WORLD TRADE
ORGANIZATIONG/TMB/N/450
20 June 2002
(02-3421)
Textiles Monitoring Body Original:  English
AGREEMENT ON TEXTILES AND CLOTHING
Notification under Article 2.17
UNITED STATES
Administrative Arrangements with China
The Textiles Monitoring Body has received a notification from the United States pursuant to
Article 2.17.  The TMB is circulating this notification to WTO Members for their information.G/TMB/N/450
Page 2
Permanent Mission of the United States
to the World Trade Organization
Geneva
21 May 2002
The Honourable András Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
Rue de Lausanne 154
1211 Geneva
Dear Mr. Chairman,
Attached you will find the United States' Notification under Article 2.17 for China.
Sincerely,
(Singed)
William Tagliani
AttacheG/TMB/N/450
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Administrative Arrangements for China to Be Notified by the United States of America
Pursuant to Article 2 of the Agreement on Textiles and Clothing
The following provisions are drawn from the United States - China bilateral textile and apparel
Memorandum of Understanding of 1 February 1997 and have been agreed by the United States and
the People’s Republic of China to be necessary for the proper implementation of restrictions notified
to the Textiles Monitoring Body under Article 2.1 of the Agreement on Textiles and Clothing.
Coverage of Agreement and Classification by Fiber
2. (A) The textiles and textile products covered by the Agreement are those summarized in
Annex A.  The rates of conversion into square meters equivalent listed in Annex A shall apply in
implementing the Agreement.
(B) For the purposes of the Agreement, the categories below are merged and treated as a
single category, as indicated, with the limits set out in Annex B:
Categories Merged Designation in Agreement Conversion Factors
300 and 301 300/301  8.5
317 and 326 317/326  1.0338 and 339 338/339  6.0
347 and 348 347/348 14.9
445 and 446 445/446 12.4
638 and 639 638/639 12.96
644 and 844 644/844  3.76645 and 646 645/646 30.8
3. (A) Tops, yarns, piece goods, made-up articles, garments, and other textile manufactured
products (being products which derive their chief characteristics from their textile components) of
cotton, wool, man-made fibers, silk blends, non-cotton vegetable fibers, or blends thereof, in whichany or all of these fibers in combination represent the chief weight of the product, are subject to the
Agreement.  Coverage pursuant to this paragraph is subject to subparagraph (B) and  (C) below.
(B) For the purposes of the Agreement, textile products covered by sub-paragraph (A)
above shall be classified as:
(1) Man-made fiber textiles, if the product is in chief weight of man-made fibers,
unless:
(a) the product is knitted or crocheted apparel in which wool equals or
exceeds 23 per cent by weight of all fibers, in which case the product will be
a wool textile; or
(b) the product is apparel, not knitted or crocheted, in which wool equals
or exceeds 36 per cent by weight of all fibers, in which case the product will
be a wool textile;
(c) the product is a woven fabric in which wool equals or exceeds
36 per cent by weight of all fibers, in which case the product will be a wool
textile.G/TMB/N/450
Page 4
(2) Cotton textiles, if not covered by (1) and if the product is in chief weight of
cotton, unless the product is a woven fabric in which wool equals or exceeds
36 per cent by weight of all fibers, in which case the product will be a wool textile.
(3) Wool textiles, if neither of the foregoing applies, and the product is in chief
weight of wool.
(4) Silk blend or non-cotton vegetable fiber textiles, if none of the foregoing
applies and the product is in chief weight of silk or non-cotton vegetable fiber, unless:
(a) cotton with wool and/or man-made fibers in the aggregate equal or
exceed 50 per cent by weight of the component fibers thereof and the cotton
component equals or exceeds the weight  of each of the total wool and/or
man-made fiber components, in which case the product will be a cotton
textile.
(b) if not covered by (3)(a) and wool exceeds 17 per cent by weight of all
component fibers, in which case the product will be considered a wool
textile.
(c) if not covered by (3)(a) or (b) and man-made fibers in combination
with cotton and/or wool in the aggregate equal or exceed 50 per cent by
weight of the component fibers thereof and the man-made fiber component
exceeds the weight of the total wool and/or total cotton component, in which
case the product will be considered a man-made fiber textile.
(C) Garments which contain 70 per cent or more by weight silk (unless they also contain
over 17 per cent by weight wool), and products other than garments which contain 85 per cent or
more by weight silk, are not subject to the Agreement.  Silk blend and non-cotton vegetable fiber
sweaters, as determined above, shall be divided in to "silk blend" sweaters and "non-cotton vegetable
fibers" sweaters.  For the purposes of this provision sw eaters shall be classified as "silk blend" if the
silk component exceeds by weight the non-cotton vegetable fiber component (if any).  Sweaters not
classified as "silk blend" sweaters in accordance wi th the foregoing shall be classified as "non-cotton
vegetable fiber" sweaters.  Garments containing 70 per cent or more by weight silk and over
17 per cent by weight wool shall be classified as wool textiles, under subparagraph (B)(4)(b).
(D) Coverage under this paragraph is intended to be identical with the terms of the WTO
Agreement on Textiles and Clothing.  In the event of a question regarding whether a product iscovered by the Agreement by virtue of being chief weight of cotton, wool, man-made fiber, silk
blend, or non-cotton vegetable fiber, the chief value of the fibers may be considered.
(E) Certain handmade products specified in Annex C are exempt from quota and visa
requirements if properly certified.
Structure and Limits of Agreement
4. Textiles and textile products covered by the Agreement shall be subject to the Group Limits
and Specific Limits set out in Annex B.  The Groups included in the Agreement are as follows:
Group I: Specific limits, excluding categories 369-S, 863-S, 870 and 225 and called
Category 224V
Group II: Cotton, wool, and man-made fiber appare l not subject to specific limits in Group I.G/TMB/N/450
Page 5
Group III: Cotton, wool, and man-made fiber non-apparel not subject to specific limits in
Group I.
Group IV: Silk Blends and non-Cotton vegetable fiber apparel not subject to specific limits in
Group I.
5. Commencing with the first Agreement Year, during the subsequent years of the Agreement,
the Government of the People's Republic of China shall limit annual exports to the United States of its
cotton, wool, man-made fiber, other vegetable fiber, and silk blend textiles and textile products to the
Group Limits and Specific Limits set out in Annex B, as such limits may be adjusted in accordance
with paragraphs 6 and 7.  The limits in Annex B include annual growth.  Subject to paragraph 10,
exports shall be charged to the limits for the year in which exported.  The limits set out in Annex B do
not include any of the adjustments permitted under paragraphs 6 and 7.
