Chinese customs officials have intercepted three shipments containing thousands of unlicensed blind boxes and plush toys mimicking Pop Mart's wildly popular "LABUBU" series, marking the latest crackdown on counterfeit trendy collectibles.
During an inspection of three batches of goods, customs officers from Beilun Customs, a subsidiary of Ningbo Customs in East China's Zhejiang Province, found undeclared blind boxes, plush toys, and other items, some of which bore Pop Mart's brand logo and featured designs from its currently trending "LABUBU" series, according to a post on the customs' official Weibo account.
A tally revealed 2,350 blind boxes, 4,410 plush toys, 9,400 keychains, 495 raincoats, and 1,200 combs.
The officers preliminarily determined that these goods were suspected of intellectual property (IP) infringement. After contacting the rights holder, it was confirmed that the products violated relevant trademark and copyright protection laws, according to the Ningbo Customs.
Under China's customs law, importers and exporters are required to truthfully declare the intellectual property status of their goods to customs and submit proof of legal authorization for any protected IP.
Violators who import or export goods that infringe on IP rights protected by Chinese laws and regulations face confiscation of the counterfeit goods and fines. In cases constituting a criminal offense, legal liability will be pursued.
"LABUBU," an elf-like character created by an artist under the Chinese toy brand Pop Mart, is currently a leading IP in the trendy toy market, attracting a fervent fanbase at home and abroad.
In April this year, the LABUBU 3.0 series officially launched in physical stores, sparking long queues worldwide. The hype grew further as celebrities like Rihanna and David Beckham shared photos of LABUBU products on social media.
Media reports indicate that due to LABUBU's explosive sales, both online and offline channels have struggled with supply shortages, with consumers frequently encountering out-of-stock situations or no restocking. This has prompted some manufacturers to produce counterfeit LABUBU products.
Wednesday's case is not the first of its kind. On April 23, Ningbo Customs detained a batch of nearly 200,000 goods suspected of infringing on LABUBU's copyright.
Pop Mart's management has repeatedly mentioned that the skyrocketing production curve is putting pressure on the company.
At Pop Mart's annual report meeting in March, Si De, chief operating officer of Pop Mart International Group, addressed the issue of product sell-outs and restocking challenges for LABUBU and other products. He stated that while sell-outs reflect strong market demand, they also indicate that excess demand far outpaces the supply chain's ability to scale.
Si emphasized that the company would adjust its supply chain as quickly as possible, increase production capacity, and optimize the entire production process to reach the most efficient state.