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1992

INTERIM REGULATIONS FOR THE REGISTRATION AND ADMINISTRATION OF ENTERPRISES IN THE ECONOMIC AND TECHNOLOGICAL DEVELOPMENT ZONE OF SHANGDONG PROVINCE

Interim Regulations for the Registration and Administration of Enterprises in the Economic and Technological Development Zone of Shangdong
Province

     (Effective Date 1986.01.21)

   Article 1. These Interim Regulations are formulated in the light of specific conditions and in accordance with the relevant
laws and regulations of the People’s Republic of China.

   Article 2. Foreign citizens, overseas Chinese, compatriots in Taiwan, Hong Kong and Macao and their companies, enterprises and other
economic entities (hereinafter referred to as investors) shall acquire approval of the Administrative Commission of the Economic
and Technological Development Zone (hereinafter referred to as the Administrative Commission of the Development
Zone) before they establish enterprises in the Development Zone (hereinafter referred to as the Development
Zone enterprises), operate contracted projects of construction and building fitting (hereinafter referred to
as contracted project enterprises) or set up resident representative offices. The investors shall, within thirty
days from the date of approval, apply for registration with the Administrative Bureau for Industry and Commerce of
the cities where they are located, and obtain a business license. No operation shall be allowed without registration.

   Article 3. A development Zone enterprise applying for registration shall present the following documents;

(1) The documents of approvals issued by the Administrative Commission of the Development Zone and by the competent
authorities of the government;

(2) One copy of the Chinese text or both the Chinese and the foreign language texts of the agreement and contract
signed by the parties to the enterprise and the enterprise’s articles of association;

(3) A copy of the registration certificate or other credit certificate issued by the competent governmental authorities
of the country or region where the investor is located;

(4) An application for registration signed by the chairman of the board of directors or the general manager of the enterprise.

The main items of registration shall be: the name of the enterprise, the address, the scope of production and
operation, the form of production and operation, the registered capital and the proportion to be provided by each party
to the equity joint venture or contractual joint venture, chairman and vice chairman of the board of directors,
the general manager (factory manager), the deputy general manager (deputy factory manager), the institution issuing
the document of approval, the number and date of the document of approval, the total number of staff and workers
and the number of staff and workers of foreign nationality.

   Article 4. A contracted project enterprise applying for registration shall present the following documents:

(1) The document of approval issued by the Administrative Commission of the Development Zone;

(2) The contract of the contracted project;

(3) The legitimate business certificate issued by the competent governmental authority of the country or
region where the investor is located and the capital credit certificate issued by the financial organization
having business transactions with the enterprise.

(4) “Application for Capital Construction Project” examined and approved by the competent capital construction authorities
of the Development Zone;

(5) The Application for registration signed by the chairman of the board of directors or the general manager of the enterprise.

The main items of registration shall be: the name of the enterprise, the address, the scope of operation,
the registered capital, the item of the contracted project, the term and sum of the contracted project, the list of the
name and position of the person responsible for the project in the Development Zone.

   Article 5. An investor applying for registration of a resident representative office shall present the following documents:

(1) The documents of approval issued by the Administrative Commission of the Development Zone and by the competent
authorities of the government.

(2) A copy of the registration certificate issued by the competent governmental authority of the country or
region where the investor is located;

(3) The capital credit certificate issued by the financial organization having business transactions with the enterprise;

(4) Application for registration signed by the chairman of the board of directors or the general manager of the company;

(5) The certificate of authorization and a biographical notes of the personnel of the resident representative
office of the enterprise.

The main items of registration shall be: the name of the resident representative office, the responsible person,
the scope of operation, the term and the location of the resident representative office.

The registration for the resident representative office of financial and insurance trades shall also include,
besides the items of (1), (2), (3), (4), and (5), the following items; the annual report of assets and liabilities,
profit and losses, the articles of association, a list of members of the board of directors of the general company.

   Article 6. All the Development Zone enterprises, the contracted project enterprises and the resident representative offices applying
for registration shall fill out a registration form of three copies in Chinese or both in Chinese and the
foreign language. The enterprises and bodies described above shall be regarded as formally established from the date
they are issued with a business license or registration certificate, and their legitimate production and operating activities
shall be protected by the laws of the People’s Republic of China.

   Article 7. Having received the business license or registration certificate, the Development Zone enterprises, the contracted
project enterprises and the resident representative offices shall apply to obtain residence permits from the
public security organ, register with the taxation authority for the payment of taxes, register with the customs
office for import and export and open an account with the designated bank.

   Article 8. The Development Zone enterprises shall be subject to the examination and approval of the original approving authorities
before they move to a new site, change the line of production, increase or decrease the registered capital,
transfer the possession of the registered capital or change the registered items. They shall, within thirty days after
approval, apply to go through procedures for registering the alterations with the Administrative Bureau for Industry
and Commerce, the taxation authority and the bank of the city.

   Article 9. The Development Zone enterprises, the contracted project enterprises and the resident representative offices, upon expiration
of the contract period and residential period or desirous of terminating the contracts and operation activities,
shall go through procedures with the Administrative Bureau for Industry and Commerce of the cities where they
are located for nullifying its registration by presenting the documents of approval issued by the original approving
authorities and the documents specifying that all debts (including service fees), taxes and other related matters have
been completely settled, and shall hand in the business license and registration certificate for cancellation.

   Article 10. The Development Zone enterprises, the contracted project enterprises and the resident representative offices desiring to
extend the periods of contracts and operation activities shall, with the approval of the original approving authorities,
go through procedures for registering the extension.

   Article 11. The Development Zone enterprises, the contracted project enterprises and the resident representative offices applying
for registration or alteration of registration and obtaining or changing the business license and registration
certificate shall pay registration fees in accordance with the pertinent regulations of the General Administration
for Industry and Commerce of the People’s Republic of China.

   Article 12. The Development Zone enterprises, the contracted project enterprises and the resident representative offices shall be
under the supervision and inspection of the Administrative Bureau for Industry and Commerce of the cities where
they are located. Any of them that violate these Interim Regulations and the pertinent laws and regulations of the People’s
Republic of China shall be warned, fined or ordered to cease business or shall have their business license or registration
certificate revoked etc. by the Administrative Bureau for Industry and Commerce of the cities where they are located.

   Article 13. These Interim Regulations shall come into force on the date of promulgation.

    





INTERIM MEASURES CONCERNING THE MORTGAGE OF FOREIGN EXCHANGE FOR RENMINBI LOANS BY ENTERPRISES WITH FOREIGN INVESTMENT

19960327

The People’s Bank of China

Interim Measures Concerning the Mortgage of Foreign Exchange for Renminbi Loans by Enterprises with Foreign Investment

the People’s Bank of China

December 12, 1986

These Measures are formulated for the development of the business of mortgaging foreign exchange for Renminbi loans, in accordance
with the Provisions of the State Council for the Encouragement of Foreign Investment.

Article 1

Mortgage loan recipients: All Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures and enterprises with
foreign investment registered within the territory of the People’s Republic of China may mortgage their own foreign exchange (including
the foreign exchange borrowed from outside the territory) and apply for Renminbi loans.

Article 2

Use of mortgage loans: Mortgage loans may be used as working capital and may also be used as investment in fixed assets.

Article 3

Types and maturity of mortgage loans: There are two types of mortgage loans; short-term loans and medium/long-term loans. The maturity
of the short-term mortgage loans shall be three months, six months or one year. Medium/long-term mortgage loans shall be no less
than one year, with a maximum term of not more than five (5) years.

Article 4

Types of foreign currencies that may be mortgaged: Foreign exchange that may be mortgaged is presently limited to the following five
types: U.S. Dollars, Japanese Yen, Hong Kong Dollars, Deutschmarks and English pounds sterling.

Article 5

Except for the special economic zones, business in connection with mortgage loans shall be handled by the Bank of China and other
financial institutions designated by the People’s Bank of China.

Article 6

Applications for mortgage loans: A unit applying for a mortgage shall first go to the State Administration of Exchange Control or
its branch office to report its foreign exchange, and sources and amount of funds, and shall upon approval, go to an authorized bank
designated by the People’s Bank of China to go through the loan application procedures and to fill in a loan application form.

Article 7

Granting of mortgage loans. After examination and approval by the bank of the application filed by the mortgagor, the mortgagor shall
sign a “Loan Contract” with the authorized bank.

Article 8

Recovery of mortgage loans. Prior to the maturity of the loan, the mortgagor cannot prepay the loan. Upon the maturity of the loan,
the mortgagor shall repay the original amount of the Renminbi loan and the designated bank shall return the original amount of the
foreign exchange mortgaged, without being subject to the impact of exchange rate fluctuations. In the event that at maturity the
Renminbi loan cannot be repaid, the foreign exchange mortgaged shall belong to the People’s Bank of China. In cases where the foreign
exchange mortgaged was borrowed from abroad, the mortgagor shall remain obligated to repay the creditor under the original debtor-creditor
relationship the principal and interest thereon in connection with the foreign debt.

Article 9

Calculation of the amount of the Renminbi loan: The Renminbi loan granted to a mortgagor by a bank shall not exceed, at the maximum,
the amount of the security calculated pursuant to the Renminbi exchange rate (buying rate) posted by the State Administration of
Exchange Control on the date of the mortgage.

Article 10

No interest shall accrue on either the Renminbi loan granted by the bank nor the foreign exchange mortgaged by the mortgagor.

Article 11

The right of interpretation of these Measures shall be vested in the People’s Bank of China.

Article 12

These Measures shall enter into force as of the date of promulgation.



 
The People’s Bank of China
1986-12-12

 






PROVISIONS OF THE STATE COUNCIL ON THE ENCOURAGEMENT OF FOREIGN INVESTMENT

PROVISIONS OF THE STATE COUNCIL CONCERNING THE ISSUE OF BALANCE OF INCOME AND EXPENDITURE IN FOREIGN EXCHANGE OF CHINESE-FOREIGN EQUITY JOINT VENTURES

Category  BANKING Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1986-01-15 Effective Date  1986-02-01  


Provisions of the State Council Concerning the Issue of Balance of Income and Expenditure in Foreign Exchange of Chinese-foreign
Equity Joint Ventures



(Promulgated by the State Council on January 15, 1986)

    Article 1  These Provisions are formulated for the purpose of encouraging
foreign investors to set up Chinese-foreign equity joint ventures in China
and promoting the achievement of balance of income and expenditure in foreign
exchange of these ventures so as to facilitate their production and business
operations and make it available for foreign partners to remit abroad their
legitimate profits obtained in China.

