HONG KONG – Financial Secretary Paul Chan Mo-po has said the Hong Kong government is pursuing a number of initiatives to promote the development of the special administrative region into a regional IP trading center.
The initiatives include grooming a talent pool of patent examiners equipped with technological and professional knowledge, planning for regulatory arrangements on local patent agent services, setting up a World Intellectual Property Organization Technology and Innovation Support Centre, and implementing the "patent box" tax incentive to encourage commercialization of research and development outcomes, he said.
The finance chief was speaking at a reception hosted by the Intellectual Property Department to celebrate World Intellectual Property Day on Friday.
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Pointing out that the SAR government is determined to develop Hong Kong into an international innovation and technology center, he said: “We are also fast-tracking the growth of the creative and cultural industries to fuel our ambition of becoming an East-meets-West center for international cultural exchange.”
“For these industries to thrive, a robust system of IP registration and protection is a must.”
More than playing an indispensable role in the commercialization of research and development outcomes and creative works, they help creativity and innovation flourish, he added.
“And, no less important, with proper legal protection, IP can become valuable assets for trading,” Chan said.
Our goal is to build a team of about 100 strong by 2030. That will help us achieve institutional autonomy in handling substantive patent examinations.
Paul Chan Mo-po, Financial Secretary, HKSAR
In 2019, the government implemented the Original Grant Patent System, allowing the city’s Patent Registry to examine scientific inventions and grant standard patents locally, he said, adding: “The results of this patent reform are encouraging."
The authorities have now received more than 860 original grant patent applications and approved more than 110 applications, about half of which are from Hong Kong inventors, according to the finance chief.
"Our goal is to build a team of about 100 strong by 2030. That will help us achieve institutional autonomy in handling substantive patent examinations."
On the "patent box" tax incentive, which will reduce the tax on profits derived from qualifying IP from the existing 16.5 percent to 5 percent upon implementation, the finance chief said the relevant bill to amend the Inland Revenue Ordinance is now being scrutinized by the Legislative Council.
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"This is a significant tax concession, but I am confident it will bring in much more return for Hong Kong as a whole."
In his welcoming remarks, Director of Intellectual Property David Wong said the measures to develop Hong Kong into a regional IP trading center, as outlined in the policy addresses and Budgets of the current-term government, required the support and cooperation of the IP industries and various stakeholders.
The first trademark was registered in Hong Kong 150 years ago to cater to commercial needs at the time, leading to the beginning of the local IP system.
"We have come a long way, and the best is yet to come," he said.
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Secretary for Commerce and Economic Development Algernon Yau Ying-wah also attended the reception with about 150 guests, including stakeholders from the legal community and IP-related associations, academics, consulate representatives, government officials, and representatives from the public and business sectors.
