THE LAW OF THE PEOPLE’S REPUBLIC OF CHINA ON JOINT VENTURE USING CHINESE AND FOREIGN INVESTMENT

TRIAL MEASURES FOR CONTROL OF THE EXPORT OF CULTURAL RELICS WITH SPECIAL PERMISSION

Category	CULTURE	Organ of Promulgation	The State Council	Status of Effect	In Force
Date of Promulgation	1979-07-31	Effective Date	1979-07-31

Trial Measures for Control of the Export of Cultural Relics With Special Permission

(Approved and promulgated by the State Council of the People’s Republic of

China on July 31, 1979)

1. These Measures are formulated in accordance with the provision that
“ordinary cultural relics in existence before the Sixtieth Year of the Reign
of Emperor Qian Long of the Qing Dynasty may, subject to the special
permission of the State Administrative Bureau of Museums and Archaeological
Materials, be exported” contained in the first point of the Proposals on
Strengthening the Commercial Administration of Cultural Relics and
Implementing the Policy for the Protection of Cultural Relics, which was
submitted by the Ministry of Foreign Trade, the Ministry of Commerce and the
State Administration for Protection of Cultural Relics and which has been
approved and transmitted by the State Council for implementation.

2. The specially permitted export of cultural relics shall be strictly
controlled in accordance with the principle of causing no adverse political
effects and no leakage of State secret. It is imperative to act in accordance
with the changes in the international cultural relics market and seize upon
the favourable opportunities in order that the export of a small quantity of
cultural relics will bring in a relatively great amount of foreign exchange so
as to support the development of the socialist four modernizations.

3. The criteria for cultural relics (including those passed down from
former generations and those unearthed) that may, with special permission, be
exported are as follows: (1) they shall be those of which there are large
numbers of replicas and which are overstocked; (2) they shall be those
unearthed during archaeological excavation which, after the completion of the
tasks of scientific research, are no longer in value for domestic
preservation; (3) they shall be those which, in addition to satisfying the
conditions set forth in items (1) and (2), are strictly below the third-class
(inclusive) as specified in the classified criteria of assessment for museums
formulated by the State; and (4) in assessing cultural relics to be exported,
any objects whose authenticity is hard to determine at the moment or
disputable shall not be exported for the time being so that the outflow of
important cultural relics out of carelessness can be avoided.

4. The head office of the antique shops is hereby enjoined to handle in a
unified way the work with respect to the export of cultural relics as
specially permitted. The cultural relics needed shall be supplied by the
departments for cultural relics in the various localities. The head office of
the antique shops shall, prior to the specially permitted export of cultural
relics, make a list of the items of the cultural relics concerned and the
quantities thereof and submit the list to the Cultural Relics Assessment
Panel, which shall put forward their conclusions drawn from the academic
assessment of the listed cultural relics as to their respective ages,
authenticity and value. The list shall finally be subject to the examination
and approval of the State Administration for Protection of Cultural Relics,
which shall then issue a Special Permit for Export of Cultural Relics.

5. With respect to cultural relics that may, with special permission, be
exported, the head office of the antique shops shall, after the State
Administration for Protection of Cultural Relics has approved the export
thereof, conduct studies in conjunction with the relevant foreign trade
department and determine through consultation the specific mode(s) of export
and the prices. If the mode of open sales is adopted, the sales operations
may, in accordance with the principle of benefiting the State as much as
possible, be exclusively entrusted to the foreign trade departments or be
handled by the antique shops under the department for cultural relics.

CIRCULAR OF THE STATE COUNCIL ON ITS APPROVAL AND TRANSMISSION OF THE REPORT SUBMITTED BY THE STATE ADMINISTRATION FOR COMMODITY PRICES, REQUESTING INSTRUCTIONS ON SEVERAL PROBLEMS CONCERNING THE FIXING OF PRICES OF INDUSTRIAL GOODS SUPPLIED FOR EXPORT

Category	PRICE	Organ of Promulgation	The State Council	Status of Effect	In Force
Date of Promulgation	1979-08-21	Effective Date	1979-08-21

Circular of the State Council on Its Approval and Transmission of the Report Submitted by the State Administration for Commodity Prices, Requesting Instructions on Several Problems Concerning the Fixing of Prices of Industrial Goods Supplied for Export

Circular
REPORT REQUESTING INSTRUCTIONS ON SEVERAL PROBLEMS CONCERNING THE FIXING

(August 21, 1979)

Circular

The State Council has given its consent to the “Report Requesting
Instruction on Several Problems Concerning the Fixing of Prices of Industrial
Goods Supplied for Export” submitted by the State Administration for
Commodity Prices, and the Report is hereby transmitted to you for prompt
study and implementation.
REPORT REQUESTING INSTRUCTIONS ON SEVERAL PROBLEMS CONCERNING THE FIXING
OF PRICES OF INDUSTRIAL GOODS SUPPLIED FOR EXPORT (Excerpts)

In November, 1965, the State Council promulgated Interim Provisions
Concerning the Unified Measures for Fixing Prices of Industrial Goods Supplied
for Exports. The implementation of these Provisions has played an active
role in promoting the development of the production of export commodities,
in strengthening the business accounting in the foreign trade department as
well as in the supplier departments, and mutual assistance and cooperation
between these departments, and in fulfilling the task of exportation set by
the State. At present, judged by what has been achieved in recent years, the
basic principles laid down in this document for fixing prices of export
commodities supplied are still practicable, and these principles shall
continue to be implemented.

