UCP600 Revising To UCP500 And The Effects To Our Country Foreign Trade

This paper sums up the historical setting of UCP600 replacing UCP500 systematically and analyzes the history certainty and important active significance of it deeply and objectively.Uniform Customs and Practices for Documentary Credits (the shorter form, UCP) are the most successful universally accepted international common practices in the whole world, which are worked out by the non-governmental bureau. At present, nearly ten thousand banks of more than 100 countries and regions in the world state to apply to Uniform Customs and Practices for Documentary Credits on Letter of Credit, whose formulation and continuous improvement has greatly promoted the use of Letter of Credit as a clearing form in the world. For a fairly long period of time, documentary credits have become the most important international clearing form, while documentary credits will still play an important role in the longer period of time. This paper focuses on the specific amendments of UCP600 revising to UCP500 to describe the changes and the impacts on our country foreign trade, as well as how to take more active measures to flexibly respond to such changes for the importers and exporter of our country. The author divides this paper into five parts:Partâ… describes the amending background of UCP600. Firstly, it is an overview of Letter of Credit, including the concepts of Letters of Credit, documentary credits and UCP. Secondly, the author introduces the specific amending background of UCP600, including there existing a defect in UCP500 and UCP500 having negative impacts on exporters, etc, to conclude that it is the inevitable development of the times for UCP600 replacing UCP 500.Partâ…¡describes the specific amendments of UCP600 revising to UCP500. Firstly, it is the amendment of the structural aspect, including new provisions of UCP600, deleted provisions of UCP500. Secondly, it is the amendment of the language style aspect, including more accurate diction, more concise and lucid diction. Finally, it is the amendment of the content aspect, including new concepts and terminology; the criterion of auditing documents is more limpid; the time limit for bank to audit documents is more clearer; handling of documents is more feasible after bank refuses to pay; the addresses of beneficiaries and the applicants are more nimble; the definition of original documents is more standard; regulation of transport and insurance documents is more pragmatic; regulation of transferable letter of credit is more helpful; the risk of losing documents, etc.Partâ…¢describes the amendment of UCP600 and the impacts on our country foreign trade. Firstly, it is the aspect of opening and modifying Letter of Credit, including the opening of Letter of Credit, the modification of Letter of Credit. Secondly, it is the aspect of presentation and audition of the documents, including presentation of the documents, audition of the documents. Thirdly, it is the aspect of the financing and negotiation of Letter of Credit, including the obligations of paying under the Letter of Credit, refusing to pay. Finally, it is the aspect of the transferable Letter of Credit, including the transferability of Letter of Credit, the protection for the second beneficiaries, etc.Partâ…£describes the application of UCP in China and the legal response to it from a macro point of view. Firstly, it is the application of UCP in China. Secondly, it is the specific legal provisions of our country for Letter of Credit, including substantive laws, procedural laws and judicial interpretation. Finally, it is the specific introduction of the legal response of our country to UCP600, including the main way to response-judicial interpretation, the recommendations on the contents of the judicial interpretation, etc.Partâ…¤describes the coping strategies for importers and exporters of our country from a micro point of view. Firstly, it is the coping strategies for importers, including applying to open Letter of Credit, applying to modify Letter of Credit, auditing documents, two added kinds of non-payment methods of UCP600, etc. Secondly, it is the coping strategies for exporters, including auditing and modifying documents, exporters'drawing up and auditing documents, exporters'presenting documents, etc.