Article 6.10. Competent Authorities and Contact Points
1. The competent authorities of the Parties are the authorities which have responsibility for the implementation of this Chapter. The contact points of the Parties are the agencies responsible for the communication and notification of any matter covered by this Chapter between the Parties.
2. Each Party shall establish a contact point which shall have responsibility for coordinating the implementation of this Chapter. The contact points will be:
(a) for China, the General Administration of Customs; and
(b) for Cambodia, the Ministry of Agriculture, Forestry and Fisheries.
3. The Parties shall inform each other of any significant changes in the structure, organisation and the assignment of responsibilities within its competent authorities or any change of their contact points.
Article 6.11. Committee on Sanitary and Phytosanitary Measures
1. The Parties hereby agree to establish a Committee on Sanitary and Phytosanitary Measures composed of each Party's representatives who have responsibility for sanitary and phytosanitary measures. The Committee shall be coordinated by:
(a) in the case of China, the Director General of Department of International Cooperation of GACC, or its designated person; and
(b) in the case of Cambodia, the Director of Department of International Cooperation of the Ministry of Agriculture, Forestry and Fisheries or its designated person.
2. The Committee shall meet within one year from entry into force of this Agreement and thereafter at such venues and times as mutually determined by the Parties.
3. The functions of the Committee are to:
(a) enhance mutual understanding of each Party's sanitary and phytosanitary measures and the regulatory processes related to those measures;
(b) facilitate technical cooperation on sanitary and phytosanitary measures; and (c) monitor the implementation and operation of this Chapter.
4. The Committee may agree to establish ad hoc technical working groups in accordance with the Committee's terms of reference.
5. Meetings may occur in person, by teleconference, by video conference, or through any other means as agreed by the Parties.
Chapter 7. TRADE IN SERVICES
Article 7.1. Definitions
For the purposes of this Chapter:
commercial presence means any type of business or professional establishment, including through:
(a) the constitution, acquisition or maintenance of a juridical person; or
(b) the creation or maintenance of a branch or a representative office;
within the territory of a Party for the purpose of supplying a service;
a juridical person is:
(a) "owned" by persons of a Party if more than 50 per cent of the equity interest in it is beneficially owned by person of that Party;
(b) "controlled" by persons of a Party if such persons have the power to name a majority of it directors or otherwise to legally direct its actions;
(c) "affiliated" with another person when it controls, or is controlled by, that other person; or when it and the other person are both controlled by the same person;
juridical person of a Party means any legal entity duly constituted or otherwise organised under applicable law of a Party, whether for profit or otherwise, and whether privately-owned or governmentally owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association, which is either:
(a) constituted or otherwise organised under the law of that Party, and is engaged in substantive business operations in the territory of that Party; or
(b) in the case of the supply of a service through commercial presence, owned or controlled by:
(i) natural persons of that Party; or
(ii) juridical persons of that Party identified under subparagraph (a);
measure means any measure by a Party, whether in the form of a law, regulation, rule, procedure, decision, administrative action, or any other form, taken by:
(a) central, regional or local governments and authorities; and
(b) non-governmental bodies in the exercise of powers delegated by central, regional or local governments or authorities;
measures by Parties affecting trade in services include measures in respect of:
(a) the purchase, payment or use of a service;
(b) the access to and use of, in connection with the supply of a service, services which are required by the Parties to be offered to the public generally;
(c) the presence, including commercial presence, of persons of a Party for the supply of a service in the territory of the other Party;
monopoly supplier of a service means any person, public or private, which in the relevant market of the territory of a Party is authorised or established formally or in effect by that Party as the sole supplier of that service;
natural person of a Party means:
(a) for China, a natural person who under the Chinese law is a national of China;
(b) for Cambodia, a natural person who under applicable laws of Cambodia is a national of Cambodia;
person of a Party means either a natural person or a juridical person of a Party;
services include any service in any sector except services supplied in the exercise of governmental authority;
sector of a service means:
(a) with reference to a specific commitment, one or more, or all, subsectors of that service, as specified in a Party's Schedule;
(b) otherwise, the whole of that service sector, including all of its subsectors;
service consumer means any person that receives or uses a service;
service supplied in the exercise of governmental authority means any service which is supplied neither on a commercial basis nor in competition with one or more service suppliers;
service supplier of a Party means any person of a Party that supplies a service; (10)
supply of a service includes the production, distribution, marketing, sale and delivery of a service;
trade in services is defined as the supply of a service:
(a) from the territory of a Party into the territory of the other Party ("cross-border supply Mode 1");
(b) in the territory of a Party to the service consumer of the other Party ("consumption abroad Mode 2");
(c) by a service supplier of a Party, through commercial presence in the territory of the other Party ("commercial presence Mode 3"); or
(d) by a service supplier of a Party, through presence of natural persons of a Party in the territory of the other Party ("presence of natural persons Mode 4").
