The Constitution of the People’s Republic of China
(Adopted at the Fifth Session of the Fifth National People’s Congress on December 4, 1982 and promulgated by the National People’s
Congress on December 4, 1982 , According to the amendments to the Constitution of the People’s Republic of China adapted at the first
session of the seventh National People’s Congress on April 12, 1988, the amendments to the Constitution of the People’s Republic
of China adapted at the first session of the eighth National People’s Congress on march 29, 1993, the amendments to the Constitution
of the People’s Republic of China adapted at the second session of the ninth National People’s Congress on march 15, 1999, the amendments
to the Constitution of the People’s Republic of China adapted at the second session of the eighth National People’s Congress on march
14, 2004)
Contents
Preamble
Chapter I General Principle
Chapter II The Fundmental Rights and Duties of Citizens
Chapter III The Structure of the State
Section 1 The National people’s Congress
Section 2 The President of the People’s Republic of China
Section 3 The State Council
Section 4 The Central Millitary Commision
Section 5 The Local People’s Congress and Local People’s Governments at Various Levels
Section 6 The Organs of Self-government of National Autonomous Areas
Section 7 The People’s Courts and The People’s Procuratorates Chapter IV The National Flag, the National Anthem, the National Emblem
and the Capital
Preamble
China is a country with one of the longest histories in the world. The people of all of China’s nationalities have jointly created
a culture of grandeur and have a glorious revolutionary tradition.
After 1840, feudal China was gradually turned into a semi-colonial and semi-feudal country. The Chinese people waged many successive
heroic struggles for national independence and liberation and for democracy and freedom.
Great and earthshaking historical changes have taken place in China in the 20th century.
The Revolution of 1911, led by Dr. Sun Yat-sen, abolished the feudal monarchy and gave birth to the Republic of China. But the historic
mission of the Chinese people to overthrow imperialism and feudalism remained unaccomplished.
After waging protracted and arduous struggles, armed and otherwise, along a zigzag course, the Chinese people of all nationalities
led by the Communist Party of China with Chairman Mao Zedong as its leader ultimately,in 1949, overthrew the rule of imperialism,feudalism
and bureaucrat-capitalism, won a great victory in the New-Democratic Revolution and founded the People’s Republic of China. Since
then the Chinese people have taken control of state power and become masters of the country.
After the founding of the People’s Republic,China gradually achieved its transition from a New-Democratic to a socialist society.
The socialist transformation of the private ownership of the means of production has been completed, the system of exploitation of
man by man abolished and the socialist system established. The people’s democratic dictatorship led by the working class and based
on the alliance of workers and peasants, which is in essence the dictatorship of the proletariat, has been consolidated and developed.
The Chinese people and the Chinese People’s Liberation Army have defeated imperialist and hegemonist aggression, sabotage and armed
provocations and have thereby safeguarded China’s national independence and security and strengthened its national defence. Major
successes have been achieved in economic development. An independent and relatively comprehensive socialist system of industry has
basically been established. There has been a marked increase in agricultural production. Significant advances have been made in educational,
scientific and cultural undertakings, while education in socialist ideology has produced noteworthy results. The life of the people
has improved considerably.
Both the victory in China’s New-Democratic Revolution and the successes in its socialist cause have been achieved by the Chinese people
of all nationalities, under the leadership of the Communist Party of China and guidance of Marxism-Leninism and Mao Zedong Thought,
by upholding truth, correcting errors and surmounting numerous difficulties and hardships. China will be in the primary stage of
socialism for a long time to come. The basic task of the nation is to concentrate its effort on socialist modernization along the
socialist road with Chinese characteristics. Under the leadership of the Communist Party of China and the guidance of Marxism-Leninism,
Mao Zedong Thought, Deng Xiaoping Theory and the important thought of ‘Three Represents’, the Chinese people of all nationalities
will continue to adhere to the people’s democratic dictatorship and the socialist road, persevere in reform and opening to the outside
world, steadily improve various socialist institutions, develop the socialist market economy, develop socialist democracy, improve
the socialist legal system and work hard and self-dependently to modernize the country’s industry, agriculture, national defense
and science and technology step by step, and to promote the coordinated development of material civilization, political civilization
and spiritual civilization to build China into a socialist country that is prosperous, powerful, democratic and culturally advanced.
The exploiting classes as such have been abolished in our country. However, class struggle will continue to exist within certain bounds
for a long time to come. The Chinese people must fight against those forces and elements, both at home and abroad, that are hostile
to China’s socialist system and try to undermine it.
Taiwan is part of the sacred territory of the People’s Republic of China. It is the inviolable duty of all Chinese people, including
our compatriots in Taiwan, to accomplish the great task of reunifying the motherland.
