IP Protection in China for the Cosmetics Industry

cosmeticsToday’s blog post focuses on the  cosmetics industry – one of the fast-growing industries in China – discussing the IP issues relating to patent protection, trade mark protection and design protection. As counterfeiting in cosmetics is still a big issue in China and failing to protect your IP can sometimes mean the end of the business endeavor to China, it is  wise to have a robust IP protection strategy in place. Today’s blog post introduces European SMEs the tools they can use to build a good IP protection strategy in the cosmetics industry in China. 

In recent years, due to the expansion of China’s middle class, increased interest in personal care has led to the rapid development of the cosmetics industry. In addition, the adjustment of the tariff system in China and the rise of e-commerce platforms like Taobao or Jindong also contributed to the sales of cosmetics products. The industry shows an annual growth of 12% and broke the RMB 200 billion mark of sales volume in 2015[1]. The most successful products are skincare products, including moisturisers and masks, products safe for children, anti-aging products, spot-removal products, and sunscreen and whitening products.

In this market, image and trustworthiness are paramount. Chinese cosmetics consumers are more resilient to advertising and increasing influenced by peer recommendations, meaning that consistent, favorable mentions through social media such as WeChat groups are the pillars of sales growth. At the same time, the production and sale of fake and inferior products continues to be prevalent on the Chinese market – despite recent campaigns and targeted efforts of the Chinese government. Particularly, due to their popularity and high quality, overseas cosmetics brands are the usual victims of counterfeiting[2]. The infringement acts are mainly trade mark and outer packaging imitation, and customers consequently confuse the authentic and counterfeit products, leading to loss of sales, reputation and oftentimes product liability issues. Thus, for cosmetics enterprises, wishing to enter to China, it is still very important to have a robust IP strategy in place. Continue reading “IP Protection in China for the Cosmetics Industry” »

Patent Protection in Cambodia

shutterstock_88533937Last week we discussed trade mark protection in Cambodia, one of the fast growing South-East Asian Countries. With today’s blog post we will continue expanding our IP knowledge on Cambodia and  delve into patent protection, taking a closer look on how to obtain and enforce your patents in Cambodia.  

Patents and Utility Models in Cambodia

Patents are the set of exclusive rights granted to inventors or their assignees to exploit an invention for a limited period of time. The Cambodian Patent Law defines an invention as, “the idea of an inventor which permits in practice the solution to a specific problem in the field of technology.” The law further clarifies that an invention may either be, or relate to, both a product and a process. A product patent (i.e., a patent giving protection to the product as such) gives the patent holder the exclusive right to make, import, sell, offer for sale, use, and stock the product for the purpose of sale or use. A process patent (i.e. a patent granted for a process or a method), gives the patent holder an exclusive right to prevent others from using that process/form.

An invention is patentable if it is novel, involves an inventive step, and is industrially applicable. An invention is novel if it is not disclosed to the public, anywhere in the world, prior to the date of filing the application or the priority date. An invention is considered to involve an inventive step if the invention is not obvious to a person skilled in the art. The industrially applicable requirement means that the invention must have a use in at least one kind of industry. The Patent Law excludes certain types of inventions from patent protection, such as discoveries, scientific theories and mathematical methods. The law also excludes inventions that would be contrary to public order or morality, that would be harmful to human, animal or plant life and that would seriously compromise the environment. Continue reading “Patent Protection in Cambodia” »

Copyright in China: Q&A for the International Comparative Legal Guide on Copyright 2017

copyright, page 2Have a question about Copyright protection in China? Today’s blog post will provide you an answer. Our China IPR SME Helpdesk expert Mr. Charles Feng from East & Concord Partners based in Beijing has kindly drafted for us a very useful and informative blog post on Copyright Protection in China. In this comprehensive Copyright Guide, presented in Q&A format, you will  be able to find answers about how to register Copyright in China, what rights do you have in China and how you can enforce these rights. 

1          Copyright Subsistence

1.1       What are the requirements for copyright to subsist in a work?

Article 2 of the Implementing Rule of Copyright Law of PRC provides that work shall refer to original intellectual creations in the literary, artistic and scientific domain, insofar as they are capable of being reproduced in a certain tangible form.

Therefore, a work protectable under the Copyright Law of PRC must be:

  • original, which means that the work must be originated by the author rather than copied from any other party; and
  • reproducible, which means that the work must be able to be fixed in a tangible form.

Continue reading “Copyright in China: Q&A for the International Comparative Legal Guide on Copyright 2017” »

Trade Mark Protection in Cambodia

trademarkAs a rapidly developing region, Cambodia is becoming a popular business destination for European SMEs. However, rapid economic development has been accompanied with increasing counterfeiting and other IP infringements. European SMEs should still keep in mind that even though, Cambodia’s IP enforcement system needs to improve, there are still sufficient IP laws in place to protect your trade mark and other IP.  Today’s blog post will take a closer look at Cambodian trade mark protection. 

Background for the European SMEs  

The Association of Southeast Asian Nations (ASEAN) as a group is EU’s third largest trading partner after the United States and China. ASEAN countries are at different economic and political development stage, and among them, Cambodia has recently shown steady growth rates, while its economy grew at 7.1% in 2014 and 7% in 2015. The garment sector, together with construction and services, are the main drivers of its economy. Growth is expected to remain strong in 2016, as recovering internal demand and dynamic garment exports offset stagnation in agriculture and softer growth in tourism. Cambodia is an emerging market with a GDP of $16.4 billion, which has the potential of becoming a trading and logistics hub for the Indonesia region. Its 15.3 million strong population is mainly occupied in the agricultural sector. However, garment industry, construction and tourism are among major industries in Cambodia, with the garment industry accounting for 90% of Cambodia’s exports. Continue reading “Trade Mark Protection in Cambodia” »

How to Remove Counterfeit Goods from E-Commerce Sites in China

Online IPR ProtectionAs more and more European SMEs embrace the popular e-commerce concept in China, they are also confronted with online counterfeiting problems. Today’s blog post discusses how European SMEs can monitor online selling sites and how they can start the notice and take down process to remove counterfeits from the most famous Chinese online e-commerce sites like Taobao and Alibaba. 

China: Counterfeit goods and the internet

The internet has become a popular and easy channel for product distribution around the world. It has created a marketplace of more than half a billion users in China, more than a third of the world’s total online population, and is still expanding. Apart from being a forum for legitimate vendors and original products, the internet is also used by illegal and unscrupulous businesses as a platform for the distribution of counterfeit goods which infringe intellectual property rights (IPR).

As the internet provides a convenient platform for counterfeits, we recommend that every European SME (especially those with successful products) should monitor Chinese e-commerce sites for infringing products. By moving quickly you will be able to have infringing products removed from sale and preserve your market share. Although some companies find that internet monitoring is time consuming but you may find yourself at high risk if you sell your product on the Chinese market, manufacture your product in China or even if you have a popular product on sale in Europe. Continue reading “How to Remove Counterfeit Goods from E-Commerce Sites in China” »