WORLD TRADE  
ORGANIZATION  IP/C/W/453 
5 October 2005 
 
 (05-4465) 
Council for Trade-Related Aspects 
of Intellectual Property Rights Original:   English 
 
 
 
TRANSITIONAL REVIEW MECHANISM OF CHINA 
 
Communication from the United States  
 
 
 By means of a communication from the delegation of the United States, dated 29 September 2005, the Secretariat has received the following contri bution in the context of the transitional review 
mechanism under Section 18 of China's Protocol on Accession.  
 
_______________ 
 
  The United States first wishes to thank the dele gation of the People's Republic of China for its 
responses in prior years to questions on China's in tellectual property rights (IP R) regime.  Despite the 
limited time that has sometimes been available, we have appreciated the opportunity to pose these 
questions and we have found the answers to be help ful in addressing our concerns and the concerns of 
our companies and right holders.  
While we appreciate the efforts of the Chinese delegation to respond to all of these questions, 
we also welcome references to websites or othe r available published materials that may contain 
additional relevant information where it would assist  in responding to these questions.  Moreover, the 
United States appreciates the information provided by  China in other contexts, including China's 2005 
White Paper on IPR.  To build upon the informatio n already provided, and to further enhance our 
overall understanding of China's IPR regime, the United States will soon seek from China detailed 
information pursuant to TRIPS Article 63.3 on sp ecific cases of IPR enforcement that China had 
previously identified for the years 2001 through 20 04, as well as any relevant more recent cases.  
Therefore, the United States has not posed questio ns on specific cases of IPR enforcement in this 
TRM, but will instead request such info rmation through the Article 63.3 inquiry. 
 
The United States acknowledges that many Chin ese ministries have become increasingly 
transparent in their rule-making process, by making dr afts of proposed regulations and rules available, 
for instance, on websites.  Recent efforts to provi de drafts have included proposed rules of the 
Standardization Administration of China on Standardi zation and IPR, draft rules of the Ministry of 
Commerce and other agencies on enforcement at trade fairs and on referrals from administrative enforcement to criminal enforcement, the National Copyright Administration's proposed draft of State 
Council regulations on protecting copyright over in formation networks and most recently, draft 
trademark examination guidelines from the China Trad emark Office.  We encourage such procedures 
to be adopted by all relevant agencies at the na tional level and especially at local levels, as it is 
sometimes difficult to even obtain copies of actually promulgated local laws and rules. 
 IP/C/W/453 
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 The United States also wishes to thank the Ch inese delegation for the cooperation of the 
Chinese government on two cross-border IPR criminal cases, "Operation Spring" and more recently, "Operation Ocean Crossing," and looks forward to extending this cooperation with China to address 
transnational and multinational IPR crimes.   I. GENERAL ISSUES 
1. China's Ministry of Culture (MOC) and State Administration of Radio, Film and Television 
(SARFT) entered into a Memorandum of Understa nding (MOU) with the Motion Picture Association 
that we understand is intended to provide strict er policing of counterfeit films and aggressive 
prosecution of infringements.  Under the MOU, MO C and SARFT will regularly instruct enforcement 
authorities nationwide that certain copies of films and audio-visual products still in censorship or 
import review or otherwise not yet authorized fo r theatrical distribution are deemed pirated and 
subject to enhanced enforcement.  What are the results of this initiative to date?  Are similar 
initiatives under consideration for other types of produc ts, such as music or entertainment software?  
If so, what products?  What is the anticipated timing for the rollout of those initiatives?  
2. The United States is concerned that trademar k infringement, patent infringement and trade 
secrets theft of automotive parts in China are growing at a rapid rate.  The sale of knock-off auto parts 
is a particularly dangerous type of intellectual property rights infringement, as it presents serious safety implications.  The United States is concerne d that China is becoming one of the world's top 
producers and exporters of counterfeit and infring ing automotive parts, pharmaceuticals, and other 
products affecting the health and safety of consumers.  For example, US automotive companies have 
identified hot spots for these activities in the citi es of Cixi, Wenzhou, Yuhuan and Changzhou, and 
the provinces of Zhejiang, Jiangsu, Guangdong, Sh andong, Hunan, Shanghai and Hebei.  What 
concrete steps is China taking to improve IPR prot ection and enforcement for this industry overall?  
