The US government should not exaggerate the intellectual
property rights (IPR) issue in trade relations with China, Chinese
trade researchers said on Friday.
The remarks came at the time that James Mendenhall, general
counsel of the Office of the US Trade Representative, threatened to
file a complaint with the World Trade Organization (WTO) if China
could not "dramatically reduce" IPR violations.
"If we were to conclude that the dispute settlement is the best
solution in dealing with China, we will not shy away from that," he
said during a visit to Beijing.
The United States complained that its trade deficit against
China largely resulted from piracy and counterfeiting in China,
saying the deficit had increased to US$202 billion last year.
China has been intensifying its fight against piracy, which has
harmed not only foreign but also domestic companies, said Zhao
Yumin, an analyst from the Ministry of Commerce's trade and
economic cooperation institute.
"Central and local governments at various levels have recognized
the importance of IPR protection," she said. "But it takes time for
China, a developing country, to develop a mature IPR protection
system."
IPR protection tops the agenda of the ministry as it plans to
establish offices across the country to accept complaints of
piracy.
In fact, Zhao said, the US exaggeration of IPR issues came from
its fear of China's surging exports, particularly exports of
middle- and high-end high-tech products.
Mendenhall said that in his three-day visit to Beijing, he
exchanged information with Chinese officials over IPR protection
and other trade issues, such as China's regulation of imported
foreign car parts.
A rule took effect in China last year requiring higher,
full-vehicle tariff rates on imported car parts or components. It
increased some carmakers' production costs in China.
Mendenhall's visit is expected to pave the way for the Joint
Commission on Commerce and Trade, which is scheduled to take place
in April in Washington.
The dialogue generally focuses on a number of issues, including
IPR protection and trade conflicts. The highest-level trade
officials from both sides attend the commission.
(China Daily March 4, 2006)