Facebook
Home China Laws 1996 Page 5

1996

OUTLINE OF STATE INDUSTRIAL POLICIES FOR THE S

Outline of State Industrial Policies for the 1990s

     (Effective Date:1994.03.25–Ineffective Date:)

CHAPTER I VIGOROUSLY DEVELOP AGRICULTURE AND RURAL ECONOMY AND INCREASE THE INCOME OF PEASANTS CHAPTER II CONSCIENTIOUSLY STRENGTHEN
THE CONSTRUCTION OF INFRASTRUCTURAL FACILITIES AND BASIC INDUSTRIES CHAPTER III VIGOROUSLY DEVELOP PILLAR INDUSTRIES CHAPTER V VIGOROUSLY
DEVELOP FOREIGN ECONOMIC RELATIONS AND TRADE CHAPTER VI ORGANIZATION, TECHNOLOGY AND SETUP OF INDUSTRIES CHAPTER VII PROCEDURES FOR
FORMULATING INDUSTRIAL POLICIES AND THEIR IMPLEMENTATION

The formulation of industrial policies is to work as one of the important means of the State in its strive to strengthen and improve
macro-economic control, effectively adjust and optimize the industrial structure, improve the quality of industries and promote a
sustainable, fast and healthy development of the national economy and under the guidelines of the 14th National Party Congress and
the decisions adopted at the third plenary session of the 14th Party Central Committee, the present “Outline of State Industrial
Policies for the 1990s” is worked out in the light of the current situation and trend of development in the national economy as a
guide and basis for formulating policies for various industries in the near future.

In formulating State industrial policies, the following principles must be observed: (1) Such policies must be able to combine the
universal way of industrialization and modernization with the special conditions and industrial structure of our country; (2) Such
policies must be able to help establish a socialist market economic system in our country so as to give a basic role to the market
for the allocation of resources under the macro-economic control by the State; (3) Such policies must be able to help concentrate
the efforts of the country to solve the major problems that are of vital importance to the overall situation of the national economy;
(4) Such policies must be able to become fully operational mainly through economic and legal means and properly supplemented with
necessary administrative means to support the development of industries and products in short-term demand and curtail those in long-term
demand.

For the 1990s the major objects of the State industrial policies are: constantly strengthen the basic status of agriculture to develop
the rural economy in an all-round manner; devote great efforts to step up the development of the basic industries, striving to ease
the heavy drawback of infrastructure and basic industries; accelerate the development of pillar industries to bring about an all-round
revitalization of the national economy; rationally readjust the foreign economic and trade structure to enhance the competitiveness
of Chinese industries on the international market; step up the development of high and new tech industries and support the development
of newly emerging industries and new products; and continue to develop the tertiary industry in a big way. Meanwhile, it is necessary
to optimize the structure of industries, raise their technical levels and rationalize their distribution.

CHAPTER I VIGOROUSLY dEVELOP AGRICULTURE AND RURAL ECONOMY AND INCREASE THE INCOME OF PEASANTS

To develop vigorously agriculture and the rural economy and increase the income of peasants are the first and foremost task of economic
development in the 1990s. It is imperative to foster the broadest sense of agricultural development which includes an all-round development
of agriculture, forestry, animal husbandry, sidelines and fisheries and a vigorous development of high-yield, high-quality and high-efficiency
and high foreign exchange earning agricultural products so as to be able to turn out a sufficient amount of agricultural products
to both cater a well-being living at home and meet the demand of the international market in terms of quality, variety and quality.
For such an undertaking, it is necessary to restructure the rural industrial structure, energetically develop the secondary and tertiary
industries in the rural areas, gradually transfer the rural surplus labor to bring the comprehensive production capacity and economic
efficiency of the rural areas onto a new level.

In developing agriculture and the rural economy, it is essential to implement in real terms the series of policies and measures formulated
by the Party central committee and the State Council and the present “Outline Program for the Development of China’s Agriculture
in the 1990s”. For that, it must: extend the contracted terms for the arable land to stabilize and improve the household responsibility
system which ties up the income with output and the two-tier managing system which integrates the contralized and scattered management
in an effective way; rationally readjust the organization of agricultural production to introduce new production systems of integrating
cropping, breeding and processing and also agriculture, trade, and industry; cultivate energetically the rural market by establishing
sound grain protective prices, a grain venture fund system, and a grain reserve system; establish and improve the rural collective
service system to make it a vast network consisting of services run by the State, collectives and individuals; dedicate real effort
to protect the arable land including the step by step establishment of basic farmland protection zones and formulation of corresponding
measures of management; increase input in agriculture including the increase of financing by central and local governments on an
annual basic, support the development of agro-serving industries, encourage peasants own inputs, and attracting more foreign capital
to the development of agriculture; energetic efforts must be made to use and spread new techniques and lightening the burdens on
peasants and earnestly protecting their legitimate rights and interests.

With the increase of rural productivity, the rational transfer of rural surplus labor will acquire an important relevance in the strive
of further developing the agriculture and the rural economy and increasing the income of the peasants So, further efforts must be
made to accelerate the development of township enterprises, especially in the central and western parts of the country. In such a
context, planning and policy guidance should be enhanced to lead the township enterprises develop in a concentrated manner. Meanwhile,
it is necessary to transform and make full use of the existing small towns and step up the building of new ones.

CHAPTER II CONSCIENTIOUSLY STRENGTHEN THE CONSTRUCTION OF INFRASTRUTUAL FACILITIES AND BASIC INDUSTRIES

The development of infrastructural facilities and basic industries must be accelerated so as to keep pace with that of the national
economy as a whole. The efforts must be made basing on the principles of “unified planning, rational distribution, banding force
on key areas, doing one’s best within one’s might and keeping an eye at efficiency”.

For transportation, major efforts must by put to increase the carrying capacity of railways. While giving special effort to develop
the thoroughfares, roads, waterways, air, pipelines and other ways of transportation must also be developed in a full scope to form
a comprehensive transport system. For telecommunications, great efforts must be paid to develop a comprehensive but concentrated
information disseminating network basing on high speed, high quality and high capacity communication means and advanced technologies
and equipment of international standard at the same time of increasing the portion of home-made devices. For energy, equal emphasis
must be given to development and conservation so as to achieve a well-coordinated development of energy, economy and environment.
In coal industry, construction of State-owned key mines must be accelerated and efforts must be made to promote the transformation
and improvement of local mines and mines operated by townships. In the petroleum industry, while stabilize the output in the eastern
part, more reserves in the western part must be verified and international resources rationally utilized. In the power industry,
the principle is to develop both thermal and hydroelectric power in light of actual conditions and expand nuclear power properly.
It is necessary to consolidate and improve the existing water conservancy facilities and carry out comprehensive control of large
rivers and lakes with clear emphasis in order to prevent water loss and soil erosion, protect and rationally allocate water resources
and raise the capabilities against drought and floods and gradually solve the drinking water supply problem in water short areas
and in cities. The development of urban municipal utilies should be accelerated according to the principle of “unified planning,
rational distribution and comprehensive development.”

In order to accelerate the development of infrastructure facilities and basic industries, the State will adopt the following principal
policies: fully use the initiatives of both the central and localities under clarified division of work among the governments at
all levels; clearly define the plans for the development of infrastructure facilities and basic industries to acquire a sound development
of both; well establish and improve a policy-based long-term investment and financing system to provide appropriate financial support
to construction projects encouraged by the State; channelling funds into the construction of infrastructure facilities and basic
industries from various sectors with priority giving to issue of stocks and bonds to cater to the development of such facilities
and industries; encouraging foreign investment to construction of infrastructural facilities and basic industries to extend the use
of foreign funds in the sectors both in scale and areas; further smoothing out the pricing system to give full scope to the regulatory
roles of the price mechanism and intensify the control over the prices of products and services provided by highly monopoly industries;
continuing to requisite lands in low prices for the construction of infrastructure facilities and basic industries; using incomes
of the government from leasing of land resources for the construction of infrastructure facilities; and permitting under approval
procedure investors in transport facilities in obtain the right to develop real estate along the transporting lines, port areas and
around airports as comprehensive economic compensation.

CHAPTER III VIGOROUSLY DEVELOP PILLAR INDUSTRIES

Efforts should be made to accelerate the development of machine- building, electronic, petro-chemical, automobile and construction
industries to make them the pillar industries of the national economy.

For machine-building industry focus should be put on the making of elementary machinery, basic parts and complete sets of major technical
equipment so as to promote the optimization of product structure and raise the technical level and competitiveness of the industry.
For electronic industry, microelectronics should serve as the base for the development of telecommunications, computers and other
emerging information industries to accelerate the pace of modernization. For the petrochemical industry, energetic efforts should
be made to enlarge production scales, improve technical levels and depth of processing. For automotive industry, a production system
of fewer production sites and economic scale of production should be undertaken as soon as possible to strive for a bigger share
in the domestic market and a better competitiveness in the world market for domestic products. For construction industry, emphasis
should be put to the building of residential houses in cities, key State construction projects and the construction of cities and
towns to strive to establish a unified and open market with orderly competition and improve the quality of products for construction.

The State will promote the development of the pillar industries by adopting the following measures: to formulate and publish unified
industrial policies and ensure their implementation by legal means; to gradually establish an investment and financing system and
standard enterprises financing mechanism to facilitate the development of the pillar industries, including arrangement given by the
State for prior issue of pillar industry related stocks and bonds; direct support should be given by the government in funds and
materials to prop up the technical development of certain major areas in the pillar industries such as under approval of the State
Council, granting power to some large enterprise groups to directly raise funds abroad commensurate with the their own capital and
gains. Meanwhile, according to common international practice and articles of relevant agreements, the State will treat part of the
products of the pillar industries as infant industrial products and protect them properly and within a certain limit of time. At
the same time, the government will allow the conditional opening of part of the home market in order to obtain key technology and
equipment.

CHAPTER V VIGOROUSLY DEVELOP FOREIGN ECONOMIC RELATIONS AND TRADE

The government will continue to encourage the expansion of foreign trade, actively readjust the trade structure so as to display the
country’s own advantages in the trade, improve its export efficiency, promote the restructuring and optimizing of industrial structure,
enchance the international competitiveness and maintain the balance of international payments.

The State encourages export of the following products; agricultural and sideline products with comparative advantages, light industrial
goods and textiles; household electrical appliances and other machinery and electronic products with mature production technology;
products with high added value and international competitiveness; and high and new technology products, but discourages the bulk
export of resources products, and strives for gradual reduction in the export of primary products and products with high energy contents,
with some even restricted or forbidden for export.

The State encourages the import of new technology and relevant key equipment, key and spare parts; appropriately increases the import
of some primary products in short supply at home, supports the efforts by infant industries to introduct, assimilate and absorb new
technologies, new production equipment and their key and spare parts. Meanwhile, the State discourages the import of high and consumer
goods.

For such an end, the State will fully use the function of the import and export banks to encourage enterprises to increase their export
of complete sets of equipment and machinery and electronic products; strengthen the control on the import quantity of a few products,
through the granting of quotas by means of tenders, auction or regulations based on the principal of “efficiency, fairness and openness”;
strengthen the policies for promoting the export of deep-processed products, high value added manufactured goods and complete sets
of equipment; give the power of handling foreign trade to various kinds of qualified enterprises and particularly encourage large
enterprises (groups) to open direct sales channels overseas; and rationally adjust the tariff rates according to the State industrial
policies.

CHAPTER VI Organization, Technology and Setup of Industries

(1) The objectives of the policies toward industrial organizations are: promoting fair competition among enterprises and realizing
economic scale of production and specialized cooperation to form an industrial organizational structure to adapt to the characteristics
of industrial technical economy and the stages of development of the national economy. For industries with marked efficiency of an
economic scale, a market structure should be formed with a few large enterprises (groups) as the main competitors; for industries
with products composed of large amounts of parts and accessories, there should be a market structure of an appropriate scale that
facilitate the rational division of labor and coordination among large, medium-sized and small enterprises; for industries without
market efficiency of economic scale, efforts should be made to encourage the development of small enterprises to form market structure
comprising a large number of large, medium-size and small enterprises which will develop simultaneously and compete freely.

To realize the objectives, the government will; gradually introduce market mechanism into industries which are of monopoly in nature
in specific regions to encourage fair competition among them; set minimum scale for industries and products which are of efficiency
in economic scale. At the same time, barriers to separate departments, and regions will be broken down to stop the setting up of
projects that fail to meet the standards of economic scale so as to promote the realization of scale economy. Enterprises are also
encouraged to form transregions, departments, ownerships or even nations associations or enterprises groups by way of equal competition,
merging, amalgamation, or holding each other’s shares. The government will step up the building of the legal system concerning market
competition so as to create a good external environment for enterprises to compete on an equal footing and readjust their organizational
setups.

