Chapter 20  Educational Services

China’s commitment regarding trade in educational services has presented Shanghai with both opportunities and challenges. In common with trade in any other kind of service, trade in educational services is conducted in four modes, namely cross-border supply, consumption abroad, commercial presence, and movement of natural persons. Regarding the supply of educational services, China imposes restrictions on certain types of services and has made no commitments on cross-border supply of educational services. However, there is no restriction imposed on the consumption of educational services abroad. Commercial presence is allowed, that is, joint running of schools is allowed with reservations on the granting of national treatment. As to the movement of natural persons, qualified individuals, upon the recruitment or invitation of Chinese schools or educational institutions, are allowed to come to China to provide educational services. By seizing the opportunities, Shanghai has been making endeavor to promote standardized and sound development of its educational services.

I. Promoting “Consumption Abroad”

    Efforts have been devoted to attract more overseas students to Shanghai. At the same time, efforts have been intensified to make sure quality educational services are available to them. By doing so, Shanghai intends to upgrade the exchanges between institutions of higher learning in Shanghai and those in other parts of the world so as to let the influence of the city’s educational services widely felt throughout the world. This is then hoped to promote further reform and development of education on the one hand and to bring in foreign exchange on the other. Over the past three years, there has been a dramatic increase in the number of overseas students among the recruits of the institutions of higher learning. In 2002, the institutions of higher learning in Shanghai recruited 13,081 overseas students, registering a record high growth of 69.7%. According to the statistics up to September 20, 2004, 23 higher educational institutions in Shanghai recruited a total of 19,018 overseas students, up by 38.8% over last year. Among them, there are 14,215 long-term students (registering a study period of more than six months), an increase of 27.6% over last year. There are 4,803 short-term students (registering a study period of fewer than six months), an increase of 87.9%. In 2003, there were 6 universities recruiting more than 1000 overseas students. The figure rose to 9 in 2004. These universities are: Fudan University, Jiaotong University, East China Normal University, Shanghai University of International Studies, Tongji University, Shanghai Normal University, Shanghai University, Shanghai Chinese Medical University, Shanghai University of Finance and Economy. Fudan University has enjoyed a record high this year with the number of overseas students reaching 4201 while Donghua University has experienced the fastest growth in its recruitment of overseas students up to 700 in 2004 compared with only about 100 at the beginning.

II. Standardizing “Commercial Existence”

Up to August 2004, a total of 230 Sino-foreign joint schools or programs have got the license from the Shanghai Municipal Education Commission. Of the independent organizations, 44 enjoy legal person status while 36 don’t have legal person status. The remaining are 150 joint programs formed within the universities or colleges in Shanghai.

    The following five aspects will show the good development momentum of joint running of schools in Shanghai:

1. Universities are seeking to form partnership with world famous universities to launch postgraduate schools and international schools. There are even attempts to offer educational services involving multiple links with different international universities.

2. Universities in Shanghai are also working closely with international organizations to run schools with their own brands to sharpen their competitive edge.

3. Attempts have been made to launch joint programs between educational institutions and enterprises.

4. Advanced teaching and management experience and notions have been introduced during the joint running of schools and programs.

5. Joint schools and programs are becoming more sophisticated and specialized.

III. Encouraging “Movement of Natural Persons

In recent years, the number of foreign cultural and educational experts is increasing. Up to October 2004, a total of 3041 long-term employment contracts have been signed by foreign teachers or expects. Among them, 755 are signed with institutions of higher learning, 1027 with elementary and secondary schools, vocational schools and private schools, and 1279 with international schools for the children of foreign expatriates. This figure has already shown a 62% increase over that of 2002 even though it doesn’t take into account the number of foreign personnel involved in short-term employment contracts, lectures, seminars and exchange of visits.

Box 20.1 China’s Commitments with regard to Educational Services

    China has made commitments regarding all four educational services, namely providing distance education, encouraging studies abroad, supporting running schools overseas and encouraging the movement of professionals. However, those are not broad commitments. In terms of scope of services, while foreign parties are allowed to provide educational services on five categories including primary education (pre-schooling), secondary education (non-compulsory educational period), tertiary education, continuation education, there are no commitments yet to allow them to provide educational services in special areas such as military and police training, politics and training of Communist Party officials as well as compulsory education. There are also no commitments regarding cross-border supply of educational services though no restrictions have been imposed on consumption of education overseas. Commercial presence is allowed but is only limited to joint schooling without commitments on national treatment. With regard to the movement of natural persons, qualified overseas individuals, if invited or recruited by Chinese schools or educational institutions, may come to China to provide educational services. Payment for such services shall be determined by the government.

Box 20.2

1. Dealing with contingencies of overseas students. It is now imperative for universities as well as primary and secondary schools to establish a detailed contingency plan dealing with emergencies and problems of overseas students. It is particularly urgent for those primary and secondary schools which have just started the recruitment of overseas students.

2. Dealing with issues concerning part-time jobs taken by overseas students. According to international experience, a good policy governing the part-time jobs taken by overseas students is an essential component of a sound learning environment. Therefore, Shanghai needs to work out relevant policies under the existing legal framework so as to optimize the learning environment for overseas students.