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Chapter 22

Geographic Mechanics

Cross-border collaboration and innovation diffusion

The geography of collaborative invention operates at multiple scales. At the international level, cross-border co-invention has expanded steadily as multinational firms distribute their research activities across countries and communication technology reduces the friction of remote collaboration. At the bilateral level, specific country-pair corridors — particularly the United States and China — reveal how economic integration, talent mobility, and policy constraints interact. And at the city level, the diffusion of emerging technologies traces a recurring pattern from concentrated origins to broader geographic spread.

This chapter brings together these geographic dimensions, drawing on cross-border collaboration data, bilateral co-invention rates, and city-level technology diffusion to map the spatial mechanics of innovation.

Domestic versus International

Figure 1

International Co-Invention Increased From 1.0% in 1976 to 10.0% of All Patents by 2025 (Through September)

Annual count and percentage of patents listing inventors from two or more countries, tracking the growth of cross-border co-invention.

The figure displays the annual count and percentage of patents listing inventors from two or more countries. International co-invention has increased from 1.0% of all patents in 1976 to 10.0% by 2025 (Through September), with the most rapid growth occurring during the 2010s.
The growth of international co-invention is consistent with both the globalization of corporate R&D and the increasing mobility of scientific talent.

The growth of international collaboration in patenting is consistent with the globalization of corporate R&D. Multinational firms increasingly distribute their research activities across multiple countries, utilizing local talent pools and regulatory environments. The result is an expanding network of cross-border co-invention that transcends traditional national innovation systems.

By Country

International co-invention rates — the share of US patents with inventors from multiple countries — illuminate the evolving geography of collaborative innovation. US-China co-invention has grown substantially from near zero in the 1990s to over 2% by 2025 (Through September), though growth rates moderated in certain technology areas after 2018, coinciding with new US export control regulations and entity list restrictions.

Figure 2

US-China Co-Invention Rates Have Grown Substantially, Surpassing 2% by 2025 (Through September)

Share of US patents co-invented with each partner country (1976–2025), measured as the percentage with at least one US and one foreign inventor.

Share of US patents co-invented with each partner country, 1976–2025. A co-invented patent includes at least one inventor in the US and at least one in the partner country. US-China co-invention has grown substantially since China's WTO accession in 2001, reaching over 2% by 2025 (Through September).
US-China co-invention has grown substantially since China's WTO accession in 2001, reaching over 2% by 2025 (Through September), though growth rates have moderated in some technology areas. US-India collaboration has also emerged as a growing pathway.
Figure 3

US-China Co-Invention Grew From 77 Patents in 2000 to 2,749 in 2024, Led by Electricity (H) and Physics (G)

Annual count of US-China co-invented patents broken down by CPC technology section, shown as a stacked area chart.

Annual count of US patents co-invented with Chinese inventors, disaggregated by CPC section. All CPC sections have grown over time, though growth rates moderated across some technology areas in recent years.
US-China collaboration has grown across most CPC technology sections. Growth trajectories varied by technology area, with Electricity (H) and Operations & Transport (B) continuing to grow while Chemistry (C) declined by approximately one-third between 2020 and 2023.

By City

Tracking patent activity in AI, Biotech & Pharma, and Clean Energy across cities reveals a consistent diffusion pattern: innovations typically originate in a small number of pioneering locations before spreading geographically as knowledge and talent disperse to secondary hubs.

Citation Localization

Citation localization measures the degree to which patents cite other patents from the same country. A high same-country citation share indicates persistent home-country bias in knowledge flows, while a declining share would suggest increasing internationalization of the knowledge base that inventors draw upon.

The cross-border collaboration and innovation diffusion patterns documented in this chapter complete ACT 5: The Mechanics, which traced how knowledge flows through the innovation system at the organizational, individual, and geographic levels. Chapters 20–22 revealed that knowledge transfer operates through distinct but interconnected channels — inter-firm citation networks, inventor mobility and collaboration ties, and cross-border co-invention corridors — each shaping how ideas propagate from their origins to new applications and locations.

ACT 6 shifts from these system-wide perspectives to deep dives into specific technology domains — from 3D printing and agricultural technology to AI, autonomous vehicles, biotechnology, and beyond. Each deep dive applies the analytical frameworks developed across the preceding five acts to a single field, revealing how domain-specific dynamics interact with the broader structural patterns documented here.

Data coverage: January 1976 through September 2025. All 2025 figures reflect partial-year data.