【Research Center for the Legal System of Intellectual Property】

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Foreign Pressure and "Harmonious, but Not Adulatory"

RA Yu Fenglei

As the China-US trade friction was increased, the US government announced the Special 301 report to include China in its priority watch list for Intellectual Property Right protection and to take strong measures against China for IPR protection. In addition, the US Congress submitted a bill to prevent a Chinese company from buying the US oil company, which seems an illogical conclusion. The US discriminates Chinese companies and violates free trade rules while it requires China to follow international rules set by the WTO. This behavior might cause China's hostile reaction towards the US.

Needless to say, China is a large developing country with a population of 1.3 billion. Under its science technology level falling behind its economy level, it is impossible for China to build the system of IPR protection in a very short time. Since China and the US signed the IP agreement, especially after joining the WTO, Chinese laws for IP protection have been well prepared. However, it must be pointed out that China had achieved the progress for only about 20 years with great efforts while most of advanced countries took several decades or a hundred years to complete the same progress.

Honestly, we have to realize that the present condition of IP protection in China is still severe. However, China's resolution or attitude regarding IP protection has been consistent and various problems are also being solved through its effort. After the US-China Economic and Trade Conference in 2004, China established the Intellectual Property Protection Committee with a leader of Wu Yi, Chinese Vice President, in order to develop IP protection and control activities. Furthermore, "the judicial interpretation regarding criminal cases of IPR infringement" was introduced to lower the amount criteria for criminal prosecutions against the illegal trade and illegal income of counterfeits. According to the statistics by the Supreme Court of the People's Republic of China, the number of closed cases reached 385. From January to May of 2005, the number of closed cases for production, sales, and illegal businesses of counterfeits increased to 1061 cases, accounting for 28.29% of the total, the number of closed civil cases of IPR is 3076, reaching 36.7%, and the number of closed administrative cases is 83, reaching 2.4%. Those numbers showed the effort worked quite well.

The IP protection issue is an international issue. All countries should cooperate with each other to solve the problems, viewing it as the common issue that mankind must confront. Advanced nations must make an effort to understand China's condition of IP protection further to help China to develop human resources in addition to teach their experience. It must be much efficient than just forcing their opinions to China.

Confucius said, "A man of virtue is harmonious, but not adulatory" (the Lunyu or Analects). Also in the IP world, it is important to keep "harmony" in mind to cooperate with others while holding independence. "IPR protection is not only for protecting one country's benefit, but a universal issue. To protect it appropriately will result in wealth of mankind." Based on this idea, now is the time that we have to reconsider the IP issue around China.