Agreed Minutes
1 Delegations of the Republic of China and the Republic of Korea
held the 7th round of Joint Maritime Consultative Committee M-
eeting in Seoul on May 2 and 3,1991 in accordance with Article
8 of the Agreement on Maritime Transport between the Governme-
nt of the Republic of China and the Government of the Republic
of Korea. (hereinafter called the "Shipping Agreement")
2 The delegation of the Republic of China was headed by Mr. Lin,
Chin-chuan, Deputy Director, Department of Navigation and Avi-
ation, Ministry of Communications. The delegation of the Repu-
blic of Korea was led by Mr. Suh, Jae-Gook, Director General,
Marine Transport Bureau, Korea Maritime and Port Administrati-
on.
The lists of both delegations are attached as Annex A and B.
3 During the Meeting, both delegations exchanged views on a num-
ber of shipping related issues, including international shipp-
ing environment, in an amicable and cordial atmosphere and hi-
ghly evaluated the usefulness of the Joint Meeting.
4 The two delegations frankly and sincerely discussed issues of
mutual interests and reached understandings as follows:
A. Restrictions on Cargo Solicitation for the ROC Carriers in K-
orea
Pointing out that the restrictions on cargo solicitation for the
ROC carriers in Korea were against the principles of mutual equ-
ality based on the Shipping Agreement, the ROC side requested t-
he Korean side to present a time-table for lifting of the waiver
system and the restriction on cargo solicitation of interport s-
ervice and Korea-Japan route.
The Korean delegation explained that, though the legal basis for
the integration of Korea-Japan and Korea-Southeast Asian routes
would be effective by the end of 1991, it should take a conside-
rable time to implement the actual integration due to the domes-
tic circumstances in Korea.
The ROC side presented the following time-table to lessen the r-
estrictions on cargo solicitation for the ROC shipping companies
in Korea;
- For the waiver system, the law shall be revised by 1993 and t-
he related regulations shall be streamlined by 1995.
- The Chinese carriers shall be able to participate in the feed-
er services on the Korea-Japan route once the Japanese carrie-
rs are allowed to engage above services.
- The participation of the ROC oceangoing carriers in interport
services on the Korea-Southeast Asian route shall be allowed
at the time when Korean ocean-going shipping companies are al-
lowed to take part in Southeast Asian service. The time is ex-
pected to be 1995.
B. Interport Services of Korean Oceangoing Vessels in the Near
Sea Route.
The Chinese delegation demanded that the Government of the ROK
should take regulatory actions against Korean Ocean-going liners
which violated the ROK law about interport services in the near
sea route of the ROC.
The Korean side stated it would take actions against such liners
according to the laws if the ROC side hands in evidence materia-
ls to tell any ROK shipping company had committed a violation.
C. The Berthing Priority at the Port of Pusan
The Chinese delegation indicated that there were unfair treatme-
nts in berthing priority at the Port of Pusan to the ROC contai-
ner ships.
The Korean delegation explained that there was no discriminati-
on according to the flag of vessel and that the BCTOC (Busan Co-
ntainer Terminal Operation Corporation) had kept the rule of de-
termining the priority on the base of optimizing operational ef-
ficiency of the terminal.
The Chinese side requested that the vessels calling at the Port
of Pusan every 5 days should be considered as equivalent priori-
ty to the vessels of fixed day services. The Korean delegation
gave the document regulating the berth priority to the ROC side
and explained that the relevant authority in Korea would recons-
ider the Chinese proposal when the 3 additional berths start r-
unning in June 1991. The result will be informed to the Chinese
side.
D. Construction Plan of Container Terminals in Korea
Emphasizing that container terminals play very important roles
in liner shipping sector, the ROC side asked that the ROC liner
shipping companies should be allowed to lease and operate her o-
wn container terminals in Korea.
The Korean side explained as follows:
- Though the Port of Pusan is expected to expand three new cont-
ainer berths by this coming June and four more berths by 1994,
it seems inevitable that container terminals in the Pot of Pu-
san should be run as public terminals due to the rapidly grow-
ing container cargo traffic in the Port of Pusan.
However, the ROC carriers are welcomed to lease container termi-
nals in the Port of Pusan once the terminals are decided to be
leased.
- In addition, ten more container berths are planned to be cons-
tructed in the Port of Kwangyang by the year of 2000 and they
are planned to be leased to the shipping lines which will inv-
est to the construction. If the Chinese carriers are interest-
ed in the development of the Port of Kwangyang, the Korean si-
de is pleased to forward necessary materials to the ROC side.
E. Formation of the Discussion Agreement
The Korean delegation expressed that the ceiling restriction for
the Chinese carriers in the near sea route had been lifted since
January, 1990. However, the Korean delegation strongly requested
that Chinese shipping companies should do their best to form a
consultative body, which would certainly lead to equal cargo sh-
aring for both sides shipping companies, and market stabilizati-
on in the Southeast Asian routes, stipulated by the agreement at
the 6th Round of Consultative Meeting.
In addition, the Korean side expressed its views that restricti-
ons of interport service on the Southeast Asian route could be
lifted immediately, if the consultative body among the shipping
lines of both countries is formated and the cargo sharing agree-
ment based on Article 2 of the Shipping Agreement is implemented
.
The both sides agreed that the Association of Shipping Services
of the ROC and the Korea Shipowners' Association of the ROK wou-
ld act as respective negotiation party for the formation of the
Discussion Agreement.
