Counterfeit goods entering a supply chain, whether as a supplier’s undisclosed practice or a competitor’s copy flooding a target market, create both a commercial and a legal problem — and the countermeasures differ depending on which side of the problem you’re facing.
Counterfeit Risk From Your Own Supply Chain
A manufacturing partner substituting counterfeit or substandard components without disclosure is a real risk in cost-sensitive sourcing, connected to the supplier vetting and IP protection considerations covered in our other guides.
Counterfeit Competition in a Target Market
Separately, brands entering markets with weaker enforcement infrastructure sometimes discover counterfeit versions of their own product already circulating, undermining pricing and brand reputation before a genuine launch even happens.
Registering IP as a Precondition to Enforcement
Trademark and design registration in the specific target market, not just the home country, is a precondition to taking enforcement action against counterfeiters locally — enforcement generally isn’t possible without local registration in place first.
Customs Recordation Programs
Many customs authorities offer IP recordation programs allowing registered rights holders to have customs authorities proactively intercept suspected counterfeit shipments matching their registered trademarks, a genuinely useful tool once IP is properly registered locally.
Working With Local Counsel and Enforcement
Effective anti-counterfeiting action typically requires local legal counsel familiar with the specific enforcement mechanisms and courts in that market, since enforcement practicality varies considerably across our core coverage.
Protecting Your Brand and Supply Chain
We help clients think through counterfeiting risk from both the supply and market sides. Explore our advisory services or book a discovery call.
This article is general information, not legal advice.
Frequently Asked Questions
Is IP registration required before taking action against counterfeiters?
Generally yes. Trademark and design registration in the specific target market, not just the home country, is a precondition to taking local enforcement action against counterfeiters.
What is customs IP recordation?
A program many customs authorities offer allowing registered rights holders to have customs proactively intercept suspected counterfeit shipments matching their registered trademarks.
Can counterfeiting be a supply chain risk, not just a market risk?
Yes. A manufacturing partner substituting counterfeit or substandard components without disclosure is a real risk in cost-sensitive sourcing, separate from counterfeit competition in a target market.