China is opening up its tourism industry ahead of schedule, as a run of new foreign-controlled travel services enter the market.

Zhang Xiqin, vice-chairman of the China National Tourism Administration, made the comment during the 15th Session of the General Assembly of the World Tourism Organization, which will run until October 24 in Beijing.

He said the German-based Touristik Union International will co-operate with China Travel Service, one of the three largest travel agencies in China, to set up a joint-venture travel agency.

It will be the first such joint venture in which foreigners will control most of the shares, according to Zhang.

He said this milestone will be reached one year ahead of the schedule agreed with the World Trade Organization.

The tourism administration also agreed in July this year to allow Japan Airlines to set up a trial wholly foreign-owned travel service - four years ahead of the commitment made to the World Tourism Organization, said Zhang.

He also announced that the United States-based Business Travel International has signed a memorandum of co-operation with the Jin Jiang International Group in Shanghai to set up a joint venture travel agency. The US firm will also control shares in this venture.

According to a tourism administration and Ministry of Commerce rule which came into effect on July 12, foreign operators will be able to open outlets in five major cities and 12 government-designated resort areas. The cities are Beijing, Shanghai, Guangzhou, Shenzhen and Xi'an.

But foreign travel agencies will not be permitted to arrange tours for Chinese mainland citizens to foreign countries, to the Hong Kong and Macao special administrative regions, or Taiwan Province.

Zhang said that at the ongoing general assembly of the World Tourism Organization, China's tourism minister He Guangwei will hold talks with more than 30 of his overseas counterparts and will sign documents of tourism co-operation with several of them.

The vice-chairman said China's tourism industry was among the first to bring in foreign investors.

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