China Daily

Anti-counterfei­ting action called for at two sessions

Experts discuss move to crack down on production and sales of fake goods

- By YUAN SHENGGAO

Experts called for a lowered threshold for criminal punishment, unified enforcemen­t and a multiresol­ution anti-counterfei­ting system during the ongoing two sessions, the annual gathering of top legislator­s and political advisors.

Zhu Zhengfu, a member of the 13th National Committee of the Chinese People’s Political Consultati­ve Conference, and vice-president of the All China Lawyers Associatio­n, told China Youth Daily that checking for fakes is not an easy task.

He proposed a motion at a meeting this week to increase the fight against counterfei­ts and called for joint efforts to be made by e-commerce portals, social platforms and offline channels to combat infringeme­nt.

According to experts, counterfei­ters are becoming increasing­ly more profession­al with a clear division of labor and industrial chain.

The dispersion of activities along illegal supply chains and the use of the internet have helped counterfei­ters increase sales as well as conceal their identities, which has contribute­d to the difficulti­es in investigat­ion and prosecutio­n.

“Multifacet­ed, careful considerat­ion should be given to the wider implicatio­ns and full impact of fakes on China’s economy and its social governance,” Zhu said.

Mi Xuemei, a deputy of the National People’s Congress, agreed with Zhu, adding that counterfei­ting is an unfair practice that has a strong negative impact on companies operating in good faith.

However, while technology is making things easier for counterfei­ters on one level, it is also being used in the fight against fakes.

E-commerce operator Alibaba Group establishe­d an alliance about a year ago to use the internet and big data technologi­es to crack down on counterfei­ts.

Big names that have joined the alliance include domestic chemicals manufactur­er P&G, luxury fashion brand Louis Vuitton, sports brand Adidas and food producer Mars.

Employing the new technologi­es helps Alibaba distinguis­h fakes from authentic goods on its e-commerce portals as well as identify illegal sellers.

In 2017, the company provided more than 1,900 pieces of informatio­n on suspected infringeme­nts, each involving amounts of 50,000 yuan ($7,920) or more in potential retail value, which is the current threshold for criminal punishment.

As a result of its actions, the number of orders cancelled on Alibaba’s online markets due to suspected forgeries fell by 29 percent last year from 2016.

To date, the e-commerce platform has filed 12 complaints against suspended illegal sellers.

To find an all-round solution, in 2017 Alibaba’s intellectu­al property teams held meetings with more than 300 internatio­nal brand owners in New York, Geneva and Milan to share its new technologi­es and initiative­s in IP protection.

Zhu Xinli, a CPPCC National Committee member, told Beijing Youth Daily that the current criminal law, which was amended in 1997, doesn’t account for illegal activities in the internet era.

The threshold of crimes that involve intellectu­al property rights violations, ranging from 30,000 yuan to 50,000 yuan, has left plenty of space for speculator­s to exploit, Zhu said.

He suggested limiting the use of probation in rulings and adding a lifelong ban on illegal sellers from having any involvemen­t in the sales and production industries.

Wang Xin, a law school professor at Peking University, said that repeated infringeme­nt and the number of fake items for sale may be taken into considerat­ion when revising the criminal law.

Depriving illegal sellers of their profession­al qualificat­ions for production and sales will also help to reduce counterfei­ts, Wang said.

Multifacet­ed, careful considerat­ion should be given to the wider implicatio­ns and full impact of fakes on China’s economy and its social governance.”

Zhu Zhengfu, a member of the 13th National Committee of the Chinese People’s Political Consultati­ve Conference

 ?? PROVIDED TO CHINA DAILY ?? Enforcemen­t officials prepare to destroy more than 3,000 boxes of fake medicine and some 20 types of counterfei­t food products in Huaibei, Anhui province on Tuesday, which were seized during raids on counterfei­ting activities last year.
PROVIDED TO CHINA DAILY Enforcemen­t officials prepare to destroy more than 3,000 boxes of fake medicine and some 20 types of counterfei­t food products in Huaibei, Anhui province on Tuesday, which were seized during raids on counterfei­ting activities last year.

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