Federal Register / Vol. 72, No. 77 / Monday, April 23, 2007 / Notices 20143 

OFFICE OF THE UNITED STATES 

TRADE REPRESENTATIVE 

[Docket No. WTO/DS–363] 

WTO Dispute Settlement Proceeding 

Regarding China—Measures Affecting 

Trading Rights and Distribution 

Services for Certain Publications and 

Audiovisual Entertainment Products 

AGENCY: Office of the United States 

Trade Representative. 

ACTION: Notice; request for comments. 

SUMMARY: The Office of the United 

States Trade Representative (USTR) is 

providing notice that on April 10, 2007, 

in accordance with the Marrakesh 

Agreement Establishing the World 

Trade Organization (WTO Agreement), 

the United States requested 

consultations with respect to (1) Certain 

measures that restrict trading rights with 

respect to imported films for theatrical 

release, audiovisual home entertainment 

products (e.g., video cassettes and 

DVDs), sound recordings, and 

publications (e.g., books, magazines, 

newspapers, and electronic 

publications), and (2) certain measures 

that restrict market access for, or 

discriminate against, foreign suppliers 

of distribution services for publications 

and foreign suppliers of audiovisual 

services (including distribution 

services) for audiovisual home 

entertainment products. That request 

may be found at http://www.wto.org 

contained in a document designated as 

WT/DS363/1. USTR invites written 

comments from the public concerning 

the issues raised in this dispute. 

DATES: Although USTR will accept any 

comments received during the course of 

the consultations, comments should be 

submitted on or before May 7, 2007 to 

be assured of timely consideration by 

USTR. 

ADDRESSES: Comments should be 

submitted (i) Electronically, to 

FR0708@ustr.eop.gov, with ‘‘China 

Trading Rights and Distribution 

Services (DS363)’’ in the subject line, or 

(ii) by fax, to Sandy McKinzy at (202) 

395–3640, with a confirmation copy 

sent electronically to the electronic mail 

address above, in accordance with the 

requirements for submission set out 

below. 

FOR FURTHER INFORMATION CONTACT: 

Steven F. Fabry, Associate General 

Counsel, Office of the United States 

Trade Representative, 600 17th Street, 

NW., Washington, DC, (202) 395–3150. 

SUPPLEMENTARY INFORMATION: Section 

127(b) of the Uruguay Round 

Agreements Act (URAA) (19 U.S.C. 

3537(b)(1)) requires that notice and 

opportunity for comment be provided 

after the United States submits or 

receives a request for the establishment 

of a WTO dispute settlement panel. In 

an effort to provide additional 

opportunity for comment, USTR is 

providing notice that consultations have 

been requested pursuant to the WTO 

Understanding on Rules and Procedures 

Governing the Settlement of Disputes 

(‘‘DSU’’). If such consultations should 

fail to resolve the matter and a dispute 

settlement panel is established pursuant 

to the DSU, such panel, which would 

hold its meetings in Geneva, 

Switzerland, would be expected to issue 

a report on its findings and 

recommendations within nine months 

after it is established. 

Major Issues Raised by the United 

States 

On April 10, 2007, the United States 

requested consultations with China with 

respect to certain measures pertaining to 

the protection and enforcement of 

intellectual property rights in China. 

The first matter on which the United 

States has requested consultations 

concerns certain measures of China that 

reserve to certain Chinese statedesignated and wholly or partially stateowned enterprises the right to import 

films for theatrical release, audiovisual 

home entertainment products (e.g., 

video cassettes and DVDs), sound 

recordings, and publications (e.g., 

books, magazines, newspapers, and 

electronic publications). In this regard, 

the measures at issue include the 

following, as well as any amendments 

and related or implementing measures: 

• The Regulations on Administration 

of the Films Industry; 

• The Provisional Rules on the Entry 

Criteria for Operating Film Enterprises; 

• The Administrative Regulation on 

Publishing; 

• The Administrative Regulations on 

Audiovisual Products; 

• The Catalogue for Guidance of 

Foreign Investment Industries; 

• The Several Opinions of the 

Ministry of Culture, State 

Administration of Radio, Film and 

Television, General Administration of 

Press and Publication, National 

Development and Reform Commission 

and the Ministry of Commerce on 

Introducing Foreign Investment into the 

Cultural Sector; 

• The Measures for the 

Administration of Import of Audio and 

Video Products; 

• The Measures for Administration of 

Chinese Foreign Contractual 

Distribution Ventures of Audiovisual 

Products; 

• The Administrative Regulations on 

Electronic Publications; and 

• The Procedure for Examination and 

Approval of Establishment of 

Publication Importation Entities. 

