SCIO briefing on implementing the Outline of 14th Five-Year Plan (2021-2025) and accelerating the strengthening of intellectual property in China

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Many people believe that China is already a major player in terms of IP, but that it is not strong yet. Could you explain what efforts have been made to promote the high-quality development of IP? And what have been the effects? Thank you.

Shen Changyu:

Thank you for your questions. In China's 14th Five-Year Plan, the "number of high-value invention patents per 10,000 population" is set as the expected index, which is a very important index. We need to strive for high quality and improve the quality. We need to solve the problems of "large but not strong" and "large but not excellent." As it was said just now, high-quality development is indeed a very important issue. It is a major decision and plan made by the CPC Central Committee with Comrade Xi Jinping at its core according to China's overall social and economic development. This idea has not only driven the vigorous development of the economy, but also become the fundamental principle for determining development ideas, formulating policies and measures, and implementing macro-controls in all fields. The NIPA has also taken a series of powerful measures to promote high-quality development of IP in order to implement the decision and plan of the CPC Central Committee. 

First, we will deepen implementation of the projects to improve the quality of patents and promote the strategy for trademarks and brands as well as the use of geographical indications. We will accelerate the establishment of an indicator system, policy system, statistical system and assessment system for the high-quality development of IP. Second, we will promote the "ownership of high-value invention patents per 10,000 population" for inclusion in the national 14th Five-Year Plan index, replacing the "ownership of invention patents per 10,000 population" index in the 12th and 13th five-year plans. Third, we will strictly enforce the examination and authorization of patents and trademarks, and promote high-quality creation and efficient use through high-quality assessments. Fourth, we will promote the improvement of funding policies, completely cancel funding for the application of IP, and focus on increasing support for subsequent transformation and application, administrative protection and public services. Fifth, we will severely crack down on abnormal patent applications not for the purpose of protecting innovation and malicious trademark registrations not for the purpose of being used.

Driven by these policies, the quality and efficiency of China's IP development has continuously improved. During the 13th Five-Year Plan period (2016-2020), the export volume of China's intellectual property royalties increased by double digits for five consecutive years. In 2020, the figure reached $8.68 billion, registering an average annual growth rate of 51.6%. The pledge financing of patents and trademarks more than doubled from 84.85 billion yuan ($13.07 billion) to 218 billion yuan. The added-value of China's patent-intensive industries reached 11.5 trillion yuan in 2019, accounting for 11.6% of GDP. In 2020, 408 Chinese brands, totaling $1.6 trillion, entered the list of the world's top 5,000 brands, ensuring a strong underpinning for our high-quality economic development. In general, China's IP development has seen continuous improvement in both quality and efficiency in recent years. Thank you.

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