The report said the world's second-largest economy aimed to transform from a "made in China" to a "designed in China" market, with the government pushing for innovation in sectors such as automobiles, pharmaceuticals and technology.

It said published patent applications from China were expected to total nearly 500,000 in 2015, following by the United States with close to 400,000 and Japan with almost 300,000.

Published applications from China's patent office have risen by an average of 16.7 percent annually from 171,000 in 2006 to nearly 314,000 in 2010, data from Thomson Reuters Derwent World Patents Index showed.

During the period, Japan had the highest volume, followed by the United States, China, Korea and Europe, the report said. It did not give figures for 2011.

"The striking difference among these regions is China -- it is experiencing the most rapid growth and is poised to lead the pack in the very near future," it said.

Of total patents filed in China, the percentage of domestic applications rose to nearly 73 percent in 2010 from less than 52 percent in 2006, indicating that Chinese companies have outpaced foreign entities in the patent boom.

In terms of patents overseas, Chinese companies have also been climbing in the rankings, according to data from the World Intellectual Property Office (WIPO).

In 2010, China's No.2 telecommunications equipment maker ZTE Corp was second on the list of applicants, ranking just behind Japan's Panasonic Corp.

U.S. chip maker Qualcomm Inc came in third, while China's Huawei Technologies Co Ltd, the world's second-largest telecom gear maker, was fourth, according to WIPO.

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