Product counterfeiting is a serious and rapidly growing problem for European engineering companies with implications far beyond the brand image. The safety and health of consumers are also often at stake. The International Chamber of Commerce estimates that counterfeiting accounts for between 5-7% of world trade in value terms. Even if it were to reach a level of only 1% for the engineering products, this would represent an annual loss of over EUR 10 billion to the European engineering industry.

The engineering sectors most affected by counterfeiting are the electrical industry (in particular electrical appliances, kettles, electrical installation material) and a large range of sectors in the mechanical engineering and metalworking sectors: hand and measuring tools, cooking utensils, locks, taps, valves and fasteners. Suppliers to these industries also fall prey to counterfeiters.

 

 

 

 

Orgalime has called on the Commission, which is already active in a number of areas, to promote more actions on the external markets in both countries producing counterfeits and those importing them, and to push for an improvement in the application of existing regulations.

Orgalime launched its action in this area in 2000, followed up in 2001 with a workshop to heighten the awareness of the authorities (Commission and European Parliament) to the problems our industry is facing, as well as to discuss what measures companies are already taking today to counter the threat and what further steps they would like to see taken. Summary of main conclusions

Following the workshop, a practical guide on counterfeiting was published. See Combating Counterfeiting - A practical guide for European engineering companies.

 

Picture Courtesy of Strix Ltd