The Government of the Macao Special Administrative Region of the People’s Republic of China (“the Macao Special Administrative Region”) and the Government of Mongolia, the former having been duly authorized to conclude this Agreement by the Central People’s Government of the People’s Republic of China (hereinafter referred to as the “Contracting Parties”)
Desiring to conclude an Agreement for the purpose of establishing air services between and beyond their respective areas;
Have agreed as follows:
For the purpose of this Agreement, the following terms have the following meanings, unless the context otherwise requires:
(a) “The Chicago Convention” — the Convention on International Civil Aviation, opened for signature at Chicago on 7 December 1944 and includes: (i) any amendment thereto which has entered into force under Article 94(a) thereof and is applicable to both Contracting Parties; and (ii) any Annex or any amendment thereto adopted under Article 90 of that Convention, insofar as such amendment is at any given time effective for both Contracting Parties;
(b) “aeronautical authority” — in the case of Mongolia, the Ministry of Infrastructure and, for the purpose of Article 7, the Civil Aviation Authority and in the case of the Macao Special Administrative Region, the Civil Aviation Authority, or its successor, or, in both cases, any person or body, authorized to perform any functions at present exercised by the above-mentioned authorities or similar functions;
(c) “designated airline” — an airline which has been designated and authorized in accordance with Article 4 of this Agreement;
(d) “area” — in relation to Mongolia has the meaning assigned to “territory” in Article 2 of the Chicago Convention and in relation to the Macao Special Administrative Region includes the Macao Peninsula and the Taipa and Coloane Islands;
(e) “air service”, “international air service”, “airline” and “stop for non-traffic purposes” have the meanings respectively assigned to them in Article 96 of the Chicago Convention;
(f) “The Agreement” — includes the Annex hereto and any amendments to it or to this Agreement;
(g) “user charges” — a charge made to airlines by the competent authority or permitted by them to be made for the provision of airport property or facilities or of air navigation facilities, including related services and facilities, for aircraft, their crews, passengers and cargo;
(h) “specified route” — the routes specified in the Annex to the present Agreement;
(i) “agreed services” — the air services operated on the specified routes.
The provisions of this Agreement shall be subject to the provisions of the Chicago Convention insofar as those provisions are applicable to international air services.
1. Each Contracting Party grants to the other Contracting Party the following rights in respect of its international air services:
(a) the right to fly across its area without landing;
(b) the right to make stops in its area for non-traffic purposes.
2. Each Contracting Party grants to the other Contracting Party the rights hereinafter specified in this Agreement for the purpose of operating international air services on the routes specified in the appropriate Section of the Schedule annexed to this Agreement. Such services and routes are hereinafter called “the agreed services” and “the specified routes” respectively.
While operating an agreed service on a specified route, the airline or airlines designated by each Contracting Party shall enjoy in addition to the rights specified in paragraph 1 of this Article the right to make stops in the area of the other Contracting Party at the points specified for that route in the Schedule to this Agreement for the purpose of taking on board and discharging passengers and cargo, including mail separately or in combination.
3. Nothing in paragraph 2 of this Article shall be deemed to confer on the designated airline or airlines of one Contracting Party the right to take on board, in the area of the other Contracting Party, passengers and cargo, including mail, carried for hire or reward and destined for another point in the area of the other Contracting Party.
4. If because of armed conflict, political disturbances or developments, or special and unusual circumstances, a designated airline of one Contracting Party is unable to operate a service on its normal routing, the other Contracting Party shall use its best efforts to facilitate the continued operation of such service through appropriate temporary rearrangements of routes.
1. Each Contracting Party may designate in writing to the other Contracting Party one or more airlines for the purpose of operating the agreed services on the specified routes and to withdraw or alter such designations.
2. On receipt of such a designation the other Contracting Party shall, subject to the provisions of paragraphs 3 and 4 of this Article, without delay grant to the airline or airlines so designated, the appropriate operating authorizations.
3. The aeronautical authority of one Contracting Party may require an airline designated by the other Contracting Party to satisfy them that it is qualified to fulfill the conditions prescribed under the laws and regulations normally and reasonably applied to the operation of international air services by that authority in conformity with the provisions of the Chicago Convention.
4. Each Contracting Party shall have the right to refuse to grant the operating authorizations referred to in paragraph 2 of this Article or to impose such conditions as it may deem necessary on the exercise by a designated airline of the rights specified in paragraph 2 of the Article 3 of this Agreement, in any case where it is not satisfied that, that airline is incorporated and has its principal place of business in the area of the Contracting Party which has designated the airline.
