The USTR publishes the 2012 Special 301 Report
The Office of the United States Trade Representative (USTR) has recently released its annual “Special 301 Report” on the adequacy and effectiveness of U.S. trading partners´ protection and enforcement of intellectual property rights (IPR).
The Special 301 report represents a thermometer that measures how well U.S. trading partners are doing in both, protection and enforcement of IPR. Such study is conducted by the USTR in compliance with Section 182 of the Trade Act of 1974, as amended by the Omnibus Trade and Competitiveness Act of 1988 and the Uruguay Round Agreements Act.
As result of the so mentioned Report, U.S. trading partners move from one list to another according to how well they have implemented their national law regarding protection and enforcement of IPR and how effective their measures for combating piracy are in the eyes of USTR. For classification purposes, the so mentioned governmental body has created three lists: the “Priority Watch List”, the “Watch List” and the “Monitoring List”.
In this regard, it is to be highlighted that the USTR, Mr. Ron Kirk, has acknowledged how well Spain is doing regarding the protection and enforcement of IPR and complimented “its adoption of regulations implementing a law to combat piracy over the internet”. Thus, Spain has managed to be removed from the “Watch List”.
Spain has not been the only “awarded” U.S., trading partner. Malaysia has also been congratulated by Mr. Kirk. Such congratulations are preceded of significant efforts to strengthen copyright protection, such as the adoption of amendments to the Copyright Law, the promulgation of IPR regulations, etc.
On the other hand, and according with the results shown by the Report, there is still much left to be done by other US partners. 13 countries remain on the “Priority Watch List” and 27 on the “Watch List”. These countries will be facing bilateral negotiations during next year, and they will be encouraged to make the necessary changes to revert their situation, so that IPR are strengthened trough implementing protection and enforcement measures into their national law.
To understand why the USTR makes so much emphasis on this matter, we must take a close look at the figures mentioned in the “Intellectual Property and the U.S., Economy: Industries in Focus”. Such study, made by the Commerce Department, puts forward that almost 30% of all U.S. jobs are either directly or indirectly related with IP intensive industries. Having said this, it makes sense that the USTR tries hard that its trading partners implement their trade agreements entered into with the US. In the mean time, the Special 301 Report will help enhance IPR protection and enforcement abroad.
For all the above, it seems that the recently passed “Ley Sinde” (in Spanish) although controversial, places Spain on the right track, at least in the eyes of the USTR; nevertheless, there are many other “obscure IP- related aspects” that need to be implemented not only in Spain, but also in other countries that, according with USTR are not taking the necessary steps to prevent IPR infringements. If these countries do not try harder to protect IPR, their trading partnership with the USA, may be at risk, given the fact that, according to Mr. Kirk´s own words: “When trading partners don’t protect IPR, they threaten those critical jobs and exports”. Such a sentence may serve as an incentive.
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