RESTRICTED WORLD TRADE ORGANIZATION
ORGANISATION MONDIALE DU COMMERCE
ORGANIZACIÓN MUNDIAL DEL COMERCIOWT/ACC/CHN/40
9 November 2000
(00-4759)
Working Party on the
Accession of ChinaOriginal:  English/
anglais/
inglés
COMMUNICATION FROM CHINA
The Chinese delegation has submitted today the following documentation1:
- Note of the Chinese Representative on the Notification of Legislation Information and the
Plan for the Revision of China's Laws and Regulations
- China's Laws and Administrative Regulations Adopted and Promulgated from January to
October 2000.
- Revision of China's Laws in Conformity with the WTO Agreement.
Groupe de travail de
l'accession de la Chine
COMMUNICATION DE LA CHINE
La délégation de la Chine a communiqué aujourd'hui la documentation ci-après1:
- Note du Représentant de la Chine concernant la notification d'information sur la législation et
le Plan de révision des lois et réglementations de la Chine
- Lois et règlements administratifs de la Chine adoptés et promulgués de janvier à octobre 2000.- Révision des lois de la Chine conformément à l'Accord sur l'OMC.
Grupo de Trabajo sobre la
Adhesión de China
COMUNICACIÓN DE CHINA
La delegación de China ha presentado hoy la documentación siguiente1:
- Nota del Representante de China sobre la notificación de información relativa a la legislación
y el plan de revisión de las leyes y reglamentos de China.
- Leyes y reglamentos administrativos de China adoptados y promulgados de enero a octubre
de 2000.
- Revisión de las leyes de China de conformidad con el Acuerdo sobre la OMC.
                                                     
1 In English only./En anglais seulement./ En inglés solamente.WT/ACC/CHN/40
Page 2
NOTE OF THE CHINESE REPRESENTATIVE ON THE NOTIFICATION OF
LEGISLATION INFORMATION AND THE PLAN FOR THE REVISION OF CHINA’S
LAWS AND REGULATIONS
9 November 2000
- 
I. Notification on the Trade-Related Laws and Regulations
 In March 2000, the Chinese delegation submitted to the WTO Secretariat the “List of Laws
and Regulations Related to Foreign Trade (1949-1999)”(hereinafter referred to as the List). The List
was prepared in accordance with the requirements regarding the accession negotiation procedures
under Article 12 (see, WT/ACC1, 25 April 1995) and compiled under 5 headings, i.e., Customs
Administration, Import/Export Administration, Fore ign Investment, Other Economic Legislation
Affecting Trade and Legislation Relating to Trade in Services. It contains 177 laws and regulations,
most of which are translated into English and entered into a CD ROM for the reference of the
Working Party members.
 Since the beginning of this year, 38 laws, amendments to laws and administrative regulations
have been adopted and promulgated. Among them, 28 were promulgated from January to August and
submitted to the WTO Secretariat during the 12th m eeting of the Working Party (for details, see the
Notification of China's Laws and Administrative Regulations adopted and promulgated between
January and October annexed to this Note).
II. Conformity of China’s Laws and Regulati ons Currently in Force with the WTO Agreement
 It must be clarified and stressed that the laws and administrative regulations included in the
List are submitted for the purpose of providing information to the Members, and the majority of them
are in conformity with the rules of the WTO Agr eement. The reason for that lies in the following
facts: since China’s Reform and Opening-up in the late 1970s, especially for the last 10 years or so,
China has consistently paid great attention to ab sorbing and making reference to the international
practices in its legislation and the harmonization of its legislation with commonly accepted
international practices, including the rules of GATT/ WTO. This has actually been followed by China
as an important guiding principle for the formulation or revision of relevant laws and regulations.Therefore, the majority of China’s relevant laws are not inconsistent with the WTO Agreement.
- 
III. Revision of China’s Laws and Regulations Currently in Force
 In order to fully perform China’s international obligations and ensure that the WTO
Agreement will be implemented effectively and uniformly in China after accession, the Chinese
Government has initiated an action plan for revising its laws, based upon a thorough review of the
existing laws and regulations. The 36 laws and administrative regulations included in the up-datedList for revision submitted to the Working Party Members on the 13th Working Party meeting have
been selected from the 177 laws and regulations. They have been identified as not fully consistent
with the WTO Agreement.
 Additionally, the Chinese Government has made great efforts to organize various government
departments in reviewing and examining relevant department rules. Consequently, 120 department
rules are found not fully in conformity with the WT O Agreement. Some of them have been abolished
and others will either be abolished or revised. A plan for their abolishment or revision is also included
in the updated List.WT/ACC/CHN/40
Page 3
In the TRIPS-related area, the Standing Committee of the National People’s Congress
adopted the Decision for Revising the Patent Law on 25 August 2000, which makes this Law in
conformity with TRIPS. China’s Trademark Law currently in force is also identified as not fully
consistent with TRIPS in respect of its provisions for judicial remedies granted to parties and its
corresponding provisions relating to geographical indications, etc.. It is now under revision accordingto the criteria set by TRIPS. Besides, the protection of collective and famous trademarks used to be
provided for by administrative regulations or department rules. They are going to be incorporated into
the Amendment proposal to the Trademark Law. Nor is China’s Copyright Law currently in force
fully consistent with TRIPS in respect of its provisions for protection of the rental rights of computer
programs and cinematographic works, etc.. It is now being revised pursuant to the criteria set by
TRIPS as well as other relevant international conventions. These two Amendment proposals to the
Trademark Law and the Copyright Law are to be submitted by the State Council to the StandingCommittee of the National People’s Congress for review in its coming December session. After the
adoption of these Amendments, the protection of trademarks and copyright in China will fully satisfy
the requirements of TRIPS.
In terms of the customs-related laws and regulations, the Standing Committee of the National
People’s Congress adopted the Decision for Revising the Customs Law on July 8, 2000. The
provisions of the revised Customs Law regarding customs valuation, the determination of product
origin and the protection of intellectual property rights of import and export products are in
conformity with the Agreement on the Implementation of Article VII of GATT 1994, the Agreement
on Rules of Origin and TRIPS.
In terms of the laws relating to TRIMs, the draft Amendments to the Law on Chinese-foreign
Equity Joint Ventures, the Law on Chinese-foreign Contractual Joint Ventures and the Law on
Foreign Capital Enterprises were submitted to the Standing Committee of the National People’s
Congress by the State Council in September 2000. To be consistent with TRIMs, the draftAmendments have deleted the requirements for foreign-investment enterprises to give priority to
purchases in China, maintain a balance between their foreign exchange receipts and expenditures and
export their products. The draft Amendments to the Law on Chinese-foreign Contractual Joint
Ventures and the Law on Foreign Capital Enterprises were adopted on October 31. The revision of the
Law on Chinese-foreign Equity Joint Venture is a special case. That Law was made in 1979 and is thefirst law enforcing China’s Reform and Opening policy. In order to keep the consistency of the
Opening-up policy, Article 15 of the said Law provides that the power to revise this Law is vested
with the National People’s Congress. Because of this procedural requirement and since the session of
the National People’s Congress convenes only once a year, the Standing Committee made a decision
on October to submit the Amendment to that Law to  the National People’s Congress for adoption in
its March 2001 session.WT/ACC/CHN/40
Page 4
CHINA’S LAWS AND ADMINISTRATIVE REGULATIONS
ADOPTED AND PROMULGATED
FROM JANUARY TO OCTOBER 2000
Submitted on 9 November 2000
1. Law of the P.R.C. on Legislation (Adopted on March 15, 2000)
2. Law on the Prevention and Control of Air Pollution of the P.R.C.
(Adopted on April 29, 2000)
3. Product Quality law of the P.R.C. (Revision) (Adopted in June 2000)4. Crop Seed Law of the P.R.C. (Adopted in June 2000)
5. Customs Law of the P.R.C. (Revision) (Adopted in June 2000)
6. Patent Law of the P.R.C. (Revision) (Adopted in August 2000)
7. Decision on the Strengthening of Supervision on Economic work
(Adopted on March 1, 2000)
8. On the Interpretation of paragraph 2 of Article 93 of the “Criminal Law of the P.R.C.
(Adopted on April 29, 2000)
9. Law on the Common National Spoken and Written Language (Adopted on October 31, 2000)
10. Law on the Protection of Returned Overseas Chinese and Their Relatives (Revision)
(Adopted on October 31, 2000)
11. Law on the Fishery Industry (Revision) (Adopted on October 31, 2000)
12. Law on the Chinese-Foreign Contractual Joint Ventures (Revision)
(Adopted on October 31, 2000)
13. Law on the Foreign Capital Enterprises (Revision) (Adopted on October 31, 2000)
14. Regulations on Supervision and Management of Medical Apparatus and Instruments
(Adopted on January 4, 2000)
15. Measures for the Fifth National Census (Adopted on January 25, 2000)16. Regulations on the Implementation of the Forestry Law of the P.R.C.
