the SAQSIQ, for storage and later laboratory
testing, and may not be transferred or processed without permission.

Article 16

With respect to the entry aquatic products that are listed in the annual plan of leftover monitoring and control promulgated by the
state, the inspection and quarantine body must, apart from finishing the necessary laboratory testing pursuant to the provisions,
make laboratory testing pursuant to the requirements of the annual plan.

Article 17

The inspection and quarantine body shall make sensory, physical and chemical, and microorganism laboratory testing over the samples
pursuant to the provisions, and shall determine the specific testing items according to the degree of risk of the entry aquatic products.

Article 18

The inspection and quarantine body of the entry port shall, according to the result of laboratory, handle the goods in the following
ways pursuant to the provisions on visa administration:

(1)

Issuing the Certification of Inspection and Quarantine of Entry Goods to those passing the inspection and quarantine;

(2)

Issuing the Notice on Inspection and Quarantine Treatment of Entry Goods to those failing the inspection and quarantine, and supervising
the non-hazardous treatment over the goods, or returning or destroying the goods. (If the consignor needs to claim compensation against
others, it may apply for issuance of the relevant certificates with the inspection and quarantine body of the entry port.

Chapter 3 Exit Inspection and Quarantine.

Article 19

Inspection and quarantine bodies shall carry out inspection and quarantine over exit aquatic products pursuant to the laws and administrative
regulations of China, the provisions of the SAQSIQ, and the inspection and quarantine requirements provided for by the bilateral
inspection and quarantine agreements, protocols, memos signed by China with the exporting countries or regions, and by the authorities
of the exporting countries and regions.

Article 20

The SAQSIQ shall monitor and control the leftovers with respect to exit aquatic products. For all the exit aquatic listed in the annual
plan of leftover monitoring and control promulgated by the state, the inspection and quarantine body must, apart from finishing the
necessary laboratory testing pursuant to the provisions, make the laboratory testing pursuant the requirements of the annual plan.

Article 21

The departments of authentication and recognition shall apply the system of sanitation registration with respect to the enterprises
that produce, process and store exit aquatic products. The production enterprises of aquatic products without sanitation registration
may not produce, process or store exit aquatic products.

Article 22

If the authorities of the exporting countries or regions require registration for the production enterprises of aquatic products of
China, the departments of authentication and recognition shall recommend the applications for foreign registration to the foreign
countries in a unified way, and shall promulgate the list of the enterprises that have obtained foreign registration.

Article 23

Before the aquatic products exit China, the consignor or its agent shall apply for inspection with the inspection and quarantine body
of the producing area pursuant to the provisions on application for inspection for entry and exit inspection and quarantine.

Article 24

If the goods pass the inspection and quarantine, the inspection and quarantine body shall issue relevant certificates and documents
pursuant to the provisions on visa administration; if the importing countries or regions have definite requirements for the inspection
and quarantine certificates, the relevant certificates shall be produced pursuant to such requirements. If the goods fail the inspection
and quarantine, the inspection and quarantine body shall issue the notice on failure, and handle the goods in the following ways
respectively:

(1)

For failure of safety and sanitation items, the goods shall not be allowed to exit China;

(2)

For failure of other items, technical treatment is allowed; and a new application for inspection may be filed after the technical
treatment.

Article 25

The inspection and quarantine body shall, pursuant to the relevant provisions of the SAQSIQ, affix inspection and quarantine marks
or seals on the exit aquatic products inspected and quarantined.

Article 26

With respect to the exit aquatic products inspected and quarantined at the producing area, if the inspection and quarantine body of
the exit port finds through the port examination that the goods fail to match the documents or the contents of the documents fail
to meet the requirements, the goods shall not be released.

Article 27

The inspection and quarantine body shall, pursuant to the Regulations on the Sanitation Registration of Production Enterprises of
Export Food, the Sanitation Criteria for Registration of Processing Enterprises of Export Aquatic Products and the relevant foreign
provisions, establish the daily supervision and administration system with respect to the enterprises that produce, process or store
export aquatic products, to supervise and administer the breeding, production, processing and storage, etc. of export aquatic products.
The production, processing, and storage enterprises that violate the requirements of supervision and administration shall be dealt
with by the inspection and quarantine body pursuant to the relevant provisions.

