China to raise cost of IPR infringement

BEIJING -- The State Council, China's cabinet, said Wednesday that penalties for IPR infringement will be increased to reduce the cost of safeguarding such rights.

IPR protection will be improved by internet tracing of sources, real-time monitoring and online identification of infringements, according to a statement following an executive meeting presided over by Premier Li Keqiang.

Punitive fines will be imposed on IPR infringement and new, low cost ways of safeguarding IPR must be found, the statement said.

China will take severe action against a batch of IPR infringement and counterfeiting cases to make law breakers aware of the heavy price they must pay and to improve the business environment, it said.

Focus will be put on IPR infringement occurring during online shopping and foreign trade, and more must be done about fake or shoddy goods, according to the statement.

The government itself will be fined if companies suffer losses from the government's bad faith.

"With strong and effective property rights protection, China will raise the confidence of market participants to invest and start businesses," the statement said.

The statement also said the government will provide better protection of property rights and help recover the losses of property owners with better legal assistance.