TABLE OF CONTENTS

CHAPTER I General Provisions
CHAPTER II Supervision over Product Quality
CHAPTER III Liability and Obligation of Producers and Sellers Concerning Product Quality
Section 1 Liability and Obligation of Producers Concerning Product Quality
Section 2 Liability and Obligation of Sellers Concerning Product Quality
CHAPTER IV Compensation for Damage
CHAPTER V Penalty Provisions
CHAPTER VI Supplementary Provisions

CHAPTER I
General Provisions

Article 1
This Law is enacted to strengthen the supervision and control over product quality, to improve the standard of product quality, to define the liability for product quality, to protect the legitimate rights and interests of consumers and to safeguard the socio-economic order.

Article 2
Anyone who conducts activities of production and sale of any product within the territory of the People's Republic of China must abide by this Law.

"Product" referred to in this Law means a product, which is processed or manufactured for the purpose of sale.

This Law shall not apply to construction projects. But the materials, components, fittings. and equipment used in construction projects shall apply to provisions of this Law when falling into the conception of the 'Product" stipulated in the preceding paragraph.

Article 3
Producers and sellers shall establish a perfect internal product quality control system and strictly carry out the quality standard, quality liability and corresponding examination and verification methods at each post.

Article 4
Producers and sellers shall be liable for product quality in accordance with this Law.

Article 5
It is prohibited to forge or falsely use authentication marks, famous-and-excellent-product marks or other product quality marks; it is prohibited to forge the origin of a product, to forge or falsely use the name and address of a factory of another producer; and it is prohibited to mix impurities or imitations into products that are produced or sold, or pass a fake product off as a genuine one, or pass a defective product off as a high-quality one.

Article 6
The State shall encourage the popularization of scientific methods in product quality control and the adoption of advanced science and technology. The State shall encourage enterprises to make their product quality meet and even surpass their respective trade standards, the national and international standards

Units and individuals that have made outstanding achievements in ensuring advanced product quality control and in raising product quality to the advanced international standards shall be awarded.

Article 7
The People's Government at various levels shall bring the improvement of product quality into the line with the national economy and social development plan, strengthen the overall planning, organizing and leading of the product quality work. The People's Government at various levels shall also guide, supervise and promote producers and sellers to enforce product quality control as well as to improve product quality. To organize the relevant departments and take measures abide by law on preventing any actions violating the provisions in this Law during the production and sale process of the product and protect the enforcement of this Law also lies in the responsibilities of the People's Government at various levels.

Article 8
The department in charge of supervision over product quality under the State Council shall be responsible for nation-wide supervision over product quality. The relevant departments under the State Council shall be responsible for supervision over product quality within the scope of their respective functions and responsibilities.

The supervision departments over product quality in the local People's governments at or above the county eve shall be in charge of supervision over product quality within their administrative regions. The relevant departments in the local People's governments at or above the county level shall be in charge of supervision over product quality within the scope of their respective functions and responsibilities.

Where the laws provide otherwise with respect to the supervision department over product quality, the provisions of such laws shall apply.

Article 9
The functionaries in the People's Government of various levels and other State organs shall not abuse power, neglect duty or engage in malpractice for private benefit. They shall not conceal or indulge any action occurred during the process of production and sale of the product violating the provisions of this Law in their respective regions and systems. No one is allowed to obstruct or intervene the investigation and prosecution according to law over the actions violating the provisions stipulated in this Law during the process of production and sale of the product.

The main leaders in charge of the People's Government at various levels and other State organs, which conceal or indulge actions violating the provisions in this Law during the production and sale process of the product shall be liable for the legal responsibilities.

Article 10
Any unit or individual may have the right to accuse to the supervision departments over product quality and other relevant departments against any action violating the provisions in this Law.

The supervision departments over product quality and other relevant departments shall keep secret for the accuser and give him the award according to the related regulations stipulated by the People's Government of province, autonomous region or municipalities directly under the Central Government.

