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 with applications to market pharmaceutical products. The United States will continue to monitor and assist with Argentina's efforts to address these IPR concerns.

Canada Canada will remain on the Priority Watch List in 2010. The United States looks forward to the government of Canada's implementation of its previous commitments, recently reaffirmed in 2010, to improve IPR protection, and is encouraged by the high level of cooperation between the Canadian and United States governments on IPR matters. However, Canada has not completed the legislative reforms in the copyright area that are necessary to deliver on its commitments. The United States urges Canada to enact legislation in the near term to update its copyright laws and address the challenge of Internet piracy. Canada should fully implement the WIPO Internet Treaties, which Canada signed in 1997. Canada's weak enforcement of intellectual property rights is also of concern, and the United States continues to encourage Canada to improve its IPR enforcement system to provide for deterrent sentences and stronger enforcement powers. In particular, border enforcement continues to be weak. The United States encourages Canada to provide its border officials with the authority to seize suspected infringing materials without the need for a court order. The United States will continue to follow Canada's progress toward implementing an adequate and effective IPR protection and enforcement regime, including its progress on actions to address Internet piracy and improve border enforcement.

Chile Chile will remain on the Priority Watch List in 2010. The United States continues to engage in discussions with Chile concerning the implementation of Chile's IPR commitments under the U.S.-Chile Free Trade Agreement (FTA). The United States notes that Chile took positive steps in 2009 and early 2010, including the creation of the National Institute for Industrial Property to oversee industrial property registration and protection, undertaking law enforcement actions targeting sale of counterfeit and pirated products, and engaging in constructive cooperation between rights holders and enforcement officials. In early 2010, Chile enacted amendments to its intellectual property law, including measures designed to implement a number of commitments under the FTA. However, it appears that the legislation fell short of fully addressing Chile's multilateral and bilateral commitments. For example, the legislation did not include protections against the circumvention of technological protection measures. The United States remains concerned that the relatively low rate of prosecutions and the tendency to apply minimum sentences for counterfeiting and piracy in Chile may not effectively deter future infringement. Chile can take quick action on laws that would ratify the International Convention for the Protection of New Varieties of Plants (UPOV Convention) (1991) and the Trademark Law Treaty. The United States positively notes that the U.S. pharmaceutical industry has indicated that authorities in Chile have signaled a willingness to discuss issues of importance to the industry. However, the United States remains concerned about inadequate protection against unfair commercial use, as well as unauthorized disclosure, of undisclosed test or other data