Canada Makes Priority Watch List
Thursday, April 30th, 2009 by Patrick Ross
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That’s going to be the lede for many reporters writing about the latest Special 301 Report issued today by U.S. Trade Representative Ron Kirk. This is the 20th annual report, which each year lists troublesome countries regarding IP enforcement, in different tiers. This year Canada was elevated — or lowered, depending on your perspective — to the most troublesome tier, Priority Watch List.
As Ambassador Kirk put it in USTR’s press release:
Today’s Special 301 Report guides our efforts to protect American innovation and creativity around the world. Our creative and innovative products can hit the global marketplace sometimes with just a keystroke. If we and our trading partners are not vigilant in protecting and enforcing intellectual property rights, they can vanish just as quickly.
Canada has for more than a decade now completely ignored their international treaty obligations, declining to incorporate those IP enforcement commitments into law. USTR cited this and also mentioned “continuing concern about weak border enforcement.”
Speaking at the World IP summit hosted by the Institute for Policy Innovation in D.C. today, Kira Alvarez, chief negotiator for intellectual property enforcement and Deputy Assistant U.S. Trade Representative, noted Canada’s new status. “We really do want them to adhere to their intellectual property obligations.” She noted two other Priority Watch List countries, China and Russia, continue to be highly troublesome. Kirk said he was “particularly troubled by reports that Chinese officials are urging more lenient enforcement of IPR laws,” and Alvarez said that with rising manufacturing and innovation in China, that is an illogical path.
Alvarez and the USTR press release, however, praised Korea, which for the first time is not on any of the watch lists. The Korean government has made IP protection a priority, which of course benefits Korean industries as well as imports to their country. Still, USTR said it will “continue to monitor closely the ongoing problem of Internet piracy in Korea, and will be prepared to consider returning Korea to the Watch List in the future if it does not respond effectively to this challenge through its implementation of newly enacted legislation and other steps.”
There are 12 U.S. trading partners on the Priority Watch List, so Canada joins the august company of China, Russia, Algeria, Argentina, Chile, India, Indonesia, Israel, Pakistan, Thailand, and Venezuela. The USTR will conduct “particularly intense engagement through bilateral discussion” with these twelve. That means Canada is worse at IP enforcement than Priority Watch List countries such as Belarus, Lebanon, Turkmenistan and Vietnam. Ouch. An total of 33 trading partners are on the Watch List, which will also merit bilateral talks.
Kudos to Ambassador Kirk, who also said this:
As U.S. right holders, businesses, and workers suffer losses from international piracy, counterfeiting, and other forms of IPR theft, the Special 301 Report provides a critical policy tool for focusing on urgent problems that undermine one of America’s great strengths in the global economy – our innovation and creativity. In this time of economic uncertainty, we need to redouble our efforts to work with all of our trading partners – even our closest allies and neighbors such as Canada – to enhance protection and enforcement of intellectual property rights in the context of a rules-based trading system.
I hope Ambassador Kirk isn’t becoming embarrassed at my frequent, effusive praise of his leadership, but then again, he’s asking for it with the recognition of him and his entire USTR team of the importance of IP promotion and protection in the global economy.




April 30th, 2009 at 2:11 pm
But Patrick, isn’t it arrogant to tell other countries what laws they should pass and how they should interpret their own laws?
April 30th, 2009 at 2:22 pm
Canada, in signing the WIPO treaties, committed to implementing their obligations into law. Others on the watch list are in the same boat or are not enforcing laws they put into place. In other words, we are enforcing their IP rights in this country but they are not enforcing the IP rights of anyone, including their own citizens. These are all US trading partners engaged in treaties with us.
Arrogant would be lecturing a country that has chosen not to sign trade agreements, and thus has chosen to forfeit the benefits that come from mutual enforcement provisions.
April 30th, 2009 at 10:38 pm
“But Patrick, isn’t it arrogant to tell other countries what laws they should pass and how they should interpret their own laws?”
Don’t you know that American law supersedes all other international law?
That if other countries don’t follow American law, they’re not American and should be bombed?
HOW DARE YOU, Patrick, have the gall to think you have the right to implement your personal money-grubbing schemes over the sovereign rights of other countries.
You really need to check your ego at the door kid, because this kind of thing just sparks trade wars.
You want to target us? Fine.
No more oil.
No more natural gas.
Have fun in winter.
April 30th, 2009 at 11:12 pm
And if the ESA is so up in arms about Canada and modchips - why isn’t Australia on this list?
May 1st, 2009 at 12:52 pm
http://www.michaelgeist.ca/content/view/3912/125/
The IIPA, the lead U.S. lobbyist on international IP matters, has issued a press release on the USTR Special 301 report, welcoming the inclusion of Canada on the Priority Watch List. Yet the release inadvertently demonstrates why the designation is so absurd. Included at the end are the estimated software piracy percentages for each country on the list. While the BSA claims are themselves subject to challenge, compare Canada to the remainder of the list. Canada comes in at 32%. The remaining countries (no rates are listed for Algeria, Israel, or Venezuela):
Country BSA Claimed Piracy Rate
Argentina 75%
Chile 66%
India 66%
Indonesia 86%
Pakistan 85%
China 79%
Russia 70%
Thailand 76%
Not only is Canada not even remotely close to any other country on the list, it has the lowest software piracy rate of any of the 46 countries in the entire Special 301 Report. Moreover, it is compliant with its international IP obligations, participates in ACTA, has prosecuted illegal camcording, has the RCMP prioritizing IP matters, has statutory damages provisions, features far more copyright collectives than the U.S., and has a more restrictive fair dealing/fair use provision.
I will simply say this - the people who put Canada on this list are liars.
Anyone who supports this charade is a liar.
The ESA are liars.
You, Patrick Ross, are a LIAR.
You owe me, and everyone else in Canada, a public apology.
So do the people who put Canada on this list.
May 1st, 2009 at 4:00 pm
Hmmm. When I saw “Canada” my blood started to boil.
I am sorry, Neal, I’m simply ready to believe almost any calumny of your countrymen because certain Canadian pharmacy representatives steal my identity in order to try to sell me (and my friends) products to improve the appearance and functioning of parts I do not possess (and do not wish to possess).
That is no doubt unfair, but allegedly Canadian pharmacy salespersons are interfering with my privacy, my peace of mind, and my ability to enjoy peaceful email communications with my friends.
They say they are Canadian. That’s why I believe they are Canadian. When your countrymen spam my desktop, in my home, in whatever country I live in, they ought to be subject to the laws of wherever they are trespassing.
Maybe if Canada could denounce the pharma spam, we’d all be happier.
May 1st, 2009 at 4:10 pm
Proof…?
And you’re right - it is unfair.
Saying criminal actions (whatever kind they are, including identity thieves) represent the actions of a whole country is utterly ridiculous and defies logic and common sense.
By that logic, you could say all of the U.S. are warmongers and torturers.
May 20th, 2009 at 10:16 am
[...] and turning the map to be viewable when Goodlatte began). Canada made the list for the same reason USTR just promoted it to the Special Watch List, USTR’s most troubled category. He called it the “most disappointing” of the [...]
May 3rd, 2010 at 12:37 pm
[...] generally announces the annual list around World IP Day, which was last Monday. (Here’s our summary of the 2009 list.) While I was moderating a panel at IPI’s event, Ambassador Kirk and other government [...]