The realization of patents value in China is being accelerated during the 13th Five-Year Plan period (2016-2020) thanks to a refined IP benefit sharing mechanism and budding IP commercialization platforms. Improvement of quality and efficiency of patent commercialization work is constantly a boost to the Chinese economy. According to the latest statistics, the number of patent transactions of all purposes including transfer, licensing and pledge financing during the 13th Five-Year Plan period logged at 1.386 million, two and a half times over the previous five years (also dubbed as the 12th Five-year Plan period) and at an compound annual growth rate of 23.7%, up nine per cent over the rate of the 12th. Patent pledge financing amounted to 470.5 billion yuan, 3.1 times over the previous period. In 2020 alone, patents transactions registered at 405,000 times, and patent pledges hauled in 155.8 billion yuan in loans, both 2.8 times over the last year of the 12th period.
Commercialization of invention patents, patents from emerging sectors of strategic importance and cross-provincial patents grow in both quantity and quality. Invention patents contributed 785,000 transactions, up 511,000 over the 12th period and accounting for 56.7% of all patent commercialization activities. On a single-year basis, this share hit a record-high 59.9% in 2020 particularly. Invention patents with higher value have been commercialized more sufficiently. Meanwhile, patent commercialization in emerging sectors of strategic importance have been more frequently, with 305,000 during the 13th Five-Year Plan period, up 161,000 over the previous period.
The commercialization times of patents from enterprises, institutes and central and western regions and the commercialization abilities of key subjects and areas have been improved rapidly. During the 13th Five-Year Plan period, institutes transferred and licensed patents for a combined 76,000 times, two and a half times over the 12th period. In 2020, the rate of enterprises as transferees, licensees and pledgors reached 93.3%, up about two percent. Patent commercialization times from central and western regions amounted to 300,000, 3.2 times over the 12th period and at a compound annual growth rate of 33.6%, surpassing nearly 10 percent over the nationwide number.
Thirty-seven key cities are included in the construction of IP commercialization and service system, promoting obviously the development of the patent commercialization work nationwide. Since 2017, four batches of 37 key cities have carried out work of the construction of IP operation and service system, where innovators have commercialized patents for 407,000 and obtained 168.09 billion yuan loans through patent pledge financing. In 2020, 37 key cities commercialized patents for a combined 188,000 times, up 39.5% and 7.5% higher than the average rate nationwide, and getting 80.89 billion yuan loans through pledge financing, up 54.3% and 13.3% higher than the average rate nationwide, respectively accounting for 46.4% and 51.9% of the nation's total, playing a leading role for other cities.
In the 14th Five-Year Plan period, China is further improving the efficiency of IP transfer and commercialization and upgrading the IP operation services, supporting high-quality economic development with high-efficient IP utilization.