The Taipei Economic and Trade Office in Thailand (TETO) and the
Thailand Trade and Economic Office in Taipei (TTEO) (hereinafer
referred to as "Parties"), desiring to expand air services betw-
een and beyond their territories, have agreed as follows:

1.Each Party may designate in writing multiple airlines to oper-
ate the agreed commercial air routes specified in the Annex a-
nd to withdraw or alter such designation,
2.On receipt of such a designation and of application from the
designated airline for operating authorization and technical
permission, the other Party shall ensure that appropriate aut-
horization and permission is granted with minimum procedural
delay, provided:
(a) Substantial ownership and effective control of that airline
are vested in the Party or in its nationals or both;
(b) The designated airline is qualified to meet the conditions
prescribed under the laws and regulations normally applicab-
le to the operation of air transport by the Party consideri-
ng the application.
3.The designated airlines of both Parties shall have rights to
take on and discharge passengers, cargo and mail at the points
on the respective route they operate, and shall also have the
rights of flying across and landing for non-traffic purposes
in each other's territory.
4.The applicable laws and regulations of either Party governing
entry into or departure from its territory of aircraft engaged
in international scheduled air services, or to the operation
and navigation of such aircraft within its territory shall ap-
ply to the designated airlines of the other Party.
5.The fares and rates to be charged for the carriage of passeng-
er and cargo shall be subject to the approval of the appropri-
ate authorities, which should normally be those established by
LATA. Any new fare or rate proposed by each designated airline
(s) of both Parties shall be filed for approval with the auth-
orities at least 30 days before the date of introduction.
6.The designated airlines of either Party shall have the right
to establish representative offices in the territory of the o-
ther Party.
7.Either Party may, at any time, request consultation relating
to this Agreement. Such consultations shall begin at the earl-
iest possible date, but not later than sixty (60) days from t-
he date the other Party receives the request unless otherwise
agreed.
8.This Agreement shall come into force on the date of signature
and shall remain in force unless terminated by either Party g-
iving to the other twelve (12) months prior notice in writing.

Done in duplicate, at Taipei, on this ninth day of July, A.D. 19
99, in the English language.

For the Taipei Economic and For the Thailand Trade and
Trade Omce in Thailand Econolmic Office in Taipei

Huang Hsien-yung Jullapong Nonsrichai
Representative Executive Director


ANNEX
To the Agreement on Exchange of Traffic Rights between the Taip-
ei Economic and Trade Office in Thailand and the Thailand Trade
and Economic Office in Taipei signed on this ninth day of July,
A.D. 1999, in the English language.

Section I
The airlines designated to provide air transportation in accord-
ance with the aforesaid Agreement shall be entitled to operate
the following commercial airroutes:
1.Route for the airlines designated by the Taipei Economic and
Trade Office in Thailand (TETO):
Points in Taiwan/ Any intermediate points/ Points in Thailand/
Any beyond points/ and vice versa.
2.Route for the airlines designated by the Thailand Trade and E-
conomic Office in Taipei (TTEO):
Points in Thailand/ Any intermediate points/ Points in Taiwan/
Any beyond points/ and vice versa.
3.The designated airlines of either Party may, on any or all fl-
ights, omit any point or points on the route specified above,
provided that the point of origin or destination is in the te-
rritory of that Party.
4.Within 18 (eighteen) all-cargo weekly fequencies mentioned ab-
ove, the extension of flight beyond Thailand to intercontinen-
tal points by the designated airlines of TETO shall not exceed
8 (eight) weekly services, likewise the extension of flight b-
eyond Taiwan to intercontinental points by the designated air-
lines of TTEO shall not exceed 8 (eight) weekly services.

Section III
In operating air services on the agreed routes, the designated
airline of either Party may enter into joint operating arrangem-
ents with any other airline(s) which holds the appropriate route
and traffic rights, in the following manner:
1.Bilateral code share
Where the designated airlines of both Parties enter into code-
sharing arrangements with each other, each code share service
is counted as one (1) fequency of the operating carrier out of
its entitlements.
However, for bilateral code share based on a joint operation
arrangement, the entitlements of such services shall be equal-
ly shared by both airlines parties to such code share arrange-
ment.
2.Third-Party code share
Subject to the appropriate route and traffic rights, the desi-
gnated airline of each Party may enter into code share arrang-
ements on international sectors operated by carrier(s) of thi-
rd countries between the territory of the other Party and poi-
nts in the third countries. In such cases, each code share se-
rvice is counted against that such designated airline of that
Party under its own entitlement as one (1) frequency.

On air services operated by the designated airline of each Party
between Thailand and Taiwan, the designated airline of either P-
arty may enter into a code share arrangement with carrier(s) of
third countries which hold the appropriate route and traffic ri-
ghts.