Deepening of intellectual property provisions in regional trade agreements and embeddedness in global innovation networks

Abstract The strengthening of intellectual property (IP) provisions in regional trade agreements is an important mechanism for promoting international innovation. Based on the dual perspectives of the breadth and depth of global innovation network embedding, this paper comprehensively explores the impact and mechanisms of the deepening of IP provisions on global innovation network embedding. The results indicate that the coverage and enforcement of IP provisions have a significant positive impact on cross-border patent applications and patent citations. “TRIPS-plus” provisions, especially the core “TRIPS-plus” clauses, further enhance the cross-border innovation effects of IP protection, driving the embedding of the global innovation network. Mechanism tests reveal that the deepening of IP provisions effectively promotes global innovation network embedding by facilitating the cross-border flow of R&D factors and narrowing bilateral institutional distance. Heterogeneity analysis shows that the deepening of IP provisions has the greatest impact on global innovation between developed and developing countries, while its effect on innovation activities among developing countries is relatively limited. The deepening of IP provisions has a significantly positive effect on cross-border patent applications in high IP-intensive industries, whereas the effects remain insignificant in low IP-intensive industries. This paper provides policy references for countries, especially developing nations, in participating in regional economic integration and designing international innovation strategies.