5. When an airline has been so designated and authorized it may begin to operate the agreed services, provided that the airline complies with the applicable provisions of this Agreement.
1. The aeronautical authorities of each Contracting Party may revoke an operating authorization or suspend the exercise of the rights specified in paragraph 2 of the Article 3 of this Agreement by an airline designated by the other Contracting Party, or impose such conditions as it may deem necessary on the exercise of those rights:
(a) in any case where it is not satisfied that, such airline is incorporated and has its principal place of business in the area of the other Contracting Party;
(b) in the case of failure by that airline to comply with the laws or regulations normally and reasonably applied by the Contracting Party granting those rights; or
(c) if the airline otherwise fails to operate in accordance with the conditions prescribed under this Agreement.
2. Unless immediate revocation, suspension or imposition of the conditions mentioned in paragraph 1 of this Article is essential to prevent further infringements of laws or regulations, such right shall be exercised only after consultation with the aeronautical authorities of the other Contracting Party.
1. There shall be fair and equal opportunity for the designated airlines of both Contracting Parties to operate the agreed services on the specified routes between their respective areas.
2. In operating the agreed services, the designated airline or airlines of each Contracting Party shall take into account the interests of the designated airline or airlines of the other Contracting Party so as not to affect unduly the services which the latter provide on the whole or part of the same routes.
3. The agreed services provided by the designated airlines of the Contracting Parties shall bear a close relationship to the requirements of the public for transportation on the specified routes and shall have as their primary objective the provision at a reasonable load factor of capacity adequate to meet the current and reasonably anticipated requirements for the carriage of passengers and cargo, including mail, coming from or destined for the area of the Contracting Party which has designated the airline. Provision for the carriage of passengers and cargo, including mail, both taken on board and discharged at points on the specified routes in areas other than those points in the area of the Contracting Party designating the airline shall be made in accordance with the general principles that capacity shall be related to:
(a) traffic requirements to and from the area of the Contracting Party which has designated the airline;
(b) traffic requirements of the region through which the agreed service passes, after taking account of other transport services established by airlines of the States comprising the region; and
(c) the requirements of through airline operation.
1. (a) The term “tariff” means:
(i) the price to be charged for the carriage of passengers, baggage or cargo (excluding mail);
(ii) the additional goods, services or other benefits to be furnished or made available in conjunction with such carriage or as a matter which is incidental thereto or consequential thereon;
(iii) the prices to be charged for such additional goods, services or benefits, and includes the conditions that are to govern the applicability of any such price and the furnishing or availability of any such goods, services or benefits; and
(iv) the rate of commission paid by an airline to an agent in respect of tickets sold or air waybills completed by that agent for carriage on scheduled air services.
(b) Where fares or rates differ according to the season, day of the week or time of the day on which a flight is operated, the direction of travel or according to some other factor, each different fare or rate shall be regarded as a separate tariff whether or not it has been filed separately with the related conditions with the relevant authorities.
2. The tariffs to be charged by the designated airlines of the Contracting Parties for carriage between their areas shall be established at reasonable levels, due regard being paid to all relevant factors, including the cost of operating the agreed services, the interests of users, reasonable profit and market considerations.
3. The aeronautical authorities of both Contracting Parties shall not require their airlines to consult other airlines before filing for approval of tariffs for services covered by the following provisions.
4. The aeronautical authorities of both Contracting Parties shall apply the following provisions for the approval of tariffs to be charged by airlines of either Contracting Party for carriage between a point in the area of one Contracting Party and a point in the area of the other Contracting Party:
(a) Any proposed tariff to be charged for carriage between the areas of the two Contracting Parties shall be filed by or on behalf of the designated airline concerned with both aeronautical authorities at least 30 days (or such shorter period as both aeronautical authorities may agree) before it is proposed that the tariff will take effect.
(b) A tariff so filed may be approved at any time by the aeronautical authorities. However, subject to the next two following sub-paragraphs, any such tariff shall be treated as having been approved 21 days after the day on which the filing was received unless the aeronautical authorities of both Contracting Parties have informed each other in writing within 20 days of the filing being received by them that they disapprove the proposed tariff.
(c) Nothing in sub-paragraph (b) above shall prevent the aeronautical authority of either Contracting Party from unilaterally disallowing any tariff filed by one of their own designated airlines. However, such unilateral action shall be taken only if it appears to that authority either that a proposed tariff is excessive (that its application would constitute anti-competitive behavior likely to cause serious damage to another airline or other airlines).