Flexibility Adjustments
Swing
6. (A) During any Agreement Year the Group I, II, III and IV Limits set out in Annex B,
may be exceeded by not more than five (5) per cent of their respective square meter equivalent (SME)
total, provided that the amount of the increase is  compensated by equivalent SME decreases in the
Group I, II or III Limits for that Agreement Year.
(1) No Group Limit may be decreased pursuant to subparagraph 6 (A) to a level
which is below the level of exports charged against that Group Limit for that
Agreement Year.
(2) When informing the Government of the United States of America of
adjustments under the provisions of this paragraph, the Government of the People's
Republic of China shall indicate the Group Limits to be increased and those to be
decreased by commensurate quantities in square meters equivalent.
(B) During any Agreement Year, and within the applicable Group limit for such an
agreement year as it may be adjusted under paragraphs 6(A) and 7, any Specific Limit and sublimits
set out in Annex B (or pursuant to an amendment thereto) may be exceeded by not more than five (5)
per cent.  During any Agreement Year, and within  the applicable Group limit for such an agreement
year as it may be adjusted under paragraphs 6(A) and 7, restraint limits established pursuant to
paragraph 8 may be exceeded by not more than seven (7) per cent.
(l) However, the adjustments provided under subparagraph 6 (B) are not
available to or from Categories 315 or 845, except that swing shall be available from
Category 845 to 846.
(2) In addition, special swing of ten (10) per cent shall be available between
categories 341 and 641 and between categories 342 and 642; and between categories
340 and 640 upon resolution of the 640 yarn-dyed sub-limit.G/TMB/N/450
Page 6
Carryover and Carry forward
7. (A) In any Agreement Year, any Group Limit or Specific Limit may exceed the levels set out
in Annex B by allocating to such Group Limit or Specific Limit for that Agreement Year an unused
portion of the corresponding Group or Specific Limit for the previous Agreement Year ("carryover")or a portion of the corresponding Group or Specific Limit for the succeeding Agreement Year
("carryforward"), subject to the following conditions:
(1) Group Limits
(a) Carryover may be utilized as available up to three (3) per cent of the
receiving Agreement Year's Group I, II or III Limit and five (5) per cent ofthe receiving Agreement Year's Group IV limit.  Carryover may be utilized as
available in 1997 up to two (2) per cent of the receiving Agreement Year's
Group limits.
(b) Carry forward may be utilized up to two (2) per cent of the receiving
Agreement Year's Group I,  II or III Limit, and three (3) per cent in the case
of Group IV, and shall be charged against the immediately following
Agreement Year's corresponding Group Li mit.  No carry forward shall be
available in the final Agreement year.
(c) The combination of carryover and carry forward applicable to a
Group I, II and III Limit shall not exceed three (3) per cent of the receiving
Agreement Year's applicable limit in any Agreement Year and the
combination of carryover and carry forward applicable to Group IV shall not
exceed five (5) per cent of the receiving Agreement Year's applicable limit inany Agreement Year, except for Agreement Year 1997, as described in
subparagraph 7(A)(1)(a) above.
(2) Specific Limits
(a) Carryover may be utilized as available up to two (2) per cent of the
receiving Agreement Year's Specific Limit, to the extent that there issufficient shortfall (as defined in sub-paragraph 7(B)) available in the donor
Specific Limit and within the Group Limit covering the donor Specific Limit.
A two (2) per cent carryover only of available 1996 limits may be applied to
corresponding 1997 limits.
(b) Carry forward may be utilized up to three (3) per cent of the
receiving Agreement Year's applicable Specific Limit and shall be charged
against the immediately following Agreement Year's corresponding Specific
Limit.  No carry forward shall be available in the final Agreement Year.
(c) The combination of carryover and carry forward applicable to a
Specific Limit shall not exceed three (3) per cent of the receiving Agreement
Year's applicable limit in any Agreement Year.
(d) In any Agreement Year, following agreement in consultations,
exports may exceed by up to 10 per cent any limit set out in Annex B by
allocating to such limit for that Agreement Year any unused portion of the
corresponding limit for the previous Agreement Year or a portion of the
corresponding limit for the succeeding year, subject to the following
conditions:G/TMB/N/450
Page 7
(1) Carryover may be utilized as available up to 10 per cent of t
he receiving Agreement Year's limits provided:
(2) Carry forward may be utilized up to five (5) per cent of the
receiving Agreement Year's applicable limits and shall be charged
against the immediately following Agreement Year's corresponding
limits;
(3) The combination of carryover and carry forward shall not
exceed 10 per cent of the receiving Agreement Year's applicable
limit in any Agreement Year;
(4) Carryover of shortfall shall not be applied to any limits until
the Governments of the United States of America and the People's
Republic of China have agreed upon the amounts of shortfall
involved.
(B) For purposes of the Agreement, a shortfall occurs when exports of textiles or textile
products of the People's Republic of China to the Un ited States of America during an Agreement Year
are below any Group Limit or Specific Limit as set out in Annex B (or, in the case of any limit
decreased pursuant to paragraph 6, when such exports are below the limit as so decreased).  In theAgreement Year following the shortf all, such exports of products of the People's Republic of China to
the United States of America may be permitted to exceed the applicable limits, subject to the
conditions of subparagraph 7(A), by carryover of the shortfalls in the following manner:
(1) Carryover shall not exceed the amount of shortfall in the applicable limits;(2) The shortfall shall be used in the Group Limit or Specific Limit in which the shortfall
occurred.
(C)  Adjustments made under this paragraph are in addition to those permitted under
Paragraph 6.
9. The Government of the People's Republic of China shall use its best efforts to space exports
of its products to the United States of America within each category evenly throughout each
Agreement Year, taking into consideration normal seasonal factors.
Cooperation in Implementation
of the Limitation Provisions
10. (A) Each Government shall endeavour to ensure that the limits established under the
Agreement are not exceeded.  Calculations will be based upon date of export from the People’s
Republic of China.  Neither Government shall act to restrain trade in textile products covered by theAgreement except in accordance with the terms of the Agreement.
(B) Exports of products of the People’s Republic of China in excess of any authorized
limits in any Agreement Year or period may be denied entry into the United States.   Any such
shipments denied entry may be permitted entry into the United States and charged to the applicablelimit in the succeeding period or Agreement year.  The Government of the United States of America
will supply to the Government of the People’s Republic of China each month a list of charges by
category and quantity.G/TMB/N/450
Page 8
(C) Exports of products of the People’s Republic of China in excess of authorized limits
in any Agreement Year or period will, if allowed entry into the United States during that year or
period, be charged to the applicable limit in the succeeding Agreement Year or period.
(D) Any action taken pursuant to this provision will not prejudice the rights of either side
regarding consultations.
