ITC Probes Eye Makeup Packaging Trademark Drama
Published Date: 2/25/2025
Notice
Summary
The U.S. International Trade Commission is asking for opinions on how to handle a case about certain eye cosmetics and their packaging that might be breaking trademark rules. This affects companies importing or selling these products in the U.S., with possible changes to sales or imports coming soon. If you’re involved or interested, get ready to share your thoughts before the deadline to help shape the outcome and any financial rules like bonds.
Analyzed Economic Effects
4 provisions identified: 1 benefits, 2 costs, 1 mixed.
Possible import ban for eye cosmetics
The Commission may order an exclusion order that could stop the named eye cosmetics and related packaging from being imported into the United States, and/or issue cease-and-desist orders requiring respondents to stop unfair acts in importation and sale. These remedies are authorized under section 337 of the Tariff Act of 1930 and could block the entry or sale of the subject articles.
Limited exclusion sought against named firms
On January 26, 2025, the complainant requested immediate limited exclusion orders against four defaulting respondents: Kaibeauty, I'll Global, Hikari, and Kelz Beauty, and indicated it is not seeking a general exclusion order. The request targets those specific importers rather than a broad ban on all similar products.
Imports may enter under bond during 60-day review
If the Commission orders a remedy, the U.S. Trade Representative has 60 days to act; during that 60-day period the subject articles would be allowed to enter the United States if the importer posts a bond. The bond amount would be determined by the Commission and prescribed by the Secretary of the Treasury, and the Commission is seeking submissions on the appropriate bond amount.
Public-interest factors will shape any remedy
When deciding whether and what remedy to order, the Commission will consider public-interest factors including effects on (1) public health and welfare, (2) competitive conditions in the U.S. economy, (3) U.S. production of like or directly competitive articles, and (4) U.S. consumers. Parties are invited to file written submissions addressing these factors.
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