1998

OFFICIAL REPLY OF THE STATE ADMINISTRATION OF TAXATION ON THE ISSUE OF OVERDUE-RENT-BAD-DEBT-RESERVE TRANSFER FOR LEASING ENTERPRISES WITH FOREIGN INVESTMENT (EXCERPT)

The State Taxation Bureau

Official Reply of the State Administration of Taxation on the Issue of Overdue-rent-bad-debt-reserve Transfer for Leasing Enterprises
with Foreign Investment (excerpt)

GuoShuiHanFa [1992] No.1531

November 3, 1992

I.

The document coded GuoShuiHanFa [1990] No.1174 still shall apply to six-month overdue rent in 1991 for leasing enterprises with foreign
investment, but no bad debt reserve is to arise thereupon. Nor should it be deducted from the taxable income of the period when it
gets confirmed as bad debt in later years.

II.

The overdue rent arising after the year of 1992 should, on the accrual basis, be included in the taxable income of the corresponding
period, and Article 25 , Article 26 and Article 27 of the Rules for the Implementation of the Tax Law can apply to the treatment
of the above-mentioned rent-to-bad-debt transfer and of the bad debt loss.



 
The State Taxation Bureau
1992-11-03

 







PROCEDURES OF BEIJING MUNICIPALITY FOR THE IMPLEMENTATION OF THE PROVISIONAL REGULATIONS ON THE LEASING AND SUBLEASING OF URBAN STAGEOWNED LAND

Procedures of Beijing Municipality for the Implementation of the Provisional Regulations of the PRC on the Leasing and Subleasing
of Urban Stageowned Land

     (Effective Date:1992.05.27–Ineffective Date:)

CHAPTER I GENERAL PRINCIPLES

CHAPTER II LEASING OF LAND-USE RIGHTS

CHAPTER III SUBLEASING OF LAND-USE RIGHTS

CHAPTER IV RENTING OF LAND-USE RIGHTS

CHAPTER V MORTGAGE OF LAND-USE RIGHTS

CHAPTER VI TERMINATION OF LAND-USE RIGHTS

CHAPTER VII APPROPRIATION OF LAND-USE RIGHTS

CHAPTER VIII SUPPLEMENTARY ARTICLES

CHAPTER I GENERAL PRINCIPLES

   Article 1. These procedures are formulated to help implement the Provisional Regulations of the People’s Republic of China on the Leasing and
Subleasing of Urban State-owned Land (hereinafter referred to as Regulations) according to the actual conditions of the city.

   Article 2. The Regulations and these Procedures are effective with respect to the leasing and subleasing of urban State-owned land within the
administrative areas of the city.

Urban State-owned land referred to in these Procedures denotes land owned by the whole people (hereinafter referred to as land) in
the city proper, its suburbs, cities and townships in the outer suburbs (townships with an administrative status) and industrial
and mining areas.

   Article 3. All enterprises, other organizations and individuals in and out of the People’s Republic of China, except otherwise regulated, can
obtain land-use rights and engage in land development, utilization and management in accordance with stipulations of the Regulations
and these Procedures.

   Article 4. Land-use right obtained by a user by law can be subleased, rented out or mortgaged or to be used for other economic activities within
the term of the land lease, and legitimate rights and interests of the user are accordingly protected by law.

   Article 5. The development, utilization and management of the land by the user should be carried out in observation of laws, regulations and
rules and not in violation of public interests.

   Article 6. The City Land Administration Bureau exercises by law the supervision and inspection of the leasing, subleasing, renting out, mortgage
and termination of land-use rights throughout the city. The supervision and inspection of the leasing, subleasing, renting out, mortgage
and termination of land-use rights to land for city and township construction already under development and put to use will be carried
out by the city Real Estate Administration Bureau in accordance with the city’s unified stipulations and requirements in land administration,

The City Land Administration Bureau is in charge of leases of undeveloped land. The City Real Estate Administration Bureau is in charge
of work concerning the subleasing, renting out, mortgage and termination of land leases. The City Real Estate Administration Bureau
is also in charge of the leasing, subleasing, renting out, mortgage and termination of use of land that has been under development
and use for city and township.

CHAPTER II LEASING OF LAND-USE RIGHTS

   Article 7. The locations, areas, usages, terms and other conditions of the tracts of land for lease are to be decided upon by the City Land
Administration Bureau and the City Real Estate Administration Bureau in accordance with the stipulations on their respective responsibilities
in Article 6 of these Procedures and in conjunction with the city’s departments for economic planning, city planning and construction.
After their approval by the Municipal People’s Government, the lease plans will be carried out respectively by the City Land Administration
Bureau and the City Real Estate Administration Bureau.

   Article 8. The lease of land-use rights should be effected by the signing of a land lease contract. The contract is to be signed by the City
Land Administration Bureau or the City Real Estate Administration Bureau (hereinafter referred to as the lessor) and the land user
on the principle of equality, voluntary participation and non-gratuitousness.

   Article 9. The longest term of a land lease is to be determined in accordance with Article 12 of the Regulations which stipulates different
limits of land lease terms for different uses of land.

   Article 10. The leasing of land-use rights will take the form of reaching agreement, public tender or auction.

   Article 11. Procedures for land lease through agreement:

1. The lessor provides the prospective lessee with the materials and documents related to the tract of land for leases.

2. The prospective lessee, having acquired the materials, should, within the prescribed time, submit to the lessor documents concerning
land development and construction plans, the lease price and methods of payment.

3. The lessor should give a reply within 30 days of receiving the documents listed in the second paragraph of this article.

4. Having reached agreement through negotiation, the lessor and lessee will sign the lease contract, and the lessee should pay the
earnest money.

5. Having paid the earnest money, the lessee will register for land-use rights at the land administration bureau or the real estate
administration bureau and receive the land-use certificate.

   Article 12. Procedures for land lease through public tender:

1. The lessor should send to the tenderers invitations for bids and documents and materials related to the lease tender three months
before the date set for submitting tenders.

2. The bidder will deposit his sealed tender document in the designated tender box at the prescribed time and place. The tender document
should contain information concerning plans for land development and utilization, lease price and methods of payment.

3. The bidder will pay the tender bond for the amount, in the method, at the time and place as prescribed. The tender bond will be
fully refunded to the unsuccessful bidder.

4. The lessor, together with departments concerned, will invite experts to form a tender appraisal committee which will take charge
of the opening, appraisal and awarding of tenders.

Those tenders are invalid whose bidders are not qualified for bidding, or which do not meet the requirements of the tender document,
or which have been sent in later than the deadline for tender submissions.

The tender appraisal committee will examine and evaluate the effective tenders, decide on the winning tender and sign and issue the
document for granting the tender. The land administration bureau or the real estate administration bureau will issue to the winner
of the tender the certificate of winning the tender.

The city notary office should take part in the whole process of opening, appraising and awarding the tenders and issue a notarial
document thereon.

5. The winner of the tender, presenting the certificate of winning the tender, will sign the lease contract with the lessor, and pay
the earnest money before the designated date. The tender bond that has been paid will be calculated as part of the earnest money.

6. Having paid the lease price, the tender winner will register for the land-use rights and obtain the land-use certificate at the
land administration bureau or the real estate administration bureau.

   Article 13. Procedures for land lease by auction:

1. The lessor should, within three months before the designated date for auction, make public notice concerning the location and area
of the plot of land for auction, its planned uses, term of the lease, the date for obtaining related materials and the time and place
where the auction will take place.

2. Bidders should, within three days before the opening of the auction, go to the land administration bureau or the real estate administration
bureau to get a numbered placard for bidding. The bidding of those using self-made placards is invalid.

3. During an auction, after the auctioneer announcing the base price, the bidder will hold up his placard and give his price. The
highest bidder is the winner.

4. The winner of the bid should immediately sign the lease contract with the lessor and pay the earnest money. Failure to pay the
earnest money at the time is subject to a fine of less than RMB5, 000 to be administered by the land administration bureau or the
real estate administration bureau.

5. After paying the lease price at the price he has given at the auction, the lessee will register for land-use rights and get the
land-use certificate at the land administration bureau or the real estate administration bureau.

The city notary office should take part in land lease auctions and issue a notarial document thereon.

   Article 14. The land administration bureau or the real estate administration bureau, in leasing land-use rights through agreement, public tender
or auction, should provide the following materials as stipulated in Articles 11, 12 and 13:

1. Location, boundaries, area and land mark map of the land tract.

2. Planned uses of the land and planned limits for architectural volume, density and headroom.

3. Time limit for the completion of construction projects, necessary outlay of construction expenses and the lowest limit for areas
of future development.

4. Requirement concerning environmental protection, greening of the environment, sanitation and disease prevention, communications
and fire prevention.

5. Conditions of public utility installations and construction plans or requirements for designing.

6. Conditions of ground surface of the tract.

7. The form in which the lease is realized and term of the lease.

8. Method of payment of the lease price and requirements.

9. The lessee’s obligations and relevant legal responsibilities.

10. Other necessary materials.

   Article 15. In the case of the lessee failing to pay in full the lease price as stipulated or the lessor failing to offer the land-use rights
as stipulated in the contract, the other side has the right to cancel the contract in accordance with stipulations in Articles 14
and 15 of the Regulations and request compensation for breaking the contract.

   Article 16. The land user should develop, utilize and manage the leased land in accordance with stipulations in the contract and city planning
requirements.

For cases of failing to develop and utilize the land in the time limit and according to conditions stipulated in the contract, the
land administration bureau or the real estate administration bureau will effect corrections by laws and can issue a warning, impose
a fine of more than RMB5,000 and less than RMB100,000 or even take back the land-use right without compensation according to circumstances.

   Article 17. The lessee who finds it necessary to change the uses of land stipulated in the lease contract should, with approval from the land
administration bureau or the real estate administration bureau, renew the contract in accordance with law and adjust the lease price,
and perform the register formalities.

CHAPTER III SUBLEASING OF LAND-USE RIGHTS

   Article 18. Subleasing of land-use rights should be effected by signing a sublease contract.

In the case of no investment having been made for the development and utilization of the leased land in the time limit and conditions
as stipulated in the lease contract, the rights to use the land is not allowed to be subleased.

   Article 19. When leased land is subleased, the right and obligations defined in the lease contract and the register document are thereby transferred,
and the property rights to buildings and other attached installations on the ground are also transferred.

