Recently, according to relevant media reports, for many years, counterfeit goods such as "brand-name watches", computer software, DVD movies, and tennis shoes made by China have been a heart disease for global manufacturers. Recently, counterfeiters in China have once again become passionate about producing counterfeit auto parts. In addition to causing losses to genuine manufacturers, counterfeit auto parts also pose potential safety hazards to consumers, and genuine manufacturers may also be able to go to court once counterfeit parts fail.
Brian Dugan, director of international affairs for the American Motor Vehicle and Equipment Manufacturers Association (referred to as MEMA), said that in the past two years, the number of counterfeit auto parts produced in China has risen in a straight line.
Dugan said that counterfeit car parts are mainly from China. In addition, companies in India, South Korea and other countries also produce fake car parts. Tom Stom, general manager of services and parts marketing at General Motors, said that Chinese counterfeiters mainly produce the most commonly used components, such as automotive fluids, brake pads, engine oil, fuel filters, spark plugs, batteries, and gear. Wind glass and so on.
Manufacturers of car parts in Japan and Europe also feel uneasy about the flaws in counterfeit products. The European Union Chamber of Commerce in China established a special task force in April 2003. The first task is to crack down on the counterfeiting of auto parts. Although the special task force commended the Chinese government for laws and regulations that protect intellectual property, it also criticized the existence of weak law enforcement in China. The working group stated that the investigation of counterfeiters was not strict enough and did not play a deterrent role at all.
Car makers in Europe and the United States are concerned not only about losing their income, but they are also worried that counterfeit goods will damage the company's brand image, cause consumer dissatisfaction, and increase the cost of providing quality assurance for products that they do not produce. MEMA's Dugan said that if the product fails to perform its intended function, consumers may find the manufacturer to claim compensation. Auto manufacturers can see if there is a sharp increase in quality complaints to determine whether there are fake and shoddy goods in the market. Parts manufacturers also worry that if counterfeit products have quality defects, they may be involved in legal disputes.
U.S. officials have protested to the Chinese government the counterfeiting of auto parts, but this has had little success. They also complained that they did not have the full support of American companies in this matter. Dugan said U.S. companies are reluctant to publicly offend the Chinese government because they fear that doing so will have a negative impact on their business in China. Dugan said U.S. companies are generally worried about retaliation. If the officials of the relevant government departments want to make things difficult for them, they can do it completely and these companies are within their jurisdiction. Dugan said that MEMC members would therefore prefer to adopt a more stringent control over their distribution channels to ensure that their agents do not sell counterfeit parts.
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