The Shanghai “A” foreign company had an online owned-business flagship store that it sold the costumes of the company. Recently, European headquarters had issued a new product and made an Ads video shortcut of the new product. The “A” foreign company had uploaded directly this Ads video on its flagship store to spread. But a carefully consumer found and reported that the colour of Taiwan Island and the colour of China mainland and Hainan Island had been varied according to the Chinese map appeared in this video. Due to this Ads had used illegally Chinese map and been suspected of being involved in approving Taiwan independence. Besides, this video had been lots of clicked and spread, causing broad worse influence. After that the “A” foreign company had been fined 200,000RMB by Shanghai Advertising Supervisory Department. It would be made publicly this punishment record as well. So this punishment had led the company original pretty image to damage seriously. Then the sales performance also had slumped.

DongJin Remind:

Involving the illegally advertisings of China sovereignty are the key regulatory directions by China Advertising Supervisory Department. Also it is the ‘RED LINE’ which enterprises cannot touch absolutely. Many of foreign companies are punished because most of them have little sensitive in politics and are little strict in ads checking. Expect of them are deliberate. Lots of European countries advertising and ads products companies use the Chinese map which doesn’t match the requirements of Chinese government. If overseas companies in China release ads in China markets directly without checking strictly, the advertisings that base on irregular maps will be recognized as illegal ads to be punished on a high probability. In consequence, DongJin notices related enterprises strengthen the check of involving Chinese map in ads, in order to get unnecessary punishments and losses.

Mike Chang

Partner

mikechang@shanghaiinvest.com