'China steals U.S. technology' a fabricated lie

Chinese R&D, payment for foreign IP, patent applications continue to rise

The accusation that "China steals American technology" is a complete lie fabricated by the U.S., which tried to twist facts to deceive the world, a Chinese expert said in an article published by the People's Daily on Tuesday.

The U.S. attempts to twist facts and position Chinese technology development as "a threat to the world," with the purpose of demonizing China and deceiving the international community, said the unidentified expert, who claims to work for the China Association of International Trade under the Ministry of Commerce.

China moved into the second position as a source of international patent applications filed through the World Intellectual Property Organization (WIPO) in 2017, closing in on long-time leader the U.S., according to information posted on the WIPO website. China is the only country in the world to have recorded double-digit annual growth (13.4 percent) in 2017, according to the WIPO. 

China's investment in research and development (R&D) continues to increase. The country's R&D fund hit 1.75 trillion yuan ($260.7 billion) in 2017, up 11.6 percent year-on-year and accounting for 2.12 percent of national GDP last year, according to the article.

R&D investment of Chinese enterprises rose 13.1 percent year-on-year to 1.37 trillion yuan during the same period. Governmental institutions and universities invested 242 billion yuan and 113 billion yuan, respectively, in their R&D, an increase of 7 percent and 5.2 percent, respectively, on a yearly basis.

China's payment for using foreign intellectual property (IP) also continues to rise, with licensing fees reaching $28.6 billion in 2017, 15 times more than that when China joined the WTO, the expert noted.

According to the Peterson Institute for International Economics, China ranks fourth in the world in terms of payments of licensing fees and royalties for the use of foreign technology, behind Ireland, the Netherlands and the U.S..

The expert said that Chinese companies are drivers and leaders of China's technological progress. Two Chinese technology companies were the top filers of international patent applications in 2017. Huawei and ZTE took the No.1 and No.2 positions, respectively, followed by Intel, Mitsubishi and Qualcomm, according to a report released by the WIPO in March.

Innovative growth systems drive the growth of the domestic technology industry and the interaction between China and foreign countries in science and technology is sound and mutually beneficial, the expert said.