However, in recent years, some new problems have emerged with the
development of foreign trade and with the increase in the exportation of
industrial and mineral products. In order to develop foreign trade vigorously,
to expand export actively, to generate foreign exchange earnings by a big
margin for the State, and to promote socialist modernization, it is urgenly
necessary to find an appropriate solution to several problems concerning the
fixing of prices of export industrial goods. The following are our
recommendations on the solution to these problems:

I The Guiding Principle for Fixing the Prices at Home of Export
Industrial Goods

The basic principle for fixing the home prices of export industrial goods
should remain that of same price for goods of same quality, and high price
for goods of high quality on the basis of prices of industrial goods for
domestic sales. However, certain special characteristics of export industrial
goods should also be taken into full consideration. The fixing of prices at
home for export industrial goods should be conducive to bringing into play the
initiative of the industrial departments and the foreign trade departments,
to improving the quality of export commodities, to increasing the variety of
designs and patterns, to upgrading the packaging and decoration, to speeding
up delivery, to meeting the demands of the international market, and to
enabling better and more flexible export business operations. The industrial
departments and the foreign trade departments should, in dealing with the
problem of fixing prices for export industrial goods, have a heightened sense
of the whole, starting from the interests of the country as a whole, promote
mutual assistance and coordination, work in harmony with one another, provide
each other with data concerning the production and marketing of export
commodities, the comparability in quality, production costs, exportation for
earning foreign exchange, etc., and work energetically towards the same goal
of developing production, expanding export, and generating more foreign
exchange earnings.

II Price-Fixing Problems Relating to Commodities That Cause Big Export
Losses Though High in Industrial Profits

With respect to those industrial goods whose producer price is high,
industrial profits are good, production potential is great, and sale has yet
to be expanded, the producer price and market price may with the approval of
the competent authorities for commodity prices, be reduced by an appropriate
margin. If the producer price of goods for export and the producer price of
goods for domestic sales are to be reduced at the same time, the principle of
“same price for goods of same quality, and high price for goods of high
quality” should apply to products for export and to those for domestic sales.
For such products whose domestic sale price is not to be reduced for the time
being and whose prospect for export is bright though their exportation still
causes great losses in spite of the efforts made by the foreign trade
departments in rational export business, their producer price for export may,
with the consent of the department(s) concerned after consultation, be reduced
first without reducing their producer price for domestic sales, on the
condition that the fulfilment of the export plan is not affected. With respect
to some areas where it is not possible to reduce the producer price of goods
for export the enterprises concerned should strive to reduce their production
costs, and to catch up with the advanced level within a prescribed time limit;
and within a specific period of time, the relevant foreign trade departments
must continue to purchase the produce manufactured in these areas for export,
in accordance with the State plan or with the contracts signed by foreign
trade departments with industrial departments.

For such products with no big industrial profits but high tax rates,
resulting thus in high producer price and large export losses, the relevant
foreign trade department or industrial department may file an application for
a reduction of, or exemption from, taxes; and the case(s) shall be submitted
to the Ministry of Finance or to the people’s governments of the provinces,
autonomous regions, or municipalities directly under the Central Government
for approval before execution.

III Price-Fixing Problems Relating to Export Commodities That Yield
Meagre or No Industrial Profits, or Cause Losses

There are some industrial goods, which sell well on the international
market, and earn high rates of foreign exchange, but whose producer price is
too low; under normal circumstances and with rational management the
enterprises concerned can only manage to have a break-even between costs and
profits, or have just meagre profits, or, worse still, suffer losses; however,
for the time being, it is inadvisable to raise the domestic selling price.
There is still another case: the domestic selling price is basically
reasonable; however, the special demands for the portion of goods for export
such as small quantities but rich varieties, result in an increase in
production costs. The two cases mentioned above may, with the consent reached
through consultation between the interested industrial departments and foreign
trade departments, be handled this way; with respect to the portion of goods
for export, on the principle of allowing the producer enterprises to have a
proper percentage of profits, the problem may be solved by the properly
purchasing price of goods for export, on condition that the aforesaid
readjustment does not hamper the fulfilment of the marketing plan on the
domestic market.

IV The Price-Fixing Problem Concerning the Commodities Produced
Exclusively for Export

For those products manufactured exclusively for export, and those export
products manufactured by designated factories or by designated workshops, as
well as those export products manufactured from imported raw materials (the
raw materials are imported for this special purpose only), they may, with the
consent reached through consultation between the interested foreign trade
departments and industrial departments, be separated in price ratio from those
similar goods for domestic sales, and their producer price shall be fixed in
accordance with the production costs calculated under the conditions of normal
industrial production and rational operation, plus a certain percentage of
profits.

V The Price-Fixing Problems Concerning the Products Manufactured under
the System of “Promotion of Exports by Importation of New Technology and
Equipment”

