On Tuesday, the Chinese commerce ministry announced it will carefully evaluate a recent WTO arbitration ruling in its standard-essential patent dispute with the European Union. The ministry said it will address the issue strictly in line with WTO rules.
The arbitration panel upheld an expert group's decision that China's actions did not undermine the protection of patent rights for other WTO members and did not qualify as intellectual property enforcement measures under WTO law. China welcomed this affirmation.
However, the panel also concluded that WTO members should avoid affecting the ability of patent holders to exercise their rights in other members' markets. China expressed dissatisfaction with what it called an over-extension of member obligations, saying there was no solid basis for this part of the ruling.
Standard-essential patents underpin a wide range of technologies, and this ruling could steer how companies negotiate licensing terms and conduct business across borders.
China highlighted the value of the Multi-Party Interim Appeal Arbitration Arrangement (MPIA) in resolving trade conflicts through legal channels. The ministry pledged to work with other MPIA participants to ensure the arrangement’s proper and effective implementation, reinforcing the rule-based multilateral trading system.
As both sides prepare for next steps, global tech firms and policymakers will be watching closely. The final decision could influence licensing practices and set new precedents for trade and innovation worldwide.
Reference(s):
cgtn.com
