A. Introduction
On October 28, 2025, the 18th meeting of the Standing Committee of the 14th National People’s Congress adopted the newly revised Maritime Law of the People’s Republic of China, which will come into effect on May 1, 2026 (hereinafter referred to as the “New Maritime Law”). Compared with the current Maritime Law implemented on July 1, 1993 (hereinafter referred to as the “Original Maritime Law”), the New Maritime Law, based on reasonable reference to international maritime conventions, has systematically improved and adjusted, particularly regarding carrier liens, statutes of limitations, and rules related to maritime cargo transportation.
B. Unifying International Maritime Cargo Transportation and Domestic Coastal and Inland Waterway Cargo Transportation Rules
1. Unifying the Application of Law.
Article 43 of the New Maritime Law clearly states that domestic maritime cargo transportation between ports of the People’s Republic of China is included within the scope of application of the New Maritime Law. The implementation of the new Maritime Law will change the current predicament where international maritime cargo transport is governed by the Maritime Law, while domestic coastal and inland waterway cargo transport is only governed by the Civil Code of the People’s Republic of China. At that time, both international maritime cargo transport and domestic coastal and inland waterway cargo transport will uniformly and preferentially apply the provisions of the new Maritime Law; for situations not specifically stipulated in the new Maritime Law, the relevant provisions of the Civil Code will apply.
2. Unified Liability Limits for Carriers.
Chapter 11 of the new Maritime Law clearly unifies the limits of maritime liability for personal injury and non-personal injury in international and domestic maritime cargo transport, resolving the issue of different compensation for the same loss” and improving the fairness of the application of the law.
C. Adjustment of the Rights and Obligations of Carriers and Shippers
1. Revision of the Rights and Obligations of Carriers
- Referring to the Rotterdam Rules, the new Maritime Law clarifies that carriers have the obligation to “receive” and “deliver” goods(see: Article 49 of the new Maritime Law).
- Differentiation of Seaworthiness Obligations: The seaworthiness obligations of international maritime cargo carriers remain before and at the time of departure; the seaworthiness obligations of domestic maritime cargo carriers are clarified to include not only before and at the time of departure, but also “during the voyage”(see: Article 48 of the new Maritime Law).
- Extending the carrier’s exemption grounds to apply to situations of delayed delivery(see: Article 52 of the new Maritime Law).
2. Adjustment of the Definition of Actual Carrier
The actual carrier is clarified to include entities that accept commissions or sub-commissions and actually perform all or part of the carrier’s obligations (see: Article 44 of the new Maritime Law).
Therefore, port operators, etc., can be recognized as actual carriers when the aforementioned conditions are met, and thus are entitled to the protection of the carrier’s statutory exemption grounds and maritime liability limits.
3. Expansion of the Rights and Obligations of Shippers
- Shippers shall ensure that the goods are suitable for the agreed transport and deliver the goods as agreed(see: Article 67 of the new Maritime Law). l
- The responsibility for the costs and risks of unclaimed goods at the port of discharge has been changed from the consignee to the shipper, but it is clarified that the carrier should promptly notify the shipper(see: Article 93 of the new Maritime Law).
- The shipper’s right to modify the contract has been added, and the exceptions under which the carrier can refuse modification are clarified(see: Article 96 of the new Maritime Law).
4. Changes in the Carrier’s Lien
According to Article 87 of the original Maritime Law, it is generally understood that the carrier can only retain goods owned by the debtor. For goods not owned by the debtor, the carrier has no right to retain them. However, since cargo transportation is for the delivery stage of international trade, ownership of the goods often changes, rendering this right of the carrier often ineffective. Article 94 of the new law changes “retaining its goods” to “retaining the corresponding goods,” meaning that in cases where the debtor defaults on freight charges, the carrier can retain the corresponding goods, regardless of whether the ownership of the goods belongs to the debtor.