Article 7.2. Scope
1. This Chapter shall apply to measures adopted or maintained by a Party affecting trade in services.
2. This Chapter shall not apply to:
(a) laws, regulations, policies, or procedures of general application governing the procurement by government agencies of services purchased for governmental purposes and not with a view to commercial resale or with a view to use in the supply of services for commercial sale;
(b) services supplied in the exercise of governmental authority;
(c) subsidies or grants provided by a Party;
(d) measures affecting natural persons seeking access to the employment market of a Party;
(e) cabotage in maritime transport services.
3. This Chapter shall not apply to measures affecting:
(a) air traffic rights, however granted; or
(b) services directly related to the exercise of air traffic rights, other than measures affecting:
(i) aircraft repair and maintenance services;
(ii) the selling and marketing of air transport services;
(ii) computer reservation system ("CRS") services.
Article 7.3. National Treatment
1. In the sectors inscribed in its Schedule, and subject to any conditions and qualifications set out therein, a Party shall accord to services and service suppliers of the other Party, in respect of all measures affecting the supply of services, treatment no less favourable than that it accords to its own like services and service suppliers. (11)
2. A Party may meet the requirement in paragraph 1 by according to services and service suppliers of the other Party either formally identical treatment or formally different treatment to that it accords to its own like services and service suppliers.
3. Formally identical or formally different treatment shall be considered to be less favourable if it modifies the conditions of competition in favour of services or service suppliers of the Party compared to the like service or service suppliers of the other Party.
Article 7.4. Market Access
1. With respect to market access through the modes of supply identified in the definition of trade in services contained in Article 7.1 (Definitions), a Party shall accord services and service suppliers of the other Party treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in its Schedule. (12)
2. In sectors where market-access commitments are undertaken, the measures which a Party shall not maintain or adopt either on the basis of a regional subdivision or on the basis of its entire territory, unless otherwise specified in its Schedule, are defined as:
(a) limitations on the number of service suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirements of an economic needs test;
(b) limitations on the total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;
(c) limitations on the total number of service operations or on the total quantity of service output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test; (13)
(d) limitations on the total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for, and directly related to, the supply of a specific service in the form of numerical quotas or the requirement of an economic needs test;
(e) measures which restrict or require specific types of legal entity or joint venture through which a service supplier may supply a service; and
(f) limitations on the participation of foreign capital in terms of maximum percentage limit on foreign shareholding or the total value of individual or aggregate foreign investment.
Article 7.5. Schedules of Specific Commitments
1. Each Party shall set out in a schedule the specific commitments it undertakes under Articles 7.3 (National Treatment), 7.4 (Market Access) and 7.6 (Additional Commitments). With respect to sectors where such commitments are undertaken, each schedule shall specify:
(a) terms, limitations and conditions on market access;
(b) conditions and qualifications on national treatment;
(c) undertakings relating to additional commitments; and
(d) where appropriate the time-frame for implementation of such commitments.
2. Measures inconsistent with both Articles 7.3 (National Treatment) and 7.4 (Market Access) shall be inscribed in the column relating to Article 7.4 (Market Access). In this case the inscription will be considered to provide a condition or qualification to Article 7.3 (National Treatment) as well.
