The New Chinese counterfeit game (the article is a little dated, but the facts haven't changed)

[rpannier]

International pressure on China to stop its counterfeiters is producing an unexpected twist. Rather than just copying another company's product, many Chinese businesses are filing patents and claiming other intellectual property rights to the counterfeits locally, in effect becoming the legal owners, at least in China.

Companies in the counterfeiting industry, which make everything from knock-offs of Calloway golf clubs and Zippo lighters to brand-name clothes and DVD players for a small fraction of their price in the West, may then even sue foreign companies for ostensibly stealing their patented products.

Whereas counterfeiters used to hide from the law, they now use the law to strengthen their position, legal and trade experts say.

"Chinese industry has a phrase for it," said Xiang Wang, an intellectual property lawyer at the Shanghai office of the international law firm White & Case. "They call it 'a Great Wall of Patents."'


link:
http://www.interesting-people.org/archives/interesting-people/200411/msg00275.html