USTR keeps Thailand on priority watch list

USTR keeps Thailand on priority watch list

Officials destroy pirated electrical goods, luxury products and other items worth 141 million baht at the 11th Infantry Regiment in an event held by the Department of Intellectual Property on March 10 this year. (Photo by Tawatchai Kemgumnerd)
Officials destroy pirated electrical goods, luxury products and other items worth 141 million baht at the 11th Infantry Regiment in an event held by the Department of Intellectual Property on March 10 this year. (Photo by Tawatchai Kemgumnerd)

Thailand remains on the US Priority Watch List (PWL) for an 11th straight year because Washington says the country is not doing enough to seriously protect intellectual property rights.

Joining Thailand on the bottom tier of this year's "Special 301" report by the US Trade Representative (USTR) are 10 other countries: Algeria, Argentina, Chile, China, India, Indonesia, Kuwait, Russia, Ukraine and Venezuela.

"These countries will be the subject of intense bilateral engagement during the coming year," the agency said in the report released on Friday.

In theory, a country's presence on the PWL leaves it open to punitive trade measures including special duties and other sanctions, but in practice this has never happened to date.

The USTR said Thailand had not done enough to clamp down on priracy of goods over the past year.

"US concerns remain regarding the widespread availability of counterfeit and pirated goods, both in physical markets and online, as well as the lack of effective and deterent enforcement measures," it said.

Washington, however, offered some hope for an upgrade in recognition of stepped-up efforts by Thai authorities to combat IP violations.

"The United States is prepared to review that status if Thailand continues taking positive steps and makes substantial progress" in addressing the problems, it said.

"Thailand has expressed a strong political commitment to improving the environment for IP protection and enforcement, as reflected in public statements by the prime minister and the inclusion of effective enforcement and the timely grant of protection as pillars of its 20-year Intellectual Property Roadmap."

While piracy of movies, music, software and brand-name consumer goods tends to grab the most attention, the PWL is also used to prod countries such as Thailand on the issue of pharmaceutical patents.

For many years the US pharmaceutical industry, which has enormous political clout in Washington, has been unhappy with Thailand's application of "compulsory licensing". The practice, permitted under World Trade Organization rules, allows countries to make generic versions of certain essential drugs available at lower cost.

"The United States also continues to encourage Thailand to provide an effective system for protecting against the unfair commercial use, as well as unauthorised disclosure, of undisclosed test or other data generated to obtain marketing approval for pharmaceutical and agricultural chemical products," the Special 301 report said.

"In addition, the United States urges Thailand to engage in a meaningful and transparent manner with all relevant stakeholders, including IP owners, as it considers ways to address the country’s public health challenges while maintaining a patent system that promotes innovation."

Commerce Minister Apiradee Tantraporn on Saturday expressed optimism about the tone of the report this year, saying it reflected US recognition of government attempts to provide better protection for intellectual property.

The Department of Intellectual Property released its 20-year IP Roadmap in January, in line with the plan to create a new "Thailand 4.0" model for economic development based on innovation and technology.

Mrs Apiradee said the government continued to make progress along the road to ending rights violations and improving home-grown intellectual property rights.

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