In accordance with Trial Measures Concerning the Promotion of Exports by
Importation of New Technology and Equipment, transmitted by the State Council
in March, 1979, cases concerning the price-fixing in Renminbi at home for
imported goods and materials needed for carrying out the system of “promotion
of exports by importation of new technology and equipment” shall be handled,
in principle, in accordance with the existing measures for fixing prices for
imported goods. With respect to a few varieties of finished products, exported
under the system of “promotion of exports by importation of new technology and
equipment”, owing to the fact that the domestic appropriation price, the
profit rate and the tax rate for the imported raw and auxiliary materials are
too high, the foreign trade department that undertakes the exportation of the
aforesaid finished products suffers a big export loss; so long as the
aforesaid finished products sell well on the international market, and the
rate of foreign exchange earnings is acceptable, the imported raw and
auxiliary materials needed may, with approval, have their price fixed by
adding a commission of 3% to the import cost. As regards the limits of powers
for approval, cases concerning imports by using the foreign exchange of the
Central Government, shall be examined and approved by the Ministry of Foreign
Trade; cases concerning imports by using the foreign exchange of localities,
shall be examined and approved by the competent pricing authorities of the
provinces, autonomous regions, or municipalities directly under the Central
Government. The Customs duties and consolidated industrial and commercial
taxes on the aforesaid goods and materials may, with the exception of those
which have been given preferential treatment of exemption or reduction
according to the clear-cut decision made by the competent authorities under
the State Council, be computed and levied in accordance with the pertinent
provisions promulgated by the State. Any new applications filed by the
departments and localities concerned for the reduction of, or exemption from,
import duties, shall be examined and determined,in good time, by the Ministry
of Foreign Trade and the Ministry of Finance in accordance with the principle
of being conducive to the implementation of the system of “promotion of
exports by importation of new technology and equipment”. With respect to those
raw and auxiliary materials which are imported regularly every year, relatively
steady domestic appropriation prices may be fixed through consultation in
accordance with the aforesaid principle. The industrial departments may, on
the basis of the aforesaid prices fixed for the raw and auxiliary materials,
calculate the production costs and the producer prices for export products.
The industrial profits for products of this category shall be determined
reasonably, in the light of the profit level of similar industrial products,
and by considering the actual profits and losses in the operation of
exportation. In the event that there is insufficient supply of imported raw and
auxiliary materials and that home-produced raw and auxiliary materials have to
be used, the Ministry of Foreign Trade shall make up the price differences
between home-produced raw and auxiliary materials and imported raw and
auxiliary materials for the industrial departments.

The prices of imported raw materials specially required for the production
of packages for export products may also be fixed and approved in accordance
with the measures mentioned above.

VI Price-Fixing Problems Concerning Some Home-Produced Raw Materials

There are some home-produced raw materials whose producer price is fixed
at a rather high rate because of the consideration for the price ratio
between the aforesaid products and other products of the same category or
other relevant products, and for the for the different conditions in different
localities, resulting in the high production costs and high producer prices of
the export products made from the aforesaid raw materials, and comparatively
large export losses; however the said export products are in demand on the
international market. In areas where the home-produced raw and processed
materials mentioned above are produced at very low production costs before the
unified re-adjustment of the producer prices and thus the industrial profits
are relatively high, the portion of the aforesaid home-produced raw and
processed materials to be used for the manufacture of export products may,
with the approval agreed upon through consultation between the interested
foreign trade departments and industrial departments, have their producer
prices fixed separately in accordance with the principle that the producer
enterprises shall have a proper percentage of profits.

VII The Limits of Powers for Approval of the Re-adjustment of Prices

According to the original provisions, cases concerning the re-adjustment of prices of expert commodities
to prices lower or higher than those of similar
commodities for domestic sales, shall all be approved by the State
Administration for Commodity Prices. Such provisions are necessary for carrying
out strictly the principle of “same price for goods same quality, and pricing
on the basis of quality” as far as both the commodities for export and the
commodities for domestic sales are concerned; they are also necessary for
avoiding aggravating conflicts caused by price-fixing between different areas.
However, with the daily increase in the varieties of commodities for export, it
would be difficult for the State Administration for Commodity Prices to handle
, in good time, all pricing cases if every product is to be reported to it for
examination and approval, and this situation may affect to a certain extent
the arrangements for production and exports. Therefore, from now on, cases
concerning the fixing of prices for export commodities in accordance with the
measures mentioned in recommendations II through VI of this Report shall, with
the consent reached through consultation between the interested foreign trade
departments and industrial departments, be submitted to, and handled by, the
competent authorities concerned in accordance with the limits of powers for
the administration of prices at different levels, namely, products whose prices
are to be fixed by the departments concerned under the State Council, shall be
reported to, examined and approved by the departments concerned under the State
Council which may, however, authorize the local competent authorities for the
administration or commodity prices, to examine and approve the prices of part
of varieties of export goods; products the prices of which are to be fixed by
the local authorities shall be reported to the competent authorities for the
administration of commodity prices of the provinces, municipalities directly
under the Central Government, and autonomous regions for examination and
approval. Commodity prices to be fixed by the local competent authorities
shall be reported to the departments concerned under the State Council for the
record. With respect to those products whose prices need to be adjusted,
the original prices shall be adhered to in business transactions; before the
new prices are notified to the departments concerned at the lower levels, or,
when necessary business transactions may, with the consent reached through
consultation between the interested supplying departments and foreign trade
departments, or with the confirmation by local the competent authorities for
the administration of commodity prices, be calculated on the basis of the
original prices and, after the new prices have been approved and notified to
the departments concerned at the lower levels, refund for any overpayment or
collect a supplementary payment for any deficiency.

After prices have been adjusted, it is necessary to stabilize them for a
period of time; it is inadvisable to change the prices of commodities for
export frequently because of price fluctuations on the international market.

With respect to the changes, in terms of increases or decreases, in the
production costs and profits of the departments, the localities and
enterprises concerned, as a result of the adjustment of prices of export
commodities and raw and processed materials, the Central and local planning
departments and financial departments shall, when transmitting plans to, or
examining the performance of the departments at the lower levels, take into
consideration the aforesaid actors, and find ways to solve the problems
properly.

If nothing is deemed inappropriate in the Report, it is requested that the
Report be approved and transmitted to all the departments concerned and to the
provinces, municipalities directly under the Central Government, and
autonomous regimens for study and implementation.

