ROUTLEDGE LIBRARY EDITIONS: BUSINESS AND ECONOMICS IN ASIA
Volume 6
CHINA TRADE AGREEMENTS
CHINA TRADE AGREEMENTS
THOMAS C.W. CHIU
First published in 1985 by Taylor & Francis Inc.
Second Edition 1988
This edition first published in 2019
by Routledge
2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN
and by Routledge
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Routledge is an imprint of the Taylor & Francis Group, an informa business
1988 Taylor & Francis Inc.
All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers.
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British Library Cataloguing in Publication Data
A catalogue record for this book is available from the British Library
ISBN: 978-1-138-48274-6 (Set)
ISBN: 978-0-429-42825-8 (Set) (ebk)
ISBN: 978-1-138-36743-2 (Volume 6) (hbk)
ISBN: 978-0-429-42973-6 (Volume 6) (ebk)
Publisher's Note
The publisher has gone to great lengths to ensure the quality of this reprint but points out that some imperfections in the original copies may be apparent.
Disclaimer
The publisher has made every effort to trace copyright holders and would welcome correspondence from those they have been unable to trace.
CHINA TRADE AGREEMENTS
Second Edition, Revised
Thomas C.W. Chiu
USA | Publishing Office: | Taylor & Francis New York 3 East 44th St., New York, NY 10017 |
Sales Office: | Taylor & Francis Philadelphia 242 Cherry St., Philadelphia, PA 19106-1906 |
UK | Taylor & Francis Ltd. 4 John St., London WC1N 2ET |
China Trade Agreements Second edition, revised
Copyright 1988 Taylor & Francis Inc.
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, electrostatic, magnetic tape, mechanical, photocopying, recording or otherwise, without the prior permission of the copyright owner.
First Edition published 1985. Second Edition 1988
Typeset by Four Way Phototypesetting Co., Hong Kong
Printed in the United States of America
Library of Congress Cataloging in Publication Data
Chiu, C. W. (Chor-wing)
China trade agreements.
Rev. ed. of: China trade agreement / C. W. Chiu. c1985
1. Commercial lawChinaForms. 2. Investments, ForeignLaw and legislationChinaForms. 3. Foreign trade regulationChinaForms. I. Chiu, C. W. (Chor-wing). China trade agreement. II. Title.
LAW 346.51070269 87-30170
ISBN 0-8002-8000-8 345.10670269
To S.K.
This book is divided into three parts which are arranged in accordance with the stages of development, from a trade talk to the final stage of an agreement or a contract. Thus the following arrangement:
Part I Memorandum of Discussion
Part II Letter of Intent
Part III Agreement/Content
China trade is mainly a kind of trade involving China traders and respective Chinese authorities, as Chinese businessmen are government officials; they are more apt to put everything on paper. For this reason, they will make a lot of written metaphors, like the Memorandum of Discussion and Letter of Intent which will be signed long before the signing a formal agreement.
Although these Memoranda or Letters are of no legal binding effect, they are of utmost importance to meet the requirements of your Chinese trading counterparts.
In recent years, licensing and technology transfer have become popular investment items in China trade. Therefore, the majority of contents has been emphasised on this aspect.
The official name of the country is The People's Republic of China (PRC). It is referred to throughout this book either as the PRC or as China.
The agreement precedents presented in this book cannot be and are not intended to be exhaustive and, while every effort has been made to ensure the accuracy of the agreement precedents in this book, the author and published accept no responsibility for any errors or omissions.
Summer 1987
T.C.W.C.
Preparation of a broad treatment of agreement precedants of P.R.C. like this book requires the moral support and technical assistance from experts and friends in the China Trade circle.
Special thanks are given to Professor Xiujin Luo of China Association for International Exchange of Personnel, Professor Yuwen Yu of Materia Medicia, China, and Professor Ling Li of Academy of Social Sciences, China for their encouragement.
I personally wish to thank Mr. Anthony Selvey, Managing Director of the Taylor & Francis Group, Ms. Kate McKay, President of Taylor & Francis Inc., Mr. Jung Ra, Book Publishing Manager of Taylor & Francis Inc., and the publisher for publication of this book.
I wish to thank Mr. Colin Walsh and Mr. Tony Littlechild of Book Productions Consultants, Cambridge England for introducing my books to the publisher. I wish to thank my friend Burkhard Finke, a practising lawyer in the Federal Republic of Germany, for his advice on the attitudes of China traders in Europe.
I am grateful to Mr. and Mrs. Frankie Ho of Four Way Photo Typesetting Company who have rendered superb typesetting and artwork services for this book.
Finally, I would like to thank Miss Joyce Chan who typed the manuscript.
Summer 1987
T.C.W.C.
China, under the leadership of Deng, is approaching an era of multinational business transactions. China trader is no longer a terminology that appears to be alien in the business world. Since 1979, many China trade agreements have been signed to mark the milestone of China's Open Door Policy.
Unlike those of the outside world or her trading counterparts, China's legal system, as lots of China traders have complained, is incomplete and cannot adapt to the international trading system. The worst thing is the 1981 promulgation of Provisional Regulations of Lawyers that hampered foreign lawyers (including lawyers of Chinese origin but not being a Chinese national) from practising in China and giving advice to their clients engaged in China trade. However, this does not necessarily mean that nothing can be done about this. An experienced businessman will try various methods to get around this hurdle and prevents oneself from trading with China without legal protection. This feeling or trend is more or less shared by those international lawyers, in fact, I would rather call them flying lawyers. Legal advice and support are indoubtedly valuable but not every China trader will need a lawyer from a stage as early as a simple trade talk or to enter into Letter of Intent with trading counterparts. For this reason, this book is compiled to suit this need.
