补偿贸易合同[2]

The two parties shall open a L/C in favour of each other.I.e.Party A shall open,at regular intervals,long-term L/C in favour of Party B to pay in install ments the entire cost of the machinery and its support sight L/C in favour of {arty A as a payment for the cost of the products to be delivered by Party A.Party A shall pay for the total cost of the machinery and its supporting equipment with the sum of money which Party B shall pay the products to be delivered by Party A as a make - up payment.In case the money to be paid by pairy B is not enough to cover the value of the long - term L/C is determined by the at - siggt L/C opened by Party B and its down payment as stipulated in the contract .Party B grarantees to fulfil what is required of it to do as mentioned herein.
Article 3Deadline for Payment
Party A shall pay the total cost of the machinery and its supporting equipment supplied by Party B by delivering the products it produces to Party B as a make - rp payment on a month - to - month basis , and pay is off within a preriod of ________ years and ________months.The payment shall start approximately ________ months after the first delivery of the machinery is made .In principle,the sum to be paid per month shall be ________ percent of the total amount due to be paid for the machinery Party A can make its payment ahead of schedule with a notice given to Party B ________ months in advance.During the compensation period ,Party B shall open a L/C in favour of Party B,covering the total amount , at sight , irrevocable , divisible and assignable ,in accordance with the relevant provisions in the buy - and - sell contract on compensation trade.
Article 4 Currency for Pricing
Products provided by either party shall be priced in terms of________.All the items supplied by Party B,including machinery ,the required apparatus,accessories and spare parts shall be priced directly in terms of ________ above mentioned ;while the products provided by Party A as a make - up payment for the machinery supplied by Party B shall be first priced in terms of RMB as orher similar exports at the time the contract is made and then the prices in RMB shall be turned into those in ________ above mentioned according to the current exchange rate at the time.
Article 5 Interest Rate
Party A shall pay the interest on its long - term L/C and the down payment of Party B.The annual interest rate is agreed upon at ________%.
Article 6 Technical Service
After arrival at the destination port,the machinery shall be assembled by Party A.When Party A believes it is necessary ,Party B shall send its technicians to provide on-the-spot instructions and other required technical assistance during the course of assembling. Party B shall be liable for the losses incurred in the coures fo assembling as a result of technical default of its prat.
After approval by both parties, Party B shall send a group of technicians to China to faciliate the completion of the project. The cost incurred in China shall be borne by Party B.
Article 7 Additional Equipment
In the course of implementing the contract if it is foun necessary that ,in addition to the machinery and accessories already listed in the provisions, some additional items of the equipment and measuring and testing apparatus are needed, an additional order shall be agreed upon through negotiation .The items thus added shall be incorporated in the contract.
Article 8 Insurance
After being delivered in China, the machinery and its supporting equipment shall be insured by Party B. The unforeseen losses in connection with the equipment shall be indemnified for by the Insurance Company first to the insurer (Party B) in case the equepment has already been paid off for and thus transferred into Party A's possession.Then a proportional part of the sum paid by the Insurance Company shall be allotted to Party A to cover the payment Party A has already made for the items of equipment involved the losses.
Article 9 Liability for Breach
Either party shall be liable for a breach of contract in accordance with the provisions in the contract and shall indemnify for all the losses thus if Party B should fail to make purchase of the products to be delivered by Party A as make - up payment , or Party A should fail to deliver the products for compensation . In such case, the breaching party shall pay to the other a sum as a fine , which shall account for ________ % of the total cost the products in question.
Article 10 Performance Guarantee
To guarantee the implementation of the contract, each party shall submit to the other a performance guarantee issued by a bank agreed by both parties. The guarantee bank of Party A is Bank of China, while that of Party B is ________ Bank.
Article 11 Amendment of the Contract