articles · manufacture
Protecting your IP when manufacturing in China.
The fear is real; the folklore isn't helpful. The protections that work are specific, boring and mostly signed before your drawings ever move. Drawings now pass through more hands, and more software, than they used to, which makes the order of those protections matter more, not less.
skeelx · updated oct 2026 · 4 min read
First, the caveat that matters: this is practical guidance from the manufacturing side, not legal advice, so engage a specialist IP lawyer for your situation. What follows is the set of protections that do real work in practice, roughly in the order they should happen.
China is first-to-file. Act like it.
In China, trademark and design rights generally belong to whoever registers first, not whoever used the name or shape first. The classic horror story isn't theft of a secret; it's a brand discovering its own name was registered in China by someone else, sometimes a counterparty, entirely legally. If your product or brand has a future involving China (manufacturing there counts), talk to counsel about registering the trademark and any registrable designs early, before the first supplier conversation if you can.
NNN, not NDA
The Western NDA travels badly: it protects disclosure, is usually drafted in English under a foreign jurisdiction, and misses the failure modes that actually happen. The instrument built for this context is the NNN agreement (non-disclosure, non-use, non-circumvention): the counterparty may not share your information, may not use it to make products for anyone including themselves, and may not go around you to your customers. Drafted properly (in Chinese, governed by Chinese law, enforceable where the counterparty's assets are), it changes the incentive math. Signed before drawings move, not after.
Own your tooling, in writing
The moulds you paid for should be yours: named in the purchase order or a tooling agreement, with ownership, storage and the right to remove them stated plainly. Without that line, "your" tooling is a fact of goodwill, and moving suppliers later can mean paying for the same steel twice. This is a paragraph of prose that saves five figures, and it's standard practice on our manufacturing programs.
Share what the job needs, structure the rest
A supplier needs the drawings for what they make, rarely the whole product. Where a design genuinely warrants it, segment: sensitive subassemblies from one supplier, commodity parts from others, final assembly where you control it. Add the quiet hygiene: drawings watermarked and versioned, samples logged, and a paper trail that would make any later dispute short. Segmentation costs coordination, so it's a judgement call, not a default. Most products need a good NNN and tooling clause more than they need cloak-and-dagger.
The agent-native lens: where your drawings go now
When the buyer sends an assistant. Customers increasingly ask an AI assistant to find a product like yours, and an assistant can set a lookalike beside the original without knowing which is which. What can help it tell them apart is much the same evidence that helps a marketplace or a court: a registered trademark, one consistent product name, product data that matches across your own site and your authorised sellers, and a plain statement of where the genuine product is sold. A copy can borrow your photos. It can't easily borrow your registrations. Publish the facts an assistant would need to confirm origin, and keep them current.
When the business runs on agents. The newest leak path is often your own software. Drawings pasted into AI tools, design folders opened to agents, supplier chats summarised by third-party software: each can move your IP somewhere an NNN doesn't reach, because the NNN binds the factory, not your software vendors. Decide which tools may see which files, read their terms on data use, and keep the most sensitive drawings out of anything you haven't vetted. Agents can do useful work here too. They can log which revision went to which supplier and when, watermark outgoing drawings, and watch trademark registers and marketplaces for your name and for listings that reuse your images. What happens next, whether an opposition, a takedown or a hard conversation with a supplier, is a decision for people, with counsel.
The honest hierarchy
In practice, protection ranks like this: registrations first (they're cheap relative to the alternative), NNN terms before disclosure, tooling ownership in the order, segmentation where justified, and, underneath it all, a supplier relationship where the factory earns more by keeping you than by burning you. Contracts set the fences; a well-run program with staged payments and inspections is what keeps everyone inside them. That order holds as more of the work moves into software and agents: register, sign, own, segment where it's justified, and keep a record of where every drawing went.