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FOR IMMEDIATE RELEASE

SPI SUPPORTS INFORMATION REQUEST ON CHINA'S IPR ENFORCEMENT

WASHINGTON, D.C. (October 27, 2005) - The Society of the Plastics Industry, Inc. (SPI) welcomed a formal request by the Office of the U.S. Trade Representative (USTR) for detailed information on China's efforts to enforce intellectual property rights. USTR has invoked a special rule under Article 63.3 of the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights ("TRIPs Agreement") that permits WTO members to seek information on another Member's implementation of its obligations under the TRIPs Agreement. Japan and Switzerland also submitted similar requests to the Chinese government.

Earlier this year, China reported general statistics on infringement proceedings instituted between 2001 and 2004. USTR has requested that China provide more detailed information about these proceedings, such as the specific legal basis for each case, the precise nature of any remedies (i.e., criminal penalties, civil damages, cease and desist orders), clarification of whether the rights holders were Chinese nationals or nationals of other WTO members and precise identification of the products involved.

"Based on all available information, piracy and counterfeiting remain rampant in China despite years of engagement on this issue," said U.S. Trade Representative Rob Portman in a statement announcing the USTR request. "If China believes that it is doing enough to protect intellectual property, then it should view this process as a chance to prove its case. Our goal is to get detailed information that will help pinpoint exactly where the enforcement system is breaking down so we can decide appropriate next steps," continued Portman.

"We strongly support USTR's action," said SPI President Bill Carteaux. "The U.S. plastics industry has first-hand experience with the widespread illegal counterfeiting and pirating of U.S. goods in China. More often than not, plastics companies have been victimized - but not victorious - under China's intellectual property laws."

"SPI commends any effort on the part of USTR to collect more concrete data to evaluate the degree to which China's enforcement regime functions consistent with its international obligations," added Carteaux. "Along with other U.S. industry groups, we have urged USTR to ratchet up its engagement with China on this issue. We will continue to provide input from our members with the goal of achieving adequate protection of the industry's intellectual property rights in China."

Founded in 1937, The Society of the Plastics Industry, Inc., is the trade association representing one of the largest manufacturing industries in the United States. SPI's members represent the entire plastics industry supply chain, including processors, machinery and equipment manufacturers and raw materials suppliers. The U.S. plastics industry employs 1.4 million workers and provides nearly $310 billion in annual shipments. For more information, visit SPI on the Web at www.plasticsindustry.org.

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