IS CHINESE TRADEMARK LAW AT THE DAWN OF A NEW REFORM?

Although China has become a favorite with foreign investors, the latter remain concerned about the protection of their trademarks in the Middle Empire. From fake Vuitton bags to imitation Bic pens, China is currently the world’s leading producer of counterfeit goods. The industry reportedly accounts for 8% to 10% of its gross domestic product. The Chinese counterfeit industry allegedly causes French companies alone some 6 billion euros in losses each year, leading to the loss of approximately 30,000 jobs on its territory.

A true plague which, for some, has its origin in the esteem held for copies in Chinese culture, counterfeiting is nevertheless being combated more and more by the authorities, anxious to stimulate innovation on their territory and to see the emergence of major Chinese brands. The High Commissioner of the State Intellectual Property Office (SIPO), recently expressed the wish for a transition from “Made in China” to “Invented in China” and the government has stated its desire to have Chinese brands among the world’s top hundred.

In view of the legislation adopted in the past two decades, China can no longer be declared a lawless zone as regards trademark law, and even, more generally, as regards intellectual property. On the contrary, China possesses a complete legal arsenal which still however has to be properly implemented to protect as much as possible the trademarks of foreign as well as Chinese companies. An imminent reform of trademark law in China should accentuate this tendency.


Protective trademark legislation

The challenge of adapting texts to practice