CHINA PATENT & TRADEMARK LAW OFFICE
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    • Avoiding IP Infringement with Chinese Sourcing
    • Cracking down trademark squatters under amended trademark law in China
    • How China is acting to combat bad faith trademarks
    • Intellectual Property protection when doing business in China
    • China's intellectual property rights protection improved to create a sound business environment
    • China’s race to become global intellectual property leader
    • China strengthens intellectual property rights protection prior to Beijing 2022
    • Important Trademark Development from China for 2022: What US Brand Owners Need to Know
    • How to Protect Trademarks in China
    • A simple guide to intellectual property in China
    • An Overview of the Latest Amendment to the Chinese Patent Law
    • What We Do When Trademark Squatters Get Smarter in China
    • The most important patent and IP business developments in China in 2021
    • A simple guide to trademark registration in China
    • Protecting your intellectual property in China
    • How To Enforce Intellectual Property Rights In China
    • What China’s new patent laws mean for life sciences
    • China extends lead over U.S. in global patents filings, U.N. says
    • What Do China’s High Patent Numbers Really Mean
    • How to Protect Your Intellectual Property Rights in China
    • Protecting your intellectual property in China
    • Procedure of filing trademark in China
    • The Importance of Having a Chinese Brand Name
    • Why Does Hong Kong Attract International Businesses
    • What’s the Difference Between Patents, Copyrights and Trademarks
    • How to initiate a trademark infringement civil proceedings in China
    • How to Brand your products for the Huge China Market and Reduce Your Risk
    • 8 Trademark Mistakes Your Start-Up Must Avoid
    • What’s the Difference Between OEM and ODM Products
    • What the amendment to Article 4 of the Chinese Trademark Law means for bad-faith trademark filings
    • China starts rebuff of various metaverse trademark applications amid rush to hype the internet’s next generation
    • China, US and Hong Kong trademarks – A quick guide
    • Working with Chinese Trademark Agencies – A Dangerous Game, or Delicate Tightrope
    • China will improve its IP system
    • 12 Intellectual property Protection Tip
    • How to protect your brand in China
    • China Trademark And Brand Development Index 2021: Which Are China's Top Provinces
    • Must I Register My Company Name as a Trademark in China?
    • What You Need to Know About China Trademark Registration as a Foreigner
    • How to File a Trademark in China
    • How to Register a Patent in China
    • How to effectively deal with the preemptive registered trademark in China
    • China’s Trademark Regime: How to Protect Your Brand in the Mainland
    • China Issues Stricter Rules on Trademark Use
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Today I will talk about one of your biggest concerns. While you are moving your product idea to China for production:
How Do You Protect Your Intellectual Property (IP)? 

Either a small or big touch, your product has something different than others. Maybe it is hidden in the software or hardware, or the industrial design. Considering all the cost, easy supply chain setup, lead-time advantages, you decided to move your product idea/prototype to China with these questions in your head:
‘’What if they copy my design?’’ 

‘’How can I protect my IP?’’

‘’How can I secure my product idea?’’…

You are worried after hearing lots of stories and seeing so many copy-cat products in the market. 

But don’t worry! Just continue reading:
1. If your product includes a unique technology solution, PATENT it first!  

A typical misunderstanding is that most people think patenting your technology/design in your own country is enough to protect your product in China. But NO! You need to register your IP in China.

If you are not sure how to handle this step, find a IP lawyer or an IP agent China, therefore they can apply your IP on your behalf.
2. Separate the design house and manufacturing base

If you don’t have your own engineering or design team that is ok, don’t worry. There are 3rd party reliable R&D and design houses who can do the service for you. And at the end of the project, they deliver all the design files to you. Therefore, you will keep the ownership of the design, but do not go to the factory for these services. 
3. Choose a Contract Manufacturer

Choose a ‘Contract Manufacturer’ (CM) or ‘’Electronics Manufacturing Services’’ (EMS) company if your product is an electronic product. But why? Because CMs don’t do the design. Therefore, they don’t know the design details of your product. Which software is running? They won’t have an idea. They will get your design files, validate it in terms of the manufacturability and do the manufacturing only. Most likely, your CM’s other customers won’t be your competitors. Thus, the risk of information transition will be much less. 

