Key Points of the New Chinese Maritime Law

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 (the "New Maritime Law"). Compared with the current Maritime Law implemented on July 1, 1993 (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 and Domestic Cargo Transportation Rules

1. Unifying the Application of Law

Article 43 clearly states that domestic maritime cargo transportation between ports of the PRC is included within the scope of application of the New Maritime Law. This changes the current predicament where international transport is governed by the Maritime Law while domestic coastal and inland waterway transport is governed only by the Civil Code. Going forward, both will uniformly and preferentially apply the new Maritime Law, with the Civil Code applying to matters not specifically stipulated.

2. Unified Liability Limits for Carriers

Chapter 11 unifies the limits of maritime liability for personal injury and non-personal injury in international and domestic transport, resolving the issue of "different compensation for the same loss."

C. Adjustment of the Rights and Obligations of Carriers and Shippers

1. Revision of Carriers' Rights and Obligations

• Referring to the Rotterdam Rules, carriers have the obligation to "receive" and "deliver" goods (Article 49).
• Differentiation of seaworthiness obligations: international carriers' obligations remain before and at the time of departure; domestic carriers' obligations extend "during the voyage" (Article 48).
• Carrier exemption grounds extended to apply to situations of delayed delivery (Article 52).

2. Adjustment of the Definition of Actual Carrier

The actual carrier now includes entities that accept commissions or sub-commissions and actually perform all or part of the carrier's obligations (Article 44). Port operators can therefore be recognized as actual carriers when the conditions are met.

3. Expansion of Shippers' Rights and Obligations

• Shippers shall ensure goods are suitable for the agreed transport (Article 67).
• Responsibility for costs and risks of unclaimed goods shifts from the consignee to the shipper, with a duty on the carrier to promptly notify (Article 93).
• A shipper's right to modify the contract is added (Article 96).

4. Changes in the Carrier's Lien

Article 94 changes "retaining its goods" to "retaining the corresponding goods" — where the debtor defaults on freight charges, the carrier may retain the corresponding goods regardless of whether ownership belongs to the debtor.

5. Increased Liability Limits

• The unit liability limit for loss or damage to goods remains substantially unchanged (Article 57).
• Liability limits for passenger transport personal injury and property damage are appropriately increased (Article 115).
• Limitations of maritime liability are increased accordingly (Article 219).

D. Improved Practical Operation Rules for Cargo Transportation

• Refined delivery rules for named, order and bearer bills of lading and negotiable electronic transport records (Article 87).
• Revised calculation standard for actual value of goods — primarily based on market price at the place of delivery; CIF price only if that cannot be determined (Article 56).
• Special section on electronic transport records — compliant electronic records have the same legal effect as paper documents (Chapter 4, Section 5).
• Clarified rules for deck cargo — deck cargo agreements must be stated in the transport documents, otherwise they cannot be used against bona fide third parties (Article 54).

E. Amendments to the Statute of Limitations and Applicable Law

1. Statute of Limitations

A one-year statute of limitations applies to claims for compensation in maritime cargo transportation (Article 284), with different starting points for shipowners and cargo owners. The statute is interrupted by a demand for performance, litigation, arbitration, or the respondent's agreement to perform — benefiting claimants compared to the original strict rules (Article 294).

2. Applicable Law

International maritime cargo transportation contracts with loading or unloading ports located within China are governed by Chapter IV of the Maritime Law. Stipulations on bills of lading that foreign law applies are invalid (Article 295).

F. Legal Advice

International logistics companies should pay special attention to the following:

• Contract drafting: review all contracts involving Chinese ports and assess applicable-law clauses; clearly stipulate electronic bill of lading platforms and dispute resolution; agree on higher compensation limits.
• Dispute prevention: establish a claims timeline ledger; promptly inspect goods and provide written notification (7/15/60 days); purchase appropriate insurance; investigate vessel liens.
• Dispute resolution: accurately identify the carrier; utilize the reverse burden of proof; apply for vessel arrest; file recovery lawsuits within 90 days.
• Cross-border business: assess mandatory applicable clauses on arbitration and enforcement; analyze jurisdiction for cross-border electronic bill of lading transfers.