    Article 2  Chinese-foreign equity joint ventures should try to increase
export of their products and generate more foreign exchange and strive to
achieve balance of income and expenditure in foreign exchange.

    Article 3  If the income and expenditure in foreign exchange of a
Chinese-foreign equity joint venture which has been set up with approval and
in accordance with the law need to be regulated, the regulation shall be
administered and effected by the authorities at different levels in accordance
with their respective authority for examination and approval. With respect
to a Chinese-foreign equity joint venture which has been set up with the
approval of competent state authorities, the regulation of its income and
expenditure in foreign exchange shall be effected by the competent state
authorities from the foreign exchange revenues of the Chinese-foreign equity
joint ventures throughout the country, or it may also be effected jointly by
the competent state authorities and the local people’s governments in
accordance with the percentage agreed upon through consultation between
them. With respect to a Chinese-foreign equity joint venture which has been
launched with the approval of the local people’s government or of the
department concerned of the State Council of the People’s Republic of China
which has been authorized by the State Council of the People’s Republic of
China or entrusted by competent state authorities to grant the approval,
the regulation of its revenue and expenditure in foreign exchange shall be
effected by the local people’s government or the department concerned from
the foreign exchange revenues of the Chinese-foreign equity joint ventures
which have been launched with their approval.

    Article 4  Sophisticated products manufactured with advanced technology
or key technology provided by foreign joint venturers or quality products
highly competitive on the international market may be granted preferential
treatment in respect of the percentage and the time limit allowed for placing
them on the domestic market, provided that they are urgently needed
domestically and are proved to be up to standard upon appraisal by competent
authorities and that the granting of such treatment has been approved in
accordance with the power for examination and approval and the procedures
of examination and approval prescribed by the state. The placing of such
products on the domestic market shall be specified in the contract signed
between the manufacturers and the party that needs the products.

    The plan for the balance of revenue and expenditure in foreign exchange
in the joint ventures involved in the preceding paragraph of this Article
shall be formulated by the approving authorities in accordance with the
provisions in the second paragraph of Article 3 of these Provisions. The plan
for the balance of revenue and expenditure in foreign exchange thus
formulated by the approving authorities shall, in accordance with the
respective administrative order, be submitted to the Ministry of Foreign
Economic Relations and Trade or the local department of foreign economic
relations and trade for examination and comments and then be submitted to the
State Planning Commission or the local planning commission for approval,
upon which it shall be included into the long-term plan or annual plan for
the use of foreign exchange and put into practice.

    Article 5  Products manufactured by Chinese-foreign equity joint ventures
which for a long time have had to be imported or are urgently needed may, in
accordance with the quality and specifications required of the products and
the status of their importation and upon approval by the competent
authorities of the State Council of the People’s Republic of China or by the
local competent authorities, be used as import substitutes. Such substitution
shall be specified in the Chinese-foreign equity joint venture contract signed
between the two parties thereto or in the contract signed between the
manufacturers and the party that needs the products.

    Departments of foreign economic relations and trade shall give active
support to the domestic units that are users of the products and encourage
them to sign purchase and sale contracts with the Chinese-foreign equity
joint ventures referred to in the preceding paragraph in accordance with the
prices prevailing in the international market. The plans for the use of
foreign exchange for these units shall be formulated in accordance with
the provisions in the second paragraph of Article 3 of these Provisions.
The plans thus formulated shall, in accordance with the respective
administrative order, be submitted to the Ministry of Foreign Economic
Relations and Trade or the local departments of foreign economic relations
and trade for examination and comments and then be submitted to the State
Planning Commission or the local planning commissions for approval, upon
which they shall be included in the long-term plans or annual plans for the
use of foreign exchange and put into practice.

    Article 6  In their efforts to seek a balance of revenue and expenditure
in foreign exchange, Chinese-foreign equity joint ventures may, upon approval
by departments of foreign economic relations and trade, make use of the
foreign joint venturers’ marketing relations to promote the export of
demestic products and achieve comprehensive compensation. But with respect
to the products which are under the State’s centralized management, or for
which export quotas are set, or for which an export licence is to be applied
for and obtained, they shall be exported only with the special permission
of the Ministry of Foreign Economic Relations and Trade. In default of such
special permission no Chinese-foreign equity joint ventures may engage in the
export business of these products.

    Article 7  If a Chinese-foreign equity joint venture fails to fulfil the
tasks of export and bringing in foreign exchange earnings it has undertaken
in accordance with the stipulations of the contract, thus causing an
imbalance of revenue and expenditure in foreign exchange, the authorities
concerned shall not be held responsible for the regulation thereof.

    Article 8  The products sold by Chinese-foreign equity joint ventures to
enterprises which are located in areas other than the Special Economic Zones
and the Economic and Technological Development Areas of the Open Coastal
Cities and which are capable of making payment in foreign exchange shall,
upon approval by the state departments for control of foreign exchange, be
permitted to be priced and settled in foreign exchange.

    Article 9  With respect to a foreign joint venturer who has set up two or
more Chinese-foreign equity joint ventures inside China (including those in
different localities and different sectors), the legitimate share of foreign
exchange the venturer is enpost_titled to receive, in case of surplus in one
venture but deficit in another, may, upon approval by the state department
for control of foreign exchange, be regulated between the ventures the
venturer has set up.

    The regulation referred to in the preceding paragraph shall be subject to
the consent of all the parties to the joint ventures.

    Article 10  Foreign joint venturers in Chinese-foreign equity joint
ventures who fail to achieve a balance of revenue and expenditure in foreign
exchange may, upon approval by the departments of foreign economic relations
and trade and departments for control of foreign exchange, re-invest the
share of profit in Renminbi that they have received from the ventures in
domestic enterprises that are capable of bringing in or increasing foreign
exchange earnings in accordance with the provisions in Article 7 of the Law
of the People’s Republic of China on Chinese-foreign Equity Joint Ventures
and may, in addition to enjoying the preferential treatment of getting part
of their paid incomes taxes refunded, obtain foreign exchange from the newly
increased foreign exchange revenues of the enterprises which have accepted
their investments and remit abroad their legitimate profit.

    Article 11  These Provisions shall apply to the Chinese-foreign equity
ventures established inside China and to the joint ventures and contractual
joint ventures set up on China’s mainland by companies, enterprises and other
economic organizations in the regions of Hong Kong, Macao and Taiwan. They
shall also apply to the joint ventures and contractual joint ventures set up
with investments by overseas Chinese.

    Financial and insurance enterprises established inside China by foreign
joint venturers and enterprises of the same kind set up on China’s mainland
by joint ventures from the regions of Hong Kong, Macao and Taiwan shall not
be governed by these Provisions.

    Article 12  Where provisions existing, before the promulgation of these
Provisions, concerning the question of the balance of revenue and expenditure
in foreign exchange are in conflict with these Provisions, the latter shall
prevail.

    Article 13  The Ministry of Foreign Economic Relations and Trade shall
be responsible for the interpretation of these Provisions.

    Article 14  These Provisions shall go into effect on February 1, 1986.





METROLOGY LAW

Metrology Law of the People’s Republic of China

    

CONTENTS

CHAPTER I GENERAL PROVISIONS

CHAPTER II PRIMARY STANDARD INSTRUMENTS OF MEASUREMENT, STANDARD INSTRUMENTS OF MEASUREMENT AND METROLOGICAL VERIFICATION

CHAPTER III ADMINISTRATIVE CONTROL OF MEASURING INSTRUMENTS

CHAPTER IV METROLOGICAL SUPERVISION

CHAPTER V LEGAL LIABILITY

CHAPTER VI SUPPLEMENTARY PROVISIONS

CHAPTER I GENERAL PROVISIONS

   Article 1. This Law is formulated to strengthen the metrological supervision and administration, to ensure the uniformity of the national system
of units of measurement and the accuracy and reliability of the values of quantities, so as to contribute to the development of production,
trade and science and technology, to meet the needs of the socialist modernization and to safeguard the interests of the state and
the people.

   Article 2. Within the territory of the People’s Republic of China, this Law must be abided by in establishing national primary standards of
measurement and standards of measurement, in conducting metrological verification, and in the manufacture, repair, sale or use of
measuring instruments.

   Article 3. The state shall adopt the International System of Units (SI).

The International System of Units and other units of measurement adopted by the state shall be the national legal units of measurement.
The names and symbols of the national legal units of measurement shall be promulgated by the State Council.

Non-national legal units of measurement shall be abrogated. Measures for the abrogation shall be stipulated by the State Council.

   Article 4. The metrological administrative department of the State Council shall exercise unified supervision over and administration of metrological
work throughout the country.

The metrological administrative departments of the local people’s governments at and above the county level shall exercise supervision
over and administration of metrological work within their respective administrative areas.

CHAPTER II PRIMARY STANDARD INSTRUMENTS OF MEASUREMENT, STANDARD INSTRUMENTS OF MEASUREMENT AND METROLOGICAL VERIFICATION

   Article 5. The metrological administrative department of the State Council shall be responsible for establishing all kinds of primary standards
of measurement, which shall serve as the ultimate basis for unifying the values of quantities of the country.

   Article 6. The metrological administrative departments of the local people’s governments at or above the county level may, according to the
needs of their respective areas, establish public standards of measurement, which shall be put into use after being checked and found
to be qualified by the metrological administrative department of the people’s government at the next higher level.

   Article 7. The competent department concerned of the State Council and the competent department concerned of the people’s governments of the
provinces, autonomous regions, and municipalities directly under the Central Government may, in the light of their own specific needs,
establish standards of measurement for their own use. The ultimate standard of measurement of each kind shall be put into use after
being checked and found to be qualified by the metrological administrative authorities of the people’s government at the corresponding
level.

   Article 8. Enterprises or institutions may, according to their needs, establish standards of measurement for their own use. The ultimate standard
of measurement of each kind shall be put into use after being checked and found to be qualified by the metrological administrative
department of the people’s government concerned.

