IHS White Paper:  Leveraging the Benefits of Global Industry Standards in China

No stranger to global industry standards, China’s Ministry of Information Industry (MII) announced the formal ratification of Time Division Synchronous Code Division Multiple Access (TD-SCDMA) as its national third-generation (3G) mobile wireless services standards. China is working to develop its own global standards, but also readily complies with established international and U.S. industry standards, allowing China to gain leverage and benefit from the implementation of standards. In 2004, China was deemed to have the most ISO 9000 certificates in the world. By implementing international and U.S. industry standards and contributing to ongoing standards development process, China can resume contributing to the international standards development tradition.

Standards:

• Help the bottom line of business by minimizing costs in a number of ways: reducing unnecessary variety of product parts; increasing control over business processes, such as customer billing; managing regulatory compliance
• Help the bottom line of business by increasing the overall value of production
• Help the bottom line of business by facilitating innovation

In 2001, China formed the Standardization Administration of the People’s Republic of China (SAC), in an effort to streamline trade relations and product approval. The SAC is represents the countries international standards activities along with the International Organization for Standardization (ISO), International Electrotechnical Commission (IEC), Pacific Asia Standards Congress (PASC), American National Standards Institute (ANSI) and the National Institute of Standards and Technology (NIST).

China exuberates interoperability among its national government and business community. The UK Department of Trade and Industry (DTI) reported in 2005 in “The Empirical Economics of Standardization” that labor productivity growth is directly linked to the implementation of standards. This paper discusses the leverage by which China benefits in developing standards while taking advantage of currently existing standards. Some of the topics include:

• China’s newly emerging contribution to the standards development tradition
• How international and U.S. standards can be used to lower costs, increase product value, and stimulate innovation
• How standards facilitate trade relations and the approval of newly developed or exported products
• Various techniques and technologies that third-party standards suppliers offer for saving time and money associated with standards research, identification, procurement and management
• Contributing to the historic and prestigious tradition of standards development
• Minimizing costs while maximizing value and innovation
• Streamlining trade relations and product approval
• Tools and techniques that simplify the standards process
• Identifies and provides a description of the most common electronics and electrical standards and regulations acquires from a third-party standards supplier

A third-party standards supplier can provide solutions for companies using international and U.S. standards and specifications. IHS provides an integrated, online solution for searching, researching, procuring and tracking both current and historic standards.

Download this paper to best understand how to effectively use and benefit from international and U.S. standard while doing business in China.