Regulations of the People's Republic of China on International Maritime Transportation

 2018-03-17  1165


Regulations of the People's Republic of China on International Maritime Transportation (Revised in 2016)

Order of the State Council of the People's Republic of China No.666

February 6, 2016

(Promulgated by Order of State Council of the People's Republic of China No.335 on December 11, 2001; revised for the first time according to the Decision of the State Council on Abolishing and Revising Some Administrative Laws and Regulations on July 18, 2013; and revised for the second time in accordance with the Decision of the State Council on Revising Certain Administrative Regulations on February 6, 2016)

Chapter I General Provisions

Article 1 These Regulations have been enacted with the primary aims of normalizing the activities of international maritime transportation, protecting fair competition, maintaining order in the international maritime transportation market, and guaranteeing the lawful rights and interests of the parties of international maritime transportation.

Article 2 These Regulations shall be applicable to the business operations of international maritime transportation both inward and outward from the ports of the People's Republic of China and the auxiliary business operations related to international maritime transportation.
The term "auxiliary business operations related to international maritime transportation" as used in the preceding paragraph shall include international ship agencies, international ship management, port handling of international maritime transportation, the storage of goods related to international maritime transportation, container stations, the stacking of international maritime transportation, and other operations.

Article 3 Those engaged in the business operations of international maritime transportation and the auxiliary business operations related to international maritime transportation shall abide by the principles of good faith, and shall operate their businesses according to law with fair competition.

Article 4 The department in charge of transportation under the State Council and the departments in charge of transportation under the relevant local people's governments shall, according to the provisions of these Regulations, supervise and administrate the business operations of international maritime transportation and carry out the relevant supervision and administration of those auxiliary business operations related to international maritime transportation.

Chapter II Operators of International Maritime Transportation and the Auxiliary Businesses thereof

Article 5 All parties shall meet the following conditions in order to operate an international shipping business:
1. Be granted the status of legal persons;
2. Have ships accommodated to international maritime transportation operations, among which there shall be Chinese ships.
3. Put the ships into operation in accord with the technological standards of maritime transportation safety as prescribed by the State.
4. Have bills of lading, passenger tickets, or multimode transport documents.
5. Have senior managerial personnel with the practice qualifications as prescribed by the department in charge of transportation under the State Council.

Article 6 In order to operate the international shipping business, the party shall file an application with the department in charge of transportation under the State Council and attach the relevant materials meeting the conditions as prescribed in Article 5 of these Regulations. The department in charge of transportation under the State Council shall complete the examination within 30 days from the day of accepting the application and make a decision on whether or not to approve the application. If approval is granted, an International Shipping License shall be issued to the applicant. If approval is not granted, the applicant shall be notified in written form with the reasons for the denial explained.
When examining an application for international shipping operations, the department in charge of transportation under the State Council shall take into consideration the state policies regarding the development of the international maritime transportation industry and the competition in the international maritime transportation market.
If a party applies for the operation of international liner shipping when applying for the operation of international shipping, it shall attach the relevant materials as prescribed in Article 15 of these Regulations to be examined and registered by the department in charge of transportation under the State Council.

Article 7 Those operating the non-vessel shipping business shall register a bill of lading with the department in charge of transportation under the State Council and shall pay a security deposit.
The term "non-vessel shipping business" as used in the preceding paragraph shall refer to the international maritime transportation business operations of a non-vessel shipping operators to accept the cargo of the shipper as the carrier, take the freight charges from the shipper by issuing his own bills of lading or other transport documents, ship the international ocean goods through international shipping operators, and bear the responsibilities of the carrier.
In order to operate non-vessel shipping business within the territory of China, the party shall establish an enterprise with legal status within the territory of China according to the law.

Article 8 When filing the application for registration of bill of lading with the department in charge of transportation under the State Council, the non-vessel shipping operator shall attach the relevant materials proving the payment of security the deposit in accordance with the provisions of these Regulations.
The sum of the security deposit as prescribed in the preceding paragraph shall be CNY800,000 and an additional security deposit of CNY200,000 shall be required for each branch established. The security deposit shall be paid to a special account opened in a bank within the territory of China.
The security deposit shall be used to pay the debts and fines incurred due to the failure of the non-vessel shipping operator to perform the obligations of the carrier or the inappropriate performance of those obligations. The security deposit and the interests thereof shall belong to the non-vessel shipping operator. The special account shall be subject to the supervision of the department in charge of transportation under the State Council.
The department in charge of transportation under the State Council shall complete the examination within 15 days of the day of receiving the application of the non-vessel shipping operator for the registration of the bill of lading and the relevant materials of security deposit payment. If the application materials are true and complete, the registration shall be made and the applicant shall be notified. If, however, the application materials are untrue or incomplete, the registration shall not be made and the applicant shall be notified in written form with reasons for the denial explained. Those non-vessel shipping operators that have made the registration of bill of lading shall be recognized by the department in charge of transportation under the State Council.