Exchange of Data
11. The Government of the United States of Am erica shall promptly supply the Government of
the People’s Republic of China with monthly data on imports of textiles and textile products of China
and the Government of the People’s Republic of China shall promptly supply the Government of theUnited States of America with quarterly data on exports of China’s textiles to the United States for
which limits have been established.  Each Government agrees to supply promptly any other pertinent
and readily available statistical data requested by the other Government.
12. Annual technical consultations shall be held to discuss administrative matters in the
implementation of this Agreement including review of each Government's trade statistics for the
previous Agreement year.
Cooperation in the Prevention
of Circumvention
13. (A) Both parties agree to take necessary actions to address, to investigate and, where
appropriate, to take legal and/or administrative action to prevent circumvention of this Agreement by
transshipment, rerouting, false declaration concerni ng country or place of origin, falsification of
official documents or any other means.
(B) Both Parties agree to cooperate fully, consistent with their domestic laws and
procedures, in instances of circumvention or alleged circumvention of this Agreement to establish
necessary relevant facts in the places of import, export and, where applicable, transshipment.  The
Parties will endeavour to clarify the circumstances of any such instances of circumvention or alleged
circumvention, including the respective roles of the exporters or importers involved, and any party in
a third country or region, if applicable.  Such cooperation, to the extent consistent with domestic lawsand procedures, will include investigation of circumvention practices; exchange of documents,
correspondence, reports and other relevant information to the extent available; and facilitation of plant
visits and contacts in accordance with agreed upon procedures, upon request and on a case-by-case
basis.   If transhipment cases are discovered by the Government of the People’s Republic of China,
the Government of the People’s Republic of China will investigate and inform the Government of theUnited States of America of the result.
(C) Should either Party believe that circumvention is occurring and that no, or inadequate
measures, are being applied to take action against such circumvention, either Party may request
consultations with a view to seeking a mutually sa tisfactory solution.  Such consultations shall be held
promptly, beginning within 30 days of a request by a Party and concluding within 120 days, unless
extended by mutual agreement. The Parties will e ndeavour to hold two rounds of meetings within the
120 days, or mutually agreed extension thereof.
(D) Should the parties be unable to reach a satisfactory solution in the course of the
consultations called for under paragraph (C), then the Governments of the People’s Republic of China
and the United States of America agree that in cases where clear evidence regarding circumvention
has been provided, including the country or place of true origin, and the circumstances of the case has
been provided, the Government of the United States of America may deduct from the quantitative
limits for that Agreement Year amounts equivalent to the amount of transshipped products of People’sG/TMB/N/450
Page 9
Republic of China origin.  If China becomes a Member of the WTO and the United States applies the
Agreement Establishing the WTO to China, any such action shall be notified to the TMB with full
justification.
(E) Beginning after 1 January 1997, should the Government of the United States of
America choose to exercise its rights under paragraph (D) to deduct an amount or amounts from the
quantitative limits of the People’s Republic of China, where more than two instances of
circumvention have been demonstrated within the twelve-month period immediately preceding the
date of the particular charge upon which the triple charge is based, and the Government of the United
States of America possesses clear evidence of the particular charge, such as an export declaration
from the People’s Republic of China, bills of lading, invoices, contracts, or other relevant information,
then the Government of the United States of America may deduct from the quantitative limit amountsup to three times the amounts transshipped, provided that such deductions are distributed equally in
the remaining term of the Agreement.
No charges may be brought under this paragraph based on goods imported into the territory of the
United States more than three years prior to the date on which consultations are sought under thisparagraph.  The Government of the United States of America will take no such action unless a
consultation was held, beginning within 30 days of a request by either Party, and concluding within
90 days, unless extended by mutual agreement.  Both parties recognize that other solutions may be
agreed upon including arrangements with the third Party or Parties through which the circumvention
took place.  If China becomes a Member of the WTO and the United States applies the AgreementEstablishing the WTO to China, any such action shall be notified to the TMB with full justification.
(F) Both Parties agree, when dealing with circumvention cases, to take full account of
whether appropriate anti-circumvention measures have  been taken by the Government of the country
or place of true origin.  Both Parties further agree to penalize the individuals and entities involved inthe circumvention, consistent with their domestic laws and procedures, and to work closely to seek the
cooperation of any third Party to prevent circumvention from taking place in that third Party.
(G) Where there is clear evidence showing th at goods originating in another country have
been shipped through the People's Republic of China to the United States as though they were
products of the People's Republic of China, the Go vernments of the People's Republic of China and
the United States of America agree to take appropriate action, recognizing that the preferred remedy isthe denial of entry of such goods when possible.  The Parties should endeavour to clarify the
circumstances of any such instances of circumvention or alleged circumvention, including the
respective roles of the exporters or importers and any party in the third country or region involved.
Appropriate actions, together with their timing and scope, may be taken after consultations, held with
a view to arriving at a mutually satisfactory solu tion.  Such consultations should be held promptly,
beginning within 30 days of a request by a Party and concluding within 120 days, unless extended by
mutual agreement.  Should the Parties be unable to reach a satisfactory solution, the Governments of
the People's Republic of China and the United States of America agree that in cases where clear
evidence regarding circumvention has been provided, the Government of the United States of
America may introduce a restraint or, where a restraint already exists, may deduct from thequantitative limits established under the Agreement an amount equivalent to the amount of product
transshipped through the People's Republic of China.  If China becomes a Member of the WTO and
the United States applies the Agreement Establishing the WTO to China, any such action shall be
notified to the TMB with full justification.
(H) The Parties note that some cases of circumvention may involve shipments transiting
through countries or places and no changes or alterations have been made to the goods contained in
such shipments in the places of transit.  The Parties note that it may not be generally practicable for
such places of transit to exercise control over such shipments.G/TMB/N/450
Page 10
(I) (1)  The Parties agree that false declaration concerning fiber content, quantities,
description or classification of merchandise also frustrates the objective of the
Agreement.  Where there is clear evidence that any such false declaration has been
made for purposes of circumvention, both Parties agree to take appropriate measures,
consistent with their domestic laws and procedures, against exporters and importersinvolved recognizing that the preferred remedy is the denial of entry of such goods
when possible.  Should either Party believe that the Agreement is being circumvented
by such false declaration and that no, or inadequate, administrative measures are
being applied to address and/or to take action against such circumvention, that Party
should consult promptly with the Party invo lved with a view to seeking a mutually
satisfactory solution.  Such consultations should be held promptly, beginning within
30 days of a request by a Party and concluding within 120 days, unless extended bymutual agreement.  Should the Parties be unable to reach a satisfactory solution, then
the Government of the People's Republic of China and the Government of the United
States of America agree that in cases where clear evidence regarding such false
declarations has been provided, then the Government of the United States of America
may deduct from the quantitative limits established under the Agreement an amountequivalent to the amount of product subject to the false declaration or classification.
