Brazil as a strategic market for Chinese innovators
As China deepens its global innovation footprint, Brazil has emerged as one of the most strategic destinations for its enterprises. Combining economic scale, political alignment, and a maturing intellectual property (IP) system, the country offers a unique environment for Chinese companies to expand and protect their technologies.
Brazil has consolidated its position as a strategic jurisdiction for Chinese innovators. As the world's 10th largest economy ¹ and Latin America's largest consumer market ², the country represents a critical frontier for Chinese enterprises expanding their global IP strategies, particularly in telecommunications, automotives, consumer electronics, pharmaceuticals, and emerging technologies.
In early 2025, Brazil ranked among the top five economies worldwide in GDP growth, outperforming major markets as the United States and Germany. This resilience has reinforced Brazil's attractiveness as a destination for foreign investment and technological expansion, especially from Chinese companies consolidating their presence in high-growth sectors ³ .
The smartphone industry illustrates this dynamic. Brazil is the largest market in Latin America, accounting for 28% of all regional shipments in Q1 2025. While the overall Latin America smartphone market contracted by 4% year-on-year, Brazil grew 3% with 9.5 million devices shipped. This expansion has been fueled by the increasing presence of Chinese brands, which have strategically expanded their operations to meet local demand ⁴. Similar patterns are emerging in pharmaceuticals ⁵ and clean technologies ⁶, where Chinese companies are increasingly investing to capture long-term opportunities.
In the automotive sector, Brazil's vehicle market reached 2.6 million sales in 2024, the best result in a decade. The industry has also managed to produce 2.5 million vehicles, regaining its status as the eighth-largest automotive manufacturer in the world ⁷. Chinese automakers have heavily invested in local automotive production in Brazil since 2023. Companies such as BYD and GWM have transformed the Brazilian electric vehicle market, which grew nearly 90% in sales in 2024 ⁸. In this context, other Chinese brands, including GAC and JAC have announced investment in local production, focusing on establishing factories, R&D centers, and spare part warehouses, aiming to increase market penetration.
This expanding economic footprint cannot be separated from the broader diplomatic and political context that has supported such growth. The commercial success of Chinese enterprises in Brazil is deeply intertwined with the long-standing bilateral relationship between the two countries.
China and Brazil: a mutually beneficial relationship
Cooperation between Brazil and China has evolved into one of the most relevant bilateral relationships in the Global South. Since President Lula's first state visit to Beijing in 2004, trade between the two countries has expanded more than 22 times, a trajectory that reflects not only economic complementarity but also a deliberate political choice to deepen ties.
China has been Brazil's main trade partner since 2009 and, by 2024, consolidated its position as the country’s largest supplier, responsible for 24.2% of Brazilian imports (up from 22.1% in the previous year). On the export side, China's share reached 28% in 2024, compared to 26.8% in 2022. In practical terms, Brazilian imports of Chinese goods totaled US$ 63.6 billion in 2024, while Chinese demand for Brazilian products amounted to US$ 94.3 billion.
Despite the geographical distance, Brazil and China maintain a close, stable, and mutually beneficial relationship. In 2024, the two countries celebrated the 50th anniversary of diplomatic relations, marking the milestone with measures such as extending visa validity to 10 years to facilitate travel, promote trade, and strengthen tourism. Unlike other jurisdictions, Brazil does not impose sanctions or regulatory restrictions on Chinese officials, companies, services, or products. Brazilian consumers also show a strong preference for Chinese brands, moving beyond outsourcing to embrace them as first-choice suppliers.
At the political level, the Brazilian government has placed particular importance on strengthening ties with China during President Lula's third term. In April 2023, during his state visit to Beijing, Brazil and China signed 15 bilateral agreements in areas such as agriculture, energy, and space research, with a highlight being cooperation in information and communication technologies (ICT), which is particularly relevant for patent-related matters. Later, in November 2024, following the G20 summit, President Xi Jinping visited Brazil, where the two leaders signed 37 additional agreements across 15 topics, including technological cooperation and investments.
