China: Government’s Tougher Take on IPR Infringement

China is touted as one of the most innovative countries in the world, and is also ranked 22^nd in the Global Innovation Index, 2017. Therefore, innovations would require Intellectual Property (IP) protection. Thus, in the pursuit of making more stringent IP laws the State Council, China's cabinet on November 22, 2017, said that ‘penalties for IPR infringement will be increased to lower the cost of safeguarding such rights. Quick and low-cost ways of safeguarding IPR must be expanded.[1]’

The Chinese Government plans to impose high punitive fines for infringing actions and at the same time will figure out cost effective ways of IP protection.  In the statement released by the Government it stated that ‘With strong and effective property rights protection, China will raise the confidence of market participants to invest and start businesses. The government will provide better protection of property rights and help recover the losses of property owners with better legal assistance.’ They also plan develop stronger enforcement of IP rights by internet tracing of sources, real-time monitoring and online identification of infringements.

The Government had plan to take this step as a reply to the infringers, especially the ones who are wrongdoers in the online shopping and foreign trade. It also plans through this move to increase the confidence of the market participants to invest and start businesses.

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[1] http://english.gov.cn/policies/policy_watch/2017/11/23/content_281475952133828.htm