U.S.-China Economic and Security Review Commission, "Hearing: China’s Enforcement of Intellectual Property Rights and the dangers of the Movement of Counterfeited and Pirated Goods into the United States," June 7-8, 2006

June 7-8, 2006
385 Russell Senate Office Building
Delaware & Constitution Avenues, NE
Washington , DC 20510

Co-chairs: Commissioners C. Richard D’Amato and Kerri Houston

Prepared statement of Chairman Larry M. Wortzel

Good Morning. This is the fifth hearing in the US-China Economic and Security Review Commission’s 2006 reporting cycle. In December, the Commission explored China’s participation in the WTO negotiations process. In February, we assessed China’s internal stability. In March, the Commission examined China’s military strength. And in April, we evaluated China’s industrial subsidies.

These hearings provide a background to how China interacts with the world community and how the communist party maintains its power. Today’s topic, intellectual property rights issues and the import of counterfeit goods, is an examination of domestic governance in China and China’s interactions with the global economy.

The central government makes commitments to the United States on a regular basis. China’s government has passed laws that govern intellectual property rights. However, implementation and enforcement of those laws must improve. Local governments still condone or participation in counterfeiting unless the central government takes focused action. The fact that products with the Beijing Olympic logo have been well protected shows that China can enforce laws when the government sees it in its interest to do so.

I look forward to hearing from today’s panelists. Today’s cochairs, Commissioners Dick D’Amato and Kerri Houston, will open following an introduction from Vice-Chairman Carolyn Bartholomew.

OPENING STATEMENTS
Opening Statement of Chairman Larry M. Wortzel
Opening Statement of C. Richard D'Amato
Opening Statement of Kerri Houston

Panel I: Congressional Perspectives
Senator Tom Coburn (R-OK)
Senator Carl Levin (D-MI)
Congresswoman Diane Watson (D-CA 33rd)
Congressman Joe Knollenberg (R-MI 9th)

Panel II: Administration Perspectives
Mr. Chris Israel, International IPR Enforcement Coordinator, Department of Commerce, Washington DC
Mr. Tim Stratford, Assistant U.S. Trade Representative for China Affairs, Washington DC

Panel III: Overview: Protecting U.S. IP in China
Mr. Myron Brilliant, Vice President, East Asia, U.S.-Chamber of Commerce, Washington, DC
Mr. Edward Jung, Co-Founder and Managing Director, Intellectual Ventures, Bellevue, WA

Panel IV: Copyright Industries
Mr. Jason “Jay” S. Berman, Founding Partner, Berman Rosen Global Strategies, LLC, New York, NY
Mr. John McGuire, Senior Advisor, Screen Actors Guild, New York, NY
Ms. Patricia Schroeder, President and CEO, Association of American Publishers, Washington, DC

Panel V: Pharmaceutical Industry – Government Perspective
Dr. Randall Lutter, Associate Commissioner for Policy and Planning, Food and Drug Administration, Washington DC
Mr. Kevin Dellicolli, Deputy Assistant Director, Financial and Trade Investigations Division, Office of Investigation, US Immigration and Customs Enforcement, Dept. of Homeland Security, Washington, DC

Panel VI: Pharmaceutical Industry
Mr. Peter Pitts, President, Center for Medicine in the Public Interest, New York, NY

Panel VII: Congressional Perspectives
Senator Orrin Hatch (R-UT)
Congressman Donald Manzullo (R-IL 16th)

Panel VIII: Manufacturing and Automotive Industry
Mr. David McCurdy, President and CEO, Electronic Industries Alliance, Arlington VA
Professor Daniel C.K. Chow, Professor of Law, Ohio State University, Columbus, OH

Panel IX: IP Law and Bilateral Negotiations
Mr. Terry Stewart, Esq., Stewart and Stewart Law Offices, Washington DC
Professor Justin Hughes, Director, Intellectual Property Program, Cordozo School of Law, Yeshiva University, New York, NY
Professor Andrew Mertha, Assistant Professor, Washington University, St. Louis, MO

Panel X: Conclusions: The Future of Protecting U.S. IP
Mr. Timothy P. Trainer, President, Global Intellectual Property Strategy Center, P.C., Washington D.C.
Dr. Neil Livingstone, CEO, Global Options Inc., Washington, DC
Dr. Pat Choate, Co-Director, Manufacturing Policy Project, Sperryville, VA