   Article 9. The metrological administrative departments of the people’s governments at or above the county level shall make compulsory verification
of the public standards of measurement, the ultimate standards of measurement used in the departments, enterprises and institutions
as well as the working measuring instruments used in settling trade accounts, safety protection, medical and health work, or environmental
monitoring that are listed in the compulsory verification catalogue. Those measuring instruments which have not been submitted for
verification as required and those which have been checked and found to be unqualified shall not be used. The catalogue of the working
measuring instruments subject to compulsory verification and the measures for the administration of such instruments shall be stipulated
by the State Council.

The standards of measurement and working measuring instruments other than those referred to in the preceding paragraph shall be verified
at regular intervals by the users themselves or by the metrological verification institutions. The metrological administrative departments
of the people’s governments at or above the county level shall supervise and inspect such verification.

   Article 10. Metrological verification shall be conducted according to the National Metrological Verification System. The National Metrological
Verification System shall be worked out by the metrological administrative department of the State Council.

Metrological verification must be carried out in accordance with the regulations governing metrological verification. The national
metrological verification regulations shall be formulated by the metrological administrative department of the State Council. In
the case of certain instruments that are not covered in the national metrological verification regulations, the competent departments
of the State Council and the metrological administrative departments of the people’s governments of provinces, autonomous regions,
and municipalities directly under the Central Government shall respectively formulate departmental and local verification regulations.
Such verification regulations shall be submitted to the metrological administrative department of the State Council for the record.

   Article 11. Metrological verification shall, according to the principle of economy and rationality, be carried out on the spot or in the vicinity.

CHAPTER III ADMINISTRATIVE CONTROL OF MEASURING INSTRUMENTS

   Article 12. An enterprise or institution which is to engage in manufacturing or repairing measuring instruments must have facilities, personnel
and verification appliances appropriate to the measuring instruments it is to manufacture or repair and, after being checked and
considered as qualified by the metrological administrative department of the people’s government at or above the county level, obtain
a Licence for Manufacturing Measuring Instruments or a Licence for Repairing Measuring Instruments.

The administrative departments for industry and commerce shall not issue a business licence to an enterprise engaged in manufacturing
or repairing measuring instruments which has not obtained a Licence for Manufacturing Measuring Instruments or a Licence for Repairing
Measuring Instruments.

   Article 13. When an enterprise or institution manufacturing measuring instruments undertakes to manufacture new types of measuring instruments
which it has not previously manufactured, such measuring instruments may be put into production only after the metrological performance
of the sample products has been checked and found to be qualified by the metrological administrative department of a people’s government
at or above the provincial level.

   Article 14. Without the approval of the metrological administrative department of the State Council, measuring instruments with non-legal units
of measurement which have been abrogated by the State Council, and other measuring instruments which are banned by the State Council,
shall not be manufactured, sold or imported.

   Article 15. An enterprise or institution engaged in manufacturing or repairing measuring instruments must verify the measuring instruments it
has manufactured or repaired, guarantee the metrological performance of the products and issue certificates of inspection for the
qualified products.

The metrological administrative department of the people’s governments at or above the county level shall supervise and inspect the
quality of the measuring instruments manufactured or repaired.

   Article 16. Measuring instruments imported from abroad may be sold only after having been verified and found to be up to standard by the metrological
administrative department of the people’s government at or above the provincial level.

   Article 17. When using measuring instruments, no person shall be allowed to impair their accuracy, thereby prejudicing the interests of the
state and consumers.

   Article 18. Self-employed workers or merchants may manufacture or repair simple measuring instruments.

Any self-employed worker or merchant who is to engage in manufacturing or repairing measuring instruments may apply for a business
licence from the administrative department for industry and commerce provided he has been tested and found to be qualified by the
metrological administrative department of a people’s government at the county level, and issued a Licence for Manufacturing Measuring
Instruments or a Licence for Repairing Measuring Instruments.

The types of measuring instruments which can be manufactured or repaired by self-employed workers or merchants shall be determined
by the metrological administrative department of the State Council, which shall also adopt measures for their control.

CHAPTER IV METROLOGICAL SUPERVISION

   Article 19. The metrological administrative department of the people’s governments at or above the county level may, according to their needs,
appoint metrological supervisors. The measures for the administration of the metrological supervisors shall be formulated by the
metrological administrative department of the State Council.

   Article 20. The metrological administrative department of the people’s governments at or above the county level may, according to their needs,
set up metrological verification organs or authorize the metrological verification institutions of other establishments to carry
out compulsory verification and other verification and testing tasks.

The personnel carrying out the tasks of verification and testing mentioned in the preceding paragraph must be tested for their qualifications.

   Article 21. Any dispute over the accuracy of measuring instruments shall be handled in accordance with the data provided after verification
with the national primary standards of measurement or public standards of measurement.

   Article 22. A product quality inspection agency which is to provide notarial data on the quality of products for society must be checked for
its capability and reliability of metrological verification and testing by the metrological administrative department of a people’s
government at or above the provincial level.

CHAPTER V LEGAL LIABILITY

   Article 23. Whoever, without a Licence for Manufacturing Measuring Instruments or a Licence for Repairing Measuring Instruments, manufactures
or repairs measuring instruments shall be ordered to stop his production or business operations. His unlawful income shall be confiscated
and a fine may be concurrently imposed.

   Article 24. Whoever manufactures or sells a new type of measuring instruments which have not been checked and found to be qualified shall be
ordered to stop the manufacture or sale of that new product. His unlawful income shall be confiscated and may concurrently punished
by a fine.

   Article 25. Whoever manufactures, repairs or sells unqualified measuring instruments shall have his unlawful incomes confiscated and, a fine
may concurrently be imposed.

   Article 26. Whoever uses measuring instruments subject to compulsory verification, without having filed an application for verification as required,
or continues to use the measuring instruments which have been checked but found to be unqualified, shall be ordered to stop the use
and may concurrently be punished by a fine.

   Article 27. Whoever uses unqualified measuring instruments or impairs the accuracy of measuring instruments, thus causing losses to the state
and consumers, shall be ordered to make compensation for the losses, and shall have his measuring instruments and unlawful income
confiscated and may concurrently be punished by a fine.

   Article 28. Whoever manufactures, sells or uses measuring instruments for the purpose of deceiving consumers shall have his measuring instruments
and unlawful income confiscated and may be concurrently punished by a fine. If the circumstances are serious, the individual or the
person in the unit who is directly responsible shall be investigated for his criminal responsibility according to the crimes of swindling
or speculation.

   Article 29. Where any individual or unit,in violation of the provisions of this Law, manufactures, repairs or sells unqualified measuring instruments,
thus leading to people’s injury or death or causing major property losses, the individual or the person in the unit who is directly
responsible shall be investigated for his criminal responsibility, by making reference to the provisions of Article 187 of the Criminal
Law.

   Article 30. A metrological supervisor who transgresses the law and neglects his duty, where the circumstances are serious, shall be investigated
for criminal responsibility pursuant to the relevant provisions of the Criminal Law. If the circumstances are minor, he shall be
given an administrative sanction.

   Article 31. The administrative sanction provided for in this Law shall be determined by the metrological administrative department of a people’s
government at or above the county level. The administrative sanction provided for in Article 27 of this Law may also be determined
by the administrative departments for industry and commerce.

   Article 32. A party who refuses to accept the decision of the administrative sanction may, within 15 days after receipt of the notification
of the decision, file a suit in a people’s court. If, within that time limit, the party does not file a suit or comply with the penalty
of imposing a fine and having his unlawful income confiscated, the administrative authorities which have made the decision of the
administrative sanction may request the people’s court for compulsory execution.

CHAPTER VI SUPPLEMENTARY PROVISIONS

   Article 33. Measures for the administration of and supervision over the metrological work in the Chinese People’s Liberation Army and in the
units under the jurisdiction of the Commission on Science, Technology and Industry for National Defence shall be formulated separately
by the State Council and the Central Military Commission in accordance with this Law.

   Article 34. The metrological administrative department of the State Council shall, in accordance with this Law, formulate rules for its implementation,
which shall go into effect after being submitted to and approved by the State Council.

   Article 35. This Law shall go into effect on July 1, 1986.

    





GENERAL PRINCIPLES OF THE CIVIL LAW

Category  BASIC CIVIL LAW Organ of Promulgation  The National People’s Congress Status of Effect  In Force
Date of Promulgation  1986-04-12 Effective Date  1987-01-01  


General Principles of the Civil Law of the People’s Republic of China

Contents
Chapter I  Basic Principles
Chapter II  Citizen (Natural Person)
Chapter III  Legal Persons
Chapter IV  Civil Juristic Acts and Agency
Chapter V  Civil Rights
Chapter VI  Civil Liability
Chapter VII  Limitation of Action
Chapter VIII  Application of Law in Civil Relations with Foreigners
Chapter IX  Supplementary provisions
Note:

(Adopted at the Fourth Session of the Sixth National People’s Congress,  

promulgated by Order No.37 of the President of the People’s Republic of
China on April 12, 1986, and effective as of January 1, 1987)
Contents

    Chapter I    Basic Principles

    Chapter II   Citizen (Natural Person)

        Section 1  Capacity for Civil Rights and Capacity for Civil Conduct

        Section 2  Guardianship

        Section 3  Declarations of Missing Persons and Death

        Section 4  Individual Businesses and Leaseholding Farm Households

        Section 5  Individual Partnership

    Chapter III  Legal Persons

        Section 1  General Stipulations

        Section 2  Enterprise as Legal Person

        Section 3  Official Organ, Institution and Social Organization as

                   Legal Persons

        Section 4  Economic Association

    Chapter IV  Civil Juristic Acts and Agency

        Scction 1  Civil Juristic Acts

        Section 2  Agency

    Chapter V  Civil Rights

        Section 1  Property Ownership and Related Property Rights

        Section 2  Creditors’ Rights

        Section 3  Intellectual Property Rights

        Section 4  Personal Rights

    Chapter VI  Civil Liability

        Section 1  General Stipulations

        Section 2  Civil Liability for Breach of Contract

        Section 3  Civil Liability for Infringement of Rights

        Section 4  Methods of Bearing Civil Liability

    Chapter VII  Limitation of Action

    Chapter VIII  Application of Law in Civil Relations with Foreigners

    Chapter IX  Supplementary Provisions

Chapter I  Basic Principles

    Article 1  This Law is formulated in accordance with the Constitution and
the actual situation in our country, drawing upon our practical experience in
civil activities, for the purpose of protecting the lawful civil rights and
interests of citizens and legal persons and correctly adjusting civil
relations, so as to meet the needs of the developing socialist modernization.

