Foreign Exchange and Foreign Trade Control Law. Copyright Roderick Seeman

Article 25 (Service transactions, etc.)

1. Any resident who is to make any transaction falling under any one of the following Items, with a non-resident, as provided by Cabinet Order, must obtain a license therefor from the Minister of International Trade and Industry:

(1). Transactions which have as their objective the design, manufacture, or the provision of technology (hereinafter called "designated technologies") in designated regions, for use in relation thereto of types of products as designated by Cabinet Order which are deemed to prevent the maintenance of international peace and order.

(2). transactions involving the movement of goods between foreign countries related to trading of goods, which as set by Cabinet Order, are deemed to prevent the maintenance of international peace and order.

2. The Minister of International Trade and Industry when deemed necessary in order to devise the accurate execution of the provisions of the previous Paragraph, may, as provided by Cabinet Order, impose the obligation to obtain a license on residents who are to carry out transactions the objective of which is to provide technology with non-residents in areas other than the areas of the previous Paragraph, item (i) .

3. Any resident who is, with a nonresident, to make a transaction, as provided by Cabinet Order, falling under any of the following items, (excluding those classifiable as the conclusion, etc. of technology induction contracts provided for in Article 29, Paragraph 1) must receive the license of the Competent Minister, as provided by Cabinet Order, concerning the said transaction:

(1) Service transactions (meaning transactions the objective of which is to render labour or convenience services, and the same shall apply to the next Item) for processing of mineral products, transfers of mining rights, or others similar and corresponding thereto;

(2) Service transactions, or transactions involving the movement of goods between foreign countries related to trading of goods, which are considered not to obstruct the faithful performance of treaties or other international agreements concluded by our country.