In a significant breakthrough against the distribution of counterfeit auto parts, a recent raid was conducted in Jebel Ali Free Zone by ATB Intellectual Property in collaboration with the Authorities revealed a sprawling warehouse in UAE housing over 10,000 fake auto parts and auto part packaging.
Following our team’s identification of this target, our team, in close coordination with the authorities, initiated an inspection to prevent the movement of these illicit goods. During the inspection, we were shocked to reveal a considerable stock of counterfeit auto parts of various renowned brands belonging to our clients. These auto parts ranged from filters, pumps, pistons bearings, and gaskets to turbochargers, actuators, engines, pumps, thermostats and many more. The counterfeit parts were successfully seized by our team in collaboration with the UAE Authorities for necessary legal implication.
Counterfeit auto parts are often made with inferior materials and are of poor quality. They certainly do not match the safety standards as genuine parts, as a result of which, they cause fatal accidents and injuries. Not only this, the production and distribution of counterfeit auto parts are often linked to organized crime networks such as drugs, trafficking, or terrorism.
What happens if one uses, promotes, or chooses to ignore the existence or spread of the flow of counterfeit auto parts:
Safety: Counterfeits of auto parts, more often than not, are low in quality in comparison to genuine auto parts, which amounts to hazardous safety issues for not just the drivers and passengers but also other passersby on the roads.
Product liability on the brand owner: Brand owners may face product liability claims if counterfeit parts cause harm or damage to consumers or their property.
Reputation dilution: Naturally, apart from the above losses, companies/brands will face dilution of their reputation, eventually losing the trust of their valued customers.
Loss of revenue: The most evident issue faced due to the spread of counterfeits in the market is the loss of income for the authorized manufacturers and distributors of such brands.
Environmental impact: No prior checks conducted on counterfeit auto parts make them highly susceptible to damaging the environment These harmful counterfeit auto parts are often produced and distributed across international borders. Therefore, the brand owners must collaborate closely with Law enforcement firms and Authorities to share intelligence, coordinate efforts, and conduct joint operations against such counterfeiters.
Further, providing adequate resources and training to local Authorities is another beneficial factor in combating counterfeit auto parts at the root. Strengthening their capabilities in identifying counterfeit operations, conducting investigations, and seizing counterfeit parts is the only way to successfully combat counterfeiters’ supply chains.
In this regard, the brand owners have a responsibility to take necessary measures to combat the spread of counterfeit parts and protect their consumers. Brand owners can play a vital role in eradicating counterfeit auto parts from the market. Our team at ATB IP are driven to help brand owners take such actions in the most seamless manner to ensure brand reputation and increase consumer trust and contribute to a safer and more reliable automotive industry.
