First published in Nikkei
Japanese retailer Ryohin Keikaku, known for its MUJI brand, has lost a decades-long trademark battle in China, forcing it to stop using the “無印良品” mark on certain products, such as towels and bedding. The Supreme People’s Court rejected the company’s final appeal in June, concluding a 25-year dispute that began when a Chinese company, Hainan Nanhua, applied for the “無印良品” trademark in 2000. That mark was later transferred to Beijing Cottonfield Textile, which has operated stores under a similar name and branding.
While MUJI can continue using its English logo and the “無印良品” mark on other product categories, the case shows the risks Japanese firms face in China’s first-to-file trademark system, where rights go to whoever applies first, regardless of prior overseas use. Similar controversies have affected global companies: Apple paid $60 million in 2012 to settle an iPad trademark dispute, and in 2023, a Chinese company attempted to register “Shohei Ohtani” as a mark.
Experts warn Japanese companies to file trademarks preemptively, even in markets where they have no immediate plans. Preventive filings, monitoring of applications, and tracking bad-faith filers are key safeguards. MUJI’s loss serves as a cautionary tale for firms expanding into China’s vast consumer market.
Further information can be found here. (Japanese)