(Adopted on January 29, 2000)
17. Regulations concerning the Quality Management of Construction Projects
(Adopted on January 30, 2000)
18. Regulations on Renminbi (RMB) Administration (Adopted on February 3, 2000)19. Interim Regulations Concerning the Disciplinary Sanction on Activities violating the
Separated Management of Administrative and Institutional Charges and Fees as well as
Revenues from Penalties and Confiscation (Adopted on February 12, 2000)
20. Interim Regulations of the Board of Supervisors of Key State-Owned Financial Institutions
(Adopted on March 15, 2000)(Adopted on March 15, 2000)
22. Implementing Rules of the Law on the Prevention and Control of Water Pollution
(Adopted on March 20, 2000)
23. Provisions on the Real-name Requirement  of Individual Savings Deposit Account
(Adopted on March 20, 2000)
24. Interim Measures on the Management of Risk Funds for Stock Exchanges
Approved on January 31, 2000)
25. Interim Measures on the Management of Risk Fund for Securities Settlement
(Approved on January 31, 2000)
26. Provisions on the Standards of Scope and Scale of Construction Projects for Bidding
(Approved in April 2000)WT/ACC/CHN/40
Page 5
27. Interim Measures on the Supervision and Administration on Export Processing and
Manufacturing Areas by the Customs Administrations (Approved on April 27, 2000)
28. Interim Measures for Compensating Flood Storage and Capture Areas
(Adopted on May 27, 2000)
29. Implementing Rules of the Law on Statistics (Approved on June 15, 2000)
30. Regulations on Enterprise Financial Reports (Adopted on June 21, 2000)31. Basic Rules for the Flying of Aircraft (Adopted on July 24, 2000)
32. Provisions for the Maintenance and Management of National Defense Projects
(Adopted on July 24, 2000)
33. Measures for the Sample of Marks of the Title of People’s Police Officers and Their Way of
Wearing (Adopted in August 2000)
34. Measures on the Implementation of the Law of the People’s Republic of China on the
Practicing Doctors by the People’s Liberation Army (Adopted on September 14, 2000)
35. Regulations on Telecommunications (Adopted on September 25, 2000)
36. Measures on the Administration of Internet Content Service
Adopted on September 25, 2000)
37. Regulations on the Administration of Prospecting and Designing of Construction Projects
(Adopted on September 25, 2000)
38. Interim Regulations on the Vehicle Purchasing Tax (Adopted on October 22, 2000)WT/ACC/CHN/40
Page 6 REVISION OF CHINA’S LAWS IN CO NFORMITY WITH THE WTO AGREEMENT
9 November 2000
The People’s Republic of China has conducted an intensive work program to review and revise its laws, administrative regulation s and department rules
relating to the implementation of the WTO Agreement and China’s accession commitments. A list of China’s laws, administrative r egulations and department
rules to be revised and abolished is hereby notified to the Working Party.
Part I of the list contains 36 laws and administrative regulations, some of which have already been included in the lists submi tted to the Working Party at
its June, July and September meetings. These 36 laws and regulations can be classified into two categories: the majority of the m, as not fully consistent with the
WTO Agreement are to be revised and a few to be formulated. Those to be revised are selected from the list of 177 laws and regu lations notified to the WTO
Secretariat in March 2000. China has already completed the revision of a group of relevant laws, such as the Customs law and th e Patent Law. And in September
2000, the State Council (the Central Government) again submitted a group of Amendment Proposals to the Law on Chinese-Foreign E quity Joint Ventures, the
Law on Chinese-Foreign Contractual Joint Ventures and the Law on Foreign Capital Enterprises to the Standing Committee of the N ational People’s Congress for
review and adoption. Consequently, the latter two Amendments were adopted on October 31, 2000, while a decision adopting the fi rst one was made by the
Standing Committee of the National Congress on the same day. Therefore, the Amendment to the Law on Chinese-Foreign Equity Join t Ventures shall be
submitted for adoption to the National People’s Congress (to be convened in March 2001). The reason for this additional procedu re is that for Article 15 of the
said law stipulates that the power to amend this Law is vested with the National People’s Congress. Moreover, the State Council  plans to submit the Amendment
Proposals to the Copyright Law and the Amendment to the Trademark Law to the Standing Committee of the National Congress for re view and adoption in
December 2000. All these efforts clearly demonstrate that China is responsible in performing its commitments by taking effectiv e measures.
Part II of the list has also revised to the extent that specific dates set. This part of the list for revision or abolishment i ncludes 120 department rules to be
revised or abolished for the same reason.
This list gives (1) the names of laws, administrative regulations and department rules; (2) reasons for revision or abolishment ; and (3) specific dates for
revision, formulation or abolishment.WT/ACC/CHN/40
Page 7PART I: LAWS AND ADMINISTRATIVE REGULATIONS
(November 2000)
Laws and Regulations RELEVANCE OF THE LAWS OR REGULATIONS TO WTO COMPLIANCE Date of Revision
1. Contract Law of the
People’s Republic of China    This Law was adopted in March 1999. It abolished the different systems applicable to
domestic contracts and foreign-related contracts and repealed the Economic ContractLaw, Technology Contract Law and Foreig n Economic Contract Law. It provides
uniform rules for transactions, which conforms to the requirements of market econom
y
and is consistent with the principles of the WTO Agreement.March 1999
2. Law of the People’s
Republic of China on Chinese-foreign Equity Joint VenturesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Article 9 (2) of this Law is to be revised. The Standing Committee made a decision o
n
October 31, 2000 to submit the Amendment to this Law to the National People’sCongress for adoption in its March 2001 session.
Article 9 (2) provides that, in its purchase of required raw and semi-processe
d
materials, fuels, auxiliary equipment, etc., an  equity joint venture should give priority to
purchases in China. It may also make such purchases directly on the world market with
foreign exchange raised by it.March 2001WT/ACC/CHN/40
Page 83. Regulations for the
Implementation of the Law ofthe People’s Republic of Chinaon Chinese-foreign Equit
y
Joint Ventures    To be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Articles 46, 57 and 75 of these Regulations are to be revised.
Article 46 provides that the technology transfer agreements concluded by a joint
venture shall be examined and agreed to by the department in charge of the joint venture,
and then submitted to the examining and approving authorities for approval.
Technology transfer agreements shall comply with the following stipulations:
        (1) Fees for the use of technology shall be fair and reasonable. Payments aregenerally made in royalties, and the royalty ra te shall not be higher than the international
standard, which shall be calculated on the basis of net sales of the products turned outwith the relevant technology or in other reasonable ways agreed upon by both parties.
(2) Unless otherwise agreed upon by both parties, the technology exporting part
y
shall not put any restrictions on the quantity, price or region of sale of the products thatare to be exported by the technology importing party.
(3) The term for a technology transfer agreement is generally not longer than 10
years.
(4) After the expiration of a technology transfer agreement, the technolog
y
importing party shall have the right to continue to use the technology.
(5) The exchange of information on the im provement of the technology between the
parties shall be conditioned upon reciprocity.
(6) The technology importing party shall have  the right to buy the equipment, parts
and raw materials needed from sources they deem appropriate.
(7) No irrational restrictive clauses prohibited under Chinese law and regulations
shall be included.
Article 57 prescribes that, in its purchase of required machinery, equipment, raw
materials, fuels, parts, means of transport and office equipment, etc., a joint venture hasthe right to decide whether it buys them in China or from abroad. However, where theterms are the same, it shall give priority to purchasing them in China.
Article 75 stipulates that a joint venture shall in general maintain a balance betwee
n
its foreign exchange receipts and expenditures.  Where a joint venture, whose products are
mainly sold on the domestic market under its approved feasibility study report an d
contract, sustains an imbalance of its foreign exchange receipts and expenditures, theimbalance shall be remedied by the people's government of a relevant province,autonomous region or municipality directly under the Central Government or thedepartment in charge under the State Council from their own foreign exchange reserves.
If the imbalance defies solution through such adjustment, it shall be solved throughinclusion into the plan by the MOFTEC an
dthe State Planning Commission of the
People's Republic of China after their examination and approval.March 2001WT/ACC/CHN/40
Page 94. Law of the People’s
Republic of China on Chinese-foreign Contractual JointVenturesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Article 20 of this Law is revised. The Amendment to this Law was adopted by theStanding Committee of the National People’s Congress on October 31, 2000.
