The market regulator is cracking down on those who manufacture and sell counterfeit or fake products after the Nasdaq-listed online discounter Pinduoduo was the center of heated debate for allowing third-party vendors to offer such goods in violation of intellectual property rights.
The crackdown will focus on manufacturing of counterfeit goods, trademark infringements, exaggerated promotion and illegal advertising, the State Administration for Market Regulation said on its website last week.
The campaign will be conducted to cover production, sales and other procedures. Local market regulation authorities have been told to start from online trading websites and investigate upstream and downstream manufacturers that are suspected of any illegal production activity. Results should be publicized punctually.
The move aims to protect the legitimate rights of consumers and trademark holders, safeguard and ensure a market that is equal and fair for all competitors, and provide an inviting environment for consumers and investors, the administration said in a statement.
A meeting with Pinduoduo was convened by the State Administration for Market Regulation, led by its department of online management, on Thursday. The administration required the company to strengthen the management of, and review of, commodities and traders, actively collaborate with regulators in investigations, comply with laws and regulations to maintain fair competition and bring real benefits to consumers. Reported by China Daily