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Pirating DVDs, prostitution, bribery, smoking weed and PS3's are all 'banned' in China.  Doesn't explain my >80% of all DVDs sold there are pirated, there are brothels on the main streets of nearly every city i've been to, weed is easy to get, how strictly a law is enforced is inversely proportional to how much money you have and my best mate bought a PS3 in a small industrial city in central China about 4 days after it's US release.

PS3s may have officially been banned but practically speaking, not even close.