If the Senate follows the House in granting China permanent normal trade relations, and if China joins the World Trade Organization (WTO), tariffs will fall -- and U.S. exports to China's 1.2 billion consumers should increase by $13 billion annually, analysts say.

The average Chinese tariff is expected to drop to 9 percent from 24 percent by 2005 -- with a host of rules against foreign ownership falling.

• Restrictions on telecommunications services will be phased out, and the share of mobile telecom firms owned by foreign companies will increase.

• Foreign companies will -- for the first time -- be able to invest in Chinese Internet service providers.

• China's 6 percent to 10 percent tariffs on semiconductors will be eliminated -- along with its 9 percent tariffs on personal computers.

• Five years after China's admission to the WTO, foreign banks will essentially be allowed to operate as local banks do.

Firms in a multitude of other industries will be tempted to join the burgeoning China trade.

• Property and casualty insurance firms will be permitted to operate nationwide, while those offering group, health and pension policies will be welcomed after five years and wholly-owned nonlife insurance subsidiaries could be established in two years.

• Import tariffs on autos would fall from 80 percent to 100 percent levels currently, to 25 percent by 2006 -- while duties on auto parts would sink from 23.4 percent to 10 percent.

• Duties on farm products will drop as low as 14.5 percent from 22 percent currently.

• In the securities business, China will permit joint ventures that are 33 percent foreign owned to manage funds just as Chinese companies do.

Source: Joseph Guinto, "Businesses Look for Big-Time Gains After China Trade Bill Becomes Law," Investor's Business Daily, June 1, 2000.