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Babes Bolyai University
Faculty of European Studies
[Intellectual Property Rights]
EU-China economic cooperation
Student: Kinga Gyorfi Student no.: 202RE Specialty: RISE 3 ENG Subject: Europe and China (seminar)
Universala. Sarmiza Pencea. China has emerged as a power center in the global economy. economic. 2012 2 Virginia Câmpeanu. Bucuresti: Polirom. The main issues that are deteriorating the bilateral cooperation are: the bilateral trade deficit visa-vis China. Marea divergenta. From some perspectives. scientific. It is clear that the EU-China relations exist at many different levels and that they evolve in a changing global context.Un elefant care nu mai poate fi ignorant. Bucuresti: Ed. There are striking similarities between the economic. the EU has emerged as the most opened and largest world economy. although it should be mentioned certain considerations due to the different political. the undervaluation of the Chinese currency. As China has used its WTO membership as a vehicle for economic reform. including a series of extensions in the political. there are also similarities in the diversity of economic and social conditions that characterize the two economies. In a very short time. domestic and international context.2 The evolution of economic relations between the EU and China is remarkable not only because it has established one of the largest economic partnerships in a few years. China's accession to the WTO in December 2001 was probably one of the most important international economic developments. This paper aims to analyze the emerging model of relations between the EU and China. CHINA .1. 2012 . China. 1 Kenneth Pomeranz. through its domestic market and the EU enlargement. institutionalized and mutually beneficial. the protection of the intellectual property rights and the presence of the non-tariff barriers in the way of commerce. Europa si nasterea economiei mondiale modern. Introduction China's economic development is an unparalleled success story in the economic history. military. China is the third largest economic power in the world after the European Union and the United States. Such similarities emphasize the potential purpose for collaboration and mutual commitment. running large surpluses in the field of trade. educational and cultural domain.1 The European Union is facing a challenge from China's emergence on the world trade scene. technological. social and welfare aspects of China and the European Union. but also because economic prosperity is possible due to the liberalization of trade and to the economic development. The relations between the EU and China have become increasingly regularized.
html]. IPR2 is implemented by the European Patent Office (EPO) and the Office for Harmonization in the Internal Market (OHIM) with regard to trademark and design.ipr2. worth for a total of 16. On the Chinese side. The team behind IPR2 is located in Beijing. [www. technical support team and other stakeholders. sustainable and prosperous world. the project activities are implemented in 70% -80% in China. Chinese beneficiaries.org].epo. [http://www. the project activities took place not 3 4 The EU-China IPR2 Project. the EU and China seeks to face actively the global challenges and to strive for a peaceful. It is composed by the representatives of the Ministry of Commerce. It aims to consolidate the enforcement of intellectual property rights by the effective and accessible orientation of the system of intellectual property protection in China. On the Union side.425 million.425 million euros.4 A Project Steering Committee oversees the implementation of the project and approves the annual and the overall work plans of the activities.3 IPR2 was launched to replace IPR1. It included an initiation phase for the first six months and a final stage in the last six months. The EU contribution is €10.As strategic partners. between 29th September 2007 and 30th September 2011. In the first two years of the implementation. with an European support unit in Munich. The implementation time of the project is 4 years. jointly funded under a grant agreement between the European Commission and the Ministry of Commerce of China. of the European Commission. retrieved at 26 May 2013 th The EU-China Project Ends. and the remaining 20% within the EU. the project is implemented by the Department of Treaty and Law of the Ministry of Commerce of China. an objective that cannot be achieved without the joint efforts and the close cooperation between the two economic actors that are so valuable in the international arena. the latter being carried out from 1999 to 2004. retrieved at 26 May 2013 th . In general. 2.85 million and the Republic of China has provided €4.org/news-issues/news/2011/20110913. IPR2 is the successor of this cooperation project. Intellectual Property Rights Project The Intellectual Property Rights 2 (IPR2) is an initiative of cooperation between the two economic partners. in order to promote international standards for the protection of the intellectual property rights in the Chinese law.
Intellectual Property and Information Wealth: Issues and practices in the Digital Age. that are associated with an effective system of intellectual property. Xian and Yinchuan. the technical assistance and the exchange of international experience improves the multilateral trading system.6 They participated in an active dialogue with regard to intellectual property. The World Summit on Sustainable Development in Johannesburg emphasized also the need of policies for mutual trade support.only in Beijing and Shanghai. Although the protection of intellectual property rights is a serious problem in many countries. IPR2 through a continuous exchange of experience facilitated an open transfer of information and experience that refined the intellectual property law. In practical terms. emerging beyond the central level within the provinces and municipalities. know-how and experience. in order to improve the protection of intellectual property rights in China. 2007 . Yu. IPR2 provide technical assistance as a means to support the commitment made by China. namely to facilitate the construction of a sustainable network between the Chinese and EU stakeholders. In addition. however. Technical assistance involves an exchange of technical expertise. Trade-related technical assistance is a major theme of the Doha Declaration (2001)5. addressing the main issues of national and global interest. Jiangyin. Vol. 1 edition. both the European Union as well as the Chinese partner contemplated it as a key issue on the agenda of trade. 2007 6 Andrew C. IPR2 highlights one of the key objectives of the project. 4. political and institutional progress of reforms. which underlined the commitment of developed countries to prioritize the initiation of a new round of trade liberalization and help all countries to participate effectively in the new round of negotiations. for development and environment. not only in the People’s Republic of China. Praeger perspectives. Nanjing. Urumqi. but also in other smaller cities like Changzhou. Cornell University Press. The Politics of Piracy: Intellectual Property in Contemporary China . that leads to the legal. Guangzhou. Chengdu. Shenzhen. the organized activities of IPR2 were deployed in several European cities. Hangzhou. In addition. Being present in the provinces mentioned above. The aim is to provide technical assistance within the Chinese legal system. This commitment abides the development of a sustainable environment for the effective protection of the intellectual property rights. 5 Peter K. Mertha.
geographical indications7. the protection of intellectual property has become a fundamental problem for the Community. and therefore. These problems have been a major source of concern. both sides debated and analyzed a number of issues relating to intellectual property rights.The dialogue has allowed both parties to exchange information concerning bilateral and multilateral issues of intellectual property. including: brands.9 Therefore. Within IPR2 meetings. and it’s subject to renewal for an unlimited period.php]. the term of protection of geographical indications is unlimited. op. . its legislation and practices. inclusively the new legislation draft on Trademark. 7 Geographical Indication (GI). the emergence of supplementary protection certificates for pharmaceutical products. if the conditions under which this right was acquired are kept 8 th EU-China IPR2 Project [http://ipr2. the adoption of guidelines and actions against internet piracy. the abolition of criminal thresholds. cit. and to identify deficiencies and suggestions for improvement. 8 The EU has introduced its list of priorities. including the data protection of pharmaceuticals and agrochemicals products. the EU underlined the need to find urgent solutions. China. the right to use the geographical indication is given to the applicant for a period of 10 years. But similar to the trademark. governed by the law 84/1998 of trademarks and geographical indications. and intellectual property rights concerning indigenous innovation products. with many problems regarding intellectual property protection. patents in terms of low carbon technology and the licensing agreements in the ICT sector. namely the issue of licensing in the field of ITC. The European Union recognizes within the Lisbon Agenda the challenges of a new economy based on knowledge and establishing an ambitious goal of becoming the most competitive and dynamic knowledge-based economy in the world. IT security certificates. patents. is facing a very rapid development. design protection and the protection of intellectual property rights in trade fairs. and its strong links in a highly inter-connected economy. it is an industrial property right.org/document-centre/index. in turn. copyright. Unlike the trademark. together with trademark. For the protection of intellectual property it’s essential the technical assistance in order to maintain and develop the competitiveness and to support a sustainable economic growth. its registration with OSIM it is not conferring an exclusive right. The aim to be a leader in key technology areas and to ensure that innovation is rewarded properly is increasingly prominent. including the dissemination of copyrighted works. innovation and standardization. retrieved at 27 May 2013 9 Kenneth Pomeranz. the manufacture of pirated optical discs and the examination of the content of online music.
retrieved at 27 May 2013 12 Memorandum of Understanding 13 Chengwei Liu. Wolters Kluwer. In order to cope with the false applications to obtain a trademark. The 2008 Outline of the National Intellectual Property Strategy determined the importance of its protection. China: Intellectual Property Infringement. The European Union urged China to engage in solving the problems that were encountered in the implementation of the MoU12. It was also discussed the cleaning of the retail and wholesale markets. 2008 . They sustained a better promotion of the fair complaints offices and the pursuit of a specific project in accordance with IPR2. Indigenous Innovation Policies and Frameworks for Measuring the Effects on the U. particularly by the computerized processing of trademark applications. The Chinese side explained the planned measures to resolve the contentious issues. 2010 11 Memorandum of Understanding 1992 th [http://tcc. 10 Katherine Linton.especially on a global scale. Diane Publishing. The EU also advised China to step up its efforts against copyright infringement on the Internet.export.gov/Trade_Agreements/All_Trade_Agreements/exp_005362. estabilished by SAIC and the Office for Harmonisation in the Internal Market (OHIM). the EU expressing their concern for some aspects regarding the revision. an important supporting force in building an innovative country and the pathway towards development. that are suspected for selling pirated and counterfeit goods in China. with regard to the modalities of enhancement of the public awareness towards the existence of claims offices in these fairs. Related to trade.10 China confirmed that intellectual property is increasingly becoming a strategic resource for national development and an essential element in international competitiveness. and has expressed its concern about the banning of the foreign ownership of digital music services and of censorship requirements. both economic actors agreed to address this issue farther by joint activities within the framework of IPR2 and / or under the umbrella of MoU. Ed. the Chinese side presented its latest developments regarding the review of the respective law and expressed its appreciation for the comments made by the EU at SAIC.S.13 The Chinese side also expressed the desire to know in which specific fairs or more precisely in which profiles of trade fairs would European companies encounter problems. including the commissioning of the memorandum of understanding11 between the owners of retail markets in Beijing and the rightful owners. Economy.asp]. Both partners discussed the revised draft Trademark Law of China. Chinese Company And Securities Law.
China has confirmed it is working on a complex system of GI protection. IPR2 also included topics such as radio broadcasting and public performance rights for producers of audio visual and sound recordings. EU introduced the Recommendation no. retrieved at 28 May 2013 th . Within the IPR2 it was proposed a GI platform that is enabling European and Chinese government bodies and manufacturers to obtain information on issues of geographical indications in China and the EU. meanwhile the Chinese Delegates agreed to cooperate in combating illegal manufacture of optical discs.Both sides have exchanged information about the establishments that produce pirated optical discs.eu/LexUriServ/LexUriServ.europa. EU noted some positive changes. • Lack of supplementary protection certificates for pharmaceutical products. China has already taken action and requested specific information on locations suspected of producing illegal discs.do?uri=CELEX:32005H0737:EN:NOT]. EU delegates raised the possibility of introducing radio broadcasting and public performance rights for producers of sound recordings and performers. In addition. China has mentioned the issue related to the availability of pirated copies of movies and music that were produced in China. • Limits on the rights of the patent owner. 14 EU Law [http://eur-lex. The adoption of the fees for broadcasting rights of authors in the EU was performed at the end of 2007. it was debated a third revision of the Chinese Patent Law. in retail outlets within Europe. such as those related to: • The obligation to obtain approval from the Chinese Patent Office before submitting an application in a foreign country. • Inventions that are created within a scientific research project are mainly funded by public investments. The two sides exchanged views on the ongoing negotiations on geographical indications. • Regulation on compulsory licensing. With regard to patents. but expressed concern about a number of provisions. 2005/737/EC14 on collective cross-border management of copyright and related rights for legitimate online music services.
The Chinese government encourages Chinese enterprises to participate in discussions and practices of the international patent licensing models and to address relevant issues through negotiations in accordance with the law and the market situation. argued that companies should try to solve these problems alone. China in turn.Within the IPR2 meetings. it was required that the Chinese authorities intensify the efforts to improve IPR enforcement in wholesale and retail markets. but just a few license agreements were signed with Chinese companies. The Chinese side has highlighted the ongoing consultation on the revised draft regulations concerning intellectual property rights abuse in the context of the Anti-Monopoly Law. The EU also expressed their serious concern about the disclosure of confidential information (trade secrets) and abuses in the context of patent certification and of the authorization process. European companies are the main holders of essential patents for numerous specific technologies. in order to meet the needs of data exclusivity. on their own initiative by expressing their reticence towards this recommendation. especially in the silk market. consideration was given to the problem of protection against the misuse of undisclosed data submitted to public authorities in order to obtain marketing authorization. The European Community has encouraged China to issue a regulation specifying the documents required for licensing / certification and to establish some clear rules of procedure. it was noted the important contribution of intellectual property for the promotion of low-carbon technologies. China said that adequate arrangements have been made to protect the confidentiality of IT security. EU strongly recommended to China to take a commitment to encourage Chinese companies to go public in negotiating license agreements with European companies. China called on the EU to provide more detailed information on the concerned industrial sectors and on the specific institutions. The Chinese side reiterated that the government does not intervene or engage in negotiations among enterprises with regards to IPR licensing agreements. by suggesting changes in the Chinese law. and the continued support of courts and administrative bodies towards the co-operative approach of the rightful . including the issue of distrust in the concerned authority. In protecting innovation. In conclusion. in order to identify and address the concerns expressed by the EU.
IPR2 has organized information sessions for businesses. meetings were held within IPR2 both in China and Europe. The Chinese side expressed their interest in receiving further information on EU expertise and good practices in this matter. Taxation and Customs Union [http://ec. Were formed individualized and practical workshops on specific practical issues. 3.htm]. registering a large number of foreign direct investment from China. as were resolved major malfunctions pursuing IPR protection. Conclusion The relation between the EU and China intensifies. These seminars were essential. that are keeping China aside from its further development. by involving all relevant agencies. the Community is running significant surpluses in the domain of trade services and remains an essential investor in China. It was also established a further cooperation on the issue of counterfeit goods that are sold on the Internet. The economic transformation of China into a socialist market economy and the consistent economic growth were the premises of the currently existing strategic partnership with the EU. A future scenario of economic relations could be based on the concept of a "true partnership" in which the two sides would evolve beyond their current relationship in order to develop the substantial cooperation to a level where they could address the problems that this relationship is 15 EC.europa. aiming IPR and further development of the action plans. expands and deepens the impact of the existing complex economic interdependence and the very acute level of globalization in recent years. within trade policy. being debated and proposed optimal solutions.eu/taxation_customs/customs/policy_issues/international_customs_agreements/china/index_e th n.owners. China and the EU have become inextricably linked. While the EU has trade deficits with China in respect of goods. such as customs network ports and airports within the EU and China. retrieved at 28 May 2013 . It was considered the Action Plan regarding EU-China customs cooperation from 2009 as a positive implementation. offering real-time support for Chinese and European economic undertakings. This paper has treated a set of problems from a restricted area. namely the issues related to IPR.15 To sum up. particularly in the machinery and textiles sector.
a significant longterm progress would involve compromises. Regarding the different EU-China bilateral economic issues. in order to materialize the long term strategies through a variety of programs and projects at national and sectorial level. . Both partners need a global agreement to establish the common principles and objectives in accordance with mutual benefits.currently facing.
Un elefant care nu mai poate fi ignorant.. Vol. Indigenous Innovation Policies and Frameworks for Measuring the Effects on the U. A. (2007) Intellectual Property and Information Wealth: Issues and practices in the Digital Age. Hong Kong university press Electronic Sources: 8. EU Law [http://eurlex. Yu. (2012) Marea divergenta.4. China. (2012) Europe and China: Strategic Partners Or Rivals?.org/document-centre/index. EU-China IPR2 Project [http://ipr2.php]. Diane Publishing 2. 4. Chengwei. Europa si nasterea economiei mondiale modern. Bucuresti: Ed. K. V. Pencea. (2012) CHINA . Praeger perspectives 5. retrieved at 27th May 2013 . Wolters Kluwer 3. Câmpeanu. S. retrieved at 27th May 2013 11. Bucuresti: Polirom 7. K. retrieved at 28th May 2013 9. Mertha. K. 1 edition 4. Linton. Economy. Memorandum of Understanding 1992 [http://tcc.europa. Peter. retrieved at 28th May 2013 10.do?uri=CELEX:32005H0737:EN:NOT]. C. R.eu/taxation_customs/customs/policy_issues/international_customs_agreements/ china/index_en. Universala 6. Bibliography 1. Cornell University Press.eu/LexUriServ/LexUriServ. Taxation and Customs Union [http://ec. (2010) China: Intellectual Property Infringement.S. Pomeranz.europa.htm]. (2007) The Politics of Piracy: Intellectual Property in Contemporary China. EC. Vogt. Liu (2008) Chinese Company And Securities Law.export.gov/Trade_Agreements/All_Trade_Agreements/exp_005362. Ed.asp].
retrieved at 26th May 2013 13.org/news-issues/news/2011/20110913.org]. The EU-China Project Ends.com/sites/jackperkowski/2012/04/18/protectingintellectual-property-rights-in-china/] retrieved at 27th May 2013 . Forbes Magazine [http://www.html].12. retrieved at 26th May 2013 14.ipr2. The EU-China IPR2 Project.epo.forbes. [www. [http://www.
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