Article 28

The inspection and quarantine body may supervise the package of exit aquatic products pursuant to the relevant laws and regulations
and the provisions of the SAQSIQ.

Article 29

The valid terms of inspection and quarantine of exit aquatic products are:

(1)

Cooled (kept fresh) aquatic products: 2 days;

(2)

Dry-frozen and single-frozen aquatic products: 4 months;

(3)

Other aquatic products: 6 months. If the exit aquatic products exceed the valid term of inspection and quarantine, a new application
for inspection must be filed.

Chapter 4 Early Warning of Risks.

Article 30

The SAQSIQ shall apply the system of early warning of risks with respect to the entry and exit aquatic products pursuant to the relevant
provisions.

Article 31

The entry and exit aquatic products for which the early risk warning measures or fast reaction measures have been taken shall, apart
from following the relevant provisions of these Regulations, meet the relevant provisions of early warning of risks.

Chapter 5 Supplementary Rules.

Article 32

Those violating these Regulations shall be punished pursuant to the relevant laws and regulations.

Article 33

The power to interpret these Regulations shall remain with the SAQSIQ.

Article 34

These Regulations shall come into force on December 10, 2002. The Regulations on Inspection of Export Aquatic Products (No.82 [1996]
of the SAQSIQ) promulgated by the original state administration of import and export commodity inspection on April 12, 1996 shall
be abrogated at the same time.

Attachment 1:Inspection and Quarantine Requirements for Entry Aquatic Product Storerooms

I.

Basic conditions for storehouses

(1)

Having favorable transport facilities, locating within the jurisdiction of the entry port, having operational space convenient for
conveying, and having storage volume of no less than 3,000 tons;

(2)

There is no source of pollution around the storehouse, the requirements for environment protection are met, and road surface is flat,
without logged water and exposed ground;

(3)

Having anti-pest, anti-rat and anti-mildew facilities. There is no dirt or peculiar smell in the storehouse, the environment is clean
and tidy, and the inside is arranged rationally;

(4)

The storehouse to be used to keep frozen aquatic products must be special cold storehouses for aquatic products, and may not be used
for other products. Temperature in the storehouse shall be below -18￿￿the difference in temperature between day and night shall
not exceed 1￿￿There shall be automatic temperate recording equipment, and non-mercury thermometers shall be set up in the storehouse.

(5)

Establishing a sanitation quality system including the following contents:

a.

Guidelines and targets of sanitation quality;

b.

Organizational structures and the duties of the organizations;

c.

Requirements for the production and management personnel;

d.

Sanitary requirements for environment;

e.

Sanitary requirements for storehouses (cold storehouses) and facilities;

f.

Sanitary requirements for storage and transport;

g.

Control of poisonous and hazardous substances;

h.

Quality record;

i.

Quality system internal examination.

II.

Administration of Storehouse Entry

(1)

The storehouse shall check the first section of the Customs Clearance Form of Entry Goods produced by the inspection and quarantine
body with respect to the entry aquatic products that enter the storehouse, and shall keep the copy of the section.

(2)

The aquatic products found to be in any of the following cases shall not be allowed to enter the storehouse, and the relevant inspection
and quarantine body shall be notified without delay.

a.

The goods fail to match the certificates, the goods are loosely packed, assembled or in neutral package;

b.

The goods are rotten and deteriorated or have peculiar smell.

(3)

Different products (including products of different categories, different producing areas, different time of storehouse entry, and
different consignors) may not be piled up in a mix in the unified area of the storehouse, and may not be put in the same storehouse
where the home-made goods are kept. The storehouse shall be kept tidy inside, and no obstacles shall be set up.

(4)

The storehouse shall establish the check system of storehouse entry registration, special personnel shall be designated to take charge
of the storehouse entry registration of aquatic products (including the information about the registration of goods and about consignors),
the sanitation and epidemic prevention, and to assist the inspection and quarantine body in the check.

