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Rules for Foreign Telecom Firms Due out Soon
Wu Jichuan, head of the Ministry of Information Industry, said that China will issue rules on foreign participation in the telecommunications industry before it joins the World Trade Organization.

The ministry has asked other government agencies for opinions concerning the regulations, a draft of which has gone to the State Council for legal review, Wu Jichuan told reporters recently.

Mr. Wu noted that the regulations will need a test period before they take full effect.

The industry should open up to foreign investors after China joins the WTO, which it is expected to do later this year.

Until the rules are released, Chinese mainland will not allow any more pilot joint ventures between Chinese and foreign telecoms firms, Mr. Wu said.

Shanghai Xintian, a unique joint venture with AT&T, opened last month after years of discussion.

China is also writing a related law on telecom investment. Legislators are likely to pass it within two to four years, Mr. Wu said.

(China Daily 03/19/2001)

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