    Article 2  The Civil Law of the People’s Republic of China shall adjust
property relationships and personal relationships between civil subjects with
equal status, that is, between citizens, between legal persons and between
citizens and legal persons.

    Article 3  Parties to a civil activity shall have equal status.

    Article 4  In civil activities, the principles of voluntariness, fairness,
making compensation for equal value, honesty and credibility shall be
observed.

    Article 5  The lawful civil rights and interests of citizens and legal
persons shall be protected by law; no organization or individual may infringe
upon them.

    Article 6  Civil activities must be in compliance with the law; where
there are no relevant provisions in the law, they shall be in compliance with
state policies.

    Article 7  Civil activities shall have respect for social ethics and shall
not harm the public interest, undermine state economic plans or disrupt social
economic order.

    Article 8  The law of the People’s Republic of China shall apply to civil
activities within the People’s Republic of China, except as otherwise
stipulated by law.

    The stipulations of this Law as regards citizens shall apply to foreigners
and stateless persons within the People’s Republic of China, except as
otherwise stipulated by law.
Chapter II  Citizen (Natural Person)

    Section 1  Capacity for Civil Rights and Capacity for Civil Conduct

    Article 9  A citizen shall have the capacity for civil rights from birth
to death and shall enjoy civil rights and assume civil obligations in
accordance with the law.

    Article 10  All citizens are equal as regards their capacity for civil
rights.

    Article 11  A citizen aged 18 or over shall be an adult. He shall have
full capacity for civil conduct, may independently engage in civil activities
and shall be called a person with full capacity for civil conduct.

    A citizen who has reached the age of 16 but not the age of 18 and whose
main source of income is his own labour shall be regarded as a person with
full capacity for civil conduct.

    Article 12  A minor aged 10 or over shall be a person with limited
capacity for civil conduct and may engage in civil activities appropriate to
his age and intellect; in other civil activities, he shall be represented by
his agent ad litem or participate with the consent of his agent ad litem.

    A minor under the age of 10 shall be a person having no capacity for civil
conduct and shall be represented in civil activities by his agent ad litem.

    Article 13  A mentally ill person who is unable to account for his own
conduct shall be a person having no capacity for civil conduct and shall be
represented in civil activities by his agent ad litem.

    A mentally ill person who is unable to fully account for his own conduct
shall be a person with limited capacity for civil conduct and may engage in
civil activities appropriate to his mental health; in other civil activities,
he shall be represented by his agent ad litem or participate with the consent
of his agent ad litem.

    Article 14  The guardian of a person without or with limited capacity for
civil conduct shall be his agent ad litem.

    Article 15  The domicile of a citizen shall be the place where his
residence is registered; if his habitual residence is not the same as his
domicile, his habitual residence shall be regarded as his domicile.

    Section 2  Guardianship

    Article 16  The parents of a minor shall be his guardians.

    If the parents of a minor are dead or lack the competence to be his
guardian, a person from the following categories who has the competence to be
a guardian shall act as his guardian:

    (1) paternal or maternal grandparent;

    (2) elder brother or sister; or

    (3) any other closely connected relative or friend willing to bear the
responsibility of guardianship and having approval from the units of the
minor’s parents or from the neighbourhood or village committee in the place
of the minor’s residence.

    In case of a dispute over guardianship, the units of the minor’s parents
or the neighbourhood or village committee in the place of his residence shall
appoint a guardian from among the minor’s near relatives. If disagreement over
the appointment leads to a lawsuit, the people’s court shall make a ruling.

    If none of the persons listed in the first two paragraphs of this article
is available to be the guardian, the units of the minor’s parents, the
neighbourhood or village committee in the place of the minor’s residence or
the civil affairs department shall act as his guardian.

    Article 17  A person from the following categories shall act as guardian
for a mentally ill person without or with limited capacity for civil conduct:

    (1) spouse;

    (2) parent;

    (3) adult child;

    (4) any other near relative;

    (5) any other closely connected relative or friend willing to bear the
responsibility of guardianship and having approval from the unit to which the
mentally ill person belongs or from the neighbourhood or village committee in
the place of his residence.

    In case of a dispute over guardianship, the unit to which the mentally ill
person belongs or the neighbourhood or village committee in the place of his
residence shall appoint a guardian from among his near relatives. If
disagreement over the appointment leads to a lawsuit, the people’s court shall
make a ruling.

    If none of the persons listed in the first paragraph of this article is
available to be the guardian, the unit to which the mentally ill person
belongs, the neighbourhood or village committee in the place of his residence
or the civil affairs department shall act as his guardian.

    Article 18  A guardian shall fulfil his duty of guardianship and protect
the person, property and other lawful rights and interests of his ward.
A guardian shall not handle the property of his ward unless it is in the
ward’s interests.

    A guardian’s rights to fulfil his guardianship in accordance with the law
shall be protected by law.

    If a guardian does not fulfil his duties as guardian or infringes upon the
lawful rights and interests of his ward, he shall be held responsible; if a
guardian causes any property loss for his ward, he shall compensate for such
loss. The people’s court may disqualify a guardian based on the application of
a concerned party or unit.

    Article 19  A person who shares interests with a mental patient may apply
to a people’s court for a declaration that the mental patient is a person
without or with limited capacity for civil conduct.

    With the recovery of the health of a person who has been declared by a
people’s court to be without or with limited capacity for civil conduct, and
upon his own application or that of an interested person. the people’s court
may declare him to be a person with limited or full capacity for civil
conduct.

    Section 3  Declarations of Missing Persons and Death

    Article 20  If a citizen’s whereabouts have been unknown for two years, an
interested person may apply to a people’s court for a declaration of the
citizen as missing.

    If a person’s whereabouts become unknown during a war, the calculation of
the time period in which his whereabouts are unknown shall begin on the final
day of the war.

    Article 21  A missing person’s property shall be placed in the custody of
his spouse, parents, adult children or other closely connected relatives or
friends. In case of a dispute over custody, if the persons stipulated above
are unavailable or are incapable of taking such custody, the property shall
be placed in the custody of a person appointed by the people’s court.

    Any taxes, debts and other unpaid expenses owed by a missing person shall
defrayed by the custodian out of the missing person’s property.

    Article 22  In the event that a person who has been declared missing
reappears or his whereabouts are ascertained, the people’s court shall, upon
his own application or that of an interested person, revoke the declaration of
his missing-person status.

    Article 23  Under either of the following circumstances, an interested
person may apply to the people’s court for a declaration of a citizen’s death:

    (1) if the citizen’s whereabouts have been unknown for four years or

    (2) if the citizen’s whereabouts have been unknown for two years after the
date of an accident in which he was involved.

    If a person’s whereabouts become unknown during a war, the calculation of
the time period in which his whereabouts are unknown shall begin on the final
day of the war.

    Article 24  In the event that a person who has been declared dead
reappears or it is ascertained that he is alive, the people’s court shall,
upon his own application or that of an interested person, revoke the
declaration of his death.

    Any civil juristic acts performed by a person with capacity for civil
conduct during the period in which he has been declared dead shall be valid.

    Article 25  A person shall have the right to request the return of his
property, if the declaration of his death has been revoked. Any citizen or
organization that has obtained such property in accordance with the Law of
Succession shall return the original items or make appropriate compensation if
the original items no longer exist.

    Section 4  Individual Businesses and Leaseholding Farm Households

    Article 26  “Individual businesses” refers to business run by individual
citizens who have been lawfully registered and approved to engage in
industrial or commercial operation within the sphere permitted by law. An
individual business may adopt a shop name.

    Article 27  “Leaseholding farm households” refers to members of a rural
collective economic organization who engage in commodity production under a
contract and within the spheres permitted by law.

    Article 28  The legitimate rights and interests of individual businesses
and leaseholding farm households shall be protected by law.

    Article 29  The debts of an individual business or a leaseholding farm
household shall be secured with the individual’s property if the business is
operated by an individual and with the family’s property if the business is
operated by a family.

    Section 5  Individual Partnership

    Article 30  “Individual partnership” refers to two or more citizens
associated in a business and working together, with each providing funds,
material objects, techniques and so on according to an agreement.

    Article 31  Partners shall make a written agreement covering the funds
each is to provide, the distribution of profits. the responsibility for debts,
the entering into and withdrawal from partnership, the ending of partnership
and other such matters.

    Article 32  The property provided by the partners shall be under their
unified management and use. The property accumulated in a partnership
operation shall belong to all the partners.

    Article 33  An individual partnership may adopt a shop name; it shall be
approved and registered in accordance with the law and conduct business
operations within the range as approved and registered.

    Article 34  The operational activities of an individual partnership shall
be decided jointly by the partners, who each shall have the right to carry out
and supervise those activities. The partners may elect a responsible person.
All partners shall bear civil liability for the operational activities of the
responsible person and other personnel.

    Article 35  A partnership’s debts shall be secured with the partners’
property in proportion to their respective contributions to the investment or
according to the agreement made.

    Partners shall undertake joint liability for their partnership’s debts,
except as otherwise stipulated by law. Any partner who overpays his share of
the partnership’s debts shall have the right to claim compensation from the
other partners.
Chapter III  Legal Persons

    Section 1  General Stipulations

    Article 36  A legal person shall be an organization that has capacity for
civil rights and capacity for civil conduct and independently enjoys civil
rights and assumes civil obligations in accordance with the law.

    A legal person’s capacity for civil rights and capacity for civil conduct
shall begin when the legal person is established and shall end when the legal
person terminates.

    Article 37  A legal person shall have the following qualifications:

    (1) establishment in accordance with the law;

    (2) possession of the necessary property or funds;

    (3) possession of its own name, organization and premises; and

    (4) ability to independently bear civil liability.

    Article 38  In accordance with the law or the articles of association of
the legal person, the responsible person who acts on behalf of the legal
person in exercising its functions and powers shall be its legal
representative.

    Article 39  A legal person’s domicile shall be the place where its main
administrative office is located.

    Article 40  When a legal person terminates, it shall go into liquidation
in accordance with the law and discontinue all other activities.

