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[WOW][updated] China involves dispute arbitrated by WTO Options
Lomax
Posted: Wednesday, August 12, 2009 5:04:37 AM


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Its unbelievable to me that this hasn't gotten more press (edit : if true notice its rumoured, but it sounds very plausible), but according to this story the WTO has ruled against China's practise of only allowing foreign games operators from operating in China through approved (and presumably state run) firms.

Quote:

hearing. The content of the arbitration is confidential at this moment and is scheduled to be released on August 12. However, according to US Medias, WTO has ruled that the United States wins the case and considers China's practice of importing audio-visuals, books and magazines of the United States only through designated agent goes against WTO rules and regulations. For example, WTO think


This could be a major landmark case as far as MMO's go, if the WTO have ruled in favour of Blizzard then they either have to comply or face legally enforceable trade sanctions, its lose or lose then with China's reliance on exports the way I see it. Kind of wonder how this will effect the rest of the MMO industry, and even further reaching with other video games, books, films etc.
Cyanbane
Posted: Wednesday, August 12, 2009 5:15:50 AM


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I agree that is really big news and I wonder why it isn't on major news outlets.

However, China can, in this instance, really just keep doing whatever it wants. I don't see anyone enforcing any sanctions on it's exports. Everyone is already to much reliant on them.
Lomax
Posted: Wednesday, August 12, 2009 6:28:42 AM


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Cyanbane wrote:
I agree that is really big news and I wonder why it isn't on major news outlets.

However, China can, in this instance, really just keep doing whatever it wants. I don't see anyone enforcing any sanctions on it's exports. Everyone is already to much reliant on them.


Well I've found an initial story here dated July, interestingly the WTO probe is much wider as the result appears to show, but not mentioning Blizzard.
Quote:

But, as with most WTO rulings, the officials say the ruling stops short of a complete U.S. victory as the three-member panel delivered mixed findings on Chinese censorship rules that apply to American-made goods, but not to Chinese products. It also permits China to make U.S. films go through one of two designated distributors to be shown in Chinese cinemas, a requirement not required of Chinese movies.


This is the new bit that interested me, I wonder if the censorship that WoW went through did not apply to Chinese based MMO's. Either way I'd expect any sanctions to be likely some way away, although I'd say that sanctions are likely since the US can happily slap, say a 10% import tariff on all Chinese made TV's and make it legal through the WTO (as they have already done in the past), the only lever China has against the US would be to stop buying treasuries, but since to do so would raise the value of their own currency and lower the value of their reserves so its pretty much a nuclear option in my opinion.

EDIT : Reuters are now carrying the story, but only very basic details

EDIT : Looks like the question of whether the US will ever apply sanctions or restrict imports in retaliation will be decided 17th September, further news of WTO rulings from Reuters.

Quote:
President Barack Obama must decide by September 17 whether to restrict imports of car and light truck tires from China in a case that could unleash a flood of requests from other industries if he gives the nod.


Separate industry but once the precedent is made as Reuters point out...
Lomax
Posted: Tuesday, August 18, 2009 1:03:26 AM


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Its still going on, Free Beta continues.

The Activision execs must be tearing their hair out by now, at least we don't get any more stories about millions of new players anymore.
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