F. Korean Shipowners' Representatives in the ROC.
The Korean side pointed out that there were no restrictions com-
parable with the Chinese side on the number of foreign shipowne-
rs' representatives in Korea. The Korean side requested that the
ROC, on the basis of the principle of mutual benefit and recipr-
ocity rendered by the Shipping Agreement, should allow the incr-
ease of the number of Korean shipowners' representatives in the
ROC.
The Korean delegation explained that the ROK had allowed foreign
shipping companies to establish their branch offices in Korea s-
ince May 1989. The Korean side asked whether the ROC would allow
Korean shipping companies to establish their offices in the ROC
if they want to.
The Chinese side stated that unlimited number of foreign shipow-
ners' representatives in the ROC had not been allowed by the do-
mestic law. The Chinese side, however, expressed its intention
that the Ministry of Communications would exert to settle this
problem with sincerity if the Korean shipping companies submit
information on their necessity to increase the number of reside-
nt representatives.
G. Exclusive Rent of Container Terminal in the Kaohsiung Harbour
Regarding the agreed minutes at the 6th Round of Meeting that t-
he ROC side would give assistance in the Kaohsiung Harbour for
the Korean shipping companies, the ROK side regretted that the
application by the Hanjin Shipping Co., Ltd for the lease of Pi-
er 64 in the Kaohsiung Harbour had not been accepted.
Emphasizing that the container cargo handled by the Korean ship-
ping companies was by no means less than that handled by the Am-
erican or Japanese shipping companies, the Korean side once aga-
in made a strong demand that the ROC side should exert every ef-
fort so that Korean shipping companies could secure an exclusive
container terminal in the Kaohsiung Harbour.
Referring to that there was no discrimination on leasing an exc-
lusive container terminal for the Korean shipping companies, the
ROC side explained that the decision on Pier 64 as public berth
was made bnecause the Kaohsiung Harbour was short of public pier
and there were many competitors for Pier 64.
The Chinese side expressed that the Kaohsiung Harbour's 5th ter-
minal would be Constructed in the near future and the Korean ca-
rriers will be welcomed to lease those terminals after construc-
tion. The Chinese side advised the Korean carriers to contact w-
ith the Kaohsiung Harbour Bureau. Necessary assistance will be
given by the Ministry of Communications of the ROC.
5 Both delegations reached the same conclusion that the 7th Joi-
nt Maritime Consultative Meeting was constructive and it woul-
d contribute to the strengthening of traditional relationship
and mutual cooperation in the maritime field between the two
countries.
Both delegations agreed that the 8th round of Consultative Me-
eting would be held in Taipei next year and the date would be
determined through the diplomatic channels.
May 3,1991
[Signed]
Mr. Lin, Chin-Chuan
Chief Delegate
The Republic of China
[Signed]
Mr. Suh, Jae-Gook
Chief Delegate
The Republic of Korea
Annex "A"
List of the Chinese Delegation
‧ Chief Delegate
- Mr. Lin, Chin-Chuan (林金川)
Deputy Director
Department of Navigation and
Aviation
Ministry of Communications
(MOC)
‧ Delegate
- Mr. Bao, Jya-Yuan (包嘉源)
Section Chief
Department of Navigation and
Aviation
Ministry of Communications
(MOC)
- Mr. Cheng, Chorng-Been (鄭崇賓)
Specialist
Department of Navigation and
Aviation
Ministry of Communications
(MOC)
- Mr. Lin, Shun-Dar (劉順達)
Specialist
Department of East Asia and
Pacific Area
Ministry of Foreign Affairs
(MOC)
- Mr. Hsiang, Chung-Fa (相重發)
Vice Secretary General
Association of Shipping Services,
R.O.C (AOSS)
- Mr. Chang, Guo-Hua (張國華)
President
Evergreen Marine Corp., Ltd.
- Mr. Lee, Mun-Chi (李孟舉)
President
Uniglory Marine Corp., Ltd.
- Mr. Jou, Muh-Haur (周慕豪)
Secior Manager
Chinese Maritime Transport Ltd.
- Mr. Chen, Ching-Chih (陳清治)
Vice Chairman
Wan Hai Steamship Co., Ltd.
- Mr. Hwang, Sin-Nan (黃信南)
Vice President
Chun Sine Marine Co., Ltd.
Annex "B"
List of the Korean Delegation
‧ Chief Delegate
- Mr. Suh, Jae-Gook (徐載國)
Director General
Marine Transport Bureau
Korea Maritime and Port
Administration (KMPA)
‧ Delegate
- Mr. Suh, Jung-Ho (徐廷皓)
Director
Shipping Promotion Division
Marine Transport Bureau, KMPA
- Mr. Baek Ok-In (白玉寅)
Director
Ocean Going Shipping Division
Marine Transport Bureau, KMPA
- Mr. Kim, Sung-Jin (金性珍)
Assistant Director
Shipping Promotion Division
Marine Transport Bureau, KMPA
- Mr. Yu, Ji-Eun (柳枝殷)
Assistant Director
International Trade Division Ⅱ.
Ministry of Foreign Affairs
- Mr. Park, Chang-Hong (朴昌弘)
Secretary General
Korea Shipowners' Association
- Mr. Kwon, Hoon (權勳)
Senior Vice President
Hanjin Shipping Co., Ltd.
- Mr. Moon, Ik-Sang (文益祥)
Senior Executive
Hyundai Merchant Marine
Co., Ltd.
- Mr. Park, Hyo-Won (朴孝源)
Vice Chairman
Cho Yang Maritime Co., Ltd.
- Mr. Yang, Geel-Yong (梁吉容)
Vice President
Dongnama Shipping Co., Ltd.
- Mr. Kim, Min-Young (金敏英)
Senior Managing Director
Heung-A Shipping Co., Ltd.