Article 9 All parties shall meet the following conditions in order to operate the international ship management business:
1. Be granted the status of legal persons;
2. At least 2 of the senior managerial personnel have no less than 3 years' experience in the international ship management business.
3. Have personnel holding the post certificates of shipmaster and chief engineer in accordance with the relevant types of the managed ships and the shipping areas.
4. Have equipment and facilities accommodating to the international ship management business.

Article 10 In order to operate the international ship management business, the party shall file an application with the department in charge of transportation under the people's government of the province, autonomous region, or municipality directly under the administration of the State Council where the business to be operated is located, and shall attach the relevant materials meeting the conditions as prescribed in Article 9 of these Regulations. The department in charge of transportation under the people's government of the province, autonomous region, or municipality directly under the administration of the State Council shall finish the examination within 15 days from the day of receiving the application. If the application materials are true and complete, the registration shall be made and the applicant shall be notified. If the application materials are untrue or incomplete, the registration shall not be made, and the applicant shall be notified in written form with reasons for the denial explained.

Article 11 The international shipping operators, non-vessel shipping operators, and international ship management operators may not provide the operation qualifications they obtained according to law for the use of others.

Article 12 In the event that an international shipping operator, non-vessel shipping operator, or international ship management operator no longer meets the conditions as prescribed in these Regulations after obtaining the corresponding operation qualification according to the provisions of these Regulations, the department in charge of transportation under the State Council and the department in charge of transportation under the people's government of the province, autonomous region, or municipality directly under the administration State Council shall cancel his operation qualification immediately.

Chapter III International Maritime Transportation and the Auxiliary Business Operations Thereof

Article 13 If an international shipping operator operates the international liner shipping business into or out of Chinese ports, it shall, according to the provisions of these Regulations, obtain the operation qualification for international liner shipping.
Those parties lacking the operation qualification for international liner shipping may not engage in the business operations of international liner shipping and may not release the schedule to the public or accept booking for shipping space.
In regard to operating the international liner shipping by means of joint dispatch of ships, exchange of shipping space, associated operation, or etc., the provisions of the first paragraph of this Article shall be applicable.

Article 14 In order to operate the international liner shipping business, a party shall file an application with the department in charge of transportation under the State Council with the following materials attached:
1. Name, place of registration, copy of business license, and main capital subscribers of the international shipping operator.
2. Names and the identification certificates of the main managerial personnel of the operator.
3. Information regarding the ships used in business operations.
4. Sea route, schedule, and ports of call along the way of the vessels.
5. Freight rate book.
6. Bills of lading, passenger tickets, or multimode transport documents.
The department in charge of transportation under the State Council shall finish the examination within 30 days from the day of receiving the application for the operation of international liner shipping business. If the application materials are true and complete, the registration shall be made and the applicant shall be notified. If the application materials are untrue or incomplete, the registration shall not be made, and the applicant shall be notified in written form with reasons for the denial explained.

Article 15 Those international shipping operators that have obtained the operation qualification for international liner shipping should start sailing within 180 days from the day of obtaining the qualification. and may, with the approval of the department in charge of transportation under the State Council, extend the period for 90 days as a result of force majeure.
In cases of failure to start sailing within that period, the operation qualification for international liner shipping shall be forfeited upon the expiration of that period.

Article 16 In cases of the opening or termination of an international liner shipping route, or change of ships or schedules for international liner shipping, a public announcement shall be made 15 days in advance and the matter shall be reported to the department in charge of transportation under the State Council for record within 15 days from the day when the action is taken.