(2) This provision is not intended to prevent Parties from making technical
adjustments when inadvertent errors in declarations have been made.  Upon the
request of an enterprise located in the territory of the People's Republic of China for aclassification ruling by the United States Customs Service, the United States shall
provide such a ruling, consistent with its domestic laws and procedures, within 30
calendar days of the date of receipt by the United States Customs Service of the
appropriate documentation and information.  Rulings which require referral to U.S.
Customs Headquarters, Office of Regulations  and Rulings, will be issued within 120
days of receipt by the United States Customs Service of submission of the appropriate
documentation and information.
(J) The Parties recognize that, after China becomes a Member of the WTO and the
United States applies the Agreement Establishing the WTO to China, in the event of a conflict
between this paragraph and Article 5 of the ATC that impairs the operation of the ATC, the ATC shall
prevail.
Visa System
14. (A) The visa system established for exports to the United States of America of cotton,
wool and man-made fiber, other vegetable fibers, and silk blend textiles and textile products of thePeople's Republic of China, effective 25 July 1980, as amended, will remain in force.  Visas issued in
a particular Agreement Year shall be valid only for textiles and textile products exported during that
Agreement Year.
(B) The parties recognize that under the Agreement the purchase of textiles and textile
products to be delivered subject to the restrictions under the Agreement implies that delivery of goods
will be accompanied by a valid visa.G/TMB/N/450
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Commercial Samples and Personal Shipments
15. Properly marked commercial sample shipments, valued at $250 or less, and items for the
personal use of the importer and not for resale, need not be accompanied by an export visa and shall
not be subject to the limits established under the Agreement.
Equity
16. If the Government of the People's Republic of China considers that, as a result of a limitation
specified in the Agreement, the People's Republic of  China is being placed in an inequitable position
vis-à-vis  a third country or party, the Government of the People's Republic of China may request
consultations with the Government of the United St ates with a view to taking appropriate remedial
action such as reasonable modification of the Agreement and the Government of the United States
shall agree to hold such consultations.G/TMB/N/450
Page 12
Annex A
U.S. Textile and Apparel Category System
Under the Harmonized System
Categories Numbered in the:
200 Series are of cotton and/or man-made fiber.
300 series are of cotton.
400 series are of wool.
600 series are of man-made fiber.
800 series are of silk blends or non-cotton vegetable fibers.
Category Description Conversion Factor Unit
in square meters
Yarn
200 Yarns put up for retail sale, 6.6 Kg
and sewing thread
201  Specialty yarns  6.5 Kg300 Carded cotton yarns 8.5 Kg
301 Combed cotton yarns 8.5 Kg
400 Wool yarns 3.7 Kg
600 Textured filament yarns 6.5 Kg
603 Yarn containing 85 per cent or 6.3 Kg
more by weight artificial
staple fiber
604 Yarn containing 85 per cent or 7.6 Kg
more by weight synthetic
staple fiber
606 Non-textured filament yarn 20.1 Kg
607 Other staple fiber yarn 6.5 Kg800 Silk blends or non-cotton 8.5  Kg
vegetable fiber yarn
Fabric
218 Of yarns of different colors 1.0 M2
219 Duck 1.0 M2
220 Fabric of special weave 1.0 M2
222 Knit fabric 12.3 Kg223 Non-woven fabrics 14.0 Kg
224 Pile and tufted fabric 1.0 M2
225 Blue Denim 1.0 M2
226 Cheesecloth batistes, lawn 1.0 M2
and voile
227 Oxford cloth 1.0 M2
229 Special purpose fabric 13.6 Kg
313 Sheeting 1.0 M2
314 Poplin and broadcloth 1.0 M2
315 Printcloth 1.0 M2G/TMB/N/450
Page 13
317 Twills 1.0 M2
326 Sateens 1.0 M2
410 Woven fabrics 1.0 M2
414 Other wool fabrics 2.8 Kg
611 Woven fabric containing 1.0 M2
85 per cent or more by
weight artificial staple
613 Sheeting 1.0 M2
614 Poplin and broadcloth 1.0 M2
615 Printcloth 1.0 M2
617 Twills and sateens 1.0 M2
618 Woven artificial filament fabric 1.0 M2619 Polyester filament fabric 1.0 M2
620 Other synthetic filament fabric 1.0 M2
621 Impression fabric 14.4 Kg
622 Glass fiber fabric 1.0 M2
624 Man-made fiber fabric, woven, 1.0 M2
containing more than 15 per cent
but less than 36 per cent wool
625 Poplin/broadcloth of staple/ 1.0 M2
filament fiber combinations
626 Printcloth of staple/filament 1.0 M2
fiber combinations
627 Sheeting of staple/filament 1.0 M2
fiber combinations
628 Twills and sateens of staple/
filament fiber combinations 1.0 M2
629 Other fabrics of staple/filament 1.0 M2
fiber combinations
810 Woven fabric, silk blend and 1.0 M2
non-cotton vegetable fiber
Apparel
237 Playsuits, sunsuits, etc. 19.2 doz
239 Babies' garments and clothing 6.3 Kg
accessories
330 Handkerchiefs 1.4 doz331 Gloves and mittens 2.9 dpr
332 Hosiery 3.8 dpr
