DATE=3/14/2000
TYPE=CORRESPONDENT REPORT
TITLE=U-S - CHINA TRADE (L ONLY)
NUMBER=2-260157
BYLINE=STEPHANIE MANN
DATELINE=BEIJING
INTERNET=YES
CONTENT=
VOICED AT:
INTRO: American companies doing business in China say
many of the country's laws and regulations treat them
unfairly. And, the American Chamber of Commerce in
Beijing has issued a long list of suggestions on ways
to improve the business climate in China, as V-O-A
correspondent Stephanie Mann reports.
TEXT: The American Chamber of Commerce is submitting
its recommendations in a white paper to the Chinese
government. The report says -- although U-S direct
investment in China is increasing -- American
companies continue to complain about China's laws and
regulations governing business.
The report -- based on a survey of 130 American
companies operating in China -- says U-S businesses
find China's legal system unpredictable, undependable
and confusing.
The chairman of the American Chamber of Commerce in
Beijing, Tim Stratford, says the Chinese Government
seems open to receiving the recommendations because it
wants to improve the business environment. Mr.
Stratford says Chamber of Commerce members will meet
with Chinese officials to discuss the suggestions
mentioned in the report.
// STRATFORD ACTUALITY //
We've talked about things like greater transparency --
the opportunity to be aware of laws or regulations
that are being considered and the opportunity to
comment on them beforehand. We've talked about trying
to open up market access, removing some of the trade
barriers and some of the investment barriers.
// END ACTUALITY //
// OPT // The Chamber of Commerce also recommends
foreign companies operating in China be allowed to
import and export directly, without having to conduct
transactions through an intermediary Chinese company.
Other recommendations call for better enforcement of
existing laws that protect intellectual property
rights. // END OPT //
Mr. Stratford -- an executive with the General Motors
Corporation in China -- says many problems raised by
the Chamber of Commerce study have been addressed in
the new U-S / China bilateral trade agreement.
That agreement helps pave the way for China's expected
accession into the World Trade Organization. American
business executives in Beijing say China's membership
in the W-T-O will provide an international structure
to regularize some of the practices that are now
unfair or unclear.
Mr. Stratford says he expects to see great progress in
the problem areas over the next few years as China
works to meet W-T-O requirements.
// REST OPTIONAL //
Mr. Stratford points to one area where cooperation
between foreign businesses and the Chinese government
has paid off. He says he is encouraged by the way
China handled corporate concerns over new rules
governing encryption technology, which protects
electronic communications from eavesdropping.
The new rules were issued in October and were to go
into effect in January. They would have required
anyone using products with such technology to register
with the government and foreign encryption technology
would have been banned from sale in China. That would
have blocked the sale of foreign-made mobile phones
and much internet-related software, and would have
barred Microsoft from launching its new Windows 2000
software in China.
Mr. Stratford says U-S companies were disappointed
that they had no opportunity to comment before the
regulations were issued. However, he says, after U-S
and other foreign companies expressed their concerns
to authorities, the Chinese Government issued a
clarification last week relaxing those rules.
// SRATFORD ACTUALITY //
We've been very encouraged that, as we have pointed
out problems with the rules or areas that were not
clear, that the government has been very active in
gathering views and in trying to respond to them.
// END ACTUALITY //
The regulations now limit only specialized hardware
and software for which encryption and decoding
operations are the key functions. And Microsoft has
been given approval to go ahead with its planned March
20th launch date for Windows 2000. (Signed)
NEB/SMN / WD
14-Mar-2000 07:20 AM EDT (14-Mar-2000 1220 UTC)
NNNN
Source: Voice of America
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