China to cancel all patent subsidies

China plans to end all patent subsidies as part of its efforts to boost the country's innovation and high-quality intellectual property (IP) services.

By the end of June 2021, subsidies for patent applications at all levels will be canceled, according to a notice issued by the National Intellectual Property Administration.

Financial aid provided by local governments for patent licensing should be reduced during the 14th Five-Year Plan period (2021-2025) and phased out before 2025, read the notice.

The patent policy change aims to eliminate the improper behavior of Chinese patent applications not protecting innovation and to shift the country's focus from improving IP quantity to quality, sources with the administration said on Feb 5.

The notice specifies 11 types of abnormal patent applications and proposes measures to deal with relevant applicants, including the cancellation of patent fee deduction and disqualification of patent competition.