Domestically, Brazil's patent system has been prioritized under the leadership of Vice President Geraldo Alckmin, who also serves as Minister of Development, Industry, Trade, and Services, the ministry responsible for overseeing the BRPTO. Alckmin has emphasized the importance of improving efficiency in patent proceedings. Currently, the BRPTO takes over four years to grant a patent, but the government aims to cut this time by more than half. As Alckmin has stressed, reducing the backlog is essential for fostering business and attracting investment.
Alckmin's Ministry also presides over the Interministerial Group on Intellectual Property (GIPI), Brazil's main body for discussing patent policy in Brazil. GIPI oversees the implementation of the Brazilian National Intellectual Property Strategy, setting the legislative and administrative agenda for IP-related matters, with the goal of strengthening Brazil's IP System and improving BRPTO services.
As this political and institutional alignment advances, intellectual property emerges as a natural focal point - a field where commercial interests, regulatory reforms, and bilateral cooperation converge.
Brazil's intellectual property system
In parallel with this commercial expansion, Chinese companies are engaging with Brazil's IP system in a more structured and strategic manner. Their growing footprint in the country has elevated the relevance of Brazil's legal and regulatory infrastructure, particularly in the field of IP. These companies are no longer merely market participants but active stakeholders seeking legal certainty and long-term protection for their innovations⁹.
China ranks among the top three countries with highest number of patent applications filed before the Brazilian Patent and Trademark Office (BRPTO) in the last four years, most of them ICT-related. Notably, the allowance rate for patent applications filed by Chinese companies is above average: while the BRPTO's overall allowance rate over the past 24 months was 76.93%, Chinese applicants achieved 90.05% ¹⁰.
In the same period, 53.45% of patents filed by Chinese companies (758 of 1418) were ICT-related applications ¹¹, analysed by three specific art units in the BRPTO covering (i) telecommunications, (ii) computers & electronics and (iii) physics & electricity. Unsurprisingly, leading Chinese applicants in Brazil are from the ICT sector, such as Huawei, Xiaomi and Oppo, all well established in the local market.
To further streamline patent protection, Brazil and China have strengthened bilateral cooperation through the Patent Prosecution Highway (PPH). In July 2024, the BRPTO officially joined the Global PPH program, expanding its partner network from 23 to 35 jurisdictions by January 2025. This includes the China National Intellectual Property Administration (CNIPA), allowing Chinese applicants to benefit from accelerated examination procedures in Brazil by leveraging prior favorable examination results from CNIPA ¹².
The initiative significantly reduces time and cost of patent prosecution, reinforcing Brazil's attractiveness as a jurisdiction for innovation-driven companies. The reciprocal mechanism also enables Brazilian applicants to expedite their patent applications in China, enhancing the global reach of Brazilian innovations.
Opportunities for Chinese companies are particularly promising in the life sciences industry. Brazil has a pharmaceutical market, both public and private, serving over 200 million people, while life science related applications represent 9% of all Chinese filings (129 of 1,418) in the last 24 months ¹³.
Together, these developments show that Chinese innovators are not only securing rights before the BRPTO but are also increasingly prepared to enforce them in court when necessary - a shift that underscores the maturity of Brazil's IP environment.
The role of Brazilian Courts in enforcing Chinese patents
Brazil has a patent system recognized for predictability and certainty, both in prosecution and litigation. Brazilian Courts have more than two decades of specialization in IP, with judges experienced in analysing the intricacies of patent lawsuits for a long time, which has led to a deep understanding of the technical and economic nuances of these disputes. Recently, Brazil has emerged as one of the world's main hubs for patent enforcement, as its legal framework, judicial expertise, and large market encourage patent owners, including Chinese companies, to file and enforce patents in Brazil as part of a global strategy against infringers.
