7 FEBRUARY 2003. - Act enacting the Agreement between the Government of the Kingdom of Belgium and the Government of the Hong Kong Special Administrative Region of the People's Republic of China on Air Transport, and the Annex, signed in Brussels on 6 April 1998 (1) (2)

ALBERT II, King of the Belgians,
To all, present and to come, Hi.
The Chambers adopted and We sanction the following:
Article 1^er. This Act regulates a matter referred to in Article 77 of the Constitution.
Art. 2. The Agreement between the Government of the Kingdom of Belgium and the Government of the Hong Kong Special Administrative Region of the People's Republic of China on Air Transport, and the Annex, signed in Brussels on 6 April 1998, will come out their full and full effect.
Promulgation of this law, let us order that it be clothed with the seal of the State and published by the Belgian Monitor.
Given in Brussels on 7 February 2003.
ALBERT
By the King:
Minister of Foreign Affairs,
L. MICHEL
Minister of Mobility and Transport,
Ms. I. DURANT
Seal of the state seal:
Minister of Justice,
Mr. VERWILGHEN
____
Notes
(1) Session 2001-2002.
Senate.
Documents.
Bill tabled on 31 May 2002, No. 2-1179/1.
Report, no. 2-1179/2.
Text adopted by the Commission, no.
Annales parliamentarians.
Discussion, meeting of 10 October 2002.
Voting, meeting of 10 October 2002.
Room
Documents
Project transmitted by the Senate, No. 50-2063/1.
Report, number.
Text adopted in plenary and subject to Royal Assent, No. 50-2063/2.
Annales parlementaire
Discussion, meeting of 14 November 2002.
Voting, meeting of 14 November 2002.
(2) This Treaty entered into force on 1^er July 2003.

AGREEMENT BETWEEN THE GOVERNMENT OF THE KINGDOM OF BELGIUM AND THE GOVERNMENT OF HONG KONG SPECIAL ADMINISTRATIVE REGION OF THE PEOPLE'S REPUBLIC OF CHINA CONCERNING AIR SERVICES
The Government of the Kingdom of Belgium
and
The Government of the Hong Kong Special Administrative Region of the People's Republic of China ("the Hong Kong Special Administrative Region")
(hereinafter referrerd to as the "Contracting Parties"),
Desiring to conclude an Agreement for the purpose of providing the framework for air services between Belgium and the Hong Kong Special Administrative Region,
Have agreed as follows:
ARTICLE 1
Definitions
For the purpose of this Agreement, unless the context otherwise requires:
(a) the term "aeronautical authorities" means in the case of the Hong Kong Special Administrative Region, the Director of Civil Aviation, and in the case of Belgium, the Ministry of Transport, or, in both cases, any person or body authorised to perform any functions at present exercisable by the above-mentioned authorities or similar functions;
(b) the term "designated airline" means an airline which has been designated and authorised in accordance with Article 4 of this Agreement;
(c) the term "area" in relation to the Hong Kong Special Administrative Region includes the Hong Kong Special Administrative Region Island, Kowloon and the New Territories and in relation to Belgium has the meaning assigned to "territory" in Article 2 of the Convention on International Civil Aviation, opened for signature at Chicago on 7 December 1944;
(d) the terms "air service", "international air service", "airline" and "stop for non-traffic purposes" have the meanings respectively assigned to them in Article 96 of the said Convention:
(e) the term "this Agreement" includes the Annex hereto and any amendments to it or to this Agreement.
ARTICLE 2
Provisions of the Chicaeo Convention Applicable to International Air Services
In implementing this Agreement, the Contracting Parties shall act in conformity with the provisions of the Convention on International Civil Aviation, opened for signature at Chicago on 7 December 1944, including the Annexes and any amendments to the Convention or to its Annexes which apply to both Contracting Parties, insofar as these provisions are applicable to international air services.
ARTICLE 3
Grant of Rights
(1) Each Contracting Party grants to the other Contracting Party the following rights in respect of its international air services:
(a) the right to fly across its area without landing;
(b) the right to make stops in its area for non-traffic purposes.
(2) Each Contracting Party grants to the other Contracting Party the rights hereinafter specified in this Agreement for the purpose of operating international air services on the roads specified in the appropriate Section of the Annex to this Agreement. Such services and roads are hereinafter called "the agreed services" and "the specified roads" respectively. While operating an agreed service on a specified route the designated airlines of each Contracting Party shall enjoy in addition to the rights specified in paragraph (1) of this Article the right to make stops in the area of the other Contracting Party at points determined for that route in accordance with the Annex to this Agreement for the purpose of taking on board and discharging passengers and cargo. including mail, separately or in combination.
(3) Nothing in paragraph (2) of this Article shall be deemed to confer on the designated airlines of one Contracting Party the right to take on board, at one point in the area of the other Contracting Party, passengers and cargo, including mail, carried for hire or reward and destined for another point in the area of the other Contracting Party.
(4) If because of armed conflict, political disturbances or developments, or special and unusual circumstances, a designated airline of one Contracting Party is unable to operate a service on its normal routeing, the other Contracting Party shall use its best efforts to facilitate the continued operation of such service through appropriate temporary rearrangements of roads.
ARTICLE 4
Designation of and Authorisation of Airlines
(1) Each Contracting Party shall have the right to designate in writing to the other Contracting Party one or more airlines for the purpose of operating the agreed services on the specified routes and to withdraw or alternate such designations.
(2) On receipt of such a designation the other Contracting Party shall, subject to the provisions of paragraphs (3) and (4) of this Article, without delay grant to the airline or airlines designated the appropriate operating authorisations.
(3) (a) The Government of the Hong Kong Special Administrative Region shall have the right to refuse to grant the operating authorisations referred to in paragraph (2) of this Article, or to impose such conditions as it may deem necessary on the exercise by a designated airline of the rights specified in Article 3(2) of this Agreement, in any case where it is not satisfied that substantial ownership and effective control of that airline are jacketd in the Government of Belgium or its nationals.
(b) The Government of Belgium shall have the right to refuse to grant the operating authorisations referred to in paragraph (2) of this Article, or to impose such conditions as it may deem necessary on the exercise by a designated airline of the rights specified in Article 3(2) of this Agreement, in any case where it is not satisfied that that airline is incorporated and has its main place of business in the Hong Kong Special Administrative Region.
(4) The aeronautical authorities of one Contracting Party may require an airline designated by the other Contracting Party to satisfy them that it is qualified to fulfil the conditions prescribed under the laws and regulations normally and reasonably applied to the operation of international air services by such authorities.
(5) When an airline has been so designated and authorised it may begin to operate the agreed services, provided that the airline complies with the applicable provisions of this Agreement.
