Friday, 23 January 2015

MAHLE warns of counterfeit components

With the convergence of markets, the elimination of borders and trade barriers, not to mention the Internet, the business of counterfeiting is becoming increasingly prevalent

According to estimates by the German Anti-Counterfeiting Association, approximately five to seven per cent of global trade volume is made up of fake goods: piracy and counterfeiting are increasingly destroying capital and workplaces, damaging the industry, motor factors, installers and ultimately endangering the end member.

As a manufacturer of innovative, high-quality vehicle components, MAHLE is far from safe from counterfeiting—whether it involves trademarks, patents, or registered designs. With wide-ranging measures across diverse fields, MAHLE is actively fighting against these illegal acts and supports its trading, motor factor and engine repair partners in the identification of fake goods. Its engine part, turbocharger and thermostat packaging for example, is equipped with intricate Tec Identify labels, which offer a high degree of protection against counterfeiting and the option of online verification.

MAHLE products usually fulfil safety-related functions in vehicles. If cheap, poor-quality replicas are used in their place, they can lead to anything from serious engine damage to life-threatening situations for the passengers (e.g. fire hazard due to leaking fuel filters of low-grade production).

Of course, safety also has its price. Complex functionality, ultra-high fit and load capacity, perfect co-ordination with other components and high mileage are only some of the demands the vehicle components of today must meet in order for a vehicle to operate freely and safely. Similarly demanding are the specifications concerning development, material selection and manufacturing in relation to original equipment products. In addition, the financial investments that are required are equally high. Forgers cannot and will not make such investment and therefore, quite simply, recklessly endanger the lives of passengers.

Anyone who deals with counterfeit products makes themselves liable. Ignorance does not protect against legal ramifications: the law requires that factors check their goods before they are brought into circulation—particularly when evidence of a potential illegal replica comes to light.

If forged goods are discovered at a wholesaler, then the goods must be withdrawn and investigated. Following extensive checks, the goods are then confiscated and destroyed and the manufacturer will face a large fine.

The handling of low-grade products can also have far-reaching effects on the workshop, particularly when an accident or breakdown occurs following the replacement of a part and it is not possible to claim consequential damages under the warranty from the alleged original parts manufacturer. Even such small things as loss of power following a visit to a workshop can lead to the customer losing trust and the workshop losing a valued customer.

Therefore MAHLE advises workshops to only purchase goods from trustworthy wholesalers and investigate bargain offers particularly thoroughly.

In order to hinder the production of illegal replicas and track down the counterfeiters, MAHLE’s strategy of attack covers a variety of levels and diverse fields:
• Protecting product development from data theft
• Surveillance of production
• Constant market observation via Internet research and price analyses
• Test purchases from suspect wholesalers, including at international trade shows
• Global customs operations and training to help prevent the import and export of conspicuous goods within the boundaries of Membership of the WCO (World Customs Organization)
• Equipping packaging with a variety of security features
• Product training for dealers and repair shops
• Evaluation of customer feedback

The impact of this package of measures is strengthened through intensive cooperation with the authorities and other companies within the automotive industry. With a regular exchange of information about suspect sources, the measures that have been implemented and the experience gained, more effective strategies against piracy and counterfeiting can be developed and realised.

Every occurrence of piracy or counterfeiting discovered by MAHLE will be prosecuted. The company employs a zero-tolerance policy against manufacturers of fake goods. The legal measures that can be taken range from cease-and-desist declarations and confiscation of the goods to criminal complaints with large claims for damages.

If a case of piracy or counterfeiting is suspected, or if workshops have any questions on this subject, simply send an email to: anti-counterfeit@mahle.com