The Brazilian patent adjudication system is bifurcated: State Trial Courts handle patent infringement lawsuits, and Federal Trial Courts hear patent invalidity cases, as the BRPTO is a mandatory party, under article 57 of the Brazilian Patent Statute. This division ensures specialized handling of distinct legal issues, creating a dual independent standard that guarantees the quality and enforceability of the patents. Attempts to stay infringement cases pending invalidity outcomes are routinely rejected (fewer than 15% of cases in the past decade).
A key feature of the Brazilian patent litigation system is its statutory provision for preliminary injunctions (PIs), which can be requested both to cease infringement and to suspend a patent's effects in invalidity cases. Brazilian Courts are prepared to render PI decisions in a matter of weeks, which guarantee enforcement efficiency. To obtain a PI, the patent owner must show likelihood of the alleged claim and the risk of loss or injury to the useful outcome of the lawsuit (irreparable harm or significant damage).
In infringement lawsuits, patent owners typically detailed expert opinions, previous negotiation records attempts, and the BRPTO letters patent to support validity and infringement claims. Furthermore, decisions granting or denying the PI can be challenged before Courts of Appeals, which can either uphold or overturn the Trial Court's decision.
Chinese companies have achieved notable success in securing injunctive relief before Brazilian Courts in the recent years. Huawei, in two separate lawsuits against MediaTek, and ZTE, in a case against Samsung, have obtained favorable decisions from State Trial Courts in ICT-related patent infringement cases. These cases, among others, feature Licks Attorneys as counsel for SEP (standard essential patent) owners in every lawsuit ever filed in the country, underscoring the firm's leadership in high-stakes IP litigation. Importantly, these lawsuits form part of broader global litigation strategies, as patent owners seek to negotiate a worldwide patent licensing agreement covering SEPs. The PIs are currently being challenged before the Rio de Janeiro Court of Appeals.
Judges rely heavily on unbiased court-appointed expert reports to evaluate infringement and validity. These independent assessments provide detailed technical analysis on the patented technology, allowing the judge to grasp the complexities of the matter, addressing questions posed by both the plaintiff and the defendant. The Civil Procedure Code also allows for a simplified expert report, a streamlined initial assessment designed to evaluate compliance with a preliminary injunction, further accelerating the enforcement process and ensuring judicial orders are effectively monitored.
Although uncommon, as infringement lawsuits are usually settled before a decision on the merits, damages are also available for Chinese companies against infringers. The Brazilian Patent Statute offers three possible methods for calculating compensation, choosing the most favorable to the patent owner: (i) the benefits that the injured party would have gained if the violation had not occurred (lost profits); (ii) the benefits gained by the author of the violation of the patent rights (infringer's profits); or (iii) the compensation that the author of the violation would have paid to the proprietor of the violated patent rights for a license which would have legally permitted him to exploit the invention (reasonable royalty).
Conclusion
Brazil has established itself not only as a relevant market, but also a close partner for Chinese enterprises. Chinese companies are increasingly active in Brazil's consumer, automotive, ICT, and life sciences sectors, while also have securing and enforcing patents at high rates.
The combination of efficient prosecution mechanisms and a judiciary capable of timely and reliable decisions has positioned Brazil as a central hub for IP enforcement in Latin America. For Chinese innovators, Brazil is no longer just an export destination but a strategic jurisdiction for safeguarding global technologies.
1 StatisticsTimes, based on IMF World Economic Outlook (October 2024), GDP Indicators 2025. Brazil is ranked as the world’s 10th largest economy, with a nominal Gross Domestic Product (GDP) of USD 2.13 trillion, accounting for approximately 2% of global GDP. Available at: https://www.statisticstimes.com/economy/gdp-indicators-2025.php
2 Hong Kong Trade Development Council (HKTDC), a statutory body established by the Hong Kong government to promote international trade, Brazil: Market Profile. “Brazil has the largest economy in Latin America, boasting a diversified industry structure…”. Available at: https://research.hktdc.com/en/article/MzU3ODMzNzIw .
