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CHINA

Since September 1990, entry into force in June 1991, last amended in November 2020

Pillar Intellectual Property Rights (IPRs)  |  Indicator Copyright law with clear exceptions
Copyright Law of the People's Republic of China (中华人民共和国著作权法)
China has a copyright regime under the Copyright Law of the People's Republic of China. However, the exceptions do not follow the fair use or fair dealing model, therefore limiting the lawful use of copyrighted work by others. Art. 22 lists the exceptions, which include: the use of a published work for the purposes of the user's own private study, research or self-entertainment; and the use of a published work, within proper scope, by a State organ for the purpose of fulfilling its official duties; among others.
Coverage Horizontal

CHINA

Reported in 2021, last reported in 2023

Pillar Intellectual Property Rights (IPRs)  |  Indicator Enforcement of copyright online
Lack of adequate enforcement of copyright online
It is reported that China experiences high levels of online piracy and lacks effective enforcement. Online piracy is widespread, impacting various industries, including music, motion pictures, books and journals, software, and video games. This is despite increased enforcement activities.
Coverage Horizontal

CHINA

N/A

Pillar Public procurement of ICT goods and online services  |  Indicator Signatory of the WTO Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
China is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the WTO GPA since 2002.
Coverage Horizontal
"SELECT DISTINCT(post_id) FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'CN')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
[{"post_id":"79914"},{"post_id":"79915"},{"post_id":"79916"}]
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'impact' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'CN')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2')\n\t\t\t\t\t\t\t\t)"
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'CN')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
ITA: [{"meta_value":"0.00"}]

CHINA

ITA signatory? I II

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
0.71%
Coverage rate of zero-tariffs on ICT goods (%)
60.46%
Coverage: ICT goods

CHINA

Since December 2021, entry into force in January 2022
Since December 2001, entry into force in January 2002, last amended in March 2022
Since September 2000, last amended in February 2016

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Special Management Measures for Foreign Investment Access (Negative List) (2021 Edition) (外商投资准入特别管理措施 (负面清单) (2021 年版)

Provisions on Administration of Foreign-Invested Telecommunications Enterprises (外商投资电信企业管理规定)

Telecommunications Regulations of the People’s Republic of China (中华人民共和国电信条例)
In accordance with Special Management Measure No. 14 of the Special Administrative Measures (Negative List) for Foreign Investment Access (2021 Edition), foreign investors are prohibited from holding more than 50% equity interest in any enterprise engaged in value-added telecommunication services, with the exception of e-commerce, domestic multi-party communication services, store-and-forward services, and call centre services. Similarly, Art. 6 of the Provisions on the Administration of Foreign-Invested Telecommunications Enterprises stipulates that foreign investors may not hold more than 50% equity interest in enterprises conducting value-added telecommunication services, unless otherwise prescribed by the state. This provision was revised in 2022 to include the exception “unless otherwise prescribed by the State,” aligning with national and local regulations aimed at further relaxing restrictions on the proportion of foreign ownership in the telecommunications sector. As specified in Art. 8 of the Telecommunications Regulations, value-added telecom businesses refer to telecommunication and information services provided through public network infrastructure. These services include electronic mail, voice mailboxes, online database storage and retrieval, electronic data interchange, online data processing and transaction processing, value-added fax, internet service provision (ISP), internet content provision (ICP), and video teleconferencing.
Coverage Value-added telecom businesses
Sources

CHINA

Since April 2003
Since December 2015

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Information Technology Agreement (ITA)

ITA Expansion Agreement (ITA II)
China is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 and its 2015 expansion (ITA II).
Coverage ICT goods

CHINA

Since December 2001, entry into force in January 2002, last amended in April 2022
Since December 2021, entry into force in January 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Provisions on Administration of Foreign-Invested Telecommunications Enterprises (外商投资电信企业管理规定)

