Registering a trademark in China is very important for any company that plans or already operates in China, companies that plan to sell products in China, companies that sell products in China through agents, through e-commerce platforms. This article discusses why you need to register a Chinese trademark.
1. Prevent infringement and illegal use
One of the most important purposes of Chinese trademark registration is to prevent counterfeit brands and counterfeit products. If there is no registered trademark in China, then:
First of all, anyone has copied, produced and sold this product. If this behavior is not prevented, it will cause great losses to the company and damage the brand value of the company.
Secondly, if the trademark squatter is in China If a trademark is registered, the brand owner will face a more complicated trademark legal situation. If you buy someone else’s registered trademark, you will usually be required to pay a higher purchase fee. If you don’t buy a trademark, re-register a new trademark, not only time At the same time, there will be losses in China’s domestic sales of products and domestic sales of trademarks.
Therefore, not registering a trademark in China will expose the brand to business risks and loss of brand value. Therefore, it is necessary to register a Chinese trademark.
2. Selling products
China is one of the largest consumer markets in the world, and most companies put the development of a huge Chinese market at the top of their sales strategies.
For companies wishing to sell products in China for a long time, it is very important to obtain a Chinese trademark. If the trademark is not registered, the worst case is that the company’s brand is preemptively registered by others and the products sold in the market are sued for trademark infringement.
Therefore, it is strongly recommended to register a trademark in China.
3. Restrict authorized dealers
In many cases, companies do not conduct sales on their own, but instead entrust distributors in China to carry out sales as agents. In this case, it is extremely important for a company to apply for a trademark in China.
If the company does not apply, but the distributor or others apply for and obtain the trademark first, the company will be in a very passive situation.
If the company wants to replace the distributor, it still needs to obtain the license of the trademark right, or the distributor will produce and use the trademark on its own, but the company cannot sue.
If the company first applies for and obtains a trademark, it will gain a favorable negotiating position. It can conduct sales licenses, trademark licenses, or change distributors when sales are not up to expectations without affecting its own brand.
4. Sell on e-commerce platforms
With the rapid expansion of the online market, China’s online e-commerce platform sales continue to increase, and can be sold to all levels of markets in China through the platform. Selling products on e-commerce platforms can increase brand awareness and greatly increase profits.
According to the requirements of Chinese e-commerce platforms (such as Alibaba, JD), to sell on the platform, it is usually necessary to provide the trademark certificate of the product.
Moreover, when the company finds that there are counterfeit brand products on the platform, it can conduct intellectual property actions through the e-commerce platform and delete product links, which can protect the interests of the brand, reduce infringements, and reduce corporate losses.
5. Take legal action against counterfeit and shoddy products
After registering a Chinese trademark, the trademark owner can take legal actions against any company that produces or sells counterfeit products.
If there is no registered trademark, then there is no way to deal with counterfeit products and counterfeiters, nor can they be brought to court.
But after obtaining a trademark, you can do so.
China’s trademark protection includes both administrative and legal channels, which can effectively stop the infringement of counterfeiters and obtain compensation for infringement.
Registering in China and obtaining a Chinese trademark is the best action to protect the interests of the brand and the company.