In building socialism it is essential to rely on workers, peasants and intellectuals and to unite all forces that can be united. In
the long years of revolution and construction, there has been formed under the leadership of the Communist Party of China a broad
patriotic united front that is composed of democratic parties and people’s organizations, embracing all socialist working people,
builders of the socialist cause, all patriots who support socialism and all patriots who stand for reunification of the motherland.
This united front will continue to be consolidated and developed. The Chinese People’s Political Consultative Conference, a broadly
based representative organization of the united front which has played a significant historical role, will play a still more important
role in the country’s political and social life, in promoting friendship with other countries and in the struggle for socialist modernization
and for the reunification and unity of the country. The system of the multi- party cooperation and political consultation led by
the Communist Party of CHina will exist and develop for a long time.
The People’s Republic of China is a unitary multi-national state created jointly by the people of all its nationalities. Socialist
relations of equality, unity and mutual assistance have been established among the nationalities and will continue to be strengthened.
In the struggle to safeguard the unity of the nationalities, it is necessary to combat big-nation chauvinism, mainly Han chauvinism,
and to combat local national chauvinism. The state will do its utmost to promote the common prosperity of all the nationalities.
China’s achievements in revolution and construction are inseparable from the support of the people of the world. The future of China
is closely linked to the future of the world. China consistently carries out an independent foreign policy and adheres to the five
principles of mutual respect for sovereignty and territorial integrity, mutual non-aggression, non-interference in each other’s internal
affairs, equality and mutual benefit, and peaceful coexistence in developing diplomatic relations and economic and cultural exchanges
with other countries. China consistently opposes imperialism, hegemonism and colonialism, works to strengthen unity with the people
of other countries, supports the oppressed nations and the developing countries in their just struggle to win and preserve national
independence and develop their national economies, and strives to safeguard world peace and promote the cause of human progress.
This Constitution, in legal form, affirms the achievements of the struggles of the Chinese peopl
e of all nationalities and defines the basic system and basic tasks of the state; it is the fundamental law of the state and has
supreme legal authority. The people of all nationalities, all state organs, the armed forces, all political parties and public organizations
and all enterprises and institutions in the country must take the Constitution as the basic standard of conduct, and they have the
duty to uphold the dignity of the Constitution and ensure its implementation.
Chapter I General Principle
Article 1
The People’s Republic of China is a socialist state under the people’s democratic dictatorship led by the working class and based
on the alliance of workers and peasants.
The socialist system is the basic system of the People’s Republic of China. Disruption of the socialist system by any organization
or individual is prohibited.
Article 2
All power in the People’s Republic of China belongs to the people.
The National People’s Congress and the local people’s congresses at various levels are the organs through which the people exercise
state power.
The people administer state affairs and manage economic, cultural and social affairs through various channels and in various ways
in accordance with the law.
Article 3
The state organs of the People’s Republic of China apply the principle of democratic centralism.
The National People’s Congress and the local people’s congresses at various levels are constituted through democratic elections. They
are responsible to the people and subject to their supervision.
All administrative, judicial and procuratorial organs of the state are created by the people’s congresses to which they are responsible
and by which they are supervised.
The division of functions and powers between the central and local state organs is guided by the principle of giving full scope to
the initiative and enthusiasm of the local authorities under the unified leadership of the central authorities.
Article 4
All nationalities in the People’s Republic of China are equal. The state protects the lawful rights and interests of the minority
nationalities and upholds and develops a relationship of equality, unity and mutual assistance among all of China’s nationalities.
Discrimination against and oppression of any nationality are prohibited; any act which undermines the unity of the nationalities
or instigates division is prohibited.
The state assists areas inhabited by minority nationalities in accelerating their economic and cultural development according to the
characteristics and needs of the various minority nationalities.
Regional autonomy is practiced in areas where people of minority nationalities live in concentrated communities; in these areas organs
of self-government are established to exercise the power of autonomy. All national autonomous areas are integral parts of the People’s
Republic of China.
All nationalities have the freedom to use and develop their own spoken and written languages and to preserve or reform their own folkways
and customs.
Article 5
The state upholds the uniformity and dignity of the socialist legal system.
No laws or administrative or local rules and regulations may contravene the Constitution.
All state organs, the armed forces, all political parties and public organizations and all enterprises and institutions must abide
by the Constitution and the law. All acts in violation of the Constitution or the law must be investigated.
No organization or individual is privileged to be beyond the Constitution or the law.
Article 6
The basis of the socialist economic system of the People’s Republic of China is socialist public ownership of the means of production,
namely, ownership by the whole people and collective ownership by the working people.
The system of socialist public ownership supersedes the system of exploitation of man by man; it applies the principle of ” from each
according to his ability, to each according to his work.”