(2) The key objects of industrial technology policy are to: promote the development of applied technologies, encourage the integration
of research and production, accelerate the application of research results, promote the introduction and assimiliation of advanced
foreign technologies to markedly improve the quality and technical function and reduce the energy, material consumptions and production
cost of Chinese products and strive to improve the technical levels of Chinese industries.

The government will adopt the following measures to promote technological progress: To increase input in scientific research and development
through multiple channels and in a variety of forms so as to gradually increase its proportion in the GNP; to map out research and
development programs for key technologies that are of importance in the development of various industries, support and encourage
the absorption and creation of advanced technologies; to strengthen planning of high and new technology industries, do well in the
construction of the State approved high and new technology development zones; to promote the process of standardization and serialization,
encourage the adoption of international standards and advanced foreign standards and more strict internal standards of enterprises;
to enhance the capabilities of enterprises to develop new products independently, encourage enterprises to strengthen their ties
with research institutions and universities and colleges in order to accelerate the speed of commercializations of research results;
and to publish regularly with the force of law or decrees the backward production technology and equipment that must be disbanded.

(3) The main principles of the industrial distribution policies: while continuing to display the advantages of economically developed
areas and accelerating their development, energetic efforts must be made to support the economic development of less developed regions
so as to gradually narrow the spread between the economically developed and less developed regions; the government supports the development
of industrial belts that can give full advantages of natural resources and economy and dedicate to the efficient division of labor
and cooperation among different regions.

It should gradually form rational distribution of industries along the seas, rivers, roads and borders, with large cities along the
transporting trunk lines as the centres to bring up the development of economic regions. The eastern coastal areas must make great
efforts to develop an export-oriented economy, with emphasis on industries and products that have high added values, are capable
of earning great foreign exchange, contain more technology and consume less energy and raw materials. More foreign funds and resources
should be used in order to achieve a sustainable and fast development and better efficiency of the economy. The central and western
regions should give full advantages of their resources and geographical locations as border areas to develop their own unique industries
and products. The State will gradually shift its policy biased toward regions to the policy biased toward industries in terms of
investment, loans, project distribution utilization of foreign capital and other related economic policies and give necessary support
to the major projects in the development and construction of the central and western parts of the country. The State should encourage
economically developed regions to engage in joint development, technical cooperation, partnership assistance and personnel exchange
with the less developed areas in the central and western parts of the country.

The government will make the best use of the situation to guide urbanizations toward a healthy development so as to form an urban
construction system with a good harmony in structure and rational distribution of large, medium-sized and small cities.

CHAPTER VII PROCEDURES FOR FORMULATING INDUSTRIAL POLICIES AND THEIR IMPLEMENTATION

Industrial policies include industrial structure policies, industrial organizational policies, industrial technology policies, industrial
distribution policies and other policies and laws and regulations that will have a great bearing on the industrial development. In
order to give the industrial policies a full scientific nature and authority and faciliate their implementation, the following provisions
are hereby made concerning the formulation and implementation of industrial policies:

(1) The State industrial policies shall be determined by the State Council and the formulated under the initial of the State Planning
Commission which is responsible for the study, formulation and coordination of the policies with the help of relevant departments.
The industrial policies with the help of relevant departments. The industrial policies thus formulated shall be carried out by departments
in charge of various industries and services under the coordination by the State Planning Commission.

(2) A system shall be created by State for the examination and review of the State industrial policies. The concrete industrial policies
and policies that will have a major influence on the industrial development drafted by relevant departments shall be examined and
coordinated by the State Planning Commission and subject to scientific studies and democratic examination by relevant departments
under the State Council, industrial circles, academic circles and consumer groups organized by the State Planning Commission before
they are submitted by the State Planning Commission and relevant departments to the State Council for approval and published for
implementation.

(3) A system must be created to ensure the real implementation of the State industrial policies by various economic administration
departments of planning, finance, banks, taxation, domestic and foreign trade, tariffs, securities, industry and commerce and the
State property, which must coordinate with the State Planning Commission to formulate major procedures for the implementation of
the policies.

(4) A system must be created for the supervision, examination and assessment of the State industrial policies. The State Planning
Commission shall, together with relevant departments, undertake the work of supervision, examination and analysis on the execution
of the State industrial policies and report the results to the State Council regularly with proposals for amendment of the policies
in the light of the changes in the economic situation and industrial structure.

(5) Provincial level people’s governments shall, according to the requirements of the present outline, formulate detailed rules for
its implementation in the light of their actual circumstances and submit them to the State Planning Commission for the record.

(6) The government shall, in the near future, draft industrial policies for transport, telecommunications, construction, electronics,
machine building, petro-chemical industries and foreign investment, foreign trade, technology and industrial organizational readjustment.
The work shall be coordinated and organized by the State Planning Commission.

(7) The document shall be interpreted by the State Planning Commission.

The outline of the State industrial policies for the 1990s shall be implemented starting from the date of publication.

    





MEASURES FOR EXEMPTION FROM INSPECTION OF IMPORT AND EXPORT COMMODITIES

REGULATIONS ON THE PREVENTION OF POLLUTION DAMAGE TO THE MARINE ENVIRONMENT BY LAND-SOURCED POLLUTANTS

Category  ENVIRONMENTAL PROTECTION Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1990-06-22 Effective Date  1990-08-01  


Regulations of the People’s Republic of China on the Prevention of Pollution Damage to the Marine Environment by Land-sourced Pollutants



(Adopted at the 61st Executive Meeting of the State Council on May 25,

1990, promulgated by Decree No.61 of the State Council of the People’s
Republic of China on June 22, 1990 and effective as of August 1, 1990)

    Article 1  These Regulations are formulated in accordance with the Marine
Environment Protection Law of the People’s Republic of China and for the
purposes of strengthening the supervision and administration of land pollution
sources and preventing pollution damage to the marine environment by
land-sourced pollutants.

    Article 2  “Land pollution sources” (hereinafter referred to as “land
sources”) mentioned in these Regulations refer to places or installations in
or by which to discharge pollutants from the land into the sea thereby causes
or may cause pollution damage to the marine environment.

    “Land-sourced pollutants” mentioned in these Regulations refer to
pollutants discharged from “land sources” stipulated in the preceding
paragraph.

    Article 3  These Regulations apply to all organizations and individuals
who discharge land-sourced pollutants into the sea within the territory of
the People’s Republic of China.

    With respect to the prevention of pollution damage to the marine
environment by ship scrapping, the Regulations on the Prevention of
Environmental Pollution by Ship Scrapping shall apply.

    Article 4  The environmental protection department under the State Council
shall be in charge of the prevention of pollution damage to the marine
environment by land-sourced pollutants of the whole country.

    The environmental protection departments of the coastal local people’s
governments at county level and above shall be in charge of the prevention of
pollution damage to the marine environment by land-sourced pollutants in their
respective administrative areas.

    Article 5  The discharge of land-sourced pollutants into the sea by any
organization or individual must be conducted in compliance with the standards
for discharge of pollutants and the relevant regulations promulgated by the
state or the localities.

    Article 6  Any organization or individual who has to discharge
land-sourced pollutants into the sea must report to and register with the
environmental protection department in the place where it or he is located
with respect to the pollutant discharging and treating facilities that it or
he possesses and the kind(s), quantity and density of the pollutants to be
discharged under normal operational conditions, and must provide with
materials regarding the prevention of pollution damage to the marine
environment by land-sourced pollutants. A copy of registrations and materials
mentioned above shall be sent to the administrative department of marine
affairs.

    If major changes have taken place in the kind(s), quantity and density of
the pollutants to be discharged, or pollutant treating facilities are
dismantled or left idle, prior approval shall be obtained from the
environmental protection department in the locality as well as the original
examining and approving department.

    Article 7  Any organization or individual discharging land-sourced
pollutants into the sea in excess of the national or local discharge standards
shall pay a fee for excessive discharge and shall assume responsibility for
eliminating and controlling the pollution.

    Article 8  No organization or individual may establish outlets for
discharging sewage within special marine reserves, marine sanctuaries,
seashore scenic and tourist areas, saltworks reserves, bathing beaches,
important fishing areas and other areas which need special protection.

    Those outlets already established within the areas stipulated in the
preceding paragraph, where the discharge of pollutants is in excess of the
national or local discharge standards, shall be improved within a prescribed
period of time.

    Article 9  If an enterprise or institution discharges land-sourced
pollutants into the sea and has thereby caused severe environmental pollution,
it shall be required to eliminate and control the pollution within a
prescribed period of time.

    Article 10  For enterprises and institutions directly under the
jurisdiction of a department under the State Council or a people’s government
of a province, an autonomous region, or a municipality directly under the
central government, the proposal for a deadline for the elimination or control
of pollution shall be made by the environmental protection department of the
people’s government of the province, autonomous region, or municipality
directly under the central government, and shall be reported to the people’s
government at the same level for the decision. For enterprises and
institutions under the jurisdiction of a people’s government at city or county
level or below, such proposal shall be made by the environmental protection
department of the people’s government of the city or county, and shall be
reported to the people’s government at the same level. Such enterprises and
institutions shall accomplish the elimination or control of pollution within
the prescribed period of time.

    Article 11  It is prohibited to pile up, discard, or dispose of solid
wastes along seashores and beaches without approval. If it is really necessary
to pile up or dispose of solid wastes for the time being, a written
application shall be submitted according to the examining and approving
procedures stipulated by the environmental protection departments of the
coastal provinces, autonomous regions, and municipalities directly under the
central government. The application shall mainly include the following
contents:

    (1) the name and address of the applicant;

    (2) the place and covering area of solid wastes to be piled up and
disposed of;

    (3) the types and composition of solid wastes, amount of solid wastes to
be piled up and disposed of per year, total amount of solid wastes to be
stockpiled up and disposed of and the height of solid wastes to be piled up;

    (4) the time of period within which to pile up and dispose of solid wastes
and final means of disposal of them;

    (5) the pollution damage to the marine environment possibly caused by
piling up and disposing of solid wastes;

    (6) technology and measures for preventing the marine environment from
pollution damage caused by piling up and disposing of solid wastes; and

    (7) other matters required to be explained by the examining and approving
organ.

    The environmental protection department of the local people’s government
at county level or above shall order the completion of the examining and
approving procedures within a time limit for those existing sites in which
solid wastes are temporarily piled up and disposed of without its approval.

    Article 12  Any organization or individual who has been approved to set up
waste yards and treatment facilities shall build dikes and facilities against
raising dust and leakage of wastes. Prior to their use, the dikes and
facilities shall pass the inspection by the environmental protection
department that approved the establishment of the waste yards and treatment
facilities.

    It is prohibited to pile up and discard wastes of other types which have
not been approved in the waste yards and treatment facilities which have been
used with approval. It is prohibited to pile up wastes containing hypertoxic,
radioactive, soluble or volatile substance out of doors. Piling up not out of
doors shall not be carried out as final means of disposal of the
above-mentioned wastes.

    Article 13  It is prohibited to discharge toxic and harmful waste water
along seashores and beaches by improper means of dilution or permeation.

    Article 14  It is prohibited to discharge waste water containing
high-level or meddle-level radioactive substance into the sea.

    Any discharge of waste water containing low-level radioactive substance
into the sea shall be carried out in strict compliance with the state
provisions and standards concerning radioactive protection.

    Article 15  It is prohibited to discharge oils, acid liquid, alkaline
liquid or toxic liquid into the sea.

    No oil-polluted water, waste water containing harmful heavy metals or
industrial waste water of other types may be discharged into the sea before it
has been properly treated and conforms to the standards for discharge of
pollutants and the relevant regulations stipulated by the state or the
localities. Residual dregs after treatment shall not be cast off into the sea.

    Article 16  No waste water carrying pathogens may be discharged into the
sea before it has been properly treated and conforms to the standards for
discharge of pollutants and the relevant regulations stipulated by the state
or the localities.

    Article 17  In case of the discharge of heated waste water into the sea,
the water temperature shall be in compliance with the relevant provisions of
the state.

    Article 18  The discharge of industrial waste water and domestic sewage
containing organic and nutrient substance into sea areas with low capacities
of self-purification shall be controlled in scale. The outlets for discharging
sewage shall be set up in sea areas suitable for current exchange and rational
means of discharge shall be carried out to prevent eutrophication of the sea
water.

