China is set to establish a national IP trading market

September 20, 2011

2011-9-13China will establish a national intellectual property trading market, a move to conduct risk compensation on IP pledge financing, which will help medium and small sized enterprises (MSEs) solve financing difficulties by means of IP financial services, said Lei Xiaoyun, Deputy Director of Patent Administration Department under the State Intellectual Property Office.

China's MSEs commonly lack liquid capitals. But enterprises can benefit from IP financial services to obtain financial support and realize industry upgrading by transferring, impawning or investing their innovations, said Lei Xiaoyun on the 2011 Patent Information Annual Conference of China.

According to Lei, China's IP financial services are prospering. In terms of IP pledge, the past five years have seen a rapid increase in pledge contract registrations, with an average annual growth of 70% in pledge amount. In the first half of 2011, China had registered 3,652 pieces of patent pledge valued at 329,40 million yuan.