What concrete steps are the national and local governments taking to improve IPR protection and 
enforcement for this industry in the ab ove-identified provinces and municipalities? 
3. What laws, rules, regulations, judicial interpre tations, etc., relating to IPR are currently being 
studied and/or drafted by the National People's Congress, State Council, and State Council ministries, as well as the Supreme People's Court and Supreme Pe ople's Procuratorate?  For example, is China 
currently considering a draft of revisions to the Pate nt Law?   In addition, we understand that several 
new judicial interpretations that could apply to IP R cases are likely to be adopted or revised by the 
Supreme People's Court; can China please provide additional information on these activities?   
4. Since Vice Premier Wu Yi's announcement of the State Council's IPR action plan in 
September 2004, there have been several national,  local and ministerial efforts to improve IPR 
protection and enforcement.  Please provide informat ion (e.g., internet links) on how WTO Members 
can obtain local IPR "White Papers," action plans, etc., on intellectual property, such as those issued 
by Nanjing, Shenzhen and Sichuan.  Please also  explain how WTO Members can obtain any such 
local IPR documents as they are rele ased or revised in the future. 
5. During the past year, the United States has been actively involved in training US right holders 
to better understand China's IPR system, and has we lcomed the support of the Chinese government in 
many of these training efforts.  Nevertheless, we con tinue to hear complaints of the reluctance of local 
enforcement authorities to handle cases involving forei gn right holders, and administrative procedures 
that impose additional requirements on foreigners (s uch as consularization/notarization) or procedures 
(such as those at trade fairs), that are not widely known to foreign right holders.  Please explain what 
steps are being taken to remedy this situation.  IP/C/W/453 
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 6. China is currently negotiating a number of Free Trade Agreements, as well as bilateral 
agreements concerning IPR.  Please describe the pr ovisions regarding IPR protection and enforcement 
under discussion in connection with th e negotiation of these arrangements. 
7. In recent years, Chinese government officials have increasingly recognized the importance of 
trade associations and associations of right holders  to the development of a dynamic intellectual 
property environment.  Many fore ign and Chinese observers for example, applaud the role of the 
Quality Brands Protection Committee in relation to  enforcement of intellectual property, including 
geographical indications.  However, the operations of foreign associations are restricted in China.   
Please explain what steps China is considering to  accelerate the involvement of these associations in 
China's IPR environment, including encouraging the establishment of Chinese-foreign associations 
and expanding the scope of  operations of foreign associations in China. 
II. LEGISLATION  
8. Pursuant to the terms of its WTO accession,  China undertook extensive revisions to its 
legislative regime for all substantive IPR.  Howeve r, certain general laws were not revised.  These 
laws include:  the General Principles of the Civil Law, the Criminal Code and the Law to Counter 
Unfair Competition.  In addition, at least one set of regulations, regarding protection of copyright over 
information networks, was intended by the National Pe ople's Congress to be part of China's regulatory 
package shortly after WTO accession, but has not yet been enacted.   
(a) Please identify any plans to revise or enact these laws and regulations. 
(b) During last year's TRM, China noted that a new civil code is unde r consideration, but 
that some detailed articles in the draft "would need further rectification and modification." ( see WTO IP/C/M/46, para. 14).  What is the current status of this 
legislation?  Does the current draft contain provisions relevant to IPR?  When will 
China circulate a draft for public comment?  Will the civil code replace or modify existing IPR legislation? 
9. We understand that the Chinese government is curre ntly drafting a "National IPR Strategy."  
Please explain the contents of this strategy, which ministry, agency and department is coordinating the 
drafting process, the various ministries involved and whether opportunities for public comment will 
be afforded on the strategy. 
