The Zhongshan Pearl River Drinks Factory in southern Guangdong province that had registered the brand name "face book," produces food products like potato chips and canned vegetables.
"Under Chinese law, a multinational with a globally-recognised brand must prove that its trademark is also well known within China," the Financial Times reported on Monday.
Along with other social media platforms like Twitter, Facebook is currently blocked to nearly 700 million Internet users in China. Although many people are using virtual private networks (VPNs) to access the site which allow them to circumvent the "Great Firewall".
Facebook CEO Mark Zuckerberg has been trying to break the ice with China for years.
He has met Chinese President Xi Jinping during his visit to the US last year.
The Facebook founder has met China's chief censor officer at his home in San Francisco and reportedly had a meeting with the head of the ruling Communist party's propaganda apparatus.
In March this year, Zuckerberg was seen jogging through Tiananmen Square with the famous gate to the Forbidden City imperial palace in the background. He was in Beijing to attend the China Development Forum 2016.
Zuckerberg also met Alibaba Group Holdings's executive chairman Jack Ma and discussed about innovation during the visit.
Ma said Zuckerberg respected Chinese culture, adding that oriental culture and western culture should learn from each other and work collaboratively for a better future.
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