When the lessee transfers the property rights to buildings and other attached installations on the ground, the right to use the land
they take up is thereby transferred. But this does not include the transference of buildings and other attached installations on
the ground as movable property.

   Article 20. The valid term of the land sublease is as long as the remaining years stipulated in the lease contract after deducting the years
the lessor has used.

   Article 21. The sublease of land-use rights and property rights to buildings and other attached installations on the ground should be registered
at the real estate administration bureau in order to change the name of the owner. A partial sublease of land-use rights and property
rights to buildings and other attached installations on the ground should get the approval of the real estate administration bureau
and register for change of name of owner.

   Article 22. After a sublease of the land-use rights, a change in the uses of the land stipulated in the land lease should be handled in accordance
with stipulations in Article 17 of these Procedures.

CHAPTER IV RENTING OF LAND-USE RIGHTS

   Article 23. Renting of land-use rights should be effected by signing of a rental contract which shall not contravene laws, regulations, rules
and stipulations of the land lease contract.

In the case of the lessor failing to put in investment for the development and utilization of the land in the time limit and conditions
as stipulated in the lease contract, the right to use the land is not allowed to be rented out.

   Article 24. After the renting out of his land-use rights, the lessor must continue to honor the land lease contract.

   Article 25. The lessor should register at the real estate administration bureau for his rental of land-use rights and the buildings and other
attached installations on the ground.

CHAPTER V MORTGAGE OF LAND-USE RIGHTS

   Article 26. The mortgagor and mortgagee should sign a mortgage contract for the mortgage of land-use rights which should not contravene laws,
regulations, rulings and stipulations of the land lease contract.

   Article 27. Buildings and other attached installations on the ground are mortgaged with the mortgage of the land-use rights.

The right to use the land occupied by buildings and other attached installations is mortgaged with the mortgage of the buildings and
other attached installations.

   Article 28. The mortgage of land-use rights and buildings and other attached installations on the ground and the loss of mortgage because of
debt clearance or other reasons should be registered at the real estate administration bureau. The unregistered mortgage is invalid.

Those who acquire land-use rights and property rights to the buildings and other attached installations on the ground as a result
of the disposal of a mortgage should register and change the name of the owner at the real estate administration bureau.

CHAPTER VI TERMINATION OF LAND-USE RIGHTS

   Article 29. At the expiry of the land lease, the State will acquire without compensation the land-use rights and the property rights to the buildings
and other attached installations on the ground of the land. The lessee should return the land-use certificate to the office of its
issue and cancel the registration.

   Article 30. If the lessee requests an extension of the term of the land lease after its termination, he(she) should make the request within six
months of its expiry and sign a new contract for it, pay the lease price and register at the land administration bureau or the real
estate administration bureau.

CHAPTER VII APPROPRIATION OF LAND-USE RIGHTS

   Article 31. The user of appropriated land can sublease, rent out or mortgage the land-use rights to his appropriated land and the property rights
to the buildings and other attached installations on the ground in accordance with the Regulations and these Procedures on condition
that the case conforms to stipulations in items 1, 2, and 3 of Article 45 of the Regulations, that it has the approval of the Land
Administration Bureau or the Real Estate Administration Bureau and that the land user has signed a land lease contract with the lessor
and paid up the lease price retroactively.

   Article 32. For cases of arbitrary sublease, renting out and mortgage of land-use rights to appropriated land, the units and individuals involved
will be subject to legal punishments of confiscation of their illegal income by the Real Estate Administration Bureau and a fine
of less than RMB100,000 according to circumstances.

CHAPTER VIII SUPPLEMENTARY ARTICLES

   Article 33. In the case of legal inheritance of land-use rights, the inheritor should register at the Land Administration Bureau or the Real
Estate Administration Bureau.

   Article 34. The City Land Administration Bureau is responsible for explanation of concrete questions related to implementation of these Procedures
and the City Real Estate Administration Bureau is responsible for explanation of concrete administrative questions related to subleasing
of land already developed and put to use.

   Article 35. These Procedures will come into force on June 1, 1992.

    






CIRCULAR OF THE STATE COUNCIL REGARDING THE FURTHER OPENING OF ERENHOT

Category  SPECIAL ECONOMIC ZONES AND COASTAL ECONOMIC DEVELOPMENT ZONES Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1992-07-30 Effective Date  1992-07-30  


Circular of the State Council Regarding the Further Opening of Erenhot

(July 30, 1992)

    The People’s Government of Inner Mongolia Autonomous Region:

    The State Council has resolved to further open the city of Erenhot and
implement the same open policies as the state has done in Heihe and other
three border cities.






REGULATIONS ON PLANT QUARANTINE

Category  AGRICULTURE, FORESTRY AND METEOROLOGY Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1992-05-13 Effective Date  1992-05-13  


Regulations on Plant Quarantine



(Promulgated by the State Council on January 3, 1983, amended and promulgated in accordance with the Decision of the State Council Concerning the Amending of Regulations on Plant Quarantine on May 13, 1992, and effective as of May 13, 1992)

    Article 1  These Regulations are formulated for the purpose of preventing
harmful diseases, insect and weeds dangerous to plants from spreading, and of
protecting agriculture and forestry safety production.

    Article 2  The competent agricultural department and the competent
forestry department under the State Council shall be in charge of the plant
quarantine work throughout the country. The competent agricultural departments
and the competent forestry departments of various provinces, autonomous
regions and municipalities directly under the Central Government shall be in
charge of plant quarantine work in their own regions.

    Article 3  The plant quarantine organs of the competent agricultural
departments and the competent forestry departments above county level shall
carry out the State plant quarantine tasks.

    Plant quarantine inspectors who enter into a station, an airport, a
seaport, a warehouse and other related sites for performing quarantine
inspection shall wear their quarantine uniforms and bear their quarantine
marks.

    Article 4  All dangerous diseases, insect and weeds that occur in parts of
an area and can spread with plants and plant products shall be classified into
plant quarantine objects. The lists of plant quarantine objects of agriculture
and forestry and plants and plant products that should be quarantined shall be
worked out by the competent agricultural department and the competent forestry
department under the State Council. The competent agricultural departments and
the competent forestry departments of various provinces, autonomous regions
and municipalities directly under the Central Government, in the light of the
local need, may work out the supplementary quarantine catalogues of their own
regions, and report to the competent agricultural department and the competent
forestry department under the State Council for the record.

    Article 5  An area where a plant quarantine object occurs shall be
designated as an epidemic area. Preventive measures such as blockading and
eradication shall be taken so as to prevent the plant quarantine object from
spreading out. In case of widespread epidemic occurrence, non-epidemic areas
shall be designated as protection areas to prevent plant quarantine objects
from spreading in.

    In the light of the spreading situation of plant quarantine objects, local
geographical environment, transport conditions and requirements of measures
for blockading and eradication, an epidemic area shall be designated and
brought under strict control.

    In an epidemic area, the plant quarantine organs shall send inspectors to
participate in the work of local road jointinspection stations or timber
inspection stations. In case of the most serious epidemic, plant quarantine
inspection  shall be set up for performing plant quarantine inspection after
approval by the people’s governments of provinces, autonomous regions and
municipalities directly under the Central Government.

    Article 6  The designation of an epidemic area and a protection area shall
be made by the competent agricultural departments and the competent forestry
departments of provinces, autonomous regions and municipalities directly under
the Central Government and shall be approved by their own local people’s
governments, then shall be reported to the competent agricultural department
and the competent forestry department under the State Council for the record.

    A proposed designation of an epidemic area and a protection area covering
more than one province or autonomous region or municipality directly under the
Central Government shall jointly be made by the competent agricultural
departments and the competent forestry departments of the related provinces,
autonomous regions and municipalities under the Central Government and
reported to the competent agricultural department and the competent forestry
department under the State Council for approval.

    The procedures of change and withdrawal of an epidemic area and a
protection area are similar to that of designation.

    Article 7  The plants and plant products for transfer shall be subject to
quarantine inspection in the case as follows:

    (1) Plants and plant products listed in the catalogues of quarantine shall
be subject to quarantine inspection before they are transported from a county
administration area where an epidemic is occurring.

    (2) Plant seeds, seedlings or other propagating materials whether they are
listed or not in the quarantine catalogues of plants and plant products and
wherever they are transported shall be subject to quarantine inspection before
their transportation.

    Article 8  On discovering of no plant quarantine object of plants and
plant products subject to quarantine inspection specified in Article 7 of
these Regulations, their quarantine certificates shall be issued. On
discovering of plant quarantine objects, but a thorough disinfection treatment
can be carried out, consignors shall conduct disinfection treatment at a
designated site according to the requirements of plant quarantine organs.
After they pass the quarantine inspection, their plant quarantine certificates
shall be issued. In case of no disinfection treatment can be carried out,
their transfer shall be stopped.

    The model of plant quarantine certificates shall be formulated by the
competent agricultural department and the competent forestry department under
the State Council.

    Packaging materials, means of transport, sites and warehouses which are
possibly contaminated by plant quarantine objects shall be subject to
quarantine inspection. If they are contaminated, consignors shall carry out
treatments according to the requirements of the plant quarantine organs.

    The expenses for vehicle parking and boat berthing, and transport,
unpacking, sampling, storing and disinfection of goods required by quarantine
inspection shall be covered by consignors.

    Article 9  Plants and plant products which must be subject to quarantine
inspection specified in Article 7 of these Regulations shall be transported or
posted by the transportation department and the post department on the
strength of the quarantine certificates. The quarantine certificates shall be
transmitted along with goods. The specific measures shall be formulated by the
competent agricultural department and the competent forestry department under
the State Council together with departments of railways, communications, civil
aviation and post and telecommunications.

    Article 10  For plants and plant products subject to quarantine inspection
specified in Article 7 of this Regulations transferred between provinces,
autonomous regions and municipalities directly under the Central Government,
the import unit shall seek a permission beforehand from the plant quarantine
organ of its own province or autonomous region or municipality directly under
the Central Government and  shall put forward the requirements of quarantine
inspection to the export unit. The export unit shall make an application for
quarantine inspection to the plant quarantine organ of its own province or
autonomous region or municipality directly under the Central Government. The
plant quarantine organ of province or autonomous region or municipality
directly under the Central Government where import unit is located shall check
the quarantine certificates of entry plants and plant products, and shall, if
necessary, perform re inspection.