It appears that these measures do not 

allow all Chinese enterprises and all 

foreign enterprises and individuals to 

have the right to import the Products 

into the customs territory of China. It 

also appears that foreign individuals 

and enterprises, including those not 

invested or registered in China, are 

accorded treatment less favorable than 

that accorded to enterprises in China 

with respect to the right to trade. These 

measures appear to USTR to be 

inconsistent with China’s obligations 

under paragraphs 1.2, 5.1 and 5.2 of Part 

I of the Protocol on the Accession of the 

People’s Republic of China and Article 

XI:1 of the General Agreement on Tariffs 

and Trade 1994. 

The second matter on which the 

United States has requested 

consultations concerns certain measures 

of China that impose market access 

restrictions or discriminatory 

limitations on foreign service providers 

seeking to engage in the distribution of 

publications and certain audiovisual 

home entertainment products. In this 

regard, the measures at issue include the 

following, as well as any amendments 

and related or implementing measures: 

• The Administrative Regulation on 

Publishing; 

• The Administrative Regulations on 

Audiovisual Products; 

• The Provisions on Guiding the 

Orientation of Foreign Investment; 

• The Catalogue for Guidance of 

Foreign Investment Industries; 

• The Several Opinions of the 

Ministry of Culture, State 

Administration of Radio, Film and 

Television, General Administration of 

Press and Publication, National 

Development and Reform Commission 

and the Ministry of Commerce on 

Introducing Foreign Investment into the 

Cultural Sector; 

• The Administrative Regulations on 

Management of Foreign-Invested Book, 

Magazine and Newspaper Distribution 

Enterprises; 

• The Administrative Regulations on 

the Publication Market (revised); 

• The Administrative Regulations on 

Electronic Publications; 

• The Administrative Measures on 

Subscription of Imported Publications; 

• The Procedure for Examination and 

Approval of Establishment of ChineseForeign Entities, Cooperative Joint 

Ventures, and Wholly Foreign Owned 

Publication Distribution Enterprises; 

and 


jlentini on PROD1PC65 with NOTICES
20144 Federal Register / Vol. 72, No. 77 / Monday, April 23, 2007 / Notices 

• The Measures for Administration of 

Chinese Foreign Contractual 

Distribution Ventures of Audiovisual 

Products. 

It appears that these measures 

prohibit foreign service suppliers 

(including wholly or partially foreignowned or foreign-invested enterprises) 

from engaging at least in certain types 

of distribution of publications and 

audiovisual home entertainment 

products within China. In addition, to 

the extent that some foreign service 

suppliers are allowed to engage in some 

aspects of the distribution of 

publications, there appear to be 

discriminatory requirements concerning 

such suppliers’ registered capital, such 

suppliers’ operating term, and the 

particular publications that such 

suppliers may distribute. Furthermore, 

to the extent that foreign services 

suppliers are permitted to engage in any 

distribution of audiovisual home 

entertainment products, the measures at 

issue appear to impose requirements 

that the service be supplied through a 

form of entity that Chinese persons 

control, or in which Chinese persons 

have a dominant position, or for which 

there is a limitation on the participation 

of foreign capital. These measures 

appear to USTR to be inconsistent with 

China’s obligations under Articles XVI 

and XVII of the General Agreement on 

Trade in Services. 

Public Comment: Requirements for 

Submissions 

Interested persons are invited to 

submit written comments concerning 

the issues raised in the dispute. 

Comments should be submitted (I) 

Electronically, to FR0708@ustr.eop.gov, 

with ‘‘China Trading Rights and 

Distribution Services (DS363)’’ in the 

subject line, or (ii) by fax, to Sandy 

McKinzy at (202) 395–3640, with a 

confirmation copy sent electronically to 

the electronic mail address above. 

USTR encourages the submission of 

documents in Adobe PDF format as 

attachments to an electronic mail. 

Interested persons who make 

submissions by electronic mail should 

not provide separate cover letters; 

information that might appear in a cover 

letter should be included in the 

submission itself. Similarly, to the 

extent possible, any attachments to the 

submission should be included in the 

same file as the submission itself, and 

not as separate files. 

