William Moss wrote a good story about China's answer to HD DVD or Blu-Ray formats: Extended Versatile Disk.
"For HD-DVD and Blu-Ray to succeed, movie studios need to support them. But even if the government mandates EVD as the format for Chinese content, its success hinges upon China's movie pirates. Either the pirates will need to support EVD, or they need to be stamped out so that legitimate content can rule China's shelves."
Read Moss' article here.