WTO commitments

In addition to the laws and regulations that govern advertising activities by businesses registered in China, there are also regulations regarding foreign entry into the advertising industry. After China's accession to the WTO, the restrictions in terms of equity ownership will be gradually phased out. Upon accession , foreign advertising companies can only enter China's advertising industry in the form of joint ventures and the foreign equity share in the joint venture should not exceed 49 per cent. Within two years after accession, foreign majority ownership will be permitted and within four years wholly foreign-owned subsidiaries will be permitted. In terms of cross-border supply and consumption abroad, foreign advertising services can only be provided through advertising agents registered in China and having the appropriate right to do so.