Introduces "Measures for the Overseas Transfers of Intellectual Property Rights (trial)"

On 29 March 2018, the State Council Measures for the Overseas Transfers of Intellectual Property Rights (trial) entered into effect. Released on 18 March 2018, the Measures set out review procedures for the transfer of intellectual property from China abroad and its implications for national security and China’s innovation and development capabilities. Intellectual property for the purpose of the rules includes patent rights, proprietary rights related to integrated circuit design, computer software copyrights, and rights related to new plant varieties. Transfers may occur when technology is exported, in the course of foreign acquisition of Chinese enterprises, or any other technology transactions, such as involving, for example, changes in the IP ownership or license. The review is conducted under the responsibility of specified authorities in relation to the assets subject to transfer. The new rules do not apply to intellectual property transfers that touch upon national defense, for which specific rules continue to apply. The length of the trial implementation of the measure is not yet defined.

• Type:

  • Entry and establishment (Approval and admission)

• Industry:

  • Not industry specific

• Sources:

  • State Council release No.19 (2018), Measures for the Overseas Transfers of Intellectual Property Rights (trial) (in Chinese), http://www.gov.cn/zhengce/content/2018-03/29/content_5278276.htm, 18 Mar 2018
  • CMS Legal, New restrictions on the outbound transfer of intellectual property rights, http://www.cms-lawnow.com/ealerts/2018/04/new-restrictions-on-the-outbound-transfer-of-intellectual-property-rights?cc_lang=en, 10 Apr 2018