    Article 19  It is prohibited to discard medicines and medical instruments
having lost efficacy or use of which is prohibited along seashores and
beaches.

    Article 20  The environmental protection departments of provinces,
autonomous regions and municipalities directly under the central government in
the estuaries shall be in charge of the investigation and dealing with of
accidents of pollution damage to the marine environment by land-sourced
pollutants which occur in the estuaries and are conclusively proved to be
caused by river waters carrying pollutants. If the river flows across
different provinces, autonomous regions or municipalities directly under the
central government, the environmental protection department and the water
conservancy department of the people’s government at provincial, autonomous
regional and municipal level in the entuary shall cooperate with the
environmental protection department and water conservancy department of the
people’s government of involved provinces, autonomous regions and
municipalities and the river basin administrative department in investigating
and dealing with the accident.

    Article 21  With respect to those coastal regions adjacent or opposite to
one another discharging land-sourced pollutants into the same sea area, the
relevant local people’s governments shall jointly formulate measures for the
prevention of pollution damage to the marine environment by land-sourced
pollutants.

    Article 22  Any organization or individual who causes an accident of
pollution damage to the marine environment by land-sourced pollutants shall
promptly take measures to deal with the accident and shall, within 48 hours
after the happening of the accident, report to the environmental protect
department of the local people’s government on the time, place, type of the
accident, the amount of pollutants discharged, economic losses, victims and
other preliminary information and a copy of the preliminary report shall be
sent to each of the relevant departments. Upon the investigation of the
accident, a written report accompanied with relevant documentary evidence
shall be sent to the environmental protection department of the local people’s
government.

    The environmental protection department of the people’s government at
various levels shall, upon the receipt of the preliminary report on a accident
of pollution damage to the marine environment by land-sourced pollutants, take
measures promptly in consultation with the relevant departments to eliminate
or reduce the pollution. The accident shall be investigated and dealt with by
the environmental protection department of the people’s government at county
level or above together with the relevant departments, or by a department
authorized by the environmental protection department of the people’s
government at county level or above itself.

    Article 23  The environmental protection department of the people’s
government at county level or above together with the department in charge of
the project shall, according to its scope of powers to project administration,
conduct an on-the-spot inspection of the organization or individual
discharging land-sourced pollutants. The inspection receiver shall truthfully
report information and provide materials and the inspectors shall be
responsible for keeping technical and business secrets for the inspection
receiver. If otherwise provided for in the laws and regulations, the
provisions stipulated above in this article shall not apply.

    Article 24  Where anyone violates these Regulations under any of the
following circumstances, the environmental protection department of the
people’s government at county level or above shall order the correction and
may concurrently fine an amount of not less than 300 yuan but not more than
3,000 yuan.

    (1) refusing to report or falsely reporting on registrations for discharge
of pollutants; or

    (2) refusing or obstructing the environmental protection department that
is conducting an on-the-spot inspection, or practising fraud in the
on-the-spot inspection.

    Article 25  Where anyone forces in use facilities against pollution set up
in waste yards and treatment facilities which have not been inspected and
accepted by the environmental protection department or have not passed the
inspection, the environmental protection department shall order the correction
and may concurrently fine an amount of not less than 5,000 yuan but not more
than 20,000 yuan.

    Article 26  Where anyone violates these Regulations under any of the
following circumstances, the environmental protection department of the
people’s government at county level or above shall order the correction and
may concurrently fine an amount of not less than 5,000 yuan but not more than
100,000 yuan.

    (1) changing the kind(s) of pollutants to be discharged, or increasing the
quantity and density or dismantling or leaving idle pollutant treating
facilities without the approval of the environmental protection department in
the locality and the original examining and approving department; or

    (2) establishing outlets for discharging sewage within the areas
stipulated in the first paragraph of Article 8 of these Regulations.

    Article 27  Where anyone violates these Regulations under any of the
following circumstances, the environmental protection department of the
people’s government at county level or above shall order the correction and
may concurrently fine an amount of not less than 1,000 yuan but not more than
20,000 yuan; if the circumstances are serious, a fine of not less than 20,000
yuan but not more than 100,000 yuan may be imposed upon.

    (1) discharging toxic and harmful waste water along seashores and beaches
by improper means of dilution or permeation;

    (2) discharging waste water containing high-level or meddle-level
radioactive substance into the sea;

    (3) discharging oils, acid liquid, alkaline liquid or toxic liquid into
the sea;

    (4) discarding medicines and medical instruments having lost efficacy or
use of which is prohibited along seashores and beaches;

    (5) failing to comply with the standards for discharge of pollutants and
the relevant regulations stipulated by the state or the localities when
discharging oil-polluted water, waste water carrying pathogens, heated waste
water, waste water containing low-level radioactive substance, waste water
containing harmful heavy metals or industrial waste water of other types into
the sea, or casting off residual dregs after treatment into the sea; or

    (6) without the approval of the environmental protection department of the
local people’s government at county level or above, piling up, discarding, or
disposing of solid wastes along seashores and beaches, or piling up and
disposing of wastes of other types which have not been approved in the waste
yards and treatment facilities, or piling up wastes containing hypertoxic,
radioactive, soluble or volatile substance out of doors.

    Article 28  Where an enterprise or institution fail to eliminate and
control the pollution within a time limit as stipulated, it shall pay an
amount of two times the fee for excessive discharge, and may be concurrently
fined an amount of not less than 10,000 yuan but not more than 100,000 yuan
according to the seriousness of damage and loss, or be ordered the suspension
of business or closing down.

    The environmental protection department shall decide on a fine. The
people’s government that decides on a deadline for the elimination and control
of pollution shall decide on the suspension of business or closing down; the
suspension of business or closing down of an enterprise or institution
directly under the jurisdiction of a department under the State Council shall
be subject to the approval of the State Council.

    Article 29  Where anyone fails to pay the fee for excessive discharge
according to the provisions, the environmental protection department of the
people’s government at county level or above shall, in addition to recovering
the fee and a late payment fine, impose a fine of not less than 1,000 yuan but
not more than 10,000 yuan.

    Article 30  Where anyone causes an accident of pollution damage to the
marine environment by land-sourced pollutants and has thereby caused major
economic losses, the environmental protection department of the people’s
government at county level or above shall impose a fine of an amount of
percent 30 of the direct losses but not exceeding a maximum of 200,000 yuan.

    Article 31  The environmental protection department of the people’s
government at county level may decide on a fine of not more than 10,000 yuan
and shall report a fine exceeding 10,000 yuan to the higher level’s
environmental protection department for an approval.

    The environmental protection department of the people’s government at the
level analogous to a city directly under a provincial government may decide on
a fine of not more than 50,000 yuan and shall report a fine exceeding 50,000
yuan to the higher level’s environmental protection department for an approval.

    The environmental protection department of the people’s government at the
level of province, autonomous region and municipality directly under the
central government may decide on a fine of not more than 200,000 yuan.

    All fines shall be handed over to the national treasury and neither
organization nor individual may retain or divide them up.

    Article 32  An organization or individual who has paid a fee for excessive
discharge or has been imposed upon a fine shall not exempted from
responsibilities for eliminating pollution, removing damage and compensation.

    Article 33  If a party involved does not agree with a decision on
administrative penalty, he may, within 15 days as from the date of receiving
the notification on the penalty, apply for reconsideration according to law;
if he does not agree with the decision of consideration, he may, within 15
days as from the date of receiving the decision of consideration, bring a
lawsuit before a people’s court. A party may directly bring a lawsuit before a
people’s court within 15 days as from the date of receiving the notification
on the penalty. If, upon the expiration of the period, the party has not
applied for reconsideration or has neither brought a lawsuit before a people’s
lawsuit nor performed the decision on penalty, the department that imposed the
penalty shall apply to the people’s court for compulsory enforcement.

    Article 34  Where a staff member of the environmental protection
department abuses his powers, neglects his duties or engages in malpractice
for his personal interests, the department to which he belongs or the higher
level’s department shall impose disciplinary sanction upon him; if a crime has
been constituted, he shall be investigated for criminal responsibility
according to law.

    Article 35  The people’s governments of the coastal provinces, autonomous
regions and municipalities directly under the central government may
formulated measures for the implementation in accordance with these
Regulations.

    Article 36  The environmental protection department under the State
Council shall be responsible for the interpretation of these Regulations.

    Article 37  These Regulations shall come into force as of August 1, 1990.





ADMINISTRATIVE MEASURES FOR RECEPTION OF TELEVISION PROGRAMMES TRANSMITTED VIA FOREIGN SATELLITES BY GROUND SATELLITE RECEIVING FACILITIES

Administrative Measures For Reception of Television Programmes Transmitted Via Foreign Satellites by Ground Satellite Receiving Facilities

     (Effective Date:1990.05.28–Ineffective Date:)

   Article 1. These Measures are formulated for the propose of strengthening the administration of reception of television programmes transmitted
via foreign satellites by ground satellite receiving facilities, safeguarding the economic, technological and cultural exchanges
with foreign countries and promoting the construction of socialist material civilization and spiritual civilization.

   Article 2. The term “reception of television programmes transmitted via foreign satellites by ground satellite receiving facilities” as used
in these Measures refers to the reception by units of foreign-satellite-transmitted television programmes that are directly related
to the work or business operations of these units by utilizing their existing ground satellite receiving facilities or installing
special ground satellite receiving facilities.

   Article 3. The Ministry of Radio, Film and Television shall be in charge of the administration of reception of the television programmes transmitted
via foreign satellites by ground satellite receiving facilities throughout China.

The departments (or bureaus) of radio and television of the provinces, autonomous regions and municipalities directly under the Central
Government shall be in charge of reception of the administration of the television programmes transmitted via foreign satellites
by ground satellite receiving facilities in their respective administrative areas.

   Article 4. Units of education, scientific research, journalism, finance, and economic relations and trade and other units that are really necessitated
by the needs of work may, in accordance with the provisions of these Procedures, apply to utilize their existing ground satellite
receiving facilities or install special ground satellite receiving facilities to receive television programmes transmitted via foreign
satellites.

Guest houses (or hotels) and apartments which permanently accommodate foreigners may, on condition that it is really necessary for
them to provide economic information services concerning international financial and marketing situation, apply to install special
ground satellite receiving facilities to receive television programmes transmitted via foreign satellites in accordance with these
Procedures.

Services with respect to the installation and maintenance of ground satellite receiving facilities for receiving television programmes
transmitted via foreign satellites shall be organized and provided by Chinese departments of radio and television.

   Article 5. A unit that applies to utilize its existing ground satellite receiving facilities or install special ground satellite receiving facilities
to receive television programmes transmitted via foreign satellites shall satisfy the following requirements:

(1) The work or business operations of the applying unit demands reception of television programmes transmitted via foreign satellites;

(2) The direction of reception, the content thereof and the scope of eligible viewers have been definitely specified;

(3) The applying unit possesses the technology and equipment that measure up to the standard of the state;

(4) The applying unit possesses qualified professional personnel for the administration of such programmes; and

(5) There is a sound system of administration in the applying unit.

   Article 6. A unit that intends to utilize its existing ground satellite receiving facilities or install special ground satellite receiving facilities
to receive television programmes transmitted via foreign satellites shall apply in writing to the competent department at or above
the provincial level. If consent is granted thereto upon examination, the applying unit shall proceed to submit the application for
examination and approval to the department (or bureau) of Radio and television of the province, autonomous region or municipality
directly under the Central Government where the applying unit is located. Upon approval by the department (or bureau) of radio and
television, a permit to receive television programmes transmitted via foreign satellites( hereinafter referred to as “permit”) shall
be issued to the applying unit and the case shall be reported by the examining and approving authorities to the Ministry of Radio,
Film and Television, the Ministry of Public Security and the Ministry of State Security for the record.

   Article 7. Without holding a Permit, no unit already in possession of ground satellite receiving facilities may receive television programmes
transmitted via foreign satellites, no other units may, without holding a permit, install ground satellite receiving facilities to
receive television programmes transmitted via foreign satellites.

   Article 8. A unit holding a permit shall, in receiving and making use of foreign television programmes, strictly comply with the requirements
specified in the Permit as to the purpose of reception, the content, directions and modes thereof and the scope of eligible viewers.

No permit may be tampered with the transferred. If changes in the work or business operations require alterations in the provisions
of the permit or make it no longer necessary to receive television programmes transmitted via foreign satellites, the unit concerned
shall submit in good time to the examining and approving authorities a request for the issuance of new permit or for the cancellation
of the Permit already issued and the examining and approving authorities shall report the case to the authorities concerned for the
record in accordance with the provision of the Article 6 of these Measures.

