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State Administration for Quality Supervision-Inspection-Quarantine of
the People¨s Republic of China
 No.12

  The ^Regulations on China Brand Name Products ̄ have been adopted at the meeting of State Administration for Quality Supervision-Inspection-Quarantine on December 29, 2001 and is now promulgated as effective. The ^Regulations on Appraisal of China Brand Name Products (Provisional) ̄ promulgated by the State Administration for Quality Supervision-Inspection-Quarantine on June 18, 2001, are annulled meanwhile.

                                December 29, 2001

            Regulations on China Brand Name Products

  Chapter I General Provisions

  Article 1 These Regulations are formulated, based on ^Law of the People¨s Republic of China on Product Quality ̄, ^Outlines of Quality Revitalization ̄ issued by the State Council and the authority granted to State Administration for Quality Supervision-Inspection-Quarantine (hereinafter referred to as SAQS), for the purpose of promoting implementation of brand-name strategy, reinforcing supervision and administration on China brand names, standardizing appraisal of China brand-name products, facilitating companies in implementing brand strategies, guiding and supporting companies in creating brands, directing and surging organizations to improve quality level and strengthening market competitiveness of China products.
  Article 2 China brand-name product referred to in these Regulations shall mean the products with advanced quality equal to the similar international products, leading in China in the same category of products, leading in market share and popularity, with high customer satisfaction and strong market competitiveness.
  Article 3 China brand-name appraisal is designed to create the general promotion system based on the market appraisal, mainly conducted by social agencies under government promotion, direction and supervision, with the user (customer) satisfaction as the purpose.
  Article 4 China brand-name appraisal shall be subject to the principles of voluntary application, scientific, just, fair and open appraisal, no life-long system, no charges to enterprises and no extra burden on enterprises

  Chapter II Organization Administration

  Article 5 SAQS is responsible for formulating China brand-name products promotion aims, principles, plans, tasks and scope, supervising and administrating China Brand-Name Strategy Promotion Committee and recommending manufacturers outstanding in creating China brand names by law
  Article 6 SAQS authorizes China Brand-Name Strategy Promotion Committee to conduct appraisal of China brand names and promote propaganda and fostering of China brand-name products. China Brand-Name Strategy Promotion Committee is a non-standing organization consisted of relevant nationwide organizations, government agencies, press agencies and experts. The Secretariat of China Brand-Name Strategy Promotion Committee is set in Quality Administration Department of SAQS, responsible for organizing, coordinating and daily affairs of China Brand-Name Strategy Promotion Committee.
  Article 7 China Brand-Name Strategy Promotion Committee shall engage relevant experts to form several professional committees each year depending on needs for work, which committees shall, under organization by China Brand-Name Strategy Promotion Committee, prose detailed rules and plans for appraising China brand-name products and conduct specific appraisals. The committees shall be automatically dissolved after completion of appraisals.
  Article 8 The quality and technical supervisory agencies of provinces (autonomous regions and cities under direct jurisdiction of Central Government) shall be responsible for submitting and recommending China brand-name products within their respective administrative areas, and carrying out supervision and administration on China brand-name products.

  Chapter III Conditions for Application


  Article 9 The following conditions are required for applying for the title of China Brand-name Product:
  (1) The enterprise shall comply with state laws and rules and industrial policies;
  (2) The product quality shall be leading in the country among the similar products and shall reach the international advanced level, with market share, export rate and brand fame leading among the similar products in the country;
  (3) Annual sales volume, realized profits and taxes, industrial cost profit ratio and total assets contribution ratio shall be leading in the industry;
  (4) The enterprise shall have advanced and reliable production technical conditions and technical equipments, with leading technical renovation and product development ability;
  (5) The products shall be manufactured in accordance with international standards or Chinese standards that are advanced in the world;
  (6) The enterprise shall have complete measuring and test systems and metrology assurance capacity;
  (7) The enterprise shall have sound and effective quality management system, free from any material quality accident;
  (8) The enterprise shall have complete aftersales service system, with high customer satisfaction.
  Article 10 In case of any of the following circumstances, the application for title of "China brand-name products" will be rejected:
  (1) Where overseas trademark is used;
  (2) Where product subject to administration of production license, compulsory product certification and manufacturing license for measuring instruments is not awarded with licenses;
  (3) Where in the past three years disqualification has been found by provincial (autonomous region, city under direction jurisdiction of Central Government) quality supervisory agency in selective inspection;
  (4) Where in the past three years the export products have been found disqualified, or export products were subject to overseas claims;
  (5) Where other serious illegal actions exist.

  Chapter IV Appraisal Indicators

  Article 11 The appraisal indicator system shall be set with the market appraisal, quality appraisal, profitability appraisal and development appraisal as the main appraisal content.
  Article 12 Market appraisal is mainly on market share, customer satisfaction and export level of the applied product; Quality appraisal is mainly on product quality level and applying company quality management system; Profitability appraisal is mainly on the profits and taxes realization, industrial cost profit level and total assets contribution level of the applying company; Development appraisal is mainly on the technical development level and scale of the applying company. The appraisal indicators shall be appropriately favorable to products with independent intellectual property and core technology.
  Article 13 China Brand-Name Strategy Promotion Committee is responsible for formulating appraisal detailed rules for various products, determining scoring standard for overall appraisal, assigning of different appraisal indicator weights, determining the appraisal methods for indicators that cannot be directly quantified, simplification of complicated factors in appraisal and determination of overall appraisal results.

