國防部科技工業機構產品銷售辦法

The regulations (hereinafter "these Rules") are prescribed in accordance with the Paragraph 4 of Article 22 of the National Defense Law.

1Paragraph (1)

2The term "competent authority" as referred to in these Rules means the Ministry of National Defense.

3Paragraph (2)

4The term "authority-in-charge" as referred to in these Rules means the various authorities under direct supervision of the Ministry of National Defense.

The term "National Defense Technology Institute" as referred to in these Rules means organizations of various levels under the supervision of the Ministry of National Defense conducting the activities with respect to the research and development, manufacturing or maintenance and repair relating to the national defense technology industry.

The term "Private Entity" as referred to in these Rules means any corporation, partnership or sole proprietorship incorporated or established under the laws of the Republic of China (hereinafter "our country", "ROC" or "Taiwan", where appropriate) or any foreign country, or any other domestic and foreign legal entity, organization or government authority, that may conduct the sale of products of national defense technology.

1Paragraph (1)

2The term "products of national defense technology" as referred to in these Rules means any weapon, equipment, system, supply, technical information, books and periodicals resulting from the research and development, production and manufacture, or maintenance and repair conducted solely by the National Defense Technology Institute, or through cooperation or mutual commission with other legal entities, and other goods for military use or for common civilian and military use.

3Paragraph (2)

4The classification of the products of national defense technology and the powers and responsibilities [or procedure] for the approval on the sale of products of each category are as follows:

5Subparagraph (1)

6Class A: Special goods for military use. The sale of such products shall be submitted by competent authority to the Executive Yuan for the latter's approval.

7Subparagraph (2)

8Class B: Traditional goods for military use. The sale of such products shall be submitted to competent authority for the latter's approval.

9

1Paragraph (1)

2The term "sale" as referred to in these Rules means the non-gratuitous transferring of ownership of the products of national defense technology to any domestic or foreign third party.

3Paragraph (2)

4In the case the products are sold to a Taiwanese governmental organization, the National Defense Technology Institute may conduct the sale alone; the provisions concerning cooperative sale or commission sale in these Rules shall not apply.

1Paragraph (1)

2The term "cooperative sale" as referred to in these Rules means the sale conducted by the National Defense Technology Institute and the Private Entity on the products resulting from the cooperation between the National Defense Technology Institute and the Private Entity in research and development, production and manufacturing, or maintenance and repair.

3Paragraph (2)

4In case the Private Entity sells the products described in the preceding paragraph under its own brand name, these Rules shall not apply.

1Paragraph (1)

2The term "commission sale" as referred to in these Rules means a National Defense Technology Institute enters into contracts with a Private Entity for the latter to undertake acts of agency or the distribution of the products of national defense technology.

3Paragraph (2)

4The term "agency" or "distribution" as used in the preceding paragraph includes the drafting and execution of market survey, marketing and promotion relating to the sale of the products of national defense technology.

The competent authority may coordinate with the Ministry of Foreign Affairs and the Ministry of Economic Affairs in dealing with matters concerning the review and document verification of export countries or areas of the products of national defense technology and of special export cases, and concerning product promotion.

1The competence and responsibilities of the authority in charge are as follows:

2Subparagraph (1)

3to draw up procedures for the sale of the products of national defense technology.

4Subparagraph (2)

5to verify, coordinate and forward cases of the sale of classes A and B products of national defense technology.

6Subparagraph (3)

7to approve the sale of class B products of national defense technology if authorized by the competent authority.

8Subparagraph (4)

9to approve the sale of class C products of national defense technology.

10Subparagraph (5)

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1Paragraph (1)

2In order to effectively integrat the strength of various circles so as to promote the work prescribed by these Rules and to accelerate the effort to achieve a stronger national defense system, the Executive Yuan may establish a steering committee to undertake the following tasks:

3Subparagraph (1)

4to draw up plans to promote the cooperation between the National Defense Technology Institute and Private Entities and the commission sales of national defense technology products.

5Subparagraph (2)

6to establish an information database about the cooperation of the National Defense Technology Institute and the Private Entity or about commission sales of the national defense technology products.

7Subparagraph (3)

8to coordinate other matters related to the sale of the products of national defense technology.

9Paragraph (2)

The Private Entity undertaking the sale of national defense technology products shall comply with relevant international norms and treaties and other international agreements signed by Taiwan.

1Paragraph (1)

2Upon conducting delegation agency or distribution of the products of the national defense technology and in order to select a Private Entity with the professional sale capacity and resource, priority shall be given to the selective invitation for bids measure under the Government Procurement Law where the criteria of the selective tenders are met; provided, however, that this restriction shall not apply to a procurement which may be handled by adopting the restricted invitation for bids measure.

3Paragraph (2)

4In the case the commissioned agency or distribution as described in the preceding paragraph does not fall within the scope of procurement under the Government Procurement Law, the Government Procurement Law may apply under the same conditions.

In order to effectively sell the products of national defense technology, the National Defense Technology Institute may entrust agency or distribution exclusively to a Private Entity with respect to a certain product or area.

1These Rules shall be implemented from the date of implementation of the National Defense Law.

2Prepared by J&J Attorneys at Law

3October, 2003