Intellectual Property 2026

ASIA PACIFIC Trends and Developments Contributed by: Dongxiao Ma, Yuanchao Ma, Dan He and Peng Zhang, Zhong Lun Law Firm

Overview The rapid development of artificial intelligence (AI) technology is exerting a profound and growing influ- ence on IP legal systems. The development of AI tech- nologies across Asia-Pacific countries is characterised by vertical deepening and scenario integration, which has broadened the application of AI in conjunction with various industries. Several emerging trends are apparent. In the area of IP grant procedures, countries are expanding the scope of protectable subject matter related to AI and shortening examination and grant cycles through legislative amendments or revisions to examination standards. In the area of IP exploita- tion, policies are being relaxed to encourage industrial innovation related to AI technology applications. In the area of IP enforcement, a balanced approach empha- sising both development and security is being adopt- ed, with stronger protection measures for new tech- nologies related to AI. As the most significant major power in the Asia-Pacific region, China has recently seen notable changes in IP protection in response to technological developments in the AI era. In this chapter, experienced lawyers from the IP department of Zhong Lun Law Firm draw on their frontline judi- cial practice experience to comprehensively review the challenges and developmental trends in patent, copyright, trade mark and trade secret protection in China in recent years. Trade Secrets New developments in trade secret protection In terms of civil protection of trade secrets, since China implemented the leapfrog appeal system in 2019, the Intellectual Property Court of the Supreme People’s Court has made the adjudication of technical secret cases a priority. Over the past seven years, the Court has issued numerous landmark judgments in technical secret cases. These include lowering the evidentiary standard for rights-holders to establish the existence of a trade secret, extensively applying burden-of-proof shifting rules to presume infringement, imposing puni- tive damages for infringement of technical secrets and clarifying specific measures for ceasing infringement of technical secrets. Several judgments have awarded damages exceeding USD15 million, with the highest reaching USD90 million, demonstrating a pro-rights holder stance. Based on available data, the success rate for plaintiffs in technical secret cases before the

Supreme People’s Court’s IP Court is approximately 40%, significantly higher than the success rate in local courts. In terms of criminal protection of trade secrets, in 2025, the Supreme People’s Court and the Supreme People’s Procuratorate issued the Judicial Interpreta- tion on Handling Criminal IP Infringement Cases to specifically regulate the increasing number of techni- cal secret criminal cases, and to guide public secu- rity agencies nationwide in investigating trade secret crime cases. The 2025 investigation by Shanghai police into a company’s infringement of Huawei’s radio frequency chip technical secrets stands out as the most influential recent trade secret criminal case. After two years of investigation and prosecution, 14 individuals were ultimately convicted. As a crucial part of China’s unique administrative protection system, the Provisions on Trade Secret Protection (the “Provisions”) were promulgated in the first half of 2026, which signals that market regulatory authorities will become more involved in combating trade secret infringement. The Provisions document is considered the most comprehensive legal docu- ment to date in the field of trade secret protection, containing numerous forward-looking provisions that reflect robust protection for trade secret holders. Notably, they expand the scope of protectable tech- nical secrets to include algorithms, data, computer programmes and code, as well as partial results and negative experimental data, aligning with the protec- tion needs of enterprises in the digital economy era. Furthermore, similar to regulations in countries like Japan and South Korea, the Provisions provide for protective measures against trade secret infringement acts committed outside China, establishing a form of long-arm jurisdiction over such acts. Overall, China has been continuously strengthening its protection of trade secrets, driven by its innovation- driven development policy in science and technology. This benefits innovative technology industries and provides strong protection for investments in new technologies. It has also been observed that the pro- fessional and complex nature of trade secret litigation presents significant challenges for parties in individual cases. Lawyers deeply versed in China’s civil, criminal

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