333 M and B suit-type coats 30.3 doz
334 Other M and B coats 34.5 doz
335 W and G coats 34.5 doz336 Dresses 37.9 doz
338 M and B knit shirts 6.0 doz
339 W and G knit shirts & blouses 6.0 doz
340 M and B shirts, not knit 20.1 doz
341 W & G shirts/blouses, not knit 12.1 doz342 Skirts 14.9 doz
345 Sweaters 30.8 doz
347 M & B trousers/breeches/shorts 14.9 doz
348 W & G trousers/breeches/ shorts 14.9 doz
349 Brassieres and body supporting 4.0 dozG/TMB/N/450
Page 14
garments
350 Robes, dressing gowns, etc. 42.6 doz
351 Nightwear and pajamas 43.5 doz
352 Underwear 9.2 doz
353 M and B down-filled coats 34.5 doz354 W and G down-filled coats 34.5 doz
359 Other cotton apparel 8.5 Kg
431 Gloves and mittens 1.8 dpr
432 Hosiery 2.3 dpr
433 M and B suit-type coats 30.1 doz
434 Other M and B coats 45.1 doz
435 W and G coats 45.1 doz436 Dresses 41.1 doz
438 Knit shirts and blouses 12.5 doz
439 Babies' garments and clothing 6.3 Kg
accessories
440 Shirts and blouses, not knit 20.1 doz442 Skirts 15.0 doz
443 M and B suits 3.76 nos
444 W and G suits 3.76 nos
445 M and B sweaters 12.4 doz
446 W and G sweaters 12.4 doz447 M & B trousers/breeches/shorts 15.0 doz
448 W & G trousers/breeches/shorts l5.0 doz
459 Other wool apparel 3.7 Kg
630 Handkerchiefs 1.4 doz
631 Gloves and mittens 2.9 dpr632 Hosiery 3.8 dpr
633 M and B suit-type coats 30.3 doz
634 Other M and B coats 34.5 doz
635 W and G coats 34.5 doz
636 Dresses 37.9 doz
638 M and B knit shirts 12.96 doz
639 W and G knit shirts and blouses 12.96 doz640 M and B shirts, not knit 20.1 doz
641 W and G shirts and blouses, not knit 12.1 doz
642 Skirts 14.9 doz
643 M and B suits 3.76 nos
644 W and G suits 3.76 nos645 M and B sweaters 30.8 doz
646 W and G sweaters 30.8 doz
647 M & B trousers/breeches/shorts 14.9 doz
648 W & G trousers/breeches/shorts 14.9 doz
649 Brassieres and other body 4.0 doz
supporting garments
650 Robes and dressing gowns, etc. 42.6 doz
651 Nightwear and pajamas 43.5 doz
652 Underwear 13.4 doz
653 M and B down-filled coats 34.5 doz654 W and G Down-filled coats 34.5 doz
659 Other Man-made fiber apparel 14.4 Kg
831 Gloves and mittens 2.9 dpr
832 Hosiery 3.8 dpr
833 M and B suit-type coats 30.3 dozG/TMB/N/450
Page 15
834 Other M and B coats 34.5 doz
835 W and G coats 34.5 doz
836 Dresses 37.9 doz
838 Knit Shirts, blouses 11.7 doz
839 Babies' garments and clothing 6.3 Kg
accessories
840 Not knit shirts and blouses 16.7 doz
842 Skirts 14.9 doz
843 M and B suits 3.76 nos
844 W and G suits 3.76 nos
845 Sweaters of non-cotton vegetable 30.8 doz
fiber
846 Sweaters of silk blend 30.8 doz
847 Trousers/breeches/shorts 14.9 doz
850 Robes and dressing gowns, etc. 42.6 doz
851 Nightwear and pajamas 43.5 doz
852 Underwear 11.3 doz858 Neckwear 6.6 Kg
859 Other apparel 12.5 Kg
Made-up and Miscellaneous Textiles
360 Pillowcases 0.9 nos
361 Sheets 5.2 nos
362 Bedspreads and quilts 5.8 nos
363 Terry and other pile towels 0.4 nos369 Other cotton manufactures 8.5 Kg
464 Blankets 2.4 Kg
465 Floor Coverings 1.0 M2
469 Other wool manufactures 3.7 Kg
665 Floor coverings 1.0 M2
666 Other man-made fiber furnishings 14.4 Kg
669 Other man-made fiber 14.4 Kg
manufactures
670 Flat goods, handbags, luggage 3.7 Kg
863 Towels 0.4 Nos
870 Luggage 3.7 Kg
871 Handbags and Flatgoods 3.7 Kg899 Other silk blend and vegetable 11.1 Kg
manufacturesG/TMB/N/450
Page 16
Annex B
1997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
Group I 1.00 1.00% 1,445,934,222 1,460,393,564 1,474,997,500 1,489,747,475
200 6.60 3.00% 695,664 716,534 738,030 760,171
218 1.00 1.50% 11,041,519 11,207,142 11,375,249 11,545,878
219 1.00 2.50% 2,311,565 2,369,354 2,428,588 2,489,303
226 1.00 2.50% 10,496,186 10,758,591 11,027,555 11,303,244
237 19.20 3.00% 1,905,073 1,962,225 2,021,092 2,081,724
239 6.30 2.00% 2,958,920 3,018,098 3,078,460 3,140,030
300/301 8.50 1.50% 2,220,580 2,253,889 2,287,697 2,322,012
313 1.00 1.80% 40,700,089 41,432,691 42,178,479 42,937,692
314 1.00 2.50% 47,270,847 48,452,618 49,663,934 50,905,532
315 1.00 1.50% 129,835,119 131,782,646 133,759,386 135,765,776
317/326 1.00 3.00% 20,335,699 20,945,770 21,574,143 22,221,367
(326) 1.00 3.00% 3,890,619 4,007,338 4,127,558 4,251,384
331 2.90 1.50% 5,082,896 5,159,139 5,236,526 5,315,074
333 30.30 3.00% 93,440 96,243 99,130 102,104
334 34.50 1.50% 316,242 320,985 325,800 330,687
335 34.50 0.50% 384,445 386,367 388,299 390,241
336 37.90 2.50% 165,540 169,678 173,920 178,268
338/339 6.00 0.50% 2,310,781 2,322,334 2,333,946 2,345,616
- S SUB 6.00 0.50% 1,754,135 1,762,906 1,771,721 1,780,579G/TMB/N/450
Page 171997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
340 20.10 0.75% 781,557 787,419 793,325 799,275
-Z SUB 20.10 0.75% 390,779 393,710 396,662 399,637
341 12.10 0.75% 677,214 682,293 687,410 692,566
- Y SUB 12.10 0.75% 406,329 409,376 412,447 415,540
342 14.90 1.00% 263,960 266,599 269,265 271,958
345 30.80 0.20% 128,517 128,774 129,032 129,290
347/348 14.90 0.20% 2,337,175 2,341,850 2,346,533 2,351,226
350 42.60 3.00% 158,988 163,758 168,670 173,730
351 43.50 3.00% 531,492 547,437 563,860 580,776