Article 11
No unit or individual may have the right to exclude the qualified quality product of other regions or enterprises of other systems from entering into the local region or local system.

CHAPTER II
Supervision over Product Quality

Article 12
The quality of a product shall be inspected and proved to be up to the standards. No sub-standard product shall be passed off as a product up to the standards.

Article 13
Industrial products constituting possible threats to the health or safety of human life and property must be in compliance with the national standards and trade standards safeguarding the health or safety of human life and property; In the absence of such national standards or trade standards, the product must meet the requirements for safeguarding the health or safety of human life and property.

The production and sale of industrial products, which fail to comply with the standards and requirements safeguarding the health or safety of human life and property is prohibited. The specific management regulations shall be formulated by the State Council.

Article 14
The State shall, in compliance with the international quality control standards in general use, practice a rule of authentication for enterprise quality system. An enterprise may on voluntary basis apply to the department in charge of supervision over product quality under the State Council or an authentication agency approved by a department authorized by the department in charge of supervision over product quality under the State Council for authentication of enterprise quality system. With respect to the enterprise, which has passed the authentication, the authentication agency shall issue an authentication certificate of enterprise quality system.

The State shall practice a product quality authentication system by making reference to the internationally advanced product standards and technical requirements. An enterprise may on voluntary basis apply to the department in charge of supervision over product quality under the State Council or to an authentication agency approved by a department authorized by the department in charge of supervision over product quality under the State Council for authentication of product quality. With respect to the enterprise which has passed the authentication, the authentication agency shall issue a product quality authentication certificate and permit it to use the product quality authentication marks on its products or the packages thereof.

Article 15
The State shall, with respect to product quality, enforce a supervision and inspection system with random checking as its main form. Products constituting possible threats to the health or safety of human life and property, important industrial products which have a bearing on the national economy and the People's livelihood, and products with quality problems as reported by consumers or relevant organizations shall be subjected to random checking. The samples of the random checking shall be selected randomly on the market or among the products, which are stored in the end-product warehouse of the enterprise waiting for sale. Such supervision and random checking shall be planned and organized by the department in charge of supervision over product quality under the State Council. The supervision departments over product quality of the local people's governments at or above the county level may also organize supervision and random checking within their respective administrative regions. Where the laws provide otherwise with respect to the supervision over and inspection of product quality, the provisions of such laws shall apply.

The random checking product supervised at the State level shall not be overlapped at the local levels. The random checking product supervised by the higher authorities shall not be overlapped by the lower level.

Products may be inspected if the supervision and random checking of such products so require. The amount of the random checking samples shall not exceed the reasonable requirement for such purpose and no expenses shall be charged from the checked party. Expenses thus incurred shall be disbursed in accordance with the relevant regulations of the State Council.

The producers or sellers who challenge the result of the random checking may apply for re-inspection to the supervision department over product quality who carried out the supervision and random checking, or to the supervision department over product quality of a higher level within 15 days on receipt of the inspection result. The re-inspection result shall be concluded by the supervision department over product quality who accepted the application.

Article 16
No producers or sellers shall have the right to reject the supervision and inspection over product quality abide by law.

Article 17
The supervision department over product quality who carry out the supervision and random checking shall have the right to order the producer or seller to make rectification within a limited period when the product is found disqualified during the supervision and random checking according to this Law. The supervision department over product quality of the People's Government at or above the provincial level may have the right to make public announcement about those who failed to make rectification after the time limit expired. Such department shall have the right to order the producer or seller to suspend business and make rectification within a specified period when the re-inspection result remains disqualified after public announcement. When the rectification period expired and the re-inspection result is still disqualified the business license shall be revoked.

Where the product under supervision and random checking contains serious quality problem the relevant penalty provisions in the Chapter V of this Law shall apply.