III. ENFORCEMENT 
10. At last year's TRM, China explained that the Mi nistry of Public Security was considering the 
licensing of private investigative firms ( see WTO IP/C/M/46, para. 60).  We support the development 
of licensed, independent investigative firms to assist  in civil, administrative, and criminal actions 
brought by right holders.  Please report on the status of these efforts.   
11. In order to have effective access to administrativ e, civil, and criminal remedies, federations 
and associations that assert IPR on behalf of right holders must be able to lawfully gather evidence 
relating to suspected infringements.  Please expl ain whether and under what circumstances such 
federations and associations, particularly in the fi eld of copyright, may lawfully gather evidence 
relating to suspected IPR infringements in China.  May licensees, distributors and other agents of right 
holders lawfully gather evidence relating to  suspected IPR infringements in China? 
12. Please provide information (including the venue  of the case and any penalties imposed) on 
any cases prosecuted under Article 16 of the judicial interpretation on criminal enforcement of IPR 
issued in December 2004 (JI), which interprets  existing Chinese law as allowing those providing 
storage and import-export agency services to be he ld criminally liable for IPR infringement.  In IP/C/W/453 
Page 4  
 
 addition, please explain whether others in the di stribution chain, such as freight forwarders and 
distributors, can also be subject to criminal  liability for dealing in infringing products. 
13. Please provide information (including the venue  of the case and any penalties imposed) on 
any cases prosecuted under Article 16 of the JI, which provides that landlords can be held liable in 
China for illegal activities undertaken by th eir lessees at the leased premises.   
14. Administrative enforcement authorities in Chin a transfer only a small percentage of IPR 
infringement cases for criminal enforcement.  Some ob servers opine that this is due in part to cost-
recovery limitations that discourage administrative authorities from referring cases to criminal authorities.   
(a) If an administrative authority refers a case for criminal enforcement, how does that 
administrative authority recover costs and expenses incurred, including investigatory 
expenses, storage costs, etc.?  
(b) How are costs and expenses incurred by the Public Security Bureau, Ministry of 
Public Security, and the Procuratorate in connection with criminal IPR enforcement 
cases funded? 
15. At last year's TRM, the United States request ed an explanation of the obligations of 
administrative agencies in China to provide written decisions with explanations for their enforcement 
decisions, as well as plans for publishing administrati ve decisions or making them available, including 
what types of administrative decisions will be pub lished and where they will be made available or 
published.  The delegate from Chin a responded initially that "this ques tion was not relevant to the IPR 
system and that [the] delegation was not obliged to answer it here" ( see WTO IP/C/M/46, para. 65).  
After further discussion, however, China's delegation ag reed to consult with the relevant authorities in 
Beijing and provide additional informa tion in response to this question ( see WTO IP/C/M/46, 
para. 91).  The United States has not yet received this  information, and therefore renews its request. 
16. Many right holders have expressed concern for some time that penalties in China's 
administrative enforcement system are chronically  non-deterrent (e.g., such penalties are often as 
minimal as a warning or seizure of the infringing product on hand), leading infringers to regard administrative penalties as little more than a cost  of doing business and to continue infringing 
intellectual property rights even after multiple admi nistrative enforcement actions.  Does China have 
any plans to reform its IPR administrative enfo rcement system, such as by establishing and imposing 
minimum penalties for infringement, imposing crimin al penalties for repeat offenders, or making 
other improvements to provide for deterrent penalties? 
17. Chinese law and judicial interpretations appear  to provide authority for courts to grant 
preliminary injunctions to stop infringements of trad emarks and copyrights.  However, many Chinese 
authorities acknowledge that many courts – even in major areas such as Beijing – have never used this 
authority, and we are aware of at least one inst ance of a court informing counsel for a US company 
informally that there was no point in requesting su ch injunctive relief, because such injunctions are 
not granted. 
(a) What, if anything, is the Chinese government doing to insure that this type of 
injunction is available in practice at minima l cost and without unreasonable delay?   
(b) Please describe what steps right holders should take to insure that a preliminary 
injunction is granted inappropriate.   