Let’s say you have developed a new smart home device. You did all the electronics, software design with a cool unique industrial outlook. Awesome, right? What happens if you go to a manufacturer who is already in that business? Probably your design and features will be exhibited in the next Canton or Hong Kong show with some color and logo changes! So, if you don’t want it to happen, choose a contract manufacturer. This doesn’t mean that nobody will copy your product. But it won’t happen until your product hits the market. 
4. Sign an NDA

Before sharing any design files with your potential manufacturer, sign a Non-Disclosure Agreement (NDA). You need to make sure all the confidentiality clauses are mentioned in this NDA. 
5. Ask the IP control process from your potential manufacturer

Check your manufacturer’s IP control process. What can these be?

a.         Different production lines for different customers

b.        Different business units for different customers/projects

c.         Production lines and business units are isolated and secured with RF-ID/fingerprint systems to avoid irrelevant staff’s entrance.

d.        Using special software in the company computers against irrelevant data access, copy, and sharing. 
6. Serious Contract Management

If the project is decided to be kicked off with the potential manufacturer, besides NDA, a more comprehensive contract management is needed. This purchase/project agreement should include serious IP protection clauses. If you are not familiar with the legal stuff, just get help from your lawyer or business partner. 
7. Own Your Design

To protect your industrial design, get involved in the tooling process. Invest in the tooling and own it. Then you will have all the rights on your design. Also, assign the tooling to the factory that you choose. So, you will have full control of the process. So, in case you face any problem, you can get the tool and take it to another factory anytime you want. 

Conclution

As you see, protecting your intellectual property is not that scary. You need to be careful about your manufacturer selection from the beginning and make your documentation right. Don’t underestimate the importance of getting a patent. 

Bad news :) All these actions won’t protect your product being copied, at least the design.

However controlling your IP, having the ownership of your product will do its best and give you enough time to dominate the market and gain success if it is really a good product. Especially if you have your own software, nothing to worry. There are many ways to protect the core design.

And don't worry about them, copycats can never win in the long run!  
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  • Home
  • About
  • IP Services
    • Trademark
    • Patent
    • Utility Model
    • Design
    • Copyright
  • Translation
  • News
    • Why do you need to register a trademark in China
    • What do you need to do to register a Chinese trademark
    • The Difference Between Copyright, Trademark and Patent
    • How And Why To Trademark In China
    • How do I protect myself from Intellectual Property Theft in China
    • How To Protect Your Intellectual Propery (IP) Rights In China
    • 7 Steps to Protect Your Intellectual Property in China
    • China is strengthening intellectual property protection
    • What should a foreign business know about filing a trademark in China
    • A Guide to the Chinese Trademark Registration Process
    • Why you should file your trademark in China now
    • Why is a Trademark Watch Important
    • Differences Between Trademark and Copyright
    • Avoiding IP Infringement with Chinese Sourcing
    • Cracking down trademark squatters under amended trademark law in China
    • How China is acting to combat bad faith trademarks
    • Intellectual Property protection when doing business in China
    • China's intellectual property rights protection improved to create a sound business environment
    • China’s race to become global intellectual property leader
    • China strengthens intellectual property rights protection prior to Beijing 2022
    • Important Trademark Development from China for 2022: What US Brand Owners Need to Know
    • How to Protect Trademarks in China
    • A simple guide to intellectual property in China
    • An Overview of the Latest Amendment to the Chinese Patent Law
    • What We Do When Trademark Squatters Get Smarter in China
    • The most important patent and IP business developments in China in 2021
    • A simple guide to trademark registration in China
    • Protecting your intellectual property in China
    • How To Enforce Intellectual Property Rights In China
    • What China’s new patent laws mean for life sciences
    • China extends lead over U.S. in global patents filings, U.N. says
    • What Do China’s High Patent Numbers Really Mean
    • How to Protect Your Intellectual Property Rights in China
    • Protecting your intellectual property in China
    • Procedure of filing trademark in China
    • The Importance of Having a Chinese Brand Name
    • Why Does Hong Kong Attract International Businesses
    • What’s the Difference Between Patents, Copyrights and Trademarks
    • How to initiate a trademark infringement civil proceedings in China
    • How to Brand your products for the Huge China Market and Reduce Your Risk
    • 8 Trademark Mistakes Your Start-Up Must Avoid
    • What’s the Difference Between OEM and ODM Products
    • What the amendment to Article 4 of the Chinese Trademark Law means for bad-faith trademark filings
    • China starts rebuff of various metaverse trademark applications amid rush to hype the internet’s next generation
    • China, US and Hong Kong trademarks – A quick guide
    • Working with Chinese Trademark Agencies – A Dangerous Game, or Delicate Tightrope
    • China will improve its IP system
    • 12 Intellectual property Protection Tip
    • How to protect your brand in China
    • China Trademark And Brand Development Index 2021: Which Are China's Top Provinces
    • Must I Register My Company Name as a Trademark in China?
    • What You Need to Know About China Trademark Registration as a Foreigner
    • How to File a Trademark in China
    • How to Register a Patent in China
    • How to effectively deal with the preemptive registered trademark in China
    • China’s Trademark Regime: How to Protect Your Brand in the Mainland
    • China Issues Stricter Rules on Trademark Use
    • News
    • News
  • Contact