China’s aims of reformation from an industry-producing to service and innovation driven economy, have been greatly aided in the partnering of different actors in line with recent intellectual property initiatives.
One such initiative was witnessed at the beginning of this month with the establishment of China’s new loan service, Zhirongbao. The service marked the first of its kind in China, whereby intellectual property rights alone could suffice as collateral for business loans.
The service, initiated by Beijing’s recently labelled “national IP demonstration zone”, Zhongguancun; is hoped to improve the availability of loans for start-up companies with few assets to spare. Accordingly, loans of up to 5 million yuan may be provided for high-tech start-ups to aid in the development of new technologies and projects. In order to encourage new companies to utilise the Zhirongbao service, those companies able to repay the entirety of their loan may even be awarded with a grant of up to 1 million yuan.
The initiative marks the successful partnership between banks, the government and professional IP agencies, whose skills have all been combined in order “to solve the financing difficulty of high-tech companies and innovate IP financing services” (Meng Jingwei, Haidian District Government, Deputy Director). Such progress, marks China’s efforts in fostering innovation driven enterprises, and alters traditional financing attitudes towards IPR; recognizing intellectual property as a valuable asset in its own right.
However it is not only domestic actors that have been brought together by China’s aims of innovation. Indeed, a newly cultivated partnership between China and Singapore was noted this month too; with the inclusion of the Intellectual Property Office of Singapore (IPOS) into China.
IPOS’s new representative office, located in Guangzhou, aims to encourage IP cooperation between the two countries, with it being hoped that the office might enable the interchange of IP services and new technologies. IPOS’ chief executive, Daren Tang, stated delight in the “increasing flow of ideas, knowledge and innovation between China and Southeast Asia” that is likely to result from the new endeavor. The move shall not only facilitate multinational companies hoping to enter China, but is also hoped to aid “the increasing number of Chinese innovative enterprises, especially technology companies, seeking to expand overseas.”
All in all, it is seen that through such collaborations with national and international actors, China can hope to encourage the development of new technologies, harbor new innovations and ensure adequate IP protection along the way. [Source: CHINA DAILY]