Core Viewpoint - The article emphasizes the transformation of Chinese companies from being "the world's factory" to becoming "innovation laboratories" that empower global markets through intellectual property (IP) protection and overseas expansion [1][2]. Group 1: Importance of Intellectual Property in Overseas Expansion - Intellectual property (IP) is essential for Chinese companies to gain access to overseas markets, with a focus on proactive IP layout before entering new markets [3][4]. - Companies like Great Wall Motors have strategically applied for nearly 3,000 overseas patents to mitigate infringement risks and establish competitive advantages [3]. - The rise of IP "going out" is crucial for maintaining brand value and avoiding issues like trademark squatting, which has previously affected companies like Hisense and Luckin Coffee [3][5]. Group 2: Progress and Trends in Intellectual Property "Going Out" - In the first half of the year, China saw a 12.7% increase in PCT international patent applications and a 23.2% increase in Hague design applications [6]. - Chinese brands are valued at approximately $1.76 trillion, ranking second globally, indicating a strong presence in the international market [6]. - The focus on green technologies has led to a significant increase in PCT applications, with 6,356 applications in 2024, 2.3 times that of 2020 [7]. Group 3: Mechanisms and Models for Intellectual Property Management - Companies like CATL are exploring technology licensing models, generating significant revenue through IP, with expectations for continued growth [8]. - The development of standard essential patents (SEPs) is a priority for companies like Huawei, which aims to influence global standards and protect innovations [9][10]. - The establishment of patent pools is being encouraged to facilitate cross-licensing and reduce transaction costs, enhancing compliance and risk management [10]. Group 4: Future Directions and Global Integration - As China's industrial structure shifts from labor-intensive to technology-intensive, the role of IP as a strategic resource becomes increasingly important [11]. - China has actively engaged in international IP agreements, enhancing its role as a key player in global IP governance, with over 200 active cooperation agreements [11]. - The total import and export value of IP usage fees in China increased from 319.44 billion yuan to 398.71 billion yuan from 2020 to 2024, reflecting a steady growth rate of 5.7% [11].

Core Insights - The article emphasizes the importance of intellectual property (IP) for Chinese companies expanding into international markets, highlighting that IP protection is essential for innovation and market access [1][3][5]. Group 1: Intellectual Property and Market Expansion - Chinese companies are increasingly recognizing the necessity of applying for patents overseas to gain market access and mitigate risks associated with international trade [3][4]. - Companies like Great Wall Motors have adopted a proactive approach by securing core IP rights 18-24 months before entering foreign markets, resulting in nearly 3,000 overseas patents [3][6]. - The rise in PCT international patent applications and Hague design applications from China indicates a shift from being a manufacturing hub to an innovation leader [2][6]. Group 2: Competitive Advantage through IP - The article notes that IP can enhance brand value and competitive advantage, as seen in cases where Chinese companies faced challenges due to trademark infringements abroad [3][5]. - High-tech firms are increasingly leading the charge in IP development, with Huawei investing over 20% of its revenue in R&D, resulting in significant innovation [6][9]. - The success of companies like Yushu Technology, which won a global IP award, underscores the growing recognition of Chinese firms in the global IP landscape [2][6]. Group 3: Trends in IP Protection and Litigation - Chinese companies have improved their ability to handle IP disputes, with a reported win rate of over 70% in overseas litigation since 2024 [7][8]. - The number of PCT applications for green low-carbon technologies has surged, reflecting China's commitment to innovation in strategic emerging industries [7][8]. Group 4: New Business Models and IP Monetization - Companies are exploring new business models, such as technology licensing, to monetize their IP assets, as demonstrated by CATL's revenue generation from IP [8][10]. - The establishment of patent pools is becoming a strategic move for companies to facilitate cross-licensing and reduce transaction costs [10][11]. Group 5: Global IP Governance and Cooperation - China's integration into the global IP framework has strengthened its position as a key player in international IP governance, with over 200 cooperation agreements in place [11][12]. - The growth in IP usage fees from 319.4 billion to 398.7 billion yuan from 2020 to 2024 reflects China's increasing role in the global IP economy [11][12].

Core Viewpoint - The acceleration of intellectual property (IP) "going global" is a significant trend for Chinese enterprises, reflecting their transition from being a "world factory" to an "innovation laboratory" on the global stage [5][10]. Group 1: Growth in International Patent Applications - The number of PCT international patent applications submitted by domestic applicants increased by 12.7% year-on-year, while Hague system design applications rose by 23.2% [9]. - As of September 2024, China ranks first globally in both PCT international patent applications and Hague system design applications [3][5]. - The volume of PCT international patent applications related to green low-carbon technologies reached 6,356, which is 2.3 times that of 2020, maintaining a global leading position for four consecutive years [11]. Group 2: Importance of IP for Market Expansion - IP "going global" is essential for gaining access to overseas markets, with many Chinese companies prioritizing IP layout 18-24 months before entering foreign markets [6][10]. - The protection of brand value through IP is crucial, as many Chinese companies have faced challenges such as trademark squatting abroad [6][8]. - High-tech enterprises are increasingly recognizing the competitive advantage that comes from proactive IP strategies, with patent certification enhancing product premium capabilities [6][10]. Group 3: Trends in IP Management and Strategy - The trend of IP "going global" is primarily led by technology-intensive enterprises, which invest heavily in R&D and have a broader overseas IP layout [10]. - Chinese companies have improved their ability to handle IP disputes, with a reported win rate of over 70% in overseas IP litigation since 2024 [10]. - The exploration of technology licensing models is becoming a preferred strategy for companies like CATL, allowing them to generate revenue through licensing fees while minimizing risks associated with product exports [12][14]. Group 4: Development of Standard Essential Patents - Chinese enterprises are focusing on the development of standard essential patents (SEPs), with companies like Huawei leading in various key standard patent areas [13]. - The establishment of patent pools is being encouraged to facilitate cross-licensing and reduce transaction costs, promoting the industrial application of patented technologies [14]. Group 5: International Cooperation and Future Outlook - China has established stable cooperative relationships with over 80 countries and regions, with more than 200 active IP cooperation agreements [15]. - The annual import and export total of IP usage fees in China increased from 319.44 billion yuan to 398.71 billion yuan from 2020 to 2024, reflecting a compound annual growth rate of 5.7% [15]. - The ongoing transformation of China's industrial structure from labor-intensive to technology-intensive is expected to enhance its role in global innovation and development [16].