    The quarantine measures for transferring plants and plant products within
provinces, autonomous regions and municipalities directly under the Central
Government shall be formulated by the people’s governments of provinces,
autonomous regions and municipalities directly under the Central Government.

    Article 11  The breeding and propagating units of plant seeds, seedlings
or other propagating materials must establish seeds and seedling bases and
maternal tree breeding bases free of plant quarantine objects in a planned
way. Plant seeds, seedlings and other propagating materials for experiment and
extension may not carry plant quarantine objects. Plant quarantine organs
shall perform original planting area quarantine inspection.

    Article 12  Any unit importing seeds and seedlings from foreign countries
shall make an application to the local plant quarantine organ in the province
or autonomous region or municipality directly under the Central Government and
go through the formalities for examination and approval of quarantine
inspection. However, Beijing-based units affiliated to the concerned
department under the State Council importing seeds and seedlings from foreign
countries shall submit their applications to the plant quarantine organs
affiliated to the competent agricultural department and the competent forestry
department under the State Council and go through the formalities for
examination and approval of quarantine inspection. Specific measures shall be
formulated by the competent agricultural department and the competent forestry
department under the State Council.

    Seeds, seedlings and other propagating materials for import which are
suspected of carrying dangerous diseases and insect must be isolated for trial
planting. Only after approval by the plant quarantine organs through
investigation, observation and quarantine inspections that they are free of
dangerous diseases and insect can they be distributed for planting.

    Article 13  Agricultural and forestry colleges and universities as well as
experiment and research institutions may not conduct research on plant
quarantine objects in nonepidemic areas. However, when it is needed for the
purpose of teaching and research to use plant quarantine objects specified by
the competent agricultural department and the competent forestry department
under the State Council, it shall be approved by the competent agricultural
department and the competent forestry department under the State Council; for
the plant quarantine objects specified by provinces, autonomous regions and
municipalities directly under the Central Government, it shall be subject to
the approval by the competent agricultural departments and the competent
forestry departments in provinces, autonomous regions and municipalities
directly under the Central Government. Strict measures shall be taken to
prevent proliferation.

    Article 14  For newly discovered quarantine objects and other dangerous
diseases, insect and weeds, the plant quarantine organs must conduct a timely
investigation of the situation, report at once to the competent agricultural
departments and the competent forestry departments in provinces, autonomous
regions and municipalities directly under the Central Government as well as
take measures for a complete eradication. They also shall report to the
competent agricultural department and the competent forestry department under
the State Council.

    Article 15  Epidemic information shall be released by the competent
agricultural department and the competent forestry department under the State
Council.

    Article 16  The expense and allowance for emergency control needed in
epidemic survey and taking measures for epidemic eradication as stipulated in
paragraph 1 of Article 5 and in Article 14 of these Regulations shall be
allocated out of the annual plant protection and forest protection expediture
of provinces, autonomous regions and municipalities directly under the Central
Government or out of the production expenditure of state farms. The State
shall provide subsidy for the control of the most serious epidemic according
to specific circumstances.

    Article 17  The people’s government shall offer rewards to units and
individuals who have made remarkable contributions in plant quarantine work.

    Article 18  Whoever commits any of the following acts shall be ordered to
correct and may be fined by the plant quarantine organ; he shall be
responsible for compensation if causing any loss; criminal responsibility
shall be investigated according to law by the judicial authorities if the
offense constitutes a crime:

    (1) Failing to go through the formalities for a plant quarantine
certificate as stipulated in these Regulations or acting dishonestly in
applying for quarantine inspection;

    (2) Forging, altering, trafficking or transferring quarantine
certificates, stamps, marks or seals;

    (3) Failing to transport or isolate for trial planting or produce plants
and plant products subject to quarantine inspection according to these
Regulations;

    (4) In violation of these Regulations and without authorization, unpacking
the packing of plants and plant products, changing plants and plant products
or altering the specified use of plants and plant products;

    (5) In violation of these Regulations, causing epidemic proliferation.

    For any of the acts mentioned in Items (1), (2), (3) and (4) of the above
paragraph but not constituting a crime, the plant quarantine organs may
confiscate the illegal income.

    For plants and plant products for transfer in violation of these
Regulations, plant quarantine organs have the right to seal up for
safekeeping, confiscate, destroy or order the change of use. Expenses involved
in destruction shall be born by the party responsible.

    Article 19  If a plant quarantine functionary or a concerned functionary
from a transportation department or a post department, during quarantine
inspection, transportation and posting of plants and plant products, practices
favouritism and embezzlement, or neglects his or her duty, he or she shall be
subject to administrative sanctions by the unit where he or she works or by
the responsible department at a higher level; if the offense constitutes a
crime, criminal responsibility shall be investigated according to law by the
judicial authorities.

    Article 20  If the party is not satisfied with the decision on
administrative punishment made by a plant quarantine organ, it may, within 15
days of receiving the notification of punishment, apply for reconsideration to
the organ at the level next higher over the one making the decision of
punishment; if dissatisfied with the decision of reconsideration, the party
may, within 15 days of receiving the decision of reconsideration, bring a suit
to a people’s court. If the party doesn’t apply for reconsideration within the
prescribed period, or neither  brings a suit nor complies with the decision of
punishment, the plant quarantine organ may apply to the people’s court for
compulsory execution or exercise compulsory execution according to law.

    Article 21  A plant quarantine organ may collect fees for performing
quarantine service. Specific measures shall be formulated by the competent
agricultural department and the competent forestry department under the State
Council.

    Article 22  Quarantine inspection of import and export plants shall be
performed according to the Law of the People’s Republic of China on the Entry
and Exit Animal and Plant Quarantine.

    Article 23  The rules for implementation of these Regulations shall be
formulated by the competent agricultural department and the competent forestry
department under the State Council. Provinces, autonomous regions and
municipalities directly under the Central Government may formulate their
implementing measures according to these Regulations and their implementing
rules while taking into consideration their specific local conditions.

    Article 24  These Regulations shall come into force as of the date of
promulgation. The Interim Measures for Domestic Plant Quarantine approved by
the State Council and promulgated by the Ministry of Agriculture on December
4, 1957 shall be annulled as of the same date.






REGULATIONS FOR THE IMPLEMENTATION ON THE PROTECTION OF TERRESTRIAL WILDLIFE

Category  AGRICULTURE, FORESTRY AND METEOROLOGY Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1992-03-01 Effective Date  1992-03-01  


Regulations for the Implementation of the People’s Republic of China on the Protection of Terrestrial Wildlife

Chapter I  General Provisions
Chapter II  Protection of Wildlife
Chapter III  Administration of Hunting and Catching of Wildlife
Chapter IV  Administration of Domestication and Breeding of Wildlife
Chapter V  Administration of Business Operation and Utilization of
Chapter VI  Awards and Penalties
Chapter VII  Supplementary Provisions

(Approved by the State Council on February 12, 1992 and promulgated by

the Ministry of Forestry on March 1, 1992)
Chapter I  General Provisions

    Article 1  These Regulations are formulated in accordance with the
provisions of the “Law of the People’s Republic of China on the Protection of
Wildlife” (hereinafter referred to as the Law on Protection of Wildlife).

    Article 2  The term “terrestrial wildlife” (hereinafter referred to as the
wildlife) mentioned in these Regulations refers to the species of terrestrial
wildlife which are precious or being endangered and the species which are
beneficial or of important economic and scientific research value; whereas the
“products of wildlife” refers to any part of wildlife and their derivatives.

    Article 3  The competent department of forestry administration under the
State Council shall be responsible for the nationwide administration of
terrestrial wildlife.

    The competent departments of forestry administration under the people’s
governments of provinces, autonomous regions and municipalities directly under
the Central Government shall be responsible for the administration of the
terrestrial wildlife in their respective administrative areas. The competent
departments of the administration of terrestrial wildlife under the people’s
governments of the autonomous prefectures, counties and cities shall be
designated by the people’s governments of the relevant provinces, autonomous
regions or municipalities directly under the Central Government.

    Article 4  The relevant governmental authorities at or above the county
level shall encourage and support to undertake scientific research on wildlife
by the relevant research or teaching units.

    Article 5  The competent department of wildlife administration shall have
the right to supervise and inspect the implementation of the Law on the
Protection of Wildlife and these Regulations, whereas all units and
individuals inspected shall have the obligation to be prepared for such
inspection.
Chapter II  Protection of Wildlife

    Article 6  Local people’s governments at or above the county level shall
develop public education for the protection of wildlife, and may fix an
appropriate time as the “Month for Protection of Wildlife” or the “Bird-loving
Week,” etc, in order to enhance the public consciousness of the protection of
wildlife.

    Article 7  The competent department of forestry administration under the
State Council and the competent departments of forestry administration under
the people’s governments of the relevant provinces, autonomous regions and
municipalities directly under the Central Government shall regularly carry out
surveys of wildlife resources and keep records of them so as to provide the
basis for the planning of the protection and development of wildlife resources
and the preparation of the list or revised list of wildlife species under
special protection by the State or local authorities.

    General surveys of the wildlife resources shall be conducted once every
ten years, the survey plan shall be approved by the competent department of
forestry administration under the State Council or the competent department of
forestry administration under the people’s government of the relevant
province, autonomous region or municipality directly under the Central
Government.

    Article 8  The competent departments of wildlife administration of the
people’s governments at or above the county level shall bring coordinate all
possible social forces and adopt biological engineering and technical
engineering measures to maintain and improve the living environment of
wildlife, to protect and develop wildlife resources.

    Any damage to the living and breeding areas or the living conditions of
wildlife under special protection by the State or local authorities by any
unit or individual shall be prohibited.

    Article 9  If any injured, sick, hungery, straitened or lost wildlife
under special protection by the State or local authorities is found by any
unit or individual, same should be promptly reported to the local department
of wildlife administration, and the local department of wildlife
administration shall take timely measures to rescue. Alternately, such
wildlife can be sent to the nearby unit which is capable of rendering rescue
thereto. The salvaging unit shall immediately report the case to the competent
department of the wildlife administration thereof, and the matter shall be
dealt with in accordance with the provisions of the competent department of
forestry administration under the State Council.

