WTO: China s telecommunications commitments

WTO: China's telecommunications commitments

After 14 years of discussion, China joined the WTO in November 2001. As part of its commitment to membership, it has agreed to a phased liberalization of its telecommunications sector, as described in its Schedule of Specific Commitment relating to the World Trade Organization Basic Telecommunications Agreement.

China has adopted a deregulatory scheme, allowing foreign investment, subject to separate percentage caps on foreign ownership, according to service and geography. The timescale for commitments is as follows :

Value-added services (including Paging)

2002: Up to 40 per cent foreign ownership in Beijing, Guangzhou and Shanghai, and operations connecting these cities
2003: Up to 49 per cent foreign ownership in Beijing, Guangzhou and Shanghai as well as 14 other cities and operations connecting these cities (see list below)
2005: Up to 50 per cent foreign ownership with no geographic restrictions.

Mobile services

2002: Up to 25 per cent foreign ownership in Beijing, Guangzhou and Shanghai, and operations connecting these cities

2003: Up to 35 per cent foreign ownership in Beijing, Guangzhou and Shanghai as well as 14 other cities, and operations connecting these cities (see list below) 2005: Up to 49 per cent foreign ownership in Beijing, Guangzhou and Shanghai Shanghai as well as 14 other cities, and operations connecting these cities (see list below)
2007: Up to 49 per cent foreign ownership with no geographic limitations.

Domestic and international fixed wireline services

2005: Up to 25 per cent foreign ownership in Beijing, Guangzhou and Shanghai, and operations connecting these cities
2007: Up to 35 per cent foreign ownership in Beijing, Guangzhou and Shanghai as well as 14 other cities, and operations connecting these cities (see list below)
2008: Up to 49 per cent foreign ownership with no geographic limitations.

The 14 cities are:

Chengdu (Sichuan province )
Chongqing (central-reporting municipality)
Dalian (Liaoning province)
Fuzhou (Fujian province)
Hangzhou (Zhejiang province)
Nanjing (Jiangsu province)
Ningbo (Zhejiang province)
Qingdao (Shandong province)
Shenzhen (Guangdong province)
Shenyang (Liaoning province)
Taiyuan (Shanxi province)
Wuhan (Hubei province)
Xiamen (Fujian province)
Xi'an (Shaanxi province)