The US has put India on its 2026 priority watch list for intellectual property rights. Classification, as reported by the United States The Trade Representative (USTR) on Thursday cited ongoing concerns about intellectual property protection and enforcement.
“India remains one of the world’s most challenging major economies in terms of intellectual property protection and enforcement,” the report said.
The annual report reviews the effectiveness of US trading partners in protecting intellectual property rights such as patents, copyrights, and trademarks. This year, six countries, Chile, China, India, Indonesia, Russia and Venezuela were included in the list.
Why is India on the list?
The United States said India has made some progress in intellectual property protection, but many issues remain. He cited problems with the patent system, including delays, strict rules that lead to rejection, and the possibility of revocation.
The report also noted weak implementation, with persistent piracy and counterfeiting and limited coordination between agencies. The United States has raised concerns about high import duties on intellectual property-related products and gaps in the protection of trade secrets and testing data. It also noted delays in legal proceedings, including trademark and copyright issues.
“The United States intends to continue to engage with India on intellectual property matters, including through the US-India Bilateral Trade Agreement negotiations and the TPF Intellectual Property Working Group,” the report said.
Vietnam is experiencing maximum scrutiny
Vietnam has been designated as a priority foreign country (PFC), the strictest designation under US trade law, for the first time in more than a decade. This label is reserved for countries with the “most egregious” intellectual property practices that harm U.S. companies, according to the US Trade Representative’s Office.
The designation triggers a decision within 30 days on whether to launch a formal investigation under Section 301 of the Trade Act 1974, which could lead to trade action if concerns remain unresolved.
The United States said Vietnam had failed to make “tangible progress” in negotiations and had not engaged in good faith in strengthening intellectual property protection, despite multiple rounds of bilateral discussions since 2020.
Shifts in classification
Argentina and Mexico were moved to the watch list after improvements, the European Union was added, and Bulgaria was removed.
A total of 19 countries, including Pakistan, Turkey and Brazil, are now on the watch list.
The US Trade Representative said it will use enforcement tools to address unfair trade practices and expects countries to fix loopholes in their intellectual property systems.
