A government-affiliated research body announced Tuesday in Beijing that it will develop China's own DVD format in order to break monopoly of foreign companies in DVD manufacturing.

Lu Da, deputy director of the National Disc Engineering Center, said that the new Chinese DVD format will be based on the prevailing format of HD-DVD but incompatible with the HD-DVD systems.

The Chinese format will produce higher definition, better sound and safer way for copyright protection, Lu said.

"With such format and related standards," Lu said, "We could have our own voice in the DVD industry."

The new Chinese DVD format is scheduled to put into market before 2008.

China produced about 70 percent to 80 percent of the world's DVD players. However, Chinese manufacturers need to pay licensing fee to overseas patent holders in the DVD industry.

The licensing fee accounts for 40 percent of the rough cost of each DVD player, Lu said.