Many trademark applicants or representatives have noticed a new trend in trademark practice recently in China: their trademarks are rejected due to “absolute grounds” more frequently than before, and among these grounds, “deceptive and misleading” is the most commonly cited and the hardest to overcome. 

On April 23, 2026, during a press conference held by the State Council, the China National Intellectual Property Administration (CNIPA) announced that “scheming” deceptive and misleading trademark registrations have attracted widespread social attention and they are launching special rectification measures to address this issue. 

What is a “scheming” trademark?

Pursuant to Item 7, Paragraph 1, Article 10 of China Trademark Law, “Signs that are deceptive or likely to mislead the public on the quality, origin or other characteristics of goods shall not be used as trademarks.”

In this new campaign, the “scheming” deceptive and misleading trademarks specifically refer to those registrations used in a misleading manner to trap the consumers into cognitive misunderstandings.  Typical cases include: “120W” used on fast chargers (actual power is 22W), “千禾0” used on soya sauce ( not 0 additives) ; “CALess Sugar Free Mints” used on sugar, honey and snacks, “福亿博 18-16-18” used on “fertilizers” (numbers do not represent composition proportion), “白象 多半袋 (多半袋 means “extra half bag”)”used on instant noodles, etc.

What has China done in this campaign?

An Internal guideline Guiding Opinions on the Examination and Trial of Deceptive Trademarks has been implemented by CNIPA, to govern such “scheming” trademarks from the source.  However, this document is not disclosed to the public.  Since 2023, CNIPA has rejected around 1,273,000 deceptive and misleading trademark applications.  

To engage public participation, a column was opened on CNIPA’s website to collect clues and complaints from the public regarding the “scheming” trademarks. Based on these clues and its own investigations, CNIPA has promptly taken the initiative to declare invalidations of 3,351 trademarks.

"Notice on Strengthening the Management of Trademark Use" was issued on November 24, 2025 by CNIPA to nationwide IP offices, and use of “scheming” trademarks is listed as one of focuses of illegal and non-compliant behaviors. This notice intensifies the administrative crackdown on "scheming" trademarks. 

Additionally, misleading use of trademarks, specifically when “misleading” may be caused by combination of trademarks and goods, or trademarks and advertising slogan, is identified as the key objects for rectification in the “2026 Administrative Protection Work Plan for Intellectual Property Rights”.

What should trademark applicants do?

To avoid being classified as "scheming" trademarks during application or use, here are some practical tips for trademark applicants:

At the application stage, do not use misleading words closely related to the characteristics, craftsmanship, origin, raw materials, efficacy, or other attributes of the goods.  Examples of these words include “organic”, “100%”, “native”, and “0 additives”, etc. Another point is that trademark applicant must make sure the applied trademarks have distinctiveness, especially distinctive verbal elements, instead of general descriptions.  Pre-filing risk assessment is advised to determine whether a trademark is likely to cause public misunderstanding and thereby to enhance chances of success for registrations. 

Where an applied mark is rejected in the substantive examination pursuant to Article 10-1-7 of the Trademark Law, a review on rejection can be filed with CNIPA if the applicant holds that the applied mark in fact does not constitute “deception” or may cause“misleading” regarding goods characteristics or origin. While the overall success rate of overcoming such refusals remains relatively low, applicants are entitled and encouraged to pursue remedy. Precedents exist where such rejections have been overturned in the review proceedings or subsequent litigations.

Another benefit would be that if such “scheming” trademarks are cited against client’s trademark application, a complaint or invalidation action based on Article 10-1-7 can be filed to clear the way for registration.During the use stage, the registrant or authorized users shall not deliberately misinterpret the meaning of the trademark and shall not add misleading descriptions, slogans or use it in a certain way to imply any quality, efficacy, or other characteristics that the product does not have or has not achieved.  If there is any question or concern for the compliance issue in use, it is advisable to consult with local agent for assistance and advice. 

Related Article in the 2025 Draft Amendments of Trademark Law

Notably, the 2025 Draft Amendments of Trademark Law (not officially launched yet) has added specific provision to deal with the “misleading use of registered trademarks”, which will provide explicit legal basis for clearing “scheming” trademarks. Specifically, it stipulates that anyone who uses a registered trademark in a manner that misleads the public shall be ordered by the competent authority to make corrections within a time limit; if corrections are not made within the time limit, a fine of less than RMB 50,000 shall be imposed; and if the circumstances are serious, CNIPA shall cancel the trademark from registry. This provision aligns with CNIPA’s rectification actions and stipulates the penalties for such improper use. It is part of the China’s efforts to strengthen trademark management in legislation.

Conclusion

This special campaign against “scheming” deceptive and misleading trademarks reflects China’s attitude of “zero tolerance” for such practices and is a landmark on China’s road to improve the intellectual property protection environment and to protect the consumer’s rights. As rectifications moving forward, the standards for trademark examination and use may become stricter, and rejections based on such “absolute grounds” like “deception” or “misleading” will keep happening. For trademark applicants and users, playing by the rules and being authentic and compliant isn’t just a legal must; it’s also critical for their long-term business success. By proactively conducting risk assessments and ensuring the proper use of trademarks, businesses can avoid unnecessary losses and build up a healthy trademark fortress for their brand development. 

We will continue to track the progress of this campaign and keep you updated of any further changes in the trademark landscape in China.