Special Management Measures for Foreign Investment Access (Negative List) (2021 Edition) (外商投资准入特别管理措施 (负面清单) (2021 年版)
According to Art. 6 of the Provisions on Administration of Foreign-Invested Telecommunications Enterprises and Section VII of the Negative List 2021, for foreign-funded telecommunications enterprises operating value-added telecommunications services (including online database storing and searching; electronic data exchange; online data processing and transactions processing; domestic multiparty communication services; IP-VPN; ISP; ICP and video teleconferencing), the proportion of foreign investors' capital contribution in the enterprise shall not exceed 50% in the end. An exception applies to e-commerce, for which 100% foreign equity and ownership is allowed. Furthermore, the proportion of capital contribution between Chinese investors and foreign investors in foreign-invested telecommunications enterprises in different periods shall be determined by the industry and information technology department of the State Council in accordance with relevant regulations.
In addition, according to Art. 5 of the Provisions on Administration of Foreign-Invested Telecommunications Enterprises, if the enterprise is engaged in the basic telecom business within a province, autonomous region, or municipality directly under the Central Government, it shall have a registered capital of not less than 100 million yuan (approx. USD 14,000,000). However, if the enterprise is engaged in the basic telecom business nationwide or beyond a single province, autonomous region, or municipality directly under the Central Government, it shall have a registered capital of not less than 1 billion yuan (approx. USD 140,000,000).
Under the Special Management Measures for Foreign Investment Access (Negative List) 2021, authorities must treat foreign investors with the same degree of accommodation as domestic investors unless set out otherwise in the negative list. While no caps have been set out in the negative list with regard to basic telecommunication services, the negative list provides that the basic telecommunication business must be controlled by the Chinese party.
Coverage Basic-telecommunication services

CHINA

Since April 2007, extended in April 2019 until April 2024

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In April 2007, the Ministry of Commerce of the People's Republic of China announced anti-dumping duties on electrolytic capacitor paper (HS 480511, 480591) imported from Japan. This measure was revised and extended in April 2013 and then in April 2019. The rate of duty imposed ranges from 15% to 40.83%, depending on the company.
Coverage Product: Paper for electrolytic capacitor (HS 480511, 480591)

Country: Japan

CHINA

Since June 2017
Since June 2017
Since May 2017
Since December 2021, entry into force in January 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Internet News Information Service Management Regulations (互联网新闻信息服务管理规定)

Provisions on Administrative Law Enforcement Procedures for Internet Information Content Management (互联网信息内容管理行政执法程序规定)

Provisions on the Management of Internet News Services (互利网新闻服务管理规定)

Special Management Measures for Foreign Investment Access (Negative List) (2021 Edition) (外商投资准入特别管理措施 (负面清单) (2021 年版)
Internet news collecting, editing and publishing services are reserved for State media (or its controlled subsidiaries) and news media controlled by the Party news department. Private investment is expressly prohibited in news collecting and editing services.
As per the 2021 Negative List, investment in internet news services is prohibited. It also provides that the printing of publications must be controlled by the Chinese Party.
The New Regulations also provide that the Government may have a “special management share” in certain internet news providers. The Cyberspace Administration of China (CAC) does not elabourate on the meaning of the special management share. It is understood that the Government could use any special management share in an Internet News Provider to retain control over specific issues. It is unclear whether the regime would apply to all types of Internet News Providers, including privately-owned ones.
Additionally, the Provisions on the Management of Internet News Services issued by the CAC, like the old rules, ban Sino-foreign equity joint ventures, Sino-foreign cooperative joint ventures, or wholly foreign-invested enterprises from engaging in the Internet news industry. Any cooperation involving internet-based news information services and foreign-invested enterprises must be reported to the national CAC for security assessment.
The Provisions on the Management of Internet News Services also broadened the definition of “internet news information services” to “services of collecting, editing, and releasing internet news information; reposting such news information; and providing a platform to spread such news information.” They also broaden the definition of “news information” to include relevant reports and commentaries on politics, the economy, military affairs, foreign affairs, and other public affairs, as well as relevant reports and commentaries on social emergencies.
Coverage Private news providers

CHINA

Since August 2014, extended in August 2020, until August 2025

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In August 2014, the Ministry of Commerce of the People's Republic of China (MOFCOM) announced anti-dumping duties on single-mode optical fibres imported from India. In August 2020, the MOFCOM reported that it would continue to impose antidumping duties for another five years. This measure was revised and extended in April 2020 for another five years. The rate of duty imposed ranges from 7.4% to 30.6%, depending on the company.
Coverage Product: Single-mode optical fibre (HS 900110, 901890)

