SOURCE / ECONOMY
Founder of Chinese cosmetic brand Lin Qingxuan accuses Chanel of unfair competition
Published: Jan 05, 2022 04:50 PM
Villagers of a camellia planting cooperative pose for a group photo at Gumu Village in Luzhai County of Liuzhou City, south China's Guangxi Zhuang Autonomous Region, May 10, 2020.(Photo: Xinhua)

Villagers of a camellia planting cooperative pose for a group photo at Gumu Village in Luzhai County of Liuzhou City, south China's Guangxi Zhuang Autonomous Region, May 10, 2020.(Photo: Xinhua)



The hashtag "Founder of Lin Qingxuan accuses Chanel of unfair competition" became a trending topic on China's Twitter-like Sina Weibo on Wednesday, with Chanel's new red camellia skincare line set to launch on the same day. 

Sun Laichun, founder of Chinese domestic cosmetic brand Lin Qingxuan, said on Monday via his official Weibo account that Chanel launching the red camellia line was "premeditated" while stressing that Chanel had recruited several employees from Lin Qingxuan in 2021. 

According to Lin Qingxuan's official website, the brand was established in 2003 with product lines concentrating on camellia ingredient. 

Sun said in his post that Lin Qingxuan has been working on innovative skincare products with the red camellia ingredient from China for 12 years, and that Chanel is mostly famous for using white camellia, the brand's aesthetic symbol. 

Sun also noted that red camellia mainly grows in East China's Jiangxi and Zhejiang provinces, with 90 percent of the species originating from China, and the other 10 percent found in Southeast Asia, Japan and South Korea. Therefore, Chanel does not have the heritage to launch skincare products using red camellia as the species does not widely exist in Europe and America. 

However, Sun's accusations have also sparked discussions and controversies among Chinese netizens. 

"Just focus on making the products with higher quality instead of the hype," one netizen commented on Sun's post. 

"Who said the same skincare ingredient can only be used by one cosmetic company?" another netizen wrote. 

Lawyers pointed out that the accusation of unfair competition needs facts to support. If there is evidence proving that Chanel has infringed Lin Qingxuan's trade secrets in the development of its red camellia lines, Lin Qingxuan could claim that Chanel engaged in unfair competition violating regulations, the paper.cn reported, citing a lawyer, adding that only the similarity of the products is not enough to prove the infringement of trade secrets. 

Chanel has not responded to Sun's comment and to global times' interview request as of press time. The brand posted a video on its official Weibo account on Wednesday, saying that it will soon reveal its new skincare line. 

The sale of Lin Qingxuan's products during the annual "double eleven" shopping festival in 2021 reached more than $200 million yuan ($31.47 million), up 143 percent year-on-year, domestic site chnfund.com reported.


Global Times