Laws of the People's Republic of China

Regulations of the People's Republic of China on the Administration of the Export of Dual-use (Military & Civil) Nuclear Facilities and Related Technologies

(Promulgated by Order No. 245 of the State Council of the People's Republic of China on June 10, 1998 and revised in accordance with the Decision of the State Council of the People's Republic of China on Revising the Regulations of the People's Republic of China on the Administration of the Export of Dual-use (Military & Civil) Nuclear Facilities and Related Technologies on January 26, 2007)

Article 1

The present Regulations have been formulated for the purpose of strengthening the administration and control over the export of nuclear facilities that can be used for both military and civil purposes and the related technologies (hereinafter referred to as the dual-use nuclear facilities and related technologies) so as to prevent the proliferation of nuclear weapons, guard against nuclear terrorist activities, promote international cooperation on the peaceful utilization of nuclear energy, and to safeguard the national security and social benefits.

Article 2

The export of dual-use nuclear facilities and related technologies stipulated in the regulations refers to the export of the equipment, materials, software, and related technologies listed in A Detailed List of Dual-use Nuclear Facilities and Related Technologies Restricted for Export (hereinafter referred to as the Restriction List for short), as well as the granting, exhibiting, technological cooperation, foreign aiding, service and other transformation in alternative ways.

Article 3

The State shall enforce strict administration and control over the export of dual-use nuclear facilities and related technologies, strictly abides by its due international obligation of nuclear non-proliferation, and prevent the use of dual-use nuclear facilities and related technologies for the purposes of nuclear explosions and nuclear terrorist activities.

In order to maintain national security and international peace and security, the State may take any measures that are necessary against the export of dual-use nuclear facilities and related technologies.

Article 4

The export of dual-use nuclear facilities and related technologies should abide by relevant laws, administrative regulations as well as provisions of the present Regulations, should not jeopardize the national security and social and public interests of China.

Article 5

The State shall implement a licensing system for the export of dual-use nuclear facilities and related technologies.

Article 6

The license for the export of dual-use nuclear facilities and related technologies shall be based on the following promises on the part of the recipient party:

(1)

The recipient party shall promise that it shall not use the dual-use nuclear facilities and related technologies or any of their duplicates supplied by China for the purposes of nuclear explosions and other purposes other than the final purposes as is stated by it;

(2)

The recipient party shall promise that it shall not use the dual-use nuclear facilities and related technologies or any of their duplicates supplied by China in nuclear fuel cycle activities that have not accepted safety inspections by the International Atomic Energy Agency. This Item shall not apply to those countries that have signed voluntary guarantee agreement with the International Atomic Energy Agency; and

(3)

The recipient party shall promise that it shall not transfer the dual-use nuclear facilities and related technologies or any of their duplicates supplied by China to a third party other than the final user as is stated by it without the Chinese government's consent.

Article 7

Operators engaged in the export of dual-use nuclear facilities and related technologies shall register with the Ministry of Commerce (MOFCOM). No unit or individual shall be allowed to engage in the export of dual-use nuclear facilities and related technologies unless registered with the Ministry of Commerce (MOFCOM). The detailed registration procedures shall be worked out by the MOFCOM.

Article 8

Exporters of the dual-use nuclear facilities and related technologies that are listed in the Restriction List shall apply to the MOFCOM and fill in the Applications Form of Exporting Dual-use Nuclear Facilities and Related Technologies (hereinafter referred to as the "Export Application Form"), and submit the following documents:

(1)

The identity certificates of the legal representatives of the applicant, principal operators of the business, and the person who handles the application;

(2)

Duplicates of the contract or agreement;

(3)

The technological illustration or test report of the dual-use nuclear facilities and related technologies;

(4)

The certificates certifying the identity of the final users as well as the final use;

(5)

The guarantee documents required by Article 6 of the present Regulations; and

(6)

Other documents required by MOFCOM.

Article 9

Where the exported dual-use nuclear facilities and related technologies are for exhibition outside China, exclusively used by Chinese institutions outside China or overhaul outside China which shall be transported back within the stipulated period, or those are for overhaul within China that shall be transported back outside China, or other circumstances as stipulated by the MOFCOM, the exporter may, upon examination and approval by the MOFCOM, be exempted from furnishing the documents provided in Article 8 of the present Regulations.

Article 10

The applicant shall fill in the Export Application Form in accordance with the facts. The Export Application Form shall be designed and printed uniformly by the MOFCOM.

Article 11

The MOFCOM shall, upon the first day it receives the application form and documents required by Article 8 of the present Regulations, examine them together with the State Atomic Energy Agency, or with the related competent authorities of the State Council, or with the Ministry of Foreign Affairs should foreign policies be involved and decide on approval or disapproval within 45 working days.

Article 12

Where the exported dual-use nuclear facilities and related technologies should have great influence on China's national security, social and public interests, and foreign policies, the MOFCOM shall, together with related competent authorities, submit it to the State Council for approval.

Those submitted to the State Council for approval shall be exempt from the limitation of the time limit as provided in Article 11 of the present Regulations.

Article 13

Where the application for the export of dual-use nuclear facilities and related technologies is approved, then MOFCOM shall grant the license for the export of dual-use nuclear facilities and related technologies (hereinafter referred to as Export License) to the exporter.