Countries: India

CHINA

Since July 2018, until July 2025

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In July 2018, the Ministry of Commerce of the People's Republic of China (MOFCOM) announced anti-dumping duties on optical fibre preform imported from Japan and the United States. Optical fibre preforms are considered intermediary ICT goods. They are used in the production of optical fibre, which is then utilised in various ICT goods and infrastructure such as internet networks, telecommunications systems, and data centres. Imports from Japan are subject to rates ranging from 14.4% to 31.2%, while those from the United States are subject to rates between 17.4% and 41.7%.
Coverage Product: Optical fibre preform (HS 70022010)

Country: Japan, United States

CHINA

Since January 2005, extended in January 2011, 2017 and 2022, until January 2027

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In January 2005, the Ministry of Commerce of the People's Republic of China announced anti-dumping duties on non-displacement single-mode optical fibres (used, for example, for long-distance telephony and multichannel television broadcasting systems) (HS code: 9001.1000) imported from Japan and South Korea. This measure was reviewed and extended in January 2011 and, subsequently, in January 2017 and January 2022. The rate of duty imposed on imports originating in Japan is 46%, while imports originating in South Korea range from 7.9% to 46%, depending on the company.
Coverage Product: Dispersion unshifted single-mode optical fibres (HS 9001.1000)

Countries: Japan, South Korea

CHINA

Since April 2011, extended in April 2017 and 2022, until April 2027

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In April 2011, the Ministry of Commerce of the People's Republic of China announced anti-dumping duties on non-displacement single-mode optical fibres (used, for example, for long-distance telephony and multichannel television broadcasting systems) (HS code: 9001.1000) imported from the EU and the U.S. This measure was reviewed and extended in April 2017 and, subsequently in April 2022. The duty rate on imports originating from the European Union ranges from 12.9% to 29.1%, depending on the company. The duty rate on imports originating from the United States ranges from 33.3% to 78.2%, depending on the company.
Coverage Product: Dispersion unshifted single-mode optical fibres (HS 9001.1000)

Countries: European Union, United States

CHINA

Since January 2003, last amended in January 2014

Pillar Public procurement of ICT goods and online services  |  Indicator Exclusion from public procurement
Government Procurement Law of the People's Republic of China (Order of the President No. 68) (中华人民共和国政府采购法 (主席令第68号))
Art. 10 of the Government Procurement Law states that procuring entities must procure domestic goods, construction, and other services, except in one of the following situations: (i) where the goods, construction, or other services needed are not available within the territory of China or cannot be acquired on reasonable commercial terms, even if they are available in China; (ii) where the items to be procured are for use abroad; and (iii) where otherwise provided for by other laws and administrative regulations.
Moreover, the Chinese public procurement regulations actively promote a Buy Chinese policy. In principle, only Chinese companies are allowed to bid in public tenders, with foreign companies permitted only under exceptions. Government agencies and related entities are required to purchase equipment and technology from Chinese state-owned or privately-owned manufacturing companies. It is reported that public tenders often lack sufficient publicity. Furthermore, central and local entities tend to implement these provisions very broadly, exceeding the discriminations imposed by the law.
Coverage Horizontal

CHINA

Since July 2014

Pillar Public procurement of ICT goods and online services  |  Indicator Exclusion from public procurement
Report by the National Development and Reform Commission of China and the Ministry of Finance
A report by the National Development and Reform Commission of China and the Ministry of Finance bans the purchase of certain foreign IT products for selected government procurement lists. For example, one government procurement list banned ten Apple Inc. products, including the iPad, iPad Mini, MacBook Air and MacBook Pro.
A separate procurement list includes some Apple computers that departments can continue to buy on a smaller scale, i.e. purchases totalling less than 1.2 million yuan (USD 195,000). Products from Dell Inc., Hewlett-Packard Co. and Chinese maker Lenovo Group Ltd. were included on both lists. This ban applies to all central Communist Party departments, government ministries and local governments.
Coverage Apple Inc. products including the iPad, iPad Mini, MacBook Air and MacBook Pro as well as some Apple computers

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