A new report published by the United States Patent and Trademark Office (USPTO), “Trademarks and Patents in China: The Impact of Non-Market Factors on Filing Trends and IP Systems,” discusses how the high rate of Chinese patent and trademark filings may be influenced by government subsidies and other non-market factors. Evidence of this includes the low rate at which domestic inventors file for patent protection overseas, the low rate in which inventors commercialize patented inventions, and the high rate of bad-faith trademark filings and fraudulent trademark specimens.
While the number of patents and trademarks is often a measure of the intensity of a country’s creativity and innovation, the report cautions that conclusions in this regard with respect to China should not be reached without consideration of non-market factors, such as government subsidies and government mandates. The report also explores the impacts of the increased patent and trademark filings by Chinese entities on IP systems, including undermining domestic and foreign registries, stretching the capacity of China’s patent and trademark examiners and review authorities, and narrowing the scope of available protection for legitimate rights holders.
The report is published here.
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