Preventing Global Warming: The United States, China, and Intellectual Property

Abstract

ABSTRACTConcerns of intellectual property infringement in China slow the dissemination of clean technology (Cleantech) innovation that could help bring the pace of global warming under control. We use the U.S. post‐World War 2 policy decisions with respect to Japan and Europe (the Marshall Plan) to show how this problem can be addressed. To help Japan become a western style democracy and stem the tide of communism, the U.S. transferred much of its extant intellectual property to Japan with a promise to open US markets to Japanese goods. The United States did not require Japan to open its markets to U.S. goods. As a result, Japan became a staunch U.S. political ally in Asia, but also a serious economic competitor to the United States. While the Marshall Plan deployed different resources, the political outcomes were similar to Japan: Western Europe was a bulwark against communism. As global warming has become a major strategic issue, we argue that a comparable IPR initiative is required for China. This is not just a matter of doing the right thing as members of global commons, but is also matter of national security. We propose that by facilitating and managing the flow and sharing of U.S., EU, and Japanese Cleantech intellectual property with China—through a Cleantech Marshall Plan—a positive strategic relationship may be built while helping to bring global warming under control.