    Article 10  All units or individuals shall have an obligation to take
precautionary measures against any danger potential threatening wildlife under
special protection by the State or local authorities. If the protection of
wildlife under special protection by the State or local authorities causes
losses, compensation may be claimed to the department of wildlife
administration under the local people’s government. If after investigation, it
has been proved that the loss has actually happened and the compensation is
necessary, such compensation shall be made by the local people’s government in
accordance with the relevant provisions of the people’s government of the
relevant province, autonomous region or municipality directly under the
Central Government.
Chapter III  Administration of Hunting and Catching of Wildlife

    Article 11  The hunting, catching or killing of wildlife under special
protection by the State shall be prohibited.

    If, under any of the following cases, the hunting and catching of wildlife
under special protection by the State is necessary, the organization concerned
must apply for a special hunting and catching license:

    (1) Where the wildlife has to be hunted and caught for the purpose of
scientific exploration and survey of resources;

    (2) Where the origin of the wildlife has to be obtained from nature for
the purpose of domestication and breeding thereof under special protection by
the State;

    (3) Where the wildlife under special protection by the State has to be
obtained from nature for the purpose of undertaking scientific research above
the provincial level or the production of medicine by the State;

    (4) Where the wildlife under special protection by the State has to be
obtained from nature for the purpose of popularization of knowledge about
wildlife or for the purpose of education or exhibition;

    (5) Where the wildlife under special protection by the State has to be
obtained from nature for the purpose of the requirement of State affairs;

    (6) Where, on the basis of sound judgement, the wildlife has to be hunted
or caught for the purpose of adjusting or controlling the population or
structure of wildlife under special protection by the State;

    (7) Where the wildlife under special protection by the State has to be
caught or hunted for other special reasons.

    Article 12  The procedures for the application for special license for
hunting or catching wildlife are as follows:

    (1) Where the catching of wildlife under first class State protection is
necessary, the application must be made to the competent department of
forestry administration under the State Council for a special hunting or
catching license, and attached with the views of the competent department of
forestry administration under the people’s government of the province,
autonomous region or municipality directly under the Central Government where
the applicant’s place of residence is located and where the catching is to be
carried out,

    (2) Where the catching of wildlife under second class State protection is
to be carried out in the applicant’s own province, autonomous region or
municipality directly under the Central Government, the applicant must apply
to the competent department of forestry administration under the people’s
government of the province, autonomous region or municipality directly under
the Central Government for a special hunting or catching license, and attached
with the views of the competent department of wildlife administration under
the people’s government at or above the county level, where the applicant’s
residence is located,

    (3) Where the catching of wildlife under second class State protection is
to be carried out across the borders of different provinces, autonomous
regions or municipalities directly under the Central Government, the applicant
must apply to the competent departments of forestry administration under the
people’s governments of the provinces, autonomous regions or municipalities
directly under the Central Government where the catching is to be carried out
for a special hunting or catching license, the application shall be attached
with the views of the competent department of forestry administration under
the people’s government of the province, autonomous region or municipality
directly under the Central Government where the applicant’s residence is
located.

    Any zoo applying for the catching of the wildlife under first class State
protection shall have the application examined and approved by the competent
department of construction administration under the State Council before it is
submitted to the competent department of forestry administration under the
State Council for a special hunting or catching license. Where the catching of
wildlife under second class State protection is to be carried out, the
application shall be examined and approved by the competent department of
construction administration under the government at the same level with the
competent department of forestry administration before it is submitted to the
competent department of forestry administration under the people’s government
of the relevant province, autonomous region or municipality directly under the
Central Government where the applicant’s residence is located for a special
hunting or catching license.

    The department responsible for issuing the special hunting or catching
license shall decide to approve or disapprove the application within three
months from the receipt of the application.

    Article 13  No special hunting or catching license shall be issued under
any of the following circumstances:

    (1) Where there are legal and noncatching or nonhunting method available
to the applicant to obtain the species of wildlife under special protection by
the State or the products thereof or to fulfil the applicant’s purpose;

    (2) The application made is not in conformity with the relevant provisions
of the State, or the applicant’s hunting gear or hunting method is
inappropriate, or the season or location for hunting or catching not suitable;

    (3) The catching or hunting is not justified taking into consideration the
situation of wildlife resources;

    Article 14  The unit or individual that has obtained the special hunting
or catching license shall observe the stipulations contained therein with
respect to the species, quantity, area, time limit, gear and method of hunting
or catching, in order to prevent the wildlife from accidental injury and their
living environment from accidental damage. After the completion of hunting or
catching, an application for examination shall be made within ten days to the
competent department of wildlife administration under the relevant people’s
government at couty level.

    The competent department of wildlife administration under the people’s
government at county level shall exercise supervision and inspection over the
hunting and catching of wildlife under special protection by the State within
their respective administrative area, and timely report the results of
supervision and inspection to the department by which the hunting and catching
application had been approved.

    Article 15  Those engaging in the hunting or catching of wildlife not
under special protection by the State must have the hunting license, and shall
observe the stipulations contained therein with respect to the species,
quantity, area, time limit, gear and method of hunting.

    The hunting license shall be made by the competent department of forestry
administration under the relevant people’s government of the province,
autonomous region or municipality directly under the Central Government in
accordance with the stipulations formulated by the competent department of
forestry administration under the State Council, and shall be issued by the
competent department of wildlife administration under local people’s
government at or above the county level or by a department authorized thereby.

    The hunting license shall be examined once a year.

    Article 16  The competent departments of forestry administration under the
people’s governments of provinces, autonomous regions or municipalities
directly under the Central Government shall, on the basis of the current
situation of nonprotected species of wildlife resources within their
respective administrative areas, decide the species of wildlife for hunting,
and control the annual quota of hunting and catching of wildlife species. The
species of wildlife for hunting and the annual quota of hunting and catching
shall be drawn up by the competent department of wildlife administration under
the people’s government at the county level in the light of the principles of
preserving resources and sustainable utilization, and approved by the
competent department of forestry administration under the people’s government
of the relevant province, autonomous region or municipality directly under the
Central Government, and submitted to the competent department of forestry
administration under the State Council for the record.

    Article 17  The hunting activities shall be planned and organized by the
competent department of wildlife administration under the local people’s
government at or above the county level.

    The establishment of hunting sites in the appropriate areas shall be
approved by the competent department of forestry administration under the
people’s government of the relevant province, autonomous region or
municipality directly under the Central Government.

    Article 18  The utilization of military weapons, air guns, poison,
explosives, ground guns, rifles in group, hunting devices not directly
operated by man and threatening the safety of livestock or human beings,
illuminated hunting at night, annihilation hunting by means of encirclement,
fire attack, smoke attack and other hunting gears and methods prohibited by
the stipulations of the people’s government at or above the county level or
its competent department of wildlife administration shall be prohibited.

    Article 19  Field survey or scientific research on wildlife under special
protection by the State undertaken by scientific research bodies or
educational institutions shall be arranged by the competent department of
forestry administration under the State Council if the wildlife species
involved are those under first class protection by the State, whereas similar
arrangement shall be made by the competent department of forestry
administration under the people’s government of the relevant province,
autonomous region or municipality directly under the Central Government if the
wildlife species involved are under second class protection by the State, and
the local competent department of wildlife administration shall give support
to such survey or research.

    Article 20  Any foreigner intending to make field surveys or to collect
specimens or to make film or videos of wildlife under special protection by
the State in the territory of China must apply to the competent department of
forestry administration under the people’s government of the relevant
province, autonomous region or municipality directly under the Central
Government where the relevant species of wildlife under special protection by
the State exist. After such application has been examined by the above said
department, it shall be submitted to and approved by the competent department
of forestry administration under the State Council or by a body authorized
thereby.

    Article 21  Any foreigner engaging in hunting in the territory of China
must observe the relevant provisions of laws and regulations of China, and
hunt in the hunting sites open to foreigners that have been approved by the
competent department of forestry administration under the State Council.
Chapter IV  Administration of Domestication and Breeding of Wildlife

    Article 22  A domestication and breeding license is required for the
domestication and breeding of wildlife under special protection by the State.
Where production and economic results are the major objectives of the
domestication and breeding of wildlife under special protection by the State,
an application must be made to the administrative authorities for industry and
commerce for record and registration by presenting the domestication and
breeding licenses thereto.

    The competent department of forestry administration under the State
Council and the competent departments of forestry administration under the
people’s governments of the relevant provinces, autonomous regions or
municipalities directly under the Central Government may, in light of the
circumstances of the case, entrust the departments concerned at same level to
approve or issue the domestication and breeding licenses of wildlife under
special protection by the State. The competent department of forestry
administration may entrust the competent department of construction
administration at the same level to issue the domestication and breeding
licenses if any zoo intends to domesticate and breed wildlife under special
protection by the State.

    The domestication and breeding licenses shall be made by the competent
department of forestry administration under the State Council.

    Article 23  With respect to the species of wildlife imported or introduced
from abroad or from other provinces, autonomous regions or municipalities
directly under the Central Government for the purposes of domestication and
breeding, appropriate measures shall be adopted to prevent the wildlife from
escaping; if it is necessary to release the species of wildlife, the unit
concerned shall apply to the local competent department of forestry
administration under the people’s government of the relevant province,
autonomous region or municipality directly under the Central Government, and
such an application shall be submitted to and approved by the competent
department of forestry administration under the State Council or by a
department authorized thereby, after being proved by the research institute
designated by the competent department of forestry administration under the
people’s government at or above the provincial level.

    If the imported wildlife has been released without authorization or has
escaped owing to improper handling, same shall be recaptured within a
prescribed time limit or other remedial measures must be taken, as ordered by
the competent department of wildlife administration.

    Article 24  The precious and endangered species of wildlife imported from
abroad may, after the examination  and identification by the competent
department of forestry administration under the State Council, be considered
as the species of wildlife under special protection by the State. While other
species of wildlife imported from abroad may, after the examination and
identification by the competent department of forestry administration under
the people’s government of the relevant province, autonomous region or
municipality directly under the Central Government, be considered as the
wildlife under local special protection.
Chapter V  Administration of Business Operation and Utilization of
Wildlife

    Article 25  Any unit purchasing wildlife of domestication and breeding
under special protection by the State or the products thereof shall be
proposed by the competent department of forestry administration under the
people’s government of the relevant province, autonomous region or
municipality directly under the Central Government with consultation with the
parties concerned, and approved by the people’s government at the same level
or the department authorized thereby, and an application, with the documents
of approval attached, shall be made to the administrative authorities for
industry and commerce for record and registration.