REGULATIONS GOVERNING SUPERVISION AND CONTROL OF FOREIGN VESSELS BY THE PEOPLE’S REPUBLIC OF CHINA

DECREE OF THE STATE COUNCIL

Category	FOREIGN AFFAIRS	Organ of Promulgation	The State Council	Status of Effect	In Force
Date of Promulgation	1979-09-09	Effective Date	1979-09-09

Decree of the State Council of the People’s Republic of China

(Promulgated on September 9, 1979)

A decree is hereby issued to execute the agreement signed by the
Government of the People’s Republic of China and the Government of the United
States of America on May 11 this year concerning the settlement on
claims/assets, and to protect the legitimate rights and interests of the
Chinese units and individuals concerned:

1. As regards the assets belonging to state organs, stateowned
enterprises, public institutions, including organizations and schools, frozen
by the U.S. government, the State Council authorizes the Bank of China to act
on their behalf to approach the debtors on the U.S. side and handle the
affairs of recovering or with drawing the said assets frozen by the U.S.
government as soon as the U.S. government has declared the unfreezing in
accordance with the Sino-U.S. agreement.

2. As regards the former private industrial and commercial enterprises and
state-private joint industrial and commercial enterprises which, after years
of socialist transformation, have now been transformed, according to their
lines of business, into or merged with state-owned industrial and commercial
enterprises, the State Council has made the decision to authorize the Bank of
China to act as their plenipotentiary to handle the affairs of recovering or
withdrawing the assets belonging to them and frozen by the U.S. government.
When the said frozen assets have been recovered or withdrawn, the Bank of
China shall settle the accounts with the units concerned in accordance with
the relevant laws and decrees of China.

3. As regards the frozen personnal assets belonging to Chinese nationals,
for the convenience of making contacts with the debtors on the U.S. side and
protecting the legitimate rights and interests of the owners, the State
Council authorizes the Bank of China to complete the formalities for
recovering or withdrawing the said frozen assets abroad. When the said frozen
personal assets have been recovered or withdrawn, the Bank of China shall
effect the payments in accordance with the relevant laws and decrees of China.

4. As of the date of the issuance of the present decree, no units or
individuals have the right to withdraw, sell or transfer their assets frozen
by the U.S. government without the consent of the Bank of China.

ENVIRONMENTAL PROTECTION LAW OF THE PEOPLE’S REPUBLIC OF CHINA

RULES GOVERNING VESSELS OF FOREIGN NATIONALITY

Category	COMMUNICATIONS AND TRANSPORT	Organ of Promulgation	The State Council	Status of Effect	In Force
Date of Promulgation	1979-09-18	Effective Date	1979-09-18

Rules of the People’s Republic of China Governing Vessels of Foreign Nationality

General Provisions
Chapter I Port Entry and Exit and Navigation
Chapter II  Berthing
Chapter III  Signals and Communication
Chapter IV  Dangerous Goods
Chapter V  Safeguard of Navigation Lanes
Chapter VI  Prevention of Pollution
Chapter VII  Fire Control and Rescue
Chapter VIII  Accidents of Damages at Sea
Chapter IX  Punishments on Contravention of Regulations
Chapter X  Supplementary Provisions

(Approved by the State Council on August 25, 1979 and promulgated by the

Ministry of Communications on September 18, 1979)
General Provisions

Article 1 These Rules are formulated in order to safeguard the sovereignty
of the People’s Republic of China, maintain the order of ports and coastal
waters, ensure the safety of navigation and prevent the pollution of waters.

Article 2 All vessels of foreign nationality sailing in the ports and
coastal waters of the People’s Republic of China (hereinafter referred to
as “vessels”) shall abide by these Rules and all the relevant decrees,
stipulations and provisions of the People’s Republic of China.

Whenever the Harbour Superintendency Administration set up by the
Government of the People’s Republic of China is of the view that it is
necessary to conduct inspection of vessels, the vessels must subject
themselves to inspection.

The term coastal waters as used in these Rules refers to the inland
waters and territorial seas of the People’s Republic of China and the waters
stipulated by the State to be under its jurisdiction.
Chapter I Port Entry and Exit and Navigation

Article 3 The captain or the ship owner shall, through the China
Ocean-shipping Agency Corporation, one week before the scheduled arrival of
his vessel at a port, fill in the prescribed forms and go through the
procedures to apply for approval of port entry with the Harbour Superintendency
Administration and, 24 hours before the vessel’s arrival at the port (or if
the voyage is less than 24 hours, at the time of departure from the previous
port), through the agent company for foreign vessels, report to the Harbour
Superintendency Administration on the scheduled time at arrival, forward
draft, stern draft, and other such conditions. A report shall be made at any
time if any change at the time of arrival is anticipated. If in the course of
its voyage, a vessel has to enter or return to the port temporarily due to
special circumstances such as mishap, malfunction, or acute illness contracted
by its seamen or passengers, a report shall be made to the harbour
Superintendency Administration in advance.

Article 4 When a vessel goes into or out of a port or sails or changes
berths in it, it shall be guided by a pilot appointed by the Harbour
Superintendency Administration. The specific matters concerning pilotage shall
be handled in accordance with the “Provisions for Pilotage in Ports”
promulgated by the Ministry of Communications of the People’s Republic of
China.

Article 5 Upon arrival of a vessel at a port, the entry and other
relevant reports, together with the certificate of registry and relevant
documents shall be submitted promptly for examination, and the vessel shall
be subject to inspection. Before a vessel goes out of a port, the exit and
other relevant reports shall be submitted and the vessel may go out only with
an exit permit issued after inspection.

Article 6 All weapons and ammunition on board a vessel shall be kept under
seal by the Harbour Superintendency Administration upon arrival of the vessel
at the port. Radio telegraph transmitters, radio telephone transmitters,
rocket signals, flame signals and signal guns shall only be used in conditions
of emergency; and after such use, reports must be made to the Harbour
Superintendency Administration.