Article 20 provides that a contractual joint venture shall achieve on its own the
balance between its foreign exchange receipts and expenditures. If a contractual joint
venture is unable to do so, it may, in accordance with relevant laws and regulations, applyto the appropriate authorities for assistance.October 2000
5. Law of the People’s
Republic of China on ForeignCapital EnterprisesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Articles 3 (1), 15 and 18 (3) are revised. The Amendment to this Law was adopted by theStanding Committee of the National People’s Congress on October 31, 2000.
Article 3 (1) provides that foreign investment enterprises shall be established in such
a manner as to help the development of China's economy; they shall use advance
d
technology and equipment or export all or most of their products.
Article 15 stipulates that, within the scope of businesses approved, foreign
investment enterprises may purchase, either in China or from the world market, raw an d
semi-processed materials, fuels and other materials they need. Where these materials areavailable from both sources on similar terms, priority should be given to purchases i
n
China.
Article 18 (3) provides that foreign investment enterprises shall manage to balance
their foreign exchange receipts and payments. If, with the approval of the competentauthorities, the enterprises market their products in China and consequently experience animbalance in foreign exchange, the said auth orities shall help them solve the problem.October 2000WT/ACC/CHN/40
Page 106. Detailed Rules for the
Implementation of the Law ofthe People’s Republic of Chinaon Foreign Capital EnterprisesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Articles 3 and 56 of these Rules are to be revised.
Article 3 provides that a foreign capital enterprise to be established in China must be
conducive to the development of China's economy and capable of gaining remarkableeconomic results. In addition, it shall meet at least one of the following conditions:    (1) The enterprise is to adopt advanced technology and equipment, engage in thedevelopment of new products, save energy and raw materials, and realize the upgradingof products and the substitution of them for imports.    (2) The value of annual exporte
dproducts shall account for more than 50% of that of
all its products thereby realizing a balance betw een its foreign exchange receipts an d
expenditures or a surplus.
Article 56 stipulates that a foreign capital enterprise shall achieve by itself the
balance of foreign exchange receipts and expenditures. Where it is unable to do so, the
foreign investor shall indicate it clearly in the application for the establishment of theenterprise, and put forward a specific plan for solving the problem; the examining an
d
approving organ shall give a reply after c onsultation with the departments concerned.
Where the foreign investor has indicate d, in the application for the establishment of
the foreign capital enterprise, that the balance of foreign exchange receipts an d
expenditures would be achieved by itself, no government department shall be responsiblefor solving the balance problem for the said enterprise.
Where the products manufactured by a foreign capital enterprise, which are urgently
needed in China and may substitute for imports, are 
permitted to be sold in China, the
payments may be made in foreign exchange, subject to the approval by the Chinese
administration for foreign exchange control.Prior to accession
7. Regulations of the People’s
Republic of China on theExploitation of Off-shorePetroleum Resources inCooperation with ForeignEnterprisesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Article 20 of these Regulations is to be revised.
Article 20 provides that, with respect to the equipment and materials required to
carry out the petroleum contract, the operator and subcontractors must give preference to
procuring and utilizing equipment and materials manufactured and supplied in the
People's Republic of China, provided that those products are competitive.Prior to accession
8. Regulations of the People’s
Republic of China Concerningthe Exploitation of On-shorePetroleum Resources inCooperation with ForeignEnterprisesTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Article 22 (1) of these Regulations is to be revised.Article 22 (1) provides that, given equal conditions in and outside China, the operatorsshall to the extent possible give preference to purchase in China the machinery,equipment, raw materials, accessories, means of transportation and office furniturerequired for the petroleum operations.Prior to accessionWT/ACC/CHN/40
Page 119. Interim Provisions on
Guiding Foreign InvestmentTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List”,
Article 11 of these Provisions and the Catalogue for the Guidance of Industries fo r
Foreign Investment are to be revised.    Article 11 provides that, restricted foreign investment projects (A) within the scopespecified in subparagraph (1) of Article 6, if their export sales of products account fo
r
over 70 percent of the total sales of products may be, with due approval, deemed as
permitted foreign investment projects, and shall not be subject to the restriction of Article
9 of these Provisions. Restrictions may be appropriately relaxed to the above mentione d
foreign investment projects that can really make full use of the superiority in resources inthe Mid-West, and conform to the industrial policies of the State.Prior to accession
10. Foreign Trade Law of the
People’s Republic of ChinaTo be in compliance with Article 2 of TRIMS and its Annex “Illustrative List” as
well as GATT 1994, Article 9 of this Law is to be revised.
Article 9 provides that foreign trade operators handling the import and export of
goods or technologies must satisfy the following conditions, and obtain the permissionfrom the competent department in charge of foreign economic relations and trade unde
r
the State Council:
(1) having their own names and organizational structures;
(2) having clear-cut business scopes of foreign trade;
(3) having premises, funds and professionals needed for the foreign 
trade business they are engaged in;
(4) having fulfilled the required performance or having necessary 
sources of goods for import and export in the case of entrusting others to handle imports and exports; and
(5) other conditions provided by laws and administrative rules and 
regulations.
The measures for the implementation of the provisions of the preceding paragraph
shall be formulated by the State Council.    Enterprises with foreign investment shall be free from obtaining the permission asstipulated in the first paragraph of this Article, if the
y, in accordance with the laws an d
administrative rules and regulations govern ing enterprises with foreign investment,
import non-productive goods for their own use, or necessary equipment, raw materialsand other goods for their production, or export their own products.April 2001WT/ACC/CHN/40
Page 1211. Regulations of the People’s
Republic of China on Anti-dumping and  CountervailingMeasuresTo be in compliance with Article 5 of the Agreement on Implementation of Article
VI of the GATT 1994, Articles 11 and 18 of these Regulations are to be revised.
Article 11 provides that any domestic producer of the like or similar product of an
imported product or any organization concerned may, in accordance with the provisionsof these Regulations, submit a written petition for an anti-dumping investigation to theMinistry of Foreign Trade and Economic Cooperation.
Article 18 prescribes that, under one of the following circumstances, an anti-
dumping investigation shall be terminated and the Ministry of Foreign Trade an
d
Economic Cooperation shall announce it:
(1) The petitioner withdraws the petition;
(2) There exists no dumping and injury upon the preliminary rulings;
(3) There exists no dumping and injury upon the final rulings; or
(4) The margin of dumping or the import volume of the dumped product may
be neglected.Prior to accession
12. Interim Measures fo r
Import Administration of
Machinery and ElectronicProductsTo be in compliance with the principles of GATT 1994, the provisions on quota,
approval, registration and other measures concerning the import of important machiner
y
and electronic products (including spinning machines) in these Measures are to berevised.April 2001WT/ACC/CHN/40
Page 1313. Customs Law of the
People’s Republic of ChinaThe Amendment of this Law was adopted on July 8, 2000, which conforms to the
Agreement on Implementation of Article VII of GATT 1994, the Agreement on Rules ofOrigin and TRIPS.
Article 38 of the old Customs Law stipul ated that the duty-paying value of an
import item shall be its normal CIF price, which shall be approved by the Customs; theduty-paying value of an export item shall be its normal FOB price, which shall beapproved by the Customs, minus the export duty. Where it is impossible to ascertain theCIF or FOB prices, the duty-paving value of an import or export item shall be fixed b
y
the Customs. The duty-paying value of an inward or outward article shall be fixed by theCustoms.
This Article is changed to be Article 55 in the new Customs Law. It stipulates that
the duty-paying value of an import or export  item shall be examined and determined b
y
the Customs, on the basis of the transaction value of these goods. Where it is impossible
to determine the transaction value, the duty -paying value shall be fixed by the Customs
according to the law. The duty-paying value of  an import item shall include the price of
the goods, freight and other related charges as well as insurance premiums incurred prio r
to the unloading of the goods at the port of entry within the territory of the People's
Republic of China; the duty-paying value of an export item shall include the price of thegoods, freight and other related charges as well as insurance premiums incurred prior tothe loading of the goods at the port of exit in the territory of the People's Republic ofChina, but the amount of the export duties included therein shall be deducted. The duty-
paying value of an inward or outward artic le shall be determined by the Customs
according to law.
Moreover, the provisions on the determination of origin of goods and the protection
of intellectual property relating to imports or exports are added respectively to Articles 41and 25 of the new Customs Law.
Article 41 provides that the origin of imports or exports shall be determined in
accordance with the provisions of the rules of the State on origin.
Article 25 prescribes that Customs shall protect intellectual property relating to
imports or exports in accordance with the provisions of laws and administrativeregulations. Where it is necessary to declare the intellectual property rights relating toimports or exports to the Customs, the consignor of the inward or outward goods or hisagents shall, in accordance with the State provisions, truthfully do so and provide thedocuments certifying his legitimate use of the intellectual property.
