The Dark Side of Trade — Combating Counterfeit Electrical Products

Combating Counterfeit

 

Dec 31 2015

 

Julie Chavanne

In recent years, local, federal and international authorities have combined efforts to thwart counterfeit operations and seize illegitimate products before they enter the marketplace. According to the International AntiCounterfeiting Coalition (IACC), the value of seizures related to intellectual property rights totalled US$1.22 billion in 2014.

Counterfeit products can unknowingly be used in manufacturing, military, critical infrastructure, and consumer product applications. They not only endanger the economic health of our nation but also more important, put the safety of our families, communities, and employees at risk.

In order to effectively address the issue across the electrical industry, ESFI conducted a 2014 survey to investigate perceptions regarding counterfeit electrical products as experienced by professionals. Respondents included manufacturers, distributers, contractors, and inspectors.

According to the survey, a solid majority are “extremely concerned” about counterfeit electrical products. Of the manufacturers surveyed, 63% considered counterfeit electrical products a threat to their business. Survey results showed that lighting and circuit breakers were the most frequently encountered counterfeit electrical products. Finally, one-third of survey respondents reported an encounter with a counterfeit electrical product and, even more alarming, they reported discovering an average of five counterfeits within the past 12 months.

Despite the potential danger, there is a striking disparity between the high rates of awareness about the counterfeiting issue in the electrical industry and the action taken to help combat the problem. Although more than 95% of ESFI survey respondents thought counterfeit electrical products were at least a moderate threat to public health and safety, more than half thought their company did not provide adequate training about issues related to counterfeits. Seventy-five percent of contractors reported that they do not have a process in place by which to report counterfeits if discovered. Lastly, of the subset who reported having discovered a counterfeit on the job, only half reported it to the manufacturer, the testing laboratory, or the government.

In Part 2: Identifying your best defence.

 


Julie Chavanne is Communications Director, ESFI; julie.chavanne@esfi.org. She promotes ESFI through media relations, marketing, public relations, and communications. This article was first published in the December 2015 issue of the National Electrical Manufacturers Association magazine ei.

 

 

Related Articles


Latest Articles


Changing Scene

  • ABB Among TIME’s World’s Most Sustainable Companies

    ABB Among TIME’s World’s Most Sustainable Companies

    June 30, 2025 ABB has been ranked 14th in TIME’s “World’s Most Sustainable Companies 2025” and third in Switzerland across all industries. TIME and Statista assessed over 5,000 of the world’s largest and most influential companies, considering factors such as revenue, market capitalization, and public prominence. The top 500 companies from 35 countries and 21 industries were… Read More…

  • New Partnership to Deliver 1,000 Affordable Housing Units Across Quebec

    New Partnership to Deliver 1,000 Affordable Housing Units Across Quebec

    June 25, 2025 The governments of Canada and Quebec, together with Desjardins, have announced the construction of 1,000 new affordable housing units over the next three years. These housing units will be created as part of the Desjardins Affordable Housing Initiative, a partnership launched in 2022 that will now enable the delivery of over 3,000 affordable housing units… Read More…

  • CIB Closes $50M Loan with Dream Industrial REIT to Fund Large-Scale Commercial Building Upgrades

    CIB Closes $50M Loan with Dream Industrial REIT to Fund Large-Scale Commercial Building Upgrades

    June 30, 2025 The Canada Infrastructure Bank (CIB) and Dream Industrial Real Estate Investment Trust have finalized a $50 million loan to fund commercial property retrofits related to energy efficiency savings and emissions reductions at 34 warehouses in Alberta, Ontario and Quebec. With buildings currently accounting for 18% of Canada’s total emissions, investments from the… Read More…

  • Province, BC Hydro Launch Pilot Program to Cut Energy Costs, Support Housing Density

    Province, BC Hydro Launch Pilot Program to Cut Energy Costs, Support Housing Density

    June 25, 2025 In a Canadian first, the Province and BC Hydro have launched a pioneering pilot project in Vancouver that has the potential to set new standards for supporting growing housing priorities and densification in Canada. Designed to support the transition from single-family homes to multi-unit residences, the initiative is exploring how full electrification –… Read More…