This Access Asia report on cinemas in China and HK deals with ongoing developments as cinemas change, adapt and there is a recovery of attendance in HK.
Cinemas are changing: China is liberalising its cinema market following WTO and CEPA.Where new cinemas are appearing they are no longer the traditional single screen venues but more modern multi-screen venues increasingly located inside shopping malls and larger entertainment venues.
The liberalisation of the cinema sector represents the wider opening of the film production and distribution market in China.
The growth in personal incomes and the ownership of at-home entertainment systems, such as VCD and DVD, has meant that cinema audience attendance figures have fallen and some cinemas forced to close.
This at-home market is partly being fuelled by the widespread availability of pirated DVDs/VCDs that allow for low cost viewing of both domestic and foreign films.
However, there is a growth in multi-screen cinemas, new venues and the level of foreign films available for Chinese audiences to view.