Notice on Promoting the Smooth and Orderly Development of China's International Shipping Industry

Communications Departments (Bureaus and Commissions) of provinces, autonomous regions, and municipalities directly under the Central Government, Shanghai Municipality, Tianjin Transportation and Port Authority, China Shipowners, Ports, Ship Agents, and NVOCC:

At present, due to the multiple factors such as the imbalance of supply and demand in the international shipping market and the increase in operating costs, the international shipping market continues to be sluggish. In order to actively respond to the current difficult situation of the international shipping industry, standardize the market order, and further promote the steady and orderly development of China's international shipping industry, the relevant requirements are now clearly defined as follows:

I. Enhancing the understanding of the importance of the healthy development of the international shipping industry The international shipping industry plays an important strategic role in promoting and safeguarding the national economic and social development. At present, international shipping has been affected by multiple factors such as excessive growth of transportation capacity, serious imbalance in supply and demand, and rising costs. It has been deep downturns and will continue for a long time. China's shipping companies are struggling with their production and operations and face serious challenges.

The transportation authorities at all levels (port and shipping administrative departments) must fully understand the seriousness of the current international shipping situation, take the challenges and opportunities seized as an important content, and take effective measures to support the development of the maritime industry in light of the characteristics of the low season of shipping. It will further strengthen the management of the international shipping market within its area of ​​jurisdiction and guide the steady and orderly development of the industry.

2. Actively promote the structural adjustment and upgrading of the international shipping industry Actively guide international shipping companies to expedite the dismantling of old ships with high energy consumption and heavy pollution, avoid blind development of transport capacity, optimize the structure of transport capacity, coordinate the relationship between scale and quality, and actively adjust the structure. , turn to adapt to market changes. It is necessary to guide and encourage enterprises to change their concept of development, increase investment in science and technology, innovate in business methods, improve modern enterprise systems, continuously improve the level of business management and risk prevention, establish and improve risk prevention and control systems, improve cost control capabilities, and transform extensive business models. Take the road of steady development. We must actively encourage and support competent companies to carry out mergers, reorganizations, and joint ventures to complement each other's strengths, make them bigger and stronger, and bring economies of scale into play.

3. Focusing on building a good administrative service environment We must further develop the construction of service-oriented port and shipping administrative departments, change government functions, deepen the reform of the administrative examination and approval system, improve service procedures, adhere to the transparency of government affairs, improve efficiency, and improve administrative service levels and capabilities. . We must attach importance to research and analysis of market information and publish it on a regular basis to form an information prompting and early warning mechanism to provide enterprises with effective information services and give full play to the guiding role of information release and situational prejudgment to the market.

IV. Strengthening corporate law-abiding operations Integrity of business is forbidden for international shipping companies and NVOCCs to provide services at lower than normal and reasonable levels. For example, “zero freight” and “negative freight rates” are used to undertake cargo and other damages to international shipping. The behavior of the market order hinders fair competition. It is forbidden for international shipping companies that have a dominant position in the market to abuse their market dominance in their operations and to eliminate or restrict competition.

International shipping companies and non-vessel shipping companies must standardize the charging behavior and prohibit arbitrary charges; they must fulfill the obligation of filing tariffs according to law and strictly implement the effective filing rates. If an international shipping company enters into a tariff agreement and various types of surcharge agreements, it must perform filing procedures according to law and communicate and negotiate effectively with shippers or shipper organizations within China.

V. Strengthen the maintenance of a fair and orderly competitive order In strict accordance with the "Regulations of the People's Republic of China on International Maritime Transport" and related laws and regulations, strengthen the market access management of international shipping and auxiliary industries, strengthen the supervision and management of market dynamics, and increase investigation and enforcement efforts. Strictly eliminate any unauthorised conduct of business operations, severely investigate unfair competition practices such as vicious pricing, and encourage operators in jurisdictions to operate in accordance with the law and compete fairly.

We must pay close attention to the competition in the international shipping market, and report to the Ministry of Commerce in a timely manner that it initiates investigation procedures for acts that may undermine fair competition in the market. If damages are caused to fair competition, the investigating authorities shall, according to law, adopt prohibited or restrictive measures such as ordering amendments to relevant agreements, limiting the number of liner flights, suspending the tariff or suspending the filing of tariffs, and ordering regular submission of relevant materials.

It is necessary to urge international shipping companies and NVOCCs to perform tariff filing and other filing procedures in accordance with the "International Maritime Transport Regulations of the People's Republic of China." For those who have not fulfilled the tariff filing procedures or have not implemented the recorded tariffs, the Ministry of Transport or the authorized local transportation department shall order them to make corrections within a time limit and impose administrative fines according to law. Where other filing procedures are stipulated in the failure to implement the regulations, the Ministry of Transportation or the authorized local transportation department shall order it to make a deadline for renewing the formalities. If it fails to make up the deadline, it shall be imposed an administrative fine in accordance with law, and may withdraw its corresponding qualifications.

Sixth, strengthen cooperation to improve enterprises' ability to withstand the crisis and prevent and control risks. Actively guide the inter-enterprise and upstream and downstream industries to strengthen cooperation, standardize the owner's investment in the shipping industry, and guide the shippers and shipping companies to complement each other and form a common interest community. To jointly promote and safeguard the healthy and stable development of China's foreign trade.

7. Give full play to the active role of industry associations in responding to crises. Encourage industry associations to organize enterprises to strengthen cooperation and coordinate market operations. At the same time, it is encouraged to strengthen self-discipline in the industry, maintain the credibility of its own companies, jointly maintain the order of market competition, and promote sound and healthy development of the industry.

VIII. Strengthening supervision of production safety to ensure the safety of water transportation Under the current severe economic situation, transportation authorities at all levels must urge enterprises to pay high attention to safe production, increase the safety awareness of the production team, eliminate paralysis and ensure that safety production is not relaxed and strictly implemented. Various safety measures to strengthen the investigation of safety hazards, and practically to do a detailed job of safety.

The transportation departments at all levels must strengthen the focus on the investigation of international maritime passenger transport and the transport of dangerous goods, especially passenger ro-ro ships, passenger ferries, high-speed passenger ships and cruise ships. It is necessary to further strengthen liaison with relevant local government departments and maritime departments, and urge international maritime passenger transport enterprises to strictly implement the main responsibility of security, adhere to the unified leadership of the government, the overall responsibility of the enterprise, and the supervision of departments according to law, and establish a sound safety notification system and a safety reporting system. Safety hidden troubles investigation and reform supervision system, emergency assistance and coordination system to ensure the ship's airworthiness, crew competence, navigation safety.

IX. Strengthening Supervision, Inspection, and Information Reporting At all levels, the transportation departments must pay close attention to the changes in the international shipping market, and in conjunction with local conditions, strengthen supervision and inspection in conjunction with relevant management departments, and relevant information and the promotion of international maritime development in the region. The implementation of relevant policy measures will be reported to the Ministry of Water Transport in a timely manner. The relevant industry associations shall regularly report to the Ministry's Water Transport Bureau regarding the overall situation of the international shipping industry, the overall operating conditions of the company, and the major problems that exist.