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Deep & Far Newsletter 2025 ©
Oct (1)

Taiwan IP Updates  ¡V October 2025

By Lyndon 

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Taiwan Customs Updates Regulations to Protect IP Vulnerabilities

Previously, any person who illegally imported or exported goods could be exempt from any fine if the value of the goods was less than NT 5,000 dollars.  On May 29, 2025, the Customs Administration amended and promulgated the Standards for Reduction of Penalties in Customs Anti-Smuggling Cases with the aim of closing an unnecessary loophole.  Now, the amendment states clearly that illegally imported or exported goods that infringe a patent, trademark or copyright will not be eligible for reduction of Customs penalties, regardless of their value.  The idea was to deal with the discrepancy that purchasing or selling smuggled goods on consignment that infringe IP rights were previously eligible for fine exemption under Article 4 if the value of the goods did not exceed NT 5,000 dollars, but properly declared goods that were under the same value amount could not be exempt from the fine.

 

Taiwan Releases Draft of AI Act

The Taiwan Government law-making branch, the Executive Yuan, announced a draft of the Artificial Intelligence Basic Act on August 28, 2025.  This will have obvious ramifications in the IP field.  The draft defines artificial intelligence as a self-operating system that applies machine learning and algorithms to generate outputs such as predictions, content, suggestions, or decisions.  Also the draft establishes seven guiding principles for AI development which are as follows:

  1. AI development should balance social equity and environmental sustainability while reducing divisions.
  2. AI should respect human autonomy, personal rights, and fundamental freedoms, while allowing for human supervision.
  3. Personal data privacy must be protected, with a focus on data minimization.  The AI Basic Act also promotes the open use and reuse of non-sensitive data.
  4. Security measures must be in place to ensure the robustness and safety of AI systems against threats and attacks.
  5. AI output must have transparency and be appropriately disclosed in order to help evaluate potential risks and understand the impact on related rights.
  6. Algorithms should be developed to avoid bias and discriminatory outcomes against specific groups.
  7.  Developers and users of AI should bear responsibilities aligned with their roles.
The draft also requires the government to actively promote AI research, development, and infrastructure as well as innovation sandboxes to foster technological development.  The government will be required to engage in public-private partnerships and international collaboration to facilitate the exchange of talent and technology.  Another requirement is that the government will have to establish a mechanism for data openness and sharing to increase the availability of data for AI, while upholding diverse cultural values and intellectual property rights.

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