(d) If the aeronautical authority of either Contracting Party consider either that the proposed tariff filed with them by a designated airline of the other Contracting Party is excessive or that its application would constitute anti-competitive behavior likely to cause serious damage to another airline or other airlines they may, within 20 days of receiving the filing, request consultations with the aeronautical authority of the other Contracting Party. Such consultations shall be completed within 21 days of being requested and the tariff shall take effect at the end of that period unless the authorities of both Contracting Parties agree otherwise.
(e) Notwithstanding sub-paragraphs (a) — (d) above, the aeronautical authorities of the two Contracting Parties shall not require the filing for their approval of tariffs for the carriage of cargo between points in their areas. Such tariffs will take effect when the airline concerned so decides.
(f) In the event that a tariff which has come into effect in accordance with the provisions above is considered by the aeronautical authority of one Contracting Party to be causing serious damage to another airline or other airlines on a particular route or routes, that aeronautical authority may request consultations with the aeronautical authority of the other Contracting Party. Such consultations shall be completed within 21 days of being requested unless the authorities of both Contracting Parties agree otherwise.
5. (a) The tariffs to be charged by a designated airline of one Contracting Party for carriage between the area of the other Contracting Party and a third Party shall be filed for the approval of the aeronautical authority of the other Contracting Party.
Each tariff filed shall be given approval if it is identical in level, conditions and date of expiry to a tariff currently approved by that aeronautical authority and applied by a designated airline of that other Contracting Party for carriage between their area and that of the third Party, provided that the aeronautical authority may withdraw their approval if the tariff being matched is discontinued for any reason, or may vary the terms of the approval to correspond to any approved variation in the tariff being matched.
(b) Notwithstanding sub-paragraph (a) above, the aeronautical authorities of the two Contracting Parties shall not require the filing for their approval of tariffs to be charged by the designated airline or airlines of one Contracting Party for the carriage of cargo between the area of the other Contracting Party and the third Party.
1. Aircraft operated in international air services by the designated airlines of either Contracting Party, their regular equipment, fuel, lubricants, spare parts including engines, and aircraft stores (including but not limited to such items as food, beverages and tobacco) which are on board of such aircraft shall be relieved by the other Contracting Party on the basis of reciprocity from all customs duties, excise taxes and similar fees and charges not based on the cost of services provided on arrival, provided such equipment and supplies remain on board the aircraft.
2. Regular equipment, spare parts, supplies of fuels and lubricants, aircrafts stores, printed ticket stock, air waybills, any printed materials which bears the insignia of a designated airline and usual publicity material distributed without charge by the designated airline of either Contracting Party, introduced into the area of the other Contracting Party by or on behalf of that designated airline or taken on board the aircraft operated by that designated airline and intended only for use on board such aircraft in the operation of international services shall be relieved by the other Contracting Party on the basis of reciprocity from customs duties, excise taxes and similar fees and charges not based on the cost of services provided on arrival, even when these supplies are to be used on any part of journey performed over the area of the Contracting Party in which they are taken on board.
3. The items referred to in paragraphs 1 and 2 of this Article may be required to be kept under the supervision or control of the appropriate authorities.
4. Regular air borne equipment, spare parts, supplies of fuels and lubricants and aircraft stores on board the aircraft of a designated airline of either Contracting Party may be unloaded in the area of the other Contracting Party only with the approval of the customs authorities of that Contracting Party who may require that these materials be placed under their supervision up to such time as they are re-exported or otherwise disposed of in accordance with customs regulations.
5. The relieves provided for by this Article shall also be available in situations where a designated airline of either Contracting Party has entered into arrangements with another airline or airlines for the loan or transfer in the area of the other Contracting Party of the items specified in paragraphs 1 and 2 of this Article, provided that such other airline or airlines similarly enjoy such relieves from such other Contracting Party.
1. The assurance of safety for civil aircraft, their passengers and crew being a fundamental pre-condition for the operation of international air services, the Contracting Parties reaffirm that their obligations to each other to provide for the security of civil aviation against acts of unlawful interference and in particular their obligations under the Chicago Convention, the Convention on Offenses and Certain Other Acts Committed on Board Aircraft, signed at Tokyo on 14 September 1963, the Convention for the Suppression of Unlawful Seizure of Aircraft, signed at The Hague on 16 December 1970, the Convention for the Suppression of Unlawful Acts against the Safety of Civil Aviation, signed at Montreal on 23 September 1971 form an integral part of this Agreement.
