[Delightful FTA] Sorento Knockoff, Tianma Hero

It seems the Chinese are even more skilled than Koreans at making knockoffs. In China, not only small items like watches and bags but even automobiles are circulating as counterfeit products.

Tianma Automobile of China showcased the “Tianma Hero (天馬英雄),” a vehicle copied directly from Kia Motors’ Sorento, at the 2006 Beijing Motor Show. It reportedly even boasted, quite openly, that “this car is the Chinese version of the Sorento modeled after Korea’s Sorento,” and that it “embodies the boldness and simplicity of the Korean style.” In addition, the “Qisheng” introduced by China’s Huanghai Automobile is a model that blatantly copies Hyundai Motor’s Santa Fe, while Chery Automobile’s “Chery QQ,” launched in 2003 and commercially successful, is a knockoff of GM Daewoo’s Matiz.

After the Korea-U.S. FTA was concluded, many countries expressed a desire to pursue FTA negotiations with Korea. China is one of them. Chinese Premier Wen Jiabao, who visited Korea on April 5, 2007, stated personally that he wanted a Korea-China FTA to be concluded.

If Korea-China FTA negotiations begin, resolving the counterfeit issue will rank high among our demands toward China. We will insist that our intellectual property rights be protected, and that is a legitimate demand. China, on the other hand, is likely to object on the grounds that if this happens, it will have to pay royalties to us, reducing the competitiveness of Chinese products. And if Chinese firms can no longer make knockoffs, Chinese consumers will have to pay more for genuine Korean products instead of buying cheaper Chinese counterfeit goods.

However, if Chinese consumers want products from Hyundai, Kia, and Daewoo Motors, it is both economically and ethically right for them to pay the proper price and buy genuine Korean products. Above all, giving up an FTA with Korea in order to protect the small gains derived from counterfeit products would be a loss for China itself.

In the Korea-U.S. FTA, we are in a position similar to China’s. Our negotiating team has approached issues related to pharmaceutical patents and copyright terms on the premise that weakening U.S. intellectual property rights would benefit us. But if we disregard the intellectual property rights of American companies, will we have any moral grounds to raise our voice in the coming Korea-China FTA negotiations and demand that they protect the intellectual property rights of our firms?

Original title: [유쾌한 FTA ] 쏘렌토의 짝퉁, 天馬英雄

Author: Center for Free Enterprise (CFE)

Date: 2007-06-20

Source: https://www.cfe.org/bbs/bbsDetail.php?cid=column&pn=19&idx=10697