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Knock Off Product Cause Auto Industry to Lose Trillions Annually

Translator

Editor

15 November 2018 14:32 WIB

TEMPO.CO, Jakarta - The Indonesian Anti-Counterfeiting Society (MIAP) together with the International Trademark Association (INTA) held a discussion today on preventing the spread of counterfeit and illegal products as a means to protect consumers.

According to the report from INTA and the International Chamber of Commerce, the global counterfeit and pirated product industry is believed to reach an economic value of US$2.3 trillion by 2022. 

Read: GIIAS 2018; Jokowi Mentioned 3 Challenges in Automotive Industry 

Domestically, MIAP survey shows that the economic loss from counterfeit activities showed a growing trend annually. The loss in 2005 of Rp4.41 trillion increased significantly to Rp65.1 trillion in 2014.

Asked upon the automotive market that is known to be saturated by knock-offs, MIAP Chairman Justisiari P. Kusumah explained that counterfeit products will always exist as long as there are demands. However, he maintained that it is now up to society to eradicate it by further educating the consumers.

“What is the risk of using fake brake pads, what’s the risk of using fake brake disks? It would affect the braking distance. Things like that are what we must educate to consumers,” he said. 

Justisiari acknowledged that some people choose counterfeit automotive products to save money and suppress personal expenses but he maintained that, “It is much more important to save a life.”

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