Import spillovers and innovation efficiency: the role of intellectual property protection in China

This paper examines how import spillovers affect innovation efficiency across different innovation contexts in China by using a Chinese regional panel dataset from 2001 to 2020. The results indicate the coexistent of two opposing mechanisms of import spillovers: learning effects and adverse crowd-out effects. The import spillovers positively affect R&D efficiency and IPR protection positively moderates the relationship between import spillovers and R&D efficiency. Moreover, IPR and R&D efficiency present an inverted U-shaped relationship. By contrast, import spillovers negatively affect commercialization efficiency and IPR protection negatively moderates the relationship between import spillovers and commercialization efficiency. There is significant heterogeneity impact in different regions. These findings contribute to understanding the impact of IPR protection on innovation in emerging markets.