SCHUBERT TO LAY GROUNDWORK FOR U.S./CHINA MARITIME AGREEMENT

SCHUBERT TO LAY GROUNDWORK FOR U.S./CHINA MARITIME AGREEMENT    U.S. Maritime Administrator William G. Schubert plans soon to begin discussions with the Chinese government regarding the development of a new maritime bilateral agreement between the countries.
   The initial agreement, signed between the countries in 1988 and renewed numerous times, officially expired in 1998. The United States, however, has continued to honor the terms of the agreement.
   “The U.S. objective in its maritime relations with China is clear: To ensure that U.S. shipping lines operating in China enjoy the same free market access that Chinese carriers enjoy in the United States,” said Schubert at the Connecticut Maritime Association meeting in Stamford, Conn., on March 18.
   “In the United States, Chinese companies can conduct shipping and related activities virtually without restriction, while U.S. carriers operating in China are subjected to numerous restrictions on their ability to conduct routine market-based operations,” he said.
   U.S. and Chinese maritime relations became strained when China announced the imposition of new international maritime regulations in December 2001. The regulations, which became effective March 1, impose certain restrictions U.S. and other non-Chinese maritime companies.
   “Rather than operating on the basis of free market principles and commonly accepted international transportation practices, the China market is characterized by hurdles and obstacles which block full participation by non-Chinese companies,” Schubert said.
   A Chinese maritime delegation is expected to meet with U.S. regulators in April.