For the relevant rules of the State on origin, see Item 15 in this Table. For the
relevant Customs protection of intellectual property, see Item 22 in this Table.July 2000WT/ACC/CHN/40
Page 1414. Regulations of the People’s
Republic of China on Importand Export DutiesArticles 10, 11, 15, 16 and 17 of these Regulations are to be revised, in order that
they are in compliance with the provisions of the Agreement on Implementation ofArticle VII of GATT 1994, which concerns the basis of customs valuation as well as themethods and procedures to determine the transaction value,
Article 10 provides that the dutiable value of the goods to be imported shall be
assessed according to the CIF price based on the normal transaction price verified b
y
Customs. The CIF price shall cover the price of the goods, packing charges, freight,insurance premiums and other service charges incurred prior to the unloading of thegoods at the port of entry in the territory of the People's Republic of China.
Article 11 stipulates that, if through examination, unable to determine the CIF price
of an imported ite
m, Customs shall assess its dutiable value based successively on the
following prices:
(1) the transaction price of an item equivalent or similar to and from the
same country or region of origin as, the imported item;
(2) the transaction price on the international market of an item equivalent or
similar to the imported item;
(3) the wholesale price on the domestic market of an item equivalent or
similar to the imported item, minus import duty, other import-linked taxes or duties and
the post-import transport, storage and business costs and after-profit price;
 (4) a price valued by Customs using other reasonable methods.
Article 15 prescribes that the dutiable value of the goods to be imported shall include feesfor patents, trademarks, copyright, proprietary technology, computer software,
information, etc., which are incurred in relation to the said imports and paid to foreign
parties in order that the goods may be manufactured, used, published or distributed
domestically.
Article 16 provides that the dutiable value of goods to be exported for sale abroa
d
shall be identical to the FOB price of the goods with export duties deducted. The above
FOB price shall be subject to the examinati on and approval of the Customs. If unable to
determine the FOB price of the exported goods, Customs shall assess the dutiable value.
Article 17 provides that the consignee and consignor of imports or exports or thei r
agents shall accurately declare the transaction price of the said imports or exports. If thedeclared transaction price is significantly lower or higher than the transaction price ofequivalent or similar goods, Customs shall determine the dutiable value pursuant to theprovisions of these Regulations.Prior to accession
15. Rules of the People’s
Republic of China on theOrigin of Export Commodities    To be in compliance with the Agreement on Rules of Origin, the Rules of the People’s
Republic of China on the Origin of Export Commodities and the Interim Provisions of theCustoms of the People’s Republic of China on the Origin of Import Commodities are to
be revised and incorporated into one single uniform Rules of Origin of the People’s
Republic of China.June 2001WT/ACC/CHN/40
Page 1516. Regulations of the People’s
Republic of China onSafeguards    To be in compliance with the Agreement on Safeguards, these Regulations are to be
formulated.Prior to accession
17. Regulations of the People’s
Republic of China on theAdministration of FinancialInstitutions with ForeignCapital    To be in compliance with the principles and rules of GATS, the provisions of these
Regulations not adaptable to business operations of financial institutions with foreigncapital in China are to be revised.June 2001
18. Regulations of the People’s
Republic of China on theAdministration of InsuranceCompanies with ForeignCapital    To be in compliance with the principles and rules of GATS as well as China’s
commitments, these Regulations are to be formulated.April 2001
19.Measures fo r
Administration of Stoc k
Exchanges         To be in compliance with the principles and rules of GATS as well as China’s
commitments, Article 41 of these Measures is to be revised.
Article 41 provides that members accepted by stock exchanges shall be the
domestic securities trading institutions with the status of legal persons whoseestablishment is approved by the competent departments.Prior to accession
20. Regulations on
TelecommunicationsTo be in compliance with the principles and rules of GATS, the State Council
promulgated these Regulations on September 25, 2000.September 2000
21 .Provisions on
Administration of ForeignInvestment inTelecommunicationsOperationsTo be in compliance with the principles and rules of GATS as well as China’s
commitments, these Provisions are to be formulated.Prior to accession
22. Regulations of the People’s
Republic of China onAdministration of MaritimeTransport ServicesTo be in compliance with the principles and rules of GATS as well as China’s
commitments, these Regulations are to be formulated.Prior to accession
23. Regulations on
Administration of theEstablishment of Offices inChina by Foreign Law FirmsTo be in compliance with the principles and rules of GATS as well as China’s
commitments, these Regulations are to be formulated.Prior to accessionWT/ACC/CHN/40
Page 1624. Experiment Measures fo r
Investment of Foreign
Businessmen in CommercialEnterprisesTo be in compliance with the principles and rules of GATS as well as China’s
commitments, Article 2, Article 4 and Item 4, paragraph 4 of Article 6 are to be revised.
Article 2 provides that these Measures are applicable to the Chinese-Foreign equity
or contractual joint commercial enterprises (hereinafter referred to as cooperativecommercial enterprises) established within the Chinese territory by foreign and Chinesecompanies and enterprises. Foreign businessmen are temporarily not allowed to establishwholly foreign-owned commercial enterprises.
Article 4 provides that the districts where cooperative commercial enterprises are to
be established shall be decided by the State Council. Presently they are limited to the
capitals of provinces and autonomous regions, municipalities directly under the StateCouncil, municipalities separately listed in the State plan and special economic regions.
Item 4, paragraph 4 of Article 6 provides that, in the case of a cooperative
commercial enterprise (except for convenience stores, special stores and stores wit
h
exclusive rights) managed in the form of over 3 chain stores, the proportion of capitalcontributed by the Chinese partner shall reach 51 per cent; a cooperative chaincommercial enterprises whose operation is good, the foreign partner of which has alread
y
purchased large quantities of products from his country and which can further expand the
export of domestic products by taking advantage of his international marketing networks,may be held by the foreign partner in stocks upon approval by the State Council.
In the case of a cooperative commercial enterprises with less than (including 3 )3
branch stores and chain convenience stores, special stores and stores with exclusive
stores, the proportion of capital contributed by the Chinese partner shall be no less than35 per cent.
          In the case of a cooperative commercial enterprise which engages in wholesale
businesses(including engaging both wholesale and retail business concurrently) the
proportion of capital contributed by the Chinese partner shall reach more than 51 per cent.June 2001
25. Regulations of the People’s
Republic of China on TravelAgenciesTo be in compliance with the principles and rules of GATS, Article 16 of these
Regulations is to be revised.
Article 16 provides that applicants wishing to establish Chinese-foreign equity o
r
contractual joint-venture travel agencies sha ll, after they apply for approval according to
the relevant provisions of the State Council,  follow the procedures provided for in the
relevant laws and administrative regulations.April 2001WT/ACC/CHN/40
Page 1726. Law of the People’s
Republic of China on Importand Export InspectionTo be in compliance with the principles of GATS and the Agreement on Technical
Barriers to Trade, Article 6 of this Law is to be revised.
Article 6 provides that inspection on import and export commodities performed b
y
the commodity inspection authorities shall include the quality, specification, quantity,weight, packaging and requirements for safety and hygiene.
Import and export commodities governed by compulsory standards or othe
r
inspection standards that must be complied with as provided for by laws or administrativeregulations and rules, shall be inspected in accordance with such standards. In the absenceof such stipulations, import and export commodities shall be inspected in accordance withthe standards agreed upon in the foreign trade contracts.June 2001
27. Law of the People's
Republic of China onPharmaceutical AdministrationThis Law stipulates that only those pharmaceuticals that have been inspected by the
pharmaceuticals inspection authorities and satisfied the requirements are permitted to
import. Pharmaceuticals produced by domestic enterprises can be sold if they have beeninspected by the enterprise that produced them and satisfied the requirements.
Article 2 of the Agreement on Technical Barriers to Trade requires that technical
regulations and standards be equally applied to both domestic and foreign enterprises. To
be in compliance with these provisions, the State Council submitted a draft Amendment
to this Law to the Standing Committee of the National People’s Congress for review inAugust, 2000. It intends to accord equal treatment to both foreign and domestic
pharmaceuticals and to delete the provisions in relation to the thorough inspection of
imported pharmaceuticals. But a few types of pharmaceutical that are highly dangerousand detrimental to human heath, no matter they are foreign or domestic, must beinspected. The pharmaceuticals that cannot pass the inspection cannot be sold o
r
imported.Prior to accession
28. Copyright Law of the
People’s Republic of China    To be in compliance with Article 11 of TRIPS, the Copyright Law is to be revised an d
the rental rights in respect of computer programs and cinematographic works are to be
protected by it. The State Council is proposed to submit a draft Amendment to this Law
to the Standing Committee of the National People’s Congress for review in Decembe r
2000.Prior to accession
29. Regulations for the
Implementation of theCopyright Law of the People'sRepublic of China    To be in compliance with Article 11 of TRIPS, these Regulations will be revise
d
correspondingly, after the revision of the Copyright Law of the People’s Republic of
China is conducted.Prior to accessionWT/ACC/CHN/40
Page 1830. Regulations for the
Protection of Compute r
SoftwareTo be in compliance with Article 10 of TRIPS, Articles 15 and 24 of these
Regulations are to be revised.