Article 7 It shall be forbidden, inside a port, to shoot, swim, fish or
set off fire-crackers or fireworks or do other acts likely to endanger the
safety and order of the port.

Article 8 The Harbour Superintendency Administration shall be enpost_titled
to prohibit a vessel from going out of the port within a specified period of
time, or order it to suspend its voyage, change its course or return to the
port if the vessel is in any of the following conditions:

1. in an unseaworthy condition;

2. in contravention of the laws or regulations of the People’s Republic
of China;

3. having involved in an accident of marine damage;

4. having failed to pay prescribed dues and to provide an appropriate
guarantee therefor;

5. other conditions which call for prohibition of navigation.

Article 9 Vessels sailing in the ports and coastal waters of the People’s
Republic of China shall not engage in activities detrimental to the security,
rights and interests of the People’s Republic of China and shall abide by the
provisions concerning straits, waterways, navigation lines and restricted
zones.

Article 10 Vessels shall not sail at such speed in ports as to endanger
the safety of other vessels and port facilities.

Article 11 The boats (rafts) attached to vessels shall not be allowed to
sail in ports except for lifesaving purposes.

Article 12 When sailing or changing berths in ports, vessels shall not
have their attached boats (rafts), derricks, gangways, etc. extended over
the board sides.

Article 13 Vessels that have to enter into a port of the People’s
Republic of China which is open to foreign vessels for the purpose of taking
shelter or temporary berth shall apply to the Harbour Superintendency
Administration for approval; the application shall include: the ship’s name,
call sign, nationality, name of the carrier, port of departure, port of
destination, ship’s position, speed, draft, full colour(s), funnel colour(s),
and mark, and shall take shelter at the specified place.

Vessels that have to take shelter or temporary berth in a place other
than the ports open to foreign vessels of the People’s Republic of China
shall, in addition to going through the above procedures for the application
for approval, abide by the following:

1. duly report to the Harbour Superintendency Administration in the
neighbourhood on the anchoring time, position and the time of departure;

2. observe the provisions of the relevant local departments, subject
itself to inspection and enquiry and obey orders;

3. the personnel on board the vessel shall not come to land nor shall
the goods on on board be unloaded without the approval of the relevant local
departments.
Chapter II Berthing

Article 14 Vessels berthed in a port shall have on duty a number of
seamen sufficient to ensure the safe operation of the vessel and, in times
of a typhoon warning or other emergency conditions, all crew members shall
immediately return on board to take preventive and other measures.

Article 15 The gangways of a vessel set up where the crew members,
passengers and other personnel embark and disembark shall be firm and secure
and armed with rails or hand ropes; rope ladders shall be firm and safe,
with adequate illumination at night.

Article 16 When a vessel has to start its engine, attention shall be
paid to the surroundings of the stern and it shall only be done in
circumstances where the safety of other vessels and port facilities will not
be endangered.

Article 17 The water outlets on both sides of a vessel berthed in a
port, which are likely to affect other vessels, the pier or the embarkation
and disembarkation of personnel shall be covered.

Article 18 The light of a vessel shall not affect the safety of
navigation of other vessels and strong lights of the vessel projected towards
the course of navigation shall be blocked.

Article 19 Vessels shall provide safe and good conditions for loading
and unloading operations and the loading and unloading installations shall
possess certificates of compliances and be maintained in good technical
condition.

Article 20 A vessel shall make prior applications to the Harbour
Superintendency Administration for approval to carry out the following
operations:

1. dismantling and repair of boilers, main engine, windlasses, steering
gear and transmitters;

2. trial voyages and trial runs;

3. setting down boats (rafts) to carry out lifesaving rehearsal;

4. welding or soldering (except for repair in a dockyard) or carrying
out operations with uncovered light on the deck;

5. hanging out decorative lamps.

Article 21 In the fumigation of a vessel, strict safety measures shall
be taken and the signal stipulated by the Port shall be hoisted.

Article 22 To ensure safety of the port and vessels, the decisions of
the Harbour Superintendency Administration shall be complied with if any ship
has to change berths in the port or set sail ahead of schedule or postpone
sailing.
Chapter III Signals and Communication

Article 23 Vessels sailing or berthed in the ports and coastal waters of
the People’s Republic of China shall fly the national flags of their countries
of registry in daytime. When coming into or going out of the ports or changing
berths, they shall additionally fly their vessel flags for call and the
relevant signals stipulated by the port.

Article 24 When coming into or going out of the port or anchoring,
vessels shall pay attention to the calls and signals of the port signal
station and shall observe the regulations of the People’s Republic of China
for signals in coastal ports in the use of visual signals. In respect of
signals not yet stipulated by coastal ports. “International Rules for
Signals” shall be observed.

Article 25 Vessels in ports shall not send out sound signals at will
except out of necessity for navigation safety. When it is necessary to test
whistles, a report shall be submitted to the Harbour Superintendency
Administration in advance.

Article 26 In the use of very high frequency radio telephones in ports,
vessels shall abide by the “Interim Measures for the Use of Radio Telephones
of Very-high-frequency by Vessels of Foreign Registry” promulgated by the
Ministry of Communications of the People’s Republic of China.
Chapter IV Dangerous Goods

Article 27 In loading, unloading or transportation of dangerous goods,
the vessels shall hoist the stipulated signals, observe the stipulations for
the administration of the transportation of dangerous goods and take necessary
safety measures. In particular, goods with mutually-conflicting properties
shall not be loaded in a mixed way and it shall strictly be prohibited to load
explosive articles together with igniters or combustible articles in the
same holds.

