Asia IP

China’s State Council has released plans aimed at promoting the integration of the creative and design service industries with the real economy.

“The benefit is that the plan will encourage the application of intellectual property in relevant industries and promote the fast development of creative and design service industry, which will help the improvement of economy structure of China,” says Johnson Li, an attorney-at-law at China Patent Agent (HK) in Beijing. “If such a plan could be successfully implemented, the local governments and relevant companies have to resolve to abandon some short-term gains which are the costs for bigger achievement.”

According to the document, the proposals will help foster a new growth area for the country’s economy and strengthen its cultural power.

China will integrate creative and design service industries with other traditional sectors, including equipment manufacturing, consumer goods manufacturing, construction, information, tourism, agricultural and sport industries, the document said.

“When implementing the plan, the protection and use of intellectual property rights will play an extremely important role, because this time the government hopes market forces will push China to make the adjustment,” Li tells Asia IP. “According to the plan, different branches and local governments will also make detailed plans to provide support in respect of tax, finance and political environment.”

The proposals lay out specific measures to boost integration. Authorities will tighten intellectual property protection to promote creativity.

“Besides the enhancement of traditional protection of patent, trademark, copyright and anti-unfair competition, the plan specifically emphasized online protection for copyright and data,” Li says. “The plan also aims to drive the expedition of copyright registration and optimize the patent prosecution highway.”

Financial support or preferential tax policies will be provided for small and micro enterprises that feature cultural creativity or design service.

“The plan specifically mentioned some support measures to small and micro enterprises because they usually face more financial difficulties and it is not easy for them to get loans from banks or other financial institutions,” Li says. “But in reality, most of the financial support or preferential tax policies will apply to large enterprises and SMEs.”

Chinese President Xi Jinping vowed to reform the cultural system and to build a solid foundation for the nation’s cultural soft power, while addressing members of the Political Bureau of the Communist Party of China Central Committee earlier this year.

“One important theme mentioned in Xi’s speech is to promote the development of creative and design service industries,” Li says. “The [State Council plan] could be deemed as one step of implementing the progress of reforming the cultural system and building the nation’s cultural soft power.”