Article 18
The following functions and powers shall apply when the supervision department over product quality at or above the county level investigates and prosecutes, according to the acquired suspected infringement proof or to the report, the action that suspected to violate the provisions of this Law:

(1) to carry out inspection of the scene at the location where the party concerned is suspected to engage in the production or sale activities violating the provisions in this Law
(2) to investigate or inquiry the legal representatives, main leaders in charge of the concerned party and other related personnel to find out the relevant facts about the suspected production or sale activity violating the provisions of this Law
(3) to consult or copy the relevant contracts, invoices, account books and other related information of the concerned party
(4) to seal up or detain the products do not comply with the relevant national and trade standards safeguarding the health or safety of human life and property, the products with other serious quality problems and the raw materials, accessory materials, packages and production tools direct]y used in the production or sale of such products

The administrative departments for industry and commerce at or above the county level, according to the scope of duties stipulated by the State Council, shall have the right to execute the functions and powers provided in the preceding paragraph when investigating and prosecuting the action suspected violating the provisions of this Law.

Article 19
Product quality inspection institutions must have appropriate testing facilities and capabilities, and shall undertake the work of inspection of product quality only after being examined and verified by a department in charge of supervision over product quality under the People's Government at or above the provincial level or an organization authorized by the department. Where the laws, administrative rules and regulations provide otherwise with respect to the product quality inspection institutions, the provisions of such laws, rules and regulations shall apply.

Article 20
Any social intermediate agencies engaging in the inspection or authentication of product quality shall be established abide by law. There are no subordination or other interests relations between such agencies and the administrative organizations or other State organs.

Article 21
The inspection or authentication organizations of product quality shall, in accordance with law and related standards, issue the inspection result or authentication certificate objectively and impartially.

The authentication organizations of product quality shall, abide by the State regulations, perform tracking check over the product permitted to use the authentication marks after the authentication. Any product that has not met the authentication standards when using the authentication marks shall be ordered to make rectification. If the circumstance is serious the qualification for using the authentication marks shall be suspended.

Article 22
Consumers shall have the right to make inquiries to the producers and sellers about the quality of their products. Where a complaint is made to a department in charge of supervision over product quality or to an administrative department for industry and commerce or to any other department concerned, the department which accepted the complain shall be responsible for the handling thereof.

Article 23
Social organizations responsible for the protection of the rights and interests of consumers may, with respect to matters concerning product quality as reported by consumers, suggest to the departments concerned that they handle the matters, and may support consumers in bringing a suit to a people's court for the damage caused by quality problems of products.

Article 24
The supervision department over product quality at the State, Provincial, Autonomous Region and
Municipalities directly under the Central Government level shall, at a regular basis, issue the public announcement on the quality situations of products under supervision and random checking.

Article 25
The supervision department over product quality, other State organs or the inspection organizations over product quality have no right to recommend the producers' product to the society. They have no right to participate' the business operation of the product in form of manufacture supervision or sale supervision, etc.

CHAPTER III
Liability & Obligation of Producers & Sellers Concerning Product Quality

Section 1
Liability & Obligation of Producers Concerning Product Quality

Article 26
Producers shall be liable for the quality of the products they produce. The products shall meet the following quality requirements:

(1) being free from unreasonable dangers threatening the safety of human life and property and conforming to the national standards or trade standards safeguarding the health or safety of human life and property where there are such standards
(2) possessing the properties and functions that they ought to possess, except for those with directions stating their functional defects
(3) conforming to the product standards marked on the products or the packages thereof. and to the state of quality indicated by way of product directions, samples, etc.

Article 27
All marks on the products or the packages thereof shall be true and meet the fllowing requirements

(1) with certificate showing that the product has passed quality inspection
(2) with name of the product, name and address of the factory that produced the product. being marked in Chinese
(3) with corresponding indications regarding the specifications, grade of the product, the main ingredients and their quantities contained in the product, where such particulars are to be indicated in Chinese according to the special nature and instructions for use of the product', Any facts that need to be acknowledged by consumers in advance shall be indicated on the outer package or provided in the relevant documents
(4) with production date, safe-use period or date of invalidity if the product is to be used within a time limit indicated clearly at a distinguished position
(5) with warning marks or warning statements in Chinese for products which, if improperly used. may cause damage to the products per se, or may endanger the safety of human life or property

Food products without package and other non-packed products which are difficult to marked because of their special nature may dispense with product marks.

