A significant enforcement action has taken place in Dongguan, Guangdong Province, where local market regulation authorities carried out a targeted raid at a facility operated by the Dongguan Bearing Assembly Company “Hachzhou”. The inspection followed a formal complaint filed by representatives of the Harbin Bearing Corporation (HRB), whose intellectual property protection team had gathered preliminary evidence of unauthorized use of the company’s registered trademark, HRB.
During the inspection of the company’s warehouse and sales areas, officials uncovered and confiscated approximately 30,000 bearing units bearing the disputed HRB branding. The counterfeit inventory comprised over 300 different models, with a preliminary estimated value exceeding 800,000 yuan (approximately $110,000 USD).
Violation of IP and Trademark Laws
Authorities have classified the company’s activities as a violation of Chinese law, including the Trademark Law and the Anti-Unfair Competition Law, as the counterfeit goods mislead consumers regarding their origin. Moreover, the scale of the operation suggests a potential breach of Article 140 of the Criminal Law of the People’s Republic of China, which penalizes the manufacture and distribution of counterfeit or substandard goods on a large scale. If substantiated, the case could lead to significant fines, asset confiscation, and even criminal prosecution.
An administrative investigation is currently underway to determine the full scope and legal consequences of the violation.
A Persistent Threat to the Industry
This case highlights the ongoing issue of counterfeit industrial components in China, particularly in the bearing sector. Such illicit products, which often bypass proper quality control procedures, not only inflict financial damage on legitimate manufacturers but also pose serious safety risks to end-users. Bearings that fail to meet technical standards for strength, precision, or durability can lead to premature equipment failure, operational disruptions, or even hazardous incidents in industrial settings.
Recent enforcement activity indicates growing cooperation between regulators and IP holders, signaling a more systematic approach to tackling the counterfeit goods market. Focused inspections and legal action, like the one in Dongguan, are becoming key tools in defending product integrity and industrial safety.