Practical Tips to Mitigate the Risks of Intellectual Property Violation in China
For foreign brand owners entering the Chinese market for the first time, it is necessary to apply to the GACC for filing of their trademarks, brands, and patents to obtain customs protection of IPR.
This way, they can avoid any potential IPR infringement with other brands or products during importation or exportation, greatly reducing the overall customs clearance lead time of the supply chain movement.
For domestic manufacturers based in China that supply goods to foreign customers, it is particularly important to use the Customs Intellectual Property System to monitor the customs filing status of relevant trademarks while receiving orders from foreign customers for production — especially for those OEM orders production and export with established global brands or trademarks.
In addition to obtaining the official authorization from the overseas right holder, it is also necessary to add the export production entity to the authorized list under the record in the Customs Intellectual Property System. These steps will ensure there will be no seizure of goods during export clearance due to IPR infringement, resulting in severe losses of the manufacturers.
For import enterprises in China, before declaring imported goods to Customs, importers need to assess the status of intellectual property rights of the imported goods to ensure that they are declared without violation, so as to avoid any infringement risks as well as to achieve full customs compliance.