Chinese Court Repeals Hongda Trademark

July 12, 2009

A Beijing district court issued a ruling Wednesday that supports a claim by Honda Motor Co.’s (TSE:7267) that major private motorcycle maker Chongqing Lifan Industry Group Co. pirated the Japanese company’s name by registering a trademark pronounced “Hongda.”

Honda had previously filed a complaint with a Chinese government committee that oversees trademarks, but the committee brushed off the claim, saying the trademarks are distinguishable in Chinese characters. The Beijing court ruling acknowledges that “Hongda” is confusing, and ordered the government committee to reexamine the issue.

This case is symptomatic of improved IP enforcement in China in recent years.