Chile opened up to the world in the 1990s and over time, signed numerous free trade agreements with multiple countries such as the USA, EU, Japan, Korea, Canada, and China, among others. It has also joined several international trade organizations (APEC, OECD, TPP, ALADI, etc.). This has generated a significant increase in both exports and imports, expanding markets exponentially.
Not only the international trade has grown, improving the country's economy, but there has also been an increase in intellectual property matters. In the automotive sector, particularly in the cars market, Chile benefited from low importation taxes, which has resulted in a wide variety of cars trademark available. Initially, traditionally cars trademarks came from the USA, Europe, Japan, Korea, Brazil, and Mexico. In these latter two countries, factories for well-known brands were established decades ago to supply mainly the Latin American market.
In recent years, Chinese trademark cars have stormed the Chilean market. A simple drive through the streets shows the variety of Asian trademarks and their models. According to the National Automotive Association of Chile, Chile is one of the countries in the region offering the most automotive trademarks, with 69 registered trademarks by 2023, of which 29 are Chinese cars, not counting the different models for each brand.
With the significant and intense competition in the automotive sector, many international brands have turned to intellectual property to protect their trademarks and designs. The Chilean Patent and Trademark Office have already registered a significant number of car trademarks, mainly from China.
Additionally, there are a notable number of industrial design applications and registrations, not only for car designs but also for car parts, motorcycles, and vehicles in general. With no doubts the protection of car parts, always points to stop the market of non-original parts.
While the number of industrial design applications in Chile is not large compared to other markets, it is significant within Latin America.
In 2022 and 2023, there were 151 and 163 industrial design applications, respectively, with an expected strong growth for 2024. According to the Chilean Patent Office, in 2023, there were nearly 50 industrial design applications related to cars and cars parts, while by October 2024, the number exceeded 125. Undoubtedly, the impact of industrial designs in the automotive sector is considerable.
Regarding current industrial design legislation in Chile, it is important to emphasize that the prosecution process for industrial design applications is similar to patent applications.
Once the application is submitted to the Chilean Patent and Trademark Office (CLPTO), a Preliminary Examination (Formal Examination) will be conducted, either accepting the prosecution process for the application or requesting the necessary documents for accept the prosecution process.
The next step is the publication of the design summary in the Official Gazette for opposition purposes, followed by the appointment of an examiner to conduct a substantive examination (novelty analysis). Once the application is finally accepted, the corresponding official fees for the first five-year period must be paid, and then a formal request for the registration certificate can be made.
The process for industrial designs in Chile takes approximately 1 to 2 years.
In 2022, a modification to the Industrial Property Law came into effect, adding the option of an abbreviated prosecution process for industrial designs. Under this modality, the CLPTO only issues a deposit certificate, postponing the substantive examination. However the applicant cannot take any legal action until the novelty examination is approved. It is important to note that both the applicant and third parties can request the corresponding examination.
Another significant change is that the maximum protection period for a design was extended from 10 years to 15 years. Initially, protection is granted for 5 years, with the possibility of renewing it for an additional 10 years.
Finally, it is noteworthy that a significant portion of the total industrial designs being filed in Chile comes from the automotive sector, highlighting the intense competition in cars imports, especially now from China.