Article 28
The packaging quality of fragile, combustible, explosive, poisonous, corrosive or radioactive dangerous products, or products that should be kept upright during storage and transportation. or other products with special requirements must meet the corresponding requirements and carry warning marks or warning statements, according to the relevant State regulations in Chinese indicating directions for storage and transportation.

Article 29
No producer may produce any product that has been officially eliminated by the State.

Article 30
No producer may forge the origin of a product, nor forge or falsely use another producer's name and address.

Article 31
No producer may forge or falsely use another producer's authentication marks. famous-and-excellent product marks or other product quality marks.

Article 32
In producing products, producers may not mix impurities or imitations nto the products nor suostitute a fake product for a genuine one, a defective product for a high-quality one, nor nass a substandard product off as a good-quality one.

Section 2
Liability & Obligation of Sellers Concerning Product Quality

Article 33
A seller shall practice a check-for-acceptance system while replenishing his stock, and examine the quality certificates and other marks.

Article 34
A seller shall adopt measures to keep the products for sale n good quality

Article 35
A seller may not sell products that has been officially eliminated and stopped the sale by the State. invalid or deteriorated products.

Article 36
The marks of a seller's products shall conform to the provisions of Article 27 of this Law.

Article 37
A seller may not forge the origin of a product, nor forge or falsely use another producers name and address.

Article 38
A seller may not forge or falsely use another producer's authentication marks, famous-and-excellent-product marks or other product quality marks.

Article 39
in selling products, sellers may not mix impurities or imitations into the products nor substitute a fake product for a genuine one, a defective product for a high-quality one, nor pass a substandard product off as a good-quality one.

CHAPTER IV
Compensation for Damage

Article 40
A seller shall be responsible for repair, or change, or refund of a product if it is sold under any of the following circumstances, and, where the product has caused any loss on consumers, the seller shall compensate for such loss:

(1) not having the functions it ought to have, and no prior explanation thereabout having been given by the seller
(2) not conforming to the product standards marked on the product or its package
(3) not conforming to the state of quality indicated by way of product directions or sample, etc.

After repair, change, refund or compensation has been made according to the provisions of the preceding paragraph, if the liability is attributed to the producer or to another seller who had supplied the product (hereinafter referred to as supplier), the seller shall have the right to recover his losses from the producer or the supplier.

Where a seller fails to make repair, change, refund or compensation in accordance with the provisions in the first paragraph, the department in charge of supervision over product quality or the administrative department industry and commerce shall order the seller to make rectification.

IA/here contracts for purchase and sale of products or for processing concluded between producers or sellers or between producers and sellers provide otherwise, the parties concerned shall act in accordance with the provisions of the contracts.

Article 41
A producer shall be liable for compensation if his defective product causes damage to human life or property other than the defective product itself (hereinafter referred to as another person's property)

A producer shall not be liable for compensation if he can prove the existence of any of the following circumstances:

(1) the product has not been put in circulation
(2) the defect causing the damage did not exist at the time when the product was put in circulation
(3) the science and technology at the time the product was put in circulation was at a level incapable of detecting the defect

Article 42
Where damage to human life or another person's property is due to a product's defect caused by the fault of a seller, the seller shall be liable for compensation.

Where the seller can identify neither the producer of the defective product nor the supplier thereof, the seller shall be liable for compensation.

Article 43
Where a defective product causes damage to human life or another person's property, the victim may claim compensation from the producer and may also claim compensation from the seller of such product. Where the liability falls on the producer, but the seller has made the compensation, the seller shall have the right to recover the loss from the producer. Where the liability falls on the seller, but the producer has made the compensation. the producer shall have the right to recover the loss from the seller.

