US hails "big win" versus China film barriers

Top trade judges on Monday rejected a Chinese appeal against a World Trade Organization ruling that said many of its curbs on foreign films, books and other cultural products violate open trading rules. The decision -- turning down Chinese complaints that an original WTO panel had erred in backing much of a case brought by the United States against the restrictions -- made no recommendation on how China should now handle the issue. US Trade Representative Ron Kirk called the ruling a "big win" for the United States and U.S. filmmakers, recording companies and book publishers frustrated by widespread piracy in China and their difficultly selling legitimate products. The judges from the WTO's Appellate Body said that China had produced no evidence that the panel was wrong in any of its findings against Beijing in a case some commentators have linked to the communist state's censorship practices. But they also turned down a U.S. appeal against part of the panel's ruling -- that China could fairly claim that its strict controls on firms importing printed material were aimed at protecting public morals. The appeal ruling comes at a time of growing concern among U.S. companies about China's respect for intellectual property.