PMI may make Marlboros in China

PMI may make Marlboros in China

BEIJING: China's state-run tobacco monopoly reached an
agreement on Wednesday with Philip Morris Incorporated (PMI) for
the licensed manufacture of the Marlboro brand of cigarettes in
China.

The China National Tobacco Corporation (CNTC) would also set
up an international joint venture with PMI to market Chinese-
brand cigarettes abroad, said a joint press release by the two
companies.

"The agreements signed today with PMI will allow us to exert
our strengths and create significant opportunities for sustained
long-term mutual growth and commercial success on a global
scale", said Li Keming, deputy chief administrator of the State
Tobacco Monopoly Administration.

The Marlboro brand, owned by PMI, will be produced under
license at CNTC's affiliate factories and will be distributed by
CNTC's official distributors nationwide in China.

Trial production began last year in anticipation of the
agreement, with formal production expected to begin in early
2006. -- AFP