There is a significant legislative development of China Trademark Law: on June 26, 2026, the 23rd Session of the Standing Committee of the 14th National People's Congress announced the adoption of the newly revised Trademark Law of the People's Republic of China. The revisedlaw will take effect on January 1, 2027. This marks the first comprehensive revision since the Trademark Law was promulgated in 1983, expandingfrom a "partial amendment" to a "systematic overhaul," with the number of articles expanding from 73 articles in 8 chapters to 87 articles in9 chapters.
This revision adheres to a problem-oriented approach, focusing on prominent issues in the trademark field such as "frequent bad-faith registrations and hoarding," "misleading marks confusing the public," and "disorder in the agency market." The revision aims to strengthen the obligation to use trademarks, curb bad-faith filing activities, and enhance the protection of trademark rights. Here are the summarized core changes of this revision.
1. Regulating Trademark Registration and Cracking Down on Bad-Faith and Hoarding Activities
The new law adds a dedicated chapter on "Conditions for Trademark Registration," consolidating and refining the conditions that were previously scattered across various chapters. Key changes include:
Explicit Refusal of Applications Not Intended for Use: It is stipulated that "a trademark application that is not intended for use and clearly exceeds normal production and operational needs shall not be registered." This provision directly addresses practices that disrupt market order, such as "trademark hoarding," "free-riding on well-known brands," and "opportunistic filings." Statistics show that in the first half of 2023 and the first half of 2024, nationwide efforts against bad-faith trademark registrations each exceeded 200,000 cases.
Penalties for Bad-Faith Registrations: It is clarified that those who file trademark applications in bad faith, causing adverse effects, shall be given a warning by the department responsible for trademark enforcement and may be subject to a fine of up to RMB 100,000.
2. Strengthening the Obligation to Use Trademarks and Establishing a Proactive Cancellation Mechanism
The new law further reinforces the "registration-in-conjunction-with-use" approach:
Proactive Cancellation by the Authority: In addition to the existing "non-use cancellation" system, the new law provides that the CNIPA may proactively cancel a registered trademark that has been unused for three consecutive years without justifiable reasons. This aims to address the issue of "idle" trademarks.
Clarification of Use Evidence via the Internet: It is explicitly provided that "use of a trademark" includes use through information networks such as the Internet, providing a legal basis for recognizing use evidence from e-commerce platforms, social media, and other scenarios.
Adjustment to the Timing for Non-Use Defense: The evidentiary period for the non-use defense in the trademark infringement litigation has been adjusted from "prior to the lawsuit" to "within three years prior to the infringing act." This prevents rights holders from making token use of a mark after discovering infringement by others in order to avoid the defense.
3. Curbing "Misleading Marks" and Strengthening Use Compliance
In response to the rampant issue of trademarks used for false advertising or in a misleading manner to the public—such as chargers marked "120W" that do not deliver the corresponding power, or noodles claiming to be "handmade" when actually machine-produced—the new law establishes systematic provisions:
Increased Penalties, or Even Result in Cancellation:Using a registered trademark in a manner that misleads the public shall result in an order for correction within a specified period by the department responsible for trademark enforcement. If the illegal business turnover is RMB 50,000 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 RMB 50,000, a fine of up to RMB 250,000 may be imposed. If correction is not made within the time limit, the CNIPA shall cancel the registered trademark. On the one hand, it strengthens the compliance obligations of registered trademark owners, and on the other hand, it is also conducive to cracking down on malicious registrants who attempt to climb onto well-known trademarks through distorted use.
Enhanced Social Supervision: Any entity or individual has the right to file complaints or reports regarding illegal acts of using a registered trademark in a manner that misleads the public or infringe others’ exclusive trademark right.
Stricter Review at Registration: Those who knowingly apply for registration of a mark that is deceptive and cause adverse effects may be subject to a fine of up to RMB 100,000.
4. Expanding Registrable Elements and Strengthening Well-Known Trademark Protection
Expansion of Registrable Elements: Actively adapting to the development of the digital economy, the new law adds provisions allowing dynamic marks to be registered as trademarks.
Enhanced Cross-Class Protection for Well-Known Trademarks: Where a trademark application for goods that are not identical or similar is a reproduction, imitation, or translation of another person's well-known trademark (with the previous qualification "already registered in China" removed), and it misleads the public, such application shall not be registered and its use shall be prohibited. In addition, newly added the recognition of well-known trademarks in cases of unfair competition, this amendment significantly expanding the scope of protection for well-known trademarks.
Assistance for Overseas Rights Protection: A new provision stipulates that in the examination or handling of trademark registration cases overseas, where it is necessary to prove that a trademark is well-known among the relevant public in China, upon the party's request, the CNIPA may confirm the well-known status of the trademark in accordance with relevant provisions. This helps curb the squatting of Chinese brands abroad and provides institutional support for companies going global.
5. Strengthening Oversight of Agencies and Industry Self-Discipline
Targeting the participation or assistance of agencies in bad-faith filings and hoarding, the new law enhances regulation from multiple dimensions:
Enhanced Recordal Management: Trademark agencies must report information about themselves and their practitioners to the CNIPA for recordal.
Individual Liability for Practitioners: Trademark agency practitioners are prohibited from accepting client instructions on their own or engaging in trademark agency work at more than two agencies simultaneously. Violators face fines ranging from RMB 5,000 to RMB 100,000.
Increased Penalties for Agencies: The maximum fine for agencies has been raised from RMB 100,000 to RMB 200,000. In serious cases, the CNIPA may cease accepting trademark agency business from the agency.
Strengthened Industry Self-Discipline: It is clarified that trademark agency industry organizations are self-disciplinary bodies that should strengthen industry self-discipline and formulate self-disciplinary norms and disciplinary rules.
Regulation of Cross-Border Agency Conduct: It is explicitly provided that fraudulent or improper means used in handling overseas trademark matters for clients shall be handled and penalized in accordance with the provisions on agency violations, preventing improper agency practices from extending overseas.
6. Improving Infringement Remedies and Compensation Rules
Lower Threshold for Punitive Damages: The subjective requirement for applying punitive damages has been changed from "malicious" to "intentional," lowering the burden of proof for rights holders.
More Flexible Calculation of Damages: The rights holder's actual losses and the infringer's profits are now placed on an equal footing as preferred methods for calculating damages, allowing rights holders to choose the most advantageous path based on evidentiary convenience.
Regulation of Malicious Litigation: It is expressly provided that those who initiate trademark litigation through malicious collusion or unilateral fabrication of basic facts shall be sanctioned by the people's court; if losses are caused to the other party, civil liability shall be borne. This provision effectively curbs abuses of rights such as "nuisance litigation."
Last but not least, there is a big change in procedure, namely the preliminary publication period is reduced from three months to two months.In summary, while the new Trademark Law elevates the level of protection, it also significantly increases the compliance responsibilities of trademark holders. We recommend that you treat this revision as an opportunity to comprehensively review and optimize your trademark management system.