Specifically, China has committed to:

• Significantly reduce physical goods piracy through a nationwide campaign coordinated at the national, provincial and local levels by Vice Premier Wu Yi.

• Issue a new Supreme Court Interpretation to ensure that China’s enforcement authorities will criminally prosecute those responsible for physical and online commercial piracy in China.

• Amend China’s laws and ratify modern international conventions so that sound recordings transmitted on the Internet are protected and that prompt and effective remedies are provided against Internet pirates.

Mitch Bainwol, Chairman and CEO of the Recording Industry Association of America (RIAA) commented:

“China has committed to tangible, specific steps to address the rampant piracy of copyrighted works. If fully implemented, this will be a landmark announcement and a real victory for composers, record companies, artists and other copyright owners in China. The U.S. Trade Representative and Commerce Department deserve enormous credit.

“This announcement is an important first step, but we look to the Chinese government to ensure that future deeds match present words and commitments. Immediate action by the Chinese authorities to address these problems is critical. We will be closely monitoring implementation of these new commitments. We call upon China to ensure that this program reduces piracy by 50 percent from its current levels by the end of the year, with further verifiable and significant reductions in the following years so that the legitimate business can expand and TRIPS level enforcement be achieved.

“We have also advocated that China remove existing barriers to market access for legitimate sound recordings. The vacuum caused by China’s market barriers will always be filled by pirates who, by the nature of their illegal activities, do not adhere to legitimate market rules. We strongly urge that China immediately begin to address certain administrative hurdles that limit market entry and the distribution of legitimate materials. For example, shortening the time for censorship approvals and permitting wholly-owned foreign investments in all aspects of sound recording activity would be welcome steps to ensure that China reaches its potential for generating legitimate commerce in copyrighted materials.”