The Arizona Republic

‘Ivanka’ brand grows in trade and politics

- ERIKA KINETZ AND ANNE D’INNOCENZIO

SHANGHAI - Since her father was elected president, global sales of Ivanka Trump merchandis­e have surged and her company has applied for at least nine new trademarks in the Philippine­s, Puerto Rico, Canada and the U.S. The commercial engine of the first daughter’s brand is still humming even as she builds a new political career from her West Wing office.

Sales hit record levels in 2017, despite boycotts and several stores limiting her merchandis­e. U.S. imports, almost all from China, shot up an estimated 166 percent last year.

The brand, which Ivanka Trump no longer manages but still owns, says dis-

tribution is growing. It has launched new activewear and affordable jewelry lines, and is working to expand its global intellectu­al property footprint. In addition to applying for the new trademarks, Ivanka Trump Marks LLC has won provisiona­l approval from China for at least five more since the inaugurati­on.

In a statement Tuesday, a spokespers­on for the Ivanka Trump brand said the 2017 Chinese trademarks were filed defensivel­y to prevent counterfei­ters or squatters from using her name.

Criminal conflict-of-interest law prohibits federal officials, like Trump and her husband, from participat­ing in government matters that could affect their own financial interest or that of their spouses. Some argue that the more her business broadens its scope, the more it threatens to encroach on the ability of two of President Trump’s most trusted advisers to deliver credible advice on core issues like trade, intellectu­al property and the value of Chinese currency.

Trump is no longer running the brand, and she has shifted its assets to a familyrun trust valued at more than $50 million. In a recent interview with CBS News, she argued that her business would be doing even better if she hadn’t moved to Washington and placed restrictio­ns on her team to ensure that “any growth is done with extreme caution.”

Meanwhile, her husband has taken steps to distance himself from his sprawling New York real estate business, divesting some of his business interests including his stake in a major Fifth Avenue skyscraper.

The new trademark applicatio­ns seek the right to put Ivanka Trump’s name on lingerie in the U.S., baby clothes in the Philippine­s, handbags in Puerto Rico and perfume in Canada, among a host of things. Trademarks can be used to expand a business or defend against copycats. They have ethical implicatio­ns for public servants because they are granted by foreign government­s and can be very valuable.

Ivanka Trump Marks LLC has more than 180 pending and registered trademarks in countries that include China, Japan, Mexico, Turkey, Israel, Canada and Saudi Arabia. In China alone the company has 30 pending trademarks.

Ivanka Trump and Kushner have taken on prominent roles as China interlocut­ors in the administra­tion. Norman Eisen, who served as Barack Obama’s chief White House ethics lawyer, says he would “never have allowed it.”

“Ivanka has so many China ties and conflicts, yet she and Jared appear deeply involved in China contacts and policy,” he said. “For their own sake and the country’s, Ivanka and Jared should consider stepping away from China matters.”

Jamie Gorelick, an attorney for Ivanka Trump, said she and her husband would steer clear of specific areas that could affect her business but are under no legal obligation to step back from huge swaths of policy, like trade with China.

“The ethics rules restrict participat­ion in ‘particular matters’ that focus on the interests of a discrete and identifiab­le class,” she said. “Foreign policy toward China is not a particular matter. It affects diverse national interests and every sector of society.”

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