Trade in Counterfeit ICT Goods

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Author(s):
OECD
28 Mar 2017
Pages:
92
ISBN:
9789264270848 (PDF) ;9789264270824(print)
DOI: 
10.1787/9789264270848-en

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Recent years have witnessed a constant rise in the spread of ICT (information and communication technologies) infrastructure and a growing demand for ICT goods. The production of these goods is knowledge intensive and the industry relies extensively on intellectual property (IP) rights. This strong and growing demand for ICT goods, and their IP dependence, makes them an attractive target for counterfeiters. This study looks at the trade in counterfeit ICT goods, including the size of the trade, the main sources of fake goods, and the countries whose companies are most affected.

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  • Mark Click to Access
  • Preface and Foreword

    Recent years have witnessed a constant rise in the spread of ICT infrastructure and growing demand for ICT goods worldwide. The development of ICT products is highly knowledge-intensive and the industry relies extensively on intellectual property (IP) rights. Strong, growing demand for ICT goods, coupled with their IP dependence, makes them an attractive target for counterfeiters. Consequently, trade in fake ICT goods gives rise to significant challenges to effective governance, efficient business and the well-being of consumers.

  • Acronyms and abbreviations
  • Executive summary

    The information and communications technology (ICT) sector is marked by strong growth. Demand for ICT goods is high and growing worldwide, and ICT infrastructure is constantly expanding. Unfortunately, ICT goods are also an attractive target for counterfeiters. ICT products are highly knowledge-intensive, and protected with intellectual property, and therefore vulnerable to copying.

  • The study scope, definitions and rationale

    This case study identifies and quantifies the categories of information and communications technology (ICT) products affected by counterfeiting, and charts and analyses the evolution of counterfeit trade routes in terms of origins, key transit points and destinations. It also explores methodologies and techniques that could be used to improve the measurement of the magnitude of counterfeit trade in the ICT sector. This chapter defines some key terms used in the report, including ICT and counterfeiting, and introduces some of the threats posed by the trade in fake ICT products and components.

  • The importance of the ICT sector and threats posed by counterfeiting

    The information and communications technology (ICT) sector is important and rapidly growing, accounting for 5.5% of the OECD’s total value added in 2013, equivalent to about USD 2.4 trillion. This chapter provides the economic context for the sector, including the universal strong and growing recent demand for ICT goods, and the sector’s transformational potential. It explores reasons behind the prevalence for counterfeiting in the sector, as well as outlining some of the threats this poses.

  • Mapping global patterns in counterfeit ICT goods

    This chapter presents a wealth of information on the global scope of counterfeit ICT goods, their provenance economies, and the economies of registration of right holders whose IP rights were infringed. It draws on a unified database created from three regional and global databases of customs seizures between 2011 and 2013.

  • Assessing the trade in counterfeit ICT products

    This chapter uses econometric analysis to look behind the descriptive data in Chapter 3. The analysis identifies the key provenance economies of ICT products, indicates the scope of counterfeit trade in ICT products, and estimates the total value of trade in counterfeit ICT products.

  • Charting the trade routes of fake ICT goods

    This chapter charts the trade routes of fake ICT goods. It identifies which provenance economies appear to be producing fake ICT goods, and which are transit points in international trade. It does so by comparing the General Trade-Related Index of Counterfeiting (GTRIC) indices calculated in the previous chapter with data on ICT industrial activities.

  • Trade in counterfeit ICT goods: Conclusion

    The findings of the quantitative assessment of the trade in counterfeit information and communications technology (ICT) products detailed in this report have serious implications for businesses, consumers and governments. This concluding chapter summarises the key implications and proposes some next steps for policy makers as part of their efforts to counter illicit trade.

  • Annexes
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