Article 17 The freight rate of an international shipping operator that operates international liner shipping and that of a non-vessel shipping operator shall be reported to the department in charge of transportation under the State Council for record according to the prescribed format. The department in charge of transportation under the State Council shall designate special agencies to accept the report of freight rate for their records.
The recorded freight rate falls into the categories of publicized freight rate and negotiated freight rate. The term "publicized freight rate" refers to the rate indicated on the freight rate book of the international shipping operator and the non-vessel shipping operator. The term "negotiated freight rate"refers to the freight rate agreed upon by the international shipping operator and the shipper or the non-vessel shipping operator.
Publicized freight rate shall take effect within 30 days from the day on which the department in charge of transportation under the State Council accepts the report for record. Negotiated freight rate shall take effect within 24 hours from the time when the department in charge of transportation under the State Council accepts the report for their records.
The international shipping operator and the non-vessel shipping operator shall carry out the recorded freight rate that has taken effect.

Article 18 When setting the negotiated freight rate with the non-vessel shipping operator, the international shipping operator shall confirm that the non-vessel shipping operator has made the registration of bill of lading and paid the security deposit according to the provisions of these Regulations.

Article 19 In the event that those international shipping operators engaging in international liner shipping make any liner conference agreement, operation agreement, freight rate agreement, or etc. between themselves, they shall submit a copy of the agreement to the department in charge of transportation under the State Council for record within 15 days from the day upon which the agreement is made.

Article 20 In the event that an international shipping operator has conducted any of the following actions, he shall report to the department in charge of transportation under the State Council for record within 15 days from the day upon which the action was taken:
1. Terminating the business operations.
2. Reducing the number of ships in operation.
3. Changing the bills of lading, passenger tickets, or multimode transport documents.
4. Establishing branches or subsidiaries in foreign countries to operate international shipping.
5. Registering the ships he owns in foreign countries and hanging foreign flags.
Where the international shipping operator adds ships in operation, the added ships shall conform to the standards of safety and technology as prescribed by the State and shall be reported to the department in charge of transportation under the State Council for record in 15 days before being put into operation. The department in charge of transportation under the State Council shall issue the certifications of record within 3 days from the day of receiving the materials for their records.
In the event that other state-owned enterprises have conducted any of the actions listed in Items 4 or 5 of the first paragraph of this Article, they shall complete the procedures for record according to the provisions of the first paragraph of this Article.

Article 21 Those entities that operate international shipping, non-vessel shipping, or the international ship agency business shall, when taking or taking as an agent the freight charges and other relevant charges within the territory of China, issue the invoices as uniformly printed by the taxation departments of China to the payers.

Article 22 Those that, in opposition to the provisions of these Regulations, fail to complete the registration of the bill of lading and pay the security deposit may not engage in the business of non-vessel shipping.

Article 23 Those engaging in the international shipping or non-vessel shipping business may not conduct the following actions:
1. Provide services at a freight rate lower than the normal and reasonable level to impede fair competition.
2. Give discounts to the shipper secretly or off the books to contract goods for shipping.
3. Abuse their superior status, and impairing the dealing party through discriminatory prices or other restrictive conditions.
4. Any other actions that impair the dealing party or the order of the international maritime transportation market.

Article 24 When engaging in the relevant activities of international shipping as prescribed in this Chapter, all foreign shipping operators shall observe the relevant provisions of these Regulations.
Foreign international shipping operators may not operate the shipping business between Chinese ports. Neither may they operate the shipping business between Chinese ports in disguised forms such as by using rented Chinese ships or shipping space, exchanging the shipping space, or etc.

Article 25 International ship agency operators may accept the entrustment of the ship owners, ship renters, or ship operators in order to operate the following businesses:
1. Handling the procedures for the entry and exit ports for ships, contacting for and arranging for piloting, berthing, and port handling.
2. Acting as an agent to endorse bills of lading, sign shipping contracts, and accept booking for shipping space.
3. Handling the Customs formalities of ships, containers, and goods.
4. Contracting goods for shipping, organizing cargo, and handling the consignment and trans-shipment of goods and containers.
5. Collecting freight charges and handling settlements as an agent.
6. Organizing passenger sources and handling relevant ocean passenger transport.
7. Any other relevant businesses.
International ship agency operators shall withhold and remit the taxes of the foreign international shipping operators for whom they act as an agent according to the relevant provisions of the State.

Article 26 International ship management operators may accept the entrustment of ship owners, ship renters, or ship operators in order to operate the following businesses:
1. The trading and leasing of ships and other management of ship assets.
2. Dealing with ship affairs, ocean affairs, and arrangements for maintenance.
3. Employing, training, and equipping the crews of ships.
4. Other services guaranteeing the technological state of the ships and normal sails.

