What you can't order from China to Ukraine and what restrictions you need to take into account

Is it possible to bring goods of famous brands from China? This question often arises for those involved in international trade. In the article, we consider the essence of intellectual property, the main aspects of its regulation and problems related to the transportation of brands from China.

What is intellectual property and brands

Intellectual property is a set of rights granted to authors, inventors, artists and other creators for their intellectual achievements. In the field of business, intellectual property reflects the creative potential, innovativeness and competitiveness of companies.

Trademarks (brands) - one of the main components of intellectual property - are symbols, names, logos that identify the products or services of a certain manufacturer or supplier. They not only create a unique visual image of the company, but also serve as a guarantor of quality and reputation.

However, the protection of brands and other forms of intellectual property becomes a challenge in the context of globalization and the expansion of international trade. In particular, the issue of transporting branded goods from China is of particular importance, since China is one of the world's largest producers and suppliers of goods.

China is one of the world's largest exporters of clothing, footwear, appliances, household goods, etc

Regulation of legal aspects of intellectual property

There are several international treaties and organizations that regulate the protection of intellectual property in the legal field.

The World Intellectual Property Organization (WIPO) is responsible for the development and application of international standards for intellectual property. The organization administers such important treaties as the Berne Convention on Copyright and the Paris Convention for the Protection of Industrial Property.

The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) is an international agreement under the jurisdiction of the World Trade Organization. TRIPS defines the rules and obligations related to intellectual property that must be observed by all members of the WTO.

Ukraine has a number of laws that regulate intellectual property. These are the Constitution of Ukraine, the Civil Code of Ukraine, the Law of Ukraine "On Protection of Rights to Marks for Goods and Services", other normative legal acts.

Importantly! In addition to the Civil Code, intellectual property rights are also controlled by the Criminal Code of Ukraine and the Code of Administrative Offenses. It is in these documents that a person is liable for the violation of intellectual property rights.

At customs, all cargoes undergo a detailed inspection

What to Consider When Ordering Goods from China to Ukraine

There is no exact list specified in laws and agreements regarding what is prohibited to export from China. The fact is, intellectual property includes not only logos and symbols but also designs and technologies (for which authors receive patents).
Here are some important points about authorship and ownership:

• Copying of trademarks. There are cases where inventive Chinese companies register foreign trademarks through CNIPA in China first. Another danger is the theft of your designs and technologies. If you’re making a product at a factory, make sure to sign an NDA.
• Chinese suppliers often produce counterfeits of well-known brands (replicas, identical). Ordering and selling such goods can lead to fines and confiscation at customs. Make sure the factory has a license to produce products under this brand.
• Manufacturers may copy designs, technologies, and mechanisms protected by patents from well-known and not-so-well-known brands. Ordering such products risks lawsuits in the country of sale if they are not confiscated earlier at customs.
  Therefore, whether you're buying goods from China or searching for suppliers in China (especially those who produce products for your branding or rebranding), you need to be very careful. Risk assessment and patent checks are handled by customs brokers.

What Goods You Cannot Order from China: DiFFreight's Advice

Definitive “no’s”:

• Any products under a foreign brand/trademark whose owners have not given permission to Chinese manufacturers or sellers to produce/distribute them to other companies.
  For example, a factory may sew shoes on order for the brand “Cool Shoes.” You should not order these shoes and sell the product under the TM “Cool Shoes” from the factory. However, you can buy it at an official store or from the brand itself and resell it.
• Exact design, technologies, and materials.
  You like the design of TM “Cool Shoes.” You buy the same shoes from the factory that makes them and brands them as “Comfortable Shoes.” Your product may be confiscated for patent infringement (if “Cool Shoes” have received a patent for their technology and design).
• Counterfeits of well-known brands: whether with the original or modified name/logo.
  You cannot import into Ukraine the same shoe models from the mentioned brand, just with a typo in the name “Clasny Shoes.” This is still an infringement.

Most trademarks, when crossing borders, are subject to certain types of control and restrictions. Customs (in China or any transit country) will certainly check if the goods you are transporting violate intellectual property rights. If they are products of popular and registered brands, customs has the right to unilaterally seize them and impose sanctions on the violator.

Sanctions for violating intellectual property rights can be administrative, civil, or criminal:

• fine;
• confiscation of goods;
• compensation for disposal of goods;
• prohibition of activity;
• compensation for damages;
• court, arrest, imprisonment, etc.

How to Safely Order from China and Avoid Issues with Prohibited Goods

Of course, inventive factories and manufacturers find ways to bypass copyright. Sometimes it works, sometimes it doesn't. DiFFreight does not recommend taking risks at all:

• Register your brand/trademark to avoid misunderstandings.
• Check the certificates, licenses, and permits of factories for certain models, technologies, and designs.
• If you really want a specific design, make enough changes to avoid confiscation and lawsuits.
• Respect others' intellectual property and protect your own.

The shipping company is not responsible for such situations and does not compensate the client for the value of confiscated goods or deliveries.
Therefore, to avoid conflicts at customs and not disappoint clients, the logistics company DiFFreight does not ship brands and products for which there may be restrictions. Instead, we will help you find reliable Chinese manufacturers and suppliers for the necessary products, provide warehouse services in China, and organize deliveries from China to Ukraine "turnkey."