The last week of July 2025… the week irony finally died. The week the Chinese government finally decided it was time to crack down on counterfeits… of Labubu. Yes, it’s Lafufu that finally tipped the scales in favour of China respecting IP infringement as a serious matter.
According to one report I read, this is not just a matter of protecting business interest, but of China “protecting its national interest”. So, basically, they can do it now, when it’s one of their own IPs being copied. I guess that means they could have done it all along…if they had really wanted to.
The report also talked about Labubu representing a critical shift from ‘Made in China’ to ‘Created in China’ (or Hong Kong more precisely… although the two seem to be more entwined than ever these days). Perhaps this is a good thing: maybe now there will be greater recognition of the importance of respecting and protecting all IP, and the importance of taking firm action against the perpetrators. If so, the phrase ‘about time too’ would seem most apt…
I would stress that there are a great many fantastic, legitimate Chinese manufacturers and factories that are as horrified about counterfeits as everyone else. I spoke with China Daily this week about the pivotal role China still plays in global toy supply chains, and the challenges of moving production to other countries – it sounds simple, but in reality it is a hugely complex and time-consuming process, unless you are either a huge operation and have massive resources and plenty of clout, or are small, nimble and flexible enough to navigate the considerable challenges. For many mid-range toy companies, sitting it out, waiting and hoping, probably remains the most viable strategy for the time being.
So, how’s that going? Well, delegations from the US and China met in Stockholm this week to discuss the ongoing trade deal / tariff situation. By all accounts, no firm agreement was reached, but the talks were described by the US as “very productive,” and a 90-day extension to the current tariff freeze appears likely.
In fairness, that is a lot more encouraging than the situation many countries are facing, with significant tariffs due to come into force in seven days for many including India and, bizarrely, Switzerland (so much for staying neutral). Canada’s tariffs are even more swift and punitive, taking effect from today. To add insult to tariff injury, there were also disparaging comments about India and Russia, which are apparently “dead economies” according to the President. He certainly doesn’t beat around the bush – he’d be great at Catchphrase (“Say what you see…”). However, I suspect the ‘master of tact and diplomacy’ award may elude him once again this year.
Read the rest here.
