The V-chip technology is owned by Canadian Tri-Vision International Ltd.

The China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME), which represents major Chinese TV exporters, will lead the negotiation.

Tri-Vision International Ltd has asked Chinese TV makers to pay a royalty of US$1.25, or 0.9 per cent of its selling price per unit, for its V-chip technology.

The V-chip reads information encoded in television shows and blocks programmes carrying a rating that parents deem unsuitable for children.

The United States has required all television sets with screens at least 13 inches in size to incorporate the technology since 2000.

Tri-Vision has registered the V-chip patent in the United States and Canada.

Licensees of the Tri-Vision V-chip include major names like Sony, Sharp, Hitachi, Sanyo, Pioneer and LG Electronics.

A CCCME official said it is now consulting technicians and lawyers about the technology. By negotiating as a group, Chinese TV manufacturers hope to achieve a lower price for the V-chip licence.

Most use Tri-Vision technology for their US exports, the official said.

But domestic TV makers are not presently licensed by the Canadian firm.

The CCCME official said the patent licence will cost a lot, considering the amount China exports to the United States.

The United States is the largest export market for Chinese TV sets, buying 4.45 million units last year.

But Chinese TV exporters have recently been stymied by trade barriers.

(China Daily June 17, 2003)