[Q&A] How should companies deal with unauthorized import of cosmetics?
2023. 9. 14
[Q&A] How should companies deal with unauthorized import of cosmetics?
As a corporate law firm, we are used to answering many questions from our clients about their business in China. In this series of Q&A articles, we discuss some of the topics that our clients have shown interest in.
Question: How should companies deal with the unauthorized import of special cosmetics?
Answer: Article 16 of the "Administrative Provisions on Registration and Record-filing Materials for Cosmetics" states that "the same product shall not be authorized to more than one domestic responsible person, and the domestic responsible person shall carry out the registration or record-filing within the scope of authorization."
Article 32 of the "Provisions on the Supervision and Administration of Enterprises’ Implementation of Primary Responsibilities for Cosmetics Quality and Safety" states that "The domestic responsible person designated by an overseas cosmetics registrant or record-filing party shall, in accordance with the provisions of laws and regulations and the agreements with the registrant or record-filing party, assume the corresponding responsibilities for the quality and safety of cosmetics and cooperate in the supervision and inspection carried out by the drug regulatory authority."
Based on the above legal provisions, it can be understood that the same cosmetic product can have only one domestic responsible person in the country within the same period of time. And the domestic responsible person is legally responsible for the quality and safety of the imported cosmetics. Therefore, other domestic enterprises that want to import the cosmetic products need to obtain the authorization of the domestic responsible person before importing. Thus, the domestic responsible person is effectively responsible for the quality and safety of such cosmetic products, imported by the aforementioned enterprise.
In this regard, in addition to the regular filing of intellectual property protection, companies can also actively communicate and coordinate with customs to obtain the needed support and assistance.
The company may request customs to strengthen clearance inspection and verify specific goods information, such as Chinese labels, rights certificates, and registration certificates. If unauthorized labeling of importers or unauthorized authorization certificates issued under the name of the domestic responsible person are found during inspection, the customs can be requested to contact the company immediately. Currently, when handling customs clearance of imported special-purpose cosmetics products, some customs authorities have implemented a procedure for notifying the domestic responsible person of the imported special-purpose cosmetics and only releasing the goods after verifying with the domestic responsible person. Companies can communicate with customs on their own or by entrusting lawyers to negotiate with customs.
Furthermore, companies can also differentiate the packaging of their products in different regions based on their market strategy, control the overseas distributors, and minimize the possibility of parallel imports. In the case of unauthorized sales of imported cosmetics discovered on e-commerce platforms, companies can make complaints or reports, based on platform rules. If the other party fails to provide relevant authorization documents, they can request the removal of relevant product links or store closures and other processing.