352 9.20 0.50% 1,629,153 1,637,299 1,645,485 1,653,713
359-C 8.50 3.00% 576,462 593,756 611,569 629,916
359-V 8.50 2.00% 856,398 873,526 890,996 908,816
360 0.90 3.00% 7,391,540 7,613,286 7,841,685 8,076,935
- P SUB 0.90 3.00% 5,041,744 5,192,996 5,348,786 5,509,250
361 5.20 2.50% 4,113,290 4,216,122 4,321,525 4,429,563
362 5.80 2.00% 6,966,743 7,106,078 7,248,200 7,393,164
363 0.40 1.50% 20,984,468 21,299,235 21,618,724 21,943,004
369-D 8.50 2.00% 4,570,519 4,661,929 4,755,168 4,850,271
369-H 8.50 2.70% 4,771,427 4,900,256 5,032,562 5,168,442
369-L 8.50 3.00% 3,162,962 3,257,851 3,355,586 3,456,254
410 1.00 1.00% 979,362 989,156 999,047 1,009,038
- A SUB 1.00 1.00% 785,065 792,916 800,845 808,853G/TMB/N/450
Page 18
1997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
- B SUB 1.00 1.00% 785,065 792,916 800,845 808,853
433 30.10 0.50% 20,643 20,747 20,850 20,955
434 45.10 0.50% 13,200 13,266 13,332 13,399
435 45.10 0.50% 24,244 24,365 24,487 24,610
436 41.10 0.50% 14,936 15,011 15,086 15,161
438 12.50 0.50% 26,137 26,268 26,399 26,531
440 20.10 0.50% 37,341 37,528 37,715 37,904
- M SUB 20.10 0.50% 21,337 21,444 21,551 21,659
442 15.00 0.50% 39,528 39,725 39,924 40,123
443 3.76 0.50% 127,702 128,340 128,982 129,627
444 3.76 1.00% 202,839 204,867 206,916 208,985
445/446 12.40 0.10% 287,470 287,758 288,045 288,334
447 15.00 0.50% 69,916 70,265 70,617 70,970
448 15.00 0.50% 22,056 22,167 22,277 22,389
607 6.50 2.50% 3,114,484 3,192,346 3,272,155 3,353,959
611 1.00 2.50% 5,163,832 5,292,928 5,425,251 5,560,882
613 1.00 2.50% 7,306,817 7,489,487 7,676,725 7,868,643
614 1.00 2.50% 11,482,140 11,769,194 12,063,423 12,365,009
615 1.00 2.50% 23,903,729 24,501,322 25,113,855 25,741,702
617 1.00 2.50% 16,701,294 17,118,826 17,546,797 17,985,467
631 2.90 2.50% 1,250,447 1,281,708 1,313,751 1,346,594
633 30.30 2.00% 55,657 56,770 57,906 59,064G/TMB/N/450
Page 191997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
634 34.50 2.00% 605,513 617,623 629,976 642,575
635 34.50 2.00% 638,711 651,485 664,515 677,805
636 37.90 1.00% 541,630 547,047 552,517 558,042
638/639 12.96 1.00% 2,388,826 2,412,714 2,436,841 2,461,210
640 20.10 0.50% 1,372,806 1,379,670 1,386,568 1,393,501
641 12.10 0.50% 1,300,450 1,306,952 1,313,487 1,320,054
642 14.90 2.50% 323,121 331,199 339,479 347,966
643 3.76  1.50% 502,309 509,844 517,491 525,254
644/844 3.76 1.00% 3,614,311 3,650,454 3,686,959 3,723,828
645/646 30.80 0.20% 821,788 823,432 825,078 826,729
647 14.90 1.00% 1,539,862 1,555,261 1,570,813 1,586,522
648 14.90 1.00% 1,100,221 1,111,223 1,122,336 1,133,559
649 4.00 3.00% 902,711 929,792 957,686 986,417
650 42.60 2.50% 111,844 114,640 117,506 120,444
651 43.50 2.00% 751,157 766,180 781,504 797,134
- B SUB 43.50 2.00% 132,246 134,891 137,589 140,341
652 13.40 3.00% 2,640,248 2,719,455 2,801,039 2,885,070
659-C 14.40 2.00% 397,670 405,623 413,736 422,011
659-H 14.40 2.25% 2,743,832 2,805,568 2,868,694 2,933,239
659-S 14.40 2.50% 594,797 609,667 624,909 640,531
666 14.40 2.00% 3,444,092 3,512,974 3,583,233 3,654,898
 -C Sub 14.40 2.50% 1,225,000 1,255,625 1,287,016 1,319,191G/TMB/N/450
Page 20
1997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
669-P 14.40 2.50% 1,941,435 1,989,971 2,039,720 2,090,713
670-L 3.70 2.50% 15,451,740 15,838,034 16,233,984 16,639,834
831 2.90 4.10% 524,022 545,507 567,873 591,155
833 30.30 3.50% 27,258 28,212 29,199 30,221
835 34.50 1.25% 120,549 122,056 123,582 125,126
836 37.90 2.50% 270,628 277,394 284,329 291,437
840 16.70  1.25% 468,940 474,802 480,737 486,746
842 14.90 2.00% 260,899 266,117 271,439 276,868
845 30.80 0.20% 2,449,680 2,454,580 2,459,489 2,464,408
846 30.80 1.00% 175,578 177,334 179,107 180,898
847 14.90 1.00% 1,234,840 1,247,188 1,259,660 1,272,257
GROUP II 1.00 1.00% 122,343,380 123,566,814 124,802,482 126,050,507
GROUP III 1.00 1.00% 253,782,597 256,320,423 258,883,627 261,472,463
224-V 1.00 2.50% 3,477,877 3,564,824 3,653,945 3,745,293
225 1.00 2.50% 6,000,000 6,150,000 6,303,750 6,461,344
GROUP IV 1.00 2.00% 11,251,192 11,476,216 11,705,740 11,939,855G/TMB/N/450
Page 211997 1998 1999 2000
CATEGORY CF GROWTH LIMIT LIMIT LIMIT LIMIT
Levels not in a Group:
369-S 8.50 0.20% 611,378 612,601 613,826 615,054
863-S 0.40 0.50% 8,575,651 8,618,529 8,661,622 8,704,930
870 3.70 0.50% 32,935,028 33,099,703 33,265,202 33,431,528
SILK APPAREL:
Silk Group 1.00 1.00% 349,565,675
740 20.10 1.00% 3,336,656
741 12.10 1.00% 8,326,303G/TMB/N/450
Page 22
Annex C
EXEMPT CERTIFICATION ARRANGEMENT
FOR CHINESE FLOOR COVERINGS
1. Certain textile floor coverings shall be exempt from levels of restraint and visa requirements if
properly certified by the Government of the People's Republic of China by the placing of an original
rectangular-shaped stamped marking in blue ink on th e front of the original commercial invoice.  The
original copy of the invoice with the original exempt  certification will be required to enter the shipment
into the United States.  Duplicate copies of the invoice and/or the exempt certification may not be used.
