China to Tighten Penalties on 'Trick Trademarks' That Mislead Consumers

China to Tighten Penalties on 'Trick Trademarks' That Mislead Consumers, Says NPC Legal Affairs Commission
By Lin Ping, The Paper — June 22, 2026

"Tricky trademarks" have drawn public concern. In response to a question from The Paper, the Legal Affairs Commission of the NPC Standing Committee stated that such trademarks severely disrupt the trademark management order and harm consumers' legitimate rights and interests. The draft amendment to the Trademark Law aims to further increase legal liability for such violations.

On June 22, the Legal Affairs Commission of the NPC Standing Committee held a press conference. Spokesperson Huang Haihua introduced that the draft amendment to the Trademark Law includes the following major revisions: First, strengthening the legislative purpose of "regulating the registration and use of trademarks"; second, enhancing the management of trademark use in the internet environment; third, establishing a unified trademark registration application service platform; fourth, making transitional provisions for the registration and use of trademarks such as national park symbols and Olympic symbols; fifth, intensifying efforts to crack down on the use of registered trademarks in a way that misleads the public; sixth, strengthening the supervision and management of trademark agencies and practitioners; seventh, improving relevant provisions for handling cases of trademark infringement abroad; and eighth, further addressing the issue of prioritizing trademark registration over use.

Huang Haihua noted that some enterprises go to great lengths in trademark registration and use, turning trademarks into "tools" to mislead consumers. To intensify the crackdown, the amendment proposes the following provisions: strictly controlling the examination and registration process, smoothing channels for complaints and reports, and increasing legal liability for violations. For using registered trademarks in a way that misleads the public, if the illegal business turnover is 50,000 yuan or more, a fine of up to five times the illegal business turnover may be imposed; if there is no illegal business turnover or it is less than 50,000 yuan, a fine of up to 250,000 yuan may be imposed.

In response to issues such as prioritizing registration over use and hoarding trademarks, the amendment also includes specific provisions: strictly setting conditions for trademark registration applications; refusing registration for trademark applications that are not intended for use and clearly exceed normal business needs; and allowing the State Council's trademark management department to revoke registered trademarks that have not been used for three consecutive years without legitimate reasons.