2. The Contracting Parties shall provide upon request all necessary assistance to each other to prevent acts of unlawful seizure of civil aircraft and other unlawful acts against the safety of such 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, act in conformity with the aviation security Standards and, so far as they are applied by them, the Recommended Practices established by the International Civil Aviation Organization and designated as Annexes to the Chicago Convention; and shall require that operators of aircraft of their registry, operators who have their principal place of business or permanent residence in their area, and the operators of airports in their area, act in conformity with such aviation security provisions. Each Contracting Party shall give advance information to the other of its intention to notify any difference.
4. Each Contracting Party shall ensure that effective measures are taken within its area to protect aircraft, to screen passengers and their carry-on items, and to carry out appropriate checks on crew, cargo (including hold baggage) and aircraft stores prior to and during boarding or loading and that those measures are adjusted to meet increases in the threat. Each Contracting Party agrees that its airlines may be required to observe the aviation security provisions referred to in paragraph 3 required by the other Contracting Party, for entrance into, departure from, or while within, the area of that other Contracting Party. Each Contracting Party shall also act favorably upon any request from the other Contracting Party for reasonable special security measures to meet a particular threat.
5. When an incident or threat of an incident of unlawful seizure of civil aircraft or other unlawful acts against the safety of such aircraft, their passengers and crew, airports or air navigation facilities occurs, the Contracting Parties shall assist each other by facilitating communications and other appropriate measures intended to terminate as rapidly as possible commensurate with minimum risk to life such incident or threat.
The aeronautical authority of a Contracting Party shall supply to the aeronautical authority of the other Contracting Party at their request such periodic or other statements of statistics as may be reasonably required for the purpose of reviewing the capacity provided on the agreed services by the designated airline or airlines of the Contracting Party referred to first in this Article. Such statements shall include all information required to determine the amount of traffic carried by those airlines on the agreed services and the origins and destinations of such traffic.
A designated airline of the Macao Special Administrative Region shall have the right to convert and remit to the Macao Special Administrative Region on demand local revenues in excess of sums locally disbursed. A designated airline of Mongolia shall have the right to convert and remit to its country on demand local revenues in excess of sums locally disbursed. Conversion and remittance shall be permitted without restrictions at the rate of exchange applicable to current transactions which is in effect at the time such revenues are presented for conversion and remittance, and shall not be subject to any charges except those normally made by banks for carrying out such conversion and remittance.
1. The designated airline or airlines of one Contracting Party may, in accordance with the laws and regulations relating to entry, residence and employment of the other Contracting Party, bring in and maintain in the area of the other Contracting Party those of their own managerial, technical, operational and other specialist staff who are required for the provision of air services.
2. The designated airline or airlines of each Contracting Party may engage in the sale of air transportation in the area of the other Contracting Party, either directly or through agents appointed by the designated airline. The designated airline or airlines of each Contracting Party may sell, and any person shall be free to purchase, such transportation in local currency or in any freely convertible other currency.
1. Neither Contracting Party shall impose or permit to be imposed on the designated airline or airlines of the other Contracting Party user charges higher than those imposed on their own airlines operating similar international air services.
2. Each Contracting Party shall encourage consultation on user charges between their competent charging authorities and airlines using the services and facilities provided by those charging authorities, where practicable through those airlines’ representative organizations. Reasonable notice of any proposals for changes in user charges should be given to such users to enable them to express their views before changes are made. Each Contracting Party shall further encourage their competent charging authorities and such users to exchange appropriate information concerning user charges.
Either Contracting Party may at any time request consultations on the implementation, interpretation, application or amendment of this Agreement. Such consultations, which may be between aeronautical authorities, shall begin within a period of 60 days from the date the other Contracting Party receives a written request, unless otherwise agreed by the Contracting Parties.
1. If any dispute arises between the Contracting Parties relating to the interpretation or application of this Agreement, the Contracting Parties shall in the first place try to settle it by negotiation.
2. If the Contracting Parties fail to reach a settlement of the dispute by negotiation, it may be referred by them to such person or body as they may agree on or, at the request of either Contracting Party, shall be submitted for decision to a tribunal of three arbitrators which shall be constituted in the following manner:
(a) within 30 days after receipt of a request for arbitration, each Contracting Party shall appoint one arbitrator. A national of a State which can be regarded as neutral in relation to this dispute, who shall act as President of the tribunal, shall be appointed as the third arbitrator by agreement between the two arbitrators, within 60 days of the appointment of the second;
(b) if within the time limits specified above any appointment has not been made, either Contracting Party may request the President of the Council of the International Civil Aviation Organization to make the necessary appointment within 30 days. If the President of the Council is a national of a State which cannot be regarded as neutral in relation to the dispute, the Member of the Council of the International Civil Aviation Organization next in seniority who is not disqualified on that ground shall be requested to make the appointment.
