Research On China’s Dealing With American Trade Protection To High-tech Products

Nowadays, two characteristics of the world is "economic globalization" and "knowledge economy", the increasingly competitive international market shows such a characteristic that the traditional trade in goods is gradually being replaced by high value-added and technology-intensive products. With the rise of China, export commodity structure has changed gradually, the proportion of high-tech products exported to US increases greatly. China and the United States have become important partners in high-tech products trade.The main features of high-tech products are high-tech, high investment, high risk and high yield. Besides, its core is technology and intellectual property rights. While intellectual property right has characteristics such as strong regional, intangible and reproducible. Thus, in the era of knowledge economy, high-tech products face greater challenges. With the rapid growth of high-tech products trade, intellectual property rights play an important role in international trade, the internationalization of technology allows countries to put forward higher requirements in protecting intellectual property rights, the United States is no exception.United States attaches great importance to IPR protection and its system reform continuously in accordance with its own development of technology and economy and the requirement ofdomestic enterprises. It aims to safeguard its trade interests and technological dominance. With the improvement of legislation in protecting intellectual property rights, China’s system has been greatly improved in the protection of intellectual property rights and has strengthened its violation of intellectual property crackdown events. However, America remains, on one hand, use the "Special301" for China to observe; on the other hand, increasingly use"Section337Investigation". As the "Section337Investigation" has features of convenient, low-applicable standards, severe measures and defendant counterclaims limited, it has become a major tool for the United States to resolve the Sino-US high-tech products trade friction, and suppress the Chinese high-tech enterprises to protect its domestic industries. The main industry in United States is technology-intensive. Strengthening intellectual property protection not only allows the owners of the intellectual property to protect their benefits, but also makes the United States maintain technological advantage whichis conducive to its long-term development. Therefore, American manufacturers try everything possible to block Chinese high-tech products into the United States by using the "Section337Investigation", and continuously make pressure to China’s high-tech products which exported to American on the issue of intellectual property rights protection.Since China’s economy is at a critical phase of development, Sino-US trade dispute of intellectual property has a very negative impact on China."Special301" and "Section337" built by United States seriously hurt initiative of high-tech enterprises in China, which have negative effects on entering the American market. In addition, these series of measures that the United States take to strengthen intellectual property rights protection will form a model for other developed countries and even emerging developing countries, so our country will drop in a disadvantage position in the international market, which will eventually impede the process of foreign trade development.With the continuous expansion of high-tech products in Sino-US trade, friction on intellectual property rights will continue. Therefore, the Sino-US trade friction on high-tech products is a real problem that must be seriously dealt with. The Chinese government and enterprises must understand the situation, analyze various reasons in it, and then do a good job in intellectual property rights protection, take effective measures to deal with high-tech products trade friction, improve R&D, innovation capacity, and enhanceimage of the great power in international market.Based on the above considerations, the paper mainly launches from the following aspects:The first part introduces the background and significance of this topic, summarizes the status of Sino-US high-tech product on the intellectual property disputes researched by domestic and foreign scholars, then describes the content and research methods.The second part mainly focuses on the correlation between trade liberalization and protection of intellectual property rights. From the aspects of technology gap theory, product life cycle and hegemonic stability theoryto reveal the reasons why high-tech products trade produces, and other countries, especially developed countries, strengthen technical protection, thendiscusses the dual effects of intellectual property rights protection on international trade.The third part describes the status of Sino-US high-tech products trade and intellectual property rights protection. Chinese high-tech exports show a rising trend in recent years, but high-tech industry mostly engaged in processing trade and most products are exportedby foreign company in China. The United States has advanced technology, however, it has a trade deficit of high-tech products, which mainly comes from China. With the continuous growth of Sino-US trade in high-tech products, the trade deficit will expand too. In addition, the U.S. intellectual property rights protection system is very robust, since it owns not only domestic "Special301" and "Section337", but also makes full use of TRIPs Agreement and NAFTA Agreement. However, China starts quite late on intellectual property rights protection, there is still a distinct gap between two countries.The fourth part describes the current situation and the development of trade friction of Sino-US high-tech products. Besides, this part summarizes the characteristics of high-tech products trade friction and analyzes the effects of the friction based on intellectual property rights to China’s economy by the cases of Chinese companies’win and lose in Section337Investigation.The fifth part analyzes the reasons behind the intensified friction from the perspective of both internal and external, and analyzes the necessity of intellectual property friction between the two countries by game theory.The sixth part comes up with measures how China should response to intellectual property rights friction on Sino-US high-tech products trade. The suggestions come from the government, enterprises and industry associations level.Only every part works together to solve the disputes of Sino-US high-tech products on intellectual property rights, can the Chinese high-tech enterprises truly enter the American market, and then enter the global market.