Article 15 provides that the term of protection of software copyright shall be 25
years, expiring on the 31st of December of the twenty-fifth year after the first publicationof the software. Before the expiration of the term, the software copyright holder ma
y
apply to the software registration authorities for extending the protection by 25 years, butthe term of protection may not exceed 50 years at the longest.
The term of protection for the right of a software developer shall be unlimited.Article 24 prescribes that the registration of the copyright of software with the
software registration and administration authorities is the prerequisite to initiate aneventual administrative settlement or a lawsuit concerning a dispute over the rights of thesoftware in accordance with these Regulations.
The certificate of registration issued by the software registration and administration
authorities is preliminary evidence for provin g the validity of the software copyright o
r
the reliability of the facts described in the application documents for the registration.Prior to accession
31. Trademark Law of the
People’s Republic of ChinaSince the Trademark Law has no detailed provisions on the protection of well-
known trademarks, the State Administration for Industry and Commerce of the People’sRepublic of China promulgated the Interim Measures on Recognition and Administrationof Trademarks. The Trademark Law stipulates that the reexamination decision made b
y
the Trademark Review and Adjudication Board is final.
To be in compliance with Articles 16 and 42 of TRIPS, this Law will be revised.
The revised law will include provisions fo r the protection of well-known trademarks an d
permit judicial review of the reexamination decisions made by the Trademark Review and
Adjudication Board. The State Council is proposed to submit a draft Amendment to thisLaw to the Standing Committee of the National People’s Congress for review inDecember 2000.Prior to accession
32. Detailed Rules for the
Implementation of theTrademark Law of thePeople’s Republic of China    To be in compliance with Articles 16 and 42 of TRIPS, these Rules are to be revise
d
correspondingly, after the revision of the Trademark Law of the People’s Republic of
China is conducted.Prior to accession
33. Regulations of the People’s
Republic of China on theProtection of IntellectualProperty by the Customs    These Regulations were made in June 1995, being in compliance with the provisions of
TRIPS concerning border measures for the protection of intellectual property rights.June 1995
34. Regulations of the People’s
Republic of China on theProtection of New Varieties ofPlants    These Regulations were made in March 1997, being in compliance with Article 27 of
TRIPS concerning the protection of plant varieties.March 1997WT/ACC/CHN/40
Page 1935. Patent Law of the People’s
Republic of ChinaThe Patent Law has no provisions on the prevention of offering for sale. It onl y
permits judicial review of the reexamination decision on the patent right concerning an
invention made by the Patent Reexamination Board and stipulates that the reexaminationdecision on the patent right concerning a utility model or design made by the PatentReexamination Board is final.
To be in compliance with Articles 28 and 42 of TRIPS concerning the prevention of
offering for sale and civil judicial procedures respectively, an amendment to this Law wasadopted by the National People’s Congress on 25 August 2000. This amendment includes
provisions for the prevention of offering for sale and permits judicial review of the
reexamination decisions on all patent rights, including those concerning a utility model ordesign made by the Patent Reexamination Board.August 2000
36. Detailed Rules for the
Implementation of the PatentLaw of the People's Republicof China        To be in compliance with Articles 28 and 42 of TRIPS concerning the prevention of
offering for sale and civil judicial procedures respectively, these Rules are to be revise
d
correspondingly, after the amendment of the Patent Law of the People’s Republic ofChina is adopted by the Legislature. The State Council is proposed to revise these Rulescorrespondingly in accordance with the new Patent Law.Prior to accessionWT/ACC/CHN/40
Page 20 Part II:  Department Rules
Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
1. Notice on Printing and Publishing Interi m
Regulations on the Automatic Registration ofSelf-operating Import or Export Right ofManufacturing Enterprises in Special EconomicZones   China’s commitments (right to trad e): without prejudice to China’s right to
administer trade in the way in conformity with the WTO Agreement, China will,within three years after entry into force of the Protocol, liberalize the availabilit
y
and scope of right to trade so that all enterprises within China will have the rightto conduct the trade of all goods within the Chinese territory,    Provisions to be revised: the whole text.By the end of
December 31 of
the first year after
accession
2. Notice on the Relevant Issues Concerning theEstablishment of Import and Export Companiesby Manufacturing Enterprises   China’s commitments (right to trad e): without prejudice to China’s right to
administer trade in the way in conformity with the WTO Agreement, China will,within three years after entry into force of the Protocol, liberalize the availabilit
y
and scope of right to trade so that all enterprises within China will have the rightto conduct the trade of all goods within the Chinese territory,    Provisions to be revised: the whole text.By the end of
December 31 of
the second year
after accession
3. Notice on the Relevant Issues ConcerningGranting Self-operating Import or Export Right toEnterprises Conducting Overseas Processing an
d
Assembling Projects with Chinese Materials   China’s commitments (right to trad e): without prejudice to China’s right to
administer trade in the way in conformity with the WTO Agreement, China will,within three years after entry into force of the Protocol, liberalize the availabilit
y
and scope of right to trade so that all enterprises within China will have the rightto conduct the trade of all goods within the Chinese territory,    Provisions to be revised: the whole text.By the end of
December 31 of
the second year
after accession
4. Notice on the Relevant Issues Concerning theAdjustment of Qualifications for Enterprises toApply for Right to Operate Import or Export an
d
the Intensification of Follow-up Administration   China’s commitments (right to trad e): without prejudice to China’s right to
administer trade in the way in conformity with the WTO Agreement, China will,within three years after entry into force of the Protocol, liberalize the availabilit
y
and scope of right to trade so that all enterprises within China will have the rightto conduct the trade of all goods within the Chinese territory,    Provisions to be revised: the whole text.By the end of
December 31 of
the third year after
accession
5. Notice of Interim Provisions on Administrationof Operation of Export in Crude Oil and Refine
d
Oil1.   To be in compliance with the WTO principle of state trading, to revise
the whole text of this Notice.According to the
agreed timetable
after accession
6. Notice on Publishing the List of CompaniesOperating the Import of Sugar and Plant Oil2.  To be in compliance with the WTO principle of state trading, to
publish the list of the enterprises which are verified by the State to be qualified
for operating the import of sugar and plant oil, to revise the whole text of thisNotice.According to the
agreed timetable
after accessionWT/ACC/CHN/40
Page 21Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
7. Notice on Issues Concerning Administration ofImport of High Temperature Fans for CementKilns and Other Products3.   To be in compliance with the WTO principle of MFN, to revise the
provisions that the products imported through international invitation of bids willbe subject to preferential tariff rates.June 2001
8. Interim Measures on Administration of Trade of
Technology Introduction and Equipment Import I4.    No measures that are not in conformity with the WTO agreement shall
be imposed on import of goods.
    Provisions to be revised: the applicable scope.Within 8 months
after accession
9. Interim Measures on Administration of
Chinese-foreign Cooperative Accounting Firms5.    To be in compliance with our commitments made in WTO accession
negotiations, to revise the relevant provisions, i.e. foreign investors will beallowed to set up partnership accounting firms.According to the
agreed timetable
after accession
10. Several Provisions on the  Establishment ofAdvertising Enterprises with Foreign Investment6.    To be in compliance with our commitments concerning advertising, to
revise Article 2 of these Provisions.
7.   Article 2 provides that advertising enterprises with foreign investment
mentioned in these Provisions refer to Ch inese-foreign equity or contractual joint
advertising enterprises in China.According to the
agreed timetable
after accession
11. Provisions on the Examination and Approvalof the Establishment of Import and ExportCommodities Inspection Companies with ForeignInvestment8.  To be in compliance with our commitments concerning technical test
and analysis services, and freight inspection (not including mandatoryinspection), to revise Article 3 and 6 of these Provisions.
9.     Article 3 provides that foreign investors are permitted to set up Sino-
foreign equity or contractual impor t and export commodities inspection
companies within the Chinese territory, bu t no wholly foreign-owned import and
export commodities inspection companies are permitted to be set up.
10.    Article 6 provides that the minimum registered capital of an import
and export commodities inspection company with foreign investment shall beUS$500,000.According to the
agreed timetable
after accessionWT/ACC/CHN/40
Page 22Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
12 Provisions on Examination and Approval ofInternational Goods Shipping Agency Enterpriseswith Foreign Investment11.   To be in compliance with our commitments concerning courie
r
services, customs declaration and freight forwarding agency, to revise Article 4
and 7 of these Provisions.
