Angry makers of DVD players say it is unfair of the European Union to block imports of some Chinese products due to an ongoing dispute over royalties. They also said they might not be able to reach a negotiated settlement and might have to take tougher, legal action. 'I think we will have to settle this in the courts,' said an official at Xiashin Electronics. 'Chinese companies want to pay [royalties] but they want a fair system.' The China Chamber of Commerce for Import and Export of Machinery and Electronic Products informed its more than 3,400 companies that EU customs authorities had impounded a number of Chinese-made DVD players. The move was in response to complaints by several manufacturers, according to the Shanghai Daily. The newspaper quoted a chamber official as saying about 100 makers exported the product to the EU. The mainland's global exports in the first half of last year were 12.17 million players. Shinco Electronic, a major domestic manufacturer, said it was making the required payments for the technology but it too was unhappy with the system. 'Big makers are paying but smaller ones are able to avoid this cost,' a company official said. 'This is unfair.' Nine companies have been lobbying for Chinese manufacturers to make royalty payments on DVD technology. Royal Philips Electronics, Sony and Pioneer make up one group while a second group includes Hitachi, Mitsubishi and Toshiba of Japan and AOL-Time Warner.