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Telecom Groups Tell USTR That China is Limiting Telecom Trade

China's effort to promote "indigenous innovation" systematically favors products and services of Chinese companies over those of foreign companies, especially in the government and public procurement markets, the Telecommunications Industry Association said in comments on China's compliance with its World…

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Trade Organization obligations that were filed with the U.S. Trade Representative. TIA also said piracy and counterfeiting remain high due to inadequate penalties, uncoordinated enforcement among local, provincial, and national authorities, and the lack of transparency in China's administrative and criminal enforcement system. Companies that are members of the U.S. Information Trade Office continue to be concerned about governmental interference in licensing agreements, they said. USITO was launched by TIA, the Software and Information Industry Association, and the American Electronics Association in 1994, in cooperation with the International Trade Administration. TIA also said: (1) China is aggressively implementing and utilizing technical standards to support development of key industries, especially the ICT industry. (2) USITO recommends that China pursue Customs modernization efforts, which are consistent with those of other WTO members. (3) China's current type approval process for telecommunications equipment is not sufficiently transparent and is burdensome. (4) China''s energy efficiency programs present challenges to foreign companies.