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Special 301 Report of 2018: Kuwait, Saudi, and the UAE

The Office of the United States Trade Representative just issued the Special 301 Report for 2018 – an annual report by the government of the United States that identifies claimed shortcomings of intellectual property laws of foreign countries. This year’s report continues to list Kuwait on the ‘Priority Watch List’ and adds Saudi and the UAE to the ‘Watch List’.
2018 Special 301 – Kuwait

Even though Kuwait has issued a brand new copyright law in 2016, the United States is not still satisfied with this law in regard to ‘the term of protection; limitations on the amount of work reproduced; enforcement, remedies, and damages; and definitions’. According to this report, ‘Kuwait is in the process of drafting amendments to the Law’.

2018 Special 301 – Saudi

The United States is not happy with the extent to which Saudi grants ‘marketing approvals to domestic companies to produce generic versions of pharmaceutical products that are under patent protection either in Saudi Arabia or in the GCC’. There is also apparently a ‘continued use of unlicensed software by the government’.

2018 Special 301 – UAE

In the UAE, the United States has ‘concerns about combatting the sale and transshipment of counterfeit goods’, especially those relating to physical counterfeit markets in the UAE and the lack of IP enforcement mechanisms within free trade zones. The United States also demands that UAE starts granting ‘the necessary operating licenses to establish [collecting management organisations (CMOs)] to allow copyright licensing and royalty payments’. According to this report, trademark filing fees in UAE ‘are the highest in the world and considered cost-prohibitive to protecting trademarks in the UAE’. Finally, the report complains about UAE officials allowing ‘domestic manufacture of generic versions of pharmaceutical products still under patent protection in the United States’, and has questions about ‘whether the UAE intends to continue to recognize patents granted by the GCC Patent Office’.

While Kuwait has been listed in every single edition of the Special 301 Report, this is the first time the UAE is ever included in it. The last time Saudi was listed is 2009 – almost a decade ago.

This report has no legal power of its own, but it is used by the United States to lobby countries around the world to change their laws to make them more protective of IP rights owned by American corporations.

Photo credits: “Kuwait City” by Meshal Alawadhi – CC BY-NC 2.0