China IP SME Helpdesk Newsletter

The digitalisation of business has led to the digitalisation of IP protection. In this article, China IP SME Helpdesk external expert Mr. Albert Tsui discusses how new technologies such as blockchain, AI and big data analysis facilitate IP protection and bring down the cost of IP enforcement which is particularly important for the SMEs. For example, blockchain technologies could help SMEs save money and time on evidence collection and function as a cost-effective way of proving ownership in case of large quantities of copyrighted works.

In December, the CNIPA issued the Judging Criteria for Trade mark Non-Criminal Law Violations. The judging criteria will come to effect on 1st of January 2022. It will address non-criminal trade mark infringements and other issues.

To improve the quality of patents and trade marks, the CNIPA started cracking down on ‘abnormal’ IP applications. The statistics shows that since the beginning of 2021, the CNIPA has identified around 815 000 patent applications as ‘abnormal’ and asked them to be withdrawn. Similarly, around 376 000 trade mark applications have been identified as ‘malicious’ trade mark registrations and have been denied. CNIPAs actions against bad faith applicants are a good news for the European SMEs wishing to do business in China.

In December, officials of the CNIPA highlighted that China “has made decisive progress in joining the Hague Agreement for the international registration of industrial designs”. Once China joins the Hague Agreement, it would be possible to apply for design protection in China using the international route via the World Intellectual Property Organization. The international filing route could potentially save SMEs some money when protecting their design in multiple countries ad jurisdictions.

Hong Kong has started public consultations on amending its copyright law to bring it in line with technological developments. It is expected that the amendments “will help tackle online piracy, including streaming, and boost the copyright protection of digital content”. This would be welcomed by the SMEs since copyright protection of digital content has been an issue for companies in Hong Kong for some time.

For those who are interested in China’s IP statistics, the CNIPA has recently released October 2021 patent and trade mark data. At the Helpdesk we often say that European SMEs underestimate the importance of utility models, the statistics makes it really evident. Out of China’s domestic patent applications (excluding design patent), utility models count for 82%. At the same time international utility model applications only count for 5.5% of China’s international patent applications.

Another year has passed - many thanks to all our partners who worked with us. We will keep supporting European SMEs also throughout next year, through one-on-one consultation sessions, trainings and informative materials. See you in 2022!