Asia-Pacific
Top WTO judges reject China appeal on film imports
(Agencies)
Updated: 2009-12-22 07:54
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GENEVA: Top trade judges on Monday rejected a Chinese appeal against a World Trade Organization ruling that said many of its curbs on foreign films, books and other cultural products violate open trading rules.
 A file phot of US Trade Representative Ron Kirk at the 7th WTO ministerial meeting in Geneva December 2, 2009. Top trade judges on Monday rejected a Chinese appeal against a World Trade Organization ruling that said many of its curbs on foreign films, books and other cultural products violate open trading rules. [Agencies]? |
The decision -- turning down Chinese complaints that an original WTO panel had erred in backing much of a case brought by the United States against the restrictions -- made no recommendation on how China should now handle the issue.
US Trade Representative Ron Kirk called the ruling a "big win" for the United States and US filmmakers, recording companies and book publishers.
"We expect China to respond promptly to these findings and bring its measures into compliance."
The Motion Picture Association of America called the ruling a landmark decision and said it was eager to work with Beijing to open up the Chinese movie market.
However, the ruling did not address China's quota of 20 foreign films per year, one of Hollywood's main gripes.
"In spite of all the restrictions we face, there is no shortage of US filmed entertainment in China. Unfortunately, far too much of it is pirated," association President Dan Glickman said.
The judges from the WTO's Appellate Body said that China had produced no evidence that the panel was wrong in any of its findings against Beijing.
But they also turned down a US appeal against part of the panel's ruling -- that China could fairly claim that its strict controls on firms importing printed material were aimed at protecting public morals.
The appeal ruling comes at a time of growing concern among US companies about China's respect for intellectual property.
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The 18-page Appellate Body ruling, couched in legal and technical terminology, is the final word from the WTO's dispute settlement system on the case, and cannot be appealed.
China launched its appeal against the panel report on September 22, just before the deadline ran out. Chinese officials said the original finding had been "improper."
There was no immediate comment from Chinese officials on Monday in Geneva on the Appellate Body decision. US officials said a statement was expected from Washington shortly.
Bringing the case, the United States argued that the restrictions imposed by China violated not only the WTO's open trading rules but also the terms of China's admission to the trade body in 2000 after years of negotiations.
US officials said the Chinese measures were a barrier to US products in the vast Asian market at a time when the US trade deficit with China -- $103 billion in the first half of 2009 -- remained high despite a recent decline.
Earlier in the day, the WTO's Dispute Settlement Body had set up a panel in a case brought by the United States, the European Union and Mexico over Chinese restrictions on exports of a range of raw materials.
That panel will start hearing in January and is likely to issue its findings in the summer.
