The Government of the Republic of China and the Government of t-
he Republic of Latvia, hreinafter called in this Agreement the
Contracting Parties,
fully recognizing or being Parties to the Convention on Interna-
tional Civil Aviation, apened for signature at Chicago, on the
seventh day of December 1994,
desiring to conclude an Agreement for the purpose of establishi-
ng scheduled air services between and beyond their respective t-
erritories,
have agreed as follows:
Article 1
DEFINITIONS
For the purpose of this Agreement, unless the context otherwise
requires:
(a) the term "Contracting Party" means the Government of the Re-
public of China on the one hand and the Government of the R-
epublic of Latvia on the other;
(b) the term "the Convention" means the Convention on Internati-
onal Civil Aviation, opened for signature at Chicago, on the
seventh day of December, 1994, and includes any Annex adopt-
ed under Article 90 of that Convention and any amendment of
the Annex or Convention under Articles 90 and 94 thereof in-
sofar as these have become effective for both Contracting P-
arties;
(C) the term "aeronautical authorities" means, in the case of t-
he Government of the Republic of China the Ministry of Tran-
sportation and Communications and, in the case of the Gover-
nment of the Republic of Lativa the Ministry of Transport or
any other authority legally empowered to perform the functi-
ons exercised now by the said authorities;
(d) the term "territory" in relation to a state means the land
areas and territorial waters adjacent thereto under the sov-
ereignty of that State;
(e) the term "air service" means any scheduled air service perf-
ormed-by aircraft for the public transport of passengers, m-
ail or cargo;
(f) the term "international air service" means an air service w-
hich passes through the air space over the territory of more
than on State.
(g) the term "airline" means any air transport enterprise offer-
ing or operating an international air services;
(h) the term "designated airline" means an airline which has be-
en designated and authorized in accordance with Article 3 of
the present Agreement;
(I) the term "stop for non-traffic purposes" means a landing for
any purpose other than taking on or discharging passengers,
cargo or mail;
(j) theterm "capacity"means:
i) in relation to an aircraff, the payload of that aircraft
available on a route or section of a route;
ii) in relation to a specified air service, the capacity of t-
he aircraft used on such service, multiplied by the frequ-
ency operated by such aircraft over a given period on a r-
oute or a section of route.
Article 2
TRAFFIC RIGHTS
(1) Each Contracting Party grants to the other Contracting Party
the following rights in respect of its scheduled internatio-
nal air services:
(a) the right to fly across its territory without landing;
(b) the right to make stops in its territory for non-traffic
purposes.
(2) Each Contracting Party grants to the other Contracting Party
the rights specified in this Agreement for the purpose of e-
stablishing scheduled international air services on the rou-
tes specified in the Annex. Such services and routes are he-
reafter called "the agreed services" and "the specified rou-
tes" respectively. While operating an agreed service on a s-
pecified route, the airline(s) designated by each Contracti-
ng Party shall enjoy, in addition to the rights specified in
paragraph 1 of this Article, the right to make stops in the
territory of the other Contracting Party at the points spec-
ified for that route in the Schedule for the purpose of tak-
ing on board and discharging passengers and cargo including
mail.
(3) Nothing in paragraph 2 of this Article shall be deemed to c-
onfer on the airline(s) of one Contracting Party the privil-
ege of taking on board, in the territory of the other Contr-
acting Party, passengers and cargo including mail carried f-
or hire or reward and destined for another point in the ter-
ritory of that other Contracting Party.
Article 3
DESIGNATION AND OPERATING AUTHORIZATIONS
(1) Each Contracting Party shall have the Tight to designate in
writing to the other Contracting Party one airline or sever-
al airlines for the purpose of operating the agreed services
on the specified routes.
(2) On receipt of such designation, the aeronautical authorities
of the other Contracting Party shall, subject to the provis-
ions of paragraphs 4 and 5 of this Article, without delay g-
rant to a designated airline the appropriate operating auth-
orizations.
(3) Each Contracting Party shall have the right, by written not-
ification to the other Contracting Party, to withdraw the d-
esignation of any such airline and to designate another one.
(4) An airline designated by either Contracting Party may be re-
quired to satisfy the other Contracting Party that it is qu-
alified to fulfill the conditions prescribed by the laws and
regulations normally and reasonably applied by this Contrac-
ting Party to the operation of international air services in
conformity with the provisions ofthe Convention.