ARTICLE 5
Revocation or Suspension of Operatine Authorization
(1) Each Contracting Party shall have the right to revoke or suspend an operating authorisation for the exercise of the rights specified in Article 3(2) of this Agreement by an airline designated by the other Contracting Party, or to impose such conditions as it may deem necessary on the exercise of those rights :
(a) (i) in the case of the Government of the Hong Kong Special Administrative Region, in any case where it is not satisfied that substantial ownership and effective control of that airline are jacketd in the Government of Belgium or its nationals;
(ii) in the case of the Government of Belgium, in any case where it is not satisfied that that airline is incorporated and has its main place of business in the Hong Kong Special Administrative Region;
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(b) in the case of failure by that airline to comply with the laws or regulations of the Contracting Party granting those rights;
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(c) if that airline otherwise fails to operate in accordance with the conditions prescribed under this Agreement.
(2) Unless immediate revocation or suspension of the operating authorisation mentioned in paragraph (1) of this Article or imposition of the conditions therein is essential to prevent further infringements of laws or regulations, such right shall be exercised ordy after consultation with the other Contracting Party.
ARTICLE 6
Principles Governing Operation of Aereed Services
(1) There shall be fair and equal opportunity for the designated airlines of the Contracting Parties to operate the agreed services on the specified routes.
(2) In operating the agreed services the designated airlines of each Contracting Party shall take into account the interests of the designated airlines of the other Contracting Party so as not to affect unduly the services which the latter provide on the whole or part of the same roads.
(3) The agreed services provided by the designated airlines of the Contracting Parties shall bear a close relationship to the requirements of the public for transportation on the specified roads and shall have as their primary objective the provision at a reasonable load factor of capacity adequate to meet the current and reasonably anticipated requirements for the carriage of passengers and cargo, including mail, originating in or destined for the area of the Contracting Party which has designated the airline. Provision for the carriage of passengers and cargo, including mail, both taken on board and discharged at points on the specified routes other than points in the area of the Contracting Party which designated the airline shall be made in accordance with the general principles that capacity shall be related to:
(a) traffic requirements to and from the area of the Contracting Party which has designated the airline;
(b) traffic requirements of the region through which the agreed service passes, taking account of other air services established by airlines of the States comprising that region;
and
(c) the requirements of through airline operation.
(4) The capacity to be provided on the specified roads shall be such as is from time to time jointly determined by the Contracting Parties.
ARTICLE 7
Tariffs
(1) The term "tariff" means one or more of the following:
(a) the fare charged by an airline for the carriage of passengers and their baggage on scheduled air services and the charges and conditions for services ancillary to such carriage;
(b) the rate charged by an airline for the carriage of cargo (excluding mail) on scheduled air services;
(c) the conditions governing the availability or applicability of any such fare or rate including any benefits attaching to it; and
(d) the rate of commission paid by an airline to an agent in respect of tickets sold or air waybills completed by that agent for carriage on scheduled air services.
(2) The tariffs to be charged by the designated airlines of the Contracting Parties for carriage between the Hong Kong Special Administrative Region and Belgium shall be those approved by the aeronautical authorities of both Contracting Parties and shall be established at reasonable levels, due regard being had to all relevant factors, including the cost of operating the agreed services, the interests of users, reasonable profit and the tariffs of other airlines operating over the whole or part of the same route.
(3) The tariffs referred to in paragraph (2) of this Article may be agreed by the designated airlines of the Contracting Parties seeking approval of the tariffs, which may consult other airlines operating over the whole or part of the same route, before proposing such tariffs. However, a designated airline shall not be precluded from proposing, nor the aeronautical authorities of the Contracting Parties from approving, any tariff, if that airline shall have failed to obtain the agreement of the other designated airlines to such tariff, or because no other designated airline is operating on the same route. References in this and the preceding paragraph to "the same route" are to the road operated, not the specified route.
(4) Any proposed tariff for carriage between the Hong Kong Special Administrative Region and Belgium shall be filed with the aeronautical authorities of the Contracting Parties by the designated airline or airlines seeking its approval in such form as the aeronautical authorities may separately require to disclose the particulars referred to in paragraph (1) of this Article. It shall be filed not less than 60 days (or such shorter period as the aeronautical authorities of the Contracting Parties may agree) before the proposed effective date. The proposed tariff shall be treated as having been filed with the aeronautical authorities of a Contracting Party on the date on which it is received by those aeronautical authorities.
(5) Any proposed tariff may be approved by the aeronautical authorities of a Contracting Party at any time and, provided it has been filed in accordance with paragraph (4) of this Article, shall be deemed to have been approved by the aeronautical authorities of that Contracting Party unless, within 30 days (or such shorter period as the aeronautical authorities of the Contracting Parties may agree) after proposed the date of filing, the aeronautical authorities of one Contracting Party have written on a
(6) If a notice of disapproval is given in accordance with the provisions of paragraph (5) of this Article, the aeronautical authorities of the Contracting Parties may jointly determine the tariff. For this purpose, one Contracting Party may, within 30 days of the service of the notice of disapproval, request consultations between the aeronautical authorities of the Contracting Parties which shall be held within 30 days from the date the other Contracting Party receives such request in writing.
(7) If a tariff has been disapproved by the aeronautical authorities of a Contracting Party in accordance with paragraph (5) of this Article, and if the aeronautical authorities of the Contracting Parties have been unable jointly to determine the tariff in accordance with paragraph (6) of this Article, the dispute may be settled in accordance with the provisions of Article 16 of this Agreement.
(8) Subject to paragraph (9) of this Article, a tariff established in accordance with the provisions of this Article shall remain valid until a replacement tariff has been established.
(9) Except with the agreement of the aeronautical authorities of both Contracting Parties, and for such period as they may agree, the validity of a tariff shall not be prolonged by virtue of paragraph (8) of this Article:
(a) where a tariff has a terminal date, for more than 12 months after that date;
(b) where a tariff has no terminal date, for more than 12 months after the date on which a replacement tariff is filed with the aeronautical authorities of the Contracting Parties by a designated airline of a Contracting Party.
(10) (a) The tariffs to be charged by the designated airlines of the Hong Kong Special Administrative Region for carriage between Belgium and another State shall be subject to approval by the aeronautical authorities of Belgium and, where appropriate, of the other State. The tariffs to be charged by the designated airlines of Belgium for carriage between the Hong Kong Special Administrative Region and a State other than Belgium shall be subject to approval by the aeronautical authorities of the Hong Kong Special Administrative Region and, where appropriate, of the other State.
(b) Any proposed tariff for such carriage shall be filed by the designated airline of one Contracting Party seeking approval of such tariff with the aeronautical authorities of the other Contracting Party. It shall be filed in such form as those aeronautical authorities may require to disclose the particulars referred to in paragraph (1) of this Article and not less than 90 days (or such shorter period as they may decide) prior to the proposed effective date. The proposed tariff shall be treated as having been filed on the date on which it is received by those aeronautical authorities.
(c) Such tariff may be approved at any time by the aeronautical authorities of the Contracting Party with whom it has been filed, and shall be deemed to have been approved by them unless, within 30 days after the date of filing, they have served on the designated airline seeking approval of such tariff written notice of disapproval.
