Laws of the People's Republic of China

    Article 1  These  Provisions are enacted in accordance with Article 210 of
"Maritime Code of the People's Republic of China".

    Article 2  These Provisions shall apply to the ships with a gross tonnage
exceeding 20 tons and not exceeding 300 tons, and those with a gross tonnage
exceeding 300 tons engaging in transport services between the ports of the
People's Republic of China as well as those for other coastal operations.

    Article 3  The limitation of liability for maritime claims for ships with a
gross tonnage not exceeding 300 tons, except as otherwise provided for in
Article 4 of these Provisions, shall be calculated as follows:

    (1) In respect of claims for loss of life or physical injury:

    a. 54000 Units of Account for a ship with a gross tonnage in excess of 20
tons and less than 21 tons;

    b. For a ship with a gross tonnage in excess of 21 tons, 1000 Units of
Account shall be added for each ton in excess of 21 tons.

    (2) In respect of claims other than that for loss of life or physical
injury:

    a. 27500 Units of Account for a ship with a gross tonnage in excess of 20
tons and less than 21 tons;

    b. For a ship with a gross tonnage in excess of 21 tons, 500 Units of
Account shall be added for each ton in excess of 21 tons.

    Article 4  The limitation of liability for maritime claims for ships with
a gross tonnage not exceeding 300 tons engaging in carriage of goods between
the ports of the People's Republic of China as well as those for other coastal
operations shall be calculated on the basis of 50% of the limitation of
liability provided for in Article 3 of these Provisions, and that for ships
with a gross tonnage exceeding 300 tons shall be calculated on the basis of
50% of the limitation of liability provided for in sub-paragraph (1) of Article
210 of "Maritime Code of the People's Republic of China".

    Article 5  Regarding the limitation of liability for maritime claims, the
provisions of Article 210 of "Maritime Code of the People's Republic of China"
or Article 3 of these Provisions which apply to one of the ships in an
accident, shall also apply to the other ships in the same accident.

    Article 6  Ministry of Communications of the People's Republic of China
shall be responsible for the interpretation of these Provisions.

    Article 7  These Provisions shall come into force as of January 1, 1994.