(5) Each Contracting Party shall have the right to grant the op-
erating authorizations referred to in paragraph 2 of this A-
rticle, or to impose such conditions as it may deem necessa-
ry on the exercise by a designated airline of the rights sp-
ecified in Article 2 of the present Agreement, in any case
where the said Contracting Party is not satisfied that subs-
tantial ownership and effective control of that airline are
vested in the Contracting Party designating the airline or
in its nationals.
(6) When an airline has been so designated and authorized, it m-
ay at any time begin to operate the agreed services, provid-
ed that a tariff, established in accordance with the provis-
ions of Article 11 of present Agreement, is in force and an
agreement in accordance with the provisions of Article 5 of
the present Agreement has been reached in respect of that s-
ervice.
Article 4
SUSPENSION AND REVOCATION
(1) Each Contracting Party shall have the right to suspend the
exercise of the rights specified in Article 2 of the present
Agreement by the airline(s) designated by the other Contrac-
ting Party, or to revoke the operating authorization, or to
impose such conditions as it may deem necessary on the exer-
cise of these rights:
a) in any case where it is not satisfied that substantial bw-
nership and effective control of said airline(s) are vest-
ed in the Contracting Party designating the airline(s) or
in its nationals, or
b) in the case of failure by said airline(s) to comply with
the laws or regulations of the Contracting Party granting
these rights, or
c) in case the airline(s) otherwise fail to operate in accor-
dance with the conditions prescribed under the present Ag-
reement.
(2) Unless immediate suspension, revocation or imposition of the
conditions mentioned in paragraph 1 of this Article is esse-
ntial to prevent further infringements of laws or regulatio-
ns, such right shall be exercised only after consultations
with the other Contracting Party. In such a case consultati-
ons shall begin within a period of sixty (60) days from the
date of request made by either Contracting Party for consul-
tations.
Article 5
CAPACITY REGULATIONS
The capacity to be operated on the agreed scheduled air services
shall be subject to the following conditions:
(1) There shall be fair and equal opportunity for the designated
airline(s) of both Contracting Parties to operate the agreed
services on the specified routes.
(2) In operating the agreed services, the airline(s) of each Co-
ntracting Party shall take into account the interests of the
airline(s) of the other Contracting Party so as not to affe-
ct unduly the services which the latter provide on the whole
or part of the same routes.
(3) The agreed services provided by the designated airline(s) of
the Contracting Parties shall bear close relationship to the
requirements of the public for transportation on the specif-
ied routes and shall have as their primary objective the pr-
ovision of capacity adequate to carry the current and reaso-
nably anticipated requirements for the carriage of passenge-
rs, cargo and mail between the territory of the Contracting
Party designating the airline(s) and the countries of ultim-
ate designation of the traffic.
(4) Provisions for the carriage of passengers, cargo and mail b-
oth taken up and put down at points on the specified routes
in the territories of States other than that designating the
airline(s), shall be made in accordance with the general pr-
inciple that capacity shall be related to:
(a) traffic requirements between the country of origin and the
countries of designation;
(b) traffic requirements of the area though which the airline(
s) pass(es), after taking account of local and regional s-
ervices established by airlines of the States comprising
the area; and
(c) the requirements of through airline-operations.
(5) The schedules of the agreed services shall be submitted for
approval to the aeronautical authorities of both Contracting
Parties at least thirty (30) days before the proposed date
of their introduction. In special cases, this time limit may
be reduced subject to the consent of the said authorities.
(6) The schedules established for one season in accordance with
the provisions of this Article shall remain in force for co-
rresponding seasons until new schedules have been establish-
ed in accordance with the provisions of this Article.
Article 6
RECOGNITION OF CERTIFICATES AND LICENSES
(1) Certificates of air worthiness, certificates of competency
and licenses issued or rendered valid by one Contracting Pa-
rty, and still in force, shall be recognized as valid by the
other Contracting Party for the purpose of operating the ag-
reed services.
(2) Each Contracting Party reserves the right, however, to refu-
se to recognize, for the purpose of flights above its own t-
erritory, certificates of competency and licenses granted to
its vrion nationals or rendered valid by another State.