3. Schedules of Specific Commitments shall be annexed to this Agreement as Annex 4 (Schedules of Specific Commitments).
Article 7.6. Additional Commitments
The Parties may negotiate commitments with respect to measures affecting trade in services not subject to scheduling under Articles 7.3 (National Treatment) or 7.4 (Market Access), including but not limited to those regarding qualifications, standards or licensing matters. Such commitments shall be inscribed in a Partyâs Schedule.
Article 7.7. Domestic Regulation
1. In sectors where specific commitments are undertaken, each Party shall ensure that all measures of general application affecting trade in services are administered in a reasonable, objective and impartial manner.
2. (a) Each Party shall maintain or institute as soon as practicable judicial, arbitral or administrative tribunals or procedures which provide, at the request of an affected service supplier, for the prompt review of, and where justified, appropriate remedies for, administrative decisions affecting trade in services. Where such procedures are not independent of the agency entrusted with the administrative decision concerned, the Party shall ensure that the procedures in fact provide for an objective and impartial review.
(b) Subparagraph (a) shall not be construed to require a Party to institute such tribunals or procedures where this would be inconsistent with its constitutional structure or the nature of its legal system.
3. Where authorization is required for the supply of a service on which a specific commitment under this Chapter has been made, the competent authorities of each Party shall:
(a) in the case of an incomplete application, at the request of the applicant, identify all the additional information that is required to complete the application and provide the opportunity to remedy deficiencies within a reasonable timeframe;
(b) at the request of the applicant, provide without undue delay information concerning the status of the application; and
(c) if an application is terminated or denied, to the maximum extent possible, inform the applicant in writing and without delay the reasons for such action. The applicant will have the possibility of resubmitting, at its discretion, a new application.
4. With the objective of ensuring that measures relating to qualification requirements and procedures, technical standards and licensing requirements do not constitute unnecessary barriers to trade in services, the Parties shall jointly review the results of the negotiations on disciplines on the measures pursuant to Paragraph 4 of Article VI (Domestic Regulation) of GATS, with a view to their incorporation into this Agreement. The Parties note that such disciplines aim to ensure that such requirements are, inter alia:
(a) based on objective and transparent criteria, such as competence and the ability to supply the service;
(b) not more burdensome than necessary to ensure the quality of the service;
(c) in the case of licensing procedures, not in themselves a restriction on the supply of the service.
5. (a) In sectors in which a Party has undertaken specific commitments, pending the incorporation of the disciplines referred to in paragraph 4, that Party shall not apply licensing and qualification requirements and technical standards that nullify or impair its obligation under this Agreement in a manner which:
(i) does not comply with the criteria outlined in subparagraphs 4(a), (b) or (c) of this Article; and
(ii) could not reasonably have been expected of that Party at the time the specific commitments in those sectors were made.
(b) In determining whether a Party is in conformity with the obligation under subparagraph 5(a) of this Article, account shall be taken of international standards of relevant international organisations applied by that Party. (14)
6. In sectors where specific commitments regarding professional services are undertaken, a Party shall provide for adequate procedures to verify the competence of professionals of the other Party.
Article 7.8. Recognition
1. For the purposes of the fulfillment, in whole or in part, of its standards or criteria for the authorization, licensing, or certification of service suppliers, and subject to the requirements of paragraph 3 of this Article, a Party may recognise, or encourage its relevant competent bodies to recognise, the education or experience obtained, requirements met, or licenses or certifications granted in the other Party. Such recognition, which may be achieved through harmonization or otherwise, may be based upon an agreement or arrangement between the Parties or their relevant competent bodies, or may be accorded autonomously.
2. A Party that is a party to an agreement or arrangement of the type referred to in paragraph 1 of this Article, whether existing or future, shall afford adequate opportunity for the other Party, upon request, to negotiate its accession to such an agreement or arrangement or to negotiate comparable ones with it. Where a Party accords recognition autonomously, it shall afford adequate opportunity for the other Party to demonstrate that education, experience, licenses or certifications obtained or requirements met in that other Party's territory should be recognised.
