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From China to Hong Kong, the paradise of counterfeit goods. How does the global counterfeit market operate?

COMERCIO CHINA

COMERCIO CHINA
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The global counterfeit market is growing—and doing so in an increasingly sophisticated way. Behind this phenomenon lies a geography centered on three Asian regions: China, Hong Kong, and Turkey account for the majority of the origin of counterfeit products circulating in international trade. This is revealed in the report Fakes and dupes in consumer goods by Statista, which identifies these regions as the main production hubs for illicit goods, driven by their industrial capacity, logistics networks, and access to global markets.

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According to OECD data cited by Statista, China accounts for 47% of the value of counterfeit goods seized globally, followed by Hong Kong with 27% and Turkey with 15%.

These figures position these three territories as the core of a global network supplying markets in the Americas, Europe, and Asia.

This concentration is due to their strong manufacturing presence, particularly in sectors such as:

  • Textiles and fashion.
  • Electronics.
  • Toys.
  • Consumer accessories.

Why does China dominate the global counterfeit market?

China not only leads in counterfeit production, it is also one of the world’s top exporters, with $3.6 trillion in international trade. Its dominance is explained by several factors:

  • Extensive industrial infrastructure.
  • Competitive labor costs.
  • Integration into global supply chains.

The report highlights that many counterfeit products are manufactured in the same regions where legitimate goods are produced, facilitating access to materials, technology, and production processes.

Hong Kong and the distribution of counterfeit goods

Hong Kong, with 27% of the value of seizures, primarily functions as a logistics and re-export hub. Thanks to its port infrastructure and strategic position in Asia, the territory enables:

  • Shipment consolidation.
  • Redirection of goods.
  • Facilitation of exports to Western markets.

This makes Hong Kong a key point in the distribution chain, even when production takes place elsewhere.

Why is Turkey among the main sources of counterfeit goods?

Turkey, with 15% of the value of counterfeit goods seized, stands out as a relevant player, especially in the textile sector.

The country is one of the world’s leading textile exporters, with an industry valued at over $15 billion, which facilitates the production of imitation clothing, footwear, and accessories.

In addition, its location between Europe and Asia makes it a strategic point for trade toward European markets.

Which markets receive the most counterfeit goods?

The main destination for these products is the United States, which accounts for 39% of counterfeit goods seized globally by volume. It is followed by countries such as Germany (27%) and Belgium (13%).

These countries share key characteristics: high consumption, advanced logistics infrastructure, and a strong presence of e-commerce.

Which sectors are most affected by counterfeiting?

The report identifies that the most counterfeited products globally are:

  • Clothing, footwear, and leather goods, which lead in volume.
  • Electronics and watches, which account for higher economic value.

The combination of high demand, ease of production, and brand recognition makes these sectors prime targets for illicit networks.

What is the economic impact of this global counterfeit network?

The trade in counterfeit goods represents approximately 2.3% of global imports, equivalent to hundreds of billions of dollars. Additionally:

  • In the European Union, 152 million counterfeit items were seized in 2023.
  • In the United States, seizures reached $5.4 billion in 2024.

Beyond the figures, the impact includes job losses, tax evasion, and damage to innovation.

 

 

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