Article 7
EXEMPTION FROM CUSTOMS AND OTHER DUTIES
(1) Aircraft operated on international services by the airline(s
) designated by each Contracting Party, as well as their re-
gular equipment, supplies of fuel and lubricants and the ai-
rcraft stores (including food, beverages and tobacco) on bo-
ard such aircraft shall be exempt from all customs duties,
inspection fees and other duties or taxes on arriving in the
territory of the other Contracting Party, provided such equ-
ipment and supplies remain on board the aircraft up to such
time as they are re-exported.
(2) There shall also be exempt from the same duties and taxes w-
ith the exception of charges corresponding to the service p-
erformed:
(a) aircraft stores taken on board in the territory of either
Contracting Party, within limits fixed by the authorities
of said Contracting Party, and for use on board the aircr-
aft engaged on a specified route of the other Contracting
Party;
(b) spare parts entered into the territory of either Contract-
ing Party for the maintenance of repair of aircraft used
on a specified route by the designated airline(s) of the
other Contracting Party;
(c) fuel and lubricants destined to supply aircraft operated
on a specified route by the designated airline(s) of the
other Contracting Party, even if these supplies are to be
used on the party of the journey performed over the terri-
tory of the Contracting Party in which they are taken on
board.
Materials referred to in sub-paragraphs a), b) and c) above
may be required to be kept under customs supervision or con-
trol.
(3) The regular airborne equipment, as well as the materials and
supplies retained on board the aircraft of eithkr Contracti-
ng Party may be unloaded in the territory of the other Cont-
racting Party only with the approval of the customs authori-
ties of that Contracting Party. In each case, they may be p-
laced under the supervision of said authorities up to such
time as they are re-exported or otherwise disposed of in ac-
cordance with customs regulations.
Article 8
TAXATION
Profits from the operation of, and capital represented by aircr-
aft operated in international traffic between the territories of
the two Contracting Party as well as other related profits shall
be governed by an agreement on the Avoidance of Double taxation,
to be signed by the competent authorities of the both countries.
Article 9
DIRECT TRANSIT TRAFFIC
(1) Passengers, baggage, cargo and mail in direct transit across
the territory of either Contracting Party and not leaving t-
he area of the airport reserved for such purpose shall, exc-
ept in respect of security measures against violence and air
piracy as well as smuggling of narcotic drugs, be subject to
no more than a simplified control.
(2) Baggage, cargo and mail in direct transit shall be exempt f-
rom customs duties and other similar taxes.
Article 10
AVIATION SECURITY
(1) Consistent with their rights and obligations under internat-
ional law, the Contracting Parties reaffirm their obligation
to each other to protect the security of civil aviation aga-
inst acts of unlawful interference. Without limiting the ge-
nerality of their rights and obligations under international
law the Contracting Parties shall, in particular, act in co-
nformity with the Convention on Offenses and Certain Other
Acts Committed on Board Aircraft signed at Tokyo on 14 Sept-
ember 1963 the provision of the Convention for the Suppress-
ion of Unlawful Seizure of Aircraft signed at the Hague on 1
6 December 1970 and the Convention for the Suppression of U-
nlawful Acts against the Safety of Civil Aviation signed at
Montreal on 23 September 1971 or of any other Aviation Secu-
rity Conventions to which the two parties may adhere.
(2) The Contracting Parties shall provide upon request all nece-
ssary assistance to each other to prevent acts of unlawful
seizure of civil aircraft and other unlawful acts against t-
he safety of aircraft, their passengers and crew, airports
and air navigation facilities, and any other threat to the
security of civil aviation.
(3) The Contracting Parties shall, in their mutual relations, a-
ct in conformity with the aviation security provisions esta-
blished by the International Civil Aviation Organization and
designated as Annexes to the Convention on International Ci-
vil Aviation to the extent that such security provisions are
applicable to the Contracting Parties; they shall require t-
hat operators of aircraft of their registry or operators of
aircraft who have their principal place of business or perm-
anent residence in their territory and the operators of air-
port in their territory act in conformity with such aviation
security provisions.
