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GM Authority

General Motors Assists In Seizing 50,000 Counterfeit Parts In Saudi Arabia

Counterfeit parts and accessories is a big deal, and a big business. On a global scale, the United States Federal Trade Commission estimates that it’s a $12 billion business globally. So when GM’s Global Investigations team that assisted in seizing over 50,000 ACDelco counterfeit products in Saudi Arabia in February, those in favor of quality automotive parts recorded a small (yet quiet) victory.

By far and large, counterfeit parts are made (manufactured, packaged and represented) in such a way so as to mislead the public and make consumers think they’re buying an OEM part (such as that by ACDelco or GM itself), even though what they’re really buying is inferior quality in design, engineering, and quality control. In case that doesn’t sound like an illegal practice, it is. It’s against the law to misrepresent the parts as that of the OEM (due to copyright and trademark infringements), but that hasn’t stopped the fakes. Even worse is the fact that the practice hurts the reputation of OEMs, worsens the overall customer experience, and detracts from an OEM’s parts business… in other words, parts counterfeiting sucks for everyone (except for the counterfeiters), and should be stopped.

To address the issue of counterfeit parts and accessories, General Motors has established what it calls the Global Investigations team. Part of GM Global Security, Global Investigations collaborates with a worldwide network of brand protection and investigation partners that range from law enforcement to the legal authorities and customs agencies to identify and subsequently remove counterfeits from the market.

In the most recent instance in Saudi Arabia, The General’s unit worked with law enforcement agencies and Customs in Saudi Arabia, and takedowns consisted of an in-market raid against a distributor in Riyadh for counterfeit oil filters, air filters, and wipers; in addition, a Customs capture of counterfeit wiper blades took place in Dammam. The February raids follow those that took place in 2012, when GM’s Global Investigations team conducted a series of seizures and raids — supporting customs with product detentions in Saudi Arabia, the United Arab Emirates, Kuwait, Egypt, Lebanon and Jordan.

The result is clear: thousands of counterfeit automotive spare parts were withdrawn from the market and destroyed, protecting consumers across the Middle East (who love their GMs, by the way) from poor quality parts.

The figure that surprised us the most is that the Middle East has come to represent a full $1 billion of the estimated $12 billion counterfeit parts and accessories that the industry has become worldwide.

“Most raids in the Middle East target importers or in-market distributors. Some of these in-market distributors are found to be producing their own counterfeit packaging or labels, so in these cases, we move to try and seize their equipment,” said Scott Emmer, General Motors Global Security Manager, Global Brand Protection.

Perhaps most concerning is that most of the phony parts, according to Emmer, are produced in China (where else?). From there, they are exported globally. As such, it would seem that addressing the root of the problem — the manufacturing of the counterfeits — would significantly contribute to a decrease in availability of such parts in the global marketplace. For instance, a recent raid in China of roughly 35,000 counterfeit ACDelco wipers was intended for export to the UAE. In addition, raids in New York and New Jersey by the FBI in February resulted in the confiscation of counterfeit ACDelco gaskets and spark plug wire sets. GM has also raided small producers in other countries, such as Egypt: “In the past, we have also raided small manufacturers of glass products and windshields in Egypt.”

In addition to participating in the seizure of GM and ACDelco counterfeit parts and accessories, General Motors collaborates with other manufacturers to curb and eliminate counterfeiting.

“Cooperation includes basic sharing of best practices, seeking referrals from outside service providers and engaging in joint market surveys to gauge the level of counterfeits in specific markets in the Middle East,” said Emmer. “Last year the GM Global Investigations team also participated in joint raids in the United Arab Emirates with other brands.”

The GM Authority Take

While we love discussing new GM models and all kinds of other product-related GM rumors, it’s also healthy to not miss the forest for the trees: parts and accessories are a big part of The General’s business as a whole, and that business is being hindered by an assortment of sleazy counterfeiters that not only hurt the GM brand (by providing inferior-quality items using GM’s name), but also by making The General less profitable (by stealing potential parts business from the automaker). And that’s not to mention the ethical angle of the counterfeiter making money off GM’s back.

Ultimately, we applaud GM’s efforts in combating the counterfeit parts problem, and wish it (along with other OEMs) all the best in tackling the issue globally.

GM Authority Executive Editor with a passion for business strategy and fast cars.

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Comments

  1. There is also the safety issues of cheap ill made fakes.

    Reply
    1. Do you take issue with General Motors having stole designs it used on over ten million cars it produced and sold?

      Reply
  2. General Motors stole the designs it use on around ten million Cadillac’s, Oldsmobile’s, Buick’s and Chevrolet’s it produced and sold for the 1977 to 1990 model years. Including those images used as the designs on two of Motor Trend Magazine’s “Car of the Year” Awardee’s: the 1977 Chevrolet Impala and the 1979 Buick Riviera.