Article 44
Where bodily injury is caused by a product due to its defect, the infringer shall compensate for the medical expenses of the infringed, nursing expenses during the treatment period, the decreased earnings due to the loss of his working time, etc; if the infringed is disabled, the expenses for self-assistant apparatus, the subsistence allowance, deformity compensation as well as the living expenses necessary for any other person(s) supported by the disabled shall be compensated; where such defect causes death of the infringed. the infringer shall also pay the funeral expenses, death compensation and the living expenses necessary for any other person(s) supported by the deceased before his death.

Where damage is caused to the property of the infringed due to the defect of a product, the infringer shall restore the damaged property to its original state, or pay compensation at the market price. Where the infringed suffers any other serious losses, the infringer shall also compensate for such losses.

Article 45
The limitation period for bringing an action for damages arising from the defect of a product 5 two years, counting from the day when the party concerned knew or should have known the infringement of his rights and interests.

The right to claim for damages arising from defective products shall be forfeited upon completion of ten years from the day when the defective product causing the damage is delivered to the first consumer, except that the clearly stated safe-use period has not expired.

Article 46
"Defect" referred to in this Law means the unreasonable danger existing in a product which endangers the safety of human life or another person's property; where there are national or trade standards safeguarding the health or safety of human life and property, "defect" means unconformity to such standards.

Article 47
Where a civil dispute concerning product quality arises, the parties concerned may seek a settlement through negotiation or mediation. If the parties are unwilling to resort to negotiation or mediation, or negotiation or mediation proves to be unsuccessful, they may apply to an arbitration organization for arbitration as agreed upon between the parties, if the parties fail to reach an arbitration agreement or the arbitration agreement is a invalid one, they may bring a suit directly before a people's court.

Article 48
The arbitration organization or the people '5 court may entrust an organization in charge of product quality inspection specified in Article 19 of this Law with product quality inspection.

CHAPTER V
Penalty Provisions

Article 49
Where products produced or sold do not comply with the relevant national or trade standards safeguarding the health or safety of human life and property, the producer shall be ordered to stop the production or the sale, the products illegally produced or sold shall be confiscated, and, a fine from one to three times amount of the value of the illegal produced or soc" product (including the sold out and unsold product. Hereinafter referred to as the same) shall be imposed, if there are illegal earnings such earnings shall be confiscated concurrently. Where the case is serious the business license may be revoked; if the case constitutes a crime, the offender shall be investigated for criminal responsibility according to law.

Article 50
Whoever mixes impurities or imitations into a product, or passes a fake product off as a genuine one, or passes a defective product off as a high-quality one, or passes a substandard product off as a good-quality one, he shall be ordered to stop production or sale, the illegal produced or sold products shall be confiscated, And a fine from fifty percent to three times of his illegal produced or sold product value shall be imposed concurrently; if there are illegal earnings such earnings shall be confiscated concurrently. Where the case is serious the business license may be revoked; if the case constitutes a crime, the offender shall be investigated for criminal responsibility according to law.

Article 51
Where a product which has been officially eliminated by the State is produced, or where a product which has been officially eliminated and stopped the sale by the State is sold the producer or the seller shall be ordered to stop the production or sale And a fine at or under the same value of the illegal produced or sold product shall be imposed', if there are illegal earnings such earnings shall be confiscated concurrently. Where the case is serious the business license may be revoked.

Article 52
Where invalid or deteriorated products are sold, the seller shall be ordered to stop the sale, the products for illegal sale shall be confiscated. And a fine at or under twice of the illegal sold product value shall be imposed; if there are illegal earnings such earnings shall be confiscated concurrently. Where the case is serious the business license may be revoked; if the case constitutes a crime, the offender shall be investigated for criminal responsibility according to law.

Article 53
Whoever forges the origin of a product or falsely uses another producer's name and address, or forges or falsely uses authentication marks or other product quality marks, he shall be ordered to make rectification, and the illegal produced or sold product shall be confiscated; a fine may be imposed at or under the same value of the illegal produced or sold product concurrently; if there are illegal earnings such earn Logs shall be confiscated concurrently. Where the case is serious the business license may be revoked.