Article 7
The state-owned economy, namely, the socialist economy under ownership by the whole people, is the leading force in the national
economy. The state ensures the consolidation and growth of the state-owned economy.
Article 8
In rural areas the responsibility system, the main form of which is household contract that links remuneration to output, and other
forms of cooperative economy, such as producers’, supply and marketing, credit and consumers cooperatives, belong to the sector of
socialist economy under collective ownership by the working people. Working people who are members of rural economic collectives
have the right, within the limits prescribed by law, to farm plots of cropland and hilly land allotted for their private use, engage
in household sideline production and raise privately-owned livestock.
The various forms of cooperative economy in the cities and towns, such as those in the handicraft, industrial, building, transport,
commercial and service trades, all belong to the sector of socialist economy under collective ownership by the working people.
The state protects the lawful rights and interests of the urban and rural economic collectives and encourages, guides and helps the
growth of the collective economy.
Article 9
All mineral resources, waters, forests, mountains, grasslands, unreclaimed land, beaches and other natural resources are owned by
the state, that is, by the whole people, with the exception of the forests, mountains, grasslands, unreclaimed land and beaches that
are owned by collectives in accordance with the law.
The state ensures the rational use of natural resources and protects rare animals and plants. Appropriation or damaging of natural
resources by any organization or individual by whatever means is prohibited.
Article 10
Land in the cities is owned by the state.
Land in the rural and suburban areas is owned by collectives except for those portions which belong to the state in accordance with
the law; house sites and privately farmed plots of cropland and hilly land are also owned by collectives.
The state may, for the public interest, expropriate or take over land for public use, and pay compensation in accordance with the
law.
No organization or individual may appropriate, buy, sell or otherwise engage in the transfer of land by unlawful means. The rights
to the use of land may be transferred according to law.
All organizations and individuals using land must ensure its rational use.
Article 11
The individual economy of urban and rural working people, operating within the limits prescribed by law, is a complement to the socialist
public economy. The state protects the lawful rights and interests of the individual economy.
The state protects the lawful rights and interests of the non-public sectors of the economy, including individual and private sectors
of the economy. The state encourages, supports and guides the development of the non-public sectors of the economy, and exercises
supervision and control over the non-public sectors according to law.
The state permits the private sector of the economy to exist and develop within the limits prescribed by law. The private sector of
the economy is a complement to the socialist public economy. The state protects the lawful rights and interests of the private sector
of the economy, and exercises guidance, supervision and control over the private sector of the economy.
Article 12
Socialist public property is inviolable.
The state protects socialist public property. Appropriation or damaging of state or collective property by any organization or individual
by whatever means is prohibited.
Article 13
The lawful private property of citizens may not be encroached upon.
The state protects by law the right of citizens to own private property and the right to inherit private property.
The state may, for the public interest, expropriate or take over private property of citizens for public use, and pay compensation
in accordance with the law.
The state protects according to law the right of citizens to inherit private property.
Article 14
The state continuously raises labour productivity, improves economic results and develops the productive forces by enhancing the
enthusiasm of the working people, raising the level of their technical skill, disseminating advanced science and technology, improving
the systems of economic administration and enterprise operation and management, instituting the socialist system of responsibility
in various forms and improving the organization of work.
The state practises strict economy and combats waste.
The state properly apportions accumulation and consumption, concerns itself with the interests of the collective and the individual
as well as of the state and, on the basis of expanded production, gradually improves the material and cultural life of the people.
The state establishes and improves the social security system fitting in with the level of economic development.
Article 15
The state practises socialist market economy.
The state strengthens economic legislation, improves macro-regulation and control.
The state prohibits in accordance with the law any organization or individual from disturbing the socia-economic order.
Article 16
State-owned enterprises have decision-making power with regard to their operation within the limits prescribed by law.
State-owned enterprises practise democratic management through congresses of workers and staff and in other ways in accordance with
the law.
Article 17
Collective economic organizations have decision- making power in conducting independent economic activities, on condition that they
abide by the relevant laws.
Collective economic organizations practise democratic management in accordance with the law, elect or remove their managerial personnel
and decides on major issues concerning operation and management.
Article 18
The People’s Republic of China permits foreign enterprises, other foreign economic organizations and individual foreigners to invest
in China and to enter into various forms of economic cooperation with Chinese enterprises and other Chinese economic organizations
in accordance with the law of the People’s Republic of China.
All foreign enterprises, other foreign economic organizations as well as Chinese-foreign joint ventures within Chinese territory shall
abide by the law of the People’s Republic of China. Their lawful rights and interests are protected by the law of the People’s Republic
of China.
Article 19
The state undertakes the development of socialist education and works to raise the scientific and cultural level of the whole nation.
The state establishes and administers schools of various types, universalizes compulsory primary education and promotes secondary,
vocational and higher education as well as preschool education.
