China to Raise Penalties on IP Theft in Trade War Compromise
November 24, 2019
China said it will raise penalties on violations of intellectual property rights in an attempt to address one of the sticking points in trade talks with the U.S.
The country will also look into lowering the thresholds for criminal punishments for those who steal IP, according to guidelines issued by the government on Sunday. It didn’t elaborate on what such moves might entail.
The U.S. wants China to commit to cracking down on IP theft and stop forcing U.S. companies to hand over their commercial secrets as a condition of doing business there. China said it’s aiming to reduce frequent IP violations by 2022 and plans to make it easier for victims of transgressions to receive compensation.
The two countries are working toward a partial trade deal and leaving the more controversial issues for later discussions. China’s chief trade negotiator spoke last week about its plans for reforming state enterprises, opening up the financial sector and enforcing intellectual property rights -- issues at the core of U.S. demands for change in China’s economic system.
“Strengthening IPR protection is the most important content of improving the IPR protection system and also the biggest incentive to boost China’s economic competitiveness,” according to the guidelines. Local governments will be required to implement the strengthening of IP rights, it said.
In May, the U.S. added Huawei Technologies Co. to what’s known as the entity list in an effort to block U.S. companies from selling components to China’s largest technology company. Huawei is accused of being a threat to America’s national security, and has denied those claims.
Last week, Chinese President Xi Jinping said his nation wants to work toward a phase-one trade agreement with the U.S. that’s based in part on “equality.” That’s a guiding principle that President Donald Trump just hours later said he doesn’t share...
China Announces Plans to Strengthen Protection of Intellectual-Property Rights
By Mairead McArdle, National Review
November 25, 2019
China’s government on Sunday issued a directive aimed at tightening protections for Chinese intellectual-property rights, amid accusations from the U.S. that China has stolen American intellectual property.
The document, released jointly by the General Offices of the Communist Party of China Central Committee and the Chinese State Council, lays out a goal of strengthening intellectual-property-rights protections over the next two years by cracking down on the infringement of such rights.
“Strengthening IPR protection is the most important content of improving the IPR protection system and also the biggest incentive to boost China’s economic competitiveness,” the directive reads, according to excerpts released by the Chinese State Council.
The new guidelines say China will boost its efforts to enhance international cooperation on IPR protection as well.
The measures come while disputes over intellectual-property theft have roiled trade negotiations between China and U.S. as the world’s two largest economies scramble to reach “phase one” of a trade deal...