After implementing all the commitments made, China's average bound tariff level will decrease to 15 percent for agricultural products. The range is from 0 to 65 percent, with the higher rates applying to cereals.
For industrial goods the average bound tariff level will fall to 8.9 percent, with a range from 0 to 47 percent. The highest rates will apply to photographic film and automobiles and related products. Some tariffs will be eliminated and others reduced, mostly by 2004 but in no case later than 2010.
Upon accession, foreign financial accession, foreign life insurers will be permitted 50 percent foreign ownership in a joint venture with the partner of their choice.
For large-scale commercial risks, reinsurance and international marine, aviation and transport insurance and reinsurance, upon accession joint ventures with foreign equity of no more than 50 percent will be permitted;
-within three years of China's accession, foreign equity share shall be increased to 51 percent;
-within five years of China's accession, wholly foreign-owned subsidiaries will be permitted.
Upon China's accession, foreign-service suppliers will be permitted to establish joint venture enterprises, without quantitative restrictions, and provide services in several cities. Foreign investment in the joint venture shall be no more than 25 percent.
Within one year of accession, the areas will be expanded to include services in other cities and foreign investment shall be no more than 35 percent. Within three years of accession, foreign investment shall be no more than 49 percent. Within five years of accession, there will be no geographic restrictions whatsoever.
As for all WTO members, quotas on textiles will cease at the end of 2004, but there will be a safeguard mechanism in place until the end of 2008 permitting WTO member governments to take action to curb imports in case of market disruptions caused by Chinese exports of textile products.
China has agreed to limit its subsidies for agricultural production to 8.5 percent of the value of farm output.
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