Last week, new revisions were officially adopted into the People’s Republic of China Trademark Law. Beginning November 1, 2019, trademarks that are filed in “bad faith” can be wiped from the books. Trademark agencies responsible for representing those bad faith actors will also be subject to a fine.

Taking a stronger hand with trademark squatters may go a long way towards enticing previously reluctant U.S. technology companies to take advantage of the Chinese marketplace, which from a regulatory perspective has been akin to the Wild West. However, many could just as easily hold back to ensure that the country’s latest attempt to woo commerce is more than just an empty gesture.