EU Initiates WTO Consultation Against China

The European Union has formally requested consultations with China at the World Trade Organization (WTO) concerning intellectual property policies. The EU alleges that China has been setting global royalty rates for EU standard essential patents without the patent owners' consent, particularly affecting the telecoms sector. This practice has reportedly forced EU tech companies to lower their patent rates, thereby giving Chinese manufacturers an unfair advantage by providing cheaper access to European technologies.

EU's Stance on WTO Rules Violation

According to the EU, China's approach contravenes WTO regulations. After unsuccessful attempts to resolve the issue directly with Beijing, the EU has decided to initiate a dispute settlement procedure. If no resolution is reached within 60 days, the EU may request a WTO panel to adjudicate on the matter.