(d) The aeronautical authorities of a Contracting Party may withdraw approval of any such tariff approved or deemed to be approved by them on giving 90 days' notice to the designated airline charging such tariff. That airline shall cease to charge such tariff at the end of that period.
(11) Notwithstanding the provisions of paragraph (5) and (lO)(c) of this Article, the aeronautical authorities of a Contracting Party shall not disapprove any proposed tariff filed with them by a designated airline which corresponds (e.g. in price level, conditions and date of expiry but not necessarily the routeing being used) to the tariff charged by an airline of that Contracting Party for comparable services between the same points or is restrictive more or higher than that
ARTICLE 8
Customs Duties
(1) Aircraft operated in international air services by the designated airlines of one Contracting Party, their regular equipment, fuel, lubricants, consumable technical supplies, spare parts including engines, and aircraft stores (including but not limited to such items as food, beverages and tobacco) which are on board such aircraft shall be exempted by the other Contracting Party on the basis of reciprocity from all customs board duties, excise taxes and similar fees and charges not based on the cost of services
(2) Regular equipment performed, fuel, lubricants, consumable technical supplies, spare parts including engines, aircraft stores (including but not limited to such items as food, beverages and tobacco), printed ticket stock air waybills, any printed material which bears insignia of a designated airline of one Contracting Party and usual publicity distributed without charge by that designated airline, introduced into the area of the other Contracting Party operated by or on behalf of that designated airline
(3) The regular equipment and the other items referred to in paragraphs (1) and (2) of this Article may be required to be kept under the supervision or control of the customs authorities of the other Contracting Party.
(4) The regular equipment and the other items referred to in paragraph (1) of this Article may be unloaded in the area of the other Contracting Party with the approval of the customs authorities of that other Contracting Party. In these circumstances, such regular equipment and such items shall enjoy, on the basis of reciprocity, the exemptions provided for by paragraph (1) of this Article until they are re-exported or otherwise disposed of in accordance with customs regulations. The customs authorities of that other Contracting Party may however require that such regular equipment and such items be placed under their supervision up to such time.
(5) The exemptions provided for by this Article shall also be available in situations where a designated airline of one Contracting Party has entered into arrangements with another airline or airlines for the loan or transfer in the area of the other Contracting Party of the regular equipment and the other items referred to in paragraphs (1) and (2) of this Article, provided that that other airline or airlines similarly enjoy such exemptions from that other Contracting Party.
(6) Baggage and cargo in direct transit across the area of a Contracting Party shall be exempt from customs duties, excise taxes and similar fees and charges not based on the cost of services provided on arrival.
ARTICLE 9
Avoidance of Double Taxation
(1) Income or profits derived from the operation of aircraft in international traffic by an airline of one Contracting Party, including participation in a pool service, a joint air transport operation or an international operating agency, which are subject to tax in the area of that Contracting Party shall be exempt from income tax, profits tax and all other taxes on income or profits imposed in the area of the other Contracting Party.
(2) Capital and assets of an airline of one Contracting Party relating to the operation of aircraft in international traffic shall be exempt from taxes of every kind and description on capital and assets imposed in the area of the other Contracting Party.
(3) Gains from the alienation of aircraft operated in international traffic and movable property pertaining to the operation of such aircraft which are received by an airline of one Contracting Party shall be exempt from any tax on gains imposed in the area of the other Contracting Party.
(4) For the purposes of this Article :
(a) the term "income or profits" includes revenues and gross receipts from the operation of aircraft for the carriage of persons, livestock goods, mail or merchandise in international traffic including:
(i) the charter or rental of aircraft;
(ii) the sale of tickets or similar documents, and the provision of services connected with such carriage, either for the airline itself or for any other airline; and
(iii) interest on funds directly connected with the operation of aircraft in international traffic;
(b) the term "international traffic" means any carriage by an aircraft except when such carriage is solely between places in the area of the other Contracting Party;
(c) the term "airline of one Contracting Party" means, in the case of the Hong Kong Special Administrative Region, an airline incorporated and having its main place of business in the Hong Kong Special Administrative Region and, in the case of Belgium, an airline substantially owned and effectively controlled by the Government of Belgium or its nationals;
(d) the term "competent authority" means, in the case of the Hong Kong Special Administrative Region, the Commissioner of Inland Revenue or his authorised representative, or any person or body authorised to perform any functions at present exercisable by the Commissioner or similar functions, and, in the case of Belgium, the Ministry of Finance or their authorised representative;
(5) The competent authorities of the Contracting Parties shall, through consultation, endeavour to resolve by mutual agreement any disputes regarding the interpretation or application of this Article. Article 16 (Settlement of Disputes) shall not apply to any such dispute.
(6) Notwithstanding Article 20 (Entry into Force) each Contracting Party notify shall to the other the completion of the procedures required by its law for the bringing into force of this Article and the Article shall thereupon have effect:
(a) in the Hong Kong Special Administrative Region, for any year of assessment beginning on or after 1st April 1998;
(b) in Belgium, for any year of assessment beginning on or after 1^st April 1998;
(7) Notwithstanding Article 18 (Termination) where notice of termination of this Agreement is given under that Article, this Article shall cease to have effect :
(a) in the Hong Kong Special Administrative Region, for any year of assessment beginning on or after 1st April in the calendar year next following that in which notice is given;
(b) in Belgium, for any year of assessment beginning on or after 1^st April in the calendar year next following that in which notice is given;
(8) This Article shall cease to have effect in the event that an agreement for the avoidance of double taxation with respect to taxes on income, providing for similar exemptions to those in this Artide, enters into force between the Contracting Parties.
ARTICLE 10
Aviation Security
(1) Each Contracting Party reaffirms that its obligation to the other Contracting Party to protect the security of civil aviation against unlawfu1 interference forms an integral part of this Agreement. Each Contracting Party shall in particular act in conformity with the aviation security provisions of the Convention on Offences and Certain Other Acts Committed on Board Aircraft, signed at Tokyo on 14 September 1963, the Convention for the Suppression of Unlawful Seizure of Aircraft, signed at The Hague on 16 December 1970 and the Convention for the Suppression of Unlawful Acts against the Safety of Civil Aviation, signed at Montreal on 23 September 1971.
(2) Each Contracting Party shall be provided at its request with all necessary assistance by the other Contracting Party to prevent acts of unlawful seizure of civil aircraft and other unlawful acts against the safety of such aircraft, their passengers and crew, airports and air navigation facilities, and any other threat to the security of civil aviation.
(3) The Contracting Parties shall, in their mutual relations, act in conformity with the applicable aviation security provisions established by the International Civil Aviation Organization and designated as Annexes to the Convention on International Civil Aviation, opened for signature at Chicago on 7 December 1944. Each Contracting Party shall require that operators of aircraft of its registry or operators of aircraft having their principal place of business or permanent residence in its area, and the operators of airports in its area, act in conformity with such aviation security provisions.