Article 28 In carving Class-1 strongly dangerous goods such as explosive
articles, deadly poisonus articles, radioactive articles, compressed gases and
liquefied gases, oxidizers, spontaneous combustible articles, articles that
ignite when in contact with water, combustible liquids, combustible solids
and acid corrosives, vessels shall list in detail the names of the goods,
their properties, package, quantity and loading position, and also attach the
instructions concerning the properties of the dangerous goods to the lists
and apply to the Harbour Superintendency Administration through the agent
companies for foreign vessels for clearance visas three days before their
scheduled arrival at the ports. Only with approval may they enter the port,
unload goods, or pass through the transit. To carry the abovementioned
dangerous goods, outgoing vessels shall apply for clearance visas three days
before the start of loading. Only with approval may they load and carry.

Article 29 In applying for the safety certificates for loading and
carrying dangerous goods for export, vessels shall make written applications
to the Harbour Superintendency Administration three days before the start of
loading, clearly stating the names of tile dangerous goods, their properties,
package, quantity, loading position (also attached with loading plans of the
goods), midway ports, port of destination, etc. Loading shall be done at the
berths specified by the Harbour Superintendency Administration.
Chapter V Safeguard of Navigation Lanes

Article 30 In navigation, vessels shall, abide by the provisions for and
maintain the order of navigation. If a vessel encounters an accident and is in
danger of sinking, it shall promptly report to the Harbour Superintendency
Administration and take effective measures as best as it can to sail out of
the lane so as not to obstruct navigation and endanger other vessels. If the
vessel has sunk, the vessel side shall duly set up a temporary signal mark
at the place of its sinking.

Article 31 The salvage of vessels or other articles which have sunk in
the ports or coastal waters shall be handled in accordance with the “Measures
of the People’s Republic of China for the Administration of the Salvage of
Sunken Vessels and Sunken Articles”. The Harbour Superintendency Administration
shall, according to particular circumstances, notify the owners of the sunken
vessels or sunken articles to salvage and remove them within a prescribed
period, or promptly organize the salvage or dismantlement and removal; the
entire responsibilities and expenses shall be borne by the owners of the
sunken ship and sunken articles.

Article 32 If a vessel finds or dredges up any sunken or floating
article, it shall report, or hand it over for handling, to the Harbour
Superintendency Administration, which shall give awards at its discretion.

Article 33 If a vessel has to dump rubbish and other refuse in a port,
it shall display the signal stipulated by the port to call up a rubbish boat
(or truck).

Article 34 Vessels shall take good care of lane installations and
navigational aids. If a vessel has damaged any navigational aid, port
construction or other facilities, it shall promptly report to the Harbour
Superintendency Administration and undertake to restore them or pay
compensation for the restoration.
Chapter VI Prevention of Pollution

Article 35 In the ports and coastal waters of the People’s Republic of
China, vessels shall be prohibited from wilfully draining away oils, oil
mixtures and other pernicious pollutants and wastes.

Article 36 Vessels shall apply to the Harbour Superintendency
Administration for approval for draining away ballast water, washing water
from holds or bilge water. A vessel that comes from an epidemic-affected port
shall go through the hygienic treatment of the quarantine. The bilge water
and washing water from the holds of vessels carrying dangerous goods and
other pernicious pollutants may be drained at specified places only after
appraisal which indicates that they meet the standards of the public health
department concerned.

Article 37 All oil tankers and vessels using fuel oil shall possess oils
registers and duly and truly make entries therein in accordance with various
provisions of the registers.

Article 38 If polluting accidents occur with vessels in the ports or
coastal waters, they shall record the course of events separately in their
oils registers and sea logs, promptly report to the Harbour Superintendency
Administration and at the same time take effective measures to prevent
diffusion of the pollutants. If treatment with chemicals is required, it is
necessary to apply to the Harbour Superintendency Administrations for
approval, and provide them with the instructions of the chemical ingredients.

Article 39 Matters not included in this chapter shall be handled in
accordance with the provisions of the People’s Republic of China relating to
the prevention of pollution of waters.
Chapter VII Fire Control and Rescue

Article 40 It shall strictly be forbidden to smoke or make fires in
cargo holds or other places prone to fire on board the vessels.

Article 41 Strict fire-prevention and safety measures shall be taken for
the refueling of vessels and for the loading and unloading operations of oil
tankers.

Article 42 To perform such engineering projects as welding or soldering
on board a vessel, the surroundings, shall be cleared in advance, strict
precaution measures be taken, firefighting equipment be made ready and
inspection be conducted before and after the operations. The oil tanks and
their adjacent parts shall necessarily be emptied of all oil materials,
cleared of residues of oil, thoroughly ventilated, with their internal
combustible gases discharged and certified as up-to-standard before welding
or soldering can be carried out.

Article 43 If a vessel catches fire or encounters a sea peril, it shall
promptly report to the Harbour Superintendency Administration such conditions
as scene of the accident, tonnage of vessel, draft, cargo carried, damages,
and the kind of assistance required.

Article 44 If necessary, the Harbour Superintendency Administration may
mobilize and command the vessels in the port or coastal waters to take part
in the rescue of a vessel in trouble and under the circumstances that their
own safety will not be affected, the mobilized vessels have the responsibility
to partake in the rescue as best as they can.

Article 45 When the Harbour Superintendency Administration or leading
members of the rescue department arrive at the scene, the captain of the
vessel in trouble shall promptly report the state of the accident and the
measures which have been taken and supply the data and facilities required
for the rescue. He may also make suggestions concerning the rescue. The
parties concerned shall observe the decisions made by the Harbour
Superintendency Administration for the maintenance of security and order.
Chapter VIII Accidents of Damages at Sea

Article 46 When an accident of damages at sea occurs to a vessel, it
shall make a summary report to the Harbour Superintendency Administration by
telegraph or radio-telephone as soon as possible. With regard to the
occurrence of an accident of damages at sea outside a port area, the captain
shall submit a report about the accident to the Harbour Superintendency
Administration within forty-eight hours of the vessel’s entry into the first
port of call. With regard to the occurrence of an accident of damages at sea
within the port, the captain shall submit a report about the accident to the
Harbour Superintendency Administration within 24 hours.