(4) Each Contracting Party agrees that such operators of aircra-
ft may be required to observe the aviation security provisi-
ons referred to in paragraph 3 above required by the other
Contracting Party for entry into, departure from , or while
within the territory of that other Contracting Party. Each
Contracting Party shall ensure that adequate measures are e-
ffectively applied within its territory to protect the airc-
raft and to inspect passengers, crew, carry-on items, bagga-
ge, cargo and aircraft stores prior to and during boarding
or loading. Each Contracting Party shall also give sympathe-
tic consideration to any request from the other Contracting
Party for reasonable special security measures to meet a pa-
rticular threat.
(5) When an incident or threat of an incident of unlawful seizu-
re of civil aircraft or other unlawful acts against the saf-
ety of such aircraft, their passengers and crew, airports or
air navigation facilities occurs, the Contracting Parties s-
hall assist each other by facilitating communications and o-
ther appropriate measures intended to terminate rapidly and
safely such incident or threat thereof.
(6) Should a Contracting Party depart from the aviation security
provisions of this Article, the aeronautical authorities of
the other Contracting Party may request immediate consultat-
ions with the aeronautical authorities of that Party.
Article 11
TRANSPORT TARIFFS
(1) The tariffs to be charged by the airline(s) of one Contract-
ing Party for the carriage to or from the territory of the
other Contracting Party shall be established at reasonable
levels, due regard being paid to all relevant factors inclu-
ding operating costs, reasonable profit and characteristics
of services, such as standards of speed and accommodation.
(2) The tarifi;s shall be submitted for approval to the aeronau-
tical authorities of the Contracting Party at least thirty (
30) days before the proposed date of their introduction; in
special cases this time limit may be reduced, subject to the
consent of the said authorities .
(3) The tariffs shall be subject to the approval of the aeronau-
tical authorities of booth Contracting Party.
(4) The tariffs established in accordance with the provisions of
this Article shall remain in force until new tariffs have b-
een established in accordance with the provisions of this A-
rticle.
Article 12
TRANSFER OF NET REVENUES
(1) Each Contracting Party grants to the designated airline(s)
of the other Contracting Party the right of free transfer of
the excess of receipts over expenditure, earned on its terr-
itory in connection with the carriage of passengers, baggage
, mail and freight by the designated airline(s) of the other
Contracting Party, in a freely convertible currency at the
official rate of exchange on the day the transfer is made,
Transfers shall be effected immediately, at the latest with-
in sixty (60) days after the date of request.
(2) Where a special payment agreement exists between the Contra-
cting Parties, payments shall be effected in accordance with
the provisions of that Agreement.
Article 13
REPRESENTATION, TICKETING AND SALES PROMOTION
(1) The designated airline(s) of each Contracting Party shall h-
ave an equal opportunity to employ, subject to the laws and
regulations of the other Contracting Party, the technical a-
nd commercial personnel for the performance of the agreed s-
ervices on the specified routes and to establish and operate
offices in the territory of the other Contracting Party.
(2) The designated airline(s) of each Contracting Party shall f-
urther have an equal opportunity to issue all kinds of docu-
ments of carriage and to advertise and promote sales in the
territory of the other Contracting Party.
Article 14
PROVISION OF STATISTICS
(1) The aeronautical authorities of one Contracting Party shall
supply to the aeronautical authorities of the other Contrac-
ting Party at their request periodic or other statements or
statistics,
(2) Such statements shall include all information required to d-
etermine the amount of traffic carried by the airline(s) on
the agreed services and the origin and destination of such
traffic.
Article 15
CONSULTATIONS AND MODIFICATIONS
(1) In a spirit of close co-operation, the aeronautical authori-
ties of the Contracting Parties shall consult each other fr-
om time to time with a view to ensuring the implementation
of, and satisfactory compliance with, the provisions of the
present Agreement and the Annex thereto.
(2) If either of the Contracting Party considers it desirable to
modify any provision of the present Agreement, it may reque-
st consultations with the other Contracting Party. Such con-
sultations (which may be prepared by discussions between the
aeronautical authorities), shall begin within a period of s-
ixty (60) days of the date of request, unless both Contract-
ing Parties agree to an extension of this period. Modificat-
ions so agreed upon shall be approved shall be approved by
each Contracting Party in accordance with its legal procedu-
res.
(3) Modifications to the Annex shall be agreed upon between the
appropriate authorities of the Contracting Parties.