   Article 9. A unit holding a Permit may use the television programmes received from transmission via foreign satellites only in the work or business
operations of the unit itself and, unless otherwise approved by the leadership of the unit, no television programmes received from
transmission via foreign satellites may be recorded. It shall be strictly forbidden to replay the television programmes received
from transmission via foreign satellites at any domestic television stations, closed-circuit television stations or video-tape projection
centres or to transmit them by any other means.

The catalogue of the audio-visual materials recorded upon approval shall be submitted regularly for the records to the departments
of radio and television, public security and state security in the locality where the unit is situated.

The recorded audio-visual materials seal be placed for strict safekeeping by a specially appointed person.

   Article 10. Departments of radio and television, public security and state security shall be responsible for exercising supervision and inspection
over the administration of the reception of television programmes transmitted via foreign satellites by ground satellite receiving
facilities and shall have the right to stop any acts of violation of these Procedures in receiving, recording or transmitting television
programmes transmitted via foreign satellites.

   Article 11. If any unit violates the provisions in Articles 8 and 9 of these Measures, the department (or bureau) of the province, autonomous
region or municipality directly under the Central Government shall, in conjunction with the Department (or bureau) of Public Security
and the Department (Bureau) of State Security at the same level and in accordance with the seriousness of the ease, give such penalties
as issuing a warning, imposing a fine of not more than Renminbi 20,000 yuan or , in an extreme case, revoking the Permit. Where the
Permit is revoked, the ground satellite receiving facilities may also be confiscated concurrently. The department (or Bureau) of
Radio and television, the department (of bureau) of public security and the department (or bureau) of state-security of the Province,
autonomous region or municipality directly under the central Government may suggest to the competent department concerned that administrative
sanctions be imposed on the unit’s leading personnel in charge of the work and other persons directly responsible. If the violation
is so serious as to constitute a crime, criminal liability shall be investigated by the judicial department in accordance with the
law.

   Article 12. If, in violation of the provision in Article 7 of these Measures, any unit without holding a permit installs ground satellite receiving
facilities or receives television programmes transmitted via foreign satellites without authorization, the department (or bureau)
of radio and television may, in conjunction with the department (or bureau) of public security and the department (or bureau) of
state security at the same level, confiscate the ground satellite receiving facilities, with an additional imposition of fine of
not more than Renminbi 50,000 yuan, and may suggest to the competent department concerned to impose administrative sanctions on the
unit’s leading personnel in charge of the work and other persons directly responsible. Those who have recorded the programmes or
disseminated them without authorization, if the circumstances are so serious as to constitute a crime, they shall be investigated
for criminal liability by the judicial department in accordance with the law.

   Article 13. Any party who is not satisfied with the penalty of a fine or of the revocation of the permit may, within 15 days of receipt of the
decision on penalty, apply to the people’s government at the same level for reconsideration or may file a suit with the people’s
court. Any party who is not satisfied with the result of the administrative reconsideration may, within 15 days of receipt of the
decision of reconsideration, file a suit with the people’s court. If no application for reconsideration is submitted or no suit is
filed within the prescribed period, the penalty of revoking the permit shall go into effect. If no application for reconsideration
is submitted or no suit is filed within the prescribed period and yet the fine imposed is not turned in, the authorities that have
made the decision on penalty shall apply to the people’s court for compulsory execution.

   Article 14. With respect to reception of television programmes transmitted via foreign satellites by units of the armed forces and the departments
of public security and state security utilizing their existing ground satellite receiving facilities or installing special ground
satellite receiving facilities as are necessitated by national defence and public security and state security, the Headquarters of
the General Staff of the Chinese People’s Liberation Army, the Ministry of Public Security and the Ministry of State Security shall
respectively formulate measures for the administration thereof.

If foreign embassies (or consulates) stationed in China and other institutions which enjoy diplomatic privileges and immunities intend
to install ground satellite receiving facilities to receive television programmes transmitted via foreign satellites, they shall
handle the matter through diplomatic channels.

   Article 15. The Ministry of Radio, Film and Television shall be responsible for the interpretation of these Measures.

   Article 16. These Measures shall go into effect as of the date of promulgation.

    





REGULATIONS FOR SUPERVISING INTERNATIONAL-SHIPPING-AGENCY SERVICES

Regulations for Supervising International-Shipping-Agency Services

     (Effective Date:1990.03.02–Ineffective Date:)

   Article 1 The present Regulations are to strengthen supervision of international-shipping-agency services and meet the Country’s foreign economic
relations development needs and international-shipping-industry requirements.

   Article 2 The present regulations are applicable to agency services vessels for international navigation.

   Article 3 The Ministry of Communications of the People’s Republic of China (hereinafter referred to as the Ministry of Communications) is the
State organization for supervising shipping-agency services.

   Article 4 Only shipping agencies established with the approval of the Ministry of Communications are permitted to handle shipping-agency services.
The shipping agencies must be legal persons of State enterprises of the People’s Republic of China. The number of shipping agencies
permitted in each harbor shall be determined by the Ministry of Communications in the light of actual needs arising from the harbor’s
business.

   Article 5 A shipping agency shall meet the following requirements before it can be established:

(1) It operates on its own and is able to bear civil responsibility independently;

(2) Its legal representative has professional knowledge and capable of handling experience in international-maritime-shipping-agency
services;

(3) It has essential full-time personnel in business, Customs declaration, finance, foreign languages and other disciplines;

(4) It is familiar with China’s laws, regulations and requirements concerning vessels for international navigation and is able to
urge and help vessels using its agency service to observe and implement them conscientiously;

(5) It has articles of association, permanent organization, work place and necessary transport and telecommunication facilities;

(6) It has funds for its business operations.

   Article 6 An application for permission to establish a shipping agency shall be submitted in written form to the organization in charge of
communications in the locality where the agency is to be situated.

The application shall include the following items:

(1) The agency’s name (including its English translation), detailed address (in both Chinese and English), telephone, cable and telex
numbers, and post-code;

(2) Its projected business items;

(3) A certificate of its registered capital and the capital it actually has or guarantee fund;

(4) The name, age, profession, detailed experience and address of its legal representative;

(5) The agency’s articles of association, organizational structure and disposition of professional personnel.

   Article 7 The application for permission to establish a shipping agency- after being checked by the departments in charge of communications
in the locality where the agency is to be situated and the province (municipality, autonomous region) concerned-shall be submitted
to the Ministry of Communications for examination and approval. The Ministry of Communications will decide to approve or disapprove
the application after examining it in the light of the actual need and the requirements of the present Regulations.

If the application is approved, the applicant shall take alone the Ministry of Communications’ document of approval and register with
the Administration for Industry and Commerce in the locality where the agency is situated and obtain its license before it can start
operations. After starting operations, it shall submit, within 15 days, photocopies of its license to the Ministry of Communications
and the departments in charge of communications in the locality where the agency is situated and in the province concerned for the
record.

   Article 8 The Ministry of Communications may determine the scope of business of the shipping agency in the light of its scale, capital, capability,
conditions and relevant regulations.

Within the scope of business approved by the Ministry of Communications, the shipping agency may handle part or all of the following
agency operations at the request of a shipping company;

(1) Making contacts and arranging for the entry into or exit from a harbor, locking and loading or unloading of ships;

(2) Making customs declarations for ships, cargoes and containers;

(3) Handling consignment, transshipment and combined-through- transportation of cargoes and containers;

(4) Signing bills of lading, transport contracts and agreement for rapid ship dispatch or holdup of ships;

(5) Handling international-passenger shipping;

(6) Organizing freight and ordering shipping space for cargo owners;

(7) Arranging for rescue and salvage at sea and undertaking maritime and admiralty affairs;

(8) Acting as an agent in paying and collecting money and settling accounts;

(9) Handling other items of shipping agency and service.

   Article 9 When a shipping agency, which has started operations, wants to expand or change its business scope, it shall go through the formalities
of examination and approval provided for in Articles 6, 7 and 8.

   Article 10 A shipping agency shall carry out its operations on the following principles;

(1) Observing the country’s principles, policies, laws and administrative codes and regulations, safeguarding national rights and
interests and guarding State secrets;

(2) Fulfilling its responsibilities in line with the entrustment, safeguarding the mandator’s legitimate rights and interests, and
performing the committed obligations;

(3) Directing the shipping company, vessels and crew members it represents to observe relevant Chinese laws and regulations and assisting
the authorities in charge in handling matters such as violation of laws and regulations by the shipping company, vessels and crew
members;

(4) Refraining from cheating in any form and illegal competition by use of improper methods or at the cost of national interests.

   Article 11 A shipping company enjoys complete independence in selecting its shipping agency and no institution or individual shall interfere
in any way. No parties concerned must include provisions to restrict the shipping company’s freedom of choosing its shipping agency
in the relevant contract.

   Article 12 A shipping agency must abide by the standard rates or fees or charges set by the Ministry of Communication for all to follow and
must not pay sales commission openly or in disguised form.

   Article 13 Shipping agencies designated by the Ministry of Communications shall provide agency service for the following vessels;

(1) Foreign military vessels;

(2) Ships for training and scientific investigation;

(3) Passenger ships (including tour ships) and private yachts;

(4) Engineering ships and their support vessels;

(5) Other types of vessels for which shipping agencies shall be designated.

   Article 14 All shipping agencies shall report to the Ministry of Communications their business operations in the first six months of a year
and the entire year by the end of July and the end of the following February respectively. They shall send copies of the report to
the organizations in charge of communications in the localities where they are situated and to the same organizations in the relevant
provinces, municipalities directly under the central authorities and autonomous regions. The content of the reports shall include:

(1) Profits or losses in revenue and expenditure;

(2) A list of the shipping companies and vessels each agency represents, arranged in the order of their nationalities, and the total
number of vessels represented (each time a ship is represented shall be counted as one vessel);

(3) Statistics of the flow of import and export commodities carried by the vessels represented and separate lists of the amounts of
cargo transported by ships sent by the Chinese side and by ship sent by the other side;

(4) Other matters to be reported at the request of the Ministry of Communications.

   Article 15 The Ministry of Communications and local organizations in charge of communications authorized by it are enpost_titled to check on the
business operations of the shipping agencis. The agencies under investigation must truthfully report their state of affairs and provide
relevant information.

   Article 16 When shipping agencies violate the present Regulations, the Ministry of Communications and local organizations in charge of communications
authorized by it may, on the merit of the cases, mete out to them the following penalties:

(1) Warning;

(2) Circulating a notice of criticism;

(3) Fine;

(4) Ordering the offender to suspend operations and straighten itself out;

(5) Cancelling its approved qualifications for business operations.

   Article 17 Companies approved to handle shipping agency business before the present Regulations are promulgated shall, within three months after
they come into force, go through the formalities of applying to the Ministry of Communications for approval retrospectively in line
with the requirements of Article 5 and 6 of the present Regulations. Those shipping agencies which fail to go through the formalities
within the time limits shall be disqualified.

   Article 18 The Ministry of Communications is responsible for interpreting the present Regulations.

   Article 19 The present Regulations shall come into force as of April 1, 1990.

    





BASIC LAW OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION OF THE PEOPLE’S REPUBLIC OF CHINA

The National People’s Congress

Order of the President of the People’s Republic of China

No.26

The Basic Law of the Hong Kong Special Administrative Region of the People’s Republic of China which is composed of the Method for
the Selection of the Chief Executive of the Hong Kong Special Administrative Region(attachment I), the Method for the Formation of
the Legislative Council of the Hong Kong Special Administrative Region(attachment II), the National Laws to Be Applied in the Hong
Kong Special Administrative Region(attachment III) and the regional flag and the form of the regional emblem of the Hong Kong Special
Administrative Region, has been adopted at the 3rd Session of the Seventh National People’s Congress on April 4, 1990, and promulgated
hereby for implementation as of July 1, 1997.

