Continuously sued overseas, Chinese automakers face SEP obstacles in “go global”

According to IP Fray, after Sol IP’s 4G standard-essential patent (SEP) enforcement action against Chinese automaker BYD in the Munich I Regional Court in February, Japanese licensing firm IP Bridge filed two new lawsuits against BYD in the same court for the same reason (case numbers: 7 O 2255/2025, 7 O 2257/2025). This is the second time BYD has been involved in an overseas SEP dispute within a month, and it is also another round of patent blockades encountered by Chinese automakers in the European and American markets.

 

The patents-in-suit is EP2294737 (“Control channel signaling for triggering the independent transmission of a channel quality indicator”), a former Panasonic patent. It has previously been asserted in the same court against certain wireless device makers, but also car makers such as Daimler and Ford. That patent has survived various invalidity challenges and has repeatedly been deemed essential by the Munich court. In other words, this patent has great legal precedent support in the European judicial system, leading to the legal risks faced by BYD cannot be ignored.


Like Sol IP, IP Bridge is seeking damages at this point, but not an injunction, which is different from its approach in the Daimler and Ford cases. It may be a strategy of "gradual pressure", that is, first forcing BYD to negotiate through economic and legal means, once BYD refuses to settle, further applying for an injunction could happen further down the road.


The patent lawsuits happened to BYD this time is not even one. In recent years, overseas patent disputes have shown an upward trend with China’s auto brands accelerating their overseas expansion. BYD has been sued repeatedly this time at a time when China's new  energy vehicle exports have grown significantly.in 2024, China's new EV production and sales exceeded 13 million, accounting for 70% of the global market. As industry grows rapidly, intellectual property risks are also increasing in the process of going overseas.

 

From AutoIP

March 12th, 2025



반환