The present Act is prescribed for the purpose of strengthening the shipping system so as to develop the shipping industry and economy of this country.

MOTC of the Act is the Ministry of Transportation and Communications; the shipping industry shall be regulated by the shipping administration authority.

For the purposes of this Act:
(1) "Shipping Industry" means the industry engaged in vessel transportation, shipping agencies, freight forwarding, and container terminal operation.
(2) "Vessel Carrier" means the industry engaging in transportation of passengers and cargoes by power-driven vessels of gross tonnage above 20 tons or non-power-driven vessels of gross tonnage above, wherefrom it receives remuneration.
(3) "Shipping Agency" means the industry that entrusts vessel carriers or authorized clients with handling transportation of passengers and cargoes, within the scope of authorization agreed upon, under the clients’ name, wherefrom it receives remuneration.
(4) "Freight Forwarder" means the organization engaging in soliciting cargoes in its own name for carriers to transport, wherefrom it receives remuneration.
(5) "Container Terminal Operator" means the operator providing containers, container yards and equipment for cargo consolidation and distribution of container-loads, wherefrom it receives remuneration.
(6) "Sailing Route" means the route in which vessels navigate to transport passengers and cargoes.
(7) "Domestic Route" means the route in which vessels navigate to transport passengers and cargoes between coastal ports within the ROC territory.
(8) "International Route" means the route in which vessels navigate to transport passengers and cargoes between domestic ports and foreign ports, or between foreign ports.
(9) "Liner Service" means the route in which vessels regularly navigate to transport passengers and cargoes between ports or specific waters.
(10) "International Joint Service Organization" means the organization set up permanently or with specific purposes under an agreement achieved on matters relating to the operation in the international routes, negotiations of sea freight rates, passenger ticket fees, volume of carriage and charter space and others as to operation of routes.
(11) “International shipping protocol“ means the convention entered into by the international joint associations to regulate such matters as the relationship between the operators, transport operations, costs, intermodal and picking.
(12) Privately Contracted Armed Security Personnel: refers to foreign national private maritime security companies’ staff possessing or owning firearms, ammunition and knives who are employed by undertaking operating vessel carriers registered under the flag of R.O.C.

Unless a franchise is granted, a non-ROC vessel may not transport passengers or cargoes between Republic of China (ROC) ports.

Except when expressly authorized by law, any asset(s) belonging to and any goods transported by the shipping industry shall not be inspected, requisitioned or seized.

Small ships engaging in the transportation of passengers and cargoes or other purposes shall not be regulated by the Act herein.