U.S. Chamber Calls for Strong IP Protection, Unveils Green Jobs Report

Sep 30, 2009


Chamber President and CEO Tom Donohue warns that 1 million green jobs would be lost if other countries proceed with plans to weaken IP rights on climate change technology.

 
The administration must work with business and Congress to devise a bold national intellectual property protection strategy, says U.S. Chamber President and CEO Tom Donohue.

"The promotion and protection of intellectual property rights are vital forces of the nation's economic growth and job creation," said Donohue, speaking at the Chamber's Global Intellectual Property Center's sixth annual summit on September 30. 

Donohue unveiled a new GIPC report that found that 1 million green jobs would be lost by 2020, and export markets would be significantly damaged if foreign governments are allowed to adopt anti-IP policies that hinder the creation of climate change technologies. The report comes in the midst of international climate change negotiations in which some governments are lobbying for weakened IP rights.

"We have to strenuously oppose those...governments that think weakening of IP rights'is the most effective way for developing countries to get the technologies they need," Donohue told the audience.
 
U.S. manufacturers will not invest in alternative fuels and energy-saving devices and emission-reducing technologies "if somebody is going to rip it off," Donohue added.

The report analyzes the impact that compulsory licensing, as part of a global climate treaty, would have on U.S. job growth in five green tech sectors – solar, biofuels, wind, batteries and LED lighting.  In all sectors, the report finds that job losses due to involuntary compulsory licensing mechanism could run as high as 1 million, and more than 50% of foreign export markets would be lost in four out of the five sectors.
 
The study also finds that the lack of a clear, legal definition of "climate friendly technologies" poses a serious risk to innovators. The ambiguity of this term suggests that compulsory licensing could be applied to any technology that in some way reduces waste or greenhouse gases. The study also concludes that compulsory licensing will actually hinder technology transfer as firms pull back from exporting to developing countries for fear of losing IP protections.
 
The report, Intellectual Property and Green Growth: Analysis and Implications for International Climate Negotiations, is available here.

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