Shorter patent protection term. The protection term for utility model patents is 10 years, while that for invention patents is 20 years.
Although the protection term for utility model patents is shorter than that for invention patents, for technical fields with rapid technology iterations, such as consumer electronic devices, the 10-year protection term is sufficient to cover the economic lifespan of the majority of fast-iterating patented products.
Protectable subject matter for utility models
Under Article 2(3) of the China Patent Law, “a utility model refers to a new technical solution proposing practical utility for the shape, structure, or combination thereof of a product.” Therefore, innovations focusing on methods, processes, software algorithms or material formulations are excluded from utility model protection.
However, this does not mean all inventions relating to methods, processes, computer programs, or materials are not eligible for filing utility model application. According to the China Patent Examination Guidelines, claims may use known method names or known material names to define a product’s shape or structure. For example, the following claim was granted in utility model patent CN222949393U:
A flame-retardant impregnated paper-laminated solid wood composite floor, comprising a base material layer (1), characterized in that: a balance layer (2) is adhered to the lower surface of the base material layer (1), and a composite layer (3) is provided on the upper surface of the base material layer (1); the composite layer (3) comprises an inorganic fiberboard layer (31) adhered to the upper end of the base material layer (1), an impregnated adhesive film paper layer (32) disposed on the upper surface of the inorganic fiberboard layer (31), and a wear-resistant layer (33) disposed on the upper surface of the impregnated adhesive film paper layer (32).
Similarly, for product claims relating to computer programs, if the computer program involved is known, it falls within utility model protectable subject matter. For example, the following claim was granted in utility model patent CN223051759U:
A smart item custody terminal, characterized in that it comprises: an item custody cabinet provided with multiple compartment units with cabinet doors, said compartment units being used for item custody; a control terminal communicatively connected to the item custody cabinet, provided with a facial recognition camera, item photographing camera, fingerprint reader, RFID module, and input device, used to control the opening or closing of the cabinet doors in the item custody cabinet through at least one of the following methods: facial recognition, fingerprint recognition, ID card, and password;
a backend server communicatively connected to the control terminal, provided with a backend storage unit, said backend storage unit being used to store at least one of the following user information: facial data, fingerprints, ID card data, and passwords.
Although this smart terminal controls cabinet door operations via known computer programs (e.g., facial recognition, fingerprint recognition), it qualifies for utility model protection because these programs were known prior to the filing date of the utility model.
This demonstrates that utility model protectable subject matter is restricted, but opportunities still exist for hardware-software hybrid inventions to obtain rapid grants through the utility model. With the development of AI technology, the iteration speed of intelligent product technology is accelerating, making rapid protection increasingly critical. Applicants may consider using utility models to rapidly construct protective barriers for intelligent products.
Utility model patent value from the patent enforcement perspective
From a patent enforcement perspective, utility model patent infringement cases constitute the majority of newly accepted patent infringement cases in recent years across all levels of courts in China. For example, in 2024, the Guangzhou Intellectual Property Court accepted 2,570 new technology-related cases, with utility model patent infringement litigation accounting for 50.04 percent of those cases.
The patent enforcement practices of global EV battery maker CATL fully demonstrate the value of utility model patent. CATL initiated multiple utility model patent infringement lawsuits against competitors such as TAFFEEL, CALB (中创新航), and Zhuhai Guanyu (珠海冠珠). In CATL v. TAFFEEL, covering the infringement lawsuit of utility model patent (CN201521112402.7), CATL not only obtained an injunction against infringement but also was awarded approximately Rmb23.3 million (US$3.24 million) in damages. In another infringement lawsuit against CALB for utility model patent (CN201320059664.6), the first-instance court ruled that CALB and its affiliates shall immediately cease infringement and pay CATL Rmb58.05 million (US$8.08 million) in damages. With this award, it became clear that damages awarded for utility model patents now rival those for invention patents.
Another critical value of utility model patent lies in its “fast grant” feature becoming a strategic weapon for enterprises to seize market opportunities. A 6-month period for grant enables enterprises to respond rapidly to infringements. Particularly in fast-iterating technology fields like consumer appliances and new energy vehicles, this allows innovators to establish legal barriers before product launches, and therefore seize market opportunities. Chinese consumer appliance enterprises and new energy vehicle manufacturers attach great importance to utility model patent portfolios. Based on publication data of the granted utility model patents, the Top 5 utility model patentees from January 1, 2024, to July 31, 2025, are as below: