It is known to all that productivity can be taken as a measure of an economy status of a region or an industry. It is an index reflecting the combination of technological progress, technological efficiency and scale efficiency. In this paper, we use the nonparametric Malmquist index approach to estimate the change of total factor productivity (TFP) of telecommunications in China during 1990-2004 and decompose it into technical progress, pure technical efficiency and scale efficiency. Then our paper concludes that the TFP growth of China Telecommunications is at mean annual 4.1% during 1990-2004. In this decade, China took a series of telecommunication reforms, the contribution of technical progress, pure technical efficiency and scale efficiency to productivity improvement is various during different periods and we can see the impact of telecommunications reforms on the productivity of telecommunications in China.
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