Chapter IV Special Provisions on Foreign-funded International Maritime Transportation and the Auxiliary Businesses Thereof

Article 27 These Provisions shall be applicable to those foreign businessmen investing in and operating international maritime transportation and the relevant auxiliary businesses related to international maritime transportation within the territory of China. If there are matters that are not prescribed in this Chapter, the other relevant provisions of these Regulations shall be applicable.

Article 28 Upon approval by the department in charge of transportation under the State Council, foreign businessmen may, according to the relevant laws, regulations, and other relevant provisions of the State, invest in the establishment of Chinese-foreign equity joint venture enterprises or Chinese-foreign contractual joint ventures to operate the businesses of international shipping, international ship agency, international ship management, port handling of international maritime transportation, goods storage of international maritime transportation, or container stations and stacking of international maritime transportation and may invest to establish enterprises with foreign investment to operate the goods storage of international maritime transportation.
In regard to Chinese-foreign equity joint ventures engaging in international shipping or international ship agency, the proportion of investment contributed by the foreign party in the enterprise may not exceed 49%. In regard to Chinese-foreign contractual joint ventures engaging in international shipping or international ship agency, the provisions of the preceding paragraph shall be applicable in analogy to the proportion of investment of the foreign party in the enterprise.
The chairman of the board of directors and the general manager of a Chinese-foreign equity joint venture international shipping enterprise or a Chinese-foreign contractual cooperative international shipping enterprise shall be appointed by the Chinese party after negotiations by the two parties to the Chinese-foreign equity joint venture or contractual joint venture.

Article 29 Upon approval by the department in charge of transportation under the State Council, foreign businessmen may, according to the relevant laws and regulations and other relevant provisions of the State, invest to establish Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures, and enterprises with foreign investment to provide daily services such as the contracting goods for shipping, acting as an agent to endorse bills of lading, settling freight charges, signing service contracts, and etc. for the ships they own or operate. If no Chinese-foreign equity joint venture, Chinese-foreign contractual joint venture, or enterprise with foreign investment has been established within the territory of China, the aforesaid businesses shall be entrusted to the international ship agency operators in China.

Article 30 Those residential representative offices established within the territory of China by foreign international shipping operators and foreign international shipping auxiliary enterprises may not engage in business operations.

Chapter V Investigation and Treatment

Article 31 The department in charge of transportation under the State Council may, based upon a request by the interested persons or its own decision, conduct investigations in regard to the following situations:
1. In the event that a liner conference agreement, operation agreement, freight rate agreement, or etc. signed between those international shipping operators engaging in international liner shipping may impair fair competition.
2. In regard to the various kinds of associations generated through the agreements signed by those international shipping operators engaging in international liner shipping or if the shipping share of a sea route involving Chinese ports has continuously exceeded 30% of the shipping volume of that sea route for a year and may impair fair competition.
3. Any other action as prescribed in Article 24 of these Regulations.
4. Any other actions that may impair fair competition on the international maritime transportation market.

Article 32 The department in charge of transportation under the State Council may conduct investigations jointly with the department of industry and commerce administration and the department of price under the State Council (hereinafter referred to as the investigation departments).

Article 33 When conducting investigations, the investigation departments shall form investigation teams. There may be no less than 3 members in an investigation team. And the investigation teams may retain the relevant experts to participate in the work.
Before conducting the investigation, the investigation team shall inform the person under investigation of the purpose, reasons, and period of the investigation and other matters. The investigation period may not exceed 1 year and may be extended for half a year upon the approval of the investigation departments if necessary.

Article 34 When conducting investigations, the investigation personnel may ask the person under investigation and the units and individuals having business relations with him about the relevant information, and may consult and copy the relevant materials such as the relevant documents, agreements, contracts, account books, business letters, electronic data, and etc.
When conducting investigations, the investigation personnel shall keep confidential all the business secrets of the person under investigation and those units and individuals having business relations with him.

Article 35 The person under investigation shall accept the investigation, provide the relevant information and materials according to facts, and may not refuse the investigation or conceal the truth or give false information.

