INDUSTRIAL DESIGN AND
REGIONAL DEVELOPMENTTHE CASE OF VIETNAM
Dr. Phan Quoc Nguyen
Vietnam National University, Hanoi
Phone number: +84913078792
Email: pqnguyen77@yahoo.com
Manila, 07 March 2019

CONTENTS
1. Introduction
2. Efforts for ID policy in Vietnam
3. ID system for a regional activation
4. Status for ID registration in Vietnam
5. Conclusion

2

RATE OF IP ASSETS IN LEADING COMPANIESCompany

Rate of IP Assets

Walt Disney

70.9%

Philip Morris

78.8%

Johnson& Johnson

87.9%

Procter & Gamble

88.5%

Microsoft

97.8%(Source: InterBrand Corporation)

ECONOMIC BENEFITS OF IP
AT MACROECONOMIC LEVEL•Increase GDP and competitiveness•Enhance exports of high value•Stimulate R&D•Reduce brain drain by providing incentives•Help address national human needs•Develop national brand and cultural identity•Attract beneficial FDI and local investment•Job creation
4ECONOMIC BENEFITS OF IP-SOME EVIDENCES* European Union report, 2013
IPR-intensive industries contribute 39% of GDP.
* USPTO reports, 2011
IP-intensive industries accounted for about 5.06
trillion USD in value added, or 34.8% of US GDP
in 2010.

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IP AND DEVELOPMENT

Source: WIPO
Publication No.944, 2017

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IP POLICY AND DEVELOPMENT- IP systems can be critical in helping national and regional
development via the transformation of their innovation
potential and creativity into market value and competitiveness.
- IPR protect their IP assets and have other functions:+ signaling current and prospective value to investors,
competitors and partners;+ accessing knowledge markets and networks, and+ accessing to finances.
≠ However, IP systems can also create obstacles to thedevelopment of entrepreneurial ideas and hamper knowledgediffusion and innovation.
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IP AND OTHER DEVELOPMENT POLICY- Exclusive rights as incentive for inventors.
≠ However, Government must provide balance
between IP protection and access by competitors totechnology information in various areas:+ health (access to affordable medicines),+ education (access to scientific materials),+ biotechnology (use of genetic research tools),+ food (food security),+ agriculture (preservation of biodiversity), etc.
→ the line between IP protection and public domain?
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RELATED INTERNATIONAL TREATIES AND CONVENTIONS

1/ Paris Convention (Paris Convention for theProtection of Industrial Property, 1883-industrial
properties: patent, trademark, industrial design, utility
models, service marks, trade names, geographicalindications and the repression of unfair competition)
2/ Hague Agreement (1925, international registrationof industrial designs)
3/ TRIPS Agreement (1995, The Agreement on TradeRelated Aspects of Intellectual Property Rights,international legal agreement between all the member
nations of the World Trade Organization)
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RELATED REGIONAL TREATIES AND CONVENTIONS• Comprehensive and Progressive Agreement forTrans-Pacific Partnership (CPTPP- TPP11 or TPP11 between Canada, Australia, New Zealand, Mexico,Peru, Chile, Japan, Malaysia, Brunei, Singapore andVietnam), 2017, contains a comprehensive chapter on
intellectual property (IP), which includes provisions
across almost all areas of IP rights protection andenforcement.
•ASEAN Framework Agreement on Intellectual
Property Cooperation, 1995.
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RELATED BILATERAL TREATIES- ASEAN has bilateral agreements with thefollowing countries and blocs: China, India,Japan, Korea, Australia, Newzealands.
- European Union (EU) has bilateral agreementswith 27 countries and blocs, EU-VIETNAM
FREE TRADE AGREEMENT (EVFTA),
2019?
11INDUSTRIAL DESIGN IN TRIPS
Article 25 Requirements for Protection
1. Members shall provide for the protection of independently createdindustrial designs that are new or original. Members may provide thatdesigns are not new or original if they do not significantly differ fromknown designs or combinations of known design features. Members may
provide that such protection shall not extend to designs dictatedessentially by technical or functional considerations.
2. Each Member shall ensure that requirements for securing protection
for textile designs, in particular in regard to any cost, examination orpublication, do not unreasonably impair the opportunity to seek andobtain such protection. Members shall be free to meet this obligation
through industrial design law or through copyright law.

