THE Government's stance that Hong Kong has 'no direct interest' in the ongoing trade dispute between the US and China over intellectual property rights, fails to recognise just how deeply local businesses are affected.
The failure to enforce intellectual property legislation in China is hurting all types of Hong Kong business and threatens Hong Kong's ability to develop as a service centre for China business.
Any visitor to China will already be aware that a major victim of the failure to cease the widespread piracy of compact discs etc are Hong Kong companies and artists.
Producers of television programmes and films made in Hong Kong and developers of Chinese language computer software originating in Hong Kong, are all currently suffering from the failure of Chinese authorities to encore the intellectual property legislation.
On a proportional basis it is probable that the Hong Kong entertainment industries are losing substantially more to Chinese piracy than their US counterparts.
Moreover, the above highly visible examples are only the proverbial 'tip of the iceberg'. Hong Kong manufacturing companies that have succeeded in developing brand name positions in a number of industries in China are losing out from the widespread copying of a full range of consumer goods.
Even greater losses for Hong Kong companies are occurring in the service sector where many companies are being prevented from competing effectively in the China market, because of the difficulties in maintaining control over their intellectual property.