President of the People’s Republic of China Yang ShangKun

April 4, 1990

Basic Law of the Hong Kong Special Administrative Region of the People’s Republic of China ContentsPreamble

Chapter I General Principles

Chapter II Relationship Between the Central Authorities and

the Hong Kong Special Administrative Region

Chapter III Fundamental Rights and Duties of the Residents

Chapter IV Political Structure

Section 1 The Chief Executive

Section 2 The Executive Authorities

Section 3 The Legislature

Section 4 The Judiciary

Section 5 District Organizations

Section 6 Public Servants

Chapter V Economy

Section 1 Public Finance, Monetary Affairs, Trade, Industry and Commerce

Section 2 Land Leases

Section 3 Shipping

Section 4 Civil Aviation

Chapter VI Education, Science, Culture, Sports, Religion, Labour and Social Services

Chapter VII External Affairs

Chapter VIII Interpretation and Amendment of the Basic Law

Chapter IX Supplementary Provisions

Attachment I Method for the Selection of the Chief Executive of the Hong Kong Special Administrative Region

Attachment II Method for the Formation of the Legislative Council of the Hong Kong

Attachment III National Laws to be Applied in the Hong Kong Special Administrative Region

Preamble

Hong Kong has been part of the territory of China since ancient times; it was occupied by Britain after the Opium War in 1840. On
19 December 1984, the Chinese and British Governments signed the Joint Declaration on the Question of Hong Kong, affirming that the
Government of the People’s Republic of China will resume the exercise of sovereignty over Hong Kong with effect from 1 July 1997,
thus fulfilling the long-cherished common aspiration of the Chinese people for the recovery of Hong Kong.

Upholding national unity and territorial integrity, maintaining the prosperity and stability of Hong Kong, and taking account of its
history and realities, the People’s Republic of China has decided that upon China’s resumption of the exercise of sovereignty over
Hong Kong, a Hong Kong Special Administrative Region will be established in accordance with the provisions of Article 31 of the
Constitution of the People’s Republic of China, and that under the principle of “one country, two systems,” the socialist system
and policies will not be practised in Hong Kong. The basic policies of the People’s Republic of China regarding Hong Kong have been
elaborated by the Chinese Government in the Sino-British Joint Declaration.

In accordance with the Constitution of the People’s Republic of China, the National People’s Congress hereby enacts the Basic Law
of the Hong Kong Special Administrative Region of the People’s Republic of China, prescribing the systems to be practised in the
Hong Kong Special Administrative Region, in order to ensure the implementation of the basic policies of the People’s Republic of
China regarding Hong Kong.

Chapter I General Principles

Article 1

The Hong Kong Special Administrative Region is an inalienable part of the people’s Republic of China.

Article 2

The National People’s Congress authorizes the Hong Kong Special Administrative Region to exercise a high degree of autonomy and enjoy
executive, legislative and independent judicial power, including that of final adjudication, in accordance with the provisions of
this Law.

Article 3

The executive authorities and legislature of the Hong Kong Special Administrative Region shall be composed of permanent residents
of Hong Kong in accordance with the relevant provisions of this Law.

Article 4

The Hong Kong Special Administrative Region shall safeguard the rights and freedoms of the residents of the Hong Kong Special Administrative
Region and of other persons in the Region in accordance with law.

Article 5

The socialist system and policies shall not be practised in the Hong Kong Special Administrative Region, and the previous capitalist
system and way of life shall remain unchanged for 50 years.

Article 6

The Hong Kong Special Administrative Region shall protect the right of private ownership of property in accordance with law.

Article 7

The land and natural resources within the Hong Kong Special Administrative Region shall be State property. The Government of the Hong
Kong Special Administrative Region shall be responsible for their management, use and development and for their lease or grant to
individuals, legal persons or organizations for use or development. The revenues derived therefrom shall be exclusively at the disposal
of the government of the Region.

Article 8

The laws previously in force in Hong Kong, that is, the common law, rules of equity, ordinances, subordinate legislation and customary
law shall be maintained, except for any that contravene this Law, and subject to any amendment by the legislature of the Hong Kong
Special Administrative Region.

Article 9

In addition to the Chinese language, English may also be used as an official language by the executive authorities, legislature and
judiciary of the Hong Kong Special Administrative Region.

Article 10

Apart from displaying the national flag and national emblem of the People’s Republic of China, the Hong Kong Special Administrative
Region may also use a regional flag and regional emblem.

The regional flag of the Hong Kong Special Administrative Region is a red flag with a bauhinia highlighted by five star-tipped stamens.

The regional emblem of the Hong Kong Special Administrative Region is a bauhinia in the centre highlighted by five star-tipped stamens
and encircled by the words “Hong Kong Special Administrative Region of the People’s Republic of China” in Chinese and “HONG KONG”
in English.

Article 11

In accordance with Article 31 of the Constitution of the People’s Republic of China, the systems and policies practised in the Hong
Kong Special Administrative Region, including the social and economic systems, the system for safeguarding the fundamental rights
and freedoms of its residents, the executive, legislative and judicial systems, and the relevant policies, shall be based on the
provisions of this Law.

No law enacted by the legislature of the Hong Kong Special Administrative Region shall contravene this Law.

Chapter II Relationship Between the Central Authorities and the Hong Kong Special Administrative Region

Article 12

The Hong Kong Special Administrative Region shall be a local administrative region of the People’s Republic of China, which shall
enjoy a high degree of autonomy and come directly under the Central People’s Government.

Article 13

The Central People’s Government shall be responsible for the foreign affairs relating to the Hong Kong Special Administrative Region.

The Ministry of Foreign Affairs of the People’s Republic of China shall establish an office in Hong Kong to deal with foreign affairs.

The Central People’s Government authorizes the Hong Kong Special Administrative Region to conduct relevant external affairs on its
own in accordance with this Law.

Article 14

The Central People’s Government shall be responsible for the defence of the Hong Kong Special Administrative Region.

The Government of the Hong Kong Special Administrative Region shall be responsible for the maintenance of public order in the Region.

Military forces stationed by the Central People’s Government in the Hong Kong Special Administrative Region for defence shall not
interfere in the local affairs of the Region.

The Government of the Hong Kong Special Administrative Region may, when necessary, ask the Central People’s Government for assistance
from the garrison in the maintenance of public order and in disaster relief.

In addition to abiding by national laws, members of the garrison shall abide by the laws of the Hong Kong Special Administrative Region.

Expenditure for the garrison shall be borne by the Central People’s Government.

Article 15

The Central People’s Government shall appoint the Chief Executive and the principal officials of the executive authorities of the
Hong Kong Special Administrative Region in accordance with the provisions of Chapter IV of this Law.

Article 16

The Hong Kong Special Administrative Region shall be vested with executive power. It shall, on its own, conduct the administrative
affairs of the Region in accordance with the relevant provisions of this Law.

Article 17

The Hong Kong Special Administrative Region shall be vested with legislative power.

Laws enacted by the legislature of the Hong Kong Special Administrative Region must be reported to the Standing Committee of the National
People’s Congress for the record. The reporting for record shall not affect the entry into force of such laws.

If the Standing Committee of the National People’s Congress, after consulting the Committee for the Basic Law of the Hong Kong Special
Administrative Region under it, considers that any law enacted by the legislature of the Region is not in conformity with the provisions
of this Law regarding affairs within the responsibility of the Central Authorities or regarding the relationship between the Central
Authorities and the Region, the Standing Committee may return the law in question but shall not amend it. Any law returned by the
Standing Committee of the National People’s Congress shall immediately be invalidated. This invalidation shall not have retroactive
effect, unless otherwise provided for in the laws of the Region.

Article 18

The laws in force in the Hong Kong Special Administrative Region shall be this Law, the laws previously in force in Hong Kong as provided
for in Article 8 of this Law, and the laws enacted by the legislature of the Region.

National laws shall not be applied in the Hong Kong Special Administrative Region except for those listed in Attachment III to this
Law. The laws listed therein shall be applied locally by way of promulgation or legislation by the Region.

The Standing Committee of the National People’s Congress may add to or delete from the list of laws in Attachment III after consulting
its Committee for the Basic Law of the Hong Kong Special Administrative Region and the government of the Region. Laws listed in Attachment
III to this Law shall be confined to those relating to defence and foreign affairs as well as other matters outside the limits of
the autonomy of the Region as specified by this Law.

In the event that the Standing Committee of the National People’s Congress decides to declare a state of war or, by reason of turmoil
within the Hong Kong Special Administrative Region which endangers national unity or security and is beyond the control of the government
of the Region, decides that the Region is in a state of emergency, the Central People’s Government may issue an order applying the
relevant national laws in the Region.

Article 19

The Hong Kong Special Administrative Region shall be vested with independent judicial power, including that of final adjudication.

The courts of the Hong Kong Special Administrative Region shall have jurisdiction over all cases in the Region, except that the restrictions
on their jurisdiction imposed by the legal system and principles previously in force in Hong Kong shall be maintained.

The courts of the Hong Kong Special Administrative Region shall have no jurisdiction over acts of state such as defence and foreign
affairs. The courts of the Region shall obtain a certificate from the Chief Executive on questions of fact concerning acts of state
such as defence and foreign affairs whenever such questions arise in the adjudication of cases. This certificate shall be binding
on the courts. Before issuing such a certificate, the Chief Executive shall obtain a certifying document from the Central People’s
Government.

Article 20

The Hong Kong Special Administrative Region may enjoy other powers granted to it by the National People’s Congress, the Standing Committee
of the National People’s Congress or the Central People’s Government.

Article 21

Chinese citizens who are residents of the Hong Kong Special Administrative Region shall be enpost_titled to participate in the management
of state affairs according to law. In accordance with the assigned number of seats and the selection method specified by the National
People’s Congress, the Chinese citizens among the residents of the Hong Kong Special Administrative Region shall locally elect deputies
of the Region to the National People’s Congress to participate in the work of the highest organ of state power.

Article 22

No department of the Central People’s Government and no province, autonomous region, or municipality directly under the Central Government
may interfere in the affairs which the Hong Kong Special Administrative Region administers on its own in accordance with this Law.

If there is a need for departments of the Central Government, or for provinces, autonomous regions, or municipalities directly under
the Central Government to set up offices in the Hong Kong Special Administrative Region, they must obtain the consent of the government
of the Region and the approval of the Central People’s Government.

All offices set up in the Hong Kong Special Administrative Region by departments of the Central Government, or by provinces, autonomous
regions, or municipalities directly under the Central Government, and the personnel of these offices shall abide by the laws of the
Region.

For entry into the Hong Kong Special Administrative Region, people from other parts of China must apply for approval. Among them,
the number of persons who enter the Region for the purpose of settlement shall be determined by the competent authorities of the
Central People’s Government after consulting the government of the Region.

The Hong Kong Special Administrative Region may establish an office in Beijing.

Article 23

The Hong Kong Special Administrative Region shall enact laws on its own to prohibit any act of treason, secession, sedition, subversion
against the Central People’s Government, or theft of state secrets, to prohibit foreign political organizations or bodies from conducting
political activities in the Region, and to prohibit political organizations or bodies of the Region from establishing ties with foreign
political organizations or bodies.

Chapter III Fundamental Rights and Duties of the Residents

Article 24

Residents of the Hong Kong Special Administrative Region (“Hong Kong residents”) shall include permanent residents and non-permanent
residents.

The permanent residents of the Hong Kong Special Administrative Region shall be:

(1)

Chinese citizens born in Hong Kong before or after the establishment of the Hong Kong Special Administrative Region;

(2)

Chinese citizens who have ordinarily resided in Hong Kong for a continuous period of not less than seven years before or after the
establishment of the Hong Kong Special Administrative Region;

(3)

Persons of Chinese nationality born outside Hong Kong of those residents listed in categories (1) and (2);

(4)

Persons not of Chinese nationality who have entered Hong Kong with valid travel documents, have ordinarily resided in Hong Kong for
a continuous period of not less than seven years and have taken Hong Kong as their place of permanent residence before or after the
establishment of the Hong Kong Special Administrative Region;

(5)

Persons under 21 years of age born in Hong Kong of those residents listed in category (4) before or after the establishment of the
Hong Kong Special Administrative Region; and

(6)

Persons other than those residents listed in categories (1) to (5), who, before the establishment of the Hong Kong Special Administrative
Region, had the right of abode in Hong Kong only.

The above-mentioned residents shall have the right of abode in the Hong Kong Special Administrative Region and shall be qualified
to obtain, in accordance with the laws of the Region, permanent identity cards which state their right of abode.

The non-permanent residents of the Hong Kong Special Administrative Region shall be persons who are qualified to obtain Hong Kong
identity cards in accordance with the laws of the Region but have no right of abode.

Article 25

All Hong Kong residents shall be equal before the law.

Article 26

Permanent residents of the Hong Kong Special Administrative Region shall have the right to vote and the right to stand for election
in accordance with law.

Article 27

Hong Kong residents shall have freedom of speech, of the press and of publication; freedom of association, of assembly, of procession
and of demonstration; and the right and freedom to form and join trade unions, and to strike.

