Brazil threatens to suspend intellectual property rights for American products

Brazil is threatening to suspend the intellectual property rights of American products if the U.S. government doesn’t address a WTO deadline to change its cotton subsidy practices by July 1.  According to this article, the threat is designed to draw IP-intensive industries, such as the entertainment, computer, and pharmaceutical industries, into the no-tech battle over cotton subsidies.

Interesting tactic – ‘suspension’ of IP rights as part of a trade battle.  Seems like a novel approach, albeit unconventional, drastic, and probably illegal.  Also seems like the kind of thing that would make US companies rethink any capital investments in Brazil that are currently being contemplated.

Thanks to this and the recent  overtures to break patents on AIDS medicines, there appears to be little chance that Brazil will be out of IP hot seat anytime soon.

[Copyright 2005 J. Matthew Buchanan. Originally published on Promote the Progress (http://www.promotetheprogress.com).]