The state develops educational facilities in order to eliminate illiteracy and provide political, scientific, technical and professional
education as well as general education for workers, peasants, state functionaries and other working people. It encourages people
to become educated through independent study.
The state encourages the collective economic organizations, state enterprises and institutions and other sectors of society to establish
educational institutions of various types in accordance with the law.
The state promotes the nationwide use of Putonghua (common speech based on Beijing pronunciation).
Article 20
The state promotes the development of the natural and social sciences, disseminates knowledge of science and technology, and commends
and rewards achievements in scientific research as well as technological innovations and inventions.
Article 21
The state develops medical and health services, promotes modern medicine and traditional Chinese medicine, encourages and supports
the setting up of various medical and health facilities by the rural economic collectives, state enterprises and institutions and
neighborhood organizations, and promotes health and sanitation activities of a mass character, all for the protection of the people’s
health.
The state develops physical culture and promotes mass sports activities to improve the people’s physical fitness.
Article 22
The state promotes the development of art and literature, the press, radio and television broadcasting, publishing and distribution
services, libraries, museums, cultural centres and other cultural undertakings that serve the people and socialism, and it sponsors
mass cultural activities.
The state protects sites of scenic and historical interest, valuable cultural monuments and relics and other significant items of
China’s historical and cultural heritage.
Article 23
The state trains specialized personnel in all fields who serve socialism, expands the ranks of intellectuals and creates conditions
to give full scope to their role in socialist modernization.
Article 24
The state strengthens the building of a socialist society with an advanced culture and ideology by promoting education in high ideals,
ethics, general knowledge, discipline and legality, and by promoting the formulation and observance of rules of conduct and common
pledges by various sections of the people in urban and rural areas.
The state advocates the civic virtues of love of the motherland, of the people, of labour, of science and of socialism. It conducts
education among the people in patriotism and collectivism, in internationalism and communism and in dialectical and historical materialism,
to combat capitalist, feudal and other decadent ideas.
Article 25
The state promotes family planning so that population growth may fit the plans for economic and social development.
Article 26
The state protects and improves the environment in which people live and the ecological environment. It prevents and controls pollution
and other public hazards.
The state organizes and encourages afforestation and the protection of forests.
Article 27
All state organs carry out the principle of simple and efficient administration, the system of responsibility for work and the system
of training functionaries and appraising their performance in order constantly to improve the quality of work and efficiency and
combat bureaucratism.
All state organs and functionaries must rely on the support of the people, keep in close touch with them, heed their opinions and
suggestions, accept their supervision and do their best to serve them.
Article 28
The state maintains public order and suppresses treasonable and other counter-revolutionary activities; it penalizes criminal activities
that endanger public security and disrupt the socialist economy as well as other criminal activities; and it punishes and reforms
criminals.
Article 29
The armed forces of the People’s Republic of China belong to the people. Their tasks are to strengthen national defence, resist aggression,
defend the motherland, safeguard the people’s peaceful labour, participate in national reconstruction and do their best to serve
the people.
The state strengthens the revolutionization, modernization and regularization of the armed forces in order to increase national defence
capability.
Article 30
The administrative division of the People’s Republic of China is as follows:
(1)
The country is divided into provinces, autonomous regions and municipalities directly under the Central Government;
(2)
Provinces and autonomous regions are divided into autonomous prefectures, counties, autonomous counties, and cities;
(3)
Counties and autonomous counties are divided into townships, nationality townships, and towns.
Municipalities directly under the Central Government and other large cities are divided into districts and counties. Autonomous prefectures
are divided into counties, autonomous counties, and cities.
All autonomous regions, autonomous prefectures and autonomous counties are national autonomous areas.
Article 31
The state may establish special administrative regions when necessary. The systems to be instituted in special administrative regions
shall be prescribed by law enacted by the National People’s Congress in the light of specific conditions.
Article 32
The People’s Republic of China protects the lawful rights and interests of foreigners within Chinese territory; foreigners on Chinese
territory must abide by the laws of the People’s Republic of China.
The People’s Republic of China may grant asylum to foreigners who request it for political reasons.
Chapter II The Fundmental Rights and Duties of Citizens
Article 33
All persons holding the nationality of the People’s Republic of China are citizens of the People’s Republic of China.
All citizens of the People’s Republic of China are equal before the law.
The state respects and protects human rights.
Every citizen is enpost_titled to the rights and at the same time must perform the duties prescribed by the Constitution and the law.
Article 34
All citizens of the People’s Republic of China who have reached the age of 18 have the right to vote and stand for election, regardless
of ethnic status, race, sex, occupation, family background, religious belief, education, property status or length of residence,
except persons deprived of political rights according to law.
