Licensing Your Brand in China? Think Twice.

February 18, 2025

China’s first-to-file trademark system means unregistered marks have no rights, even if your application is pending. Many brands are eager to dive into licensing—after all, China’s department stores are massive, Shanghai Pudong airport ads are tempting, and the domestic market is booming. The common argument? “But I’ve already registered my mark in the U.S.”

Not so fast. Trademark rights are territorial—having a registration in the U.S. or EU doesn’t automatically give you rights in China. Until your mark is officially registered locally, you’re exposed to serious risks.

Watch Out for These Common Pitfalls

🚨 Marketing Missteps

Using the ® symbol before your mark is registered in China is illegal, even if it’s protected elsewhere. Brands have been hit with fines, product removals, and costly rebranding after printing millions of hangtags or launching WeChat campaigns—only to find out their mark isn’t actually registered (or worse, is infringing). Oh, and did you register in the right subclass?

🚨 Licensing Risks

Licensing an unregistered brand for consumer sales is risky—what if a local company trademarks it first? Your license agreement likely states that you (the brand owner) guarantee no infringement. But can you really promise that if your trademark hasn’t even been approved in China?

So What’s the Smart Play?

✔ Wait for registration before licensing

But let’s be real—business moves fast. By the time your trademark is approved, your golden retail deal might be gone. The good news? There are ways to speed things up and reduce risks (though nothing is guaranteed).

✔ Avoid using the ® symbol prematurely

China’s marketing laws are strict and don’t follow the same playbook as the U.S. or EU.

✔ Monitor your application closely

Four months is the magic window—by then, you should have a sense of where your application stands.

China trademarks take time, but that doesn’t mean you have to wait forever. Understanding the rules gives you an edge—play smart, and win the market.

Brand New Day

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