    For nearly 40 years General Motors has covered up this fact and the fact that in committing the theft’s GM corrupted 2 prestigious institutes of higher learning: General Motors Institute (now Kettering University) and Northwoods University.

    When I contacted Alan Adler, manager News bureau GM Relations about General Motors addressing this issue his response was “Why should they?” Perhaps the readers can come up with a better reason than I have for General Motors to redeem itself eh?

    Reply
    1. Neither of these are reputable sources:
      http://johnfranklinmason.blogspot.ca/
      http://en.wikipedia.org/wiki/Chevrolet_Caprice

      This guy has been posting his story everywhere, from the Huffington Post, he has multiple blogs, GM Inside News, Autoguide, etc.

      Summation is that while in prison he submitted drawing designs to GM on his own freewill. None of it patented or copywrited. Intellectual property without those? I’m not a lawyer.
      If the guy isn’t full of shit it could be a pretty big exclusive for anyone eager enough to have a one-on-one with this guy.

      Reply
      1. Reply
        1. Say andrew, have you checked out this link, you may find it even more entertaining:

          gminsidenews.com/forums/f19/you-dont-know-buick-because-buick-needs-identity-116573/ …

          Reply
      2. andrew, get it right. Summation is that while in prison I sumbmitted an art portifolio of car designs by mail and regularity corresponsdent by mail for over two years to the person of Dr. David H. Harry at General Motors Institute.

        Prior to being transferred from Jackson Prison to Marquette Prison, I was informed by Dr. Harry that a friend and associate of his, Dr. George Bush, would be conducting extension classes at Marquette and for me to contact him after I arrived at Marquette.

        Dr. Bush began conducting classes shorty after I arrived at Marquette and ended the classes around the time I was granted parole. Dr. Bush witnessed and copied my drawings in person,

        Reply
  3. John Franklin Mason what in the hell are you talking about?

    Better yet here’s a suggestion; back up your accusations with facts… of which I see none in your rambling commentary.

    Reply
    1. Must be a full moon tonight, the crazies are coming out to play.

      Reply
  4. GM CSI! I can see another version of that series coming- actually, that would make a good show. Don’t let John Franklin steal my idea!

    Reply
  5. How about an official statement from General Motors eh? Perhaps Irv Rybicki can weight in on this.

    Reply
  6. General Motors does not want to pay for it’s indiscrections but wants everyone else to pay for theirs.

    Reply
  7. Please don’t tard intelligent, hard working, aspirational people that want replacement parts on their GM vehicle to be genuine & safe parts for the safety & well being of their family & others with that of an idiot.

    Reply
  8. Two words: April Fool.

    Reply
    1. Guys — this one was no April Fools… it’s for real 🙂

      Reply
  9. Happy April Fool/Easter Monday people!
    Happy GM is doing some good out there to combat these troublesome counterfeiters. I have been a victim of them and it totally sucks. And it does give everyone else a bad name, from the maker to the mechanic. I hope they all burn in hell. 😉

    As far as JFM is concerned, I did a quick Google search and checked out there links. Granted I used only 5 minutes of my time, but I think that was more than enough to figure we will never get any decent information about him or his claims. Planting this conversation squarely in the Trash bin! 🙂

    Reply
  10. This was posted on 31st march & not April 1st so it cannot be an April fool. Also why would you joke about dodgy unsafe goods with the prospect of putting jobs & in extreme cases life’s in danger. I very much doubt this is an April fool.

    Reply
  11. The cover up a General Motors has been going on for nearly 40 years. This cover up ranks up there with Watergate, the Catholic Church and Penn State. Protecting not only the Corporate “person” reputation and credibility of General Motors but also icons of the industy such as perhaps Bill Mitchell, Irv Rybicki, Charles Jordan and/or others.

    It would be ironic if some of the counterfeit parts are fenders and body panels for 1977 to 1990 General Motors cars using counterfeit images eh?

    Anyone in the current administration and board of General Motors is has a responsibility and is bound to investigate this matter even if they were not perviously aware of it once it was brought to their attention. Bankruptcy notwithstanding, General Motors still has not only commerical and heritage ties but is in possession of information, properties and only assets that are evidence in this matter.

    Reply
    1. Also, by law, it is incumbent on General Motors to preserve any evidence when they are aware that it is subject to a crime. General Motors has pulled the video where I discovered an altered reproduction of one of my original drawings, sometime after I made it public.

      Reply
  12. thanks for these links

    Reply
  13. Great to see that people are taking action against the counterfeiters who give the real Parts a bad name.

    If you wanna see a true certified GM OEM parts dealer check out http://www.egmparts.com/ .

    Reply

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