Article 36 After the completion of an investigation, the investigation departments shall make an investigation conclusion and notify the person under investigation and the interested persons in written form.
In regard to those impairing fair competition, the investigation departments may take prohibitive and restrictive measures such as ordering the amendment of relevant agreements, restricting the number of scheduled flights of a liner, suspending the rate books or the acceptance of record of freight rates, ordering the regular submission of relevant materials, and etc.

Article 37 Before making the decision to take prohibitive or restrictive measures, the investigation departments shall inform the concerned parties of their rights to require the holding of hearings. A hearing shall be held if the concerned parties require so.

Chapter VI Legal Responsibilities

Article 38 In the event that any party operates an international shipping business without obtaining an International Shipping License, the party shall be ordered to stop their business operations by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government. If there are any illegal gains, they shall be confiscated. If the illegal gains are no less than CNY500,000, a fine of no less than 2 times, but no more than 5 times the illegal gains shall be imposed. If there are no illegal gains or the illegal gains are less than CNY500,000, a fine of no less than CNY200,000, but no more than CNY1 million shall be imposed.

Article 39 In the event that any party operates the non-vessel shipping business without making the registration of bill of lading and paying the security deposit, they shall be ordered to stop their business operations by the department in charge of transportation under the State Council or the department in charge of transportation under the local people's government authorized by it. If there are any illegal gains, they shall be confiscated. If the illegal gains are no less than CNY100,000, a fine of no less than 2 times, but no more than 5 times the illegal gains shall be imposed. If there are no illegal gains or the illegal gains are less than CNY100,000, a fine of no less than CNY50,000, but no more than CNY200,000 shall be imposed.

Article 40 In the event that any party operates international shipping agency business or international shipping management business without going through registration procedures, the party shall be ordered to stop business operations by the competent transportation authority of the province, autonomous region or municipality directly under the Central Government of the place where the business is located. If there are any illegal gains, such gains shall be confiscated. If the illegal gains are no less than CNY50,000, a penalty of between two times and five times of the illegal gains shall be imposed. If there are no illegal gains or the illegal gains are less than CNY50,000, a penalty of between CNY20,000 and CNY100,000 shall be imposed.

Article 41 In the event that any foreign international shipping operator operates the shipping business between Chinese ports, or operates the shipping business between Chinese ports in forms such as using rented Chinese ships and shipping space, exchanging the shipping space, or etc., they shall be ordered to stop the business operations by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government. If there are any illegal gains, they shall be confiscated. If the illegal gains are no less than CNY500,000, a fine of no less than 2 times, but no more than 5 times the illegal gains shall be imposed. If there are no illegal gains or the illegal gains are less than CNY500,000, a fine of no less than CNY200,000, but no more than CNY1 million shall be imposed. If the operator refuses to stop the business operations, the operator will be rejected from entering the port and, if the circumstances are serious, the operator's qualification for international liner shipping shall be cancelled.

Article 42 In the event that any party operates the international liner shipping business without obtaining the operation qualification for international liner shipping, the party shall be ordered to stop the business operations by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government. If there are any illegal gains they shall be confiscated. If the illegal gains are no less than CNY500,000, a fine of no less than 2 times, but no more than 5 times the illegal gains shall be imposed. If there are no illegal gains or the illegal gains are less than CNY500,000, a fine of no less than CNY200,000, but no more than CNY1 million shall be imposed. Those refusing to stop the business operations shall be rejected from utilizing the port.

Article 43 In the event that any international shipping operator, non-vessel shipping operator, or international ship management operator provides his operation qualification as obtained according to the law for others to use, he shall be ordered to make corrections within a limited period by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government. If the operator fails to correct his actions within the limited period, the operator's qualification for international liner shipping shall be cancelled.

Article 44 In the event that a party fails to complete the procedures for record as prescribed in these Regulations, they shall be ordered to complete the procedures as prescribed in these Regulations for the records within a limited period by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government authorized by it. Anyone failing to complete the procedures within the limited period shall be fined no less than CNY10,000, but no more than CNY50,000 and the party's corresponding qualifications shall be cancelled.

Article 45 In the event that any party fails to complete the procedures for the records of freight rate as prescribed in these Regulations or fails to carry out the recorded freight rate, the party shall be ordered to correct its acts within a limited period by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government, and be imposed upon with a fine of no less than CNY20,000, but not more than CNY100,000.