Comments must be in English. A 

person requesting that information 

contained in a comment submitted by 

that person be treated as confidential 

business information must certify that 

such information is business 

confidential and would not customarily 

be released to the public by the 

commenter. Confidential business 

information must be clearly designated 

as such and ‘‘BUSINESS 

CONFIDENTIAL’’ must be marked at the 

top and bottom of the cover page and 

each succeeding page. Persons who 

submit confidential business 

information are encouraged also to 

provide a non-confidential summary of 

the information. 

Information or advice contained in a 

comment submitted, other than business 

confidential information, may be 

determined by USTR to be confidential 

in accordance with section 135(g)(2) of 

the Trade Act of 1974 (19 U.S.C. 

2155(g)(2)). If the submitter believes that 

information or advice may qualify as 

such, the submitter—

(1) Must clearly so designate the 

information or advice; 

(2) Must clearly mark the material as 

‘‘SUBMITTED IN CONFIDENCE’’ at the 

top and bottom of the cover page and 

each succeeding page; and 

(3) Is encouraged to provide a nonconfidential summary of the 

information or advice. 

Pursuant to section 127(e) of the 

URAA (19 U.S.C. 3537(e)), USTR will 

maintain a file on this dispute 

settlement proceeding, accessible to the 

public, in the USTR Reading Room, 

which is located at 1724 F Street, NW., 

Washington, DC 20508. The public file 

will include non-confidential comments 

received by USTR from the public with 

respect to the dispute; if a dispute 

settlement panel is convened or in the 

event of an appeal from such a panel, 

the U.S. submissions; the submissions, 

or non-confidential summaries of 

submissions, received from other 

participants in the dispute; the report of 

the panel; and, if applicable, the report 

of the Appellate Body. The USTR 

Reading Room is open to the public, by 

appointment only, from 10 a.m. to noon 

and 1 p.m. to 4 p.m., Monday through 

Friday. An appointment to review the 

public file (Docket WTO/DS–363, China 

Trading Rights and Distribution 

Services Dispute) may be made by 

calling the USTR Reading Room at (202) 

395–6186. 

Daniel Brinza, 

Assistant United States Trade Representative 

for Monitoring and Enforcement. 

[FR Doc. E7–7606 Filed 4–20–07; 8:45 am] 

BILLING CODE 3190–W7–P 

OFFICE OF THE UNITED STATES 

TRADE REPRESENTATIVE 

[Docket No. WTO/DS–362] 

WTO Dispute Settlement Proceeding 

Regarding China—Measures Affecting 

the Protection and Enforcement of 

Intellectual Property Rights 

AGENCY: Office of the United States 

Trade Representative. 

ACTION: Notice; request for comments. 

SUMMARY: The Office of the United 

States Trade Representative (USTR) is 

providing notice that on April 10, 2007, 

in accordance with the Marrakesh 

Agreement Establishing the World 

Trade Organization (WTO Agreement), 

the United States requested 

consultations with respect to certain 

measures pertaining to the protection 

and enforcement of intellectual property 

rights in China. That request may be 

found at http://www.wto.org contained 

in a document designated as WT/ 

DS362/1. USTR invites written 

comments from the public concerning 

the issues raised in this dispute. 

DATES: Although USTR will accept any 

comments received during the course of 

the consultations, comments should be 

submitted on or before May 7, 2007 to 

be assured of timely consideration by 

USTR. 

ADDRESSES: Comments should be 

submitted (i) Electronically, to 

FR0707@ustr.eop.gov, with ‘‘China IPR 

Protection and Enforcement (DS362)’’ in 

the subject line, or (ii) by fax, to Sandy 

McKinzy at (202) 395–3640, with a 

confirmation copy sent electronically to 

the electronic mail address above, in 

accordance with the requirements for 

submission set out below. 

FOR FURTHER INFORMATION CONTACT: 

Steven F. Fabry, Associate General 

Counsel, Office of the United States 

Trade Representative, 600 17th Street, 

NW., Washington, DC, (202) 395–3150. 

SUPPLEMENTARY INFORMATION: Section 

127(b) of the Uruguay Round 

Agreements Act (URAA) (19 U.S.C. 

3537(b)(1)) requires that notice and 

opportunity for comment be provided 

after the United States submits or 

receives a request for the establishment 

of a WTO dispute settlement panel. In 

an effort to provide additional 

opportunity for comment, USTR is 

providing notice that consultations have 

been requested pursuant to the WTO 

Understanding on Rules and Procedures 

Governing the Settlement of Disputes 

(‘‘DSU’’). If such consultations should 

fail to resolve the matter and a dispute 

settlement panel is established pursuant 

to the DSU, such panel, which would 


jlentini on PROD1PC65 with NOTICES