Article 28

The freedom of the person of Hong Kong residents shall be inviolable.

No Hong Kong resident shall be subjected to arbitrary or unlawful arrest, detention or imprisonment. Arbitrary or unlawful search
of the body of any resident or deprivation or restriction of the freedom of the person shall be prohibited. Torture of any resident
or arbitrary or unlawful deprivation of the life of any resident shall be prohibited.

Article 29

The homes and other premises of Hong Kong residents shall be inviolable. Arbitrary or unlawful search of, or intrusion into, a resident’s
home or other premises shall be prohibited.

Article 30

The freedom and privacy of communication of Hong Kong residents shall be protected by law. No department or individual may, on any
grounds, infringe upon the freedom and privacy of communication of residents except that the relevant authorities may inspect communication
in accordance with legal procedures to meet the needs of public security or of investigation into criminal offences.

Article 31

Hong Kong residents shall have freedom of movement within the Hong Kong Special Administrative Region and freedom of emigration to
other countries and regions. They shall have freedom to travel and to enter or leave the Region. Unless restrained by law, holders
of valid travel documents shall be free to leave the Region without special authorization.

Article 32

Hong Kong residents shall have freedom of conscience.

Hong Kong residents shall have freedom of religious belief and freedom to preach and to conduct and participate in religious activities
in public.

Article 33

Hong Kong residents shall have freedom of choice of occupation.

Article 34

Hong Kong residents shall have freedom to engage in academic research, literary and artistic creation, and other cultural activities.

Article 35

Hong Kong residents shall have the right to confidential legal advice, access to the courts, choice of lawyers for timely protection
of their lawful rights and interests or for representation in the courts, and to judicial remedies.

Hong Kong residents shall have the right to institute legal proceedings in the courts against the acts of the executive authorities
and their personnel.

Article 36

Hong Kong residents shall have the right to social welfare in accordance with law. The welfare benefits and retirement security of
the labour force shall be protected by law.

Article 37

The freedom of marriage of Hong Kong residents and their right to raise a family freely shall be protected by law.

Article 38

Hong Kong residents shall enjoy the other rights and freedoms safeguarded by the laws of the Hong Kong Special Administrative Region.

Article 39

The provisions of the International Covenant on Civil and Political Rights, the International Covenant on Economic, Social and Cultural
Rights, and international labour conventions as applied to Hong Kong shall remain in force and shall be implemented through the laws
of the Hong Kong Special Administrative Region.

The rights and freedoms enjoyed by Hong Kong residents shall not be restricted unless as prescribed by law. Such restrictions shall
not contravene the provisions of the preceding paragraph of this Article.

Article 40

The lawful traditional rights and interests of the indigenous inhabitants of the “New Territories” shall be protected by the Hong
Kong Special Administrative Region.

Article 41

Persons in the Hong Kong Special Administrative Region other than Hong Kong residents shall, in accordance with law, enjoy the rights
and freedoms of Hong Kong residents prescribed in this Chapter.

Article 42

Hong Kong residents and other persons in Hong Kong shall have the obligation to abide by the laws in force in the Hong Kong Special
Administrative Region.

Chapter IV Political Structure

Section 1 The Chief Executive

Article 43

The Chief Executive of the Hong Kong Special Administrative Region shall be the head of the Hong Kong Special Administrative Region
and shall represent the Region.

The Chief Executive of the Hong Kong Special Administrative Region shall be accountable to the Central People’s Government and the
Hong Kong Special Administrative Region in accordance with the provisions of this Law.

Article 44

The Chief Executive of the Hong Kong Special Administrative Region shall be a Chinese citizen of not less than 40 years of age who
is a permanent resident of the Region with no right of abode in any foreign country and has ordinarily resided in Hong Kong for a
continuous period of not less than 20 years.

Article 45

The Chief Executive of the Hong Kong Special Administrative Region shall be selected by election or through consultations held locally
and be appointed by the Central People’s Government.

The method for selecting the Chief Executive shall be specified in the light of the actual situation in the Hong Kong Special Administrative
Region and in accordance with the principle of gradual and orderly progress. The ultimate aim is the selection of the Chief Executive
by universal suffrage upon nomination by a broadly representative nominating committee in accordance with democratic procedures.

The specific method for selecting the Chief Executive is prescribed in Attachment I “Method for the Selection of the Chief Executive
of the Hong Kong Special Administrative Region”.

Article 46

The term of office of the Chief Executive of the Hong Kong Special Administrative Region shall be five years. He or she may serve
for not more than two consecutive terms.

Article 47

The Chief Executive of the Hong Kong Special Administrative Region must be a person of integrity, dedicated to his or her duties.

The Chief Executive, on assuming office, shall declare his or her assets to the Chief Justice of the Court of Final Appeal of the
Hong Kong Special Administrative Region. This declaration shall be put on record.

Article 48

The Chief Executive of the Hong Kong Special Administrative Region shall exercise the following powers and functions:

(1)

To lead the government of the Region;

(2)

To be responsible for the implementation of this Law and other laws which, in accordance with this Law, apply in the Hong Kong Special
Administrative Region;

(3)

To sign bills passed by the Legislative Council and to promulgate laws;

To sign budgets passed by the Legislative Council and report the budgets and final accounts to the Central People’s Government for
the record;

(4)

To decide on government policies and to issue executive orders;

(5)

To nominate and to report to the Central People’s Government for appointment the following principal officials: Secretaries and Deputy
Secretaries of Departments, Directors of Bureaux, Commissioner Against Corruption, Director of Audit, Commissioner of Police, Director
of Immigration and Commissioner of Customs and Excise; and to recommend to the Central People’s Government the removal of the above-mentioned
officials;

(6)

To appoint or remove judges of the courts at all levels in accordance with legal procedures;

(7)

To appoint or remove holders of public office in accordance with legal procedures;

(8)

To implement the directives issued by the Central People’s Government in respect of the relevant matters provided for in this Law;

(9)

To conduct, on behalf of the Government of the Hong Kong Special Administrative Region, external affairs and other affairs as authorized
by the Central Authorities;

(10)

To approve the introduction of motions regarding revenues or expenditure to the Legislative Council;

(11)

To decide, in the light of security and vital public interests, whether government officials or other personnel in charge of government
affairs should testify or give evidence before the Legislative Council or its committees;

(12)

To pardon persons convicted of criminal offences or commute their penalties; and

(13)

To handle petitions and complaints.

Article 49

If the Chief Executive of the Hong Kong Special Administrative Region considers that a bill passed by the Legislative Council is not
compatible with the overall interests of the Region, he or she may return it to the Legislative Council within three months for reconsideration.
If the Legislative Council passes the original bill again by not less than a two-thirds majority of all the members, the Chief Executive
must sign and promulgate it within one month, or act in accordance with the provisions of Article 50 of this Law.

Article 50

If the Chief Executive of the Hong Kong Special Administrative Region refuses to sign a bill passed the second time by the Legislative
Council, or the Legislative Council refuses to pass a budget or any other important bill introduced by the government, and if consensus
still cannot be reached after consultations, the Chief Executive may dissolve the Legislative Council.

The Chief Executive must consult the Executive Council before dissolving the Legislative Council. The Chief Executive may dissolve
the Legislative Council only once in each term of his or her office.

Article 51

If the Legislative Council of the Hong Kong Special Administrative Region refuses to pass the budget introduced by the government,
the Chief Executive may apply to the Legislative Council for provisional appropriations. If appropriation of public funds cannot
be approved because the Legislative Council has already been dissolved, the Chief Executive may, prior to the election of the new
Legislative Council, approve provisional short-term appropriations according to the level of expenditure of the previous fiscal year.

Article 52

The Chief Executive of the Hong Kong Special Administrative Region must resign under any of the following circumstances:

(1)

When he or she loses the ability to discharge his or her duties as a result of serious illness or other reasons;

(2)

When, after the Legislative Council is dissolved because he or she twice refuses to sign a bill passed by it, the new Legislative
Council again passes by a two-thirds majority of all the members the original bill in dispute, but he or she still refuses to sign
it; and

(3)

When, after the Legislative Council is dissolved because it refuses to pass a budget or any other important bill, the new Legislative
Council still refuses to pass the original bill in dispute.

Article 53

If the Chief Executive of the Hong Kong Special Administrative Region is not able to discharge his or her duties for a short period,
such duties shall temporarily be assumed by the Administrative Secretary, Financial Secretary or Secretary of Justice in this order
of precedence.

In the event that the office of Chief Executive becomes vacant, a new Chief executive shall be selected within six months in accordance
with the provisions of Article 45 of this Law. During the period of vacancy, his or her duties shall be assumed according to the
provisions of the preceding paragraph.

Article 54

The Executive council of the Hong Kong Special Administrative Region shall be an organ for assisting the Chief Executive in policy-making.

Article 55

Members of the Executive Council of the Hong Kong Special Administrative Region shall be appointed by the Chief Executive from among
the principal officials of the executive authorities, members of the Legislative Council and public figures. Their appointment or
removal shall be decided by the Chief Executive. The term of office of members of the Executive Council shall not extend beyond the
expiry of the term of office of the Chief Executive who appoints them.

Members of the Executive Council of the Hong Kong Special Administrative Region shall be Chinese citizens who are permanent residents
of the Region with no right of abode in any foreign country.

The Chief Executive may, as he or she deems necessary, invite other persons concerned to sit in on meetings of the Council.

Article 56

The Executive Council of the Hong Kong Special Administrative Region shall be presided over by the Chief Executive.

Except for the appointment, removal and disciplining of officials and the adoption of measures in emergencies, the Chief Executive
shall consult the Executive Council before making important policy decisions, introducing bills to the Legislative Council, making
subordinate legislation, or dissolving the Legislative Council.

If the Chief Executive does not accept a majority opinion of the Executive Council, he or she shall put the specific reasons on record.

Article 57

A Commission Against Corruption shall be established in the Hong Kong Special Administrative Region. It shall function independently
and be accountable to the Chief Executive.

Article 58

A Commission of Audit shall be established in the Hong Kong Special Administrative Region. It shall function independently and be
accountable to the Chief Executive.

Section 2 The Executive Authorities

Article 59

The Government of the Hong Kong Special Administrative Region shall be the executive authorities of the Region.

Article 60

The head of the Government of the Hong Kong Special Administrative Region shall be the Chief Executive of the Region.

A Department of Administration, a Department of Finance, a Department of Justice, and various bureaux, divisions and commissions shall
be established in the Government of the Hong Kong Special Administrative Region.

Article 61

The principal officials of the Hong Kong Special Administrative Region shall be Chinese citizens who are permanent residents of the
Region with no right of abode in any foreign country and have ordinarily resided in Hong Kong for a continuous period of not less
than 15 years.

Article 62

The Government of the Hong Kong Special Administrative Region shall exercise the following powers and functions:

(1)

To formulate and implement polici

REGULATIONS OF THE STATE COUNCIL FOR ENCOURAGEMENT OF INVESTMENT BY OVERSEAS CHINESE AND COMPATRIOTS FROM HONG KONG AND MACAO

PROVISIONS OF THE HAINAN SPECIAL ECONOMIC ZONE FOR LAND LEASING AND TRANSFERENCE OF LEASEHOLD

Provisions of the Hainan Special Economic Zone for Land Leasing and Transference of Leasehold

     (Effective Date:1990.03.26–Ineffective Date:)

CONTENTS

CHAPTER I GENERAL PRINCIPLES

CHAPTER II LEASING OF USE-RIGHTS TO STATE-OWNED LAND

CHAPTER III TRANSFERENCE OF LEASEHOLD ON STATE-OWNED LAND

CHAPTER IV SUBLEASING OF LEASEHOLD ON STATE-OWNED LAND

CHAPTER V MORTGAGING OF STATE-OWNED LAND USE-RIGHTS

CHAPTER VI TRANSFERENCE, RENTING OUT AND MORTGAGING OF USE-RIGHTS TO ADMINISTRATIVE – HELD LAND

CHAPTER VII LEASING AND TRANSFERENCE OF RIGHT TO USE COLLECTIVE-OWNED LAND

CHAPTER VIII LEGAL LIABILITIES

CHAPTER IX SUPPLEMENTARY PULES

CHAPTER I GENERAL PRINCIPLES

   Article 1. In consideration of the needs of the Hainan Special Economic Zone (SEZ) for development and construction and for the rational development,
use, management and protection of land, the provincial People’s Government adopts the Provisions of the Hainan Special Economic Zone
for Land Leasing and Transference of leasehold (referred to as Provisions hereinafter) in accordance with the Law of Land Administration
of the People’s Republic of China and other related laws and regulations and with reference to the actual conditions of the SEZ.