(4) Each Contracting Party agrees that such operators of aircraft may be required to observe the aviation security provisions referred to in paragraph (3) of this Article required by the other Contracting Party for entry into, departure from, or while within the area of that other Contracting Party. Each Contracting Party shall ensure that adequate measures are effectively applied within its area to protect the aircraft and to inspect passengers, crew, carry-on items, baggage, cargo and aircraft stores prior to and during boarding or loading. Each Contracting Party shall also give sympathetic consideration to any request from the other Contracting Party for reasonable special security measures to meet a particular threat.
(5) When an incident or threat of an incident of unlawful seizure of civil aircraft or other unlawfiu1 acts against the safety of such aircraft, their passengers and crew, airports or air navigation facilities occurs, each Contracting Party shall assist the other Contracting Party by facilitating communications and other appropriate measures intended to terminate rapidly and safely such incident or threat thereof.
ARTICLE 11
Provision of Statistics
The aeronautical authorities of each Contracting Party shall, on request, provide such periodic or other statements of statistics as may be reasonably required for the purpose of reviewing the capacity provided on the agreed services by the designated airlines of that Contracting Party to the aeronautical authorities of the other Contracting Party. Such statements shall include all information required to determine the amount of traffic carried by those airlines on the agreed services and the origins and destinations of such traffic.
ARTICLE 12
Conversion and Remittance of Revenue
(1) The designated airlines of the Hong Kong Special Administrative Region shall have the right to convert and remit to the Hong Kong Special Administrative Region from Belgium on demand local revenues in excess of sums locally disbursed. The designated airlines of Belgium shall have the right to convert and remit to Belgium from the Hong Kong Special Administrative Region on demand local revenues in excess of sums locally disbursed.
(2) The conversion and remittance of such revenues shall be permitted without restriction at the rate of exchange applicable to current transactions which is in effect at the time such revenues are presented for conversion and remittance, and shall not be subject to any charges except those normally made by banks for carrying out such conversion and remittance.
ARTICLE 13
Airline Representation and Sales
(1) The designated airlines of each Contracting Party shall have the right, in accordance with the laws and regulations of the other Contracting Party relating to entry, residence and employment, to bring into and maintain in the area of that other Contracting Party those of their own managerial, technical, operational and other specialist staff who are required for the provision of air transportation.
(2) The designated airlines of each Contracting Party shall have the right to engage in the sale of air transportation in the area of the other Contracting Party, either directly or through agents. The designated airlines of each Contracting Party shall have the right to sell, and any person shall be free to purchase, such transportation in local currency or in any freely convertible other currency.
ARTICLE 14
User Charges
(1) The term "user charge" means a charge made to airlines by the competent authorities or permitted by them to be made for the provision of airport property or facilities or of air navigation facilities, including related services and facilities, for aircraft, their crews, passengers and cargo.
(2) A Contracting Party shall not impose or permit to be imposed on the designated airlines of the other Contracting Party user charges higher than those imposed on its own airlines operating similar international air services.
(3) Each Contracting Party shall encourage consultation on user charges between its competent charging authorities and airlines using the services and facilities provided by those charging authorities, where practicable through those airlines' representative organisations. Reasonable notice of any proposals for changes in user charges should be given to such users to enable them to express their views before changes are made. Each Contracting Party shall further encourage its competent charging authorities and such users to exchange appropriate information concerning user charges.
ARTICLE 15
Consultation
One Contracting Party may at any time request consultations on the implementation, interpretation, application or amendment of this Agreement. Such consultations, which may be between the aeronautical authorities of the Contracting Parties, shall begin within 60 days from the date the other Contracting Party receives such request in writing, unless otherwise agreed by the Contracting Parties.
ARTICLE 16
Settlement of Disputes
(1) If any dispute arises between the Contracting Parties relating to the interpretation or application of this Agreement, the Contracting Parties shall in the first Place try to settle it by negotiation.
(2) If the Contracting Parties fail to reach a settlement of the dispute by negotiation, it may be referred by them to such person or body as they may agree on or, at the request of a Contracting Party, shall be submitted for decision to a tribunal of three arbitrators which shall be constituted in the following manner:
(a) within 30 days after receipt of a request for arbitration, each Contracting Party shall appoint one arbitrator. A national of a State which can be regarded as neutral in relation to the dispute, who shall act as President of the tribunal, shall be appointed as the third arbitrator by agreement between the two arbitrators, within 60 days of the appointment of the second;
(b) if within the time limits specified above any appointment has not been made, a Contracting Party may request the President of the Council of the International Civil Aviation Organization to make the necessary appointment within 30 days. If the President considers that he is a national of a State which cannot be regarded as neutral in relation to the dispute, the most senior Vice-President who is not disqualified on that ground shall make the appointment.
(3) Except as hereinafter provided in this Article or as otherwise agreed by the Contracting Parties, the tribunal shall determine the limits of its jurisdiction and establish its own procedure. At the direction of the tribunal, or at the request of a Contracting Party, a conference to determine the precise issues to be arbitrated and the specific procedures to be followed shall be held not later than 30 days after the tribunal is fully constituted.
(4) Except as otherwise agreed by the Contracting Parties or prescribed by the tribunal, each Contracting Party shall submit a memorandum within 45 days after the tribunal is fully constituted. Replies shall be due 60 days later. The tribunal shall hold a hearing at the request of a Contracting Party, or at its discretion, within 30 days after replies are due.
(5) The tribunal shall attempt to give a written decision within 30 days after completion of the hearing or, if no hearing is held, after the date both replies are submitted. The decision shall be taken by a majority vote.
(6) A Contracting Party may submit a request for clarification of the decision within 15 days after it is received and such clarification shall be issued within 15 days of such request.
(7) The decision of the tribunal shall be binding on the Contracting Parties.
(8) Each Contracting Party shall bear the costs of the arbitrator appointed by it. The other costs of the tribunal shall be shared equally by the Contracting Parties includin,, any expenses incurred by the President or Vice-President of the Council of the International Civil Aviation Organization in implementing the procedures in paragraph (2)(b) of this Article.
ARTICLE 17
Amendment
Any amendments to this Agreement agreed by the Contracting Parties shall enter into force when confirmed in writing by the Contracting Parties.
ARTICLE 18
Termination
One Contracting Party may at any time give notice in writing to the other Contracting Party of its decision to terminate this Agreement and the other Contracting Party shall acknowledge the receipt of such notice. This Agreement shall terminate at midnight (at the place of receipt of the notice) immediately before the first anniversary of the date of receipt of such notice by that other Contracting Party, unless such notice is withdrawn by agreement before the end of this period.
ARTICLE 19
Registration with the International Civil Aviation Organization
This Agreement and any amendment thereto shall be registered with the International Civil Aviation Organization.
ARTICLE 20
Entry into Force
The Contracting Parties shall give notice in writing to each other that any necessary procedures have been completed. The Agreement shall come into force on the first day of the month from the date of the last notification.
In witness whereof, the undersigned, being duly authorised by their respective Governments, have signed this Agreement.