2. The exempt products are textile floor coverings pr ovided for in the following provisions of the
Harmonized Tariff Schedule of the United States which have been produced by hand knotting, hand
weaving, hand tufting or hand needlepoint, and which contain a design produced through the use of yarns
of different colours or through carving the face of the floor covering:
    HTSUSA      CATEGORY
  5701.10.1600   465
  5701.10.4000   465
  5701.10.9000   465  5702.10.9010   465
  5702.51.2000   465
  5702.91.3000   465
  5702.99.1010   369
  5703.10.0020 (a)  465  5703.20.1000   665
  5703.30.0020 (b)   665
  5705.00.2005 (c)  465
(a) 5703.10.0020 is a new statistical provision created for tufted wool carpets and rugs to
cover "hand-hooked, that is, in which the tufts were inserted by hand or by means of a hand tool".
(b) 5703.30.0020 is a new statistical provision created for tufted man-made fiber carpets and
rugs, with coverage identical to above.  It will capture trade previously covered by both
5703.30.0010 and 5703.30.0090.
(c) 5705.00.2005 is a new statistical provision created for other carpets and rugs of wool to
cover "needlepoint."
3. Each exempt certification stamp will include the date of issuance and the signature of the issuing
official.
4. An exempt certification should be issued prior to the exportation of the shipment.  Should a
shipment be accompanied by a certification that is incorrect (i.e. the date of issuance or the signature is
missing, or illegible) then the correct exempt certificate is required prior to the release of the goods.
5. If the product does not meet the conditions in paragraph 2 above (e.g. the product is misdescribed
or misclassified), the exempt certification is unacceptable (i.e. the signature is crossed out or altered inG/TMB/N/450
Page 23
any way or other information is altered), or the commodity is exported without an exempt certificate, then
a visa must be obtained prior to the release of any portion of the shipment by the United States Customs
Service.  If a visa is not obtained then the goods will be denied entry.
6. An invoice may cover visaed merchandise or exempt certified merchandise, but not both.7. Amend Annex B by reducing  the Group III limit by 4,573,498 square meters.  The 1997 Group
III limit will therefore equal 253,782,597 square meters.G/TMB/N/450
Page 24
VISA ARRANGEMENT
BETWEEN
THE PEOPLE’S REPUBLIC OF CHINA
AND THE UNITED STATES OF AMERICA
CONCERNING TEXTILES AND TEXTILE PRODUCTS
1. Definitions:
A. For the purpose of this arrangement, the term "textiles" means:
i. Textiles and textile articles of cotton, wool, man-made fibers, silk blends, and
vegetable fiber other than cotton as listed in the Correlation: Textile and Apparel
Categories with the Harmonized Tariff Schedule of the United States, or successor
document, for categories listed in Annex A of the Bilateral Textile Agreement; or
B. The term "category" includes part categories and merged categories as established in the
bilateral agreement.
C. An "ELVIS transmission" is a message, sent electronically to the U.S. Customs Service,
by the government of the country of origin of the textile exported to the United States, or by its
representative, which describes the shipment and includes the visa number assigned to the
shipment.
2. Visa Requirements :
A. The Government of the People’s Republic of China shall issue a visa for each shipment
of textiles or textile articles produced or manufactured in the People’s Republic of China and
exported to the United States, and defined in section one above, regardless of value, except as
defined in section 4.B. below.  The visa shall be presented to the U.S. Customs Service beforeentry, or withdrawal from warehouse for consum ption, into the customs territory of the United
States (the 50 states, the District of Columbia and Puerto Rico).
B. In the future, should additional categories, merged categories or part categories be added
to the bilateral agreement or become subject to import quotas, the entire category or categories
shall be automatically included in the coverage of this Visa Arrangement.    Merchandise
exported on or after the date of the Agreement shall require a visa specifying the new designation.
C. A shipment shall be visaed by the stamping of the original circular visa in blue ink on the
front of the original textile export license/commercial invoice or successor document. The license
will be printed on a coloured guilloche patterned background.  The original visa shall not be
stamped on duplicate copies of the invoice. The original of the invoice with the original visastamp will be required to enter the shipment into the United States. Duplicates of the invoice
and/or visa may not be used for this purpose.
D. Each visa stamp will include the following information:
i. The visa number:  The visa number shall be in the standard nine digit letter
format beginning with one numeric digit for th e last digit of the year of export, followedG/TMB/N/450
Page 25
by the two character alpha code specified by the International Organization for
Standardization (ISO) (the code for the People ’s Republic of China is CN), and a six digit
numerical serial number identifying the shipment; e.g., 4CN123456.
ii. The date of issuance:  The date of issuance shall be the day, month and year on
which the visa was issued.
iii. The signature of the issuing official:  The signature shall be that of the issuing
official of the Government of the People’s Republic of China.
iv. The correct category(s), merged category(s), part category(s), quantity(s), and
unit(s) of quantity in the shipment in the unit(s) of quantity provided for in the U.S.Department of Commerce Correlation and in the Harmonized Tariff Schedule of the
United States (HTS or successor documents) shall be reported in the spaces provided
within the visa stamp (e.g., "cat. 340 - 510 doz "). Quantities must be stated in whole
numbers.  Decimals or fractions will not be accepted.  Merged category quota
merchandise may be accompanied by either the appropriate merged category visa or thecorrect category visa corresponding to the actual shipment.  For example, quota category
347/348 may be visaed as 347/348 or if the shipment consists solely of category 347
merchandise, the shipment may be visaed as “cat. 347" but not as “cat. 348."
v. The date of export:  The date of export for quota years will be established in
accordance with U.S. Customs regulations.  The date of export is the actual date the
merchandise finally leaves the country of exportation.  For merchandise exported by
vessel, this is the day on which the carrier departs the last port in the country of origin.
E. If the quantity indicated on the visa is less than that of the shipment, entry shall not be
permitted.
F. If the quantity indicated on the visa is more than that of the shipment, entry shall be
permitted and only the amount entered shall be charged to any applicable quota.
G. The visa will not be accepted and entry will not be permitted if the shipment does not
have a visa, or if the visa number, date of issuance, signature, category, quantity or units ofquantity are missing, incorrect, illegible or have been crossed out or altered in any way.
H. Officials of the Government of the People’s Republic of China shall verify the proper
category of the goods upon exportation from the People’s Republic of China to the United States.
I. The categories and quantities shall be those determined by the U.S. Customs Service.
The U.S. Customs Service classifies all imports into the customs territory of the United States in
compliance with applicable U.S. laws and regulations.  Should the Governments of the United
States of America and the People’s Republic of China disagree on the classification of
merchandise, then the two Governments may addre ss the matter per the consultation provisions of
the Textile and Apparel Bilateral Agreement.