    No unit approved for registration according to the preceding paragraph may
purchase the wildlife under special protection by the State or the products
thereof that is not permitted to be sold.

    Article 26  Anyone engaged in the business operation or utilization of
wildlife not under special protection by the State or the products thereof
shall apply to the administrative authorities for industry and commerce for
record and registration.

    Units or individuals approved and registered to be engaged in the business
operation or utilization of wildlife not under special protection by the State
or the products thereof shall engage in the business operation or utilization
thereof within the limitation of the annual quota approved by the competent
department of forestry administration under the people’s government of the
relevant province, autonomous region or municipality directly under the
Central Government or by a department authorized thereby.

    Article 27  The sale and purchase of species of wildlife under special
protection by the State or the products thereof in the market place shall be
prohibited.

    If any unit or individual with hunting license intends to sell the
lawfully obtained wildlife not under special protection by the State or the
products thereof, the sale shall be made in conformity with the species and
quantity specified in the hunting license to the unit which has been approved
for registration or in the market place designated by the department concerned
under the local people’s government.

    Article 28  The competent department of wildlife administration and the
administrative authorities for industry and commerce under the people’s
government at or above the county level shall establish a system of
supervision and inspection over the business operation and utilization of
wildlife or the products thereof, and to enhance the supervision and control
over the business operation and utilization of wildlife or the products
thereof.

    Transactions of wildlife or their products inside fair markets shall be
supervised and managed by the administration authorities for industry and
commerce; while those outside fair markets shall be supervised and managed by
the departments of wildlife administration, the administration authorities for
industry and commerce or units authorized by them.

    Article 29  An application shall be made to the competent department of
wildlife administration under the people’s government at the county level by
attached with the special hunting and catching license and the domestication
and breeding license, if transportation or carrying of wildlife under special
protection by the State or the products thereof is to be made out of a county.
The application shall be submitted to and approved by the competent department
of forestry administration under the people’s government of the relevant
province, autonomous region or municipality directly under the Central
Government or by a department authorized thereby. If the transportation of
wildlife under special protection by the State is necessary for the breeding
of wildlife among different zoos, the application for the transportation shall
be approved by the competent department of construction administration under
the people’s government of the relevant province, autonomous region or
municipality directly under the Central Government authorized by the competent
department of forestry administration at the same level.

    Article 30  With respect to the export of wildlife under special
protection by the State or the products thereof, and the import or export of
wildlife or the products thereof which are restricted by international
conventions to which China is a party, an application for examination shall be
made to the competent department of forestry administration under the people’s
government of the relevant province, autonomous region or municipality
directly under the Central Government where the unit or individual concerned
is located. Such application shall be submitted to and approved by the
competent department of forestry administration under the State Council or by
the State Council. Where the import or export is made for trade purposes, same
must be undertaken by the unit which has the right to be engaged in import and
export trade.

    Where any zoo intends to import or export wildlife described in the
preceding paragraph for the purpose of mutual exchanges, same shall be
examined and approved by the competent department of construction
administration under the State Council, before the application thereof has
been approved by the competent department of forestry administration under the
State Council or submitted to the State Council for the approval by the
competent department of forestry administration under the State Council.

    Article 31  The economic benefits derived from the exhibition of wildlife
or the products thereof in foreign countries and from other activities shall
be mainly used for the purpose of wildlife protection.
Chapter VI  Awards and Penalties

    Article 32  Any unit or individual that has achieved any of the following
deeds shall be awarded by the people’s government at or above the county level
or by the competent department of wildlife administration thereunder:

    (1) Where outstanding contribution has been made in the survey of wildlife
resources and protection and maintenance, public education, development and
utilization;

    (2) Where outstanding achievements have been made in the implementation of
laws and regulations on wildlife protection;

    (3) Where outstanding achievements have been made in the rescue,
protection, domestication and breeding of precious and endangered species of
wildlife;

    (4) Where any act of violation of laws and regulations on wildlife
protection has been stopped in time or has been honoured for the prosecution
thereof;

    (5) Where outstanding contribution has been made in the handling of cases
of damage to wildlife resources;

    (6) Where great achievements have been made in the scientific research of
wildlife or remarkable benefits have been gained in the application of the
results of scientific research;

    (7) Where five years or more have been worked continuously in the
grass-roots unit on the protection and maintenance of wildlife and outstanding
achievements have been made;

    (8) Where other special contribution has been made in the protection and
maintenance of wildlife.

    Article 33  Illegal catching or killing of wildlife under special
protection by the State shall be liable to be prosecuted in accordance with
the Suppleme

PROCEDURES OF SHANGHAI MUNICIPALITY ON UNEMPLOYMENT INSURANCE

Procedures of ShangHai Municipality on Unemployment Insurance

     Article 1 Purpose and Basis

These Procedures are formulated with a view to ensuring the basic life of the unemployed people during the period of unemployment
and promoting the reemployment of the unemployed people in accordance with the relevant regulations of the Labor Law
of the People Republic of China, the Regulations on Unemployment Insurance and the Interim Regulations on the Collection of
Social Security Premium, as well as in the light of the actual situations of this Municipality.

   Article 2 Scope of Application

These Procedures apply to the town enterprises, government agencies, institutions, social organizations and the other units
approved by the Municipal People’s Government (hereinafter referred to as units) as well as the employees.

   Article 3 Sources of the Fund

The unemployment insurance fund comes mainly from the following:

1. Unemployment insurance premium paid by the unit and the employees;

2. Income from the interest gained from the unemployment insurance fund;

3. Overdue fines;

4. The fiscal subsidies from the local government when the unemployment insurance fund is insufficient; and

5. Other funds legally incorporated into the unemployment fund.

   Article 4 Registration of Unemployment Insurance

All the units that fall within These Procedures shall register unemployment insurance for the units and their employees
in the social insurance administrative center.

Newly-established units shall complete the procedures of the unemployment insurance registration in the social
insurance administrative center within 30 days from the date of obtaining their business permit or of their establishment.
When a unit is divided or merged, goes bankrupt or is shut down, the unit shall, within 30 days, go through the formalities
for alteration or cancellation of the unemployment insurance registration with the unemployment insurance administrative
center that handled the registration

   Article 5 The Ratio and the Base of Payment

A unit shall pay the unemployment insurance premium at the rate of 2% of the unemployment insurance base due in that month. An employee
shall pay the unemployment insurance at the rate of 1% of the unemployment insurance base due in that month.

The peasant-turned contract worker employed by the unit does not pay the unemployment insurance premium.

The payment base of the unemployment insurance premium is determined by the payment base of endowment insurance premium.

   Article 6 Time and Mode of Payment

A unit shall pay monthly unemployment insurance premium to the social security administrative center while the unemployment insurance
premium paid by the employees shall be withheld by their unit from their monthly wages.

   Article 7 The Channels through Which the Unemployment Insurance Premium Shall be Entered

The unemployment insurance premium paid by the units shall be entered as expenditures through the following channels:

1. Entered as expenditures before tax for enterprises;

2. Entered as administrative expenses or operating expenses for the government agencies, social organizations and institutions.

   Article 8 Unemployment Registration and Application for Unemployment Insurance Benefits

When a unit terminates or discontinues the labor or working relationships with the employees, it shall inform them
of the rights of enjoying the unemployment insurance benefits stipulated by the relevant regulations and of going through
the formalities of dismissal at the employment service center where the unit is located within 15 days.

The unemployed persons shall go through the formalities of the unemployment registration and the unemployment insurance
benefits application at the employment service institution of the district or county where the registered permanent residence
is located 30 days after receiving the notification of terminating or discontinuing the labor or working relationships. The
unemployed persons shall submit the relevant materials bearing the status of unemployment when going through the formalities
of the unemployment registration and the unemployment insurance benefits application.

The employees who underwent education through labor or were sentenced into imprisonment but are now released from prison or
terminate their education through labor may go through the formalities of the unemployment registration and the
unemployment insurance benefits application in accordance with These Procedures 30 days after returning to the place where
the registered permanent residence is located.

   Article 9 Verification of Application

The employment service institutions shall examine and verify the applications of the unemployment insurance benefits of
the unemployed persons within 15 days. It shall verify time and standard to those who are qualified for the unemployment
insurance benefits.

   Article 10 Requirements of Getting the Unemployment Insurance Benefits

Those who satisfy the following requirements may get the unemployment insurance benefits:

1. Discontinuing employment not out of one’s own wishes within the legal labor age;

2. Having the registered regular permanent residency of this Municipality;

3. Paying the unemployment insurance premium regularly in accordance with the procedures during one’s employment;

4. Paying the unemployment insurance premium for 1 year before discontinuing or terminating one’s labor or working relationships;
and

5. Going through the formalities of the unemployment registration and the unemployment insurance benefits application in accordance
with these Procedures and having job application desires.

The unemployed persons may enjoy other unemployment treatments in accordance with These Procedures during the period of
receiving the unemployment insurance benefits.

   Article 11 Computation of Time Limit of Receiving the Unemployment Insurance Benefits

The time limit of an unemployed person getting the unemployment insurance benefits shall be computed in accordance with
the accumulated payment of the unemployment insurance premium he or she made before being unemployed (deducting the number
of years of those who paid the unemployment insurance premium but had already received the unemployment insurance benefits).
The time limit of the unemployed persons getting the unemployment insurance benefits is 2 months to those whose accumulated
payment of the unemployment insurance premium is more than 1 year but less than 2 years; on this basis, a further increase of every
1 year shall bring in a rise of 2 months. The longest time limit of the unemployed persons getting the unemployment insurance
benefits is 12 months to those whose accumulated payment of the unemployment insurance premium is more than 1 year but less
than 5 years; and that of more than 5 years but less than 10 years is 18 months; and that of more than 10 years is 24 months.

If the successive payment of the unemployment insurance premium made by the unemployed person is less than 1 year but the accumulated
payment is more than 1 year, though less than 2 years, it may be deemed as amounting to 1 year.