(c) 
Is there a right of appeal of the denial of a preliminary injunction while the case is 
pending on the merits before the court of first instance?  IP/C/W/453 
 Page 5 
 
 
 18. We understand that the General Administrati on of Customs is developing a method of 
cooperating with the Ministry of Public Security to refer criminal cases arising from Customs seizure of infringing products in international trade, and th at this guidance may be promulgated as early as the 
end of 2005.  What is the status of these efforts?  Will there be an opportunity for public comment on 
any drafts? 
19. We understand that the Ministry of Public Security is developing a mechanism to improve 
coordination for copyright enforcement, which curre ntly involves several different divisions of the 
Ministry of Public Security – cybercrime, sm uggling, social order and the economic crimes 
investigation division.  What is the status of th ese efforts?  Will there be an opportunity for public 
comment on any drafts? 
20. Please describe any efforts by the Ministry of Public  Security or by provincial Public Security 
Bureaus to establish standards for arrest and/ or initiation of IPR criminal investigations. 
21. China remains by far the largest source of infri nging goods that are seized at the borders of 
the United States by US Customs authorities.  What new steps (since last year's TRM), if any, are 
being taken to stop the exportation of counterfeit and pirated goods from China?  Please identify any 
new regulations, rules or other provisions relating to the investigation, initiation, acceptance, and 
prosecution of criminal cases involving the export of infringing products.  Please include those 
provisions relating to the referral of cases i nvolving the export of infringing products from 
administrative to criminal authorities. 
IV. COPYRIGHT 
22. In July 2005, China announced that it woul d begin immediately a nationwide crackdown on 
Internet piracy.  Please provide information descr ibing how this crackdown has been or will be 
instituted, and report on the results of it to date.  
23. At last year's TRM, China noted that the "t emporary reproduction" issue was being studied by 
the Chinese government, and would be dealt with in the Measures for the Protection for the Right of 
Communication through Information Networks, wh ich would be placed on the 2005 legislative 
agenda of the State Council ( see WTO IP/C/M/46, para. 42).  Please report on the status of these 
rules.  How can WTO Members obtain a copy of the current draft?  When will a copy be made available for public comment in accordance with para graph 2(C) of China's Protocol of Accession?  
24. TRIPS Article 61 requires that all willful acts of piracy on a commercial scale be subject to 
criminal liability using criminal procedures.  As detailed in prior s ubmissions and bilateral 
discussions, China's Criminal Code raises significant concerns about the availability of remedies to 
address commercial scale counterfeiting and piracy, par ticularly with respect to its requirements of 
"identical" trademarks;  monetary "thresholds;"  exclusion of commercial scale piratical activities 
undertaken without profit motive from criminal liabi lity;  and reliance on non-deterrent administrative 
penalties rather than transferring cases for criminal prosecution.  The following questions pertain to 
efforts to address these concerns re garding China's Criminal Code.  
(a) We appreciate that China addressed some of these concerns through a judicial 
interpretation issued in December 2004 (addressed in Question 12 above), and in 
further clarifications announced in July 2005.  Please describe any plans by the 
National People's Congress to amend the Crim inal Code to address the remainder of 
these concerns and to criminalize commerci al scale infringement of other exclusive 
rights protected under China's Copyright Law . IP/C/W/453 
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 (b) China's Criminal Code criminalizes only c opyright piracy "for the purpose of making 
a profit," which results in inconsistent application to piracy that has a commercial-scale impact on the right holder depending on the "purposes" of the infringer.  
Because it is possible to cause substantial commercial harm without a profit motive, focus should be placed on the harm caused by the infringer's actions rather than the 
infringer's motive.  China's criminal trade secret law already recognizes that harm to 
the right holder should be the key factor in determining whether criminal liability 
should apply.  Is China considering revisi ng the Criminal Code to criminalize all 
commercial scale infringement, including piracy that is not conducted "for the purpose of making a profit?" 
(c) Please describe how authorities calculate the value of counterfeit or pirated goods, 
including semi-finished goods, to determine if  the value meets the criminal threshold. 
(d) Can trading companies involved in the manufacture, transport, exchange and/or sale 
of counterfeit or pirated goods be held criminally liable? 
