Explainer | Why China’s intellectual property protection matters to Beijing and Washington
- Intellectual property is seen as strategically vital by both nations
- China’s growing stake in IP, and obligations under its phase one trade deal with the US, have contributed to advances in its IP protection
This is the third in a series of reports on Chinese intellectual property as Beijing seeks to make IP protection a central part of its new development strategy.
Speaking about his discussions with Chinese President Xi Jinping, Biden said: “America will stand up to unfair trade practices that undercut American workers and American industries, like subsidies from [the] state to state-owned operations and enterprises and the theft of American technology and intellectual property [IP].”
Why does the US care about IP protection in China?
The United States has called China the “world’s principal IP infringer”. In a 2017 report, the US bipartisan Commission on the Theft of American Intellectual Property estimated that counterfeit goods, pirated software and the theft of trade secrets cost the US economy between US$225 billion and US$600 billion annually, not including the full cost of patent infringement.
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Facebook, Amazon, Google and Apple respond to Congress about whether China steals US technology
