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China considers readjusting telecommunications fees

wjc.gif (27326 bytes)China is planning to readjust its telecommunications fees to conform with the international price situation, said Wu Jichuan, minister of Information Industry in Shanghai Wednesday.

Wu said that compared with neighbouring countries, China's local telephone calls and mobile phone calls are less expensive, but Internet service providers (ISP) and the cost of international phone calls are both more expensive.

"The fees adjustment will bring down the income of the telecommunications industry in the short period, but with the increase of users, the sector stands to win in the long-term," he said.

China lowered the its ISP charges and telephone installation fees in March, resulting in an income decrease of 12.5 billion yuan to the telecommunications industry, but the number of Internet users and telephone users has increased significantly.

The minister said that China's information industry will gradually focus on the development of micro-electronics, software, information infrastructure construction, and market construction, because at present China supplies itself with less than 20 percent of its micro-electronics products.

The Chinese electronics industry ranks fifth in the world in terms of production scale. In 1998, China produced 2.9 million computers, 8.6 million mobile phones, and 36 million color TV sets.
(Xinhua)

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