Article 35
Citizens of the People’s Republic of China enjoy freedom of speech, of the press, of assembly, of association, of procession and
of demonstration.
Article 36
Citizens of the People’s Republic of China enjoy freedom of religious belief.
No state organ, public organization or individual may compel citizens to believe in, or not to believe in, any religion; nor may they
discriminate against citizens who believe in, or do not believe in, any religion.
The state protects normal religious activities. No one may make use of religion to engage in activities that disrupt public order,
impair the health of citizens or interfere with the educational system of the state.
Religious bodies and religious affairs are not subject to any foreign domination.
Article 37
Freedom of the person of citizens of the People’s Republic of China is inviolable.
No citizen may be arrested except with the approval or by decision of a people’s procuratorate or by decision of a people’s court,
and arrests must be made by a public security organ.
Unlawful detention or deprivation or restriction of citizens freedom of the person by other means is prohibited, and unlawful search
of the person of citizens is prohibited.
Article 38
The personal dignity of citizens of the People’s Republic of China is inviolable. Insult, libel, false accusation or false incrimination
directed against citizens by any means is prohibited.
Article 39
The residences of citizens of the People’s Republic of China are inviolable. Unlawful search of, or intrusion into, a citizen’s residence
is prohibited.
Article 40
Freedom and privacy of correspondence of citizens of the People’s Republic of China are protected by law. No organization or individual
may, on any ground, infringe upon citizens freedom and privacy of correspondence, except in cases where, to meet the needs of state
security or of criminal investigation, public security or procuratorial organs are permitted to censor correspondence in accordance
with procedures prescribed by law.
Article 41
Citizens of the People’s Republic of China have the right to criticize and make suggestions regarding any state organ or functionary.
Citizens have the right to make to relevant state organs complaints or charges against, or exposures of, any state organ or functionary
for violation of the law or dereliction of duty; but fabrication or distortion of facts for purposes of libel or false incrimination
is prohibited.
The state organ concerned must deal with complaints, charges or exposures made by citizens in a responsible manner after ascertaining
the facts. No one may suppress such complaints, charges and exposures or retaliate against the citizens making them.
Citizens who have suffered losses as a result of infringement of their civic rights by any state organ or functionary have the right
to compensation in accordance with the law.
Article 42
Citizens of the People’s Republic of China have the right as well as the duty to work.
Through various channels, the state creates conditions for employment, enhances occupational safety and health, improves working conditions
and, on the basis of expanded production, increases remuneration for work and welfare benefits.
Work is a matter of honour for every citizen who is able to work. All working people in state-owned enterprises and in urban and rural
economic collectives should approach their work as the masters of the country that they are. The state promotes socialist labour
emulation, and commends and rewards model and advanced workers. The state encourages citizens to take part in voluntary labour.
The state provides necessary vocational training for citizens before they are employed.
Article 43
Working people in the People’s Republic of China have the right to rest.
The state expands facilities for the rest and recuperation of the working people and prescribes working hours and vacations for workers
and staff.
Article 44
The state applies the system of retirement for workers and staff of enterprises and institutions and for functionaries of organs
of state according to law. The livelihood of retired personnel is ensured by the state and society.
Article 45
Citizens of the People’s Republic of China have the right to material assistance from the state and society when they are old, ill
or disabled. The state develops social insurance, social relief and medical and health services that are required for citizens to
enjoy this right.
The state and society ensure the livelihood of disabled members of the armed forces, provide pensions to the families of martyrs and
give preferential treatment to the families of military personnel.
The state and society help make arrangements for the work, livelihood and education of the blind, deaf-mutes and other handicapped
citizens.
Article 46
Citizens of the People’s Republic of China have the duty as well as the right to receive education.
The state promotes the all-round development of children and young people, morally, intellectually and physically.
Article 47
Citizens of the People’s Republic of China have the freedom to engage in scientific research, literary and artistic creation and
other cultural pursuits. The state encourages and assists creative endeavours conducive to the interests of the people that are made
by citizens engaged in education, science, technology, literature, art and other cultural work.
Article 48
Women in the People’s Republic of China enjoy equal
AGREEMENT BETWEEN THE GOVERNMENT OF THE PEOPLE’S REPUBLIC OF CHINA AND THE GOVERNMENT OF THE REPUBLIC OF LATVIA ON THE PROMOTION AND
PROTECTION OF INVESTMENTS
The Government of the People’s Republic of China and the Government of the Republic of Latvia (hereinafter referred to as the Contracting
Parties).
Intending to create favorable conditions for investment by investors of one Contracting Party in the territory of the other Contracting
Party;
Recognizing that the reciprocal encouragement, promotion and protection of such investment will be conducive to stimulating business
initiative of the investors and will increase prosperity in both States;
Desiring to intensify the cooperation of both States on the basis of equality and mutual benefits;
Have agreed as follows:
Article 1
DEFINITIONS
For the purpose of this Agreement.
