TRADE AGREEMENT
BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND THE PEOPLE'S REPUBLIC OF CHINA
The Council of the European Communities and the Government of the People's Republic of China,
Desiring to develop economic relations and trade between the European Economic Community and the People's Republic of China on the basis of equality and the mutual advantage of the two Contracting Parties and to give a new impetus to their relations,
Have decided to conclude this agreement the terms of which are as follows:
ARTICLE 1
The two Contracting Parties will endeavour, within the framework of their respective existing laws and regulations, to promote and intensify trade between them.
To this end they confirm their determination:
(a) to take all appropriate measures to create favourable conditions for
trade between them;
(b) to do all they can to improve the structure of their trade in order to
diversify it further, and
(c) to examine, each for its own part and in a spirit of goodwill, any suggestions made by the other Party, in particular in the Joint Committee, for the purpose of facilitating trade between them.
ARTICLE 2
1. In their trade relations the two Contracting Parties shall accord each other most-favoured-nation treatment in all matters regarding:
(a) customs duties and charges of all kinds applied to the import, export, re-export or transit of products, including the procedures for the collection of such duties or charges;
(b) regulations, procedures and formalities concerning customs clearance, transit, warehousing and transhipment of products imported or exported;
(c) taxes and other internal charges levied directly or indirectly on
products or services imported or exported;
(d) administrative formalities for the issue of import or export licences.
2. Paragraph 1 of this Article shall not apply in the case of:
(a) advantages accorded by either Contracting Party to States which
together with it are members of a customs union or free trade area; (b) advantages accorded by either Contracting Party to neighbouring
countries for the purpose of facilitating border trade;
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