Hard to control
Though the Da Vinci scandal aroused public outcry over fake foreign brands, they still remain common despite frequent crackdowns. The problem reflects a systemic culture of deception that lacks oversight and is hard to police.
Guangdong-based Scient Infant Nurture Company has been criticized by consumers as a fake American brand. However, data from the local Administration for Industry and Commerce showed that the company was a legal joint venture registered by its American partner according to related laws.
Ning Jie, from the Guangdong Administration for Industry and Commerce, said that any label registered in China by a legal foreign company should be protected by the Trademark Law. However, the foreign investors and the ownership structure of a joint venture are not supervised by the Administration, and it is impossible for them to go abroad and learn the particulars of every so-called foreign brand.
Chen Yehuai, vice head of the Department for Consumer Rights at the Administration, said that when they investigate possible fake foreign brands, they find it difficult to trace them to their real sources. "You cannot accuse them of operating illegally just by using a foreign brand," added Chen.
"If consumers have paid heavily for what they thought was a famous French brand registered abroad, but sold in China, it would be hard for the Administration to get involved," said Ning Jie, "unless there are quality problems—a missing sleeve or damaged cloth—or enough evidence of false advertising."