   Article 12 The Incorporated Computation of the Remaining Time Limit

If the unemployed person does not receive the unemployment insurance benefits, the time limit may be kept. When he or she is
reemployed and their payment of the unemployment insurance premium amounts to more than 1 year, but unemployed again, the
remaining time limit should be incorporated in their computation. After combined computation, the longest time limit
for the unemployed persons getting the unemployment insurance benefits shall not exceed 24 months.

   Article 13 Computation of the Unemployment Insurance Benefits Standard

The standard for receiving the unemployment insurance benefits from the 1st month to 12th month is determined by the number of
years of the unemployment insurance premium the unemployed person paid; and that from 13th month to 24th month is 80% of
the standard from 1st month to 12th month.

The standard of the unemployment insurance benefits shall be lower than the floor wages of the Municipality of the year but
higher than the lowest life guarantee standard of the town of the year.

   Article 14 Receiving the Unemployment Insurance Benefits

The unemployed persons, after going through the formalities of the unemployment insurance benefits application, may
receive the unemployment insurance benefits the next month from the date of being verified as satisfying the relevant
requirements, but the reception of the unemployment insurance benefits shall be counted as beginning from the date of going
through the formalities of application of the unemployment insurance benefits.

   Article 15 Situations Where the Receiving of the Unemployment Insurance Benefits Is Suspended

The unemployed persons with any of the following situations shall be suspended from receiving the unemployment insurance benefits;
they may receive the unemployment insurance benefits of the remaining period again when they are reemployed later:

1. Being conscripted;

2. Being enrolled into the full-time institutions of middle or higher education;

3. Being engaged in remunerative jobs; or

4. Undergoing education through labor or being sentenced into prison.

   Article 16 Situations where the Receiving of the Unemployment Insurance Benefits Is Stopped

The unemployed persons with any of the following situations shall be stopped from receiving the unemployment insurance benefits:

1. Reaching the legal retirement age;

2. Emigrating to other countries; or

3. Refusing the employment opportunities for 3 times provided by the employment service center without proper reasons.

   Article 17 Subsidies for Child-bearing

If an unemployed woman gives birth to a child during the unemployment insurance benefits receiving period, and if it conforms
to the state birth control stipulations, she may receive three months’ child-bearing subsidies. The standard for child-bearing
subsidies is the same as the unemployment insurance benefits she is enpost_titled to.

   Article 18 Subsidies for Medical Care

If an unemployed person gives birth to a child or contracts a disease during the unemployment insurance benefits receiving period,
she or he may go to the district hospital where she or he has the household registration or goes to the designated medical
institution and applies to the employment service center for the medical subsidies. If, however, the child-bearing is unplanned,
or if the disease or wound is caused by the illegal activities like fighting, the unemployed person shall not apply for the
medical subsidies.

The standard for the medical subsidies is 70% of the of the medical expenses enjoyed by the unemployed persons. If the medical
expenses are too big for the person or the family to bear, the unemployed person may apply to the employment service center
for the additional medical subsidies.

   Article 19 Subsidies for Funeral and Subsidies in Compensation of the Bereaved Family

If an unemployed person dies during the unemployment insurance benefits receiving period, his or her family may apply to the employment
service center for subsidies for funeral or lump-sum compensation in support of the lineal relative(s). If, however, the unemployed
person dies because of fighting or other illegal activities, he or she is not allowed to apply for subsidies for funeral
or compensation in support of the lineal relative(s).

The standard of subsidies for funeral or lump-sum bereavement compensation in support of the lineal relative(s) is by
referring to the standard enjoyed by the employees of the enterprises in this Municipality.

   Article 20 Unemployment Subsidies

An unemployed person, though not qualified for the unemployment insurance benefits, may apply to the employment service
center where his or her household registration is made for 1-6 months unemployment subsidies if meeting one of the following
requirements:

1. Conforming to the stipulations of the Items 1, 2, 3 and 5 of Article 10 of These Procedures yet the successive payment
of unemployment insurance premium has not reached 1 year and the life is indeed difficult;

2. The unemployment insurance benefits expires but it is difficult to get a job because of a serious disease or life is difficult
because of other reasons; or

3. A peasant-turned contract worker employed by a unit which pays the unemployment insurance premium successively and his work
amounts to 1 year, but does not get renewal of the contract after the term expires or the contract is terminated ahead of time,
and for the time being has no income after returning to the countryside and life is indeed difficult.

The standard of unemployment subsidies is the same as the standard of the lowest life guarantee of the townsfolk of the year.

If an unemployed person in the stipulations of Section 1 of this Article gives birth to a child or contracts a disease during
unemployment subsidy receiving period, she or he may apply for 3 months child-bearing subsidies or medical subsidies by referring
to Articles 17 and 18 of these Procedures. The child-bearing subsidies standard is the same as the standard for receiving
the unemployment insurance benefits.

An unemployed old person who pays unemployment insurance premium for many years may apply for unemployment subsidy apart from
applying for the unemployment insurance benefits. The standard of the highest unemployment subsidies shall not exceed
25% of the floor wages of this Municipality of the year.

   Article 21 Receiving Fund in Support of Production

An unemployed person who is permitted to open a private enterprise, take up individual business or organize employment by themselves
during the unemployment insurance benefits receiving period may, with the business permit or other valid documents, receive
the lump-sum unemployment insurance benefits of the remaining period in support of production.

   Article 22 Special Stipulations Regarding the Unemployed Persons Approaching Retirement

When the term of receiving the unemployment insurance benefits expires, an unemployed person may, if he or she is still difficult
to get a new job, or 2 years closer to reach the legal retirement age, or is granted a certain privilege due to special reasons,
apply for further receiving the unemployment insurance benefits until the legal retirement age. The standard for further receiving
the unemployment insurance benefits is 80% of the receiving standard from 13th month to 24th month, but shall not be lower
than the lowest life guarantee standard of the townsfolk of the Municipality of the year.

   Article 23 Retirement of the Unemployed Persons

When an unemployed persons reach the legal retirement age during the unemployment period, he or she shall stop receiving
the unemployment insurance benefits. He or she may receive monthly pension after being verified by the social security administrative
organs as conforming to pension-receiving requirements.

   Article 24 Employment Services

The employment service institutions shall provide the unemployed persons with the services like vocational training, job recommendation
and regular vocational guide.

   Article 25 The Uses of the Fund

The unemployment insurance fund is used in the following:

1. Unemployment insurance benefits;

2. Medical and child-bearing subsidies when receiving the unemployment insurance benefits;

3. Funeral subsidy and bereavement compensation in support of the spouse or lineal relatives when the unemployed person dies
during the unemployment insurance benefits receiving period;

4. Unemployment subsidies; and

5. The expenses needed by the employment service institutions for providing vocational training, job recommendation and vocational
guide.

   Article 26 Overall Arrangement and Tax-exemption of the Fund

The unemployment insurance fund is given overall consideration by the Municipality.

The unemployment insurance fund is exempt from taxes and other charges.

   Article 27 Expenditures of the Employment Service Institutions

The expenses needed by the employment service institutions are appraised and decided by the Municipal Labor Bureau and Social Security
Bureau in consultation with Municipal Bureau of Finance.

   Article 28 Administrative Penalty

Anyone who violates These Procedures will be given a penalty by the administrative departments of labor and social security
in accordance with the relevant stipulations of the Regulations on Unemployment Insurance or the Interim Procedures
on the Collection of Social Security Premium.

   Article 29 Treatments of Disputes

An individual may apply to the district or county labor disputes arbitration commission where the unit is located for arbitration
if he or she has disputes with the units regarding the payment of the unemployment insurance premium. If the individual
or the unit is dissatisfied with the arbitration, a suit may be filed to the people’s court within 15 days since the arbitration
verdict being received.

   Article 30 Treatment of the Administrative Agencies who Perform Illegal Actions

The administrative bodies of labor and social security, the employment service institutions and the working staff shall manage
and use the unemployed insurance fund in accordance with the relevant stipulations of the state and the Municipality and
shall not take the liberty of using them or misappropriate them. Anyone who violates the stipulations shall be given a penalty;
those who constitute a crime shall be given a criminal sanction.

   Article 31 Stipulations Regarding the Number of Years of Payment

The work seniority of the employees before October 1, 1998 is regarded as the number of years for the payment of the unemployment
insurance premium.

   Article 32 Others

The unemployment insurance of the self-employed business person of this Municipality, the employed persons in other labor organizations
as well as those who work in the offices represented by other provinces or cities but enjoy the household registration
of this Municipality may follow these Procedures.

   Article 33 Departments Responsible for Interpretation

The Municipal Labor and Social Security Bureau shall be responsible for the specific interpretation of the application of these
Procedures.

   Article 34 Effective Date

These Procedures shall become effective on April 1, 1999. The Procedures of Shanghai Municipality on Unemployment Insurance promulgated
by the Shanghai People’s Government on October 15, 1992 shall be annulled spontaneously.

    

MOFTEC P.R.C.

EDITOR:Victor






OFFICIAL REPLY OF THE STATE COUNCIL CONCERNING THE ESTABLISHMENT OF THE DALIAN BONDED AREA

Category  CUSTOMS Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1992-05-13 Effective Date  1992-05-13  


Official Reply of the State Council Concerning the Establishment of the Dalian Bonded Area



(May 13, 1992)

    People’s Government of Liaoning Province:

    The Report on the Establishment of the Bonded Area of Dayao Bay in Dalian
submitted by your Province in 1991 has been received. An official reply is
hereby made as follows:

    1. We have agreed to establish the Dalian Bonded Area. The Bonded Area
shall give full play to its advantage of contiguity to the port of Dayao Bay
in Dalian, actively serve the extension of entrepot trade, transit trade and
processing for export, and provide services for trade, such as processing and
sorting out, packaging, storage, transport and commodity display.

    2. The Dalian Bonded Area shall be established within the Dalian Economic
and Technological Development Zone, located in the northeast part of the
Development Zone and adjacent to the port of Dayao Bay. The east boundary of
the Bonded Area is the No.6 Highway of the Development Zone, south is the
Northeast Avenue of the Development Zone, west is the No.2 Highway of the
Development Zone, and north is the No.5 Highway of the Development Zone (all
not including the highways). It is 1.25 square kilometers in area. Separation
installation shall be equipped on all sides of the Bonded Area as required by
Customs and shall be put into use upon acceptance after checking by Customs.
No residence area shall be established within the Bonded Area. With the
exception of the security personnel, no other personnel shall be permitted to
reside in the Bonded Area.

