China is set to impose severe punishments in intellectual property right (IPR) infringement and counterfeiting cases.

"Penalties for IPR infringements will be increased and the cost of safeguarding such rights will be lowered," according to a statement following a State Council executive meeting. "Quick and low-cost ways of safeguarding IPR must be expanded," the statement said.

At the same time, the government plans to establish a punitive fine system for property right infringements and step up law enforcement and judicial protection.

Data from the SIPO showed that in the first half of 2017, there were 15,411 national patent administrative law enforcement cases, an increase of 23.3 percent from the same period a year ago.

In addition, IPR protection will be improved using real-time monitoring, Internet tracing of sources, and online identification of infringements, according to the statement.

Focus will be put on IPR infringements in online shopping and foreign trade, and more will be done regarding fake or shoddy goods.

Meanwhile, the government will make compensation if companies suffer losses due to the government's bad faith.

With strong and effective property rights protection, China will raise the confidence of market participants to invest and start businesses, the statement said.

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