In its latest website posting, the OUSTR reported that the Philippines was lowered from the Priority Watch List to the Watch List at the conclusion of an out-of-cycle review in February this year due to substantial improvements in IPR protection.
However, the OUSTR said that the Philippines remains in the Watch List.
The Philippines, the OUSTR reiterated, needs to continue enforcing the Optical Media Act through continued inspections and raids of optical disc plants; increasing the number of seizures of pirate and counterfeit products and the machinery used to produce such infringing products; and increase the number of arrests and convictions of pirates and counterfeiters arising out of the optical disc plant inspections.
The OUSTR also urged the Philippines to achieve deterrence and avoid backsliding; ensure destruction of pirate and counterfeit goods and equipment used to make them; improve customs enforcement and address the problem of illegal copying of textbooks and counterfeit pharmaceuticals.
Additionally, the OUSTR wants the Philippines to take actions against television signal theft by pirate cable TV operators and bring domestic IPR laws in line with the Philippines’ commitment to implement the WIPO Internet Treaties including internet piracy and increasing the capacity of courts to address IPR cases effectively.
The OUSTR lowered the Philippines from the Priority Watch List to the Watch List under the Special 301 Review, which examines in detail the adequacy and effectiveness of IPR protection.
The Philippines was in the Priority Watch List for five years.
Pursuant to Section 182 of the Trade Act of 1974, as amended by the Omnibus Trade and Competitiveness Act of 1988 and the Uruguay Round Agreements Act (enacted in 1994), under Special 301 provisions, USTR must identify those countries that deny adequate and effective protection for IPR or deny fair and equitable market access for persons that rely on intellectual property protection.
Countries that have the most onerous or egregious acts, policies, or practices and whose acts, policies, or practices have the greatest adverse impact (actual or potential) on relevant US products must be designated as "Priority Foreign Countries."
USTR created a "Priority Watch List" and a "Watch List" under the Special 301 provisions.
Placement of a trading partner on the Priority Watch List or the Watch List indicates that particular problems exist in that country with respect to IPR protection, enforcement, or market access for persons relying on intellectual property.
Countries placed on the Priority Watch List are the focus of increased bilateral attention concerning the problem areas.