(5)

The storehouse must fill in the Manual of Quality Supervision and Administration of Storehouse of Entry Aquatic Products (hereinafter
referred to as the Manual), for check by the inspection and quarantine body.

III.

Administration of Storehouse Exit

(1)

The storehouse shall check the original of the first page of the Inspection and Quarantine Certificate of Entry Goods produced by
the inspection and quarantine body, and keep the copy of the page.

(2)

Special personnel shall take charge of the registration of storehouse exit when the products exit the storehouse.

(3)

After the products exit the storehouse, the leftovers shall be cleared away and go through necessary disinfection treatment in a timely
manner.

IV.

Supervision and Administration

(1)

The storehouse shall provide necessary equipment and conditions for the work of the inspection and quarantine personnel. When the
inspection and quarantine body carries out quarantine supervision of the storehouse pursuant to law, the storehouse must provide
close assistance, and may not conceal the information or refuse the check.

(2)

The supervision and administration of storehouses shall be organized by the inspection and quarantine bureaus directly under the SAQSIQ,
the contents include: sending personnel to the storehouses in fixed or unfixed terms to check the storage status of the entry aquatic
products, the relevant registration of storehouse entry and exit, function of the quality system, and compliance with the laws and
regulations on inspection and quarantine, including whether there are illegal entry aquatic products kept in the storehouse, or whether
the storehouse hasn’t faithfully reported to the inspection and quarantine body when finding illegal entry aquatic products, as well
as whether the inspection and quarantine marks and seals of the kept goods have been torn open or damaged during the storage period,
etc..

(3)

If the inspection and quarantine body finds through the check any violations of the relevant provisions by the storehouse, it may
order the storehouse to get right within a prescribed time limit; if the circumstances are serious, it may give a warning, suspend
the storehouse from storing entry aquatic products or cancel the qualification of the storehouse.

(4)

The storehouse shall regularly submit the statistics statements of the entry aquatic products that entered and exited the storehouse
last month to the inspection and quarantine body, which shall make the verification.

(5)

If it is needed to change the structure of a storehouse due to repairs or other reasons, consent of the inspection and quarantine
body shall be obtained, and epidemic prevention shall be carried out under the guidance of the inspection and quarantine body.

(6)

The waste generated in the course of loading and unloading of aquatic products from the storehouses must go through non-hazardous
treatment at the designated place pursuant to the requirements of the inspection and quarantine body.

Attachment 2:

Basic Requirements for Official Inspection and Quarantine Certificates of Exporting Countries or Regions of Entry Aquatic Products

I.

The following information shall be stated in the certificate: product name (including the formal name), producing area, fishing area,
processing method, names of the production and processing enterprises and the registration numbers thereof, and certificate-issuing
department; transport means (ship means, flight number, container number, etc.), seal number, consignor, consignee, quantity/weight,
and date of production.

II.

The inspection and quarantine certificate may not be altered, must bear the official stamp and signature of the official inspection
and quarantine personnel, and P. R. China must be indicated as the destination.

III.

There must be an original of the inspection and quarantine certificate for each batch of aquatic products. And the languages used
in the certificate must be both in Chinese and English.

IV.

The certificate shall include the following matters:

￿֤￿￿￿This is to certify that:

1.

￿￿￿￿￿￿￿ܵ￿￿￿￿￿￿￿ҵ￿￿The above fishery products come from the establishment approved by competent authority.

2.

￿ò￿￿￿￿￿￿￿￿￿￿￿װ￿￿￿￿￿غ￿￿䣬￿￿￿￿￿￿ܵ￿￿ּල֮￿￿￿The products were produced, packed, stored, and transported under
sanitary condition, which were under the supervision of competent authority.

3.

￿ò￿￿￿ܵ￿￿ּ￿￿￿￿￿δ￿￿￿￿￿￿￿￿к￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿￿The products were inspected and quarantined by competent authority
and no pathogenic bacteria, harmful substances and foreign substances regulated by the P. R. China was found.

