Last month the WTO adjudicated that the PRC unfairly limited sales of American audio-visual products, books and magazines. On September 22, the PRC appealed seeking to reaffirm that these measures were necessary for protecting the public morality and Chinese culture.

 

The PRC claims that it is protecting its citizens, especially children, from deleterious influences caused by pornography and other harmful information. For this reason it strictly controls the spread of western entertainment products in China.

 

The WTO had adjudicated that China’s act requiring all imported entertainment products introduced by state-owned distributors violated the WTO’s rules and articles on WTO accession. The case will be handled by the WTO’s appeals court, and an adjudication may be reached as early as next year.

 

The WTO’s rules allow for public morality protection to be a reason for trade barriers set by each country, but a group of WTO experts believe that the measures taken by the PRC are stricter than what is necessary for reaching its goal.

 

The adjudication did not seek to change the China Film Production Group’s policy of introducing 20 foreign films every year to China or challenge the PRC’s right to review foreign films and publications. But according to the adjudication, the PRC cannot force a foreign producer who owns a copyright to cooperate with distributors appointed by the PRC. At the same time, the WTO adjudicated that the PRC should allow foreign record companies and Chinese companies to establish joint venture enterprises selling music via the Internet.

 

(Source: Financial Times)