1. Innovation and Technology Transfer Innovation and Technology Transfer LIU Jian International Cooperation Department The State Intellectual Property Office of P.R.China November 2009, Geneva

2. 2 Overview I. Chinas Innovation System and Its Development Innovation Strategy and Building Innovation-oriented Country Further Promoting China s National Innovation System II. Intellectual Property Promoting Innovation and Technology Transfer New Developments in China s IP System Commercialization and Technology Transfer of Innovative Achievements Far from Sufficiency National IP Strategy for Innovation and Technology Transfer Major Problems in Technology Transfer III. Enhance Cooperation for Innovation and Technology Transfer

3. 3 I. Chinas Innovation System and Its Development New National Strategy and Building Innovation Country The Outline of National Medium- and Long-term Science and Technology Development Plan(2006-2020) Promulgated in January 2006 in China Initiated in July 2003 Its formulation work was headed by Premier Wen Jiabao Over 20 ministries and departments and more than 2000 experts involved in formulation of the Outline

4. 4 I. Chinas Innovation System and Its Development I. Chinas Innovation System and Its Development Reasons for adoption of the innovation strategy create an innovation-oriented country maintain long-term and rapid economic growth realize sustainable development upgrade industrial structure and transform the mode of growth, from resource and labor-driven to innovation-driven economy Improvement of competitiveness

5. 5 I. Chinas Innovation System and Its Development I. Chinas Innovation System and Its Development Main Goals By 2020, China will be one of the innovation-oriented countries R&D investment is 2.5% of GDP Contribution rate of science & technology progress to economic growth will exceed 60% (900 billion RMB) Dependency ratio for foreign technologies will decrease to below 30% Annual number of granted domestic invention patents and SCI papers will rank among world top 5

6. 6 I. Chinas Innovation System and Its Development I. Chinas Innovation System and Its Development Building independent innovative capacity includes three aspects Capacity to make original innovation in the domain of basic research such as scientific discovery, and technological inventions Capacity to integrate existing technology, emerging technology and inventions in order to create new products or business lines with market competitiveness Capacity to absorb, digest and improve imported technologies, and to re- create IPR based on these technologies

7. 7 Main priorities of science and technology innovation R&D in fields of energy, water resources and environment protection Improvement of people s living and health standards is a major mission of science and technology innovation Development and exploitation of the pre-competitive common technologies in order to upgrade industrial structure and provide technological support to SMEs Reinforcing development and research of basic and pioneering technologies for sustainable development I. Chinas Innovation System and Its Development

8. 8 Further Promoting Chinas National Innovation System Further Promoting Chinas National Innovation System Improve the legal framework favorable for innovation Laws for Promoting Scientific Progress and Commercialization Laws for Enterprise Innovation Intellectual Property Laws

9. 9 Further Promoting Chinas National Innovation System Incentive Policies for Innovation To adopt favorable public financial policies and to increase R&D input To establish and improve risk capital and investment capital market Science and Technology-oriented SMEs Innovation Found Promotion of commercialization and technology transfer To cultivate a favorable innovation culture Others

10. 10 Source China's science & technology statistics and China Statistic Year Books National R&D Expenditure (1995-2008)

11. 11 Source China's science & technology statistics and China Statistic Year Books National R&D /GDP (1995-2008) (%)

12. 12 II. Intellectual Property Promoting Innovation and Technology Transfer New Developments in Chinas IP System New Developments in Chinas IP System -filings for invention patent from 63,000 in 2001 to 289,838 in 2008, an average annual growth of 24% -a total of 828,328 filings for invention, utility model and design in 2008, up by 19% -PCT applications rank No. 6 in 2008 -more domestic applications for invention filed than foreign ones since 2003

13. 13 New Developments in Chinas IP System Total applications of three kinds of patents in 2001-2008 19%

14. 14 The Development of Chinas IPR System The applications for invention patents in 2001-2008

15. 15 New Developments in Chinas IP System 2008 No.6 (6089) 2007 Netherlands China United Kingdom France Republic of Korea Germany Japan United States No.7 Netherlands United Kingdom China France Republic of Korea Germany Japan United States 20072008 2008.1-2008.8 14% 2009.1-2009.8 4,614 PCT received

16. 16 New Developments in Chinas IP System 70 % 4,659 Examiner Total: 8,324 From 2001 to June 2009, SIPO has all together recruited 3,815 examiners for substantive examination

17. 17 II. Intellectual Property Promoting Innovation and Technology Transfer Not Sufficient Commercialization and Technology Transfer Receiving a large number of patent applications, and the Receiving a large number of patent applications, and the number keeps increasing number keeps increasing Among all utilized patents in China, 91% is self-utilized by the Among all utilized patents in China, 91% is self-utilized by the right owners, while the ratio of transferred and licensed is only right owners, while the ratio of transferred and licensed is only below 10%. below 10%. Easier to file, harder to commercialize and transfer Easier to file, harder to commercialize and transfer

18. 18 II. Intellectual Property Promoting Innovation and Technology Transfer National IP Strategy China has implemented its national IP strategy, under which diversified and comprehensive policy tools have been adopted to promote innovation and effective utilization of innovative achievements Establishment of local patented technology exhibition and trade center, encouragement of private capital investing in intermediary business for technology trade, and stimulation of commercial banks to provide IP mortgage loans.

19. 19 II. Intellectual Property Promoting Innovation and Technology Transfer Major Problems in Technology Transfer Major Problems in Technology Transfer Imbalanced capacities and potentials of countries for innovation Complexity of technology transfer No willing to transfer technology Out of date technologies transferred

20. 20 II. Intellectual Property Promoting Innovation and Technology Transfer Major Problems in Technology Transfer Major Problems in Technology Transfer Hard to access to information & evaluation of technology High cost for negotiations, signing and executing contract IP abuse hindering technology transfer and innovation

21. 21 III. Enhance Intl Cooperation, Promote Innovation and Technology Transfer Conclusion Routine business for technology transfer for developing countries not sufficient, and new methods needed More technical assistance needed for developing countries, esp.LDCs China will continue to reinforce cooperation with WIPO members in IP, innovation and technology transfer China will continue to work closely with WIPO in above areas

22. 22 For more information, please get access to www.sipo.gov.cn Thank You