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In our recent bulletin, IP Canada Report 2025 Released: Patterns in Canadian Trademark Filings, we discussed the key patterns in Canadian trademark filings noted in the IP Canada Report 2025 (the "Report") released by the Canadian Intellectual Property Office ("CIPO")1. In this bulletin, we highlight the key trends and practical takeaways as it pertains to patents.
Number of Overall Patent Applications Stabilize
In 2024, CIPO received a total of 35,374 patent applications, 4,304 of which were filings from Canadian residents and 31,070 of which were filings from non-Canadian residents. This total represents a 1% decline from the total number of patent application filings received by CIPO in the previous year. CIPO attributes this 1% overall decline in 2024 to a 5% increase in patent applications made by Canadian residents2 which offset the 1% decrease in applications made by non-residents. CIPO states that such changes are consistent with an ongoing trend over the past decade in which the absolute number of applications filed by Canadian residents have increased, while applications filed by non-Canadian residents have decreased. Nevertheless, applications filed by non-Canadian residents continue to represent the vast majority of all patent filings in Canada.
Applications filed in Canada: Country of Origin
In 2024, patent applications filed by United States entities accounted for 44% of all patent applications filed in Canada. Such a proportion is significantly higher than the proportions of the remaining top five countries of origin, which were Canada (12%), Germany (5%), China (5%), the United Kingdom (4%) and France (4%). With the exception of Canada, the number of patent applications filed from the aforementioned top six countries of origin either remained the same or decreased by a few percentage points.
Inbound International Applications: Use of the Patent Cooperation Treaty
77% of all patent applications filed in Canada in 2024 were filed using the Patent Cooperation Treaty ("PCT") system. CIPO notes that this is a sharp 7 percentage point decline compared to the previous year, which may be reflecting the overall increase in filings in Canada made by Canadian applicants and the overall decrease in filings in Canada made by international applicants.
During the pandemic years (2020-2022), the proportion of PCT applications increased to up to 83%. CIPO observes that the decline in 2024 may be reflecting an adjustment back to pre-pandemic proportions.
Outbound Patent Applications
CIPO notes that the number of patent applications filed abroad by Canadian residents have generally been stable over the past decade, with the exception of a notable decrease in 2020. In 2023, Canadian residents filed a total of 20,048 patent applications in foreign intellectual property offices, which was 2% less than the previous year.
The United States was the most popular international destination for Canadian patent applicants in 2023, which received 61% of all such applications. This was followed by the European Union (10%), China (5%), Japan (4%) and Australia (3%). Notably, applications from Canada to China decreased by 13% and those to Australia also decreased by 14%. Read alongside the data for inbound international applications, this data suggests that the United States remains the most important jurisdiction for both inbound and outbound international patent applications.
In 2023, just under 40% of Canadian patent applicants used the PCT system when filing internationally. Such proportions are consistent with the trends seen in the pre-pandemic era – during 2021 and 2022, there was a temporary increase in PCT filings to around 55%.
Practical Considerations for Filing Patent Applications in Canada
Given the statistics in the Report, Canadian businesses should consider the following:
- Consider United States patent protection in their patent protection strategy, as the United States remains the most popular international jurisdiction for Canadian patent applicants.
- Consider leveraging the PCT patent system for international filings, given the large discrepancy between Canadian patent applicants filing PCT applications (40%), and the number of Canadian patent applications filed using the PCT system (77%).
- Give proper consideration to the Canadian patent landscape, both to ensure that innovations are being protected by Canadian innovators and to understand the domestic competitive landscape, given the increasing number of Canadian patent applications filed by Canadian applicants.
Conclusion
The full IP Canada Report 2025 is available online (pages 10-15 cover patents). McMillan LLP's Intellectual Property Group is well equipped to provide practical advice in navigating the latest trends in the Canadian patent process.
Footnotes
1 CIPO is a special operating agency of Innovation Science, and Economic Development Canada ("ISED"), and is responsible for the administration of intellectual property in Canada.
2 A resident application refers to an application filed with the IP office of, or acting for, the state or jurisdiction in which the first named applicant in the application is resident. "Glossary – IP Facts and Figures 2025", World Intellectual Property Office, available here.
The foregoing provides only an overview and does not constitute legal advice. Readers are cautioned against making any decisions based on this material alone. Rather, specific legal advice should be obtained.
© McMillan LLP 2025