Xinhua News Agency:

Protecting the rights and interests of foreign investors and fostering a first-rate business environment that is market-oriented, law-based and internationalized are particularly important. What measures have been taken to strengthen the protection of IPR of foreign-funded enterprises? And what progress has been made in this regard?

Shen Changyu:

Thank you for your questions. I would like to invite Mr. Hu to answer your questions.

Hu Wenhui:

Thank you to Mr. Shen and the reporter for the questions. Strict protection of IPR is an issue of concern for foreign-funded enterprises. General Secretary Xi Jinping emphasized that the protection of property rights, especially IPR, is an important aspect in creating a favorable business environment and highlighted the importance of protecting the lawful IPR owned by foreign enterprises in China. The CNIPA has fully implemented the important instructions delivered by General Secretary Xi Jinping and the decisions and plans of the CPC Central Committee and the State Council, and strives to create a level playing field for enterprises and innovators from all countries.

First, in terms of top-level design, China has successively issued a series of important documents, including the Outline for Building an Intellectual Property Powerhouse (2021-2035), the 14th Five-Year National Plan for Intellectual Property Protection and Application, and the Guidelines on Strengthening the Protection of Intellectual Property Rights. These have made clear arrangements for the equal protection of IPR, emphasizing the need to build an IPR protection system that supports a world-class business environment. At the same time, we have also completed a new round of amendments to the Trademark Law and the Patent Law, and established a punitive compensation system for IPR infringements with the highest international standards.

Second, in terms of improving protection efficiency, we treat and protect the IPR of domestic and foreign-funded enterprises equally. For example, we have built 115 national level IP protection centers and rapid rights protection centers across the country, with more than 5,000 foreign-funded and joint venture enterprises registered, providing the same rapid and coordinated protection services as we do to domestic enterprises. We deal with foreign-related IP disputes prudently and stop infringements in a timely manner. Over the past year, we have properly handled a number of IP disputes involving enterprises from the United States, Germany, France, Italy, Thailand, Denmark and other countries. Our efforts have been highly commended by foreign-funded enterprises.

Third, in addressing the concerns of foreign-funded enterprises, we have established a regular communication mechanism with them. Through multiple IP forums, we actively listened to their concerns, and helped resolve their IP-related challenges, enabling them to operate and invest with confidence. This month, we hosted another IP forum for foreign-invested enterprises, inviting more than 10 major multinational companies, including AstraZeneca, Bayer and Tesla, for face-to-face discussions and to hear their opinions and suggestions. Mr. Shen, along with myself and other responsible colleagues, attended the forum, where we addressed their queries on-site, earning their appreciation. In 2023, the satisfaction score of foreign-funded enterprises regarding IP protection in China reached 80.55 points, an increase of 1.44 points from 2022. At the same time, the number of foreign IP applications, authorizations and valid registrations in China has also increased rapidly. As of June this year, the number of valid foreign invention patents and registered trademarks in China reached 919,000 and 2.135 million, respectively, showing year-on-year growth of 3.9% and 3.8%. This demonstrates that foreign enterprises place great importance on the Chinese market and have strong confidence in China's IP protection system.

Moving forward, we will continue to strengthen IP protection and deepen international IP cooperation. We will actively align with high-standard international economic and trade rules, further improve communication mechanisms with foreign-funded enterprises, and make our IP efforts more robust and effective. This will create a better business environment for foreign-funded enterprises, allowing them to benefit more from China's development and its vast market. Thank you.