And just last year, the animated blockbuster "Zhang Ga, the Boy Soldier" was adapted from a 1963 film of the same name. It tells the true story of a boy hero in the War of Resistance Against Japanese Agression. With 3D technology, "Zhang Ga" marks China's boldest attempt to modernize its animation industry.

Sun said: "'Zhang Ga'is different from all previous Chinese animation. It's based on a true story, not a work of fiction. Its subject is fresh, and the technology is cutting-edge. It's a digital film in the true sense."

Hong Kong animation blooms

Despite having an awesome live-action film industry, Hong Kong generated few animated pictures in the 1960s and 70s. And most of them were trailers and TV commercials.

But entering the 80s, caricaturist Wu Sau-yee spearheaded the first Hong Kong animated feature. "Old Master Q" was based on the popular comic figure of the same name. Millions of Chinese identified with the character, and the film became a surprise hit. In the following two years, two more "Old Master Q" movies were made. And the first of the trilogy was honored as "Best Animated Film" at the 18th Taiwan Golden Horse Awards.

But it was not until 1997 that another animated hit came to the Hong Kong screen. "Siu Sin", by celebrated director Tsui Hark, is based on his live-action film "A Chinese Ghost Story". Tsui used 3D technology for the entire movie. Though box office returns were less than expected, the film set a technological milestone.