How to Register a Trade Mark in China

Registering your trade mark in China can be a highly strategic move for many Australian businesses. As trade marks are “territorial rights,” an Australian trade mark only provides protection in Australia. In order to protect a trade mark in China, you need to register it in China.
If you’re manufacturing or selling any of your goods in China, protecting your IP there is crucial. China operates on a ‘first to file’ jurisdiction which means whoever applies to register it first will generally then own the trade mark, regardless of who first used or developed it.

The Benefits of Registering a Trade Mark in China

There are many benefits to registering a trade mark in China:
  • It gives you greater power to take down infringement listings on Chinese based ecommerce sites.
  • You may want to enter into a licensing agreement with a Chinese distributor.
  • You may want to sell your goods in China and have the law on your side for any counterfeit goods being seized by Chinese authorities.
  • And it can also make your company a more attractive buy out if selling down the track is part of your business’s exit strategy.

Important Considerations on Chinese Trade Marks:

  • The Chinese trade mark system has 45 classes of goods and services, further divided into subclasses which can add complexity to the trade mark application.
  • If a Chinese trade mark is not used for a period of 3 years since registration, a third party can apply to have it cancelled due to non use.
  • Chinese people often prefer to use a Chinese language brand which can be useful for your business. A Chinese language brand can be a phonetic transliteration of your English brand or a direct translation of your English brand.
  • China’s ‘first to file’ system is often exploited by trade mark hijackers who register other’s trade marks in China. They usually do this to seek financial gain by selling the mark back to the original company, or to exploit the original company’s reputation with their own products. IP Australia recommends seriously considering applying to register your trade marks in China before you do any business in China, visit China for business, exhibit at a trade fair, or communicate with a Chinese company. These activities all place you at risk of someone else registering your trade mark.
Sometimes a legitimate competitor has already registered a trade mark similar or identical to your own. From January to May 2024, the number of trademark applications in China was 2.877 million, a year-on-year increase of 3.9%.  As of May 2024, the number of valid registered trademarks was 47.805 million (Source here).
With such a crowded trade mark register, it’s important you don’t infringe on other’s trade marks as the consequences can be significant.

How to Register a Trade Mark in China

Trade marks can be registered in China with a direct application to the Chinese trade marks office, or via the Madrid System. An Australian trade mark attorney who has expertise and experience filing in China can advise you on the best options for your circumstances. At Litton Legal we can assist, head to our contact page here.

For further resources, head to:
IP Australia here.
China National Intellectual Property Administration here.
IP Australia’s resource page on the Madrid System here.