Done, in duplicate at Brussels this 6^th day of April 1998.

Annex
ROUTE SCHEDULE
Section 1
Routes to be operated by the designated airline or airlines of the Hong Kong Special Administrative Region :
Hong Kong Special Administrative Region - intermediate points - points in Belgium - points beyond.
Notes:
1. The points to be served on the roads specified above are to be jointly determined by the Contracting Parties.
2. The designated airline or airlines of the Hong Kong Special Administrative Region may on any or all flights omit calling at any points on the roads specified above, and may serve intermediate points in any order, and points in Belgium in any order, and points beyond in any order, provided that the agreed services on these routes begin at the Hong Kong Special Administrative Region.
3. No traffic may be taken on board at an intermediate point or at a point beyond and discharged at points in Belgium or vice versa, except as may from time to time be jointly determined by the Contracting Parties.
4. No point in the mainland of China may be served as an intermediate point or a point beyond.
Section 2
Routes to be operated by the designated airline or airlines of
Belgium:
Points in Belgium - intermediate points - Hong Kong Special Administrative Region - points beyond.
Notes:
1. The points to be served on the roads specified above are to be jointly determined by the Contracting Parties.
2. The designated airline or airlines of Belgium may on any or all flights omit calling at any points on the roads specified above, and may serve points in Belgium in any order, and intermediate points in any order, and points beyond in any order, provided that the agreed services on these roads begin at points in Belgium.
3. No traffic may be taken on board at an intermediate point or at a point beyond and discharged at the Hong Kong Special Administrative Region or vice versa, except as may from time to time be jointly determined by the Contracting Parties.
4. No point in the mainland of China may be served as an intermediate point or a point beyond.

AGREEMENT BETWEEN THE GOVERNMENT OF HONG KONG AND THE GOVERNMENT OF BELGIOUS
The Government of Hong Kong and the Government of Belgium (hereinafter referred to as "Contracting Parties"),
Desiring to conclude an Agreement with a view to providing a framework for air services between Hong Kong and Belgium,
The following agreed:
ARTICLE 1^er
Definitions
For the purposes of this Agreement, unless the context otherwise provides:
(a) the term "Aeronautical authorities" means in the case of Hong Kong, the Director of Civil Aviation, and in the case of Belgium, the Ministry of Communications and Infrastructure or, in both cases, any person or body authorized to perform any functions performed by the aforementioned authorities or similar functions;
(b) the term "designated air carrier" means an air carrier that has been designated and authorized in accordance with Article 4 of this Agreement;
(e) the term "zone" concerning Hong Kong includes Hong Kong Island, Kowloon and the New Territories and for Belgium, it has the meaning of "territory" attributed to it in Article 2 of the Convention on International Civil Aviation open for signature at chicago on 7 December 1944;
(d) the terms "Air Service", "International Air Service", "Air Transport Company" and "Non-commercial port of call" have the meaning assigned to them respectively in Article 96 of this Convention;
(e) the term "this Agreement" includes its Annex and any modifications that may be made to them.
ARTICLE 2
Provisions of the Chicago Convention applicable
International Air Services
For the implementation of this Agreement, Contracting Parties shall act in accordance with the provisions of the Convention on International Civil Aviation for signature in Chicago on 7 December 1944, including the Annexes and any amendments to the Convention or its Annexes to the two Contracting Parties, provided that these provisions are applicable to international air services.
ARTICLE 3
Granting of rights
(1) Each Contracting Party shall grant the other Contracting Party the following rights for its international air services:
(a) overfly its area without landing;
(b) make non-commercial stopovers in its area.
(2) Each Contracting Party shall grant to the other Contracting Party the rights specified below in this Agreement for the operation of international air services on the routes specified in the relevant Section of the Annex to this Agreement. These services and roads are referred to as "Agreed services" and "specified routes". For the operation of a service agreed upon on a specified road, the designated air carriers of each Contracting Party shall, in addition to the rights granted in subsection (1) of this Article, be entitled to make ports of call in the area of the other Contracting Party and the points determined for that road in accordance with the Appendix to this Agreement in order to board and disembark passengers and goods, including a separate way of mail
(3) Nothing in paragraph 2 of this Article may be preceded as conferring on the designated air carriers of one of the Contracting Parties the right to embark, at one point in the area of the other Contracting Party, passengers and goods, including mail, carried under a lease agreement or for remuneration, to another point in the area of the other Contracting Party.
(4) If, as a result of an armed conflict, political unrest or evolution, or special and exceptional circumstances, a designated air carrier of one of the Contracting Parties is unable to operate a service on its normal road, the other Contracting Party shall endeavour to facilitate the continued operation of such a service by means of temporary road rearrangements.
ARTICLE 4
Designation and Authorization of Air Transport Enterprises
(1) Each Contracting Party has the right to designate in writing to the other Contracting Party one or more air carriers for the operation of the services agreed on the specified routes and to withdraw or amend these designations.
(2) Upon receipt of such notice of designation, the other Contracting Party shall, without delay, grant such authorizations as may be required for the operation of the designated undertaking or air carriers under subsection (3) and (4) of this section.
(3) (a) The Government of Hong Kong shall have the right to refuse to grant the operating authorizations referred to in subsection (2) of this section or to impose the conditions that it considers necessary for the exercise by a designated air carrier of the rights specified in section 3 (2) of this Agreement in the event that the evidence has not been made that a substantial part of the property and the effective control of that air carrier are in the hands of the Government of Belgium.
(b) The Government of Belgium shall be entitled to refuse to grant the operating authorizations referred to in subsection (2) of this section or to impose the conditions that it considers necessary for the exercise by a designated air carrier of the rights specified in section 3 (2) of this Agreement in the event that the evidence has not been made that this air carrier is constituted and has its principal business seat in Hong Kong.
(4) The aeronautical authorities of a Contracting Party may require that an air carrier designated by the other Contracting Party prove to them that it is in a position to meet the conditions prescribed under the laws and regulations normally and reasonably applied by those authorities for the operation of international air services.
(5) As soon as an air carrier has been designated and authorized in this manner, it may commence the operation of the agreed services provided that the air carrier complies with the applicable provisions of this Agreement.
ARTICLE 5
Revocation or Suspension of Exploitation Authorization
(1) Each Contracting Party shall have the right to revoke or suspend an operating authorization for the exercise of the rights specified in Article 3 (2) of this Agreement by an air carrier designated by the other Contracting Party or to impose the conditions that it considers necessary for the exercise of these rights:
(a) (i) if, for the Government of Hong Kong, evidence has not been provided that a substantial portion of the ownership and effective control of the air transport undertaking are in the hands of the Government of Belgium or its nationals;
(ii) if, for the Government of Belgium, evidence has not been made that this air carrier is constituted and has its principal business seat in Hong Kong; or
(b) if the air carrier does not comply with the laws and regulations of the Contracting Party which grant such rights; or
(c) if the air carrier breaches the conditions set out in this Agreement in the operation.