Article 54
Where the marks of a product do not comply with the provisions of Article 27 of this Law, the producer or seller concerned shall be ordered to make rectification; where the marks of the packed products do not comply with the provisions of item (4) or (5) of Article 27 of this Law and if the case is serious, the producer. or seller concerned may be ordered to stop production or sale. And a fine at or under thirty percent of the illegal produced and sold product value may be imposed concurrently.' if there are illegal earnings such earnings shall be confiscated concurrently.

Article 55
If the seller sold the product prohibited from Article 49 to Article 53 of this Law. and there are sufficient evidence to prove that he do not know the product sold is the product prohibited from the sale as well as he.~ can tell the stock replenishing source, he may be given a lighter or a mitigated punishment.

Article 56
Whoever refuses to accept the supervision and inspection over product quality according to law he shall given a warning and ordered to make rectification. Those who refuse to rectify shall be ordered to suspend business for internal rectification. Where the circumstance is serious the business license may be revoked.

Article 57
Any inspection organizations or authentication organizations of product quality forges inspection conclusion of a product or issues false certificates shall be ordered to make rectification, and a fine from 50,000 100,000 RMB may be imposed against the unit, a fine from 10,000 RMB to 50,000 RMB may be imposed against the personnel directly in charge and the other personnel with direct liabilities. If there are illegal earnings such earnings shall be confiscated concurrently. Where the case is serious the license f' inspection or authentication may be revoked. Where the case constitutes a crime, the offender investigated for criminal responsibility according to law.

Where the inspection organizations or authentication organizations of product quality issued an inspection conclusion proved to be false and incurred a loss they shall be liable to the relevant compensation responsibilities. Where the loss is a major one the qualification for inspection and authentication shall revoked.

Any authentication organization of product quality, violating the provisions of the second paragraph of Article 21 of this Law, who has not ordered the unqualified producer using authentication marks to make rectification or suspend the qualification for using such marks according to law, shall take the joint responsibilities with the producers and sells of the product against the loss incurred from the disqualification of authentication standards. Where the circumstance is serious the authentication qualification shall be revoked.

Article 58
Where social communities, social intermediate agencies who have made the commitment or guaranty over product quality and such product failed to meet the quality requirement they have committed or guarantied, they shall take the joint responsibilities with the producers and sellers of such product against the loss incurred to the consumers

Article 59
Whoever makes false propaganda of the product quality in an advertisement to deceive or misleading consumers shall be investigated for legal responsibilities according to the provisions of the Advertisement Law of the People's Republic of China".

Article 60
Any raw materials, accessory materials, packaging materials or production equipment specially used for the production of the products or the fake products passed off as a genuine one listed in the Article 49 and Article 51 of this Law shall be confiscated.

Article 61
Whoever knows or should have known the product has been prohibited from production or sale according to the provisions of this Law and provides convenient conditions such as transportation. storage or warehouse for such product, or provide forgery production technology for the product passed off as a genuine one. shall be confiscated of all earnings from transportation, storage, warehousing or technology support. A fine from fifty percent to three times the unlawful earnings shall be imposed. Where the case constitutes a crime. the offender shall be investigated for criminal responsibility according to law.

Article 62
Any businessman of the service trade who use the products prohibited from the sale from Article 49 to Article 52 of this Law in business service shall be ordered to stop using. Where he knows or should have known the product used belongs to those prohibited in the provisions of this Law the penalty shall follow the rules against sellers of this Law according to the amount of the unlawfully used product (including the used and not yet used) value.

Article 63
Whoever conceals, transfers, sells, damages the goods seizured or detained by the supervision departments over product quality or the administrative departments for industry and commerce shall be imposed from one to three times value of the concealed, transferred, sold or damaged products. If there are illegal earnings such earnings shall be confiscated concurrently.