3 CNN Brasil, Brazil ranks 5th in global GDP growth in Q1 2025. “Brazil ranked fifth among the 49 global economies with the highest GDP growth in the first quarter of 2025, following a 1.4% increase in its GDP, according to data released by IBGE.” Available at: https://www.cnnbrasil.com.br/economia/macroeconomia/brasil-tem-5a-maior-alta-do-pib-no-mundo-no-1o-tri-de-2025-veja-o-ranking/
4 Canalys, a global technology market analyst firm, Latin America smarphone market Q1 2025; “Brazil, representing 28% of total shipments to the region, was the only market among the top five regional markets that showed year-on-year growth in Q1 2025”. Available at: https://www.canalys.com/newsroom/latam-smartphone-market-q1-2025
5 During President Lula’s 2025 visit to China, several health-related agreements were signed, including the establishment of a Brazil-China center for vaccine R&D and a strategic platform for active pharmaceutical ingredients, affirming deepening cooperation in the pharmaceutical sector. Brazilian Presidency, In China, Lula participates in signing agreements with Chinese companies in the health area. Available at: https://www.gov.br/planalto/pt-br/acompanhe-o-planalto/noticias/2025/05/na-china-lula-participa-de-assinatura-de-acordos-com-empresas-chinesas-na-area-de-saude.
6 The State Power Investment Corporation (SPIC), one of China’s largest state-owned energy companies, announced a R$ 780 million investments for wind and solar parks in Brazil. Reuters, China’s SPIC invests $ 147 million in Brazil wind farms, launches solar parks, Reuters. Available at: https://www.reuters.com/business/energy/chinas-spic-invests-147-million-brazil-wind-farms-launches-solar-parks-2024-06-05/.
7 Agência Gov, the official news agency of the Brazilian federal government, Brazil records historic increase in vehicle production and ranks eighth globally. Available at: https://agenciagov.ebc.com.br/noticias/202501/brasil-tem-alta-historica-na-producao-de-veiculos-e-e-oitavo-no-ranking-global
8 CNN Brasil, Electrified vehicles exceed expectations and grow nearly 90% in 2024, says industry association. According to the Brazilian Electric Vehicle Association (ABVE), Brazil registered 177,300 electrified vehicle registrations in 2024, up from 93,900 in 2023 — an 89% increase. Available at: https://www.cnnbrasil.com.br/economia/macroeconomia/eletrificados-superam-previsoes-e-crescem-quase-90-em-2024-diz-entidade/
9 IAM Media, a global platform for strategic IP analysis, The top Chinese patent holders adding Brazil to their strategic maps. The article highlights how companies like Huawei and Hengrui Pharmaceuticals are among the top patent filers in Brazil, reflecting the country’s growing relevance in global IP strategies. Available at: https://www.iam-media.com/article/the-top-chinese-patent-holders-adding-brazil-their-strategic-maps
10 Source: Licks Attorneys’ database of complete file wrappers of all applications filed in Brazil since 1995, powered by public data published by the BRPTO’s Official Gazette (RPI). Data updated as of August 28, 2025.
11 Source: Licks Attorneys’ database of complete file wrappers of all applications filed in Brazil since 1995, powered by public data published by the BRPTO’s Official Gazette (RPI). Data updated as of August 28, 2025.
12 BRPTO (Brazilian National Institute of Industrial Property), Global Patent Prosecution Highway (GPPH). On July 6, 2024, BRPTO officially joined the Global PPH program, expanding its network of partner offices from 23 to 35 jurisdictions as of January 2025, including China’s CNIPA. Available at: https://www.gov.br/inpi/pt-br/servicos/patentes/GPPH%20e%20PPH
13 Source: Licks Attorneys’ database of complete file wrappers of all applications filed in Brazil since 1995, powered by public data published by the BRPTO’s Official Gazette (RPI). Data updated as of August 28, 2025.