Article 26 Protection
3. The duration of protection available shall amount to at least 10 years.
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EFFORT OF IP LAW 2005, amended in 2009
IPR

Copyrightand Related
rightsIndustrial
PropertyrightsIndustrial
DesignPlant
VarietyrightsDEFINITION OF INDUSTRIAL DESIGN
Outside shape of a product illustrated bydimensional shape, outline, color or combinationof them (Art. 4.13, IP Law of Vietnam, 2005).

CONDITIONS FOR PROTECTIONa) Novelty;b) Inventive step;c) Industrial Application.
DURATION OF PROTECTION

05 years, renewal of 2 times x 5 year

STATUS FOR ID REGISTRATIONYEAR

BY THE VIETNAMESE

BY THE FOREIGNER

TOTAL

2006

1105

490

1595

2007

1338

567

1905

2008

1088

648

1736

2009

1430

469

1899

2010

1207

523

1730

2011

1200

661

1861

2012

1349

597

1946

2013

1366

763

2129

2014

1594

717

2311

2015

1607

838

2445

2016

1861

1007

2868

2017

1583

1158

2741

16
Industrial design applications fled from 2006 to 2017, Sources: NOIPSTATUS FOR ID GRANTEDYEARBY THE VIETNAMESE

BY THE FOREIGNER

TOTAL

2006

678

497

1175

2007

896

474

1370

2008

908

429

1337

2009

747

489

1236

2010

832

320

1152

2011

807

338

1145

2012

681

440

1121

2013

852

510

1362

2014

984

650

1634

2015

841

545

1386

2016

877

577

1454

2017

1339

928

2267
17

Industrial designs granted from 2006 to 2017, Sources: NOIP

GDP OF VIETNAM
YEAR

GDP (VND trillion)

2006

1062

2007

1247

2008

1616

2009

1809

2010

2158

2011

2780

2012

3245

2013

3584

2014

3938

2015

4193

2016

4503

2017

5008

18
GDP of Vietnam from 2006 to 2017, Sources: General Statistics OfficeEFFORT OF ACCESSION TO THE HAGUE AGREEMENT

Effort to join in the Hague Agreement (submission of 01
international registration to a total of assigned 69 members,
managed by WIPO with 01 currency) with following reasons:
1. Under the context of strong integration and globalization,
Vietnam is good destination for foreign investors andVietnamese companies expand their operations to abroad.
The simplification of ID protection (new product) helps toraise their competitiveness.
2. Hague Agreement has big development by the accessionof developed countries such as USA, Japan, South Korea,Russia and Canada. ASEAN members shall access to theAgreement to simplify the registration for regional
applicants, thereby to raise the competitiveness of ASEAN
19economies in the world.

EFFORT OF ACCESSION TO THE HAGUE AGREEMENT (Cont’d)

NOIP has been conducting the followingworks:+ raising awareness for Vietnamese applicants;+ modernizing IT system;+ upgrading application management system;+ preparing human resources with advanced
level to treat applications.

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- Increase of IP assets including ID supports theeconomic development and GDP, not only forVietnam but also for ASEAN region.
- Vietnam has have efforts to have good ID policy toraise the competitiveness of her products
domestically and abroad; to facilitate for foreign
investment and concurrently to prevent from ID
infringement.
- Catching up with international standards is one ofVietnam’s biggest efforts for regional development.
→ Reason why Vietnam’s ID application and granted
certificates are increasing in recent years.
21Dr. PHAN QUOC NGUYEN

Phone number: 0913078792
Email: pqnguyen77@yahoo.com
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