Special 301 report released; Taiwan remains on Priority Watch List

The United States Trade Representative (USTR) has put Taiwan on the Priority Watch list in its Special 301 Report for a third successive year on the ground that Taiwan failed to effectively enforce its anti-counterfeiting measures.  Deputy Minister of the Ministry of the Economic Affairs Chen Ruey-lung yesterday (May 2) expressed his regret for such result, but emphasized that countries listed on the Priority Watch List will not face immediate trade retaliation, and that the trade and industry in our country will not be affected. 

 

According to the US Trade Act, the USTR will continue observing a country named on Priority Watch List for six months and then re-evaluate the protection of intellectual property rights in that country to determine whether or not to designate it to Priority Foreign Country or Watch List. 

 

The annual Special 301 Report is released one month after the USTR submits the National Trade Estimate Report on Foreign Trade Barriers to US Congress at the end of very March, and it contains lists of countries failing to effectively protect US intellectual property rights.  Countries named in the Report can be found on “Priority Foreign Country”, “Priority Watch List” or “Watch List”. 

 

    The US side basically recognized our efforts, including announcing Year 2002 as “Action Year of Intellectual Property Right Protection”, considering proposals to improve our legal system, reinforcing the enforcement of law, encouraging summary judgment, increasing the punishment to make it an effective deterrent, as well as our continued actions in 2003 to reinforce the law-enforcement ability, including setting up a 220-strong specialized police force, start using warehouses to store seized counterfeits and production equipment; the executive branch has sent a “draft amendment to the Copyright Law” to the legislative branch for deliberation with a view to strengthen the protection of intellectual property rights.Nevertheless, the US is still disappointed at the result of our anti-counterfeiting efforts.  Hence, like last year, we are named on the “Priority Watch List” again this year.