Article 64
Whoever violating the provisions of this Law shall be liable for civil compensation responsibilities and pay fine or pecuniary. When his property is not sufficient for both payments. the civil compensation responsibilities shall take privilege.

Article 65
Any State functionary of the People's Governments at various levels and other State organs who have any one of the actions listed below shall be subjected to administrative sanction according to law Where the case constitutes a crime, the offender shall be investigated for criminal responsibility according to law

(1) (1) to conceal or indulge the actions violating the provisions of this Law during the production or sale of products
(2) to tip-off the concerned party engaging in the production or sale action violating toe provisions of this Law, or helping him to escape from investigation and prosecution
(3) to obstruct or intervene the supervision departments over product quality or administrative departments for industry and commerce from investigating and prosecuting according to law against unlawful actions violating the provisions of this Law during the production and sale, and the case is serious

Article 66
Where the supervision departments over product quality ask for more samples than the stipulated amount or collect fees against the inspected party during the supervision and random checking process, the higher level of such departments or the supervisory organs shall ordered them to make reimbursement. Where the circumstance is serious the personnel directly in charge and other personnel with direct responsibilities shall subject to administrative sanctions according to law.

Article 67
Where the supervision departments over product quality or the other State organs violate the provisions of Article 25 of this Law and recommend the producers' products to the society, or participate the business operation of the product in form of manufacture supervision or sales supervision, the higher level of such department or the supervisory organs shall order them to make rectification and eliminate the negative impacts Where there are unlawful earnings such earnings shall be confiscated. If the circumstance is serious the personnel directly in charge and other personnel with direct responsibilities shall subject to administrative sanctions according to law.

Where the inspection departments of product quality have illegal actions stipulated in the preceding paragraph the supervision departments over product quality shall order them to make rectification and eliminate the negative impacts. Where there are unlawful earnings such earnings shall. be confiscated. A fine at or under one time the unlawful earnings shall be imposed. If the circumstance is serious the qualification for quality inspection shall be revoked.

Article 68
Any State functionary at the supervision department over product quality or the administrative departments for industry and commerce, who abuses power, neglects duty, engages in malpractice for private benefit, shall be investigated for criminal responsibility if his act constitutes a crime if his act does not constitute a crime yet, he shall be subjected to administrative sanction according to law.

Article 69
Whoever obstructs, by means of violence or intimidation, State functionaries at the supervision department over product quality or the administrative departments for industry and commerce from carrying cut their duties according to law shall be investigated for criminal responsibility in accordance with the provisions of the Criminal Law; whoever refuses or impedes, without resorting to violence or intimidation, such State functionaries to carry out their duties shall be punished by the public security organs in accordance with the relevant provisions of the Regulations on Administrative Penalties for Public Security.

Article 70
An administrative sanction in the form of revocation of business license provided for in this Law shall be decided by the administrative department for industry and commerce, while other administrative sanctions stipulated from Article 49 to Article 57 and Article 60 to Article 63 shall be decided by the department responsible for supervision over product quality or the administrative department for industry and commerce according to the functions and powers prescribed by the State Council. Where the laws or administrative rules and regulations provide otherwise as to the authorities exercising the power of administrative sanctions, the relevant provisions of such laws and administrative rules and regulations shall apply.

Article 71
Any product confiscated abide by the provisions of this Law shall be destroyed according to relevant State regulations or disposed in other ways.

Article 72
The amount of product value stipulated from Article 49 to Article 54, in Article 62 and Article 63 shall be calculated by the marked prices of the illegal produced or sold products. Where there is no such marked price, the market price of the product in the same category shall apply.

CHAPTER VI
Supplementary Provisions

Article 73
Measures for supervision and control over quality of military industrial products shall be formulated separately by the State Council and the Central Military Commission.

Where the compensation responsibilities arise for the damage incurred from the nuclear facilities or nuclear products, and the laws or administrative rules and regulations provide otherwise as to the provisions of this Law, the relevant provisions of such laws and administrative rules and regulations shall apply.

Article 74
This Law shall come into force as of September 1,1993.