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Hollywood May Win Quota Concession in China (Report)

The quantity of Hollywood movies imported into China may increase under the terms of a trade deal.

The number of films able to be distributed in China on revenue sharing terms could grow from 34 at present to 44, according to news publication The Information. No sources are cited.

The publication also says that the bilateral talks, which started in February 2017, have been stalled since the Chinese New Year period in February this year.

The negotiations seek to renew and replace an existing deal which has been in place since 2012. In addition to the number of revenue sharing film imports, the negotiations cover matters including the size of the revenue share to be paid to rights owners, the number of films that can additionally be imported on flat fee terms, and other terms of trade.

Currently, Chinese government regulators choose which films are to be imported on revenue sharing terms, as well as their release dates. In most cases only state-owned companies are allowed to distribute the revenue sharing films in China. The U.S. Trade Representative, which heads negotiations for the American side, has sought greater flexibility on these matters.

All films released in China also need to be approved by censors, and to be cleared for audiences of all ages. That has meant significant cuts in some cases.

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