Annual Development Report on China's Trademark Strategy 2013 TRADEMARK OFFICE/TRADEMARK REVIEW AND ADJUDICATION BOARD OF STATE ADMINISTRATION FOR INDUSTRY AND COMMERCE PEOPLE’S REPUBLIC OF CHINA China Industry & Commerce Press Preface Preface 2013 was a crucial year for comprehensively implementing the conclusions of the 18th CPC National Congress and the second & third plenary session of the 18th CPC Central Committee. Facing the new situation and task of thoroughly reforming and duty transformation, as well as the opportunities and challenges brought by the revised Trademark Law, Trademark staff in AICs at all levels followed the arrangement of SAIC and got new achievements by carrying out trademark strategy and taking innovation on trademark practice, theory and mechanism. ——Trademark examination and review achieved great progress. In 2013, trademark applications increased to 1.8815 million, with a year-on-year growth of 14.15%, reaching a new record in the history and keeping the highest a mount of the world for consecutive 12 years. Under the pressure of trademark examination, Trademark Office and TRAB of SAIC faced the difficuties positively, and made great efforts on soloving problems. Trademark Office and TRAB of SAIC optimized the examination procedure, properly allocated examiners, implemented the mechanism of performance incentive, and carried out the “double-points” management. As a result, the Office examined 1.4246 million trademark applications, 16.09% more than last year. The examination period was maintained within 10 months, and opposition period was shortened to 12 months, which laid a firm foundation for performing the statutory time limit. —— Implementing trademark strategy with a shift to effective use and protection of trademark by law. In 2013, in light of the strategy of development driven by innovation raised up in the 18th CPC National Congress, based on the State Intellectual Property Strategy Outline, SAIC turned the focus of trademark strategy implementation to effective use and legal protection, to playing roles of demonstration, innovation and services, to combing roles of enterprises’ entities, market and the government, to highlighting enterprises’ principle roles and market’s decisive functions, as well as to exercising fully the instructive roles of AIC authorities. Therefore, the trademark registration, utilization, protection and management got further improvement. First, let the Demonstration City (District) and Demonstration Enterprises play the leading roles in the 001 Annual Development Report on China’s Trademark Strategy 2013 implementation of trademark strategy, promoting the advanced experiences. Second, innovate the working mechanism of trademark administrative guidance, improve the normalization and standardization of administrative guidance, offer different guidance to different enterprises, and encourage market participants establish and implement their own trademark strategies. Third, innovation of work made contributions to the development of economy and society. We helped enterprises get financing by trademark rights mortgage. In 2013, there were 818 applications for trademark rights mortgage recorded, 7438 trademarks pledged, and 40.18 billion Yuan involved, separately increasing by 19.2%, 41.8% and 87.2%. The project of trademark enriching farmers was thoroughly implemented, and the protection of GIs and trademarks for agricultural products was strengthened. By the end of 2013, the accumulated registered trademarks for agricultural products reached 1.4473 million. The accumulated registered and preliminarily approved GI marks reached 2190, among which 46 belonged to foreign owners. Supporting the enterprises to implement the strategy of “going-out” got great achievements. In 2013, domestic applicants filed 2273 Madrid applications (one mark for multiple classes), 8.2% increased compared with the year before, ranking 6th in Madrid Union. 20275 territorial extensions were designated China, 0.8% increased and keeping Top 1 in Madrid Union for years. ——Implementation of the crackdown on infringement and counterfeiting made progress. In 2013, AICs at all levels investigated and dealt with 83,100 cases about intellectual property infringements and counterfeiting, 1.121 billion Yuan involved, destroyed 1786 sites where counterfeit and shoddy goods were manufactured and marketed. 477 cases were transferred to judicial authorities, 0.28 billion Yuan involved. Meanwhile, AICs implemented the opinions on construction of trademark protection long term mechanism, pushed forward the construction of platform for sharing the trademark administrative enforcement information, and promoted the effective connection between trademark administrative enforcement and criminal justice. ——Trademark legislative construction scored new achievements. With the Decision on the Amendments of Trademark Law approved in the 4th meeting of the 12th session NPC Standing Committee, the third amendment for Trademark Law was completed successfully. In order to publicize and carry out the revised Trademark Law, SAIC held a teleconferencing meeting and made an implementation notice. AICs at all levels strengthened the promotion of revised Trademark Law, conducted training programs, so as to improve the competence of administration 002 Preface by law. Meanwhile, the revision of the related supporting regulations was accelerated, so as to ensure the successful implementation of the new law. ——Trademark information construction was pushed forward steadily. First, the construction of IT system phase III made solid progresses. In order to meet the demands of the new trademark law, the examination programs were modified and tested. Preparation was made for the running of Phase III system. Second, technical supports were provided for on-line applications system. In 2013, on-line applications reached 1.1758 million, taking 62.49% of the total applications, with a year-on-year increase of 2.3%. Third, the program of improving the examination efficiency by information system was vigorously promoted. The 5-year blue print for trademark automation was planned. ——Trademark public service reached new level. First, in order to improve the services and satisfy the applicants, SAIC optimized the application procedure, perfected service facilities. In 2013, 105 thousands applications were accepted in Trademark Registration Hall, increasing by 31.1%. Second, special telephones were prepared for improving the consultation quality. 69700 consultation telephones were answered, increasing by 16.9%. 2576 online public messages were responded, increasing by 45.9%. Third, the construction of China Trademark Website was strengthened. Scenario navigation system was officially launched. Quarterly statistics were released on the website. The web clicks reached 1.62 billion times in 2013. In addition, new progress was made in trademark agencies’ administration, international exchanges and team building, which provided a strong support to the continuous and healthy development of trademarks. In order to better and comprehensively display new achievements of trademark work and trademark strategy implementation, further publicized knowledge of trademark laws, and strengthen awareness of trademark in the whole society, under the instructions of Mr. Zhang Mao ( Minister of SAIC) and Mr. Liu Junchen ( Vice Minister of SAIC ), Trademark Office and Trademark Review and Adjudication Board compiled the Annual Development Report on China’s Trademark Strategy (2013) (hereinafter referred as Annual Development Report (2013)). The Annual Development Report (2013) consists of 13 chapters, starting with “Implementation of Trademark Strategy”. It systematically records the achievements in 2013 made by AIC system in terms of trademark application and registration, trademark administrative enforcement, 003 Annual Development Report on China’s Trademark Strategy 2013 geographical indications and trademark for agricultural products, trademark review and adjudication, trademark legislation, trademark agencies, local trademark progress, international registration and oversea rights protection, international exchanges and cooperation, trademark publicity, trademark infrastructure and information construction and team building. Major and important events are pooled in the field of trademark and statistical analysis of various categories of trademark data also is conducted. As an important reference and comprehensive annual report, the report is authoritative, informative and practical. It aims to provide further understandings on trademarks for the society, to guide the trademark work, to promote enterprises’ abilities in trademark utilization and brand innovation, and to serve economic and social scientific development and innovative country construction. Great appreciation is extended to the SAIC General Affairs Office, all relevant departments and bureaus and directly affiliated instructions as well as AICs at different levels for their unreserved supports and contributions. Any suggestions and comments are welcome. Trademark Office / Trademark Review and Adjudication Board March 25, 2014 004 CONTENTS Chapter 1 Implementation of Trademark Strategy …………………………… 001 1. Work harder to improve the effectiveness of implementation of trademark strategy ………… 001 2. Serving the overall situation, making new contribution to implementing trademark strategy …… 003 3. Giving overall consideration, supporting local government to implement trademark strategy through integrated