4.

￿ò￿￿￿￿￿￿￿Ҫ￿￿￿￿￿￿￿￿￿￿￿The products meet veterinary sanitary requirements and fit for human consumption.

Date of Issue ǩ￿￿￿￿

Stamp￿￿￿p>Official Veterinary Signature￿ٷ￿￿ҽǩ￿

Attachment 3:Basic Requirements for the Package of Entry Aquatic Products

Apart from having intact and durable external package and totally new, non-poisonous and non-hazardous internal and external package,
entry aquatic products shall also have on their internal and external package fixed, clear and distinguishable Chinese and English
marks, which shall indicate the following matters:

I.

Commodity name and formal name, specs, date of production, batch number and preservation conditions of the aquatic products;

II.

Production method, including sea fishing, freshwater fishing and breeding;

III.

Producing area, including fishing sea areas of the sea fisher, and country or region where the freshwater fisher comes from, and the
country or region where the last breeding phase of the bred products is located;

IV.

Names and registration numbers of the production and processing plants;

and P. R. China must be indicated as the destination.



 
The State General Administration of Quality Supervision, Inspection and Quarantine
2002-11-06

 







CIRCULAR OF THE MINISTRY OF COMMERCE AND GENERAL ADMINISTRATION OF TAXATION ON STRENGTHENING COORDINATION OF TAXATION AND FOREIGN TRADE AND OVERCOMING THE IMPACTS OF “SARS” EPIDEMICS ON FOREIGN TRADE

The Ministry of Commerce, the General Administration of Taxation

Circular of the Ministry of Commerce and General Administration of Taxation on Strengthening Coordination of Taxation and Foreign
Trade and Overcoming the Impacts of “SARS” Epidemics on Foreign Trade

ShangGuiFa [2003] No.154

June 20, 2003

Foreign economic and trade commissions (departments and bureaus) of provinces, autonomous regions and municipalities directly under
the Central Government and municipalities separately listed on the State plan, as well as the state tax administration:

The occurrence and spreading of the SARS has added many difficulties to the various export enterprises in undertakings of commercial
activities and expansion of exports, which has become the main factor of uncertainty with impacts on the exports of our country.
Therefore, various competent departments of commerce and the state tax administration shall firmly grasp the guiding spirits of the
CPC central Committee and the State Council in balanced focus on the prevention and treatment of the SARS and the economic construction,
unify the thoughts, enhance the understanding, further strengthen the coordination of taxation and foreign trade, and make the utmost
efforts to overcome the adverse effects of the epidemics of the SARS on the export of our country, hence, safeguarding the stable
growth of foreign trade export of the year. Here is to notify you of the following matters:

I.

Further strengthening communications of circumstance and doing well in departmental coordination

(I)

Improving and perfecting the communication mechanism for coordination of foreign trade and taxation and ensuring the accuracy and
smooth flow of information. Further intensifying the contact between the leaders of both parties concerned and their corresponding
workers, taking initiatives in communicating the progress on foreign trade exports and tax reimbursement of exports by various means
and ways of telephone, fax and email, and earnestly investigating and solving the outstanding problems during work. Timely reporting
material emergent incidents and making efforts in treatment.

(II)

Various levels of the competent department of commerce shall closely trace and analyze the impacts of the SARS epidemics on the enterprises
and product exports of our country. Questionnaire investigation should be conducted by various means based on paper, call and computer
networks, thus analyzing the impacts of the SARS epidemics on the various categories of local enterprises and product exports, especially
on the key enterprises of tax reimbursement of exports, timely reporting the relevant information to various levels of tax administrations
to facilitate joint investigation on the countermeasures and policies, thus making great efforts to reduce the impacts of the SARS
epidemics on foreign trade exports as much as possible.

(III)

Various levels of tax administrations shall keep on efforts in promoting the measures for “exemption, credit and reimbursement” of
taxes with the export commodities of production enterprises, timely communicate with the competent departments of commerce of the
same level on the relevant issues, thus jointly overcoming and solving the existing problems.

