China unveils rule to counter ‘discriminatory’ measures in international IP disputes

The State Council, China’s cabinet, on Wednesday issued a regulation saying the country may take countermeasures if foreign countries impose discriminatory or restrictive measures against its citizens or organisations in intellectual property disputes.

It issued the rule as part of Beijing’s efforts to strengthen its toolbox to counter external “containment and suppression”.

The rule, part of a set of regulations on the settlement of foreign-related intellectual property disputes, will come into effect on May 1.

Although the regulation does not single out any country, it appears to target the US and European Union, which have accused China of intellectual property rights infringement and forced technology transfer in trade disputes. Beijing has denied those accusations.

According to the regulation, in cases where a foreign government “uses intellectual property disputes as an excuse to contain and suppress China, takes discriminatory restrictive measures against Chinese citizens and organisations, and interferes in internal affairs”, Beijing may act according to the Foreign Relations Law and Anti-Foreign Sanctions Law.

More to follow…