More Counterfeit Replacement Parts

posted by Prashant on October 3rd, 2006

For most motor vehicle product manufacturers, the company’s intellectual property is perhaps its greatest asset. However, more and more suppliers are finding out that their intellectual property rights are being violated and, ultimately, their brands are at risk.

Intellectual property right violations can occur in several forms including:

• Counterfeiting
• Diversion/Gray Market
• Country of Origin
• Non-Compliant Products

While intellectual property right violations can cost manufacturers hundreds of millions of dollars, it also cause a major safety risk to consumers who unknowingly have their vehicles repaired with counterfeit and/or non-complaint products.

It is more important than ever for a products manufacturer to protect their brand(s). This information is intended to help educate and provide valuable resources for the products manufacturer to deal with this growing challenge.

Knockoff Alternators

Most counterfeit auto parts are hard to tell apart – even by the professional mechanics. Here a counterfeit alternator (on the left) is show next to a genuine alternator.

Knockoff Brakepads

Even the packaging is counterfeited. This makes it eve more complicated to tell a counterfeit brake pad (left) from a genuine product. This raises enormous safety concerns as well.

Federal Government Involvement

In March 2006, at the urging of the automotive parts industry, President Bush signed into law the Stop Counterfeiting in Manufactured Goods Act.

Counterfeit Bust

This recent seizure in Queens (shown is Queens District Attorney Richard Brown) helped stop the flow of counterfeit product to taxi and limousine companies. This distributor has been busted three times in the past two years.

Knockoff Bumpers

Numerous bumpers and other body parts were uncovered at a recent counterfeit seizure.

Knockoff Oil Filters

Here are the results of one bust. Products that are most often counterfeited are those that are replaced most often such as air and oil filters, brake pads, belts and hoses, mechanical parts such as alternators and starters – to name just a few.

Broken open, you can see how a counterfeit oil filter (shown on the right) will not protect your vehicle’s engine. This can cause you to spend hundreds or thousands of dollars on repairs that were not needed.

Knockoff Manufacturing

The “manufacturing” process often is quite unsophisticated and lacks the testing and quality control found with genuine products. Additionally, materials are generally inferior which compromises safety, reliability and durability.

Counterfeit Material Seizure

While counterfeiting occurs all over the world, China has been one of the worst offenders. Overall, counterfeiting costs auto part manufacturers more than $3 billion alone in the United States and more than $12 billion globally.

Investigations, seizures and litigation cost U.S. manufacturers thousands of dollars that they are unable to invest back into their companies and can cost many U.S. citizens their jobs.

Police, customs and other law enforcement agencies document their seizures before destroying all counterfeit product.

Knockoff Starters

Often times you cannot tell the difference between a counterfeit (left) and a genuine product. Shown are starters.

Source: http://aftermarketsuppliers.org/issues/counterfeiting.php