(2) Unless the immediate revocation or suspension of the operating authorization referred to in subsection (1) of this section or the imposition of the related conditions is essential to prevent offences under the laws and regulations, that right shall be exercised only after consultation with the other Contracting Party.
ARTICLE 6
Principles Governing the Exploitation of Agreed Services
(1) For the operation of agreed services on specified routes, equity and equality will be applied to designated air carriers of Contracting Parties.
(2) In the operation of the agreed services, the designated air carriers of each Contracting Party shall take into account the interests of the designated air carriers of the other Contracting Party so as not to unduly affect the services they provide on all or part of the same routes.
(3) The agreed services provided by the air carriers designated by the Contracting Parties shall have a reasonable relationship with the public's transportation requirements on the specified routes and shall have the primary objective of ensuring, according to a reasonable coefficient of pay, sufficient capacity to meet the normal and normally foreseeable transport needs of passengers and goods including mail from or to the area of the Contracting Party that has designated the transportation undertaking. Carriage of passengers and goods including on-board mail and disembarked at specified road points other than points in the area of the Contracting Party that has designated the air carrier will be ensured in accordance with the general principles that the capacity must be adapted:
(a) the requirements of traffic to and from the area of the Contracting Party that has designated the air carrier;
(b) the requirements of the traffic in the region through the service agreed upon taking into account the other air services provided by the air carriers of the States of the region; and
(c) the requirements of the operation of passenger air services.
(4) The capacity to be provided on the specified routes will meet that which is from time to time jointly determined by the Contracting Parties.
ARTICLE 7
Rates
(1) The term "Tariff" may have the following meaning(s):
(a) the price applied by an air carrier or transportation of passengers and their baggage or scheduled air services and the costs and conditions adjacent to that transport;
(b) the price applied by an air carrier for the carriage of goods (excluding mail) on regular air services;
(c) the conditions governing the validity and applicability of such prices or rates, including the benefits associated with them; and
(d) the rate of commission paid by an air carrier to an intermediary on the tickets sold or on the air transport letters established by that intermediary for the carriage on regular air services.
(2) The tariffs applied by the designated air carriers of the Contracting Parties for transport between Hong Kong and Belgium will be those approved by the aeronautical authorities of the two Contracting Parties and will be fixed at reasonable rates with due regard to all relevant elements of appreciation including the operating costs of the agreed services, the interest of the users, a reasonable benefit and the rates applied by other air carriers on the whole or a part.
(3) The rates referred to in subsection (2) of this section may be approved by the designated air carriers of the Contracting Parties for approval of these tariffs for which they consult other air carriers serving all or part of the same road before submitting these tariffs. However, if a designated air carrier has not been able to obtain the concurrence of other air carriers designated on this tariff or there is no other designated air carrier serving the same route, this does not prevent the air carrier from proposing a tariff or the aeronautical authorities of the Contracting Parties approving it. When we talk about the "same road" in this paragraph and in the previous paragraph, we mean the road being exploited and not the agreed road.
(4) Any tariff for transport between Hong Kong and Belgium shall be subject to the aeronautical authorities of the Contracting Parties by the designated air carrier(s) for approval, in such a way that the aeronautical authorities may require a separate ventilation reflecting the particularities referred to in subsection (1) of this Article. It will be submitted no later than 60 days before the date of the proposed implementation (a shorter period may be accepted by the aeronautical authorities of the Contracting Parties). The date of submission of this tariff to the aeronautical authorities of the Contracting Parties will be the date of receipt of this tariff by the aeronautical authorities.
(5) Any tariff may be approved by the aeronautical authorities of a Contracting Party at any time and it shall, provided that it has introduced in accordance with paragraph (4) of this Article, considered to be approved by the aeronautical authorities of that Contracting Party unless within 30 days (or a shorter period accepted by the aeronautical authorities of the Contracting Parties) on the day the aeronautical authorities are sent out of a contracting Party
(6) If a de-approval note is issued in accordance with the provisions of subsection (5) of this Article, the aeronautical authorities of the Contracting Parties may jointly establish a tariff. For this purpose, a Contracting Party may, within 30 days of the date of sending of this de-approval note, request consultations between the aeronautical authorities of the Contracting Parties to be held within 30 days of the date of receipt of such a request by the other Contracting Party.
(7) If a tariff has been refused by the aeronautical authorities of the Contracting Parties pursuant to subsection (5) of this Article and if pursuant to subsection (6) of this Article, the aeronautical authorities of the Contracting Parties could not jointly establish a tariff, the dispute shall be settled in accordance with the provisions of Article 16 of this Agreement.
(8) Except as provided in subsection (9) of this section, a tariff established in accordance with the provisions of this section shall remain in effect until a replacement tariff is established.
(9) Except as agreed by the aeronautical authorities of the two Contracting Parties, for a period jointly agreed by them, the validity of a tariff shall not be granted under subsection (8) of this Article:
(a) if there is an expiry date, more than 12 months from that date;
(b) if there is no expiry date, more than 12 months from the date of submission of a replacement tariff to the aeronautical authorities of the Contracting Parties by a designated air carrier of a Contracting Party.
(10) (a) The tariff applied by the designated air carrier of Hong Kong for transport between Belgium and another state is subject to the approval of the aeronautical authorities of Belgium and if necessary to those of the other State. The tariffs applied by the designated air carrier of Belgium for transport between Hong Kong and another State that Belgium is subject to approval by the aeronautical authorities of Hong Kong and if necessary to those of the other State.
(b) Any tariff for such carriage shall be submitted by the designated air carrier for approval by the aeronautical authorities of the other Contracting Party. It will be submitted in such a way that these aeronautical authorities may require a separate ventilation reflecting the particularities referred to in subsection (1) of this section no later than 90 days (or a shorter period agreed by them) before the proposed effective date. The proposed tariff will be considered to have been submitted on the date of receipt by these aeronautical autroities.
(c) This tariff may be approved at any time by the aeronautical authorities of the Contracting Party to which it has been submitted and will be considered to be approved unless within 30 days of receipt they have notified their disapproval to the designated air carrier that requests the approval of this tariff.
(d) The aeronautical authorities of a Contracting Party may withdraw approval of any approved or approved tariff by notifying that within 90 days to the designated air carrier that applies this tariff. The air carrier will then stop the application of this tariff at the end of this period.
(11) Notwithstanding the provisions of subsections (5) and (10) (c) of this section, the aeronautical authorities of a Contracting Party shall not disapprove a proposed tariff that is submitted to them by a designated air carrier if that tariff (at the price level, conditions and expiry date, and without necessarily following the road) is the one required by an air carrier of that Contracting Party for comparable services between the same points or if it is more restricted.
