Lack of transparency and poor protection of intellectual property rights (IPR) remain two of the biggest obstacles facing foreign companies in China, the EU Chamber of Commerce in China said yesterday.
"More work can to be done to make China's legislative process more transparent," Serge Janssens de Varebeke, president of the EU Chamber, told reporters.
In a survey of EU-run busi-nesses in China, many respondents were also concerned about lack of enforcement of IPR legislation, bureaucratic regulations, and the government's slow progress in implementing World Trade Organization (WTO) rules.
"Little has changed in the past year with regard to the enforcement of intellectual property rights," Janssens de Varebeke said at the presentation of the group's 2004 Position Paper. "Indeed, over 70 percent of members feel that IPR enforcement is ineffective."
Revisions to several important laws in the automotive and telecommunications sectors remained at the drafting stage, he said.
"Many of our members feel that China is willing to implement its commitments but is unable and ill-equipped to implement the changes prescribed by its WTO accession agreement," Janssens de Varebeke said.
He used the cosmetics industry to highlight the problem of bureaucratic regulations, saying foreign firms needed five to 12 months to register a new cosmetic in China, compared with about two months for local firms.
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