Article 46 In the event that any party shall be given administrative punishment according to the investigative conclusion or has committed any of violations of the law listed in Article 24 of these Regulations, he shall be administered punishment by the department in charge of transportation, the department in charge of price or the department of industry and commerce administration according to the provisions of the relevant laws and regulations.

Article 47 In the event that any international shipping operator agrees upon a negotiated freight rate with the non-vessel shipping operator that fails to make registration of the bill of lading and pay the security deposit, they shall be given a warning by the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government, and be fined no less than CNY20,000, but no more than CNY100,000.

Article 48 If the residential representative office of a foreign international shipping operator or foreign international maritime transportation auxiliary enterprise engages in business operations, it shall be ordered to stop the business operations by the department of industry and commerce administration and punished according to the law.

Article 49 In the event that any party refuses the investigation as conducted by the investigation departments and their functionary according to the law, or conceals the relevant information or materials or gives false information, the party shall be ordered to correct its acts by the department in charge of transportation under the State Council or the department in charge of transportation under local people's government authorized by it and be fined no less than CNY20,000, but no more than CNY100,000.

Article 50 In the event that any party illegally engages in the business operations of international maritime transportation into and out of Chinese ports and the auxiliary business operations related to international maritime transportation and disturbs the order of the international maritime transportation market, the party shall be investigated for criminal responsibilities according to the provisions of the Criminal Law regarding the crimes of illegal business operations.

Article 51 In the event that any working personnel of the department in charge of transportation under the State Council or the department in charge of transportation under the relevant local people's government has conducted any of the following actions, caused serious consequences, or violated the criminal laws, they shall be investigated for criminal responsibilities according to the provisions of the Criminal Law regarding the crime of abusing powers, neglecting duties, or other crimes. If the case is not serious enough to be subject to criminal penalties, administrative punishments shall be administered according to the law:
1. Failure to make examination and approval of, to license, to register or to put on record the applicants who meet the conditions as prescribed in these Regulations, or making examination and approval of, licensing, registering or putting on record the applicants who do not meet the conditions as prescribed in these Regulations.
2. Failure to supervise and administer those international shipping operators, non-vessel shipping operators, and international ship management operators that have been examined and approved, licensed, registered, and put on record or failing to cancel the operation qualification of those operators that have been found to no longer meet the conditions as prescribed in these Regulations, or failing to investigate and punish those operators that have been found to have committed violations of the law.
3. Failure to immediately ban the business operations of international maritime transportation and the auxiliary business operations related to international maritime transportation, which have been discovered during supervision and inspection, conducted by the units and individuals that have not gone through the procedures for examination and approval, license, registration, and recording according to the law or failing to deal with the cases according to the law after receiving reports.

Chapter VII Supplementary Provisions

Article 52 These Regulations shall be applicable in analogy to the international maritime transportation businesses and auxiliary businesses related to international maritime transportation operated in the Chinese mainland with investment of the investors from Hong Kong Special Administrative Region, Macao Special Administrative Region, and the Taiwan area.

Article 53 Without approval of the department in charge of transportation under the State Council, foreign international shipping operators may not operate the shipping business between the Chinese mainland and the Hong Kong Special Administrative Region or Macao Special Administrative Region and may not operate the shipping businesses between the Chinese mainland and Taiwan through direct two-way sailing or by passing through a third location.

Article 54 The administration measures governing maritime transportation between the Chinese mainland the Hong Kong Special Administrative Region or Macao Special Administrative Region shall be formulated by the department in charge of transportation under the State Council according to these Regulations.
Maritime transportation between the Chinese mainland and the Taiwan area shall be handled in accordance with the relevant provisions of the State.

Article 55 In the event that any country or region adopts discriminatory, prohibitive, restrictive, or other similar measures against the international maritime transportation operators, the ships, or ship crews of the People's Republic of China, the Government of the People' s Republic of China shall take the corresponding measures based on the principle of reciprocity.

Article 56 Those entities that have already engaged in the business operations of international maritime transportation and the auxiliary business operations related to international maritime transportation shall complete the relevant procedures within 60 days from the day of the promulgation of these Regulations according to the provisions of these Regulations.

Article 57 These Regulations shall be implemented as of January 1, 2002. The Administrative Provisions of the People's Republic of China on International Maritime Container Transportation as promulgated by the State Council on December 5, 1990 and amended and re-promulgated by the State Council on April 18, 1998 shall be simultaneously repealed.