(IV)

Various levels of the competent department of commerce shall practically promote the production enterprises to speed up the collection
of the documents for tax reimbursement and timely handling with the “exemption, credit and reimbursement” of taxes. Various levels
of state tax administrations shall practically speed up handling with the review and examination on “exemption, credit and reimbursement”
of taxes, thus helping the production enterprises reduce the holding and use of capital.

(V)

Various levels of the competent departments of commerce and state tax administrations shall be increasingly alert and pay close attention
on the new trends of tax frauds, strictly prevent the wrongdoers from any tax frauds by taking chance of the SARS epidemics, and
submit timely reports on any tax fraud cases or clues of material tax frauds.

II.

Making good and sufficient use of the quotas for tax reimbursement of exports and practically accelerating the progress of the tax
reimbursement of exports

(I)

Various levels of the competent departments of commerce shall timely report to the state tax administrations on the corresponding
local exports and demands for tax reimbursement, and various levels of tax administrations shall in such special situation earnestly
do well in the work relating to tax reimbursement of exports, and speed up the progress of tax reimbursement provided all the documents
relating to tax reimbursement and the relevant electronic information are checked free of errors.

(II)

Various state tax administrations of provincial levels shall distribute the plan of tax reimbursement of exports distributed by the
General State Administration of Taxation to prefecture and municipal level and timely reimburse the export enterprises, without any
withholding or delay.

(III)

Various levels of state tax administrations shall make scientific and rational use of the plan of tax reimbursement of exports, and
priority should be taken in handling with the tax reimbursement of exports of key export enterprises, thus enhancing the competitiveness
of their export products in international market, and alleviating and releasing the adverse effects of the SARS on the foreign trade
of China.

III.

Adopting multiple ways to expand export and create benevolent environment

(I)

Various levels of the competent departments of commerce and state tax administrations shall earnestly carry out the spirits of the
Circular of the People￿￿s Bank of China, the MOFTEC and the General State Administration of Taxation on Handling with the Entrusted
Loan Business of the Accounts for Tax Reimbursement of Exports (Yin Fa [2001] No. 276), timely help solving the problems and difficulties
encountered by the export enterprises in the entrusted loan business of the accounts for tax reimbursement of exports, and take initiative
to coordinate with the local government in doing well in the discounting work relating to the entrusted loans of the accounts for
tax reimbursement of exports.

(II)

Various levels of the competent departments of commerce shall timely report to the commercial banks on the impacts of the SARS on
the foreign trade exports, take initiative too seek for their supports, and promote the export enterprises to obtain the entrusted
loans of the accounts for tax reimbursement of exports in a timely way.

(III)

Various levels of tax administrations shall strengthen communication and coordination with commercial banks, take initiative in coordinating
commercial banks in deployment of the entrusted loans of the accounts for tax reimbursement of exports, thus facilitating commercial
banks in querying about the credit rating of the enterprises involved in tax reimbursement of exports.

(IV)

Establishing convenient and smooth channels and ways for provision of enthusiastic and high efficiency consultation and services.
Patience should be taken in listening the problems reflected and suggestions put forth by the export enterprises, thus earnestly
and carefully answering the promoting the state policies and measures on trade management and tax reimbursement of exports; taking
efforts in protecting he initiatives of the enterprises in expanding exports and helping various categories of export enterprise
overcome the difficulties and problems encountered in production and operations.

(V)

Various levels of the competent department of commerce and state tax administrations shall be united in mutual supports and close
coordination, promote the good traditions of the cooperation of foreign trade and taxation, make efforts to overcome the adverse
impacts of the SARS, and promote the sustaining growth of foreign trade export of our country.



 
The Ministry of Commerce, the General Administration of Taxation
2003-06-20

 







CONSTITUTION ACT, 1982 – page 22

NOTES (1) The enacting clause was repealed by the Statute Law Revision Act, 1893, 56-57 Vict., c. 14 (U.K.). It read as...