PROTOCOL Between the CHINA EXTERNAL TRADE DEVELOPMENT COUNCIL (
CETRA) and the TEL AVIV CHAMBER OF COMMERCE(TCC) for the ORGANI-
ZATION OF A SYSTEM OF INTERNATIONAL CUSTOMS DEPOSIT for the TEM-
PORARY ADMISION OF GOODS

ARTICLE 1
The undersigned guaranteeing associations have agreed to establ-
ish, in accordance with this Protocol a system of international
customs deposits for import duties chargeable on the temporary
admissions of goods in the customs territories in which they are
situated; when such goods are covered by a customs carnet (here-
inafter referred to as a TCC/CETRA carnet)

ARTICLE 2
This protocol relates to the temporary admission of all goods w-
hich can circulate freely for international trade purposes acco-
rding to the principles embodies in the following conventions a-
nd according to modalities set forth therein:
- Customs Convention to Facilitate the Importation of Commercial
Samples and Advertising Material, done at Geneva on November 7
, 1952;
- Customs Convention on the Temporary Importation of Profession-
al Equipment, done at Brussels on June 8,1961;
- Customs Convention Concerning Facilities for the Importation
of Goods for Display or Use at Exhibitions, Fairs, Meetings or
Similar Events, done at Brussels on June 8,1961,
- Customs Convention on the ATA Garnet for the Temporary Admiss-
ion of Goods (ATA Convention) done at Brussels on December 6,
1961;
- Any other international convention or agreements as well as
arrangements between the customs admissions relating to custom
producers concerning temporary admissions pursuant to the laws
and/or regulations applicable in the territory of temporary
admission.

This Protocol shall be implemented according to the rules set
forth:
- in the ATA Convention;
- in the opinions and comments expressed by the PTC of the World
Customs Organization concerning the application of the ATA Co-
nvention;
- in the Statement of the International Bureau of Chambers of C-
ommerce of the International Chamber of Comrherce and its imp-
lementing directives-present and future; and
- in the present Protocol ;

It is expressly agreed that the World Chambers Federation (WCF)
of the International Chamber of Commerce will ensure the implem-
entation of the system of international customs deposits establ-
ished under the present Protocol.

For the purposes of this Protocol:

ARTICLE 3
a) the term "import duties" means customs duties and all other
duties and taxes payable on, or in connection with importati-
on of goods, and shall include all internal taxes and excise
duties chargeable on imported goods, but shall not include
fees and charges which are limited in amount to the approxim-
ate cost of services rendered and do not represent an indire-
ct protection to domestic products or a taxation of imports
for fiscal purposes;
b) the term "temporary admission" means temporary importation
free of import duties in accordance with the conditions set
forth in the Conventions and Agreements referred to in Artic-
le 2 above.
c) the term "customs carnet" means the document hereinafter ref-
erred to as TCC/CETRA carnet and reproduced as Annex 1 to th-
is Protocol of which it is an integral part;
d) the term "guaranteeing association" shall mean the Tel Aviv
Chamber of Commerce and the China External Trade Development
Council, which have joined the systerh of international cust-
oms deposits implemented by the ICC/WCF.

ARTICLE 4
The undersigned guaranteeing associations declare that TCC/CETRA
carnets issued under their responsibility are delivered in acco-
rdance with the rules laid down in the ATA Convention of Decemb-
er 6, 1961,and in the ICC/WCF Statement and its implementing di-
rectives which have been published since the entry into force of
the said Convention.

The guaranteeing associations will keep each other informed of
the instances of temporary admission or transit in respect of
which they agree to guarantee TCC/CETRA carnets.

ARTICLE 5
The signatories of this Protocol shall guarantee the payment of
import duties in respect of goods dispatched by nationals of the
territory in which the signatories are situated .

This protocol shall only become effective upon fulfillment by
each signatory of all the guarantees required by the ICC/WCF, as
well as payment of the membership fees to that organization, and
shall remain in force only insofar as the guaranteeing associat-
ions have the recognition and approval of the customs admissions
in the territories in which they are situated to act according
to the provisions of this Protocol.

If there are exchange control regulations in the territory wher-
ein a guaranteeing association is situated, it shall not be ent-
itled to give its guarantee unless its exchange control office
has undertaken to authorize all transfers necessary for the set-
tlement of debts contracted vis-a-vis the other guaranteeing as-
sociation on account of such guarantees.

ARTICLE 6
The period of validity of the TCC/CETRA carnet shall not exceed
one year as from the date of issue of any carnet.

ARTICLE 7
The conditions for the grant of its guarantee shall be determin-
ed by each guaranteeing association in conformity with the recl-
uirements laid down by the ICC/WCF.

ARTICLE 8
The guarantee granted shall be surety for the payment of import
duties which would be due to the customs authorities of the ter-
ritory of temporary admission in the vent of the goods introduc-
ed into that territory not being re-exported within the prescri-
bed period. The guarantee shall further cover, up to 10% of the
amount of import duties, the payment of any other sums which wo-
uld have had to be deposited by the importer if there had been
no guarantee.

ARTICLE 9
Should the merchandise covered by the guarantee not be duly re-
exported from the territory of temporary admission within the
prescribed period and thus become liable for import duties, the
approved guaranteeing association in the said territory shall
pay the import duties owed to the creditory customs administrat-
ion.

The guaranteeing association which will have thus settled the
import duties in respect of merchandise covered by the guarantee
shall request the guaranteeing association which granted the or-
iginal guarantee to refund the duties paid on behalf of the imp-
orter.
Such refunding will be effected in conformity with the modaliti-
es laid down in Article IX of the ICC/WCF Protocol.

ARTICLE 10
The guaranteeing associations will cooperate and coordinate with
their Customs. Authorities with regard to the application and
interpretation of this Protocol.

ARTICLE 11
All differences, disputes or contestations between the signator-
ies in connection with the implementation of the provisions of
the present Protocol shall be finally settled under the Rules of
Conciliation and Arbitration of the International Chamber of Co-
mmerce by one or more arbitrations appointed in accordance with
such rules.

ARTICLE 12
This protocol shall become effective when the relevant authorit-
ies have confirmed their agreement through an exchange of lette-
rs to act in accordance with this Protocol.
It may, however be terminated upon notification of one of the
signatories to the other by registered letter to that effect.
The termination will take effect six months from the date upon
which such a letter has been received.

Done at _______________ on the ________ Day of ________ 2003
in the English language.




___________________________ __________________________
Yuen-Chuan Chao Joseph Shostak
President Managing director
For the China External For the Tel aviv chamber
Of Commerce of commerce




International Chamber of Commerce
World Chambers Federation


___________________________ __________________________
Mrs. Maria Livanos Cattaui Alain Destouches
Secretary General Administrative Director
Date: World ATA Carnet Council
At: Date:
At: