[Global Synthetic Reporter Li Zongze] According to the “Financial Times†report on March 16th, according to statistics of the World Intellectual Property Organization (WIPO), the number of Chinese patent applications surged by 45% in 2016, making it likely to become an international patent system within two years. The largest user, surpassing Japan and the United States.
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ZTE and Huawei, China's two largest telecommunications and electronic device manufacturers, topped the 2016 list of corporate patent applications compiled by the UN agency headquartered in Geneva.
“Chinese applicants are the driving force behind the growth of a large part of international patent and trademark applications... At present, China continues to shift from 'Made in China' to 'Created in China',†said Francis Gurry, Director General of the World Intellectual Property Organization.
The analysis of the World Intellectual Property Organization covers international applications filed through the Patent Cooperation Treaty. These applications are often of higher quality than purely domestic applications. If the current trend continues, China will surpass Japan this year and surpass the United States within two years to become a leader in the international patent system.
Chinese inventors submitted 43,000 international applications in 2016. At the same time, domestic applications have made Chinese patent agencies the busiest leading patent authority in the world, handling more than 1 million applications each year.
Since Huawei and ZTE began applying for international patents in 2000 and 2002 respectively, their number of applications has rapidly increased, making them easily occupy the top two in the global patent application list.
“The two Chinese companies are still engaged in a large-scale catch-up match with competitors in other parts of the world,†said Frank Tietze of the Centre for Technology Management at Cambridge University. "They are applying for, applying for, and applying for a large patent portfolio to use as bargaining chips when negotiating with other companies."
Japan and South Korea have also increased their international patent applications faster than most European and North American companies, although not as fast as China. As a result, last year Asia accounted for 47.4% of all applications, which was only slightly lower than the sum of Europe (25.6%) and North America (25.3%).
"Japan's domestic applications have been declining for 8 to 9 years, while international applications continue to grow strongly," Gao Rui said. "Japan has a clear strategy to focus on patent applications and use the best inventions as widely as possible."
The share of the United States in global patent activity has been declining since 2000; that year it accounted for 34% of the total. Gao Rui does not believe that the election of Donald Trump will affect US intellectual property policies or practices.
“You may say that President Trump represents the old economic industries of real estate, manufacturing, and energy, but the United States is still largely oriented to science and technology,†he said. "Even if there is more and more protectionism, I will be surprised by the big changes."
In large industrialized countries, Canada has experienced the largest drop in patent applications in recent years. The World Intellectual Property Organization linked it to the plight of two of the largest Canadian technology companies: Nortel was liquidated after its bankruptcy in 2009, and Research In Motion behind the BlackBerry slashed R&D.
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