Hong Kong aims to lead in IP trading

Key initiatives include recruiting diverse patent examiners and introducing a "patent box" tax incentive.

Hong Kong is set to establish itself as a regional leader in intellectual property (IP) trading, said Financial Secretary Paul Chan at a reception hosted by the Intellectual Property Department.

The region’s initiatives include building a skilled team of patent examiners with diverse backgrounds, planning regulatory frameworks for local patent agent services, establishing a World Intellectual Property Organization Technology and Innovation Support Centre, and introducing a "patent box" tax incentive to boost research and development commercialization. 

The financial secretary said that the recruitment and training efforts for patent examiners encompass individuals from diverse backgrounds, spanning from recent graduates in science and engineering to seasoned patent and industry professionals.

He added that they aim to have a team of about 100 patent examiners by 2030 to achieve institutional autonomy in substantive patent examinations. 

Regarding the "patent box" tax incentive, which proposes a reduction in tax on profits derived from qualifying IP from the existing 16.5% to 5%, Chan noted that the pertinent bill to amend the Inland Revenue Ordinance is presently undergoing scrutiny by the Legislative Council. 

"This is a significant tax concession, but I am confident it will bring in much more return for Hong Kong as a whole," he said.