    Section 2  Enterprise as Legal Person

    Article 41  An enterprise owned by the whole people or under collective
ownership shall be qualified as a legal person when it has sufficient funds as
stipulated by the state; has articles of association, an organization and
premises; has the ability to independently bear civil liability; and has been
approved and registered by the competent authority.

    A Chinese-foreign equity joint venture, Chinese-foreign contractual joint
venture or foreign-capital enterprise established within the People’s Republic
of China shall be qualified as a legal person in China if it has the
qualifications of a legal person and has been approved and registered by the
administrative agency for industry and commerce in according with the law.

    Article 42  An enterprise as legal person shall conduct operations within
the range approved and registered.

    Article 43  An enterprise as legal person shall bear civil liability for
the operational activities of its legal representatives and other personnel.

    Article 44  If an enterprise as legal person is divided or merged or
undergoes any other important change, it shall register the change with the
registration authority and publicly announce it.

    When an enterprise as legal person is divided or merged, its rights and
obligations shall be enjoyed and assumed by the new legal person that results
from the change.

    Article 45  An enterprise as legal person shall terminate for any of the
following reasons:

    (1) if it is dissolved by law;

    (2) if it is disbanded;

    (3) if it is declared bankrupt in accordance with the law; or

    (4) for other reasons.

    Article 46  When an enterprise as legal person terminates, it shall cancel
its registration with the registration authority and publicly announce the
termination.

    Article 47  When an enterprise as legal person is disbanded, it shall
establish a liquidation organization and go into liquidation. When an
enterprise as legal person is dissolved or is declared bankrupt, the competent
authority or a people’s court shall organize the organs and personnel
concerned to establish a liquidation organization to liquidate the enterprise.

    Article 48  An enterprise owned by the whole people, as legal person,
shall bear civil liability with the property that the state authorizes it to
manage. An enterprise under collective ownership, as legal person, shall bear
civil liability with the property it owns. A Chinese-foreign equity joint
venture, Chinese-foreign contractual joint venture or foreign-capital
enterprise as legal person shall bear civil liability with the property it
owns, except as stipulated otherwise by law.

    Article 49  Under any of the following circumstances, an enterprise as
legal person shall bear liability, its legal representative may additionally
be given administrative sanctions and fined and, if the offence constitutes a
crime, criminal responsibility shall be investigated in accordance with the
law:

    (1) conducting illegal operations beyond the range approved and registered
by the registration authority;

    (2) concealing facts from the registration and tax authorities and
practising fraud;

    (3) secretly withdrawing funds or hiding property to evade repayment of
debts;

    (4) disposing of property without authorization after the enterprise is
dissolved, disbanded or declared bankrupt;

    (5) failing to apply for registration and make a public announcement
promptly when the enterprise undergoes a change or terminates, thus causing
interested persons to suffer heavy losses;

    (6) engaging in other activities prohibited by law, damaging the interests
of the state or the public interest.

    Section 3  Official Organ, Institution and Social Organization as Legal
Person

    Article 50  An independently funded official organ shall be qualified as a
legal person on tbe day it is established.

    If according to law an institution or social organization having the
qualifications of a legal person needs not go through the procedures for
registering as a legal person, it shall be qualified as a legal person on the
day it is established; if according to law it does need to go through the
registration procedures, it shall be qualified as a legal person after being
approved and registered.

    Section 4   Economic Association

    Article 51  If a new economic entity is formed by enderprise and an
institution that engage in economic association and it independently bears
civil liability and has the qualifications of a legal person, the new entity
shall be qualified as a legal person after being approved and registered by
the competent authority.

    Article 52  If the enterprises or an enterprise and an institution that
engage in economic association conduct joint operation but do not have the
qualifications of a legal person, each party to the association shall, in
proportion to its respective contribution to the investment or according to
the agreement made, bear civil liability with the property each party owns or
manages.If joint liability is specified by law or by agreement, the parties
shall assume joint liability.

    Article 53  If the contract for economic association of enterprises or of
an enterprise and an institution specifies that each party shall conduct
operations independently, it shall stipulate the rights and obligation of each
party, and each party shall bear civil liability separately.
Chapter IV  Civil Juristic Acts and Agency

    Section 1  Civil Juristic Acts

    Article 54  A civil juristic act shall be the lawful act of a citizen or
legal person to establish, change or terminate civil rights and obligations.

    Article 55  A civil juristic act shall meet the following requirements:

    (1) the actor has relevant capacity for civil conduct;

    (2) the intention expressed is genuine; and

    (3) the act does not violate the law or the public interest.

    Article 56  A civil juristic act may be in written, oral or other form. If
the law stipulates that a particular form be adopted, such stipulation shall
be observed.

    Article 57  A civil juristic act shall be legally binding once it is
instituted. The actor shall not alter or rescind his act except in accordance
with the law or with the other party’s consent.

    Article 58  Civil acts in the following categories shall be null and void:

    (1) those performed by a person without capacity for civil conduct;

    (2) those that according to law may not be independently performed by a
person with limited capacity for civil conduct;

    (3) those performed by a person against his true intentions as a result of
cheating, coercion or exploitation of his unfavourable position by the other
party;

    (4) those that performed through malicious collusion are detrimental to
the interest of the state, a collective or a third party;

    (5) those that violate the law or the public interest;

    (6) economic contracts that violate the state’s mandatory plans; and

    (7) those that performed under the guise of legitimate acts conceal
illegitimate purposes.

    Civil acts that are null and void shall not be legally binding from the
very beginning.

    Article 59  A party shall have the right to request a people’s court or an
arbitration agency to alter or rescind the following civil acts:

    (1) those performed by an actor who seriously misunderstood the contents
of the acts;

    (2) those that are obviously unfair.

    Rescinded civil acts shall be null and void from the very beginning.

    Article 60  If part of a civil act is null and void, it shall not affect
the validity of other parts.

    Article 61  After a civil act has been determined to be null and void or
has been rescinded, the party who acquired property as a result of the act
shall return it to the party who suffered a loss. The erring party shall
compensate the other party for the losses it suffered as a result of the act;
if both sides are in error, they shall each bear their proper share of the
responsibility.

    If the two sides have conspired maliciously and performed a civil act that
is detrimental to the interests of the state, a collective or a third party,
the property that they thus obtained shall be recovered and turned over to the
state or the collective, or returned to the third party.

    Article 62  A civil juristic act may have conditions attached to it.
Conditional civil juristic acts shall take effect when the relevant conditions
are met.

    Section 2  Agency

    Article 63  Citizens and legal persons may perform civil juristic acts
through agents.

    An agent shall perform civil juristic acts in the principal’s name within
the scope of the power of agency. The principal shall bear civil liability
for the agent’s acts of agency.

    Civil juristic acts that should be performed by the principal himself, <

RULES FOR THE IMPLEMENTATION OF THE CONTROL OF THE ENTRY AND EXIT OF ALIENS

Category  PUBLIC SECURITY Organ of Promulgation  The State Council Status of Effect  With An Amendment Existing
Date of Promulgation  1986-12-27 Effective Date  1986-12-27  


Rules for the Implementation of the Law of the People’s Republic of China on Control of the Entry and Exit of Aliens


Chapter I  Entry into the Country
Chapter II  Inspection of the Entry-Exit Certificates
Chapter III Residence
Chapter IV  Registration for Lodging
Chapter V  Travels
Chapter VI  Exit from the Country
Chapter VII Penalties
Chapter VIII  Other Provisions

(Approved by the State Council on December 3, 1986, and promulgated by

the Ministry of Public Security and the Ministry of Foreign Affairs on
December 27, 1986) (Editor’s Note: For the revised text, see the Rules for
Implementation of the Law of the People’s Republic of China on Control of the
Entry and Exit of Aliens promulgated by the Ministry of Public Security and
the Ministry of Foreign Affairs on July 15, 1994)

    These Rules are formulated in accordance with the stipulations in Article
33 of The Law of the People’s Republic of China on Control of the Entry and
Exit of Aliens (hereinafter referred to as The Law on Control of the Entry and
Exit of Aliens).
Chapter I  Entry into the Country

    Article 1  For entry into China, aliens shall apply for visas from Chinese
diplomatic missions, consular posts or other resident agencies abroad
authorized by the Ministry of Foreign Affairs.

    Aliens who hold ordinary passports issued by countries which have
diplomatic relations or official trade links with China as well as letter(s)
or telegram(s) from authorized units in China, may, under any of the following
circumstances where they must necessarily rush to China but have no time for
visa application to the aforesaid agencies, apply to the visa-granting
departments at entry ports as authorized by the Ministry of Public Security:

    (1) they are invited at the last moment by a Chinese host to come to China
for a trade fair;

    (2) they are invited to come to China to submit a tender or to sign a
formal economic or trade contract;

    (3) they come to China by appointment to supervise the inspection of
import and export commodities or to participate in a check-and-accept
operation in accordance with contracts;

    (4) they are invited to participate in the installation of equipment or in
the emergency repair of engineering projects;

    (5) they come to China at the request of the Chinese side to solve a
problem of claims;

    (6) they are invited to come to provide technical advisory services;

    (7) they come to China due to a last-minute change in the composition of a
visiting group and with consent of the Chinese side after the visas are
granted;

    (8) they come to China to see patients in critical conditions, or to
undertake funeral matters;

    (9) owing to force majeure, transit visa holders cannot leave the country
within twenty-four hours by taking the original plane or by taking other means
of transport;

    (10) other invited guests who really have no time for visa application to
the aforesaid China’s resident agencies abroad, and who hold letter(s) or
telegram(s) from competent authorities who give the consent for the invited
guests to apply for the visa at the designated entry ports.

    The visa-granting agencies at entry ports shall not accept and handle visa
applications filled out by people who do not come under the aforesaid
circumstances.

    Article 2  Visa-issuing departments at port of entry, as authorized by the
Ministry of Public Security, are stationed at the following ports: Beijing,
Shanghai, Tianjin, Dalian, Fuzhou, Xiamen, Xi’an, Guilin, Hangzhou, Kunmin,
Guangzhou (Baiyun Airport), Shenzhen (Luohu, Shekou), Zhuhai (Gongbei).

    Article 3  Different categories of visa, such as diplomatic visa,courtesy
visa, service visa, and ordinary visa, shall be issued to different aliens in
accordance with the different capacities in which they visit China and also
with the different categories of passport they hold.

