Chinese kiwifruit firm Nantong Xishu Fruit Trade Co, which is based in the Jiangsu Province, has been forced to pay compensation to New Zealand Zespri Group and ordered to cease using the latter's trademark sun emblem.

The ruling was given on 3 July by the Shanghai No 1 Intermediate People's Court following last year's referral of the matter to the local marketing watchdog, after Zespri employees had discovered that the Chinese company's Znishio-branded kiwifruit also bore a sun emblem.

Xishu's claims that the trademark was different and would not confuse consumers, and that the sun emblem was so commonly identified with kiwifruit that it could not belong to a single company, could not sway the court. Xishu was told to pay Zespri 300,000 yuan (US$43,668).