ARTICLE 8
Customs duties
(1) The aircraft used for international air services by air carriers designated by a Contracting Party, their normal equipment, fuels, lubricant oils, consumable technical supplies, spare parts, including engines and on-board provisions (including but not limited to items such as food, beverages and tobacco) that are on board this aircraft, will be exempted by the other Contracting Party from the base
(2) Contracts shall be exempted from the normal goods, fuels, lubricant oils, consumable technical supplies, spare parts, including engines, provisions of edge (including but not limited to items such as food, beverages and tobacco), inventories of tickets, letters of air transport, any printed matter bearing the symbol of the designated air carrier of one of the Contracting Parties and the advertising material distributed free of charge
(3) However, it may be required that the normal equipment and other items referred to in subsections (1) and (2) of this section be maintained under the supervision or control of the Customs authorities of the other Contracting Party.
(4) The normal equipment and other items mentioned in subsection (1) of this Article may be disembarked in the area of the other Contracting Party with the approval of the Customs authorities of that other Contracting Party. In this case, the normal equipment and other items will be reciprocally exempted under subsection (1) of this section until they are re-exported or otherwise disposed of in accordance with customs regulations. However, the Customs authorities of this other Contracting Party may require that such normal equipment and other items be placed under their supervision until re-export or alienation.
(5) The exemptions provided for in this section will also be applied in cases where a designated air carrier of a Contracting Party has entered into agreements with another air carrier or undertaking for the purpose of sintering or transport in the area of the other Contracting Party and normal equipment and other items referred to in subsections (1) and (2) of this section, provided that the other air carrier or carrier benefits from the same exemptions.
(6) Baggage and goods in direct transit through the area of a Contracting Party are exempt from customs duties, excise duties and similar charges and charges not based on the control of services rendered on arrival.
ARTICLE 9
Avoid Double Imposition
(1) Revenues or profits derived from the operation of an aircraft in international traffic by an air carrier of one of the Contracting Parties shall include participation in a common service, a joint air service operation or an international operating agency that are subject to taxation in the area of that Contracting Party shall be exempted from tax on income, profits and any other tax on income or profits imposed in the area of that other Contracting Party.
(2) The capital and planes of an air carrier of a Contracting Party relating to the operation of aircraft in international traffic will be exempted from any form of capital taxes and aircraft imposed in the area of the other Contracting Party.
(3) The benefits derived from the alienation of aircraft operated in international traffic and the ownership of such aircraft operated by an air carrier of a Contracting Party shall be exempt from any tax on profits imposed in the area of the other Contracting Party.
(4) For the purposes of this section:
(a) the term "income or profit" includes revenues and gross revenues derived from the operation of an aircraft for the carriage of persons, living animals, goods, mail or goods and international traffic including:
(i) charter or rental of aircraft;
(ii) the sale of tickets or similar documents and the provision of services for such carriage for both the air carrier itself and any other air carrier; and
(iii) interest on funds directly related to the operation of aircraft in international traffic;
(b) the term "international traffic" means any transport by an aircraft except where such transport is carried only between points in the area of the other Contracting Party;
(c) the term "air transport company of a Contracting Party" means in the case of Hong Kong, an air transport company consisting of and having its main business seat in Hong Kong and in the case of Belgium, an air transport company whose substantial share of the property and the effective control are in the hands of the Government of Belgium or its nationals;
(d) the term "competent authority" means in the case of Hong Kong the "Commissioner of Inland Revenue" or its authorized representative or any person or body authorized to perform any function carried out by the "Commissioner" or similar functions and in the case of Belgium, the Ministry of Finance or its authorized representatives;
(5) The competent authorities of the Contracting Parties shall endeavour through consultations to resolve by mutual agreement any dispute concerning the interpretation or application of this Article. Article 16 (Dispute Rules) will not be applied for such disputes.
(6) Notwithstanding Article 20 (Entry into force), each Contracting Party shall notify the other that the procedures provided for in the law for the entry into force of that Article have been completed and, therefore, that Article shall enter into force:
(a) for Hong Kong, each budget year beginning or after 1^er April 1998;
(b) for Belgium, each fiscal year beginning on or after the^er January 1998;
(7) Notwithstanding Article 18 (Denunciation) in which reference is made to the denunciation of this Agreement in accordance with this Article, this Article shall cease to have any effect:
(a) for Hong Kong, each fiscal year beginning on or after April of the calendar year following that in which the denunciation was notified;
(b) for Belgium, each fiscal year beginning on or after the January of the calendar year following that in which the denunciation was notified;
(8) This Article shall cease any effect if a Convention intended to avoid double taxation providing for the same exceptions as this Article with respect to tax on income comes into force for Contracting Parties.
ARTICLE 10
Aviation Safety
(1) Each Contracting Party shall reaffirm to the other Contracting Party that its obligation to protect civil aviation from acts of unlawful intervention, in order to ensure its safety, is an integral part of this Agreement. Each Contracting Party shall comply, inter alia, with the provisions of the Convention on Offences and Certain Other Acts on Board Aircraft, signed in Tokyo on 14 September 1963, the Convention for the Suppression of the Illicit Capture of Aircraft, signed in The Hague on 16 December 1970, and the Convention for the Suppression of Unlawful Acts against the Safety of Civil Aviation, signed in Montreal on 23 September 1971.
(2) Each Contracting Party shall, upon request, grant all necessary assistance to the other Contracting Party to prevent the unlawful capture of civilian aircraft and other unlawful acts directed against the safety of that aircraft, passengers and crews, airports and air navigation facilities and services and any other threat to the safety of civil aviation.
(3) The Contracting Parties in their mutual relations comply with the Civil Aviation Safety Provisions that were established by the International Civil Aviation Organization and are designated as Annexes to the International Civil Aviation Convention opened for signature in Chicago on 7 December 1944. Each Contracting Party shall require operators of aircraft registered by them or operators who have their main business seat or permanent residence in the area and airport operators located in its area to comply with these provisions relating to aviation safety.
(4) Each Contracting Party agrees that such aircraft operators are required to comply with the aviation safety provisions, as referred to in paragraph (3) of this section, required by the other Contracting Party upon arrival, departure or stay in the area of the other Contracting Party. Each Contracting Party shall ensure that the appropriate measures are effectively taken in its area to protect the aircraft and to ensure the inspection of passengers, crews, hand baggage, baggage, cargo and cargo vessels before and during boarding or loading. Each Contracting Party shall also consider, with due diligence and in a positive spirit, any request to it by the other Contracting Party with a view to ensuring that special security measures are taken to protect against a particular threat.
(5) Where an act of unlawful capture of a civilian aircraft or any other unlawful act directed between the safety of that aircraft, its passengers and crews, the airport and air navigation facilities and services is committed, each Contracting Party shall assist the other Contracting Party by facilitating communications and other appropriate measures to put an end to that condition or threat of act expeditiously and safely.
ARTICLE 11
Statistics
The aeronautical authorities of each Contracting Party shall provide, upon request, periodic or other statistical surveys that may normally be required by the aeronautical authorities of the other Contracting Party to examine the capacity offered on services agreed by the air carriers designated by that Contracting Party. These records include any information necessary to determine the traffic carried by these air carriers on the agreed services and the origins and destinations of that traffic.