    Article 4  In accordance with aliens’ reasons for coming to China, the
ordinary visas to be issued to them shall be marked with the following Chinese
pinyin letters:

    (1) the letter “D” is marked on a visa issued to a person who comes for
permanent residence in China;

    (2) the letter “Z” is marked on a visa issued to a person who comes to
China for a post or employment, and also to this person’s accompanying family
members;

    (3) the Letter “X” is marked on a visa issued to a person who comes to
China to study, to engage in advanced studies, or to do fieldwork, for a
period of more than 6 months;

    (4) the letter “F” is marked on a visa issued to a person who is invited
to come to China for a visit, for investigations, for giving lectures, for
doing business, for carrying out scientific, technical and cultural exchanges,
for pursuing short-term advanced studies or for doing short-term fieldwork:
these activities shall not exceed 6 months;

    (5) the letter “L” is marked on a visa issued to a person who comes to
China for sightseeing, for visiting relatives, or for private matters; a group
visa shall be issued to a China-bound tourist group of nine members or more;

    (6) the letter “G” is marked on a visa issued to a transit traveller;

    (7) the letter “C” is marked on a visa issued to a crew member performing
his/her duties on board an international train, or on an international
airliner, to a sailor on board an international ocean-liner or freighter, and
also to their accompanying family members.

    Article 5  An alien, who is applying for a visa, shall answer the
questions put to him/her and go through the following procedures:

    (1) to present a valid passport or other certificate(s) that can be used
in place of a passport;

    (2) to fill in a visa application form, and hand in recent frontal hatless
half-length passport-size photos of the applicant;

    (3) to present, for examination, documents of certification pertaining to
the reason(s) for entry or transit application.

    Article 6  The documents of certification as mentioned in Item (3) Article
5 of these Regulations, refer to:

    (1) those applying for the visa marked with “D” shall hold
status-of-residence identification forms. To obtain such a form, the applicant
may apply, or do so through his/her relatives in China, to the entry-exit
controlling department under the public security bureau of the city or county
where the applicant is to reside;

    (2) those applying for the visa marked with “Z” shall hold documents of
certification issued by a Chinese unit indicating the engagement or
employment, or hold letter(s) or telegram(s) sent by an authorized unit;

    (3) those applying for the visa marked with “X” shall hold documents of
certification issued by a host institution or by competent department;

    (4) those applying for the visa marked with “F” shall hold letter(s) or
telegram(s) sent by an authorized unit;

    (5) those applying for the visa marked with “L”, who come to China as
tourists, shall hold certifying documents for reception issued by a Chinese
tourist department;

    (6) those applying for the visa marked with “G” shall hold a valid visa
issued by the country (or region) the applicant is going to. Only a
through-ticket holder is exempt from the procedures for such visa application;

    (7) those applying for the visa marked with “C” shall produce relevant
certificates according to agreement.

    Aliens who come to reside in China or to stay in China for more than one
year shall, when applying for an entry visa, produce for examination a health
certificate issued by a health department designated by the rountry the
applicant resides in, or issued by a health department and attested by a
notary office. The health certificate shall remain valid within a period of 6
months of its issuance.

    Article 7  Aliens belonging to any of the following categories shall not
be permitted to enter China:

    (1) deportees by the Chinese government whose terms of deportation have
not yet expired;

    (2) those who are considered prone, after entering the country, to
terrorist or subversive activities or violence;

    (3) those who are considered prone, after entering the country, to
smuggling, prostitution, or drug trafficking;

    (4) those who suffer from mental diseases, or leprosy, AIDS, venereal
diseases, open tuberculosis and such infectious diseases;

    (5) those who lack the means to support themselves financially while
staying in China;

    (6) those who are considered prone, after entering the country, to other
activities that may jeopardize the country’s security and interests.

    Article 8  Aliens may be exempt from going through the procedures for
obtaining a transit visa if they hold a through ticket and have booked seats
on international airliners flying directly through China, and will stay in a
transit city for less than 24 hours without leaving the airport; aliens who
wish to leave the airport shall apply to the border inspection office for
permission to stay.

    Article 9  During the period of time when an international ocean-going
vessel casts anchor at a port in China, foreign crew members and their
accompanying family members who wish to come on land but do not leave the
seaport city shall apply to the border inspection office for landing
certificates; those who wish to spend the night on land shall apply for
lodging certificates. Those who wish, with justification, to go to places
beyond the limits of a seaport city, or are unable to leave the country on
board the original ship, shall apply to the local public security bureau for
proper visas.
Chapter II  Inspection of the Entry-Exit Certificates

    Article 10  Aliens, upon arrival at a port, shall present to the border
inspection office for examination their valid passports with visas and
relevant certificates issued by the Chinese government, and fill in entry-exit
cards; they may enter the country after the border inspection office has
examined, approved, and stamped their certificates.

    Arncle 11  Upon arrival of a foreign aircraft or a vessel at a port in
China, the persons in charge shall have the following responsibilities;

    (1) the aircraft commander, the captain or the agent must submit to the
border inspection office a name list of the crew members, and a name list of
the passengers;

    (2) if the aircraft or vessel happens to carry persons who attempt to
cross the borders illegally, the case must be reported as soon as it is
discovered, to the border inspection office for disposition;

    (3) with regard to the persons who are forbidden to enter the country, the
persons in charge must assume the responsibility to take such persons away by
means of the original aircraft or vessel; with respect to persons who are
unable to leave the country immediately owing to force majeure, the persons in
charge shall be responsible for paying such persons’ living costs during their
stay in China, and also for paying their travelling costs when they leave the
country.

    Article 12  The border inspection office shall have the right to forbid
aliens belonging to any of the following categories to enter or leave the
country:

    (1) holders of invalid passports, certificates or visas;

    (2) holders of forged or altered or other person’s passports and
certificates;

    (3) those who refuse to present their certificates for examination;

    (4) those whose entry into or exit from the country are not permitted, as
notified by the Ministry of Publiu Security or by the Ministry of State
Security.

    Article 13  Aliens, on leaving the country, shall present, for
examination, their valid passports or other valid certificates, and their
visas authorizing their stay in China or residence permit.

    Article 14  Aliens and foreign-owned means of transport whose transit
ports have been designated by the visa-granting department must enter or leave
the country by the designated ports.

    Article 15  With respect to those aliens who are forbidden to enter the
country, as stipulated in Article 12 of these Rules, in the event that they
are unable to return by the original means of transport, the border inspection
office may take necessary measures to restrict their bounds of activities, and
give orders for them to leave the country by the next earliest means of
transport.
Chapter III Residence

    Article 16  Aliens who hold the visas marked with “D”, “Z” and “X” must,
within 10 days of entry, go through the procedures for obtaining the residence
permit for aliens or temporary residence permit for aliens. The term of
validity of the aforesaid residence permit shall be the time limit of the
authorized stay in China for the permit holder.

    The residence permit for aliens shall be issued to those who will stay in
China for a period of more than one year.

    The temporary residence permit for aliens shall be issued to those who
will stay in China for a period of less than one year.

    Aliens who hold visas marked with “F’, “L”, “G” and “C” may stay in China
within the time limit as their visas indicate, without the necessity to obtain
residence permits.

    Article 17  Aliens who apply for the residence permit shall answer all the
questions put to them and go through the following formalities:

    (1) to present, for examination, their passports, visas, and certificates
pertaining to their residence;

    (2) to fill in the residence application form;

    (3) applicants for the residence permit for aliens shall present, for
examination, their health certificates together with recent frontal hatless
half-length passport-size photos.

    Article 18  The term of validity of the residence permit for aliens may
last from one year to five years, as shall be decided by the municipal or
county public security bureau in accordance with reasons of aliens for staying
in China.

    To aliens who conform to the stipulations of Article 14 of The Law on
Control of the Entry and Exit of Aliens, the public security organ may grant a
l-5-Year long-term residence permit; to aliens of outstanding accomplishments
a permanent residence permit may be granted.

    Article 19  Aliens exempt from the visa-obtaining procedures in accordance
with an agreement signed by the Chinese government and the government of a
foreign country, shall, after entry, apply for the residence permit in
accordance with the stipulations in Article 16 and Article 17 of these Rules,
if they will stay in China for a period of more than 30 days.

    However, the provisions of the preceding paragraph shall not apply to the
aliens as stipulated in Article 34 of The Law on Control of The Entry and Exit
of Aliens.

    Article 20  An alien who wishes to continue to stay or reside in China
when the term of validity of his/her visa or residence permit expires shall,
before the expiration, apply for an extension.

    In the event that an alien, while staying in China, has been found to
suffer any of the diseases as specified in Item 4 of Article 7 of these Rules,
China’s competent public health department may suggest to the public security
organ that the alien in question be notified to leave the country before the
term of his/her stay expires.

    Article 21  If any change is to be made in entries (name, nationality,
profession or status, work unit, residence, passport number, accompanying
children, etc.) of the residence permit for aliens, the permit holder shall,
within 10 days, go through the registration procedures for the change at the
public security bureau stationed at the locality of their  residence.

    Article 22  In the event that holders of the residence permit for aliens
wish to move out of the city or county where they reside, they shall, before
they move, go through the removal registration at the public security bureau
stationed at the locality of their original residence. After moviug into the
new locality, they shall go through the moving-in registration procedures
within 10 days at the public security bureau stationed at the new locality.

    Resident aliens who wish to apply for moving their homes shall first apply
to the public security bureau stationed at the target locality for a permit
and then with this permit go through the removal registration procedures in
accordance with the stipulations of the preceding paragraph.

    Article 23  Out of the consideration for safeguarding state security,
maintaining social order, and protecting other public interests, the municipal
or county public security bureau may impose restrictions on the establishment
of residences or business offices in certain areas by aliens or by foreign
institutions; foreign-owned residences or business offices already established
in the aforesaid areas under restrictions must move to the designated areas
within the time specified in the notice of removal issued by the municipal or
county public security bureau.

    Article 24  Aliens residing in China must, once a year at the designated
time, present their residence permit for aliens to the local public security
bureau for examination.

    The public security bureau may, at a time it deems necessary, notify an
alien to present his/her residence permit for aliens to the entry-exit control
department for examination; and the alien shall do this accordingly at the
time specified in the notice.

