Draft amendment strengthens trademark regulation

China will further intensify its crackdown on irregularities in the trademark sector to better regulate trademark registration and use, an official with the country's top legislature said on Monday while introducing a draft revision to the Trademark Law.

"Trademarks are signs used to identify and distinguish the source of goods and services, and they also serve as brand identifiers for enterprises," Huang Haihua, spokesman for the Legislative Affairs Commission of the Standing Committee of the National People's Congress, told a news conference.

However, some companies have used trademarks to mislead consumers during the registration and use process, a practice that seriously disrupts trademark administration and infringes upon consumers' legitimate rights and interests, he said.

To address the problem, the proposed amendments include stricter examination and approval procedures, improved reporting mechanisms and heavier penalties for violations, according to Huang.

The draft amendment also targets the practice of registering trademarks without putting them into use, commonly known as trademark hoarding.

Under the proposed revision, a registered trademark that remains unused for three consecutive years without justifiable reasons may be revoked by the trademark administration department under the State Council, China's Cabinet, Huang said.

The draft revision to the Trademark Law will be submitted for further deliberation at a session of the NPC Standing Committee scheduled to be held in Beijing from Tuesday to Friday, he added.