US Places India on Priority Watch List for Intellectual Property Concerns

The United States has once again included India on its Priority Watch List due to intellectual property issues, pointing out enforcement gaps and longstanding problems with patent protection. This decision was part of the 2026 Special 301 Report by the Office of the US Trade Representative, which evaluates how countries safeguard and enforce intellectual property rights. India is among six nations on this list, alongside China, Russia, and Indonesia. While India has made efforts to enhance its intellectual property framework by increasing examiners and raising awareness, progress is deemed inconsistent. The report highlighted India’s challenges in protecting and enforcing intellectual property, especially in the realm of patents. Delays in patent approvals, burdensome reporting requirements, and extended opposition procedures were cited as key concerns. The US Trade Representative expressed worries about restrictions on patentable subject matter, particularly in the pharmaceutical sector, affecting businesses. The report also raised issues regarding the absence of a robust system to safeguard test data used for drug and agricultural chemical approvals. Enforcement deficiencies were noted, with coordination gaps among authorities and inadequate penalties failing to deter violations. The report emphasized the prevalence of piracy and counterfeiting in India, with illegal streaming, software piracy, and counterfeit goods posing ongoing challenges. Trademark enforcement faced delays, and companies reported backlogs in opposition cases and concerns about examination quality. India’s lack of a specific law on trade secrets was highlighted, making it challenging for companies to protect proprietary information. Despite these concerns, the US acknowledged positive steps taken by India, such as amending patent rules in 2024 to enhance efficiency and reduce burdens. The US intends to continue engaging with India through trade discussions and the Trade Policy Forum to address unfair trade practices effectively. US Trade Representative Jamieson Greer stressed the importance of using all available enforcement tools to tackle unfair trade practices, emphasizing the significance of robust intellectual property protection for American innovators, creators, and brand owners. Ambassador Rick Switzer echoed these sentiments, underlining the reliance of American stakeholders on strong intellectual property protection and enforcement. The Special 301 Report, an annual assessment of intellectual property protection among US trading partners, subjects countries on the Priority Watch List to heightened scrutiny and engagement from Washington. India’s presence on this list underscores the ongoing differences between the US and India concerning intellectual property policies, a longstanding issue in trade discussions, particularly in the pharmaceutical and digital sectors.