| Technology import and export represents an important component of China's foreign economic and trade sector. In the past five decades since the founding of the People's Republic of China, China's technology import has made eye-catching progress. This has resulted both from China's reform and opening-up drive and intensified efforts to develop international trade in technology and China's standardized and legalized administration of technology import and export.The Chinese Government has all along attached importance to the legislation governing the administration of technology import and export. The year 1981 witnessed the promulgation of the Interim Rules Concerning the Work of Technology Introduction and Equipment Import, which was the earliest legislative piece in connection with technology introduction and contract administration. In the year of 1985, the Foreign-related Economic Contract Law was ratified, which stipulates that "for contracts that should be approved by the state in accordance with the provisions of the laws and administrative regulations of the People's Republic of China, they shall enter into force only when such approvals are obtained." This established the principle of effectiveness of foreign-related contracts pending upon examination and approval. In the same year the Rules Concerning the Administration of Technology Introduction Contracts, which stipulates that "approved contracts shall enter into force as from the date of approval by the examining and approving authorities." For the first time ever the principle of effectiveness of China's foreign-related technology contracts pending upon examination and approval was established in the form of administrative regulations. In 1988 the Detailed Rules Concerning the Implementation of the Rules Concerning the Administration of Technology Introduction Contracts was promulgated and it contained rather detailed provisions regarding the effectiveness of technology introduction contracts and the examining and approving authorities and procedures for contracts.In 1999 the Contract Law was officially promulgated. This law is a uniform contract code formed on the basis of the previous contract laws. This law stipulates that "should there be separate provisions in laws and administrative regulations with regard to technology import and export contracts or patent (application) contracts, such provisions should be observed." Thus space has been reserved for China's legislation in connection with technology import and export and their contract administration.China's Foreign Trade Law, for administration purposes, divides imported and exported technologies into three categories: banned, restricted and free import and export. At the same time it stipulates that "technologies subject to import or export restrictions shall be subject to licensing administration." These have all established the basic principle and spirit for China's legislation regarding technology import and export.In order to support the enforcement of the Foreign Trade Law, the competent authorities are in the process of preparing legislation governing international trade in technology and have already produced a draft of the Rules Concerning Technology Import and Export. On the basis of the Foreign Trade Law and the Contract Law, the draft classifies imported and exported technology into three major categories: banned, restricted and free; the import or export of restricted technologies shall be subject to approvals or authorization. In terms of contract administration, the provisions are that technology import contracts that fall into the restricted category can only become valid upon examination and approval and those that fall into the free category shall be subject to the registration system. Technology export contracts shall, without any exception, be subject to the registration system and become valid as from the date of establishment according to law.The legislative objectives of the draft rules are to establish a practical and effectiv... |
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