1.
The term “investment” means every kind of asset invested by investors of one Contracting Party in accordance with the laws and regulations
of the other Contracting Party in the territory of the latter, and in particularly, though not exclusively, includes:
(a)
movable and immovable property and other property rights such as mortgages, pledges and similar rights;
(b)
shares, debentures, stock and any other kind of participation in companies;
(c)
claims to money or to any other performance having an economic value associated with an investment;
(d)
intellectual property rights, in particularly copyrights, patents, trade-marks, trade-names, technical process know-how and good-will;
(e)
business concessions conferred by law or under contract permitted by law, including concessions to search for, cultivate, extract
or exploit natural resources.
Any change in the form in which assets are invested does not affect their character as investments provided that such change is in
accordance with the laws and regulations of the Contracting Party in whose territory the investment has been made.
2.
The term “investor” means.
(a)
In respect of the Republic of Latvia;
i)”natural person” means a citizen or non-citizen in accordance with the laws and regulations of the Republic of Latvia;
ii)”legal person” means any legal entity such as company, corporation, firm, partnership, business association, institution or organization,
incorporated or constituted in accordance with the laws and regulations of the Republic of Latvia and having its registered office
within the jurisdiction of the Republic of Latvia, whether or not for profit and whether its liabilities are limited or not.
(b)
In respect of the People’s of Republic of China:
i)natural persons who have nationality of the People’s of Republic of China in accordance with the laws of the People’s of Republic
of China;
ii)legal entities, including companies, associations, partnerships and other organizations, incorporated or constituted under the
laws and regulations of the People’s of Republic of China and have their registered offices in the People’s of Republic of China.
3.
The term “return” means the amounts yielded from investments, including profits, dividends, interests, capital gains, royalties, fees
and other legitimate income.
Article 2
PROMOTION AND PROTECTION OF INVESTMENT
1.
Each Contracting Party shall encourage investors of the other Contracting Party to make investments in its territory and admit such
investments in accordance with its laws and regulations.
2.
Investments of the investors of either Contracting Party shall enjoy the constant protection and security in the territory of the
other Contracting Party.
3.
Without prejudice to its laws and regulations, neither Contracting Party shall take any unreasonable or discriminatory measures against
the management, maintenance, use, enjoyment and disposal of the investments by the investors of the other Contracting party.
4.
Subject to its laws and regulations, one Contracting Party shall provide assistance in and facilities for obtaining visas and working
permits to nationals of the other Contracting Party engaging in activities associated with investments made in the territory of that
Contracting Party.
Article 3
TREATMENT OF INVESTMENT
1.
Investments of investors of each Contracting Party shall all the time be accorded fair and equitable treatment in the territory of
the other Contracting Party.
2.
Without prejudice to its laws and regulations, each Contracting party shall accord to investments and activities with such investments
by the investors of the other Contraction Party treatment not less favorable than that accorded to the investments and associated
activities by its own investors.
3.
Neither Contracting Party shall subject investments and activities associated with such investments by the investors of the other
Contracting Party to treatment less favorable than that accorded to the investments and associated activities by the investors of
any third State.
4.
Each Contracting Party shall accord to investments and activities associated with such investments by the investors of the other Contracting
Party treatment, which is the most favorable of those stipulated in paragraph 2 and paragraph 3 of this Article.
5.
The provisions of Paragraphs 3 of this Article shall not be construed so as to oblige one Contracting Party to extend to the investors
of the other Contracting Party the benefit of any treatment, preference or privilege by virtue of:
(a)
any customs union, free trade zone, economic union, monetary union and any international agreement resulting in such unions, or similar
institutions;
(b)
any international agreement or arrangement relating wholly or mainly to taxation;
(c)
any arrangements for facilitating small scale frontier trade in border areas.
Article 4
EXPROPRIATION
1.
Neither Contacting Party shall expropriate, nationalize or take other similar measures (hereinafter referred to as “expropriation”)
against the investments of the investors of the other Contracting Party in its territory, unless all the following conditions are
met:
(a)
for the public interests;
(b)
under domestic legal procedure;
(c)
without discrimination;
(d)
against compensation
2.
The compensation mentioned in Paragraph 1 of this Article shall be equivalent to the value of the expropriated investments immediately
before the expropriation is taken or the impending expropriation becomes public knowledge, whichever is earlier. The value shall
be determined in accordance with generally recognized principles of valuation. The compensation shall be in a freely convertible
currency. The compensation shall include interest at a normal commercial rate from the date of expropriation until the date of payment.
The compensation shall also be made without delay, be effectively realizable and freely transferable.
