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April 21, 2004

China, US make tech trade progress

Washington gained some ground in trade talks with China yesterday, as Beijing agreed to postpone the introduction of a controversial wireless standard.

By CBR Staff Writer

US tech manufacturers had slammed the proposed Chinese-developed wireless encryption standard, arguing it bypassed international standards setting procedures and would effectively shut them out of the world’s hottest IT market.

US and Chinese trade representatives met in Washington yesterday in an attempt to thrash out some of the issues causing friction between the two countries, including the wireless technology.

By yesterday evening, it appeared that Chinese negotiators had agreed to postpone the introduction of the standard, a move that was immediately applauded by US technology lobbying groups.

Chinese also reportedly agreed to clamp down on intellectual piracy, and to make it easier for foreign firms to operate in the country.

For its part, China secured US agreement to an easing of restrictions on some strategic high-tech goods, and to discuss China’s market economy status, which could ultimately effect how Washington treats future trade disputes.

The two countries have clashed over a number of issues in recent months, and trade with China in particular, has become an issue in the US presidential election campaign.

This article is based on material originally published by ComputerWire

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