The U.S. Trade Representative has released the 2012 Special 301 Report, in which it accuses countries of denying “adequate and effective” protection of intellectual property, or discriminating against American companies that rely on intellectual property protection.  A short statement accompanying the report  says that it “reflects the Administration’s resolve to encourage and maintain effective IPR protection and enforcement worldwide. It identifies a wide range of concerns, including troubling ‘indigenous innovation’ policies that may unfairly disadvantage U.S. rights holders in China, the continuing challenges of copyright piracy over the Internet in countries such as Canada, Italy and Russia, and the ongoing, systemic IPR enforcement issues presented in many trading partners around the world.”

This year there are 40 countries listed, after a review of 77.  The countries included in the report are:

Priority Watch List (13 countries):

Algeria, Argentina, Canada, Chile, China, India, Indonesia, Israel, Pakistan, Russian federation, Thailand, Ukraine, Venezuela

Watch List (26 countries):

Belarus, Bolivia, Brazil, Brunei, Colombia, Costa Ricda, Dominican Republic, Ecuador, Egypt, Finland, Greece, Guatemala, Italy, Jamaica, Kuwait, Lebanon, Mexico, Norway, Peru, Philippines, Romania, Tajikistan, Turkey, Turkmenistan, Uzbekistan, Vietnam,

Section 306 Monitoring:

Paraguay

A number of statements have come out regarding the report;

  • Sean Flynn argues that 1) threatening trade sanctions through Special 301 violates the WTO Dispute Settlement Understanding, 2) Non-discriminatory reimbursement programs that reduce medicine prices are beyond the scope of the 301 statute, and 3) USTR should highlight policies that lack limitations and exceptions to copyright that technology companies rely upon.   (Blog)
  • Rashmi Rangnath from Public Knowledge noted that the Special 301 Report contains vague generalities about IPRs in listed countries.  It pressures countries to enact legislation that benefits US rightholders while limiting consumer access to knowledge and culture goods, and relies heavily on assertions by IP rightholders. (Blog)
  • James Love from Knowledge Ecology International notes that middle-income countries with large economies are the ones likely to be found on the list.   Developed countries, smaller middle-income countries, and LDCs tend to be excluded. He notes that USTR repeatedly references the Doha Declaration on TRIPS and Public Health, but then attacks India for the use of TRIPS flexibilities. (Blog)
  • Michael Geist from the University of Ottawa wrote a posting that the report is “lacking in objective analysis,” and driven by industry lobbying, which leads to an absurd outcome where Canada and China are lumped together on the Priority Watch List. (Blog)
  • Steven Metalitz from the International Intellectual Property Association said in a statement that “Strong copyright protection and enforcement, in combination with open markets, remain critical to the ability of U.S. creators to continue to substantially contribute to the U.S. economy, generate many skilled or professional U.S. jobs, and further expand exports. …  USTR’s Report signals strongly the Administration’s commitment to protect one of our nation’s most valuable assets.” (Statement)

Some of the press coverage is listed below:

  • William New for Intellectual Property Watch.  Some Major Trading Partners Are Biggest IP Violators, USTR Says. (Story)
  • Stan Abrams and China Hearsay for the Business Insider. USTR Issues 2012 Special 301 Report on IP. (Story)
  • Ubaidillah Masli for the Asia News Network. Brunei Remains on Piracy Watchlist.(Story)

Peru this Week. Peru on U.S. Watch List Due to Counterfeitv