Damage to the Global Economy From Counterfeit Goods Exceeds $300 Billion; Risk of Injury, too

Counterfeit goods caused an estimated $323 billion of damage to the global economy in 2018, a conservative estimate. 

These fake products, according the the Visual Capitalist, which pretend to be genuine by using similar design and packaging elements, are not only damaging to the reputations of real brands – they also lead to massive issues for consumers, including the possibility of injury or death.

The International Chamber of Commerce estimates that the value of international and domestic trade in counterfeit and pirated goods in 2013 was $710 -$ 917 Billion – almost a trillion dollars. In addition, the global value of digital piracy in movies, music and software in 2015 was $213 Billion.

The ICC estimates wider economic costs associated with the effects of counterfeiting and piracy resulted in “net global job losses in 2013 between 2 and 2.6 million, and we project net job losses of 4.2 to 5.4 million by 2022.”

40% of Online Brand Purchases are Fakes

“More than 25% of consumers have unwillingly purchased non-genuine goods online – and according to a test by the U.S. Government Accountability Office, it was found that two of every five brand name products they bought online (through 3rd party retailers) were counterfeits.”

Some of the most common knockoff goods are cosmetics, medications, vitamins and supplements and replacement parts, such as chargers, in vehicles and appliances.

Software, Clothing, Electronics and More

Many products you might buy, says Consumer Reports, are common targets for unauthorized duplication, including artwork, autographed items and other memorabilia, and perfumes, computer software, designer clothing, jewelry, music, videos, and sporting goods.

“Although some sellers knowingly hawk counterfeit goods, others may be duped themselves,” says Consumer’s. “The auction giant eBay, for example, doesn’t allow replicas, counterfeit items, or unauthorized copies to be sold on its site. But that hasn’t prevented such items from showing up there.”

If you think you are the victim of a fake or unsafe product, contact IPRCenter.gov.

Image source: visutalcapitalist.com

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