China lifting ban on sales of video game consoles to promote industry growth

China is lifting its ban on sales of video game consoles to promote growth of the industry and a new manufacturing zone in Shanghai.

The Ministry of Culture says consoles produced in the Shanghai Free-Trade Zone will automatically be approved for sale in the rest of China.

The ministry banned console sales in 2000 due to concern Chinese children would waste time playing video games.

The Shanghai trade zone was created in 2013 and has more liberal rules on foreign companies in a range of industries, including bigger ownership stakes and activities that are prohibited elsewhere in China.

Sony Corp. and Microsoft Corp. both have announced plans to manufacture consoles in the Shanghai zone with Chinese partners.