Packaging China's way

07/02/2002
Business Weekly: Bao Ouou

China's laws contain a number of detailed requirements concerning product labelling and packaging. All product packages must contain:
certificates of product quality inspection; names of the product and its producer and the address of the producer in Chinese; primary ingredients, their grades and specifications where applicable; expiration date for safe or effective use of the product; and explanatory warnings and marks in Chinese if the product is potentially dangerous.

Products that are highly toxic, fragile or require special handling instructions must contain warnings, marks and instructions. Producers and sellers may be penalized if they misrepresent the place of product origin, the name and address of the producer or quality control and product quality certification marks. In addition, such products must be appropriately packaged.

Articles that typically do not have packaging, such as certain food items, are exempted from the labelling requirements.

Supervision system

The 1993 Product Quality Control Law establishes a spot-check system whereby central or local authorities examine the quality of major industrial products, products that are of major importance to the national economy and consumers and products that have been the subject of consumer complaints. Results of these spot checks are to be made public (1993 Product Quality Control Law, Article 15). Repeated failure to conform to compulsory standards brings about administrative penalties by the State Administration for Industry and Commerce (SAIC) or the quality control and supervision departments under the State Council. Such penalties may include an order to cease production and the withdrawal of the business licence issued to the producer (1993 Product Quality Control Law, Article 17).

However, according to the China Administrative Law and the Civil Procedure Law, a party who is so penalized may, within 15 days of receipt of the penalty decision, apply for a review of the decision to the government agency at the next higher level. The superior government agency must issue a decision of review within 60 days of receipt of the application, or the penalized party may take the matter directly to the People's Court and file a suit against the government agency issuing the penalty decision. On the other hand, the decision of review may be referred to the People's Court for a judicial review within 15 days of receipt of the decision or, if the reviewing agency fails to render its decision within 60 days, the applicant may directly take the case to the People's Court within 15 days therefrom.

Responsibilities

The 1993 Product Quality Control Law imposes upon producers some general responsibilities for the quality of their products. It requires them to manufacture products that:

nconform to applicable quality standards of the State or trade;

are free of hazard to persons and property;

nhave the intended properties, except where explanations about defects have been expressly provided; and

nconform to the samples or packaging descriptions.

Consumers are given the right to register complaints about product quality with appropriate government agencies. They are also granted the right to make inquiries with producers and sellers concerning the quality problems of their products. In case of bodily injury or property damage suffered as a result of a defective or substandard product, civil and criminal penalties, as well as payment of damages, may be imposed on sellers and producers.

The more specific issues concerning the legal relationships between producers and consumers are provided in the Consumer Rights Protection Law.