China Revises Rules for Trademark Cancellation Requests

The China National Intellectual Property Administration (CNIPA) has introduced new rules for requesting non-use cancellation of a trademark. These rules have been implemented to minimise malicious cancellation attempts and reduce the administrative burden on both trademark owners and the CNIPA.

Key Changes

Previously, if a non-use cancellation request was filed, the burden of proof was entirely on the trademark owner to demonstrate use of its trademark over the last 3 years.

Under the new requirements, a non-use cancellation request must now be accompanied by preliminary evidence from the requestor showing that the trademark owner has not used the trademark over the last 3 years, including:

1. market investigation reports, including details of product sales, service offerings and/or business locations; and
2. online search results, including the search results from three or more online platforms such as search engines (e.g. Baidu), e-commerce sites (e.g. Alibaba, JD.com, Pinduoduo), and social media (e.g. WeChat, Weibo).

If this preliminary evidence is not submitted with the non-use cancellation request, the request may be dismissed by the CNIPA.

The new rules supporting this amendment can be found in Article 66 of the Trademark Law Implementation Regulations which states that any entity or individual can request cancellation of a registered trademark if it has not been used for 3 consecutive years, with the relevant facts to be stated when the petition is filed.

Trademark Challenges in China

China’s trademark system has become increasingly crowded, escalating competition and raising concerns around trademark hoarding and squatting. In 2024 alone, there were 47.62 million active trademarks, with the CNIPA receiving 6.786 million new applications and registering 4.781 million applications.

There has also been a rise in repeated cancellation attempts. For example, one class 30 trademark was the subject of over 60 cancellation requests in 2021 alone. In response to these challenges, the CNIPA organised a meeting with experts and industry professionals in October 2022 to discuss misuse of the cancellation process, leading to the recent rule changes.

Advice for Trademark Owners

To avoid having their cancellation requests denied, trademark owners should ensure they comply with the new evidence requirements.

These requirements also highlight China’s commitment to refining its intellectual property regulations and ensuring a more efficient trademark system.