Article 16
SETTLEMENT OF DISPUTES
(1) If any dispute arises between the Contracting Parties relat-
ing to the interpretation or application of the present Agr-
eement, the Contracting Party shall in the first place ende-
avor to settle it by negotiation.
(2) If the Contracting Parties fail to reach a settlement by ne-
gotiations, they may agree to refer the dispute for decision
to some person or body, if they do not so agree, the dispute
shall, at the request of either Contracting Party, be submi-
tted for decision to a tribunal of three arbitrators, one to
be nominated by each Contracting Party and the third to be
appointed by the two so nominated. Each of the Contracting
Parties shall nominate an arbitrator within a period of six-
ty (60) days from date of receipt by either Contracting Par-
ty from the other of a notice through diplomatic channels r-
equesting arbitration of the dispute and the third arbitrat-
or shall be appointed within a further period of sixty (60)
days. In any case, the third arbitrator shall be a national
of a third State and shall act as president of the arbitral
body.
(3) The Contracting Parties undertake to comply with any decisi-
ons given under paragraph 2 of this Article.
(4) If and for so long as either Contracting Party fails to com-
ply with a decision given under paragraph 2 of this Article,
the other Contracting Party may limit, suspend or revoke any
rights or privileges which it has granted by virtue of this
Agreement to the Contracting Party in default.
(5) Each Contracting Party shall bear the expenses and remunera-
tion necessary for its arbitrator, the fee for the third ar-
bitrator and the expenses necessary for this one as well as
those due to the activity of the arbitration shall be equal-
ly shared by the Contracting Parties.
Article 17
TERMINATION
(1) Either Contracting Party may at any time give written notice
through diplomatic channels to the other Contracting Party
of its decision to terminate the present Agreement.
(2) In such case the Agreement shall terminate twelve (12) mont-
hs after the date of receipt of the notice by the other Con-
tracting Party, unless the notice to terminate is withdrawn
by agreement before the expiry of this period.
Article 18
REGISTRATION
This Agreement and amendments thereto as well as the fact of te-
rmination shall be registered with, and communicated to the ICAO
by the Latvian side.
Article 19
ENTRY INTO FORCE
This Agreement shall enter into force on the first day of the s-
econd month, following the date on which the two Contracting Pa-
rties have notified each other in an exchange of diplomatic not-
es that the requirements for its entry into force under their r-
espective legal procedures have been fulfilled.
IN WITNESS WHEREOF the undersigned Plenipotentiaries, being duly
authorized thereto by their respective Governments, have signed
the present Agreement.
Done in duplicate in the English language in Taipei at 27 day of
May 1993 and in Riga at 27 day ofApril 1993.

For the Government of For the Government of
the Republic of China the Republic of Latvia
[Signed] [Signed]

ANNEX
To the Air Transport Agreement between the Government of the Re-
public of China and the Government of the Republic of Latvia
1.Routing
(1) The airlines designated by the Government or tne Republic of
China shall be entitled to operate scheduled air services in
both directions with full traffic rights on the route speci-
fied hereafter:

Points of origin: Points in the Republic of China

Points of destination: Points in the Republic of Latvia

Roving points: Two points to be agreed upon (at a
later date) as intermediate and/or
beyond points at the discretion of
respective airlines.
(2) The airlines designated by the Government of the Republic of
Latvia shall be entitled to operate scheduled air services
in both directions with full traffic rights on the route sp-
ecified hereafter:

Points of origin: Points in the Republic of Latvia

Points of destination: Points in the Republic of China

Roving points: Two points to be agreed upon (at a
later date) as intermediate and/or
beyond points at the discretion of
respective airlines.
(3) The designated airlines of either Contracting Party may, on
any or all flights, omit any point or points on the route s-
pecified above, provided that the point of origin or destin-
ation is in the territory of the Party.
2.Capacity
(1) The designated airlines of either Contracting Party may ope-
rate on the routes specified above up to three frequencies
per week with any type of aircraft. Any increase of frequen-
cy shall be subject to the approval of the aeronautical aut-
horities of the Contracting Parties.
(2) A commercial arrangement shall be made (under following con-
ditions):
■ only one airline of either party alone operating the air
service, or
■ the difference in capacities between the designated airl-
ines from either side exceeding twenty percent.
This commercial agreement shall be submitted to the respect-
ive aeronautical authorities for approval.