Selling Goods from China Under the Made in Italy Label

The "Made in Italy" label is a key element in creating a product's image in international markets, especially when the product is manufactured in other countries but assembled or processed in Italy. Recently, a client approached us for consultation on how to sell products made in China under an Italian brand, using the "Made in Italy" label in EU countries. This task involved both legal and commercial aspects, requiring a comprehensive analysis.

The client needed to make a critical decision that would impact the entire project's economy and the business structure abroad. In such cases, consultation and preliminary legal analysis play a crucial role. The client wanted to:

• Use the Italian brand to increase trust and sales, targeting international markets.
• Ensure the legality of the "Made in Italy" label to avoid reputational and legal risks.
• Minimize production costs by keeping primary operations in China while creating value in the Italian market.

Our task is to help the client not only identify legal risks but also find the optimal solution that allows them to legally and effectively implement the project. How did we assist the client in adapting their strategy to the realities of the European market, ensuring the legality of the "Made in Italy" label, and, most importantly, balancing cost minimization with compliance with legal standards? Keep reading to discover all the details.

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Analysis and Recommendations for Using the "Made in Italy" Label to Enter the European Market

As part of our legal consultation, we conducted a detailed analysis of the use of the "Made in Italy" label. We understood that a successful strategy must consider not only formal regulations but also potential risks. Therefore, we covered all key aspects: from verifying the conditions under which the "Made in Italy" label can be applied to Chinese-made goods, to the nuances of the manufacturing process and evaluating reputational threats. This approach allowed us to provide our client with the most beneficial and legally sound solutions, ensuring they can confidently enter the European market with the legitimacy of their operations. In our prepared consultation, we focused on the following aspects:

1. Verification of the conditions for using the "Made in Italy" label

We examined the regulations governing the use of the "Made in Italy" label. According to European and Italian laws, a product can be labeled with this mark if:

• The main transformation or processing occurs in Italy.
• The product gains new value or functionality within Italy.
• There is a significant contribution to adding value, distinguishing the product from simple imports.

For example, if a product manufactured in China undergoes final assembly, painting, processing, or packaging in Italy, it can qualify for the "Made in Italy" label. However, these operations must be substantial.

2. Recommendations for organizing operations

We suggested a scenario for the Client in which significant manufacturing processes are carried out in Italy:

• Import of semi-finished goods: Importing components or semi-finished products from China.
• Final processing: Organizing the process of assembly, testing, logo application, parts processing, or unique packaging in Italy.
• Adding value: For example, applying Italian design or conducting operations that enhance the consumer value of the product (e.g., certification).

3. Legal aspects and documentation

We explained to the Client that confirming the right to use the "Made in Italy" label requires the preparation and submission of several documents:

• Certificate of origin: Issued by the Italian Chamber of Commerce, confirming that the product has undergone substantial transformation in Italy.
• Declaration of origin: A document in which the company itself certifies that the conditions for labeling are met.
• Technical documentation: A detailed description of the manufacturing process to prove the significance of the operations carried out in Italy.

4. Risks and warnings

We separately highlighted the potential risks of improper use of the "Made in Italy" label:

• Legal liability: Misuse of the "Made in Italy" label may be classified as misleading the consumer, which is punishable by fines and a ban on the sale of products.
• Reputational risks: Violating the rules undermines trust in the brand and can lead to long-term financial losses.

5. Commercial strategy recommendations

We suggested that the Client:

• Invest in creating an Italian company (factory) to carry out final operations, which will increase consumer trust and simplify the legal confirmation of origin.
• Consider using the "Designed in Italy" label for products that do not meet the conditions for "Made in Italy." This approach also emphasizes the connection with Italy but does not require strict manufacturing requirements.

As a result of our consultation, the Client now has a clear action plan, including legal justification, recommendations for organizing production processes, and an analysis of commercial risks. This enabled the Client to develop a strategy for entering the European market with minimized costs and reputational risks.

If you are also facing the task of entering the international market or have questions about the legal aspects of product labeling, don’t delay the consultation! We are ready to offer you professional support that will ensure the success of your business in any legal situation.

Contact us, and we’ll help you take the right step, providing personalized solutions that reduce risks and ensure stable growth for your business in the international market!

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