Article 47 When a vessel causes an accident in the port or coastal
waters of the People’s Republic of China, which results in the loss of human
life and damage to property, it shall actively attempt to rescue the damaged
vessel and injured personnel, promptly report the matter to the Harbour
Superintendency Administration and subject itself to investigation and
handling. The troublemaker who does not rescue those in danger but hides
itself or runs away shall be severely dealt with.

Article 48 If the death of a seaman occurs on board a vessel, the vessel
shall promptly make a report to the Harbour Superintendency Administration. If
the default of personnel of the vessel side or the port side gives rise to
damage or injury or death to the other side, the scene shall be kept intact
and both sides shall duly report to the Harbour Superintendency Administration.
If a dispute occurs, any party concerned may apply to the Harbour
Superintendency Administration for investigation and handling. Those involving
crimes shall be dealt with by the judicial organs of the People’s Republic
of China.

Article 49 Matters which are not included in this Chapter shall be
handled in accordance with the “Rules for the Investigation and Handling of
Accidents of Damage at Sea” promulgated by the Ministry of Communications of
the People’s Republic of China.
Chapter IX Punishments on Contravention of Regulations

Article 50 The Harbour Superintendency Administration shall impose such
punishments as a warning or a fine, according to the nature and seriousness of
the offence, on anyone who has contravened these Regulations and any other
relevant decrees, provisions and regulations of the People’s Republic of
China. Those of a vile and serious nature shall be handed over to, and dealt
with by, the judicial organs.

Article 51 If the punished party does not accept the punishment, he
can make an appeal to the Harbour Superintendency Administration of the
People’s Republic of China within 15 days of receipt of the notice. Before
alteration of the decision, however, the original punishment shall still
take effect.
Chapter X Supplementary Provisions

Article 52 With regard to the prevention of collision of vessels,
matters which are not included in these Regulations and other relevant
provisions of the People’s Republic of China shall be handled in accordance
with the “International Rules For the Avoidance of Collision at Sea”
implemented by the People’s Republic of China.

Article 53 These Regulations shall be put into effect as of the date of
promulgation by the State Council of the People’s Republic of China.
Concurrently therewith, the “Measures of the People’s Republic of China For
the Administration of Port Entry and Exit by Vessels of Foreign Registry”
promulgated by the Ministry of Communications of the People’s Republic of
China on March 12, 1957 shall be annulled.

RESOLUTION OF THE STANDING COMMITTEE OF THE NATIONAL PEOPLE’S CONGRESS APPROVING THE SUPPLEMENTARY PROVISIONS OF THE STATE COUNCIL FOR REHABILITATION THROUGH LABOUR

Resolution of the Standing Committee of the National People’s Congress Approving the Supplementary Provisions of the State Council
for Rehabilitation Through Labour

(Effective Date:1979.11.29–Ineffective Date:)

The 12th Meeting of the Standing Committee of the Fifth National People’s Congress on November 29, 1979 resolves to approve the Supplementary
Provisions of the State Council for Rehabilitation Through Labour which shall be promulgated for implementation by the State Council.

APPENDIX I:

SUPPLEMENTARY PROVISIONS OF THE STATE COUNCIL FOR REHABILITATION THROUGH LABOUR

(Approved at the 12th Meeting of the Standing Committee of the National People’s Congress and promulgated for implementation by the
State Council on November 29, 1979)

The following supplementary provisions are made with a view to better enforcing the Decision of the State Council Regarding the Question
of Rehabilitation Through Labour, approved by the 78th Meeting of the Standing Committee of the First National People’s Congress
on August 1, 1957:

1. Administrative committees for rehabilitation through labour shall be established by the people’s governments of the provinces,
autonomous regions, and municipalities directly under the Central Government, and of large and medium-sized cities, and shall be
composed of the persons responsible for civil affairs, public security and labour departments. They shall be responsible for directing
and administering the work of rehabilitation through labour.

2. Those people in large and medium-sized cities who need to be rehabilitated through labour shall be interned for the purpose of
rehabilitation. The administrative committees for rehabilitation through labour of the provinces, autonomous regions, and municipalities
directly under the Central Government, and of large and medium-sized cities, shall be responsible for examining and approving those
who need such rehabilitation.

3. The term of rehabilitation through labour shall be one to three years. When necessary, it may be extended for one more year. Rest
shall be allowed on festivals and Sundays.

4. After their release, persons who have undergone rehabilitation through labour shall not be discriminated against in employment
and enrollment in schools. Their families including children shall not be subjected to discrimination.

5. The people’s procuratorates shall exercise supervision over the activities of the organs in charge of rehabilitation through labour.

