: Last month, the Chinese legislature passed a revision of its 1993 Science and Technology (S&T) Progress Law. According to the revised law, China’s overall R&D spending in the public and private sectors should increase steadily each year. Current plans state that China’s R&D spending will account for 2.5% of its GDP by 2020. The amendments to the law state will allow the government to establish funding to support innovation by small- and medium-sized enterprises and will encourage industry to take a greater role in developing innovative research. In addition, lower tax rates will be applied to research activities and scientific equipment. Scientists and universities conducting publicly funded research will be allowed to own their patents, and the government will not retract patents unless their owners do not use them “in a reasonable period.” Prior to this amendment, China had no standard regulation for intellectual property rights. Also in December, China’s State Council passed the Key New Drug Creation and Manufacturing Program, which will fund the R&D of more than 12 new drugs over the next five years.

Source: SciDev