12.     Article 4 provides that Foreign companies or enterprises may establish
international goods shipping agency enterprises with foreign investment withinthe Chinese territory in the form of equity joint ventures or contractual jointventures. The ratio of investment contributed by the Chinese party to a joinventure shall not be less than 50%.
13.    Article 7 provides that the same foreign party to a joint venture who
has invested in an international goods shipping agency enterprise within theChinese territory but has managed it less than five years shall not invest inanother international goods shipping agency enterprise.According to the
agreed timetable
after accession
13. Notice on Printing and Publishing thePrinciples and Procedures for Examination an
d
Approval of Some Enterprises with ForeignInvestment14.   To be in compliance with our commitments concerning investment
examination and approval principles and procedures, to revise the whole text.Upon accession
14. Notice on the Several Issues Concerning Strict
Examination, Approval, Verification and Issuingof Import and Export Licenses for Enterpriseswith Foreign Investment15.   To be in compliance with the WTO rules on right to trade, to revise
Article 3 of this Notice.
16.    Article 3 provides that enterprises with foreign investment are not
allowed to purchase products for export without authorization and any suchaction once proved should be regarded as illegal operation. If it is necessary to
purchase products for export in order to keep the balance of foreign exchange,
this matter shall be submitted for approvals in accordance with relevantregulations of the State.According to the
agreed timetable
after accession
15. Notice on the Application for Licenses fo r
Import of Automobiles for Production Purpose b y
Chinese-foreign Equity and Contractual JointVentures17.    To be in compliance the Agreement on Import Licensing Procedures,
to revise Article 2 of this Notice.
18.     Article 2 provides that import licenses shall be obtained by Chinese-
foreign equity or contractual joint ventures to import automobiles for productionof domestic sale products and the Customs will release the imports on thestrength of the licenses issued by MOFTEC.Within 6 months
after accessionWT/ACC/CHN/40
Page 23Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
16. Notice on Relevant Issues Concerning theImport of the State Uniformly Operate
d
Commodities by Enterprises with ForeignInvestment19.    To be in compliance with the principle of national treatment, to revise
the whole text of this Notice.Upon accession
17. Notice on the Printing and Publishing the
Interim Measures on Administration of ImportQuota Concerning the Processing Trade b
y
Enterprises with Foreign Investment UsingImported Raw Materials such as Sugar, Cotton,Vegetable Oil and Wool20.    To be in compliance with our commitments concerning tariff quota
and the Agreement on Import Licensing Procedures, to revise the whole text o
f
the Notice.Upon accession
18. Implementing Rules on Administration of
Import by Enterprises with Foreign Investment21.   To be in compliance with our commitments concerning tariff quota
and the Agreement on Import Licensing Procedures, to revise the whole text o f
these Rules.Within 6 months
after accession
19. Implementing Measures for the Application ofImport Licenses by Enterprises with ForeignInvestment22.  To be in compliance with the WTO rules on non-tariff barriers, to
revise the whole text of these Measures.Upon accession
20. Provisions on Administration of International
Shipping Agency   To be in compliance with our commitments made in WTO accession
negotiations, it is allowed to establish shipping agencies in the form of Chinese-foreign equity joint venture, to revise the whole text of these Provisions.March 2001
21. Provisions on Administration of International
Liner Shipping  To be in compliance with our commitments that no restrictions will be impose d
on the liner and non-liner shipping services by foreign vessels calling at the
Chinese ports, to revise the whole text of these Provisions.March 2001
22 Interim Provisions on Administration of Projects
Establishment and Approval of Foreign Investmentin Road Transportation   To be in compliance with China’s co mmitments that wholly foreign-owned roa
d
cargo transport enterprises will be allowed to be established no later than 1 Januar y
2003, the last sentence of Article 2 of these Provisions which provides that wholl y
foreign-owned road transport enterprises will not be approved generally, is to be
revised. For the same reason, a subparagraph that reads as “foreign investment
projects dealing with the expressway passenger transport”, will be added to the
second paragraph of Article 4 of these Provisions.In the second half of
the year 2000
23. Notice on Printing and Publishing theMeasures for Administration of Qualifications ofCity Planning and Designing Units The original Measures restricted enterprises with foreign investment to ente
r
Chinese drawing up market of urban planning, thus to revise Article 11 of these
Measures2000WT/ACC/CHN/40
Page 24Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
24. Provisions on the Examination and Approvalof the Establishment of Chinese-ForeignEngineering Design Institutions  The original Provisions do not permit wholly foreign-owned enterprises to
enter Chinese architectural design market, thus (1) to add the provisions o
n
administration of wholly foreign-owned desi gn enterprises. (2) to add the detailed
conditions of qualifications of design institutions with foreign investment. (3) toclarify that the design documents should be signed by China registere
d
professionals..II. JUNE
2001
25. Provisions on Administration of  Maintenanceand Repairs of Urban Passenger Vehicles  The conditions of market access are not in conformity with our commitments
to revise Article 7 of these Provisions.
   Article 7 provides that a unit applying to operate the business of maintenance
and repairs of city passenger vehicles must submit an application to thecompetent department of public transportation by holding a certificate issued b
y
its higher unit in charge.Upon accession
26. Implementing Measures for the Regulations on
Administration of Pesticides   To be in compliance with our comm itments in the negotiations to amend o r
annul stipulations of designated operation, to revise Article 20 of these Measures.According to the
agreed timetable
after accession
27. Measures for Administration of BiologicalProducts for Animals   To be in compliance with our comm itments in the negotiations to amend o
r
annul stipulations of designated operation, to revise Article 13 of these Measures.According to the
agreed timetable
after accession
28. Measures on Administration of AcquaculturalFry   To protect fishery resources and be in compliance with the international
conventions such as Convention on Biodiversity, to add provisions on exchangeof acquacultural resources and introduction of new species.June 2001
29. Measures for Administration of the Wholesale,
Retail, Lease and Projection of Audio and VideoProducts  To be in compliance with our comm itments to allow foreign businessmen to
engage in distribution of audio and video products, to revise Article 11 and 17 ofthese Measures.Upon accession
30. Notice on Relevant Issues Concerning Online
Dealing in Audio and Video Products   To be in compliance with our comm itments to allow foreign businessmen to
engage in distribution of audio and video products, to revise Article 4 of theseMeasures.Upon accession
31. Measures for Administration of Art Products
Business  To be in compliance the principle of national treatment, to revise Article 7 of
these Measures.Upon accession
32. Measures for Administration of Import of
Audio and Video Products To be in compliance with our commitm ents to allow foreign businessmen to
engage in distribution of audio and video products, to revise Article 9 and 10 ofthese Measures.Upon accession
33. Provisions on  Environmental Management of
the First Import of Chemicals and the Import an d
Export of Toxic Chemicals    To be in compliance with the principle of national treatment with respect to the
import registration procedures, to revise the provisions on the procedures fo r
registration of the first import such as Article 9, 10 and 11.According to the
agreed timetable
after accessionWT/ACC/CHN/40
Page 25Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
34. Implementing Rules of Customs of thePeople’s Republic of China on Protection ofIntellectual Property Rights   (1) The time limit provided is too short and very much different from that as
required by TRIPS, thus to revise Article 21 of these Measures.
   (2)Counterfeit and pirated products cannot be released after Customs’
retention, thus to revise Article 24 of these Measures.
   (3) It is unreasonable for the rights-holder to bear expenses, thus to revise
Article 29.August 2001
35. Measures of the Customs of the People’s
Republic of China on Assessment of Duty-payingValue of Import and Export Goods  To be in compliance with the Agreement on Implementation of Article VII of
GATT 1994 to revise the whole text of these Measures.Upon accession
36. Regulations of the Customs of the People’s
Republic of China on the Administration ofCollection of Duties and Taxes  To be in compliance with the Agreement on Implementation of Article VII of
GATT 1994 to revise Article 8 of these Measures.Upon accession
37. Notice on Issuing Charges Items an d
Standards for On-water Security Supervision    To be in compliance with the principle of national treatment, to revise Article 2
(II)-9-2 and (IV)-5 of the Attachment to this Notice.Within 3 years
after accession
38. Notice on Issuing Administrative ChargeItems and Standards in Agriculture System   To be in compliance with the principle of national treatment, to revise Article
3, 4 and 6 of Attachment V; Article 16 of Attachment XIV and Article 6 (I) ofAttachment XVIII to this Notice.Within 3 years
after accession
39. Notice on Adjusting Pesticides RegistrationFee Standard    To be in compliance with the principle of national treatment, to revise Article 1
of this Notice.Within 3 years
after accession
40. Notice on Collection of Adoption RegistrationFee   To be in compliance with the principle of national treatment, to revise Article
1(I), (II), (III) and (V) of this Notice.Within 3 years
after accession
41. Accounting System of Financial InsuranceEnterprises To be in compliance with the principl e of national treatment, to revise the
applicable scope of this System and specify that this System should also beapplicable to foreign and foreign investment financial enterprises.January 2002
42. Interim Measures on  Audit of the State-owned
Enterprises’ Annual Accounting Statements b y
Certified Public Accounts  Article 20 of these Measures is a restriction on market access and shall be
revised.Prior to accession
43. Notice on Issuing Administrative Charge
Items and Standards in Civil AdministrationSystem    To be in compliance with the principle of national treatment, to revise Article 3
of this Notice.Within 3 years
after accession
44. Opinions of Establishing EnterprisesSupplementary Pension Insurance System To be in compliance with our commitments made in the negotiations of
services in trade, to revise Article 17 of these Opinions.
