Technology Protectionism and the Patent System: Strategic Technologies in China

69 Pages Posted: 2 Jul 2016 Last revised: 25 Aug 2020

See all articles by Gaétan de Rassenfosse

Gaétan de Rassenfosse

Ecole Polytechnique Fédérale de Lausanne

Emilio Raiteri

Eindhoven University of Technology (TUE) - Department of Industrial Engineering and Innovation Sciences

Date Written: September 1, 2020

Abstract

Governments have strong incentives to allow their inventors to free ride on foreign technologies. They can achieve this result by discriminating against foreigners in the patent system by refusing to grant foreigners a patent for their inventions. International patent law treaties forbid this practice, which may lower the global innovation incentives and may hurt international trade. Using data on half a million inventions submitted to the Chinese patent office, we find robust evidence of anti-foreign bias in the issuance of patents in 'strategic' technology areas. Foreigners are about 50 percent more likely to be refused a strategic patent than locals.

Keywords: industrial policy; national treatment principle; patent; technology protectionism; TRIPS

JEL Classification: O34, K11, F52

Suggested Citation

de Rassenfosse, Gaétan and Raiteri, Emilio, Technology Protectionism and the Patent System: Strategic Technologies in China (September 1, 2020). Available at SSRN: https://ssrn.com/abstract=2803379 or http://dx.doi.org/10.2139/ssrn.2803379

Gaétan De Rassenfosse (Contact Author)

Ecole Polytechnique Fédérale de Lausanne ( email )

Station 5
Odyssea 1.04
1015 Lausanne, CH-1015
Switzerland

Emilio Raiteri

Eindhoven University of Technology (TUE) - Department of Industrial Engineering and Innovation Sciences ( email )

Den Dolech 2
Eindhoven
Netherlands

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