3. A Party shall not accord recognition in a manner which would constitute a means of discrimination between countries in the application of its standards or criteria for the authorization, licensing, or certification of service suppliers, or a disguised restriction on trade in services.
Article 7.9. Qualifications Recognition Cooperation
Both Parties endeavor to encourage their authorities responsible for issuance and recognition of professional and vocational qualifications to strengthen cooperation to explore possibilities for recognition of other qualifications and professional and vocational licenses.
Article 7.10. Payments and Transfers
1. Except in the circumstances envisaged in Article 15.6 (Measures to Safeguard the Balance of Payment) of Chapter 15 (Exceptions), a Party shall not apply restrictions on international transfers and payments for current transactions relating to its specific commitments.
2. Nothing in this Chapter shall affect the rights and obligations of the Parties as members of the International Monetary Fund under the Articles of Agreement of the International Monetary Fund ("Articles of Agreement"), including the use of exchange actions which are in conformity with the Articles of Agreement, provided that a Party shall not impose restrictions on any capital transactions inconsistently with its specific commitments regarding such transactions, except under Article 15.6 (Measures to Safeguard the Balance of Payment) of Chapter 15 (Exceptions) or at the request of the International Monetary Fund.
Article 7.11. Denial of Benefits
A Party may deny the benefits of this Chapter:
(a) to the supply of a service, if the Party establishes that the service is supplied from or in the territory of a non-Party;
(b) in the case of the supply of a maritime transport service, if the Party establishes that the service is supplied:
(i) by a vessel registered under the laws of a non-Party; and
(ii) by a person of a non-Party which operates and/or uses the vessel in whole or in part.
(c) to a service supplier that is a juridical person, if the Party establishes that it is not a service supplier of another Party.
Article 7.12. Transparency
1. The Parties recognise that transparent measures governing trade in services are important in facilitating the ability of service suppliers to gain access to, and operate in, each other's markets. Each Party shall promote regulatory transparency in trade in services.
2. Each Party shall publish promptly and, except in emergency situations, at the latest by the time of their entry into force:
(a) all relevant measures of general application affecting trade in services; and
(b) all international agreements pertaining to, or affecting, trade in services to which a Party is a signatory.
3. To the extent possible, each Party shall make the measures and international agreements of the kind referred to in paragraph 2 of this Article available on the internet.
4. Where publication referred to in paragraph 2 and paragraph 3 of this Article is not practicable such information (15) shall be made otherwise publicly available
5. To the extent provided for under its domestic legal framework, each Party shall endeavour to provide a reasonable opportunity for comments by interested persons of the Parties on measures referred to in subparagraph 2(a) of this Article before adoption.
6. Each Party shall respond promptly to all requests by a Party for specific information on:
(a) any measures referred to in subparagraph 2(a) of this Article or international agreements referred to in subparagraph 2(b) of this Article; and
(b) any new, or any changes to existing, laws, regulations or administrative guidelines which significantly affect trade in services covered by the Party's specific commitments under this Chapter, whether or not the other Party has been previously notified of the new or changed law, regulation or administrative guideline.
7. Where a license is required for the supply of a service as committed under this Chapter, to the extent practicable, each Party shall ensure that all relevant measures relating to licensing of such services are made publicly available.
8. Each Party shall, in accordance with its laws and regulations, ensure that, on request, an applicant receives reasons for the denial of, revocation of, refusal to renew, or the imposition or modification of conditions on, a license. Each Party shall endeavour to provide, to the extent possible, such information in writing.
Article 7.13. Monopolies and Exclusive Service Suppliers
1. Each Party shall ensure that any monopoly supplier of a service in its territory does not, in the supply of the monopoly service in the relevant market, act in a manner inconsistent with that Partyâs obligations under its specific commitments.
2. Where a Party's monopoly supplier competes, either directly or through an affiliated company, in the supply of a service outside the scope of its monopoly rights and which is subject to that Party's specific commitments, the Party shall ensure that such a supplier does not abuse its monopoly position to act in its territory in a manner inconsistent with such commitments.