Although the global pandemic has significantly impacted businesses around the world, it has expedited the development of the e-commerce market and facilitated the digital transformation of brands. Accompanying such a development is the escalation of infringement activities in the internet environment. In addition, while the Chinese authorities strive to combat trademark squatting, squatters have learnt their lessons and developed new tactics to stay under the radar. This article will navigate you through the latest enforcement trends in China and share our insights.
Soaring Infringements on Social Media Platforms
In China, the distinction between social media platforms and e-commerce platforms is blurry. Chinese social media platforms have always been equipped with e-commerce features, allowing customers to make purchases directly from their platforms. Sales through livestreaming on these platforms, popular since COVID-19, is also becoming commonplace, with annual sales exceeding US$200 billion annually. With that, there are new forms of infringement taking place, including brand impersonations (i.e. the creation and operation of a social media account pretending to be a third-party brand and using it to conduct infringing activities) and the promotion and sale of infringing goods via livestreaming.