Intellectual Property Infringement and Indigenous Innovation in China

Intellectual property rights (IPR) infringement in China reduces market opportunities and undermines the profitability of U.S. firms when sales of products and technologies are undercut by competition from illegal, lower-cost imitations. Intellectual property (IP) is often the most valuable asset that a company holds, but many companies, particularly smaller ones, lack the resources and expertise necessary to protect their IP in China. "Indigenous innovation" policies, which promote the development, commercialisation and purchase of Chinese products and technologies, may also be disadvantaging U.S. and other foreign firms and creating new barriers to foreign direct investment and exports to China. In this book, the U.S. International Trade Commission describes the principal types of reported IPR infringement in China, as well as Chinese indigenous innovation policies.