    3. The Bonded Area shall be under the supervision and administration of
Customs. The Customs in Dalian may, in reference with the measures of the
General Customs Administration governing the Bonded Area of Outer Gaoqiao in
Shanghai approved by the State Council, formulate the detailed rules for the
supervision and administration of the Dalian Bonded Area and implement them
subject to the approval of the General Customs Administration.

    4. For the control of banking and foreign exchange in the Bonded Area, the
competent departments in Dalian City shall formulate detailed implementation
rules in accordance with the relevant State provisions governing bonded areas
in Tianjin and Shanghai, and shall implement them subject to the approval of
the competent departments of the State.

    5. The current policies for the Economic and Technological Development
Zone shall apply to the control of other matters in the Banded Area.

    6. With regard to the size of institution and personnel needed by the
Customs in the Bonded Area, your Province is allowed to study and report to
the State Council for approval and assignment.






PROCEDURES FOR CONTROL OF PARTICIPATION BY FOREIGN BUSINESSES IN THE SALVAGING OF SUNKEN SHIPS AND SUNKEN ARTICLES IN CHINA’S COASTAL WATERS

Procedures for Control of Participation by Foreign Businesses in the Salvaging of Sunken Ships and Sunken Articles in China’s Coastal
Waters

     (Effective Date:1992.07.12–Ineffective Date:)

   Article 1. These procedures are formulated to strengthen control over foreign businesses in participating in the salvaging of sunken ships and
sunken articles in China’s coastal waters to safeguard the lawful rights and interests of the various parties concerned.

   Article 2. These procedures apply to activities involving salvaging of sunken ships and sunken articles of commercial value in China’s coastal
waters with the participation of foreign businesses.

These procedures are not applicable in case that the sunken ships and sunken articles in China’s coastal waters are salvaged by the
owners themselves or agencies entrusted by the owners.

   Article 3. Definitions of terms used in these procedures:

(1) Foreign businesses refer to foreign enterprises, other economic organizations or individuals.

(2) Coastal waters refer to inland sea and territorial sea of the People’s Republic of China (PRC) and sea areas under the jurisdiction
of PRC.

(3) Sunken ships and sunken articles refer to all kinds of ships and articles, including their main bodies and equipment, all goods
and other articles on board, that have sunken under surface of China’s coastal waters or buried under mud on the seabed.

Sunken naval ships and weaponry of important military value and sunken ship and sunken articles specified as cultural relics are not
included in the category of objects to be salvaged with the participation of foreign businesses.

(4) Salvage operations refer to the engineering operations on the sunken ships and sunken articles, including scanning, measuring,
surveying and probing as well as actual lifting and related activities, carried out in accordance with the joint salvage contract
or the contract for the Chinese-foreign cooperative salvage enterprise.

(5) Salvage operators refer to the agencies or individuals actually engaged in salvage operations.

   Article 4. The Chinese government protects by law the legitimate income and other lawful rights and interests of the Chinese and foreign parties
to the undertaking of salvaging sunken ships and sunken articles in China’s coastal waters (hereinafter referred to as Sino-foreign
salvage parties).

Sino-foreign salvage parties in all their activities must abide by PRC’s relevant laws, regulations and rules and accept control and
supervision of Chinese government departments in charge.

   Article 5. The Ministry of Communications of PRC is in charge of matters related to the participation of foreign businesses in the salvaging
of sunken ships and sunken articles in China’s coastal waters.

   Article 6. Participation of foreign businesses in the salvaging of sunken ships and sunken articles in China’s coastal waters can take the following
forms:

(1) Foreign businesses can conclude with the Chinese party a joint salvage contract which stipulates their mutual rights and obligations
in their salvage operations;

(2) Foreign businesses can set up with the Chinese party a Chinese-foreign cooperative salvage enterprise.

   Article 7. The Chinese salvage operator must be a professional salvage outfit with qualifications for carrying out salvage operations. The qualifications
are to be ascertained by the Ministry of Communications in accordance with State-stipulated rules concerning professional salvage
agencies.

   Article 8. The objects for salvage must be clearly stated in the joint salvage contract and the contract for the cooperative salvage enterprise.
Chinese and foreign salvage parties shall not decide on their own to salvage sunken ships and sunken articles that are found in their
operations but are not included in the contracted objects for salvage.

   Article 9. The Ministry of Communications is solely responsible for organizing negotiations with foreign businesses on salvaging sunken ships
and sunken articles in China’s coastal waters, deciding salvaging projects and organizing the signing by Chinese salvage operators
and foreign businesses of joint salvage contracts or contracts for cooperative salvage enterprises in accordance with law.

   Article 10. Joint salvage contracts signed by foreign businesses and Chinese salvage operators should be compatible with relevant stipulations
of the Law of PRC on Foreign-Related Economic Contracts and submitted to the Ministry of Communications for approval.

Foreign businesses and Chinese salvage operators in forming cooperative salvage enterprises should perform the procedures for approval
and registration in accordance with stipulations of the Law of PRC on Chinese-Foreign Contractual Joint Ventures.

   Article 11. The submission of contracts for joint salvaging or cooperative salvage enterprises to departments in charge for approval must be
accompanied by the submission of documents issued by port supervisory agencies of PRC (hereinafter referred to as port authority)
on their approval of the salvage operational projects. If salvage operations affect water areas of finishing ports, approval documents
issued by fishing and port supervisory agencies should be submitted. If salvage operations affect restricted military zones or areas
under military control, approval documents issued by military departments in charge should be submitted.

The department in charge of examination and approval of the aforementioned contracts should decide to approve or disapprove within
45 days of receiving the request for approval.

   Article 12. After a joint salvage contract is approved, the foreign business should apply to PRC State Administration for Industry and Commerce
for business registration and acquire a business license within 30 days of receiving the document of approval, and make tax registration
at the local taxation office within 30 days of receiving the business license.

   Article 13. In the case of foreign businesses taking part in salvaging sunken ships and sunken articles in the inland sea or territorial sea
of PRC, the foreign businesses should bear all the coasts and economic risks involving throughout the period of salvage operations.
Chinese salvage operators are responsible for coordination work with the departments concerned, attend to the performance of necessary
procedures and exercise supervision and protection of salvage operations.

In the case of foreign businesses taking part in salvaging sunken ships and sunken articles in sea areas outside PRC inland or territorial
sea but under PRC jurisdiction, the foreign businesses should bear all costs and economic risks involved in scanning, measuring,
surveying and probing operations. If a decision is taken to carry out a salvage operation, the Chinese and foreign operators will
proceed with the operations in accordance with their contracts.

   Article 14. With conditions being equal, foreign businesses should give preference to Chinese salvage operators from whom to rent ships and equipment
and hire labor services needed in the implementation of the joint salvage contract.

   Article 15. The objects retrieved through salvage operations with the participation of the foreign businesses on sunken ships and sunken articles
in China’s coastal waters (hereinafter referred to as retrieved objects) should be disposed of in the following manners:

(1) Sunken ships and sunken articles raised in PRC inland sea or territorial sea belong to PRC, and foreign businesses will share
the benefits from the retrieved objects or their value in price in accordance with relevant stipulations in the joint salvage or
cooperative salvage enterprise contracts.

Chinese salvage operators will share the benefits from the retrieved objects or their value in price in accordance with State regulations
or the cooperative salvage enterprise contract.

(2) Sunken ships and sunken articles retrieved from sea areas under PRC jurisdiction outside its inland or territorial sea, their
value in price will be shared by the Chinese and foreign salvage operators in proportions as stipulated in the contract.

(3) The finding of cultural relics among retrieved objects or discoveries of new cultural relics in the process of salvage operations
should immediately be reported to local departments in charge of cultural relics administration which will handle the matter in accordance
with PRC laws and regulations on the protection of cultural relics, and reward the personnel concerned.

   Article 16. The retrieved objects legitimately obtained by foreign business can be purchased by Chinese government departments concerned at international
market prices or shipped out of the country by foreign business after fulfilling taxation and customs procedures.

Foreign exchange receipts or other income of foreign business can be remitted out of the country after tax payments.

   Article 17. Before the start of their salvage operations, the operators should request the issue of the warning signal for navigation in accordance
with relevant stipulations in the Law of PRC on Sea Navigation Safety.

The Ministry of Communications should inform the National Bureau of Oceanography and other departments concerned of the time of beginning
and ending the salvage operations and their geographic position.

Salvage operators must restrict their salvage operations within the operational areas permitted by the port authority, and report
their related activities as required by the port authority. The salvage operators shall not in their operations use methods which
would damage marine resources, maritime environment, undersea installations and naval installations or harm the interests of PRC.

   Article 18. Chinese and foreign salvage operators should together take part in the salvage operations throughout the process from beginning to
end, and together take charge of the registration and preservation of retrieved objects.

   Article 19. All retrieved objects should be inspected by departments concerned at places designated by Chinese government departments in charge.

   Article 20. Port authority has the right to call a halt to salvage operations on sunken ships and sunken articles carried out in China’s coastal
waters in violation of these Procedures, and mete out punishments of a warning or fines. Those who have caused damage to the country
and others have the responsibility for paying compensations.

The amount of compensation is to be determined in accordance with rules on punishments contained in sea navigation administrative
regulations.

   Article 21. Participation of enterprises, other economic organizations or individuals from Hong Kong, Macao and Taiwan in the salvage of sunken
ships and sunken articles in China’s coastal waters can proceed with reference to these Procedures.

   Article 22. The Ministry of Communications is responsible for explanations of these Procedures.

   Article 23. These Procedures will take effect as of the date of promulgation.

    






OFFICIAL REPLY OF THE STATE COUNCIL CONCERNING THE ESTABLISHMENT OF THE GUANGZHOU BONDED AREA

Category  CUSTOMS Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1992-05-13 Effective Date  1992-05-13  


Official Reply of the State Council Concerning the Establishment of the Guangzhou Bonded Area



(May 13, 1992)

    People’s Government of Guangdong Province:

    The Report Submitted by the People’s Government of Guangzhou City on the
Establishment of a Bonded Area in the Guangzhou Economic and Technological
Development Zone, transmitted by your Province in 1990, has been received. An
official reply is hereby made as follows:

    1. We have agreed to establish the Guangzhou Bonded Area. The Guangzhou
Bonded Area shall give full play to the advantage of the New Huangpu Port in
Guangzhou, actively serve the extension of entrepot trade and processing for
export, and provide services for trade, such as processing and sorting out,
packaging, storage, transport and commodity display.

