More counterfeit parts in transport industry
The grey market problem is particularly widespread throughout Asia and the Middle East too. Middle Eastern business resource, ‘AME info’, says commercial fraud costs the United Arab Emirates around $136 million per year, with a large part of that figure attributed to counterfeit automotive parts. As recently as April this year, police seized over 121,000 fake auto parts in Dubai, of which a sizeable amount, (18,000) were destined for unsuspecting Isuzu Truck customers throughout the Pacific region.
In North America for example, the fake auto parts industry is big business – worth a staggering US$3 billion, or approx. $3.9 billion Australian dollars and in Europe, the industry is valued at US$35m (approx. AUD$45m). Counterfeit products are not put through the same rigorous testing as other genuine parts on the Australian market. For example, genuine airbags are required to undergo crash testing to ensure they work correctly. Some counterfeit airbags systems fail to inflate at the correct time, thereby putting passengers at increased risk of serious injury.