APPENDIX II: DECISION OF THE STATE COUNCIL REGARDING THE QUESTION OF REHABILITATION THROUGH LABOUR

(Approved at the 78th Meeting of the Standing Committee of the National People’s Congress on August 1, 1957)

The following decision regarding the question of rehabilitation through labour is made in accordance with the provisions of Article
100 of the Constitution of the People’s Republic of China and with a view to reforming those persons who are able to work but insist
on leading an idle life, violating law and discipline, or will not engage in honest pursuits, into persons who are able to support
themselves through their own labour, and to further maintaining public order, thus facilitating socialist construction:

1. Persons of the following categories shall be interned for rehabilitation through labour:

(1) those who will not engage in honest pursuits, involve themselves in hooliganism, commit larceny, fraud or other acts for which
they are not criminally liable or violate public security rules and refuse to mend their ways despite repeated admonition;

(2) counterrevolutionaries and anti-socialist reactionaries who commit minor offences and are not criminally liable and who have been
given sanctions of expulsion by government organs, people’s organizations, enterprises or schools, and as a result have difficulty
in making a living;

(3) employees of government organs, people’s organizations, enterprises and schools who are able-bodied, but have refused to work
for a long period, violated discipline or jeopardized public order, and have been given sanctions of expulsion, and as a result have
difficulty in making a living; or

(4) persons who refuse to accept the work assigned to them or the arrangement made for their employment and settlement after their
demobilization from military service, or who decline to take part in manual labour and production despite persuasion, keep behaving
disruptively on purpose, obstruct public officials from performing their duties and refuse to mend their ways despite repeated admonition.

2. Rehabilitation through labour is a measure whereby education and reform are mandatorily imposed on persons who are interned for
rehabilitation through labour, and is also a measure to resettle them and provide employment for them.

Persons undergoing rehabilitation through labour shall be appropriately paid with wages according to the actual work they do; a suitable
amount may be deducted from their wages for the support of their dependents or reserved for their own expenses in settling down to
a stable life.

Persons undergoing rehabilitation through labour must abide by the discipline prescribed by the organs in charge of rehabilitation
through labour. Those who violate discipline shall be given administrative sanctions and those who commit criminal offences shall
be punished according to law.

For the education and management of the persons undergoing rehabilitation, the policy of combining labour and production with political
education shall be adopted, and disciplinary rules and regulations shall be prescribed for such persons to strictly observe. Help
shall be given to them in cultivating their consciousness of loving the country, abiding by the law and regarding work as a matter
of honour, in learning skills of labour and production, and in fostering a habit of loving manual labour so that they may be turned
into working people who take part in socialist construction and who support themselves by their own labour.

3. Petitions for persons to be interned for rehabilitation through labour shall be presented by departments of civil affairs or public
security, by the units such persons belong to, which may be government organs, people’s organizations, enterprises, schools, etc.,
or by their parents or guardians and shall be approved by the people’s councils of provinces, autonomous regions, and municipalities
directly under the Central Government or by organs authorized by these people’s councils.

4. If, in the course of their rehabilitation, persons undergoing rehabilitation through labour have mended their ways and are qualified
for employment, they may be provided with other employments upon the approval of the organs in charge of rehabilitation through labour;
if the units, parents or guardians who have previously petitioned for the persons concerned to be interned for rehabilitation through
labour present another petition requesting that such persons be turned over to them for education and supervision, the organs in
charge of rehabilitation through labour may also approve such petitions according to the actual conditions.

5. Organs in charge of rehabilitation through labour shall be established at the level of provinces, autonomous regions, and municipalities
directly under the Central Government or established with the approval of the people’s councils of provinces, autonomous regions,
and municipalities directly under the Central Government. The work of the organs in charge of rehabilitation through labour shall
be under the joint leadership and administration of the departments of civil affairs and public security.

12 Page 1 of 2

1985

CIRCULAR OF THE STATE COUNCIL FOR APPROVING AND TRANSMITTING THE REPORT SUBMITTED BY THE PEOPLE’S BANK OF CHINA REQUESTING...

RULES GOVERNING OPERATION OF FOREIGN CIVIL AIRCRAFT

TRIAL MEASURES CONCERNING THE PROMOTION OF EXPORTS BY IMPORTATION

CHINESE-FOREIGN JOINT VENTURES

THE LAW OF THE PEOPLE’S REPUBLIC OF CHINA ON JOINT VENTURE USING CHINESE AND FOREIGN INVESTMENT

TRIAL MEASURES FOR CONTROL OF THE EXPORT OF CULTURAL RELICS WITH SPECIAL PERMISSION

CIRCULAR OF THE STATE COUNCIL ON ITS APPROVAL AND TRANSMISSION OF THE REPORT SUBMITTED BY THE STATE ADMINISTRATION FOR COMMODITY PRICES, REQUESTING INSTRUCTIONS ON SEVERAL PROBLEMS CONCERNING THE FIXING OF PRICES OF INDUSTRIAL GOODS SUPPLIED FOR EXPORT

REGULATIONS GOVERNING SUPERVISION AND CONTROL OF FOREIGN VESSELS BY THE PEOPLE’S REPUBLIC OF CHINA

DECREE OF THE STATE COUNCIL

ENVIRONMENTAL PROTECTION LAW OF THE PEOPLE’S REPUBLIC OF CHINA

RULES GOVERNING VESSELS OF FOREIGN NATIONALITY

RESOLUTION OF THE STANDING COMMITTEE OF THE NATIONAL PEOPLE’S CONGRESS APPROVING THE SUPPLEMENTARY PROVISIONS OF THE STATE COUNCIL FOR REHABILITATION THROUGH LABOUR

CONSTITUTION ACT, 1982 – page 22

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

CONSTITUTION ACT, 1982 – page 17

CONSTITUTION ACT, 1982 – page 16

CONSTITUTION ACT, 1982 – page 12

CONSTITUTION ACT, 1982 – page 11

CONSTITUTION ACT, 1982 – page 10

CONSTITUTION ACT, 1982 – page 9

CONSTITUTION ACT, 1982 – page 8

CONSTITUTION ACT, 1982 – page 7

Category	FOREIGN TRADE	Organ of Promulgation	The Stade Council	Status of Effect	In Force
Date of Promulgation	1979-03-26	Effective Date	1979-03-26