Guangdong Province Fully Suspend Patent Subsidization

Haoyu ZHOU (Elliot) and Hui LIU (Kerena)

In order to improve the patent quality, the Chinese Patent Office (CNIPA) made a series of policies to cut down patent subsidization and strike down abnormal patent applications. Guangdong, as a province with large quantity of patent applications filed annually, actively responded to these policies and decided to put the patent subsidies to a full suspension since December of 2018.

Specifically, all of 13 cities in Guangdong province (including Guangzhou city and Shenzhen city) successively announced to stop offering any kind of patent subsidization to any type of patent (i.e., invention, utility model, and design). Even if the patent is granted, the subsidy will not be awarded to a large extent. Further, the patent subsidy for outbound cases (such as PCT international applications that enter other countries or regions) is also suspended in most cities of Guangdong province.

As previously reported by Chofn, Shanghai is still at least offering patent subsidization to granted invention patents as well as outbound patent applications. Apparently, Guangdong province is taking an even more strict measure and almost abrogated any form of subsidization on patent applications. This again indicates the resolution of Chinese government to look for the patent quality in a long run, and safeguard only those who genuinely have good technology and indeed need the patent enforceability for their business.