Chamber's China Report Highlights Need for More Progress

WTO Compliance Report Says IPR Protections Inadequate

WASHINGTON, D.C. – The United States Chamber of Commerce today said China needs to do more to meet its WTO commitments, particularly with regard to protections for intellectual property rights, in the business organization's third annual report.

"China is committed to its WTO promises and there is progress towards providing U.S. business with new market opportunities," said Myron Brilliant, Chamber vice president for East Asia. "But clearly China needs to do more to protect intellectual property rights and we are urging Chinese authorities to take action in this area this year."

Beyond highlighting intellectual property protections, the Chamber's report cites ongoing concerns over inadequate transparency and the overall inconsistency of China's implementation efforts. The report notes that China needs to ensure that it fully opens its market in such critical areas as agriculture, automotive, construction and engineering, express delivery, insurance, and telecommunications.

"We urge the Chinese government ministries and agencies to follow the encouraging precedents that have been set by China's Ministry of Commerce and agencies like the Chinese Insurance Regulatory Commission in terms of greater transparency and use of advance comment periods," noted Ray Sander, New York Life International senior vice president for International Government Affairs and U.S. Chamber East Asia Task Force co-chair.

China's record on standards and granting trading rights and distribution services to foreign companies is an issue that needs greater clarity in the coming year, according to the report. While the report notes concerns about continued confusion in the regulatory environment for foreign companies, Richard Holwill, Alticor, Inc. vice president for Public Policy and U.S.

Chamber East Asia Task Force co-chair, noted his company has seen significant progress with regard to regulations governing sales away from a fixed location. "We praise Chinese officials for their efforts to consult with us on regulations that govern the direct selling industry," said Holwill.

The U.S. Chamber of Commerce is the world's largest business federation, representing more than three million businesses of every size, sector and region.

# # #

04-127

China's WTO Implementation (PDF)