25. Article 23 of China's 2001 Copyright Law creates a compulsory licence for "portions of a 
published work" to be compiled into elementary, high school and "State Plan" textbooks.  Please 
clarify whether this provision would permit the comp ilation of portions of published foreign works 
into textbooks.  Has this provision ever been a pplied in cases involving (i) Chinese right holders;  and 
(ii) foreign right holders?  If so, please identify those cases. 
26. TRIPS Article 10.2 provides that "Compilations of  data or other material, whether in machine 
readable or other form, which by reason of the sel ection or arrangement of their contents constitute 
intellectual creations shall be protected as such .  Such protection, which shall not extend to the data or 
material itself, shall be without pr ejudice to any copyright subsisting in the data or material itself" 
(emphasis added).  Please describe the current status of China's implementation of TRIPS 
Article 10.2. 
27. Right holders have complained that China's censorship standards and procedures for video 
and television broadcasting products are unclear.  Please explain these standards and procedures.  
How can WTO Members obtain copies of these standards, procedures or other relevant guidelines?  Please explain the inquiry process when  a delay in approval occurs.   
28. Please describe the content/censorship review proces s for entertainment software.  What is the 
typical time required for completion of the review (i.e., from submission until issuance of approval)?  
Which agencies/departments are responsible for content review of  online versions of entertainment 
software?  For hard copy versions of entertainment so ftware?  What are the criteria used for review of 
each type of software, and how can WTO Members obtain copies of the measures embodying those criteria? 
29. China's regulations regarding the audio-visual industry regulate the import and distribution of 
audio-visual products, but not the export of audio-visual products. 
(a) Please explain the application procedur es and approval guidelines for obtaining a 
licence to engage in the import of audi o-visual products.  To date, how many 
applications for audio-visual import licences have been received, and how many licences have been issued? 
  IP/C/W/453 
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 (b) Please explain the application procedur es and approval guidelines for obtaining a 
licence to engage in the distribution of a udio-visual products.  To date, how many 
applications for audio-visual distribution licences have been received, and how many 
licences have been issued? 
(c) Is a licence required to export audio-visual products from China and the 
consequences under Chinese laws for the unauthorized export of audio-visual 
products?  For example, the 25 December,  2001 Rules on Regulating Audio-visual 
Products of the Ministry of Culture, cover the "publishing, manufacture, duplication, import, distribution, retail sales and rental" of audio-visual products, but fail to define 
the export of audio-visual products as a regulated act. 
30. The United States appreciates the positive st eps toward seeking improved enforcement 
against Internet-based copyright infringement in  China, including national campaigns, new 
administrative regulations from the Ministry of Information Industry and National Copyright Administration, actions undertaken by the Ministry of Culture, and an increasingly active civil docket.  
We also note that some Internet service providers  (ISPs) have begun to develop policies to ensure 
more robust protection of copyright.  We appreciate the efforts of China's ISP's and Internet content 
providers to respond to notifications from right holders  that content that they host is infringing.  We 
hope that additional legislation and practices will fu rther improve the protection of copyright over the 
Internet.  What steps are universities and other e ducational institutions un dertaking to institute 
policies that protect copyright over their networks, including policies prohibiting student use of university bandwidth to infringe copyrighted works,  or to hack into databases, and to use legal 
software?   
31. In July 2005, China announced that it would ensure the use of only legal software in all 
central, provincial and municipal government offices by the end of 2005.  Please explain the status 
and results of these efforts to date. 
V. TRADEMARKS AND GEOGRAPHICAL INDICATIONS 
32. The United States continues to hear reports of unauthorized third-parties who apply for 
trademarks in English or Chinese, for a translite ration or translation of an English or Chinese 
trademark, or for a trademark that is confusingl y similar to a preexisting trademark in order to 
preclude the registration of the same or confusingly similar trademark by the legitimate owner, or to 
hinder the legitimate owner's enforcement efforts.  What procedures are in place to protect legitimate 
owners against these unauthorized third-party appli cations?   Can such procedures be expedited in 
order to minimize the harm caused to legitimate right holders by these activities?  Do Chinese 
authorities ever view the registration by a third part y of a trademark that is confusingly similar to a 
preexisting trademark as a basis to deny enforcement of the preexisting trademark? 