    Article 25  Aliens who reside or stay in China and are 16 years of age or
older must carry their residence permits or passports on them for examination
by the police of foreign affairs when the occasion requires.

    Article 26  As regards a foreign baby born in China, the baby’s parents or
agent shall, within one month of the baby’s birth, submit a report together
with the baby’s birth certificate to the local public security bureau and go
through the registration procedures.

    Article 27  In the event that an alien dies in China, his/her family
members or guardian or agent shall, within 3 days of the death, submit a
report together with the death certificate of the deceased to the local public
security bureau, and present, for cancellation, the residence permit or visa
of the deceased.

    With respect to cases of aliens’accidental death, the persons concerned
or the discoverers must report the cases immediately to the public security
organ.

    Article 28  The competent authorities of the Chinese Government, mentioned
in Article 19 of the Law on Control of the Entry and Exit of Aliens, refers to
the Ministry of Labour and Personnel of the People’s Republic of China.
Chapter IV  Registration for Lodging

    Article 29  Aliens who stay at such enterprises or institutions as guest
houses, hotels, inns, hostels, and schools, or at government departments,
public organizations and other Chinese institutions shall produce their valid
passports or residence permits, and fill in the temporary lodging form. If
they accommodate in an area not open to aliens, they shall also produce their
travel certificates.

    Article 30  In the event that an alien accommodates at the house of a
Chinese resident, if the house is located in a city or a town, the host or the
alien himself shall, within 24 hours of the lodger’s arrival submit a report
to the local public security organ together with the lodger’s passport and
other certificates and the host’s residence booklet, and fill in the temporary
lodging registration form; if the host’s house is located in the countryside,
the report shall be submitted to the local police station or to the household
registration office within 72 hours.

    Article 31  In the event that an alien accommodates at a resident foreign
institution in China or at the house of another alien living in China, the
host institution, the host or the lodger himself shall, within 24 hours of the
lodger’s arrival submit a report to the local public security organ together
with the lodger’s passport or residence permit, and fill in the temporary
lodging registration form.

    Article 32  Aliens with permanent residence in China shall submit a report
and go through the registraton procedures in accordance with the stipulations
in Article 29, Article 30 and Article 31 of these Rules if they wish to leave
their lodgings and accommodate temporarily in other places.

    Article 33  Aliens who accommodate in mobile lodgings shall submit a
report to the local public security organ within 24 hours. Institutions or
individuals that provide space for the mobile lodgings or aliens shall 24
hours in advance submit a report to the local public security organ.
Chapter V  Travels

    Article 34  Aliens who wish to travel in cities and counties that are not
open to aliens shall apply in advance to the bureau of public security of the
municipality or county where they reside for a travel permit, and they can
start for their destination only after they have obtained permission. To apply
for a travel permit, aliens shall go through the following procedures:

    (1) to produce for examination their passports or residence permits;

    (2) to submit certificates relating to the travel;

    (3) to fill in the travel application form.

    Article 35  The longest term of validity of the travel permit for an alien
shall be one year, provided that it shall not exceed the term of validity of
his/her visa or residence permit.

    Article 36  In the event that aliens who have already obtained their
travel permits wish to extend the term of validity of their travel permits, to
visit additional places that are not open to aliens, and to increase the
number of persons accompanying them, they must apply to the public security
organ for the extension or change.

    Article 37  Without permission, no aliens shall be permitted to enter
places not open to aliens.
Chapter VI  Exit from the Country

    Article 38  Aliens shall leave the country within the time limit specified
in their visas, or within the term of validity of their residence permits.

    Article 39  Holders of residence permits for aliens shall, before leaving
the country, apply to the local public security organ in accordance with the
pertinent stipulations in Article 5 and Article 6 of these Rules, for
obtaining the reentry visas if they wish,within the term of validity of their residence permits, to leave and then return to China.

    Holders of residence permits for aliens shall, upon leaving China, present
to the border inspection office their residence permits for cancellation if
they will not return to the country,
Chapter VII Penalties

    Article 40  An alien who has entered China’s territory illegally may be
punished with a fine of 500 yuan to 2,000 yuan, or held in detention for 3 to
10 days, or may concurrently be ordered to leave the country within a
specified period of time, or deported from the country; if the case is so
serious as to constitute a crime, criminal responsibility shall be
investigated according to law.

    Article 41  Persons in charge of the means of transport, or their agents
who, in violation of the stipulations in Article 11 of these Rules, refuse to
bear responsibilities may be punished with a fine of 500 yuan to 2,000 yuan or
be held in detention for 3 to 10 days.

    Article 42  Aliens who, in violation of the stipulations in Articles 16,
19, 20, 21, 22 and 23 of these Rules, stay in China illegally, or who violate
the stipulations concerning residential administration, may be given a
warning, or punished with a fine of 100 yuan to 500 yuan, or be held in
detention for 1 to 3 days; if the case is serious, the offender shall be
ordered concurrently to leave the country within a specified period of time.

    Article 43  An alien who, in violation of the stipulations in Article 24
and Article 25 of these Rules, fails to present the residence permit, as
required, for examination, or fails to carry the passport or residence permit
on him/her, or refuses to produce his/her certificate for examination, may be
given a warning, or punished with a fine of 20 yuan to 50 yuan; if the case is
serious, the offender may concurrently be ordered to leave the country within
a specified period of time.

    Article 44  Aliens who have obtained a post without the approval of the
Ministry of Labour and Personnel of the People’s Republic of China, upon
termination of their post or employment, may be punished with a fine of 200
yuan to 1,000 yuan; if the case is serious, the offender shall concurrently be
ordered to leave the country within a specified period of time.

    Article 45  Anyone who is held responsible for, in violation of the
stipulations in Chapter IV of these Rules, the failure to go through the
registration procedures for getting accommodation, or to submit a report to
the public security organ for lodging registration, or for providing
accommodation to an alien who does not hold valid certificates, may be given a
warning, or punished with a fine of 10 yuan to 50 yuan.

    Article 46  Aliens who, in violation of the stipulations in Articles 34,
36 and 37 of these Rules, make a tour to an area not open to aliens without
approval, may be given a warning, or punished with a fine of 30 yuan to 100
yuan; if the case is serious, the offender shall concurrently be ordered to
leave the country within a specified period of time.

    Article 47  Aliens who have forged, or altered, or used other than their
own, or transferred to others the possession of, visas and certificates may,
in addition to the revocation or confiscation of the original visas and
certificates, be punished with a fine of 500 yuan to 2,000 yuan, or held in
detention for 3 to 10 days; and may also concurrently be ordered to leave the
country within a specified period of time. If the case is so serious as to
constitute a crime, criminal responsibility shall be investigated according to
law.

    Article 48  Those who violate The Law on Control of the Entry and Exit of
Aliens and these Rules due to force majeure, may be exempted from penalty.

    When an alien is unable to pay a fine, the penalty may take the form of
detention.

    Article 49  The penalties of imposing fines and making detentions, as
provided in this Chapter, shall also be applicable to the persons who are held
responsible for helping aliens to enter or leave the country illegally, for
causing aliens to reside or stay in China illegally, for employing aliens who
seek a post without permission, or for facilitating aliens without valid
travel certificates in their entry into areas not open to aliens.

    Article 50  Persons who are punished do not accept the penalty of a fine
or detention imposed b

THE ELECTION LAW OF THE NATIONAL PEOPLE’S CONGRESS AND LOCAL PEOPLE’S CONGRESSES OF THE PEOPLE’S REPUBLIC OF CHINA

INTERIM PROVISIONS OF THE MINISTRY OF FOREIGN ECONOMIC RELATIONS AND TRADE FOR THE MANAGEMENT OF DEVELOPING AND EXPORTING NEW COMMODITIES IN FOREIGN TRADEE

FISHERIES LAW

Fisheries Law of the People’s Republic of China

     (Adopted at the 14th Meeting of the Standing Committee of the National People’s Congress and promulgated by Order
No. 34 of the President of the People’s Republic of China on January 20, 1986, and effective as of July 1, 1986)

CONTENTS

CHAPTER I GENERAL PROVISIONS

CHAPTER II AQUACULTURE

CHAPTER III FISHING

CHAPTER IV INCREASE AND PROTECTION OF FISHERY RESOURCES

CHAPTER V LEGAL LIABILITY

CHAPTER VI SUPPLEMENTARY PROVISIONS

CHAPTER I GENERAL PROVISIONS

   Article 1. This Law is formulated for the purpose of enhancing the protection, increase, development and reasonable utilization
of fishery resources, developing artificial cultivation, protecting fishery workers’ lawful rights and interests and boosting
fishery production, so as to meet the requirements of socialist construction and the needs of the people.

   Article 2. All productive activities of fisheries, such as aquaculture and catching or harvesting of aquatic animals and plants
in the inland waters, tidal flats and territorial waters of the People’s Republic of China, or in other sea areas
under the jurisdiction of the People’s Republic of China, must be conducted in accordance with this Law.

   Article 3. In fishery production, the state shall adopt a policy that calls for simultaneous development of aquaculture, fishing
and processing, with special emphasis on aquaculture and with priority given to different pursuits in accordance with
local conditions.

People’s governments at various levels shall include fishery production in their economic development plans and
take measures to enhance the overall planning and comprehensive utilization of water areas.

   Article 4. The state shall encourage research in fishery science and technology and popularization of advanced technology in order
to raise the level of the country’s fishery science and technology.

   Article 5. People’s governments at various levels shall give moral encouragement or material awards to units and individuals
who make outstanding contributions to the increase and protection of fishery resources, to development
of fishery production, or to research in fishery science and technology.

   Article 6. The department of fishery administration under the State Council shall be in charge of the administration of fisheries
throughout the country. Departments of fishery administration under people’s governments at or above the county
level shall be in charge of fisheries in their respective areas. These departments shall be authorized to set up fishery
superintendency agencies in important fishing areas and fishing ports.

Departments of fishery administration under people’s governments at or above the county level and their fishery
superintendency agencies may appoint fishery inspectors who will carry out assignments that those departments and
agencies entrust to them.

   Article 7. State superintendence of fisheries shall operate under the principle of unified leadership and decentralized administration.