3. Except as hereinafter provided in this Article or as otherwise agreed by the Contracting Parties, the tribunal shall determine the limits of its jurisdiction and establish its own procedure. At the direction of the tribunal, or at the request of either of the Contracting Parties, a conference to determine the precise issues to be arbitrated and the specific procedures to be followed shall be held not later than 30 days after the tribunal is fully constituted.
4. Except as otherwise agreed by the Contracting Parties or prescribed by the tribunal, each Contracting Party shall submit a memorandum within 45 days after the tribunal is fully constituted. Each Contracting Party may submit a reply within 60 days of submission of the other Contracting Party’s memorandum. The tribunal shall hold a hearing at the request of either Contracting Party, or at its discretion, within 30 days after replies are due.
5. The tribunal shall attempt to give a written decision within 30 days after completion of the hearing or, if no hearing is held, 30 days after the date both replies are submitted. The decision shall be taken by a majority vote.
6. The Contracting Parties may submit requests for clarification of the decision within 15 days after it is received and such clarification shall be issued within 15 days of such request.
7. The decision of the tribunal shall be binding on the Contracting Parties.
8. Each Contracting Party shall bear the costs of the arbitrator appointed by them. The other costs of the tribunal shall be shared equally by the Contracting Parties including any expenses incurred by the President or Member of the Council of the International Civil Aviation Organization in implementing the procedures in paragraph 2 (b) of this Article.
1. The amendments of this Agreement agreed by the Contracting Parties shall come into effect when confirmed by an exchange of correspondence through the appropriate channels.
2. Amendments to the Annex of this Agreement may be agreed directly between the aeronautical authorities of the Contracting Parties. They shall be applied provisionally from the date they have been agreed upon by the said authorities and enter into force when confirmed by an exchange of correspondence through the appropriate channels.
The designated airlines of the Contracting Parties may use the aircraft and crew on leasing condition in the agreed services, provided that the leasing arrangements shall be subject to the approval of the civil aeronautical authority of the other Contracting Party in accordance with its own rules and regulations.
In the event of a general multilateral air transport convention applicable to both Contracting Parties entering into force, the provisions of such convention shall prevail. Any discussions with a view to determining the extent to which this Agreement is terminated, superseded, amended or supplemented by the provisions of the multilateral convention shall take place in accordance with Article 16 of this Agreement.
Either Contracting Party may at any time give notice in writing to the other Contracting Party of their decision to terminate this Agreement. Such notice shall be simultaneously communicated to the International Civil Aviation Organization. This Agreement shall terminate at midnight (at the place of receipt of the notice) immediately before the first anniversary of the date of receipt of the notice by the other Contracting Party, unless the notice is withdrawn by agreement before the end of this period. In the absence of acknowledgement of receipt by the other Contracting Party, the notice shall be deemed to have been received 14 days after receipt of the notice by the International Civil Aviation Organization.
This Agreement and any amendments thereto shall be registered with the International Civil Aviation Organization.
This Agreement shall enter into force as soon as the Contracting Parties have given notice in writing to each other that any necessary procedures have been completed.
IN WITNESS whereof, the undersigned, being duly authorized by their respective Governments, have signed this Agreement.
Done, in duplicate at Ulaanbaatar this 27th day of June 2006 in the Chinese, Portuguese, Mongolian and English languages, all texts being equally authoritative.
|For the Government of the Macao Special Administrative Region of the People’s Republic of China||For the Government of Mongolia|
|Ao Man Long||Ts. TSENGEL|
|Secretary for Transport & Public Works||Minister of Road, Transport and Tourism|
Routes to be operated by the designated airline or airlines of Mongolia:
|Points in Mongolia||Intermediate Points||Points in the Macao SAR||Beyond Points|
|Ulaanbaatar||to be determined||Macao SAR||to be determined|
1. Intermediate points may be omitted on any flight provided that the service begins or ends in Mongolia.
2. No points in inland of China, Taiwan and Hong Kong may be served either as intermediate points or beyond points.
Routes to be operated by the designated airline or airlines of the Macao Special Administrative Region:
|Points in the Macao SAR||Intermediate Points||Points in Mongolia||Beyond Points|
|Macao SAR||to be determined||Ulaanbaatar||to be determined|
1. Intermediate points may be omitted on any flight provided that the service begins or ends in the Macao SAR.
2. No points in inland of China, Taiwan and Hong Kong may be served either as intermediate points or beyond points.
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