China's IP system was established about twenty years ago. Though its history is not long, its development is fast. During these twenty years, China's IP System went through a founding stage between the 1970s and 1990s, and a later beginning stage. After China's entry to WTO, it is in a fast-developing stage. From 2001 to 2005, the Chinese IP system developed quickly and made major achievements. The achievements are in the following aspects:

Ⅰ. IP legislation system is relatively sound and efficient. Ⅱ. The quantity and quality of IPR have been raised markedly. Ⅲ. Macro-management has been strengthened constantly. Ⅳ. Notable progress has been made in IPR protection. Ⅴ. IP awareness has been improved. Ⅵ. New development has been achieved in coordination of foreign-related affairs in the field of intellectual property.

While talking about the establishments from 2001 to 2005, we should also notice that the overall situation of IPR in China is not in line with the requirement of the Chinese social, economic and science development, or with the new international IP development trend:

Ⅰ. Policies on IPR need to be improved. They are not in line with IP legislation; Ⅱ. Competent IP Authorities need to improve their management methods and efficiency; Ⅲ. Enterprises do not make sufficient use of the present IP system and they lack experts who are good at settling IP disputes, especially international IP disputes; Ⅳ. Enterprises do not have enough IPR of core technology. They own little IPR and those are of poor quality; Ⅴ. Some government leaders need to further realize the importance of the work of IP; Ⅵ. Social IPR awareness also needs to be further improved.

The first twenty years of this century are considered a crucial and strategic period for China's social and economic progress, as well as IP development. The economic structure will be transformed and the profit growth will come from a different sector. This constitutes a challenge as well as an opportunity for the IP development in the country. In order to attain the goal of building a creativity-based country, we should consider our position, identify our needs and take the opportunity we have to improve the national competitive edge.