What has long been predicted has now become a reality: China is leading the world in innovation. Today, we released our report, Chinese Corporate Trends and Globalization for IP. It finds that China’s recent run of superlatives do not stop at their economic growth. The country’s patent filings have dwarfed the rest of the world, and are sending them full steam ahead into the future.
Our research identifies not only where China’s patent output has grown, but where it will go next, identifying burgeoning areas of innovation the Chinese plan to capitalize on as they attempt to grown their filings to 2 million annually.
Key points outlined in the paper include:
- China Becomes the Undisputed Patent Leader: China continues to overshadow other countries in published patent applications, publishing 629,612 patents in 2013, over 200,000 more than the U.S. This push is driven by a five-year plan in which the country has set out to reach two million applications for patents for inventions, utility models and designs by 2015.
- Pharma Driving Patenting Boom, But Quality of IP is Suspect: China has nearly 80 percent of world share in patents for alkaloid/plant extracts, and around 60 percent of global share of pharmaceutical activity, general patents. However, these filings are held by thousands of individual inventors with a handful of patents each, rather than portfolios maintained by universities or corporate entities that would be seen stateside. As a result, the quality of the IP is likely to be unstable.
- Domestic Innovation on the Rise, Foreign Filing Fails to Keep Up: Overall, 80 percent of China’s patents were filed domestically in 2013, leaving China’s foreign growth flat. The number of inventions filed abroad from China have grown from 13,005 in 2008 to 33,222 in 2013, however overall patenting has grown from 239,663 in 2008 to 629,612 in 2013, therefore the proportion has remained the same a 5.3%.
- Burgeoning Chinese Multinationals: While China as a whole is doing substantially less international patent filing than other regions of the world, a few leaders have emerged in the global patent landscape, including Huawei, ZTE Corp, Shenzhen Huaxing Optoelectronic, Alibaba Group, BOE Technology Group, Lenovo, Tencent, BYD, SMIC and Sany.
- Planning the Next Five Years: The Chinese National Patent Development Strategy highlights the country’s plans through 2020, highlighting seven strategic industries positioned for growth: biotechnology, alternative energy, clean energy vehicles, energy conservation, high-end equipment manufacturing, broadband infrastructure, and high-end semiconductors.
To read the full report, click here.