Imported films steal the show at nation's cinemas (3)

Tong of the State Film Bureau is aware of that.

"One of the most urgent issues the industry has to address this year is that the rise in quality of local films has severely lagged behind that of the quantity. The industry is short of both technology and talent."

The way to survive tough competition is to be better at local content, said Geng, the senior distributor.

"The most probable approach for local filmmakers to compete with Hollywood is to use their understanding of the local minds and values, to make stories that audiences find easier to relate to."

China has risen to become the second-largest film market behind the US, according to a report by Ernst and Young in November. The industry has continued rapid growth, seeing more than 3,800 new screens built last year. The country now boasts more than 13,000 screens, compared with 1,845 a decade ago.

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