‍One of the most concerning topics for foreign enterprises doing business in China is how the Chinese government strengthened the protection of intellectual property (IP). Minister of State Administration for Industry and Commerce (SAIC) Zhang Mao spoke at a press conference amid the period of Two Sessions to reassure companies that China will improve the legal system and establish the information publicity system to promote the supervision on IP protection.

According to Zhang, China has investigated and examined 28,000 cases of trademark infringement and counterfeiting in the past year, including a Disney trademark case. Zhang pledged that the country will continue to strengthen the fight against infringement, but also noted that China will protect the copyrights of both foreign and local trademarks, as more Chinese trademarks also must deal with infringement as well, such as Beijing Tongrentang (traditional Chinese medicine brand) and the Qing Feng Steamed Dumpling Shop.

Citing the trademark cases of Trump and Jordan that has triggered waves in China’s market and society, journalists raised the question in what way China would cooperate with the international community in protecting the trademarks. The minister said China has actively participated in many talks with other countries’ representative institutions, especially the frequent dialogues between China and the US, for example.

Zhang also said the SAIC has kept close contact with the US's commerce and trade associations, and cooperation has helped improve the business environment in China. In this way, Zhang says China has been more familiar with the international order on IP protection, while receiving suggestions in making relevant laws and rules. Meanwhile, China will better explain its laws to foreign investment enterprises in the future.

The counterfeit product issue was also on Zhang’s agenda, who used a phrase made famous by Jack Ma of the Alibaba Group: “To fight counterfeiting the same way we fight drunk driving.”

"The SAIC would fulfill the implementation of relevant laws and regulations to protect the consumption environment. The government and relevant institutes should strengthen the supervisory and enterprises should strengthen self-regulation, in compliance with laws and regulations," he added.

Zhang also highlighted that the credit system should play a crucial role in improving consumption. A credit system has been established to help supervision and it will publicize the “problem enterprises” that would be confronted with restrictions in many fields, such as the enterprises owners’ visa application.

The minister also talked about how SAIC will continue to push forward comprehensive reforms, including further streamlining administrative procedures, and to create healthier environment for small and micro businesses.

(Written by Wang Mingyan and He Yan)