    2. The Guangzhou Bonded Area shall be located within the Beiwei Second
Subzone in the northeast part of the Guangzhou Economic and Technological
Development Zone. The north and west boundaries of the Bonded Area are the
Hengqi River, east is the Dongjiang River and south is the special line for
the New Shagang Port elevated railway built in progress. It is 1.4 square
kilometers in area. Separation installation shall be equipped on all sides of
the Bonded Area as required by Customs and shall be put into use upon
acceptance after checking by Customs. No residence area shall be established
within the Bonded Area. With the exception of the security personnel, no other
personnel shall be permitted to reside in the Bonded Area.

    3. The Bonded Area shall be under the supervision and administration of
Customs. The Customs in Huangpu may, in reference with the measures of the
General Customs Administration governing the Bonded Area of Outer Gaoqiao in
Shanghai approved by the State Council, formulate the detailed rules for the
supervision and administration of the Guangzhou Bonded Area and implement them
subject to the approval of the General Customs Administration.

    4. For the control of banking and foreign exchange in the Bonded Area, the
competent departments in Guangzhou City shall formulate detailed
implementation rules in accordance with the relevant State provisions
governing bonded areas in Tianjin and Shanghai, and shall implement them
subject to the approval of the competent departments of the State.

    5. The current policies for the Development Zone shall apply to the
control of other matters in the Banded Area.

    6. With regard to the size of institution and personnel needed by the
Customs in the Bonded Area, your Province is allowed to study and report to
the State Council for approval and assignment.






PROCEDURES OF CUSTOMS OF PRC FOR CONTROL OF ENTRY AND EXIT OF INTERNATIONAL NAVIGATING VESSELS AND GOODS AND ARTICLES ON BOARD

Procedures of Customs of PRC for Control of Entry and Exit of International Navigating Vessels and Goods and Articles on Board

     (Effective Date:1992.01.01–Ineffective Date:)

   Article 1 With a view to promoting China’s foreign economic relations and trade, facilitating the entering and out-going of vessels and strengthening
control by the customs on the entry and exit of vessels and the goods and articles on board and in accordance with “Customs Law of
the People’s Republic of China” and related State laws and decrees, the procedures hereof are formulated.

   Article 2 “Entering and out-going international navigating vessels” as mentioned in the procedures hereof (hereinafter referred to as “vessels”)
denote Chinese and overseas vessels that enter or leave China to operate in international waters.

Small vessels from and to Hong Kong and Macao are dealt with in accordance with relevant regulations.

   Article 3 Vessels should enter or leave China, drop anchore, load or unload goods and articles and have personnel get on or off board at ports
with customs and accept supervision and control by the customs. Local port authority is held responsible to inform the customs in
advance of the venue where vessels are to be anchored, to more to another anchorage, load or unload goods and articles and have personnel
get on or off board in an area under custom’s supervision and control; if the vessels are to do so in areas not under custom’s supervision
and control, the local port authority has to consult the customs.

If vessels have to enter or leave China, drop anchore, load or unload goods and articles or have personnel get on or off board at
ports without customs, it has to get approval from the State Council or authority empowered by the State Council after their consultation
with the customs and supervised and controlled by the customs and the vessels have to pay the customs a fee in accordance with regulations.

   Article 4 The responsible person of a vessel or his or her agent has to inform the customs 24 hours in advance before its arrival at or departure
from the port and inform the customs of the time when the vessel is to load or unload goods and articles.

   Article 5 If vessels, out of force majeure, are forced to be anchored, have personnel get on or off board, or throw away or unload goods and
articles, responsible persons of the vessels or their agents must promptly report to the customs in the vicinity.

   Article 6 Overseas vessels entering China or Chinese vessels leaving China must not be transferred or used for other purposes if they have
not been through customs procedures of clearance.

   Article 7 Chinese vessels that, upon approval by the Ministry of Transportation, are engaged in international passenger and goods transport
business must apply for and get “The Book of Customs Supervision and Control on the Entry and Exit of Vessels” from the customs where
the shipping company is located.

   Article 8 If vessels load or unload import or export goods and articles or have those personnel who leave or come into China get on or off
board, they must factually report to the customs and accept examination by the customs.

   Article 9 When vessels are entering China, their responsible persons must factually report to the customs and hand in the following documents:

(1) A copy of “Report on Vessel Entry”;

(2) Two copies of “Statement of Import Goods” (Those with no goods on board hand in “Statement of No Goods”);

(3) A copy of “Statement of Entering Passengers” (including through passengers. Those with no passengers on board are exempted.);

(4) A copy of “Statement of Crew”;

(5) A copy of “Statement of articles, Currencies, Gold and Silver for Crew’s Own and Ship’s Use”;

(6) A copy of “Sealed Statement of Cigarettes and Liquor for Crew’s and Ship’s Own Use”;

(7) “The Book of the Customs Supervision and Control on Entry and Exit of Vessels” (Foreign vessels are exempted.);

(8) Other documents the Customs deem as necessary for its supervision and control.

If responsible persons of vessels entering a port or their agents are unable to provide in time the complete “Statement of Import
Goods”, they must hand in a letter of guarantee to the customs and may unload the goods first upon the latter’s consent; but they
must hand in complete documents to the customs in 24 hours after the unloading of goods.

Before vessels that have entered China move to other Chinese ports, responsible persons of foreign vessels must hand in a report to
the customs on its movement to another port and bring the customs-sealed package, intact, to the customs at the port it is going
to call; in the case of Chinese vessels, the customs make notes in “The Book of the Customs Supervision and Control on Entry and
Exit of Vessels”.

   Article 10 Before cessels load export goods, the agent of the goods must send an advance statement of the goods to the customs. If the export
goods are withdrawn from aboard, responsible persons of the vessels or their agents must make a declaration to the customs before
the vessels complete their unloading.

   Article 11 When vessels leave China, they must make factual declaration to the customs. Responsible persons of the vessels or their agents must
hand in the following documents to the customs:

(1) A copy of “Statement of Export Goods” (Those with no export goods hand in a statement of no goods.);

(2) A copy of “List of Exit Passengers” (Those that have no changes may be exempted.);

(3) A copy of “List of Crew” (Those that have no changes may be exempted.);

(4) “The Book of Customs Supervision and Control on Entry and Exit of Vessels” (Foreign vessels are exempted.);

(5) Other documents the customs deem necessary.

   Article 12 When the customs are examining vessels, responsible persons of the vessels must be present and at the request of the customs order
the personnel concerned, to open the cabin, rooms and storages for inspection. If the vessels are suspected of smuggling actions,
they must open the parts or move goods and materials where smuggled goods and articles are supposed to be hidden. If necessary, the
customs have the right to gather the crew and temporarily seal the crew’s rooms and other parts of the vessels. After the termination
of customs examination, responsible persons of the vessels should sign the customs examination records.

When the customs are examining the crew’s luggage, the crew members concerned must be present and open their luggage and places where
their personal articles are store at the request of the customs. Prohibited or smuggled articles discovered by the customs in public
places and not claimed by any one are to be disposed by the customs.

If necessary, the customs may dispatch its officials to get on board or be stationed in the vessel during its travel in China for
supervision and control, the vessel authorities should provide conveniences.

   Article 13 During a vessel’s call at a port, the ship’s or the crew’s cigarettes and liquors are all sealed by the customs (except for the limited
amount as permitted by the latter). The customs may seal, according to circumstances, the ship’s materials and the ship’s and crew’s
currencies, gold and silver. The responsible person of the vessel must make sure that customs seals be kept intact. If it is necessary
to open the seals, the responsible person of the vessel must apply to the customs in written form. When necessary, the former has
to provide transportation means.

   Article 14 The export and import goods and articles under customs supervision and control must be stored at warehouses and venues registered
at the customs.

   Article 15 Only after the customs seal the bill of lading may warehouses and transport departments deliver the import goods and may the owner
of the goods or his or her agent take delivery. Only after the customs seal the shipping list may the warehouses and transport departments
load on board the export goods and may responsible persons of the vessels sign the mate’s receipt.

   Article 16 After vessels complete unloading import goods and articles, their responsible persons should send to the customs the factual cargo
receipts and records of spillover, short-landing, erratic unloading and damages of goods in 24 hours.

If there are spillover, short-landing or erratic unloading recognized by the customs, responsible persons of the original loading
vessels and owners of the goods may separately go through the procedure of return to sender or the procedure of import in three months
as of the date when unloading starts. If necessary, the duration may be prolonged for another three months upon approval by the customs.
If the necessary procedures are not completed before the set time, they are disposed by the customs.

   Article 17 If vessels are to load more goods or unload ship fuel and materials or they supply each other ship fuel, materials, articles, public
cigarettes, liquors and food, responsible persons of the vessels must work out a memo and send it to the customs for approval and
it is done under customs supervision and control.

If the vessels are to dispose of their sweepings and waste materials, their responsible persons have to send a written application
to the customs; the vessels’ recipient units shall ask firms that have operational powers to go through relevant customs procedures
on their behalf.

Dunnaging and ballasting materials asked to be shipped out of China again must be shipped out of China in six months as of the date
when unloading starts. If those are not to be shipped out of China, the consignee must go through customs’s import procedures in
14 days as of the date when unloading starts.

   Article 18 Chinese entry-and-exit vessels that are to handle domestic transport as a supplementary business or change to domestic transport
have to go through relevant procedures in accordance with “Customs Regulations of the People’s Republic of China of Supervision and
Control on Chinese Vessels Operating International and Domestic Transport As a Supplementary Business”.

   Article 19 Violations of stipulations contained in those procedures hereof are dealt with by the customs in accordance with “Customs Law of
the People’s Republic of China” and “Detailed Rules on Administrative Punishment As Set in the Customs Law of the People’s Republic
of China”.

   Article 20 The right of interpretation of the procedures hereof rests with the Customs General Administration.

   Article 21 The procedures hereof come into force as of January 1,1992.

    






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...