China - Counterfeiting & Trademark Infringement Report, 2018

China - Counterfeiting & Trademark Infringement Report, 2018

Report Description

The problem of counterfeiting is long standing. The new technological upgradations and far reach of the internet has added fuel to this burning fire. Counterfeit luxury goods are big business in China. China-Counterfeiting and Trademark Infringement Report, 2018 has addressed the issue of online and offline counterfeiting. The report has taken into consideration various data sets that has helped in analysing the state of counterfeiting and its impact on various luxury brands across the globe.

Cracking down on counterfeiters is a difficult task for luxury brands. The techniques of copying the original products have improved so much that some fake products look just like the real ones. Spotting counterfeit goods online is much harder. Larger manufacturers of counterfeit goods in China keep a low profile.

The report has explained how the manufacturing hub of the world produce large amount of fake goods and sell them across the globe. Various new techniques are used by the counterfeiters that cannot be tracked or traced. The use of e-commerce platforms is increasing by the day and these platforms are one of the main reasons for proliferation of fake goods in the market.

The brands invest a lot of money and effort in protecting their brand’s trademark. But the laws in China are very vague. The report has done an in-depth analysis of the legal frameworks of China, and how it fails at protecting the trademarks of international luxury brands. Chinese law enforcement lacks in many ways.

The report has mentioned all the provisions that are related to the civil and criminal liabilities of the infringer. Along with that it has also elucidated the role of custom and border authorities and how they can help the brand owners in tracking the violators. The Chinese government has recently improved its provisions for protection of trademarks. The report has scrutinized the landmark case of e-commerce giant Alibaba and how it has changed the legal implementation of IP protection in China.

The use of technology for protection of brand’s trademark is need of the hour. The technological innovations have provided a platform for many manufacturers to easily sell fake goods. But, the same technological innovations can be used for catching these criminals.

The report has given various recommendations that would help the brands to protect their trademark, as well as catch the offenders. It has also emphasised that in this fast-moving economy, cross industry collaboration is the key to crack down illegal activities.

The report has put up a holistic approach that covers all the aspects related to brand counterfeiting in China.

Losses incurred in 2017 due to Counterfeiting amounts to $1.2 Trillion

Table of


Table of Contents

  1. Executive Summary
  2. Scope and Approach
    1. Background – The Era of Flat world & Connected World
    2. Definitions & Terminologies
  3. China Counterfeiting Perception Index
  4. The Market Size of Counterfeit Goods in China
    1. By Value
    2. By Industry
  5. Sales Medium of Counterfeit Goods in China
    1. Markets 
    2. Online Medium
      1. E-Commerce
      2. Social Media
  6. International Agreements on Intellectual Property Rights
    1. Trade Related Aspects of Intellectual Property Rights, (TRIPS)
    2. Anti-Counterfeiting Trade Agreement
  7. Analysis - Secondary Liabilities
    1. Auction Sites
    2. Internet service providers
  8. Legal Analysis - China
  9. Faults in Chinese Trademark Registration
  10. Legal Framework
    1. Trademark Law, 1993
    2. Anti-unfair competition law, 1993
    3. Civil Code, 1986
    4. Criminal law, 1997
    5. Tort law, 2009
    6. Regulations of Customs Protection for Intellectual Property Rights and its Implementing Methods, 2003
  11. Issues Analysed
    1. Trademark Law
    2. Custom & Border measures
    3. Criminal Liabilities & Penalties
    4. Civil Enforcements
    5. Online Counterfeiting
    6. Anti-Counterfeiting
  12. Recommendations for Anti- Counterfeiting in China

List of


List of Graphs

  1. Economic Value of Losses Suffered due to Counterfeiting (USD Billion), 2001-2020
  2. Economic Value of Losses due to Counterfeiting in Selected Sectors (USD Billion), 2002-2020
  3. Shares of seizures by IP-infringing category (Percentage), 2017
  4. Number of Internet Users Globally (Millions), 2005-2017
  5. Growth in Estimated Value of Counterfeited Goods (Billion USD), 2008-2017
  6. Global Merchandise exports and Imports (USD Trillion), 1960-2017
  7. Value of Seized Goods by Reporting Economy (USD Million), 2017
  8. Average Percentage Share of global physical counterfeiting(Percentage), 2011-2017
  9. Total Annualized Outsourcing Contract Value and its Growth From (USD million), 2013-2017
  10. Share of Companies that Outsource by Sector(Percentage), 2017
  11. Distribution of the Countries as per Income Level (Percentage), 2017
  12. Share of endorsed celebrity follower’s in Countries as per the Region (Percentage), 2017
  13. Distribution of Targeted Audience by Income Level(Percentage), 2017
  14. Average Age of Luxury Brand User by Region (Year), 2017
  15. Average Age of Luxury Brand User by Income Group (Year), 2017
  16. Budget to reach potential customer of Luxury Brands on Social Media (per Day in USD), 2017
  17. Market Size of Global E-commerce Business(USD Billion), 2012-2017
  18. Most Frequent Brand Name Used in online Counterfeiting(Percentage), 2017
  19. Top five countries involved in online sales of counterfeit items (Percentage), 2017
  20. Share of Authenticated and Illicit Post on Social Media (Percentage), 2017
  21. Share in Mode of Communication on Social Media Counterfeiting (Percentage), 2017
  22. Distribution of Leading Uses of 3D Printing(Percentage), 2015- 2017
  23. Number of 3D Printer Shipment (Million), 2013-2017
  24. Route Map of Source and Destination of Counterfeit Clothes and Textile, 2017
  25. Route Map of Source and Destination of Counterfeit Footwear, 2017
  26. Route Map of Source and Destination of Counterfeit Cosmetics and Perfumes, 2017
  27. Route Map of Source and Destination of Counterfeit Leather Articles and Handbags, 2017
  28. Heat Map of Source, Destination and Transit points of trade in illicit goods, 2017
  29. Number of Trademark Application and Registration in China (Thousand), 2007-2017
  30. Blueprint of TAG Heuer Mikrograph Caliber 560, 2017
  31. Global Market Share of Logistic Services (Percentage), 2017
  32. Evolution of the global personal goods luxury ( Billion Euro), 2012-2017
  33. Penetration of Countries in online luxury sales globally (Percentage), 2017

Countries Analysed


A Complete Analysis of Chinese Economy and Laws



International, National and Regional Laws

International Agreement

  1. Trade Related Aspects of Intellectual Property Rights, (TRIPS), 1995
  2. Anti-Counterfeiting Trade Agreement, 2012


  1. Trademark Law, 1993
  2. Anti-unfair competition law, 1993
  3. Civil Code, 1986
  4. Criminal law, 1997
  5. Tort law, 2009
  6. Regulations of Customs Protection for Intellectual Property Rights and its Implementing Methods, 2003
International, National and Regional Laws


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