The recent report published by the Organisation for Economic Co-operation and Development (OECD) and the European Union’s Intellectual Property Office has brought to light a disturbing surge in the global trade of counterfeit and pirated goods. With the trade value of counterfeit products reaching a staggering $509 billion in 2016, constituting 3.3% of the total world trade volume, this trend has raised significant concerns among policymakers and industry stakeholders.
Moreover, the European Union (EU) is facing an even higher prevalence of counterfeit goods, with these products representing 6.8% of imports in 2016, amounting to an estimated value of $121 billion (€134 billion). This increase in counterfeit goods trade is particularly alarming given the ongoing slowdown in global trade dynamics.
While these figures primarily reflect customs seizures, the actual consumption of counterfeit products within countries and the digital piracy landscape on the internet are not accounted for. Public authorities are being called upon to step up efforts in combating this growing issue, which not only leads to financial losses for businesses and governments but also facilitates other criminal activities and poses risks to consumer health and safety.
Most significantly impacted by this illicit trade are companies based in OECD countries, notably in the USA, France, Italy, Switzerland, and Germany. However, non-OECD economies like Singapore, Hong Kong, China, and Brazil are also grappling with the challenges posed by counterfeit goods.
China has emerged as the world’s largest exporter of counterfeit products, with a substantial 47% share of seizures, followed by Hong Kong (16.4%) and India (3.4%). The range of counterfeit goods encompasses various sectors, from daily consumer items like footwear, cosmetics, and toys, to high-end luxury products and sophisticated electronics like smartphones.
In summary, the increase in counterfeit goods trade presents a complex issue that requires a collaborative approach involving governments, businesses, and consumers alike. Beyond the economic impacts, the proliferation of counterfeit goods has broader societal implications, underscoring the urgent need for effective strategies to combat this illicit trade.
For more information on the OECD report on counterfeit goods trade, you can visit the official OECD website here. Additionally, to explore the latest initiatives in intellectual property protection by the European Union, visit the EUIPO’s official website here.