   Article 17 provides that enterprises may, on their own, choose the institutions
to deal with supplementary pension insurance, but may not choose overseasfinancial institutions.According to the
agreed timetable
after accessionWT/ACC/CHN/40
Page 26Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
45. Measures for Administration of ForeignRepresentative Securities Institutions Stationed inChina  To be in compliance with our commitments that the representative offices
stationed in China established by foreign securities institutions may becomespecial members of all Chinese exchanges, to revise Article 2,14 and 26 of theseMeasures.Upon accession
46. Measures on Supervision and Administration
of the Import and Export of Boile rs and Pressure
Vessels  The duties and functions of relevant departments have been adjusted and the
inspection procedures have been changed thus the provisions on the division ofduties and functions among relevant departments and the inspection procedureswill be revised.2001
47. Catalogue of Import and Export Commodities
Subject to Quarantine Inspection by Exit an d
Entry Quarantine Inspection Institutions To be in compliance with the relevant WTO rules, to revise the catalogue of
import and export commodities subject to mandatory inspection.Within 1 year after
accession
48. Implementing Rules for the Notice onRelevant Issues Concerning Strengthening theAdministration of Tire Industry   To be in compliance with Article 3 of TRIMS concerning export performance,
to revise:
   (1) Article 9 of these Rules. Article 9 provides that the foreign party to the
joint venture must have advanced production technology and independentchannel of international distributions and the proportion of exported products ofthe joint venture shall be no less than that of equity the foreign party holds.
   (2) Article 13 of these Rules. Article 13 provides that the proportion of
exported tires shall be no less than that of equity the foreign party holds after thejoint venture increases its capitals and the proportion of exported tires shall be noless than 70% after wholly foreign-owned enterprise increases its capitals.June 2001
49. Implementing Rules for the Ministry of
Chemical Industry to Carry out the Regulations onAdministration of Pesticides    To be in compliance with TRIMS, to revise Article 5 of these Measures.
   Article 5 provides that pesticides enterprises with foreign investment must
introduce advanced technology and the projects that only provide funds but notintroduce new technology are not allowed.June 2001
50. Implementing Plans for Technolog y
Innovation, Design Optimization, Localization
and Low Investment of New Type Dry-Metho d
Cement Production Line To be in compliance with the basic principles of the WTO Agreement, to
revise the provisions of these Plans concerning localization.June 2001
51. Measures for Administration of the Domestic
Market for Imported Wines  To be in compliance with our commitm ents that imported wines will enjoy the
national treatment one year after China’s accession to the WTO, to revise thecontents of these Measures inconsistent with the national treatment.According to the
agreed timetable
after accession
52. Notice on Printing and Publishing theImplementing  Rules for Administration of  theImport of Specific Products To be in compliance with the WTO rules and our commitments, to revise the
whole text of this Notice.Upon accession
53. Notice on Strengthening Copyright
Administration of Audi o and Video Products  To be in compliance with our commitments, to revise the provisions on
registration.March 2001WT/ACC/CHN/40
Page 27Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
54. Measures for Registration of Compute r
Software Copyright  Relevant articles of the Regulations on Protection of Computer Software
Copyright are inconsistent with TRIPS, these Measures are auxiliary rules to theRegulations and shall be revised to be consistent with the Regulations.March 2001
55. Interim Measures for Administration of Price
involving Foreign Affairs, Fee Standards an d
Price Calculation   To be in compliance with the provisions of the Pricing Law on the operators’
right to make the price, to revise the provisions of Article 3 of these Measuresconcerning the price making measures by the units involving foreign affairs.Revised on May 1,
2000
56. Interim Measures on Administration ofMedicine Price   To be in compliance with the principle of national treatment, the varieties
priced by the government are not distinguished between imported an d
domestically made products any longer, and the principles and methods of price
making shall be unified. The provisions of Articles 5,7,8,9,10,14 and 16 havebeen revised.Revised on July
20, 2000
57. Notice on the Automatic Registration Syste m
of Self-Operation Right to Trade Applying toLarge Industrial Enterprises   China’s commitments (right to trade). With the approval of the State Council,
MOFTEC issued the Notice on the Application of the Automatic RegistrationSystem of Self-Operation Right to Trade to State and Collective-Owne
d
Manufacturing Enterprises on 7 December 1999. At present, the registrationsystem of self-operation in trade applies to manufacturing enterprises in China.The original documents have been automatically invalidated.To be abolished
upon accession
58. Certain Rules on the   Administration ofImport License    Inconsistent with the WTO Agreement. Already abolished
59. Notice on Summarizing the Administration
Work of Import Licensing System    Inconsistent with the WTO Agreement. Already abolished
60. Notice on the Categories of Commodities
Subject to Import Licensing at Present    Inconsistent with the WTO Agreement. Already abolished
61. Notice on the Import Licensing Procedures
Applying to Seven Production Assembly Linesand Six Commodities    Inconsistent with the WTO Agreement. Already abolished
62. Notice on the Application of Licensing
System to Imported Steel    Inconsistent with the WTO Agreement. Already abolished
63. Notice on the Application of Licensing
System to Imported Plywood    Inconsistent with the WTO Agreement. Already abolished
64. Notice on the Clarification of Licensing
Procedures Applying to Chemical Fibre an d
Monoploid as well as the Administration ofRefrigerator Imports    Inconsistent with the WTO Agreement. Already abolished
65. Notice on the Uniform Administration of
Import Licenses for the Import of Automobilesand Their Key Parts by MOFTEC    Inconsistent with the WTO Agreement. Already abolishedWT/ACC/CHN/40
Page 28Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
66. Certain Interim Rules on the Issuance ofImport Documents   This document contains administrative measures during the planned-econom
y
period manufacturing enterprises in China that no longer apply.Already abolished
67. Rules on the Administration of Petroleu m
Imports   Inconsistent with the WTO Agreement. Already abolished
68. Supplementary Notice on the Administration
of Petroleum Imports   Inconsistent with the WTO Agreement. Already abolished
69. Rules on the Administration of  Wool Imports    In consistent with the WTO Agreement. Already abolished
70. Supplementary Notice on the Administration
of  Wool Imports   Inconsistent with the WTO Agreement. Already abolished
71. Administration Measures for the Unifor m
Agency of Ordering Imported Goods   Inconsistent with the WTO Agreement. Already abolished
72. Notice on the Publication of the List of
Enterprises Handling the Import of NaturalRubber, Steel, Timber, Plywood, Wool, Acrylicand Cotton   Inconsistent with the WTO Agreement. Already abolished
73. Notice on the Adjustment of Commodities
Subject to Import Quota and Licensing, and theLicense-issuing Authorities    Inconsistent with the WTO Agreement. Already abolished
74. Notice on the Publication of Modified List of
Commodities Subject to Ordinary Import Quotaand Specific Registration    Inconsistent with the WTO Agreement. Already abolished
75. Notice on the Publication of the Second List
of Enterprises Handling the Import of Six Typesof Commodities Such as Natural Rubber, Steel,etc.    Inconsistent with the WTO Agreement. Already abolished
76. Notice on the Publication of the
Supplementary List of Verified EnterprisesHandling Small Quantity of Imports in Borde
r
Areas   Inconsistent with the WTO Agreement. Already abolished
77. Notice on Some Issues Concerning
Corporations Engaging in the Foreign Processingand Assembling Businesses    Inconsistent with the WTO Agreement. Already abolished
78. Notice on Certain Issues Relating to the
Operational Management of Verified   Companies     Inconsistent with the WTO Agreement. Already abolished
79. Notice on the Strengthening Administration of
State-restricted Products Import with ForeignCapital    Inconsistent with the WTO Agreement. Already abolishe
dWT/ACC/CHN/40
Page 29Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
80. Notice on the Simplification of the ImportApproving Formalities of Certain State-restricte
d
Mechanical and Electronic Products    Inconsistent with the WTO Agreement. Already abolishe d
81. Notice on the Publication of Certain Rules on
the Import Administration of Mechanical an d
Electronic Equipment     Inconsistent with the WTO Agreement. Already abolishe d
82. Reply to the Question Concerning the
Establishment of Commercial Chinese-ForeignEquity (or Cooperative) Joint Ventures an
d
Wholly Foreign-Owned Commercial Enterprises.   Replaced by the Experiment Me asures for Investment in Commercial
Enterprises by Foreign Businessmen, which is to be revised in June 2000.Already abolished
