Revision of Regulations on the Protection of Layout-Designs of Integrated Circuits in China
On 26 June 2026, the State Council of the People’s Republic of China (PRC) issued the revised Regulations on the Protection of Layout-Designs of Integrated Circuits (2026 Regulations), which shall come into force on 15 October 2026. The Council promulgated and implemented the current Regulations (2001 Regulations) in 2001.
With the rapid development of integrated circuit technology and the industry, it has become necessary to revise the current 2001 Regulations to better meet practical needs. We summarize the substantive revisions of the 2026 Regulations below:
1. Scope of Protection: Expanded to Emerging Fields
In the 2001 Regulations, the protection scope primarily covered traditional semiconductor integrated circuits. In the 2026 Regulations, layout-designs of integrated circuits that integrate photonic, quantum, or other functions, are included within the scope of protection.
2. Application and Examination Procedures: Introduction of a Statement of Originality
The 2001 Regulations had no mandatory and detailed requirements regarding the specific legal scope of the registered drawings or the explanation of originality. Articles 23 and 24 of the 2026 Regulations require that the reproduction of drawings submitted by the applicant shall contain the necessary information on the layout-design and clearly indicate the part that possesses originality. Also, the application for the registration of a layout-design must be submitted with a statement of originality and the statement of originality shall identify the areas of the layout- design that possess originality, the principal features of the design, and their corresponding functions.
3. Infringement Compensation: Introduction of Punitive Damages
The 2001 Regulations do not explicitly grant punitive damages for infringement of the exclusive right in a layout-design. Under the 2026 Regulations, the punitive damages range from one to five times the determined compensation amount shall be granted in cases of intentional infringement with serious circumstances.
4. Employee Incentives
The 2001 Regulations do not stipulate an obligation for entities to provide rewards or remuneration for employees who contribute to the design of layout-designs. The 2026 Regulations add a provision requiring legal persons or unincorporated organizations to grant reasonable rewards and remuneration to eligible persons in accordance with the Law of the People’s Republic of China on Promoting the Transformation of Scientific and Technological Achievements and relevant state provisions.
5. Cancellation Procedure
In the 2001 Regulations, CNIPA was solely able to initiate cancellation procedures. The 2026 Regulations introduce a procedure allowing for the cancellation of registration based on a request from a third party. If registration of a layout-design is cancelled, the exclusive right in the layout-design shall be deemed never to have existed.
The 2026 Regulations help to protect exclusive rights in integrated circuit layout-designs, stimulate the enthusiasm of innovators for design, and foster the innovative development of integrated circuit technology.
By: Edward Yao and Chris Round