Regulations Governing The Approval and Administration of Direct Cross-Strait Sea Transport Between the Taiwan Area and the Mainland Area Article 3

Vessel carriers applying for the direct cross-strait carriage of passengers and cargos between the Taiwan Area and the Mainland Area shall be enclosed a direct cross-strait carriage application form, concurrently with the business plan (BP) and other relevant documents to apply to the Ministry of Transportation & Communications Maritime and Port Bureau (hereafter cited as commercial port authority ), the Commercial Port Authority should consider the balance of supply and demand in the market, then examining and submitting to MOTC for the approval.The approval referred to in the first paragraph has the term of two (2) years. Reapplication and application for changes must be submitted thirty (30) days before expiration.The vessel carriers shall commence the operation in four (4) months after the granting of the approval. Failure to comply with the foregoing, the operating approval shall be revoked by the MOTC through the report from the Commercial Port Authority.The provisions prescribed in the foregoing three Paragraphs shall apply to the vessel carriers in Taiwan Area operating the navigation business from the third-area to Mainland Area; the forgoing also apply to the vessel carriers in the Mainland Area operating the navigation business from the third-area to Taiwan Area.