5. Increase the unit liability limit and the limitation of maritime liability
- The unit liability limit for carriers to compensate for loss or damage to goods remains substantially unchanged(see: Article 57 of the new Maritime Law).
- The liability limit for carriers in maritime passenger transport to compensate for personal injury and property damage to passengers is appropriately increased(see: Article 115 of the new Maritime Law).
- The limitation of maritime liability, whether for personal injury or non-personal injury, and the limitation of liability for personal injury to passengers in maritime passenger transport, are all increased accordingly(see: Article 219 of the new Maritime Law).
D. Improve the practical operation rules for cargo transportation
1. Refine the rules for cargo delivery
Clarify the delivery method under different types of transport documents: named bills of lading, order bills of lading, bearer bills of lading, negotiable electronic transport records, etc.(See: Article 87 of the new Maritime Law)
2. Revised the calculation standard for actual value of goods
It should be calculated primarily based on the market price at the place of delivery; only if the market price at the place of delivery cannot be determined should it be calculated based on the CIF price (value plus insurance and freight) at the time of shipment (see: Article 56 of the new Maritime Law).
3. Special section on electronic transport records
Clarifies that compliant electronic transport records have the same legal effect as paper transport documents. Clarifies the rules for the issuance, use, and conversion of electronic records (see: Chapter 4, Section 5 of the new Maritime Law).
4. Clarifies the rules for deck cargo
The agreement between the carrier and the shipper to carry deck cargo must be stated in the transport documents; otherwise, it cannot be used against bona fide third parties (see: Article 54 of the new Maritime Law).
E. Amendments to the statute of limitations and applicable law
1. Statute of Limitations
The one-year statute of limitations for claims for compensation in maritime cargo transportation (see: Article 284 of the new Maritime Law).
However, for the one-year statute of limitations for maritime cargo transportation, different provisions have been made for the starting point of the statute of limitations for the shipowner and the cargo owner.
The statute of limitations is interrupted when the claimant makes a demand for performance, initiates litigation, applies for arbitration, or the respondent agrees to perform the obligation. Compared to the relatively strict interruption rules in the original Maritime Law, the new law undoubtedly benefits the claimant. Simultaneously, the new law clarifies that the starting point for the statute of limitations for a carrier to claim against the shipper, consignee, or holder of the transport document is knowing or should have known that the right has been infringed, distinguishing it from delivery or should have been delivered (see: Article 294 of the new Maritime Law).
2. Applicable Law
The new law explicitly stipulates that international maritime cargo transportation contracts with loading or unloading ports located within my country are governed by Chapter IV of the Maritime Law. Therefore, any stipulations on the front or back of the bill of lading that foreign law applies, or claims for foreign law through the inclusion of a charter party in the bill of lading, are invalid (see: Article 295 of the new Maritime Law).
F. Legal advice
International logistics companies should pay special attention to the following:
1. Contract Drafting
Review all contracts involving Chinese ports and assess the validity of applicable law clauses; clearly stipulate the platform, technical standards, and dispute resolution for electronic bills of lading; agree on higher compensation limits and delay compensation.
2. Dispute Prevention
Establish a claims timeline ledger for early warning; promptly inspect goods and provide written notification (7/15/60 days); purchase appropriate insurance (cargo insurance, delay insurance, pollution insurance); strengthen investigations into vessel liens.
3. Dispute Resolution
Accurately identify the carrier to avoid suing the wrong party; fully utilize the reverse burden of proof rule; apply for vessel arrest to both preserve evidence and interrupt the statute of limitations; file lawsuits for recovery within 90 days; avoid withdrawal of lawsuits that prevent interruption of the statute of limitations.
4. Cross-border Business
Assess the impact of mandatory applicable clauses on arbitration and judgment enforcement; analyze the applicable law and jurisdiction for cross-border electronic bills of lading transfers; register and inquire about foreign-related mortgages; harmonize international oil pollution claims conventions with domestic law.