Article 5
COMPENSATION FOR DAMAGES AND LOSSES
Investors of one Contracting Party whose investments in the territory of the other Contracting Party suffer losses owing to war, a
state of national emergency, insurrection, riot or other similar events in the territory of the latter Contracting Party, shall be
accorded by the latter Contracting Party treatment, as regards restitution, indemnification, compensation and other settlements no
less favorable than that accorded to the investors of its own or any third State, whichever is more favorable to the investor concerned.
Article 6
TRANSFERS
1.
Each Contracting Party shall, subject to its laws and regulations, guarantee to the investors of the other Contracting Party the transfer
of their investments and returns held in its territory, including:
(a)
profits, dividends, interests and other legitimate income;
(b)
proceeds obtained from the total or partial sale or liquidation of investments;
(c)
payments pursuant to a loan agreement in connection with investments;
(d)
royalties in relation to the matters in Paragraph 1 (d) of Article 1 ;
(e)
payments of technical assistance or technical service fee, management fee;
(f)
payments in connection with contracting projects
(g)
earnings of nationals of the other Contracting Party who work in connection with an investment in its territory.
Such transfers shall be affected without delay.
2.
Nothing in Paragraph 1 of this Article shall affect the free transfer of compensation paid under Article 4 and 5 of this Agreement.
3.
The transfer mentioned above shall be made in a freely convertible currency and at the prevailing market rate of exchange applicable
within the Contracting Party accepting the investments and on the date of transfer.
Article 7
SUBROGATION
If one Contracting Party or its designated agency makes a payment to its investors under a guarantee or a contract of insurance against
non-commercial risks it has accorded in respect of an investment made in the territory of the other Contracting Party, the latter
Contracting Party shall recognize:
(a)
the assignment, whether under the law or pursuant to a legal transaction in the former Contracting Party, of any rights or claims
by the investors to the former Contracting Party or to its designated agency, as well as.
(b)
that the former Contracting Party or its designated agency is enpost_titled by virtue of subrogation to exercise the rights and enforce
the claims of that investor and assume the obligations related to the investment to the same extent as the investor.
Article 8
SETTLEMENT OF DISPUTES BETWEEN CONTRACTING PARTIES
1.
Any dispute between the Contracting Parties concerning the interpretation or application of this Agreement shall, as far as possible,
be settled with consultation through diplomatic channels.
2.
If a dispute cannot thus be settled within six months, it shall, upon the request of either Contracting Party, be submitted to an
ad hoc arbitral tribunal.
3.
Such tribunal comprises of three arbitrators. Within two months of the receipt of the written notice requesting arbitration, each
Contracting Party shall appoint one arbitrator. Those two arbitrators shall, within further two months, together select a national
of a third State having diplomatic relations with both Contracting Parties as Chairman of the arbitral tribunal.
4.
If the arbitral tribunal has not been constituted within four months from the receipt of the written notice requesting arbitration,
either Contracting Party may, in the absence of any other agreement, invite the President of the International Court of Justice to
make any necessary appointments. If the President is a national of either Contracting Party or is otherwise prevented from discharging
the said functions, the Member of the International Court of Justice next in seniority who is not a national of either Contracting
Party or is not otherwise prevented from discharging the said functions shall be invited to make such necessary appointments.
5.
The arbitral tribunal shall determine its own procedure. The arbitral tribunal shall reach its award in accordance with the provisions
of this Agreement and the principles of international law recognized by both Contracting Parties.
6.
The arbitral tribunal shall reach its award by a majority of votes. Such award shall be final and binding upon both Contracting Parties.
The arbitral tribunal shall, upon the request of either Contracting Party, explain the reasons of its award.
7.
Each Contracting Party shall bear the costs of its appointed arbitrator and of its representation in arbitral proceedings. The relevant
costs of the Chairman and tribunal shall be borne in equal parts by the Contracting Parties.
Article 9
SETTLEMENT OF DISPUTES BETWEEN INVESTORS AND ONE CONTRACTING PARTY
1.
Any legal dispute between an investor of one Contracting Party and the other Contracting Party in connection with an investment in
the territory of the other Contracting party shall, as far as possible, be settled amicably through negotiations between the parties
to the dispute.
2.
If the dispute cannot be settled through negotiations within six months from the date it has been raised by either party to the dispute,
it shall be submitted by the choice of the investor:
(a)
to the competent court of the Contracting Party that is a party to the dispute;
(b)
to International Center for Settlement of Investment Disputes (ICSID) under the Convention on the Settlement of Disputes between States
and Nationals of Other States, done at Washington on March 18, 1965.
Once the investor has submitted the dispute to the competent court of the Contracting Party concerned or to the ICSID, the choice
of one of the two procedures shall be final. However, an investor who has submitted the dispute to a national court may nevertheless
have recourse to the arbitral tribunal mentioned in paragraph (b) of this Article, if the investor has withdrawn his case from national
court according to the procedural laws of that Contracting Party before judgment has been delivered on the subject matter.