   Article 2. Land referred to in the Provisions comprises the developed and undeveloped arable land, forest land, grassland, surface waters, shallows,
barren mountains, wasteland and land sites for construction.

   Article 3. On the principle of separation of land use-rights from land ownership, the SEZ practices a tenured land lease system which allows
transference of leaseholds. Public installations and underground resources, treasure troves and hidden wealth are not included in
the sphere of land leasing and leasehold transference as referred to in the provisions.

Land under lease or be further transferred still belong to the ownership of the state of the People’s Republic of China or the collectives
of laboring masses.

   Article 4. Businessmen from outside the People’s Republic of China and enterprises, institutions, government organs, social bodies and other
establishments and individuals at home can acquire land use-rights in accordance with the Provisions and by performing the procedures
required for land leasing and transference of leasehold.

The land lessee may, in accordance with the Provisions, transfer, sublease or mortgage the landuse-rights to others, or use the right
as contributing factors in establishing joint equity or cooperative ventures with other units or individuals.

Activities of land development, use

    





DECISION CONCERNING THE AMENDMENT TO THE LAW ON SINO-FOREIGN EQUITY JOINT VENTURES

RAILWAY LAW OF THE PEOPLE’S REPUBLIC OF CHINA

The Standing Committee of the National People’s Congress

Order of the President of the People’s Republic of China

No.32

The Railway Law of the People’s Republic of China which has been adopted at the 15th Meeting of the Standing Committee of the Seventh
National People’s Congress on September 7, 1990 is now promulgated and shall enter into force as of May 1, 1991.

President of the People’s Republic of China Yang Shangkun

September 7, 1990

Railway Law of the People’s Republic of China ContentsChapter I General Provisions

Chapter II Railway Transport Business

Chapter III Railway Construction

Chapter IV Safety and Protection of Railway

Chapter V Legal Responsibility

Chapter VI Supplementary Provisions

Chapter I General Provisions

Article 1

This Law is formulated for the purpose of ensuring smooth progress of railway transport and railway construction in order to meet
the demands of socialist modernization and people’s livelihood.

Article 2

Railways as referred to in this Law include State railways, local railways, industrial railways and railway private sidings.

State railways refer to the railways administered by the competent department in charge of railways under the State Council.

Local railways refer to the railways administered by local people’s governments.

Industrial railways refer to the railways administered by enterprises or other units to provide in-house transport services.

Railway private sidings refer to the branch railway lines which are administered by enterprises or other units and are connected to
a State railway line or any other railway line.

Article 3

The competent department in charge of railways under the State Council shall be responsible for railway affairs throughout the country,
implement over the State railway network a transport control system which is highly centralized and under unified command, and shall
provide guidance for, coordination among, supervision over and assistance to local railways, industrial railways and railway private
sidings.

A State railway transport enterprise shall perform the administrative functions as authorized by relevant laws and administrative
rules and regulations.

Article 4

The State shall focus its effort on the development of State railways and provide substantial aid and support to the development of
local railways.

Article 5

A railway transport enterprise must adhere to the socialist orientation in operation and management, pursue the aim of serving the
people, improve operation and management, better the work style, and enhance the transport service quality.

Article 6

Citizens shall have the obligation to take good care of railway installations. Damage to railway installations and disruption of normal
railway traffic shall be prohibited.

Article 7

Local people’s governments at various levels along the railway lines shall assist the railway transport enterprises in ensuring safe
and uninterrupted railway traffic, good social order at stations and on trains, intactness of railway installations, and smooth progress
of railway construction.

Article 8

Regulations governing the technical operations of State railways shall be formulated by the competent department in charge of railways
under the State Council, while rules governing the local railways and industrial railways shall be drawn up with reference to the
regulations governing the technical operations of State railways.

Article 9

The State shall encourage scientific and technological research on railways in order to heighten their scientific and technical level.
Any unit or individual that has achieved outstanding results in such research shall be awarded.

Chapter II Railway Transport Business

Article 10

All railway transport enterprises shall guarantee safe transport of passengers and goods and punctual train arrivals.

Article 11

A railway transport contract shall be an agreement in which the mutual rights and obligations between the railway transport enterprise
and the passenger(s) or shipper(s) are defined.

A passenger ticket, a luggage, parcel or goods consignment note shall represent a contract or a constituent part of a contract.

Article 12

A railway transport enterprise shall ensure the passenger of riding on a train of the number and on the date stated on the passenger’s
ticket, and of arriving at the destination stated on the same ticket. In case of the passenger being unable to ride on the train
of the number and on the date stated on the passenger’s ticket owing to the liability of the railway transport enterprise, the said
enterprise shall, as requested by the passenger, refund the total sum of the ticket fare or make arrangements for the passenger to
ride on another train to the same destination.

Article 13

A railway transport enterprise shall take effective measures to serve the passengers well in a courteous, attentive, warm and cultured
manner, keep the station premises and passenger cars clean and sanitary, provide boiled drinking water and good catering services
on the train.

A railway transport enterprise shall take measures to protect the environment along railway lines from pollution.

Article 14

Any passenger boarding a train shall hold a valid passenger ticket. Any passenger riding on a train without a ticket or with an invalid
ticket shall pay the ticket fare on the train plus such additional charges as specified in relevant railway regulations; the railway
transport enterprise may order any passenger who refuses to do so to leave the train.

Article 15

The State railways and local railways shall plan the goods transport on the principle of promoting production and invigorating circulation.

Priority in transport shall be given to materials for emergency rescue or disaster relief and other goods and materials that warrant
such priority according to relevant regulations of the State.

Where goods and materials to be carried by local railways need to be carried by State railways, the transport plan therefore shall
be incorporated in the transport plan of State railways.

Article 16

A railway transport enterprise shall carry the goods, parcels and luggage to their destinations in observance of the time limit stipulated
in the contract or within the time limit prescribed by the competent department in charge of railways under the State Council. For
any overdue goods, parcel, or luggage, the railway transport enterprise shall be liable to indemnity for breach of contract.

In case a railway transport enterprise fails to deliver the goods, parcels or luggage to their consignee or owner passenger after
thirty days in excess of the time limit, the shipper, consignee or passenger concerned shall be enpost_titled to claim compensation for
loss from the railway transport enterprise.

Article 17

A railway transport enterprise shall be liable to pay compensation for loss, short-delivery, deterioration, contamination, or damage
that might have occurred to the shipped goods, parcels or luggage as of the moment the railway transport enterprise undertakes the
conveyance until the moment of their delivery.

(1)

Any shipper or passenger who has voluntarily applied for insured transport of valued articles shall be enpost_titled to an indemnity on
a par with the actual loss but not exceeding the insured value.

(2)

Indemnity for goods conveyed not in the manner of insured transport of valued articles shall be on a par with the actual loss but
not exceeding the liability limit laid down by the competent department in charge of railways under the State Council. If the loss
is caused by deliberate action or grave fault on the part of the railway transport enterprise, the above-stated liability limit shall
not apply but the indemnity shall be made in conformity with the actual loss.

Any shipper or passenger may, on voluntary basis, buy insurance policy for transport of goods at an insurance agency and the insurance
agency shall be liable for indemnity in conformity with the agreement as stated in the insurance contract.

Any shipper or passenger may, on voluntary basis, enter into insured transport of valued goods or buy insurance policy for transport
of goods, or may do without. No shipper or passenger shall be compelled in any manner to enter into insured transport or buy transport
insurance policy.

Article 18

A railway transport enterprise shall not be liable to indemnity for any loss, in relation to goods, parcels or luggage, caused by
the following reasons:

(1)

Force majeure.

(2)

Natural property of the goods or articles contained in the parcel or luggage, or natural wear and tear.

(3)

Fault on the part of the shipper, consignee or passenger concerned.

Article 19

Any shipper shall truthfully fill in the goods consignment note, and the railway transport enterprise shall be authorized to check
the description, weight and quantity of the goods and parcels as written on the note. Upon check-up, if the reported disagrees with
the real contents, the shipper shall pay for the check-up expenses; if the reported agrees with the real contents, the check-up expenses
shall be borne by the railway transport enterprise, and any damage incurred from the check-up with the contents of the goods or parcels
as a result of the check shall be compensated for by the same enterprise.

Any deficiency in payment of transport charges and other fees as a result of untrue declaration of the goods shipped shall be made
up by the shipper concerned, and the railway transport enterprise shall, according to the relevant regulations of the competent department
in charge of railways under the State Council, collect from the shipper extra transport charges and other fees.

Article 20

Goods consigned for shipment that need packing shall be packed by the shipper in conformity with the national standards for packing
or the trade standards for packing; where both these standards are lacking, the shipper shall pack the goods properly so that the
goods would not suffer any damage due to improper packing.

A railway transport enterprise shall, with regard to the perishable goods and living animals the shipment of which it has undertaken,
in accordance with the relevant regulations of the competent department in charge of railways under the State Council and the contracted
agreement.

Article 21

Upon the arrival of shipped goods, parcels or luggage, the relevant consignee or passenger shall claim them in time in observance
of the time limit set by the competent department in charge of railways under the State Council and at the same time pay any transport
charges and other fees that the shipper has not paid or underpaid; if such time limit is exceeded, the consignee or passenger shall
pay due charges for storage in accordance with relevant regulation.

Article 22

Any shipped goods that are not claimed for thirty days as of the date of issuing the notice of claim for the shipped goods, or that
the consignee has informed the railway transport enterprise in writing of refusing to accept shall be sold off by the railway transport
enterprise on condition that the enterprise has served the shipper a notice about such and received no acknowledgement for thirty
days as of the date of receipt of the notice. The amount of money obtained from the selling, if there is any left after deduction
of storage charges and other deductible fees, shall be refunded to the shipper, or turned over to the state treasury provided it
is not refundable nor claimed by the shipper within one hundred and eighty days as of the date of disposal.

Any parcel not claimed for ninety days as of the date of issuing the notice of claim for such goods by the railway transport enterprise
concerned and any luggage not claimed for ninety days as of its arrival at destination may be disposed of by the said enterprise
provided that the latter has issued a public announcement thereupon and received no claim for the said parcel or luggage ninety days
after the issuance. The amount of money obtained from the selling, if there is any left after deduction of storage charges and other
deductible fees, may be recovered by the shipper, consignee or passenger concerned within one hundred and eighty days as of the date
of the selling, or shall be turned over to the state treasury if no claim for recovery is received within the same time limit.

Dangerous goods and articles the transport of which is restricted according to relevant regulations shall be handed over to the public
security authority or department concerned for disposition and shall not be sold off by the railway transport enterprise itself.

For articles which are not suitable for storage over a long period of time, the deadline for their disposal may be shortened in accordance
with relevant provisions set down by the competent department in charge of railways under the State Council.

Article 23

Passengers, shippers or consignees who are held responsible for any loss of property of a railway transport enterprise shall be liable
to compensation for the loss.

Article 24

The State shall encourage industrial railways to take up also public passenger and goods transport services on a commercial basis;
the State shall promote shared use of railway private sidings by related units on the basis of agreed terms.

Any industrial railway which will take up also public passenger or goods (or both) transport services on commercial basis shall report
such to and obtain approval from the people’s government of the relevant province, autonomous region or municipality directly under
the Central Government.

To any industrial railway undertaking commercial public passenger or goods transport, the provisions governing railway transport enterprises
stipulated in this Law shall apply.

Article 25

Passenger fares and tariffs for goods, parcels and luggage shall be worked out by the competent department in charge of railways under
the State Council and submitted by the latter to the State Council for approval. The items and rates of miscellaneous charges for
passenger and goods transport on State railways shall be laid down by the competent department in charge of railways under the State
Council. Tariffs applicable to specified operating lines, specified goods and provisional operating lines of the State railways shall
be worked out by the competent department in charge of railways under the State Council by agreement with the competent department
in charge of prices under the State Council.

Passenger fares, goods tariffs and the items and rates of miscellaneous charges for passenger and goods transport on local railways
shall be laid down by the competent department in charge of prices under the people’s government of the relevant province, autonomous
region or municipality directly under the Central Government in conjunction with the agency authorized by the competent department
in charge of railways under the State Council.

Passenger fares, goods tariffs and the items and rates of miscellaneous charges for passenger and goods transport on industrial railways
which also run public passenger and goods transport on a commercial basis, and the rates of charges for sharing the use of railway
private sidings, shall be laid down by the competent department in charge of prices under the people’s government of the relevant
province, autonomous region or municipality directly under the Central Government.