33. How many opposition and cancellation proceedings  are currently pending before the China 
Trademark Office (CTO)?  For each type of proceeding, please provide the typical length of time 
from the filing of the proceeding to the issuance of a decision. 
34. Please identify all trademarks that have been recognized to date as well-known marks in (a) 
administrative proceedings at the CTO;  (b) the Trademark Review and Adjudication Board (TRAB);  
(c) any other administrative agency; and (d) the courts. 
35. The United States and right holders remain ex tremely concerned about the presence of open 
and notorious markets of counterfeit and pirated goo ds, which in many cases are located adjacent to 
Chinese government offices, diplomatic compounds, and tourist destinations.  The United States 
understands that the Beijing and Sh anghai Administrations for Industry and Commerce have issued IP/C/W/453 
Page 8  
 
 notices stating that certain markets in Beijing and Shanghai, respectively, will be banned from selling 
certain brands, and that products bearing tho se brands will be assumed to be counterfeit and 
confiscated.     
(a) Please identify the brands that are the subject of these efforts in each city. 
(b) How can companies have their brands placed on such lists?  
(c) To what extent can a landlord be held liabl e if they continue to sell goods that are 
banned under such lists or pursuan t to other written notification? 
(d) What steps is China's national government taking to stop the continuing IPR 
infringement at wholesale and retail markets nationwide? 
36. Please identify any other administrative agencies or local Administrations for Industry and 
Commerce that have issued similar notices.  Do any of them have plans to issue similar notices?   
37. The following questions concern the administration of a sui generis  system for protection of 
geographical indications (GIs) by the Administ ration of Quality Supervision, Inspection and 
Quarantine (AQSIQ): 
(a) Please explain the relationship between AQSIQ's system of GI protection and the 
system of GI protection established by th e CTO pursuant to Article 16 of China's 
Trademark Law.  How do their functions  and responsibilities differ?  Is a GI 
registered with AQSIQ viewed differently  from a GI registered with the CTO? 
(b) Has AQSIQ's system been used to enfor ce GIs and/or impose civil liability?  Can 
AQSIQ enforce GIs administratively, and if so, has AQSIQ undertaken any 
enforcement actions?  Upon what grounds can a GI registered by AQSIQ be 
challenged or cancelled?  Does a foreign GI  or trademark owner have standing to 
challenge the recognition of a GI by AQSIQ? 
(c) How many Chinese GIs have been register ed by AQSIQ?  How many non-Chinese 
GIs have been registered by AQSIQ? 
(d) Will a GI be refused protection under the AQSIQ system if a trademark, certification 
or collective mark for the term already exists under the CTO's system?  If not, can 
that GI owner have the CTO mark cancelle d?  Can the CTO registered mark owner 
prevent confusing uses of the later-in-time GI?  
(e) Which has priority in China, a registered tr ademark or a later-in-time GI?  What is the 
date of priority of the GI:  the date it is protected in China, or the date it is protected in its country of origin (if different)? 
(f) Is it possible to register and use a GI in Ch ina that has not been registered with the 
CTO?   
(g) What bilateral agreements are currently in effect between China and other 
governments with regard to the recognition and protection of GIs?   
  IP/C/W/453 
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 VI. FAMOUS-BRANDS/TRADEMARKS 
38. The following questions concern the Measures for Administration of Chinese Famous-Brand 
Products maintained by AQSIQ, which establish criteria for awarding the "Chinese Famous-Brand 
Product" quality mark displayed on a wi de range of Chinese consumer products. 
(a) Article 10 states that products or enterprises "using foreign (overseas) trademark" 
may not apply to become Chinese Famous -Brand Products.  Please explain the scope 
and meaning of the terms "foreign (overseas)  trademark" and "using" in Article 10.  
In particular:   
(i) What criteria are used to determine whether a trademark is a "foreign 
(overseas) trademark"?  
