IP takes lead in western China's innovation surge

BEIJING - The western regions of China have experienced remarkable economic strides in recent years, and one contributing factor to this success is the progress made in intellectual property (IP). Amidst the country's green transformation and pursuit of high-quality growth, this once-impoverished hinterland has now taken an IP-driven development path.

The China National Intellectual Property Administration (CNIPA) has recently reported rapid growth in two key IP types in the regions. By the end of September, the number of valid invention patents in the regions reached 493,000, up 16.7 percent year-on-year. Registered trademarks also rose by 10.5 percent compared to the previous year.

Such growth has not been easy to achieve. Comprising 12 provincial-level regions, western China covers two-thirds of the country's land area and is home to over a quarter of its population. A sparsely populated area with limited infrastructure, the western regions have lagged economically compared to the eastern provinces.

However, in recent years, these regions have actively promoted emerging industries, such as smart manufacturing, new energy vehicles and low-altitude economy, which in China are considered as new quality productive forces with high-value invention patents. Local departments have provided IP guidance and financial support to enterprises within these industries, facilitating their rapid growth and narrowing the gap with the east.

From innovation to invention

Some have even taken the lead in the country, such as clean energy technology.

In Northwest China's Qinghai province, a vast photovoltaic power generation park has been constructed in the Talatan Gobi Desert, spanning 600 square kilometers. Amidst the solar panels, flocks of white sheep were spotted roaming around.

A few years ago, Talatan was a barren land. The locals creatively planted grass to prevent sand erosion and installed a large area of photovoltaic panels. The water used for cleaning the panels infiltrated beneath the surface, nourishing the grass. However, the grass growth-induced shade problem caused the solar panels to malfunction.

To manage grass without chemicals, the park integrated sheep farming -- using the animals to control vegetation and contribute to ecological conservation.

This "photovoltaic sheep" concept, patented in 2018, has boosted the efficiency of local photovoltaic power generation, with the park now generating up to 80 million kilowatt-hours of electricity annually.

Another example is the China-Laos Railway, which links Kunming, the capital of Southwest China's Yunnan province, and the Lao capital Vientiane.

The construction of the cross-border railway was a challenging task due to the complex geological structures along the route. Chinese engineers drilled solid tunnels through delicate mountain terrain and constructed high-pier and large-span railway bridges in earthquake-prone areas. Nearly 30 patents were obtained during the construction process, which has not only greatly improved efficiency and safety but also provided technical references for other major projects in both countries. In October this year, the patent-rich railway has facilitated over 42 million passenger trips since its operation in December 2021.

The innovative achievements from China's western regions have also garnered global attention. According to the latest report by the World Intellectual Property Organization, four major cities in the area - Xi'an, Chengdu, Chongqing, and Lanzhou - continue to lead the top 100 science and technology cluster ranking. These cities have further enhanced their industrial concentration, attracting high-quality enterprises and talent, and establishing themselves as significant regional hubs of innovation.

"The market economy necessitates us to establish advanced technology as our competitive advantage and transform tech achievements into business resources. Therefore, we have chosen the path of IP," said Wang Shechang, chairman of Xi'an-based China National Heavy Machinery Research Institute Co Ltd.

"Protecting IP is not only safeguarding innovation but also utilizing them as a means to enhance value exchange and facilitate the transformation of tech accomplishments," Wang noted.

From local to global

Geographical indications (GI) are also a key element in the winning formula of development in Western China.

GI is a type of IP that signifies a product's specific origin and the qualities or reputation linked to that location. It serves as a mark of quality, setting the product apart from competitors.

The latest data shows that the western region has recognized 931 GI products, accounting for 38.8 percent of the national total, with a direct annual output value of 429.8 billion yuan($60.36 billion).

"The brand value has been greatly enhanced as many products have obtained GI labels," said Dolkun Awut, head of the Xinjiang IP department. "We leverage this advantage to drive the development of the GI industry and contribute to rural revitalization."

The Guangxi Zhuang autonomous region is a major GI contributor. It has 211 GIs, with a comprehensive output value of over 200 billion yuan and employment for over 5 million people.

The promotion of GI has also strengthened cooperation between the western region and the world. According to the CNIPA, 36 GI products from the western regions have been included in the first China-EU GI list. In 2021, the two sides signed an agreement to enhance bilateral trade of agri-food products, with recognition and protection of 100 Chinese GIs and 96 EU GIs.

Taking the wine at the eastern foot of Helan Mountain as an example, since it was included in the first China-EU GI list, the product from Northwest China's Ningxia Hui autonomous region has been exported to over 40 countries and regions, and major wine-producing areas in European countries such as Britain and France have imported 228,000 liters of this Chinese wine.

Western China also places great importance on IP exchanges with neighboring countries.

In Xinjiang, the local IP department has been providing guidance to Chinese enterprises on marketing in Central Asian countries and helping them improve their ability to handle IP disputes.

Guangxi and ASEAN countries have established forums and conferences on IP cooperation. They have also collaborated on patent technology transfer within the biomedicine and new energy vehicle industries. Moreover, universities in Guangxi conducted academic IP programs with those in Macao Special Administrative Region and Vietnam.

China's GDP saw a 5.2 percent year-on-year increase last year, with the western regions outperforming the national average at 5.5 percent. In this remote but robust area, more enterprises and innovators have valued IP, leveraging their innovations to bolster industries with competitive edges and stimulate better economic growth.