The 5th Amendment to China’s Trademark Law is set to introduce significant structural changes that will impact brand owners engaged in sourcing and/or retailing in China. Given its potential implications, the most frequently asked question revolves around the expected enforcement timeline. While an exact schedule is yet to be determined, we don’t think it would happen until (way) after the 2024 U.S. Presidential Election.
Here’s the affirmation: The State Council of P.R.C has unveiled its legislative work plan for 2023 on June 6. Surprisingly, the trademark law revision didn’t make the cut. We can confidently say that 2023 won’t be the year when the changes kick in (this is good news).
So, what can we expect? Brace yourselves for a more extended timeline, likely ranging from three to five years before the draft becomes an official law. In other words, the full impact of the proposed structural and fundamental changes—such as the proposed use requirement for registration renewal in China and the prohibition on refiling—may not materialize until and hopefully at the earliest 2026. Considering the complexity surrounding the current draft (and the fact that it involves so many unresolved questions which would have a significant impact on brand owners’ legal and business position), we hope for a very distant effective date because the current draft definitely needs a lot more discussions, considerations and hopefully adjustments.