J.  (a) If the visa does not comply with the requirements set forth in the Arrangement, a
new visa must be obtained from the Government of the People’s Republic of China,
replacement visa issued by the Embassy of the People’s Republic of China inWashington, D.C., or a visa waiver may be i ssued by the U.S. Department of CommerceG/TMB/N/450
Page 26
at the request of the Embassy of the Peopl e’s Republic of China in Washington, D.C.,
and presented to the U. S. Customs Service before any portion of the shipment will be
released.  The waiver, if used, only waives the requirement to present a visa with the
shipment.  Visa waivers will only be issued for legitimate classification disputes between
the Governments of the People’s Republic of China and the United States of America orfor one-time special purpose shipments that are not part of an ongoing commercial
enterprise.
(b) Replacement visas shall consist of a textile export visa/invoice form bearing an
official Chinese Embassy embossed stamp on the front and include the standard
information required on an export visa and the signature of an official authorized by the
Government of the People’s Republic of China to issue replacement visas.  The signaturemust match one of two original signatures of authorized officials provided to the United
States Government by the Government of the People’s Republic of China.  The U.S.
Customs Service will not permit entry of the shipment if any of the information required
on the replacement visa is missing, incorrect or illegible, or has been crossed out or
altered in any way.
K. If the visaed invoice is deficient, the U.S. Customs Service will not return the original
document after entry, but will provide to the importer a certified copy of that visaed invoice or
visa waiver.  For particular cases, upon written request by the Government of the People’s
Republic of China, the U.S. Customs Service will provide the original visa for China.
L. The Government of the United States of America will provide to the Government of the
People’s Republic of China on a quarterly basis information on the amounts and categories
involved in the visa waiver process.
M. If a shipment from the People’s Republic of China has been allowed entry into the
commerce of the United States with incorrect documentation, and redelivery of the goods cannot
be made, the shipment will be charged to the correct category limit whether or not a replacement
visa or waiver is provided.
N. The Government of the United States of America will provide electronic data information
to the Government of the People’s Republic of China on the amounts and categories involved forall items subject to the quota administered by the U.S. Customs Service as described in
paragraph 3.F.
O. The Government of the United States of America will provide electronic data information
to the Government of the People’s Republic of China on the amounts and categories involved forthe items covered in sub-paragraphs 2.L and 2.M. above and 3.G. below.  The information
includes:
i. category
ii. unit of measurement
iii. quantityiv. date of entryG/TMB/N/450
Page 27
Upon request, the U.S. Customs Service will provide China with copies of the incorrect
documentation released for verification.
3. ELVIS Requirements:
A. Each ELVIS message will include the following information:
i. The visa number as defined in 2.D.i above.ii. The date of issuance as defined in 2.D.ii. above.
iii. The correct category(s), merged category(s) or part category(s).
iv. The quantity of the shipment in the correct units of quantity.v. The manufacturer ID number (MID).  The MID shall begin with ‘CN’, followed
by the first three characters from each of the first two words of the name of the
manufacturer, followed by the largest number on the address line up to the first four
digits, followed by three letters from the city name.
B. Entry of a shipment shall not be permitted:
i. If an ELVIS transmission has not been received for the shipment from China;ii. If the ELVIS transmission for that ship ment is missing any of the following:
a) visa number
b) category, part category or merged category
c) quantity
d) unit of measure
e) date of issuance
f) manufacturer ID number
iii. If the ELVIS transmission for the shipment does not match the information on
the paper visa supplied by the importer with regard to any of the following:
a) visa number
b) category, part category or merged categoryc) unit of measure
d) quantity
iv. If the quantity being entered is greater than the quantity transmitted.
v. If the visa number has previously been used or cancelled, except in the case of a
split shipment, or if an entry has already been made using the visa number.
C. A new, correct ELVIS transmission from China is required before a shipment that has
been denied entry for one of the circumstances mentioned in 3.B.i-v will be released.G/TMB/N/450
Page 28
D. Visa waivers will only be considered for the circumstance referred to in paragraph 3.B.i.,
if the shipment qualifies as a one-time special purpose shipment that is not part of an ongoing
commercial enterprise, or for legitimate classification disputes.
E. Shipments will not be released for forty-eight hours in the event of a system failure.  If
system failure exceeds forty-eight hours, for the remaining period of the system failure the U.S.
Customs Service will release shipments on the basis of the paper visaed document.
China will retransmit all visa information not transmitted during the failure once the
system becomes operational.  If there is a visa or visas that are not on file in the system or do not
match information on the file after re-transmission, the U.S. will give prompt notice of detailed
information to China for verification, a demand for redelivery should be made.
ELVIS transmission will be stopped on Saturdays, Sundays and Chinese holidays, which
should not be considered as system failures.
F. The U.S. Customs Service will confirm daily the receipt of the visa transmission by
China and provide China (the Ministry of Foreign Trade and Economic Cooperation) with daily
electronic message report on visa utilization which is accessible at any time for any
quantities.This electronic message for each specific visa will contain:
a) visa number
b) category number
c) unit of measurement
d) quantity charged to quota
e) entry number
G. If a shipment from China is allowed entry into the commerce of the United States with an
incorrect visa, no visa, an incorrect ELVIS transmission, or no ELVIS transmission, and
redelivery is requested but cannot be made, and after the Government of China does not issue a
visa or ELVIS transmission, or request a visa waiver  (if applicable), the shipment will be charged
to the correct category limit whether or not a replacement visa, visa waiver or new ELVIS
message is transmitted.  Should either party disagree on such quota charge, both parties agree to
hold technical consultation for verification on categories and quantities charged upon request ofthe party.
4. Other Requirements:
A. The complete name and address of a company actually involved in the manufacturing
process of the textile product covered by the visa shall be provided on the textile visa document.
B. Merchandise imported for the personal use of the importer and not for resale, regardless
of value; properly marked commercial sample shipments valued at U.S. $800 or less; and
mutually agreed exempt items certified as exempt by the Government of The People’s  Republicof China do not require a visa or an ELVIS transmission for entry.
C. The Government of the People’s Republic of China shall provide the Government of the
United States with two original, clear, reproducible copies of the visa stamp which shall be the
stamp designated for use throughout the entire pe riod the Visa Arrangement is in effect, and two
originals of the signatures, with the names typewritten below, of the officials authorized to signG/TMB/N/450
Page 29
visas.  The stamp and subsequent changes thereto, must be approved by the Government of the
United States.  Official signatures will be provided to the Government of the United States 30
days prior to their authorized use.
D. Either Government may terminate, in whole or in part, this administrative arrangement,
effective at the end of any Agreement Year, by written notice to the other Government to be
given at least ninety days prior to the end of such Agreement Year.
______________________ _____________________
For the Government of the For the Government of the
People’s Republic of China United States of America
Done this       1st       day of  February, 1997
Beijing,  People's Republic of China February 1, 1997
______________