The European Commission has requested consultations at the World Trade Organization (WTO) aiming to remove unfair and illegal trade practices by China in the sphere of intellectual property.

China has empowered its courts to set binding worldwide royalty rates for EU standard essential patents, without the consent of the patent owner. This pressures innovative European high-tech companies into lowering their rates on a worldwide basis, thus giving Chinese manufacturers cheaper access to those European technologies unfairly.

It also unduly interferes with the competence of EU courts for European patent issues. It is the firm view of the EU Commission that such practices are inconsistent with the WTO Agreement on Trade Related Aspects of Intellectual Property Rights (TRIPS).

https://ec.europa.eu/commission/presscorner/detail/en/ip_25_293