60 STAT.] CHINA-LEND -LEASE SUPPLIES-JUNE 14, 1946 the Republic of China or to fulfill offerings made by the United States to the Republic of China for the war programs of the Republic of China. In cases where articles so requested or offered are not procured on contracts placed by a United States Government procure- ment agency in part or in whole specifically for the Republic of China but are procured by a United States procurement agency on general supply contracts without specification of the particular ulti- mate recipient or recipients, the contract price shall be the estimated average contract price (as computed by the United States) f. o . b . point of origin paid by the United States Government procurement agency for similar articles. B. Unless otherwise provided by mutual agreement, transfers of articles to the Republic of China shall take place immediately upon loading of the articles on board ocean vessels in a United States port and title and risk of loss with respect to articles shall pass upon transfer to the Republic of China; provided, that any article that shall not have been transferred to the Republic of China as above set forth prior to August 31, 1946 or 90 days following the time of notice to the Republic of China of the availability of the articles, whichever is later, shall be deemed to be transferred to the Republic of China upon such date and the Republic of China shall thereafter assume com- plete financial responsibility for the articles including risk of loss and arranging and paying for storage, insurance, maintenance, preserva- tion and inland transportation and any other incidental expenses. All articles made available shall be properly packed or prepared to meet the requirements of ocean shipping. The invoice delivered by the United States as certified by authorized officials of the Republic of China with respect to articles transferred under Article II shall be conclusive as to the cost of such articles. C. The amount which the Republic of China shall pay the United States with respect to articles transferred under the provisions of Article II of this Agreement shall be the sum of the following items as set forth in sub-paragraphs (1), (2) and (3): (1) The contract price of the articles. (2) 7.5 percent of the con- tract price to cover the cost of storage, inland transportation, inland accessorial charges, and port accessorial charges normally incurred by cargo in accordance with the custom of the port. (3) The actual cost of ocean freight for transporting such articles from United States port to a port in China. Payment of the total amount, determined as set forth above, shall be made by the Government of the Republic of China to the Govern- ment of the United States on or before July 1, 1976 in thirty annual installments, the first of which shall become due and payable on July 1, 1947. The amount of each annual installment shall be computed by dividing the total amount less the amount of installments earlier becoming due by the number of installments yet to become due (including the installment being computed). Nothing herein shall be construed to prevent the Government of the Republic of China from anticipating the payment of any of the in- stallments, or any part thereof, set forth above. 1763 Transfers of articles to Republic of China. Ante, p. 1760. Amount to be paid United States. Payment by China.
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