Transfer Pricing Associates

How to Benefit from IP Rights in China?

post Thursday December 20, 2012

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Chinese Customs regulations differ from usual customs regulations because they inspect both the import and the export. The Chinese customs officials have the right to withhold products in case they believe those infringe on IP rights. Individuals willing to protect their IP rights can register them at the General Administration of Customs (GAC) in Beijing. Several types of IP rights, such as trademarks, patents and copyrights, can be recorded with GAC. Furthermore, information about infringing companies and individuals can also be registered.

Recording the IP rights enables the Chinese customs authorities to enforce their measures. This is highly favorable for a company trading with China because any good can be confiscated if the infringement of IP rights is suspected and thus the value of the goods can be protected. When a company records its IP rights with the Chinese authorities, it also enables them to easy access to internal IP rights, which in turn triggers a proactive behavior from the customs officers and gives more protection to the company. When officers have access to internal information they can decide easier whether a product is original or counterfeited.  

Recording with GAC is recommended by the China IPR SME Helpdesk experts; and it is inexpensive and straightforward. Within 30 days after filing, a decision is made whether the IP rights will be recorded. The protection offered by the registration lasts for the duration of the IP right or for a maximum of 10 years; and a request for extension can be filed 6 month prior expiration. Two types of proceedings are available, both for registered and for non-registered companies.

Detailed information on how to register the IP rights can be found on the website of the UK Intellectual Property Office.

Source: UK Intellectual Property Office

Image Source: Free Digital Photos

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