3.
The arbitration award shall be based on the law of the Contracting Party to the dispute including its rules on the conflict of laws,
the provisions of this Agreement as well as the universally accepted principles of international law.
4.
The arbitration award shall be final and binding upon both parties to the dispute. Both Contracting Parties shall commit themselves
to the enforcement of the award.
Article 10
TRANSPARENCY
1.
Each Contracting Party shall promptly publish, or otherwise make publicly available, its laws, regulations, procedures and administrative
rulings and judicial decisions of general application as well as international agreements which may affect the investment of investors
of the other Contracting Party in the territory of the former Contracting Party.
2.
Nothing in this Agreement shall require a Contracting Party to furnish or allow access to any confidential or proprietary information
concerning particular investors or investments, the disclosure of which would impede law enforcement or be contrary to its laws protecting
confidentiality or prejudice legitimate commercial interests of particular investors.
Article 11
OTHER OBLIGATIONS
1.
If the legislation of either Contracting Party or international obligations existing at present or established hereafter between the
Contracting Parties result in a position entitling investments by investors of the other Contracting Party to a treatment more favorable
than is provided for by the Agreement, such position shall not be affected by this Agreement.
2.
Each Contracting Party shall observe any commitments it may have entered into with the investors of the other Contracting Party as
regards to their investments.
Article 12
APPLICATION
This Agreement shall apply to investment made prior to or after its entry into force by investors of one Contracting Party in the
territory of the other Contracting Party in accordance with the laws and regulations of the Contracting Party concerned, but not
apply to the dispute arose before its entry into force.
Article 13
CONSULTATIONS
1.
The representatives of the Contracting Parties shall hold meetings from time to time for the purpose of:
(a)
reviewing the implementation of this Agreement;
(b)
exchanging legal information and investment opportunities;
(c)
resolving disputes arising out of investments;
(d)
forwarding proposals on promotion of investment;
(e)
studying other issues in connection with investment.
2.
Where either Contracting Party requests consultation on any matter of Paragraph 1 of this Article, the other Contracting Party shall
give prompt response and the consultation be held alternatively in Beijing and Riga.
Article 14
ENTRY INTO FORCE, DURATION AND TERMINATION
1.
This Agreement shall enter into force on the first day of the following month after the date on which both Contracting Parties have
notified each other in writing that their respective internal legal procedures necessary therefore have been fulfilled and remain
in force for a period of ten years.
2.
This Agreement shall continue to be in force unless either Contracting Party has given a written notice to the other Contracting Party
to terminate this Agreement one year before the expiration of the initial ten year period or at any time thereafter.
3.
With respect to investments made prior to the date of termination of this Agreement, the provisions of Article 1 to 13 shall continue
to be effective for a further period of ten years from such date of termination.
4.
This Agreement may be amended by written agreement between the Contracting Parties. Any amendment shall enter into force under the
same procedures required for entry into force of the present Agreement.
In Witness Whereof undersigned, duly authorized thereto by respective Governments, have signed this Agreement.
Done in duplicate at Beijing on April 15, 2004 in the Chinese, Latvian and English languages, all texts being equally authentic. In
case of divergent interpretation, the English text shall prevail.
For the Government ofFor the Government of
The People’s Republic of China The Republic of Latvia
PROTOCOL TO AGREEMENT BETWEEN THE GOVERNMENT OF THE PEOPLE’S REPUBLIC OF CHINA AND THE GOVERNMENT OF THE REPUBLIC OF LATVIA ON THE
PROMOTION AND PROTECTION OF INVESTMENTS
On the signing of the Agreement between the Government of the People’s Republic of China and the Government of the Republic of Latvia
on the Promotion and Protection of Investments, the undersigned representatives have agreed on the following provisions which constitute
an integral part of the Agreement:
Ad Article 1
The People’s Republic of China takes note of the statement of the Republic of Latvia that the term “non-citizen” referred to in Article
1 , paragraph 2(a)(i), means a person who, in accordance with the Law on Status of Those Former U.S.S.R. Citizens Who Do not Have
Citizenship of Latvia or That of any Other State, has a right to a non-citizen passport issued by the Republic of Latvia.
Ad Article 9
The Republic of Latvia takes note of the statement that the People’s Republic of China requires that the investor concerned exhausts
the domestic administrative review procedure specified by the laws and regulations of the People’s Republic of China, before submission
of the dispute to ICSID under Article 9 , paragraph 2. The People’s Republic of China declares that such a procedure will take a
maximum period of three months.
For the Government ofFor the Government of
The People’s Republic of ChinaThe Republic of Latvia
|
|