China's New Trademark Law (Effective 1 January 2027): Key Changes Every Brand Owner Should Know

China has adopted a revised Trademark Law that will enter into force on 1 January 2027. The reform introduces significant changes aimed at strengthening trademark protection, combating bad-faith filings, and encouraging genuine commercial use of trademarks.

The revised law also reinforces the importance of genuine trademark use. In particular, it confirms that our longstanding recommendation to file trademark applications only for goods and services that are genuinely intended to be used will become even more important in practice.

Below is a summary of the most important changes.

1. Stronger Measures Against Bad-Faith Trademark Filings

Trademark applications filed without a genuine intention to use and clearly exceeding normal business needs will be rejected. In addition to refusal, applicants may face administrative fines. Trademark agencies that knowingly assist in such filings may also be fined or even suspended from practice.

2. Easier Access to Punitive Damages

The law lowers the threshold for awarding punitive damages in trademark infringement cases by replacing the previous "malicious" standard with "intentional" infringement. Courts may continue to award damages of up to five times the actual loss in appropriate cases.

3. Opposition Period Reduced from Three Months to Two Months

One of the most significant procedural changes is the reduction of the opposition period from three months to two months after publication of a trademark application.

This shorter timeframe makes regular trademark watch services more important than ever to ensure potentially conflicting applications are identified promptly.

4. New Sanctions for Misleading Trademarks

Applicants who intentionally file deceptive or misleading trademarks may face fines. Registered trademarks used in a misleading manner may also be subject to financial penalties and, where appropriate, revocation.

5. Motion Marks Become Registrable

The revised law expressly recognizes motion (dynamic) trademarks, including animated logos and similar digital brand elements.

It also confirms that trademark use through the internet—including e-commerce platforms, livestreaming services, websites, and social media—constitutes valid evidence of trademark use.

6. Expanded Protection for Well-Known Trademarks

Protection against bad-faith filings is extended to certain unregistered well-known trademarks, not only registered ones.

In addition, the China National Intellectual Property Administration (CNIPA) may issue confirmation letters regarding the well-known status of trademarks for use in overseas legal proceedings or examination.

7. Greater Focus on Genuine Use

Authorities may proactively cancel trademarks that have remained unused for three consecutive years without justified reasons.

Furthermore, in infringement proceedings, trademark owners who cannot demonstrate genuine use during the relevant period may face limitations when claiming damages.

8. New Absolute Grounds for Refusal

The revised law expands the list of prohibited signs by including names, flags, emblems, medals, major theoretical achievements, and historical events relating to the Communist Party of China.

What Should Trademark Owners Do?

Brand owners with interests in China should consider taking the following steps:

  • Increase trademark watch frequency in light of the shortened two-month opposition period.
  • File trademarks only where there is a genuine commercial intention to use them.
  • Maintain comprehensive evidence of trademark use, particularly online.
  • Review unused registrations and consider appropriate portfolio management.
  • Take the revised punitive damages provisions into account when developing enforcement strategies.

Conclusion

China's revised Trademark Law represents one of the country's most significant trademark reforms in recent years. The legislation strengthens protection for legitimate brand owners while introducing stricter measures against bad-faith filings and unused registrations.

Among all the changes, the reduction of the opposition period from three months to two months is likely to have the greatest practical impact, making timely trademark monitoring and portfolio management increasingly important for businesses operating in or entering the Chinese market.