China’s IP progress fuels economic growth in first half of 2024

During a press conference held by the China National Intellectual Property Administration (CNIPA) on July 29, 2024, China announced its commitment to providing fair and strict intellectual property protection for both domestic and foreign enterprises operating in the country.

The conference revealed that as of June this year, the country has reached 4.425 million valid domestic invention patents, with the proportion of patents owned by enterprises rising to 72.8 percent. Changyu Shen, commissioner of the CNIPA, highlighted the Central Committee’s efforts to improve intellectual property practices and the significant reforms implemented in the IP field.

Shen stated that China aims to speed up the inventory of patents in universities and scientific research institutions. “We have built a national invention patent inventory data platform for colleges and research institutions to help them accurately grapes the patent inventory,” said Shen at the press conference.

The first half of this year saw a 22.2 percent year-on-year increase in patent transfers and licences by national universities and research institutions. Furthermore, the added value of patent-intensive industries reached Rmb15.3 trillion (US$2.11 trillion), accounting for 12.7 percent of the annual gross domestic product (GDP).

China is making concerted efforts to fortify its IP legal framework and protection systems. The newly revised patent law and its detailed rules are now implemented, while amendments to the trademark law will be included in the legislative plan of the Standing Committee of the National People’s Congress. Measures have also been issued to protect geographical indication (GI) products and manage collective and certification trademarks.

Wenhui Hu, deputy commissioner of the CNIPA, emphasized China’s IP efforts to promote economic growth. He noted that the Chinese government has issued guidelines and regulations to ensure equal IP protection for both domestic and foreign enterprises. Hu added that China has established 115 IP protection centres nationwide, registering more than 5,000 foreign and joint venture enterprises.

“Over the past year, we have resolved several IP disputes involving companies from the U.S., Germany, France, Italy, Thailand and Denmark. Our efforts have received high praise from foreign companies,” said Hu.

According to Shu Ge, deputy commissioner of the CNIPA and director general of the Strategic Planning Department of the CNIPA, foreign enterprises are increasingly active in applying for patent protection in China. In the first half of 2024, foreign applicants filed 78,000 invention patent applications in China, a 13.1-percent year-on-year increase. The top three countries were Japan, with 22,000 applications (a 7.3-percent year-on-year increase); the U.S., with 20,000 applications (an 11.4-percent year-on-year increase); and South Korea, with 10,000 applications (an 18.2-percent year-on-year increase).