Article 14

Where a holder of the export license changes the exported dual-use nuclear facilities and related technologies, the original export license shall be submitted for the application of a new license in line with the stipulations of the present Regulations.

Article 15

When exporting dual-use nuclear facilities and related technologies, the exporter shall present the export license to the Customs, deal with the Customs formalities in accordance with the provisions of the Customs Law and accept the inspection and examination of the Customs.

Article 16

The Customs may put forward doubts about whether the equipment, materials, software, and related technologies to be exported by the operator need processing the export license for dual-use nuclear facilities and related technologies, and may require him to apply to the MOFCOM to process the certifying documents to determine whether his export belongs to the restriction scope of the export of dual-use nuclear facilities and related technologies; As regards those belong, the operator shall, in line with the provisions of the present Regulations, file an application and obtain the export license for the export of dual-use nuclear facilities and related technologies. The detailed procedures shall be formulated by the General Administration of Customs together with the MOFCOM.

Article 17

Where the recipient party violates corresponding promises made in accordance with provisions as stipulated in Article 6 of the present Regulations or the risk of nuclear weapon proliferation and nuclear terrorist action may emerge, the MOFCOM shall terminate or revoke the granted export license and notify related departments.

Article 18

Operators of export shall establish and strengthen the inner control system of the export of dual-use nuclear facilities and related technologies, and take good care of the materials such as contracts, invoices, bills and documents, and business correspondence for no less than five years. The MOFCOM may refer to and duplicate relevant materials.

Article 19

Operators of export knows or should know, or notified by the MOFCOM, that where the equipment, materials, software and related technologies exported by them are of nuclear proliferation risk or may be used for nuclear terrorist purposes, even if the equipment, materials, software and related technologies are not listed in the Restriction List, they shall be handled in accordance with the provisions of the present Regulations.

Article 20

The MOFCOM, upon approval from the State Council, is empowered, together with relevant authorities of the State Council, to decide whether or not to exercise control and administration over the export of the special dual-use nuclear facilities and related technologies that lie outside the Restriction List in line with the present Regulations.

The export of the special dual-use nuclear facilities and related technologies stipulated in the previous paragraph shall go through the process of application for the license in accordance with the provisions of the present Regulations.

Article 21

The MOFCOM shall organize concerned experts into consultative committee on the export of dual-use nuclear facilities and related technologies and undertake such work as the consultancy, evaluation and explanation concerning the administration and control over dual-use nuclear facilities and related technologies.

Article 22

The MOFCOM or the MOFCOM together with related competent departments may investigate and impede acts suspected of violating the provisions of the present Regulations. The MOFCOM, as is necessary, may inform the Customs of the condition of the equipment, materials, software and related technologies to be exported. As for those under the supervision of the Customs, the Customs may carry out inspection or detainment; as for those outside the supervision of the Customs, the MOFCOM may carry out inspection or detainment. Relevant units and individuals shall offer cooperation and assistance.

Article 23

Where dual-use nuclear facilities are exported in violation of the provisions of the present Regulations, the operator shall be punished in accordance with the provisions of the Customs Law.

Where dual-use nuclear facilities are exported in violation of the provisions of the present Regulations, the operator shall be given a warning by the MOFCOM and be imposed on a fine of not less than the same amount of but not more than 5 times of the amount of the illegal business volume; where the illegal business volume is less than 50, 000 yuan, a fine of 50, 000 up to 2, 50, 000 yuan shall be imposed. If there are illegal gains, the illegal gains shall be confiscated; if any crime is constituted, it shall be subject to the criminal liabilities in accordance with the law.

Article 24

Where the operator forges, falsifies, or buy and sell export licenses, he shall be punished in accordance with the provisions of related laws and administrative regulations; if any crime is constituted, it shall be subject to the criminal liabilities in accordance with the law.

Where the export license is secured by deception or other unjust means, the export license shall be confiscated by the MOFCOM and a fine of not less than the same amount of but not more than 5 times of the amount of the illegal business volume shall be imposed; where the illegal business volume is less than 50, 000 yuan, a fine of 50, 000 up to 2, 50, 000 yuan shall be imposed. If there are illegal gains, the illegal gains shall be confiscated; if any crime is constituted, it shall be subject to the criminal liabilities in accordance with the law.

Article 25

Where public officials responsible for administration or control over the export of dual-use nuclear facilities and technologies, neglect their duties, practice favoritism and engage in malpractices, or abuse their powers, criminal liabilities shall be affixed where a crime is constituted; or punishment shall be imposed in accordance with related laws where a crime is not involved.

Article 26

The MOFCOM, together with the State Atomic Energy Agency and related authorities, is entitled to make some adjustments to the Restriction List in accordance with the actual situation which shall be promulgated.

Article 27

Where international treaties to which China is signatory country bear different stipulations from the present Regulations, the international treaties shall prevail, except for those provisions for which the People's Republic of China had stated reservation.

Article 28

Where dual-use nuclear facilities and related technologies are exported from areas under special supervision by the Customs such as bonded area export- oriented processing zones and bonded supervising places such as export supervision warehouses and bonded logistics centers, the present Regulations shall be applied.

The transit, transshipment and through transportation of dual-use nuclear facilities and related technologies shall be carried out in accordance with the provisions of the present Regulations.

Article 29

The present Regulations shall come into force as of the date of promulgation.