Some limitations when registering a trademark in China

Trademark in China with its huge population size and increasing consumption has become an attractive for businesses looking to expand their brands. China’s e-commerce market is one of the world’s largest and fastest-growing markets, with platforms such as Taobao, Tmall, and JD.com dominating. From fashion, cosmetics, home appliances to food, it is all possible to do business online. The rise of the middle class in China creates a great demand for high-end products, especially branded goods from international brands. Chinese consumers increasingly value well-known brands as a symbol of wealth and success. Domestic and international travel by Chinese people is increasing, creating many business opportunities for tourism services, hotels, and restaurants. The health sector is also a potential sector, especially for high-end medical services. China is one of the leaders in technological innovation, creating many opportunities for new technological products and services. Artificial Intelligence (AI) and the Internet of Things (IoT) are two areas that are heavily invested in China. The Chinese market is full of potential but also very competitive. To be successful, businesses need to have the right brand development strategy, take advantage of market advantages, and overcome challenges. Besides, trademark registration in China also has certain limitations.

Limitations on translation and localization of documents

Translation and localization are two concepts that are often used in tandem in the process of bringing a company’s product, service, or content to the international market, especially in markets with distinct languages and cultures such as China. However, these two concepts have different meanings.

• Translation: is the process of converting text from one language to another, ensuring that the content is conveyed accurately and completely. The main goal of translation is to convey information in the most honest and clear way.
• Localization: is the process of adapting a product, service, or content to match the culture, language, and tastes of the target market. The goal of localization is to create closeness and friendliness with local consumers, helping the product or service to be received naturally.

Why Translation and Localization Are Important When Registering a Trademark in China

Linguistic and Cultural Diversity:

• Mandarin and dialects: China has many different dialects, each with its own unique language and cultural usage. Using Mandarin alone may not be enough to reach all consumers.
• Rich culture: Chinese culture has a long history and is very diverse. Understanding cultural values, customs and customs will help businesses build appropriate marketing messages.

The fierce competition

• Large market: China is a highly competitive market, with the participation of a lot of domestic and international businesses.
• High quality requirements: Chinese consumers are increasingly demanding on the quality of products and services, including translation and localization quality.

Limitations in the way of filing separate applications for each type of goods and services

According to intellectual property law in China, individuals and organizations must file separate applications for each class of goods and services.

• One trademark, multiple groups of goods/services: When you want to protect a trademark for many different types of products or services, you will need to register that trademark for each specific group of goods/services.
• What is a group of goods/services: Groups of goods and services are classified according to the International Nice Classification System. Each group represents a certain group of products or services. For example, group 9 for electronic devices, group 35 for advertising services, etc.

Why does China require separate trademark registration for each type of goods/services?

This regulation of China aims to ensure clarity, accuracy and fairness in the trademark protection system for several reasons as follows:

• Clearly define the scope of protection: Each group of goods/services in the Nice classification system represents a different group of products or services. The separate registration for each group helps to accurately determine the scope of protection of the trademark, avoiding disputes over trademark use rights between businesses.
• Prevent unfair competition: If a trademark is registered for too broad a group of goods/services, this can create barriers for other businesses that want to use the same trademark for other products or services. This regulation helps ensure healthy competition in the market.
• Protection of consumer rights: The clear classification of trademarks helps consumers easily identify and distinguish different products and services, thereby making appropriate choices.
• Unification of the approval process: The division of applications makes the approval process of the intellectual property office simpler and more efficient.

For example, if a company wants to protect the “Apple” trademark for both phones, computers, and fruits, it will have to file three separate applications for different groups of goods/services. This helps to avoid another company using the “Apple” trademark to sell fruits, causing confusion for consumers.

Trademark Registration Records in China

A trademark registration dossier in China usually includes the following documents:

• Application Form: This is the standard application form provided by the National Intellectual Property Administration of China (CNIPA). This application form must be filled in with complete information in Chinese, including the name of the trademark, type of trademark, group of goods/services, information about the applicant, etc.
• Trademark image: The trademark image needs to be clear, sharp, and fully represent the characteristic elements of the brand.
• Trademark Description: A detailed description of the trademark in Chinese, including distinctive features, colors, fonts, etc.
• Authorization (if applicable): If you authorize another company or individual to carry out the registration procedure on your behalf, you will need to provide a consular legalization power of attorney.
• Fee Payment Receipt: You need to pay the registration fee in full as prescribed by CNIPA.

Trademark Application Processing Process in China

After preparing the application as above, you can submit the application in person or through the online system. The competent authority will process the dossier according to the following process:

Appraisal of dossiers

• Formal due diligence: CNIPA will check that your application has all the necessary information and complies with applicable regulations.
• Content Appraisal: CNIPA will compare your trademark with previously registered trademarks to ensure there is no duplication or confusion.

Announcement and Objection Period

• Disclosure of Information: If your application is accepted, information about your application will be published in the Official Gazette.
• Opposition period: During the publication period, any person or organization has the right to file an opposition if they believe that your trademark infringes their rights.

Issuance of Certificate

• If there is no opposition: If no one files an opposition or the objections are rejected, CNIPA will issue you a trademark registration certificate.
• Validity of the certificate: A trademark registration certificate is usually valid for 10 years and can be renewed.

Despite certain limitations, the Chinese market is still a great potential market. With thorough preparation and the support of experts, businesses can still successfully protect their trademarks in this country.