
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, February 9, 1995                   TAG: 9502100076
SECTION: BUSINESS                    PAGE: B-6   EDITION: METRO 
SOURCE: Associated Press
DATELINE: BEIJING                                 LENGTH: Short

CHINA CALLS U.S. UNFAIR IN COPYRIGHT DEMANDS

China set the tone Wednesday for next week's trade talks with the United States, saying it expects Washington to abandon ``unreasonable demands'' for better protection of intellectual property rights.

The negotiations set to resume Wednesday in Beijing are a last-ditch effort to avert a trade war.

Both sides have announced sanctions that would take effect Feb. 26 if an agreement is not reached.

``Since the U.S. side put forth many unreasonable demands, the two countries failed to reach an agreement during their previous round of talks,'' the state-run Xinhua News Agency quoted China's trade ministry as saying.

Beijing blames Washington for the failure of the 20-month-long talks. The United States wants China to strengthen enforcement of laws protecting copyrights, patents and trademarks, in particular by closing down 29 factories producing illegally copied compact discs.

Washington says U.S. companies lose at least $1 billion a year in sales because of Chinese-made knockoffs of music, films, computer software and other goods.

China argues that it has made progress in copyright enforcement, accusing the United States of meddling.

Last week, Washington announced a list of $1.08 billion in Chinese exports that would be subject to 100 percent tariffs. China threatened 100 percent tariffs on American cigarettes, alcoholic beverages, cosmetics and other products. It also said it would break off discussions with U.S. companies seeking to set up auto, chemical and pharmaceutical operations in China.

by CNB