Article 26

Passenger fares, tariffs for goods, parcels and luggage, and the items and rates of miscellaneous charges for passenger and goods
transport, must be announced by public notice; the same shall not go into effect before being so announced.

Article 27

Counterfeiting or alterations of tickets or other certificates which are printed and used in relation to passenger and goods transport
by State railways, local railways and industrial railways shall be prohibited.

Reselling of passenger tickets or other railway transport certificates for profit shall be prohibited.

Article 28

Relevant regulations of the State concerning articles the transport of which is prohibited or restricted must be observed in consigning
shipment and carrying goods, parcels or luggage.

Article 29

Domestic through transport of passenger and goods between railway transport enterprises and highway, air or waterway transport enterprises
must be handled in accordance with relevant provisions laid down by the State, or in the absence of such provisions, in accordance
with the agreement reached by all parties concerned.

Article 30

Participation of State or local railways in international through transport must obtain approval from the State Council.

Article 31

Military transport on railways shall be handled in accordance with relevant provisions laid down by the State.

Article 32

In the event of dispute over a railway transport contract, the railway transport enterprise and the involved shipper, consignee or
passenger may settle the dispute by way of mediation; or if a party does not wish to settle the dispute by mediation or the mediation
proves unsuccessful, the railway transport enterprise and the involved shipper, consignee or passenger may, in accordance with relevant
provisions on arbitration included in the contract or with the written agreement on arbitration reached afterwards, apply for arbitration
to an arbitration agency designated by the State.

Where a party does not perform the award of the arbitration agency within the prescribed time limit, the other party may apply to
a people’s court for compulsory execution.

Where no provision on arbitration is made in the contract and no written agreement on arbitration has been reached afterwards, either
of the parties may bring a suit in a people’s court.

Chapter III Railway Construction

Article 33

Planning for the expansion of railway network shall be based on the demands of national economy, social development and the building
up of national defence and shall be coordinated with the development plans of other modes of transport.

Article 34

The construction plan of local railways, industrial railways or railway private sidings must conform to the national railway development
plan and must obtain approval from the competent department in charge of railways under the State Council or an agency authorized
by this department.

Article 35

The planning of any railway track, station, junction area an other related facilities within a planned urban area of a city shall
be brought in line with the overall plan of this city.

The land-use plan for railway construction shall be incorporated in the relevant overall land-use plan. Land needed for future expansion
or construction of new railway lines shall be allotted by the people’s government at or above the county level in its overall land-use
plan.

Article 36

The use of land for railway construction shall be handled in accordance with provisions of relevant laws and administrative rules
and regulations.

The relevant local people’s government shall support railway construction and assist the railway transport enterprise to carry out
land requisition for railway construction, to dismantle or move any structures or inhabitants thereon and make due arrangements for
them.

Article 37

Any railway transport enterprise shall, having acquired the right to use any land for railway construction, use the land for the approved
purpose and shall not use the land for any other purposes without proper authorization; no other unit or individual may occupy or
seize the said land.

The department of land administration under the local people’s government at or above the county level shall order any unit or individual
that has occupied or seized the land appropriated for railway construction to stop doing so and to compensate the railway transport
enterprise concerned for the loss.

Article 38

The standard railway gauge shall be 1435mm. Standard gauge must be adopted in the construction of a new State railway.

For narrow-gauge railways, the gauge shall be 762mm or 1000mm.

Other technical requirements for new railways and reconstructed railways shall conform to relevant national standards or trade standards.

Article 39

A railway line, after its completion of construction, may, in accordance with the procedures laid down by the State for capital construction,
be put into operation only after it has been duly examined and accepted as satisfactory.

Article 40

At the crossing point of a railway and a highway, priority shall be given to the installation of a grade separation structure; at
a crossing where a grade separation structure is not installed, a level crossing or a pedestrian cross-walk may be laid in conformity
with relevant provisions of the State. The setting up of a level crossing or a pedestrian cross-walk within a planned urban area
shall be decided by the railway transport enterprise, or the relevant enterprise owning the relating industrial railways or private
sidings, or any other relevant unit jointly with the department in charge of city planning.

The removal of an established level crossing or pedestrian cross-walk shall be decided by the railway transport enterprise, or the
relevant enterprise owning the relating industrial railway or private siding, or any other relevant unit by agreement with the local
people’s government.

Article 41

Any railway bridge to be built across a water course shall conform to the requirements for flood prevention, navigation and flow of
current as laid down by the State in relevant regulations.

Chapter IV Safety and Protection of Railways

Article 42

A railway transport enterprise must strengthen the control and protection of railways, regularly inspect and repair railway transport
facilities so as to ensure intactness of these facilities and guarantee safe conveyance of passengers and goods.

Article 43

The railway security organ and the local security authority shall jointly keep the public order along railway lines, in stations and
on trains, while dividing up the work in such a way that the public order in stations as well as on trains shall be under the charge
of the railway security organ, and the public order along railway lines shall be under the joint charge of the local security authority
and the railway security organ, with the local security authority in the main.

Article 44

The competent department in charge of electric power shall guarantee the power supply for railway traction and critical loads arising
in railway operation. The scope of power supply for critical loads arising in railway operation shall be defined by the competent
department in charge of railways under the State Council through consultation with the competent department in charge of electric
power under the State Council.

Article 45

Hill slopes beyond the right-of-way of and flanking the railway line shall be conditioned as key territories for water and soil conservation
by the relevant local people’s government. Slopes on top of railway tunnels shall be conditioned by the local people’s government
with due assistance of the relevant railway transport enterprise. Hill slopes within the railway line’s right-of-way shall be conditioned
by the railway transport enterprise.

Article 46

In case there is any such activity as building an uphill pond, a reservoir, or a dyke or dam; excavating a water course, a trunk channel
or other waterway; stone-quarrying; sand-fetching; or digging a well for water, which is carried out within a specific distance from
both sides of a railway line, bridge or culvert, and which might cause adverse effects on the stability of the railway subgrade or
endanger the railway bridge or culvert, the relevant local people’s government at or above the county level shall order such activities
to be ceased, and set a time limit for restoring the site to its original state or to take necessary safety and protection measures.

Unless the approval of the relevant railway transport enterprise is obtained and proper safety and protection measures are provided,
the erecting of power or communications lines over or across a railway line, the laying of buried cables or pipes along a railway
subgrade, and the digging of tunnels through or under a railway embarkment shall not be allowed.

Building of any structures or planting of any trees which might hinder a good watch from the driver’s cabin over the railway line
shall not be allowed at the inner side of a curve or at a place close to a level crossing or a pedestrian cross-walk. In case any
building, such as afore-mentioned, has been erected, the local people’s government at or above the county level shall order the builder
to remove the building, and if any tree, such as afore-mentioned, has been planted, the said government shall order the relevant
unit or individual to remove, trim or cut down the tree within a specified period of time.

Any unit or individual that violates the provisions stated in the preceding three paragraphs shall be liable to compensation for any
loss thereby suffered by the relevant railway transport enterprise.

Article 47

It shall be prohibited to install a level crossing or a pedestrian cross-walk without proper authorization.

Necessary signs and protective installations must be provided at level crossings or pedestrian cross-walks in conformity with relevant
regulations.

Pedestrians and vehicles must, when passing a railway level crossing or a pedestrian cross-walk, observe the relevant regulations
governing passage over crossings.

Article 48

Transport of dangerous goods must be handled in conformity with the regulations formulated by the competent department in charge of
railways under the State Council. It shall be forbidden to consign for shipment any dangerous article under the name of a non-dangerous
article.

Passengers shall be prohibited from carrying any dangerous article into a railway station or a train. Railway security personnel or
any such railway worker designated by the competent department in charge of railways under the State Council shall, for the safety
of transher have the right to inspect the article or articles carried by any passenger. Any railway worker when carrying out transport
safety inspection shall bear an on-duty identification sign.

A list of the descriptions of dangerous articles shall be specified and promulgated by the competent department in charge of railways
under the State Council.

Article 49

Any railway worker shall have the right to stop any person who is about to damage or destroy, or cause to move or shift, any railway
signalling installation or other facilities for traffic operation, and any person who is about to place obstacle(s) on the railway
track. The railway worker may catch such a person and hand him over to the public security authorities.

Article 50

It shall be forbidden for anybody to make a covert ride on a goods train, to climb up or hang on to a train in motion, or to hit or
strike a train. Any railway worker shall have the right to stop such a person.

Article 51

It shall be forbidden to walk, sit or lie on a railway track. Any railway worker shall have the right to stop such conduct.

Article 52

It shall be forbidden to graze livestock within twenty metres of either side of a railway track. Any railway worker shall have the
right to stop such conduct.

Article 53

Any railway worker shall have the right to stop persons who have gathered up to intercept a train, or to assault a railway traffic
control office. The responsible public security personnel on site shall have the right to order those persons who refuse to stop
such action to disperse; and if such a demand is refused, the responsible public security personnel on site shall, according to relevant
regulations established by the State, choose to force them to disperse by necessary means. Those who refuse to obey shall be taken
away from the site by force or detained.

Article 54

Any railway worker shall have the right to stop those persons who try to start a riot and rob goods and materials being transported
on railways and may seize them and hand them over to the public security authorities; the public security personnel on site may detain
them.

Article 55

Any railway worker shall have the right to stop any person who is picking quarrels and stirring up troubles on board a train causing
public disorder or jeopardizing the physical being or property of other passengers; the railway security personnel may detain such
person.

Article 56

If a certain kind of infectious disease which demands quarantine as stated in legal provisions is discovered in a railway station
or on board a passenger train, the railway sanitation and quarantine authority shall carry out the necessary quarantine process;
the local sanitation and quarantine authority shall render assistance to the former upon request.

The quarantine of goods in transport shall be carried out in accordance with relevant regulations of the State.

Article 57

In case of any railway traffic accident, the railway transport enterprise shall act in accordance with relevant provisions about the
investigation and handling of accidents stipulated by the State Council and its relevant competent department, and ensure the timely
restoration of normal traffic; no unit or individual shall hinder the re-opening of the railway track and train operation.

Article 58

A railway transport enterprise shall be liable to compensation for any personal injury or fatality due to traffic accident or other
operational accident. It shall hold no liability for compensation for any personal injury or fatality due to force majeure or due
to the fault of the aggrieved person oneself.

Personal injury or fatality resulting from passing the railway track at a level crossing or via a pedestrian cross-walk in violation
of relevant regulations or from walking, sitting or lying on the railway track shall be deemed injury or fatality caused by the fault
of the aggrieved person one-self.

Article 59

Major bridges and tunnels of State railways shall be guarded by the Chinese People’s Armed Police Forces.

Chapter V Legal Responsibility

Article 60

Any person who, in violation of relevant provisions of this Law, has carried any dangerous article into a railway station or on board
a train or has consigned for shipment any dangerous article under a name of a non-dangerous article thus causing a grave accident,
shall be investigated for criminal responsibility in accordance with Article 115 of the Criminal Law. Any enterprise, institution,
State organ, or public organization which commits the crime as specified in this Article shall be imposed a fine, and the person
in charge of any of the aforesaid unit and the person or persons immediately responsible for the offence shall be investigated for
criminal responsibility.

Any person who carries dynamite or detonator or who illegally carries firearms, bullets or controlled knives into a railway station
or on board a train shall be investigated for criminal responsibility with reference to Article 163 of the Criminal Law.

Article 61

Any person who intentionally damages or destroys or causes to move or shift any railway signalling installation, or places on the
railway track obstacle(s) that might lead to the overturning of a train without having caused serious consequences shall be investigated
for criminal responsibility in accordance with Article 108 of the Criminal Law; any person who acts in the aforesaid manner causing
serious consequences shall be investigated for criminal responsibility in accordance with Article 110 of the Criminal Law.

Article 62

Any person who steals spare

1...456Page 5 of 6

CONSTITUTION ACT, 1982 – page 22

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

CONSTITUTION ACT, 1982 – page 21

CONSTITUTION ACT, 1982 – page 20

CONSTITUTION ACT, 1982 – page 19

CONSTITUTION ACT, 1982 – page 18

Disclaimer: There is no confidential attorney-client relationship formed by using Laws.com website and information provided on this site is not legal advice. For legal advice, please contact your attorney. Attorneys listed on this website are not referred or endorsed by this website. By using Laws.com you agree to Laws.com Terms Of Use.
Facebook
© LAWS.COM NETWORK 2023-2024