The newly revised Trademark Law of the People’s Republic of China has been adopted by the Standing Committee of the National People’s Congress and shall come into force on January 1, 2027. The new law introduces stringent regulation against trademark use that misleads the public, including exaggerated descriptions, likelihood of confusion through similar marks, and false implication of product quality.
Where a registered trademark is used in a manner misleading the public, trademark law enforcement authorities shall order rectification within a prescribed time limit. If the illegal business turnover is no less than RMB 50,000, a fine of up to five times the illegal business turnover may be imposed; if there is no illegal business turnover or the turnover is less than RMB 50,000, a fine of up to RMB 250,000 may be imposed. Failure to rectify the violation within the time limit may further result in revocation of the trademark registration. This revision markedly raises the cost of illegal conduct, standardizes trademark use order, and strengthens consumer rights protection.
PUYIZHICHAN advises all owners of Chinese trademarks to conduct a comprehensive self-examination of their trademark use practices prior to January 1, 2027, and eliminate risks such as misleading labeling, improper prominent use of trademarks, and cross-class confusing use of trademarks. Compliant trademark use helps consolidate brand credibility, and collectively maintains a sound and transparent market competition ecosystem.