83. Rules on the Strengthening Administration of
Imported Oil   These Rules relating to the availability of import license and quota are
inconsistent with the principle of national treatment of the WTO Agreement.To be abolished
upon accession
84. Certain Rules on the Promotion of TechnologyAbsorption.    These rules are inconsistent with the publication of local content requirement
and the prohibition of compulsory transfer of technology under the TRIMS.To be abolished
upon accession
85. Notice on the Implementation of thePreferential Taxation Policies Included in the“Notice Approved by the State Council of theState Economic and Trade Commission on thePromotion of Technology Absorption an
d
Localization”    Some provisions in this document are inconsistent with the prohibition of local
content requirement under the TRIMS.To be abolished
upon accession
86. Notice on the Implementation of thePreferential Tariff Policies Concerning theLocalization of Recordable VCR    Some provisions in this document are inconsistent with the prohibition of local
content requirement under the TRIMS.To be abolished
upon accession
87. Measures on the Settlement of Balance ofPayments Problems by Foreign InvestmentEnterprises Purchasing  Domestic Products fo
r
Export    Some provisions in this document are inconsistent with the balance of payment
requirement included in the TRIMS.According to the
agreed timetable
after accession
88. Notice on the Export by Sino-Foreign Equit y
Enterprises for Balance of Payment Purpose    Some provisions in this document are inconsistent with the balance of payment
requirement included in the TRIMS.According to the
agreed timetable
after accession
89. Rules on the Administration and Approval ofSelf-Used Automobiles Import by ForeignInvestment Enterprises  Some provisions in this document are inconsistent with the prohibition of
quantitative restrictions of GATT 1994.Already abolished
90. Notice on the Non-approval of Sino-foreign
Joint Ventures Producing Gloves for Labo r
Protection The provisions of this document are outdated and not compatible with new
situations.Already abolished
91. Notice on the Unification of Pearl Operations    The provisions of this document are outdated and not compatible with new
situations.Already abolishedWT/ACC/CHN/40
Page 30Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
92. Notice on the Strengthening of the PearlMarket Administration   The provisions of this document are outdated and not compatible with new
situations.Already abolished
93. Notice on the Issuance of Export License
Concerning Pearls   The provisions of this document are outdated and not compatible with new
situations.Already abolishe d
94. Supplementary Notice of MOFTEC and SAIC
on the Strengthening of the Pearl MarketAdministration   The provisions of this document are outdated and not compatible with new
situations.Already abolished
95. Notice on Certain Questions Regarding the
Establishment of Foreign Investment Enterprisesin the Form of Stock Company   Replaced by the Interim Rules on Certain Issues Relating to the Establishment
of Foreign Investment Stock Company.Already abolished
96. Notice on Certain Questions Regarding the
Establishment of Sino-foreign Stock Company    Replaced by the Interim Rules on Certain Issues Relating to the Establishment
of Foreign Investment Stock Company.Already abolished
97. Notice on Certain Questions Regarding the
Examination and Approval of Sino-foreign Stoc k
Company   Replaced by the Interim Rules on Certain Issues Relating to the Establishment
of Foreign Investment Stock Company.Already abolished
98. Administrative Measures on Agency of
Technology and Equipment Import for State-funded Projects    Not in conformity with China’s commitments on right to trade.  Within 8 months
after accession
99. Interim Rules on the Administration of Patentsin Agriculture, Animal Husbandry and Fisheries  Some provisions in this document conflict with the Patent Law. In fact, the
Ministry of Agriculture did not implement this document. Its abolishment willensure the full implementation of TRIPS.To be abolished in
January 2001
100. Implementing Rules on the Crop Seeds of theSeed Administration Regulations   Seed Administration Regulations were repealed by the promulgation of the
Seed Law on 8 July 2000.To be abolished
once the Seed Law
becomes effective.
101. Interim Measures for the Approval an d
Administration of the Liberalized Teleco m
Services   Some provisions in this document are inconsistent with China’s commitments
on market access for foreign investors to telecom industry. To be abolished
prior to December
31, 2000
102. Interim Rules on the Administration of theLiberalized Telecom Service Market   Some provisions in this document are inconsistent with China’s commitments
on market access for foreign investors to telecom industry. To be abolished
prior to December
31, 2000
103. Notice on the Promulgation an d
Implementation of the “Interim Rules on theImprovement of the Car Localization ThroughPreferential Taxation Policy”    Some provisions in this document are inconsistent with the TRIMS. To be abolished
upon accession
104. Notice on the Promulgation of the“Implementing Rules on the Interim Rules on theImprovement of the Car Nationalization ThroughPreferential Taxation Policy”    Some provisions in this document are inconsistent with the TRIMS. To be abolished
upon accessionWT/ACC/CHN/40
Page 31Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
105. Notice on the Issuance of the “Interim Ruleson Promotion of Medium-sized Bus LocalizationThrough Tariffs”    Some provisions in this document are inconsistent with the TRIMS. To be abolished
upon accession
106. Notice on the Circulation of the “Implementing Rules on the ‘Preferential TariffPolicies Concerning the Localization ofRecordable VCR’ Issued by the GeneralAdministration of Customs”    Some provisions of this document are inconsistent with the TRIMS. To be abolished
upon accession
23. 107. Interim Rules on Administration o f
Shipping Lines Engaged in International Maritime
Transport24.    These Rules do not meet the need for the current sectoral
administration and are inconsistent with the WTO rules on market access.To be abolished in
March 2001
108. Administration Measures on theQualifications of Foreign Construction EnterprisesContracting Projects in China   Restriction on the establishment of foreign construction enterprises is
inconsistent with China’s commitments.To be abolished
upon accession
109. Implementing Rules on the “Administratio n
Rules on the Qualifications of ForeignConstruction Enterprises Contracting Projects inChina”   Restriction on the establishment of foreign construction enterprises is
inconsistent with China’s commitments.To be abolished
upon accession
110. Certain Rules on the Establishment ofForeign Investment Construction Enterprises   This document contains provisions of restriction on market access, so it is
inconsistent with China’s commitments.To be abolished
upon accession
111. Implementing Rules on  the “Certain Ruleson the Establishment of Foreign InvestmentConstruction Enterprises”   This document contains provisions of restriction on market access, so it is
inconsistent with China’s commitments.To be abolished
upon accession
112. Interim Rules on the Introduction,Absorption, Development and Innovation ofTechnologies in Metallurgical Industry   Some provisions in this document are inconsistent with Article III of GATT
1994. To be abolished
upon accession
113. Interim Rules on the Reliability Test ofPassenger Cars Assembled with Localization ofImported Technology    Some provisions in this document are inconsistent with China’s commitments.  To be abolished
upon accession
114. Interim Rules and Assessment Provisions onthe Reliability Test of Passenger Cars and  theLocalization Assessment of Medium-sized BusesMade with Imported Technology    Some provisions in this document are inconsistent with China’s commitments.  To be abolished
upon accession
115. Notice on the Interim Regulation on theProtection of Copyright of Books and Magazines    Some provisions in this document are inconsistent with TRIPS. To be abolished
upon accessionWT/ACC/CHN/40
Page 32Department Rules Relevance of the Department Rules to WTO Compliance Date of Revision
or Abolishment
116. Notice on the Issuance of the “Detailed Rulesof Interim Regulations o
nthe Protection of
Copyright of Books and Magazines”, “PublicationIntention Contracts” and  “Publication Contracts”    Some provisions in this document are inconsistent with TRIPS. To be abolished
upon accession
117. Interpretation of Article 15(4) of the “InterimRegulation on the Protection Copyright of Booksand Magazines”    Some provisions in this document are inconsistent with TRIPS. To be abolished
upon accession
25. 118. Notice on the  Adjustment of the
Importation Administration Catalog (Tarif f
Number) of Commodities Subject to Ordinary
Quota and Specific Registration    The list of the commodities subject to import quota has already been adjusted.  To be abolished
on January 1, 2002
119. Notice on the Publication of the Adjuste d
List of Commodities Subject to Ordinary ImportQuota and the List of Commodities Subject toSpecific Registration    Inconsistent with the WTO Agreement. Already abolished
120. Notice on the Strict Restriction on the
Enlargement of the Production Ability of Lase r
Discs and Laser Videos    The market of such products has been opened. Already abolished
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