Smart businesses are taking advantage of flexibility in Australia’s intellectual property system to deliver more innovative products crucial to raising productivity and living standards, according to the Australian IP Report 2025. 

The report shows small businesses are establishing patent claims to protect their ideas, then strategically extending application timeframes as they seek resources to further their innovation programs and commercialize their products.

By taking advantage of this flexibility, small businesses can market more innovative products, build more on their creations and generate more lifetime value from their patented ideas.

The report cites recent research showing that a business’s first patent grant generates higher productivity, more jobs and better wages.

In contrast, large businesses are expediting the patent process, which also drives innovation as they can enter new markets sooner.

“Our research shows Australia’s IP system is flexible and well-designed to meet the needs of Australia’s innovators, especially small businesses, and support their development,” said IP Australia director general Michael Schwager.

The Australian IP Report 2025 also indicates the following:

• New design filings reached a record high in 2024, rising by 9 percent to 9,583.
• Trademark applications rose by 3 percent to 85,945. This was partly driven by a 22 percent jump in trademark filings for household items.
• Standard patent applications fell by 3 percent, with 30,478 filed. However, some technology fields, such as biotechnology, continue to show strong growth.
• Applications for plant breeders’ rights increased by 48 percent in non-cereal field crops, the highest recorded level for this plant variety.

More than half of new trademark applications – a leading indicator of economic growth – were made by Australian residents. The number of Australian small- and medium-sized enterprises (SMEs) that hold a trademark also increased by 12,000 to over 188,000 in 2024.

Australia is also seeing substantial growth in IP applications from China, with the country overtaking the U.S. in trademark filings. In 2024, trademark applications originating from China nearly doubled and new design filings rose by 66 percent.

As competition in Australia’s electric vehicle (EV) market develops, EV patent applications from China rose 75 percent year-on-year over the past three years. In the transport category, new design filings from all countries increased by 9 percent, while standard patent filings grew by 13 percent.

“IP rights can also provide an important buffer for businesses facing uncertainty in global markets, by holding value as an intangible asset and helping businesses compete effectively as markets change,” said Schwager.

- Asia IP