Chinese Brands Overtake Western Brands

The trend cuts across all sectors: on the Chinese domestic market, many domestic brands are overtaking their foreign competitors in terms of popularity with consumers. These include Li-Ning and Erke in the sportswear sector, Midea and Gree in household appliances, and Perfect Diary and Florasis in the cosmetics markets. Some Chinese brands are now growing… Continue reading Chinese Brands Overtake Western Brands

Regionalization: Avoiding Loss of Control

Many international companies are currently considering regionalizing their production and upstream supply chains for specific markets to a greater extent and making their subsidiaries in different world regions more independent of each other. The goal is to secure supply chains by deepening regional value creation and to better meet regional customer needs through regionally manufactured… Continue reading Regionalization: Avoiding Loss of Control

The New Stamp Duty Law also Reduces the IP Costs

On June 10, 2021, the new Stamp Tax Law of the People’s Republic of China (中华人民共和国印花税法) was passed by the National People’s Congress. It will reduce or even eliminate the stamp tax previously levied on certain legal documents, licenses or certificates issued by an administrative authority. The new law replaces the previous Transitional Stamp Tax… Continue reading The New Stamp Duty Law also Reduces the IP Costs

Undesirable Technology Transfer through Chinese Investment

The method is familiar, what is new is that a lawsuit is being filed over it. Highly innovative U.S. company Icon Aircraft has filed a lawsuit in Delaware Chancery Court against its Chinese majority shareholders, including major shareholder Shanghai Pudong Science and Technology Investment (PDSTI). Icon developed the A5 amphibious aircraft, which set new standards… Continue reading Undesirable Technology Transfer through Chinese Investment

China Expands IP Legal System

The Chinese government is focusing more on legal certainty in intellectual property and is condensing the network of agencies responsible for IP. Currently, the structure of courts handling IP infringement lawsuits is organized according to the principle of “1 plus 4 plus 22.” Here, the number 1 represents the IP court at the national level,… Continue reading China Expands IP Legal System

To Punitive Damages by Sending Lawyer’s Letter

In protecting intellectual property rights in China, the effect of a lawyer’s letter is generally limited. Lawyer letters have also been sent with caution because they can have unpleasant side effects. They can not only trigger aggressive countermeasures from the recipient, but also damage the legitimate rights and interests of the opponent, triggering unfair competition… Continue reading To Punitive Damages by Sending Lawyer’s Letter

The Great Wall of Patents: Decoupling Strengthens China’s IP Regime

China’s 14th five-year plan sets clear signals: Beijing will continue to decouple itself from the Western world, especially from the USA, and become more autonomous in many areas. Imports and supplies from abroad will be reduced, the domestic market strengthened and its own companies protected and promoted – also abroad. The concept of dual circulation,… Continue reading The Great Wall of Patents: Decoupling Strengthens China’s IP Regime

Patent Protection for AI in China: New Guidelines and References

The number of Chinese patent applications in the field of artificial intelligence is growing rapidly – the bottom line is that companies based in China have filed more than 440,000 AI patents by October 2019. Applicants are mostly large companies such as Baidu, Alibaba, Tencent, Inspur and Huawei as well as universities or research centers,… Continue reading Patent Protection for AI in China: New Guidelines and References

Counterfeiting in China: Platform Operators Must Demonstrate Measures

When fighting counterfeiting against online shops, it is often difficult for brand owners in China to identify the manufacturer of the counterfeits and to prosecute him legally. Therefore, the platform operator should also be sued in the lawsuit if he violates legal obligations.  According to the Chinese E-commerce Law, the owner of intellectual property right… Continue reading Counterfeiting in China: Platform Operators Must Demonstrate Measures

IP Databases Reduce Costs of Infringement Proceedings

COVID-19 also leads to companies paying closer attention to costs when enforcing their intellectual property rights in China. IP databases can help them do this. The analysis of Chinese court decisions in comparable cases enables IP managers and their service providers to correctly assess the case and the opponent and to find the right strategy.… Continue reading IP Databases Reduce Costs of Infringement Proceedings