(ii) Does Article 10 prevent an enterprise that uses a "foreign (overseas)" mark 
on one of its products from obtaining "famous-brand product" designation for 
a different product that only bears a domestic Chinese trademark? 
(iii) How is this provision applied to marks owned or used by foreign-invested 
enterprises, and foreign companies selling to China? 
(b) Article 24 specially exempts Chinese Famous-Brand Products from quality 
supervision and examination by government al departments at all levels, including 
export inspection.  Please identify the precise measures from which Chinese 
Famous-Brand Products are exempt. 
(c) Article 25 provides for special listing of Chinese Famous-Brand Products in the scope 
of activities for cracking down on fake goods.  Please identify and describe these 
activities, and describe the effect of being on this special listing with respect to these 
activities. 
(d) China appears to maintain a number of similar "famous-brand product" measures at 
the sub-national level (e.g., Measures of Hunan Province for Supervision of Hunan 
Famous-Brand Products ( Hunan Mingpai Chanpin Guanli Banfa) (2002);  Measures 
of Liaoning Province for Cognizance and Protection of Liaoning Famous-Brand 
Products (2003)).  Please provide a list of such sub-national measures, and indicate 
how WTO Members may obtain copies of these measures. 
39. The following questions concern Announcement No . 3, 2005, of the Ministry of Commerce, 
releasing the 2005-2006 List of Leading Export Brands  Nurtured and Developed by the Ministry of 
Commerce, as well as the 7 June, 2005, Instruc tion Opinion on Supporting Famous-Brand Export 
Products issued by the Ministry of Commerce and seven other agencies. 
(a) Please identify the criteria used for selecti ng the List of Leading Export Brands, and 
describe in particular criteria related to tr ademarks or other intellectual property rights 
associated with brands selected for this lis t.  Are the criteria set out in a written 
measure or measures?  If so, how can WTO Members obtain a copy? 
(b) Would it be correct to state that the List of Leading Export Brands consists of only 
brands (with intellectual property rights) owned or used by Chinese companies?  If 
not, please explain. IP/C/W/453 
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 (c) The Announcement states that listed brands and enterprises "may enjoy all supporting 
policies."   Please identify and describe the supportin g policies.  Are they the same as 
the policies described in the Instruction Opinion? 
(d) Section VI of the Instruction Opinion (titled "Strengthen publicity and protect 
intellectual property rights to create a sound market environment for the development 
of famous-brand export products") appears to require intellectual property rights 
administrative departments, such as Admini strations of Industry and Commerce and 
Customs, to list intellectual property ri ghts associated with famous-brand export 
products as "important content" and make th em eligible for "special activities of 
protecting the said rights."  Please describ e these special enforcement activities. 
(e) Sections IV and V of the Instruction Opini on appear to require that Chinese agencies 
at all levels give certain "preferential po licies" to famous-brand export products.  The 
Instruction Opinion mentions, among other th ings:  sale in demonstration shops free 
of fake goods;  cultivation of domestic ma rkets;  preferential loans;  export and 
overseas investment preferences;  exemption from quality inspection;  convenient 
customs clearance;  and preferential banki ng and insurance practices.  Please describe 
these preferences and identify any measures setting them out in greater detail. 
40. In addition to recognizing well-known trademarks at the national level, China also maintains 
measures at sub-national (provi ncial, regional, and municipal)  levels for recognizing "famous 
trademarks."  The following questions concern these sub-national measures: 
(a) Are foreign enterprises and/or users of "f oreign" trademarks eligible to become 
"famous trademarks" under all of  these sub-national measures? 
(b) Please describe any special protection affo rded by these measures, including any 
protection related to the characteristic pack aging and decoration of products bearing a 
designated "famous trademark," and prot ection against disparagement of such 
products. 
(c) Please describe how Administrations of Industry and Commerce give effect to 
provisions requiring them to provide strengthened enforcement for these "famous trademarks." 
(d) Please provide a list of such sub-national measures, and indicate how WTO Members 
may obtain copies of these measures. 
 
 
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