Marine fishery shall be under the superintendence of departments of fishery administration under the people’s
governments of provinces, autonomous regions and centrally-administered municipalities contiguous to the sea,
with the exception of those sea areas and fishing grounds with specially designated fishery resources that the
State Council has put under direct administration of its fishery department and subordinate fishery superintendency
agencies.

Fishery in rivers and lakes shall be subject to the superintendence of the departments of fishery administration
under the relevant people’s governments at or above the county level in accordance with administrative divisions.
Fishery administration for water areas that straddle several administrative divisions shall be decided by the
relevant people’s governments at or above the county level through consultation or placed under departments of fishery
administration of people’s governments at the next higher level and their subordinate fishery superintendency agencies.

   Article 8. Foreigners and foreign fishing vessels must obtain permission from the relevant department under the State Council
before entering the territorial waters of the People’s Republic of China to carry on fishery production or investigations
of fishery resources, and must abide by this Law and other related laws and regulations of the People’s Republic of
China. If those persons and vessels belong to countries that have signed relevant accords or agreements with the
People’s Republic of China, their activities shall be conducted in accordance with those accords or agreements.

State fishery administration and fishing port superintendency agencies shall exercise administrative and supervisory
authority over external relations pertaining to fisheries and fishing ports.

CHAPTER II AQUACULTURE

   Article 9. The state shall encourage units under ownership by the whole people, units under collective ownership and individuals to
make the best use of suitable water surfaces and tidal flats to develop aquaculture.

   Article 10. In conformity with the overall arrangement made by the state for utilization of water areas, people’s governments at and
above the county level may assign state-owned water surfaces and tidal flats that have been designated for aquaculture
to units under ownership by the whole people and units under collective ownership to develop aquaculture, and
after examining their qualifications grant those units aquaculture licences to confirm their rights to the use of such water
surfaces and tidal flats.

Water surfaces and tidal flats used by units under ownership by the whole people, water surfaces and tidal flats owned
by collectives, and those owned by the whole people but used by units under collective ownership may all be
contracted to collectives or individuals to develop aquaculture.

Ownership and rights to the use of water surfaces and tidal flats shall be protected by law and shall not be subject
to encroachment by any units or individuals.

   Article 11. If any units or individuals that use water surfaces and tidal flats owned by the whole people for aquaculture neglect
them for 12 months without a proper reason, the agencies granting aquaculture licences shall order those units or individuals
to develop and utilize them within a certain period of time and, if the order is not carried out within the time limit,
their aquaculture licences may be revoked.

   Article 12. Disputes over the ownership and rights to the use of water surfaces or tidal flats that arise between units under
ownership by the whole people, between units under collective ownership or between units under ownership by the
whole people and units under collective ownership shall be solved through consultation between the parties concerned.
If no agreement is reached through consultation, the disputes shall be handled by a people’s government at or above
the county level. If a party refuses to accept the decision of the people’s government, it may file a suit in a people’s
court within 30 days after receiving notification of the decision.

Before the disputes over ownership and rights to the use of certain water surfaces or tidal flats are solved, no party may
disrupt fishery production in the disputed areas.

   Article 13. Requisitioning of collectively owned water surfaces and tidal flats for state construction shall be conducted in
accordance with the Regulations on Requisition of Land for State Construction.

When state-owned water surfaces and tidal flats that have been allotted to units under ownership by the whole people
and units under collective ownership for aquaculture are requisitioned for state construction, the construction units
shall give those units appropriate compensation.

CHAPTER III FISHING

   Article 14. The state shall encourage and support the development of offshore and deep sea fisheries and make rational arrangement
of fishing capacity for inland and inshore fisheries.

   Article 15. Any unit or individual that wants to engage in offshore or deep sea fishing must obtain permission from the department
of fishery administration under the State Council; the state shall give support or preferential treatment in the form
of funds, materials and technology, and in matters of taxation.

   Article 16. Any unit or individual that intends to engage in inland water or inshore fishing must first apply to departments of
fishery administration for fishing licences. Licences for using large trawls and purse seines in marine fishing shall
be granted upon approval by the department of fishery administration under the State Council. Other fishing licences
shall be granted upon approval by local people’s governments at or above the county level, but the fishing licences for
marine operations that have been issued must not allow uses of trawls and other fishing gear which exceed quotas set by
the state. Concrete measures shall be worked out by the people’s governments of provinces, autonomous regions,
and municipalities directly under the Central Government.

Fishing licences may not be sold, leased or transferred by other illegal means, and they may not be altered.

   Article 17. Units and individuals engaging in inland water and inshore fisheries must conduct their operations in accordance with their
licences concerning the types of operation, location, time limits and quantity of fishing gear, and they must also
abide by the relevant regulations on protection of fishery resources.

   Article 18. All fishing vessels that are built, rebuilt, purchased or imported must be examined and inspected by fishing vessel
inspection agencies before they are launched for operation. Concrete administrative measures shall be formulated
by the department of fishery administration under the State Council.

CHAPTER IV INCREASE AND PROTECTION OF FISHERY RESOURCES

   Article 19. Departments of fishery administration under the people’s governments at and above the county level shall work out overall
plans and take measures to increase fishery resources in the fishery waters under their jurisdiction. These departments
may collect fees from the units and individuals profited by the use of such waters and devote the money thus collected
to the increase and protection of fishery resources. The procedures for collecting such fees shall be formulated
by the department of fishery administration and the department of finance under the State Council, and must be approved by
the State Council before going into effect.

   Article 20. Use of explosives and poisons in fishing shall be prohibited. It shall not be permitted to fish in prohibited
fishing areas and during closed seasons, to fish with gear and methods banned by the fishery authority or to use fishing
nets with meshes smaller than the minimum prescribed sizes.

Departments of fishery administration under the people’s governments at or above the county level shall designate species
under special protection, prohibited fishing areas and closed seasons, fishing gear and methods that are to be banned or
restricted and the minimum sizes for the mesh of nets, as well as other measures for the protection of fishery resources.

   Article 21. Catching fry of aquatic animals of important economic value shall be prohibited. Catching fry of aquatic animals of
important economic value or spawning aquatic animals under protection for artificial breeding or for other special purposes
must be approved by the department of fishery administration under the State Council or by departments of fishery administration
under the people’s governments of provinces, autonomous regions, and municipalities directly under the Central Government,
and it must be conducted in the designated areas and times and strictly in accordance with the quotas assigned.

Measures shall be adopted to protect fry of aquatic animals when channeling or using water from water areas that specialize
in producing such fry.

   Article 22. When building sluices and dams which will have serious effects on fishery resources on the migration routes of fish,
shrimp and crabs, the construction units must build fish passages or adopt other remedial measures.

   Article 23. For water bodies that are used for fisheries and also serve the purposes of water storage and regulation and
irrigation, the departments concerned shall fix the lowest water level required for fishery.

   Article 24. It shall be forbidden to reclaim land from lakes. Without approval from a people’s government at or above the county level,
it shall not be allowed to enclose tidal flats for cultivation and no one shall be allowed to reclaim land
from water areas that are used as major seedling producing centres and aquatic breeding grounds.

   Article 25. To conduct underwater explosions, exploration and construction that may have serious effects on fishery
resources, the construction units shall consult in advance with the department of fishery administration under the
relevant people’s government at or above the county level and take measures to prevent or minimize the damage to fishery
resources. In case any damages to fishery resources occur therefrom, the relevant people’s government at or above
the county level shall order the responsible party to pay compensation.

   Article 26. In accordance with the Marine Environmental Protection Law and the Water Pollution Prevention Law, people’s governments
at all levels shall take measures to protect and improve the ecosystem of fishery waters, prevent pollution and investigate
the responsibility of any unit or individual that pollutes the fishery waters.

   Article 27. Protection shall be provided to rare aquatic animals whose capture is banned by the state. In case there is a special
need to catch them, the matter shall be handled in accordance with the relevant laws and regulations.

CHAPTER V LEGAL LIABILITY

   Article 28. Anyone who uses explosives or poisons in fishing, fishes in violation of the regulations on prohibited fishing areas and closed
seasons, uses prohibited fishing gear and methods or catches rare aquatic animals under state protection without permission
shall have his catch and unlawful income confiscated and be fined; in addition, his fishing gear may be confiscated
and his fishing licence revoked. In serious cases, criminal responsibility of the individual or the persons of a unit
who are directly responsible shall be investigated in accordance with Article 129 of the Criminal Law.

   Article 29. Anyone who poaches on or seizes others’ aquatic products, or damages others’ aquaculture water bodies and facilities shall
be ordered by the department of fishery administration or its subordinate fishery superintendency agencies to compensate
for the damages and shall be concurrently fined. In serious cases or if the damages are great, criminal responsibility
of the individual or the persons of a unit who are directly responsible shall be investigated in accordance with
Articles 151 and 156 of the Criminal Law.

   Article 30. Anyone who fishes without a fishing licence obtained in accordance with this Law shall have his catches and unlawful
income confiscated and may be concurrently fined. In serious cases, his fishing gear may also be confiscated.

   Article 31. Anyone who fishes in violation of the type of operation, location, time limit and amount of fishing gear stipulated in
his licence, shall have his catches and unlawful income confiscated and a fine may be concurrently imposed.
In serious cases, his fishing gear may also be confiscated and his fishing licence revoked.

   Article 32. Anyone who trades in, leases or transfers fishing licences by other illegal means shall have his unlawful income confiscated
and his fishing licence revoked, and may be concurrently fined.

   Article 33. The administrative sanctions stipulated in this Law shall be decided by departments of fishery administration or their
subordinate fishery superintendency agencies. Any party who refuses to accept the decision on an administrative
sanction may file a suit in a people’s court within 30 days after receiving notification of the decision. If the party
neither files a suit nor complies with the decision within the time limit, the agency that made the decision shall
request the people’s court to compel execution of the decision. However, a party which is engaged in maritime operations
must comply with the sanction before filing a suit.

CHAPTER VI SUPPLEMENTARY PROVISIONS

   Article 34. The department of fishery administration under the State Council shall, in accordance with this Law, formulate
rules for its implementation, which shall go into effect after being submitted to and approved by the State Council.

The standing committees of people’s congresses of provinces, autonomous regions, and municipalities directly under
the Central Government may formulate measures of implementation in accordance with this Law and the rules for its implementation.

   Article 35. This Law shall come into force as of July 1, 1986.

    





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

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

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