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Protection of IP interests of American companies in China

On Behalf of | Sep 6, 2018 | Business Litigation

Talks between Chinese and American officials continue concerning tariffs and intellectual property (IP) concerns. The U.S. continues in its demands that Chinese improve IP protections regarding American businesses.

American officials are unimpressed by Chinese officials’ claims that their country follows the World Trade Organization (WTO) protocol. U.S. officials insist that theft of intellectual property continues. The U.S. also demands that China increase IP protections, improve upon market access for American businesses, and make efforts to reduce the $375 billion trade gap.

While Chinese officials call recent trade talks as constructive, there’s no indications there will be further talks in the near future. It appears that Chinese officials are also looking for concessions from U.S. officials. And from the tone of current discussions, it appears that such concessions will not be forthcoming.

The attitude towards protectionism and Chinese IP policies

There have been a number of lawsuits involving American companies. One particular lawsuit involved Chinese efforts to prevent a company from selling its products in China. Ultimately, this led to that company accusing the Chinese-backed company of stealing technology. This company eventually filed a civil lawsuit in an American court. It’s possible that such lawsuits will continue. And there are concerns that trade war threats will increasingly escalate.

China has also participated in trade talks with Japan. Interestingly, these two countries agreed that protectionist policies were harmful to all nations. During these talks, Japan stated it would use the WTO protocol to resolve trade disputes. Japan has in the past sided with the U.S. concerning intellectual property practices on the part of China.

Obviously, any matters pertaining to litigation involving American companies doing business in China will be extremely complex. Litigation involves many aspects concerning American law, Chinese law and Chinese culture. Ultimately, any attorney handling such a matter needs to have a handle on these aspects – as well as have the capability of looking out for the best interests of the business.