KWM issues Doing Business in China（2020）

Since early 2025, the China National Intellectual Property Administration (CNIPA) has raised the evidentiary requirements for applicants. They now need to provide more substantial non-use evidence and disclose more about their identity and intent in certain cases. These changes aim to curb malicious applications and improve examination efficiency. This newsletter will outline the key changes and the reasons behind them, and will offer strategic advice to help cancellation applicants and trademark registrants adapt to the new procedural landscape.

China's new regulatory framework for personal information protection compliance audits has become effective? The Personal Information Protection Compliance Audit Measures (“Audit Measures”), effective May 1, 2025, mandates biennial audits for entities processing over 10 million individuals' data, with supplementary guidelines (Compliance Audit Requirements and Professional Institution Service Requirements) standardizing procedures and auditor qualifications. Key obligations include event-triggered audits following significant breaches, rigorous assessment of consent mechanisms, cross-border transfers, automated decision-making, and minors’ data protection. Professional audit institutions now require formal certification, minimum staffing thresholds including senior auditors, and strict independence protocols. Enterprises should proactively establish audit-ready compliance systems, conduct gap analyses, implement technical monitoring tools, and engage accredited auditors to mitigate liability exposure under this strengthened regime.

Data misuse and breaches remain two of the most significant threats to data security. China’s Cybersecurity Law, Data Security Law and Personal Information Protection Law set strict standards to prevent improper handling, however, even after years of legal updates and recent draft amendments that increase penalties for large-scale incidents, high-profile breaches keep making headlines.