XN000022-1996-05-01 — Page 2

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Reference to Hong Kong in the US Special 301 Report

The Government notes that the US Trade Representative has just published the annual Special 301 report, in which Hong Kong is mentioned under the "Other Observations" category, amongst 19 other trading partners.

"We are surprised to see Hong Kong mentioned in the Report given our firm commitment to, and vigorous implementation of, intellectual property rights (IPR) protection in Hong Kong," a spokesman for the Trade and Industry Branch today (Wednesday) said.

"We are however pleased to note that due recognition has been given in the Report to the various steps taken by the Hong Kong Government in enforcing IPR protection in Hong Kong. We also note the US intention to review Hong Kong's position in six months' time.

"The Hong Kong Government is firmly and totally committed to combating copyright piracy and trademark counterfeiting. We act decisively against IPR infringers within Hong Kong's rule of law. We will continue with our plans for enhancing IPR protection in Hong Kong," the spokesman said.

"On the legislative front, the level of maximum penalties against copyright pirates was substantially increased last May. New copyright piracy offence provisions were passed by the Legislative Council on April 24, 1996, to make it an offence for any person to manufacture outside Hong Kong for export to Hong Kong pirated copyright goods.

"Any person who, whether in Hong Kong or elsewhere, aids, abets or procures such activities will also be liable to the same offence.

"This will help tackle masterminds of cross-border copyright piracy activities more effectively.

"New customs border measures will soon be put in place to enable copyright owners to apply for court orders to detain suspected imports of pirated copyright goods so as to facilitate their initiation of civil proceedings. This measure is in addition to the existing criminal enforcement by the Hong Kong Customs.