ARTICLE 12
Conversion and transfer of income
(1) Designated air carriers in Hong Kong have the right on request to convert and transfer to Hong Kong from Belgium local revenues that exceed local payments. The designated air carriers of Belgium have the right on request to convert and transfer to Belgium from Hong Kong local revenues that exceed local payments.
(2) The conversion and transfer of these revenues is permitted without restrictions to the exchange rate used for current payments that is applied when these revenues are converted and transferred. They are not subject to any tax except those that banks normally request for such conversions and transfers.
ARTICLE 13
Representation of the Air Transport Company and Sales
(1) Pursuant to the laws and regulations of the other Contracting Party in respect of entry, residence and employment, the designated air carriers of each Contracting Party shall have the right to install and assign to the area of the other Contracting Party management, operational and technical personnel and specialized personnel that is necessary to provide air transportation.
(2) Designated air carriers of each Contracting Party have the right to proceed with the sale of air carriers in the area of the other Contracting Party directly or through agents. Designated air carriers of each Contracting Party shall have the right to sell and any person may freely purchase such carriage in local currency or in freely convertible currencies.
ARTICLE 14
Rights of use
(1) The term "rights of use" means a right imposed on air carriers by the competent authorities or the authorities authorized by them for the use of the airport and its facilities, or air navigation facilities including services and facilities for the aircraft, their equipment, passengers and cargo.
(2) A Contracting Party shall not impose or permit to impose on designated air carriers of the other Contracting Party greater user rights than those that have imposed on its own air carriers providing similar international air services.
(3) Each Contracting Party shall encourage consultations, on the rights of use, between its competent authorities to collect these rights and air carriers using the services and facilities provided by these authorities, if possible through the representative organizations of air carriers. Any proposed changes in user rights should be given with reasonable notice to these users to allow them to express their views before the changes are made. Each Contracting Party will also encourage these compliant authorities to perceive these rights and users to exchange appropriate information regarding user rights.
ARTICLE 15
Consultations
A Contracting Party may at any time request consultations on the implementation, interpretation, application or amendment of this Agreement. Unless otherwise agreed between the Contracting Parties, such consultations, which may be held between the aeronautical authorities of the Contracting Parties, shall commence within 60 days from the date of receipt of a written request to that effect by the other Contracting Party.
ARTICLE 16
Settlements of disputes
(1) If a dispute arises between the Contracting Parties concerning the interpretation or application of this Agreement, the Contracting Parties shall first endeavour to resolve it through negotiations.
(2) If the Contracting Parties fail to reach a settlement through negotiations, they may agree to submit the dispute to the decision of any person or body authorized by them or, at the request of a Contracting Party, to the decision of a court of three arbitrators to be constituted as follows.
(a) within 30 days of the date of receipt of an arbitration application, each Contracting Party shall designate an arbitrator. A national of a State who may be considered neutral with respect to the dispute and who shall act as President of the court, shall be designated as the third arbitrator of mutual agreement by both arbitrators within 60 days of the date of designation of the second;
(b) if within the time limits specified above, no designation has taken place, a Contracting Party may request the President of the Council of the Organization of International Civil Aviation to make the necessary designation within 30 days. However, if the President considers that he is a national of a State who cannot be considered neutral in this dispute, it will be the oldest Vice President, however not authorized to do so, who will make the appointment.
(3) Apart from what is specified in this article or what has been agreed by the Contracting Parties, the court shall determine the limits of its jurisdiction and determine its procedure. At the request of the court or at the request of a Contracting Party, a meeting will be held no later than 30 days after the final constitution of the court in order to determine the specific points submitted to arbitration and the specific procedures to be followed.
(4) Except as otherwise agreed between Contracting Parties or imposed by the court, each Contracting Party shall submit a memorandum within 45 days of the final constitution of the tribunal. Responses must be filed within 60 days. The court shall hold a hearing, at the request of a Contracting Party or at its initiative, within 30 days of the date for the replies.
(5) The court will endeavour to issue a written decision within 30 days of the closing of the hearing or if there was no hearing after the date of receipt of the two responses. The decision is taken by a majority vote.
(6) A Contracting Party may submit a request for classification of the decision within 15 days of its receipt and such clarification shall be provided within 15 days of such request.
(7) The court decision is binding on the Contracting Parties.
(8) Each Contracting Party shall cover the costs of the arbitrator designated by it. Other court fees shall be equally shared between Contracting Parties, including any expenditure made by the President or Vice-President of the Council of the Organization of International Civil Aviation to meet the procedures set out in subsection (2) (b) of this Article.
ARTICLE 17
Amendments
Any amendment to this Agreement agreed upon by the Contracting Parties shall enter into force when confirmed in writing by the Contracting Parties.
ARTICLE 18
Denunciation
A Contracting Party may at any time notify in writing to the other Contracting Party its decision to denounce this Agreement and the other Contracting Party confirms receipt of such notification. This Agreement shall terminate at midnight (in lieu of receipt of notification) immediately before the first anniversary of the date of receipt of such notification by the other Contracting Party unless the notificaton is withdrawn by mutual agreement before the expiry of that period.
ARTICLE 19
Registration to the International Civil Aviation Organization
This Agreement and any amendments thereto shall be registered with the International Civil Aviation Organization.
ARTICLE 20
Entry into force
The Contracting Parties shall notify each other in writing that all necessary procedures have been completed. The Agreement will enter into force on the first day of the month of the last notification.
In faith, the undersigned duly authorized by their respective Governments have signed this Agreement.
Made in double copy in Brussels on 6^e April 1998.

Annex
Road map
Section 1^re
Routes to be operated by Hong Kong air carrier(s).
Hong Kong - Intermediaries - Points in Belgium - Point beyond
Remarks
1. The points served on the routes specified above shall be determined jointly by the Contracting Parties.
2. Where designated Hong Kong air carriers may for any or all flights not serve points on the routes specified above and may serve in any order intermediate points, points in Belgium and points beyond as long as the services agreed on these routes depart from Hong Kong.
30. No traffic can be loaded into an intermediate point or points beyond and landed in points in Belgium and this vice and poured, unless from time to time the Contracting Parties agreed to it jointly.
4. No point in the territory of China can be served as an intermediate point or point beyond.
Section 2
Routes to be operated by the air carrier(s) of Belgium.
Points in Belgium - Intermediaries - Hong Kong - Points beyond
Remarks
1. The points served on the routes specified above shall be determined jointly by the Contracting Parties.
2. Where the designated air carriers of Belgium may for any or all flights not serve points on the routes specified above and may serve in any order of the points in Belgium intermediate points and points beyond as long as the services agreed on these routes carry points in Belgium.
3. No traffic may be loaded into an intermediate point or points beyond and landed in Hong Kong and this vice versa, unless the Contracting Parties have agreed to it jointly from time to time.
4. No point in the territory of China can be served as an intermediate point or point beyond.