  Chapter V Appraisal Procedures

  Article 14 China brand-name products appraisal shall be conducted yearly. In the first quarter of each year, China Brand-Name Strategy Promotion Committee shall publicize the product director for China brand-name products appraisal and the starting and ending time for acceptance of application for China brand-name products.
  Article 15 The organizations shall on the voluntary basis fill according to the facts the ^China Brand-name Product Application Form ̄ (to be prepared separately) and furnish relevant evident document, and shall submit to the provincial (autonomous and city under direct jurisdiction of Central Government) Quality and Technical Supervision Bureau within the specified time.
  Article 16 The provincial (autonomous and city under direct jurisdiction of Central Government) Quality and Technical Supervision Bureau shall, within the specified time, organize relevant local agencies and social bodies to give appraisal opinions on the qualification of the applying organizations and authenticity of the application, and shall form recommendation opinion, which shall be submitted to the Secretariat of China Brand-Name Strategy Promotion Committee.
  Article 17 The Secretariat of China Brand-Name Strategy Promotion Committee shall, after collecting the recommendation materials, organize relevant agencies and social bodies to make preliminary review on the application materials to determine the preliminary name list, and then send the preliminary name list and the related application materials to the respective professional committees.
  Article 18 The professional committees shall, in accordance with the detailed rules of appraisal, conduct overall appraisal on the applied products and form appraisal report, based on which the recommendation name list of China brand-name products of their respective professions to the Secretariat of China Brand-Name Strategy Promotion Committee.
  Article 19 The Secretariat of China Brand-Name Strategy Promotion Committee shall submit the recommendation name lists submitted by the professional committees to the committee of the whole for deliberation on determining the preliminary name list.
  Article 20 China Brand-Name Strategy Promotion Committee shall publicize the preliminary name list determined by the committee of the whole on the media to solicit the social opinions for a certain period of time.
  Article 21 The name list determined after soliciting opinions shall be submitted to the plenary session of China Brand-Name Strategy Promotion Committee for deliberation, determination and promulgation.
  Article 22 The title of "China Brand-name Product" shall be granted, and the China Brand-name Certificate and Medal shall be granted in the name of SAQS.

  Chapter VI Supervision and Administration

  Article 23 China brand-name product certificate has a validity of three years. During the validity, the certificate holder may use the mark of special China Brand-name Product on the product winning the title of China Brand-name Product and the packages, decorations, manuals, advertisements and relevant materials, marked with validity, unless otherwise specified by law.
  Article 24 China brand-name products in the validity are exempted from quality supervisory inspection from the government agencies. Products that are qualified for exemption in export may enjoy preferred exemption according to law.
  Article 25 China brand-name products in the validity are protected from counterfeiting; China brand-name product manufacturers shall cooperate with the enforcement departments in discrimination of genuine and counterfeit products.
  Article 26 The products granted the title of China Brand-name Product are subject to suspension or cancellation of such title by SAQS in case of material deterioration of quality, strong complaints from consumers (users), overseas claims on export products, substantial quality accident or serious problem in quality assurance system.
  Article 27 The logo of China Brand-name Product is the mark of quality. China Brand-name Product title and mark shall only be used on recognized models and specifications, which shall not be used exceeding the specified scope. Products without the title of China Brand-name Product shall not bear the logo of China Brand-name Product; Products that are suspended or cancelled the title of China Brand-name Product, fail to apply for renewal after expiration or fail in application, shall not continue to bear the logo of China Brand-name Product. The China Brand-name Product logo and its specific or similar logos are inhibited from transferring or counterfeiting. Violation shall be subject to punishment in accordance with provisions of the Law of Product Quality of the People¨s Republic of China on misbranding the quality logo.
  Article 28 Organizations and persons participating in China brand-name product appraisal shall keep the trade and technical secrets of enterprises and protect the intellectual property, be just and integral, and conduct appraisal in strict accordance with relevant regulations and procedures. Organizations or individuals in violation of regulations shall be deprived of the qualification for appraisal. Those who conduct misuse of authority, negligence of duty and self-seeking misconduct without committing crime shall be subject to administrative punishment by the work unit, and those who have committed crime shall be subject to criminal investigation.
  Article 29 The applicants and relevant agencies shall furnish real data without falsification. The companies that have obtained the title of China Brand-name Product shall be subject to cancellation and circulated notice of criticism, whose application for China Brand-name Product will be rejected for three years.
  Article 30 The provincial(autonomous, city under direct jurisdiction of Central Government) Quality and Technical Supervisory Departments are responsible for promotion of brand-name strategies in their own administration regions, and may assist the local governments in formulating appropriate administration regulations in accordance with the principles of these Regulations.
  Unless specified in these Regulations for brand-name appraisal, no other organization or individual shall carry out brand-name product appraisal.

  Chapter VII Supplementary Provisions

  Article 31 Regulations on China brand-name product logos administration shall be further formulated.
  Article 32 These Regulations shall be subject to interpretation by SAQS.
  Article 33 These Regulations shall go into effect as on the date of promulgation, and the ^Regulations on Appraisal of China Brand Name Products (Provisional) ̄ promulgated by the State Administration for Quality Supervision-Inspection-Quarantine in 2001 (GZJ [2001]32) shall be annulled meanwhile.

  The Technology Department of Guangzhou Municipal Economic Committee