Intellectual property system ‘protects monopolies’

Updated: 2013-05-13 14:55

(chinadaily.com.cn)

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Western companies have frequently initiated intellectual property proceedings against competitors from developing countries. To a certain extent, the Western intellectual property protection system manipulates against innovation and is simply reduced to a tool to maintain monopolies, says an article in Guangzhou Daily (excerpts below).

The Office of the United States Trade Representative, the US government agency responsible for trade negotiations, released its 2013 Special 301 Report on May 1. The annual report, which identifies countries that deny effective protection of intellectual property, included China in its priority watch list for the ninth consecutive year.

This should come as no surprise, given that many US companies have used intellectual property as a threadbare disguise to defeat competitors. Chinese electronics makers, like Huawei and ZTE, have made frequent headlines in the US since they became a target of investigation based on patent infringement complaints filed by American companies.

In 2010, China’s General Protecht Group, after six years of persistent effort, announced victory in a series of lawsuits brought against it in the US by local enterprises, including electrical manufacturing giant Leviton. That was the first time a Chinese company won a victory over US competitors in patent infringement litigation. However, the marathon journey and the $13 million in litigation costs have undoubtedly affected the company’s development in the US.

The intellectual property protection system was established to stimulate innovation, and it is lamentable that some Western companies have manipulated it to bash their competitors, especially those from emerging countries.

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