Mapping Global Trade in Fakes 2025

4. European Union Case Study

4.1. Trade routes of fake imports into the European Union

Although nearly all regions of the world are affected by imports of counterfeit products, Figure 4.2 which lists the main destination economies for the global trade in counterfeit goods, indicates that the United States and European countries were the most targeted areas. Twenty of the 25 main destination economies were EU Member states, albeit to different degrees. During 2020 and 2021, Germany was the most frequent destination for imports of counterfeit goods (15% of global seizures were destined for Germany). It was followed by Belgium (13%) and Austria (7%).

Globally, Germany was the top destination for counterfeit goods seized in terms of value, surpassing the United States. France and Belgium were also prime targets for counterfeiters; during 2020 and 2021, these two countries accounted for 9% and 7%, respectively, of the total global seized value.

The sources of counterfeit goods are numerous and spread across the globe. Between 2020 and 2021, some 140 provenance economies for counterfeit goods destined for the European Union were identified. This highlights the widespread nature of counterfeit trade and the global reach of the networks involved in the production and distribution of fake merchandise.

Figure 4.1. Top destination economies for global trade in counterfeit goods, 2020-21

Source: OECD-EUIPO global customs seizures.

China was by far the leading provenance economy of counterfeit products destined for the European Union, both in terms of the number of seizures and the seized value. More than half of seized counterfeit products destined to the European Union came from China, followed by Türkiye (22%) and Hong Kong (China) (12%) (Figure 4.2)

Figure 4.2. Top provenance economies for imports of fakes into the European Union

Source: OECD global customs seizures database.

Regarding the provenance economies of counterfeit goods destined to the European Union, the GTRIC-e index confirms that the scope is large, with provenances located in all world regions. The propensity to export counterfeits to the European Union was the highest for Benin,1 Hong Kong (China), several Middle East countries and Türkiye. They were closely followed by Cambodia, Senegal, the United Arab Emirates and China. It is worth noting that economies with a high GTRIC-e score are those that either report substantial absolute values of counterfeit and pirated products or demonstrate a high proportion of counterfeit goods within their exports. This helps explain the presence of certain countries, such as those with relatively limited integration into global trade, on the list of source countries for seized counterfeit goods.

Table 4.1. Top provenance economies in terms of their propensity to export counterfeit products to the European Union

GTRIC-e 2020-21

Provenance	GTRIC-e
Benin	1
Hong Kong (China)	1
Syrian Arab Republic	1
Lebanon	1
Türkiye	1
Bahrain	1
Jordan	1
Iran	1
Cambodia	0.998
Senegal	0.998
United Arab Emirates	0.997
China	0.994
Togo	0.994
Panama	0.986
Lao People's Democratic Republic	0.969
Andorra	0.944
Tanzania	0.918
Afghanistan	0.909
Albania	0.906
Saudi Arabia	0.867
Moldova	0.823
Georgia	0.818
Oman	0.797
Bangladesh	0.630

Source: OECD calculations.

4.2. Sectoral structure of fake imports into the European Union

Counterfeit products destined for the European Union varied during 2020-2021. However, there was a clear concentration around everyday consumer goods such as clothing, electronics, and toys, but luxury items like leather goods and watches were also prominent. This underscores the broad scope of counterfeiting, affecting both widely used products and high-end goods.

Among the wide range of counterfeit products imported into the European Union, EU customs officers reported significant volumes of fake goods that pose health and safety issues. In 2020-2021, these goods included cosmetics and toys, which were the 6^th and 7^th most frequently seized categories of counterfeit goods in the European Union. The presence of counterfeit automotive parts and pharmaceutical products, ranked 10^th and 12^th respectively, is also a significant concern due to the high safety risks they pose to consumers.

Figure 4.3. Top product categories for imports of fakes into the European Union, 2020-21

Source: OECD global customs seizures database.

The GTRIC product category analysis (GTRIC-p) for counterfeit imports within the European Union confirms the diversity of targeted categories and, more importantly, the high likelihood of counterfeiting involving dangerous products such as perfumes and cosmetics and toys (Table 4.2).

Table 4.2. Top 20 industries targeted by counterfeiters, 2020-21

HS code	GTRIC-p EU
Articles of leather; handbags (42)	1
Knitted or crocheted fabrics (60)	1
Clothing, knitted or crocheted (61)	1
Footwear (64)	1
Watches (91)	1
Tobacco (24)	1
Perfumery and cosmetics (33)	1
Toys and games (95)	0.999
Jewellery (71)	0.998
Miscellaneous manufactured articles (66/67/96)	0.681
Electrical machinery and electronics (85)	0.569
Optical; photographic; medical apparatus (90)	0.412
Finishing of textiles (58)	0.397
Other made-up textile articles (63)	0.224
Vehicles (87)	0.214
Clothing and accessories, not knitted or crocheted (62/65)	0.187
Beverages (22)	0.153
Musical instruments (92)	0.140
Pharmaceutical products (30)	0.127

Source: OECD calculations.

As shown in Figure 4.4the main sectors likely to be subject to counterfeit imports in Europe are similar between 2020-21 and 2017-19. Common products such as clothing, electronics, toys and games, luxury goods (leather goods, jewellery, and watches) and cosmetics remain the products with a high probability of being counterfeited.

This figure also reveals that the probability associated with category 63, which includes personal protective equipment (such as face masks), was nearly zero between 2017 and 2019 but increased to 0.2 in 2020-21. This rise indicates how counterfeiters adapted to the specific circumstances of the pandemic and related consumer demand.

Figure 4.4. Changes in propensities for products categories in EU imports to be targeted for counterfeiting

GTRIC-p for the European Union, averages 2017-19 and 2020-21

Source: OECD calculations.

4.3. Estimates of value of trade in counterfeits into the European Union

In 2021, the value of imports of fakes into the European Union is estimated to be up to USD 117 billion (EUR 98.9 billion), accounting for 4.7% of EU imports (Figure 4.5). This value, both in absolute and relative terms, was lower than the values for the period prior to COVID-19. Indeed, as estimated in (OECD/EUIPO, 2021[6]), this trade amounted to USD 134 billion (EUR 119 billion) in 2019, which accounted for 5.8% of EU imports. Trade in 2020 reflected a temporary slowdown in EU imports of counterfeits, its value being 30% lower than in 2021.

Despite the decrease in the value of counterfeit trade destined for the European Union following the COVID-19 pandemic, it remains a significant threat to European economies. Counterfeiters have retained their agility in evading detection, particularly through the relocation of the production of fakes to the destination countries.

Figure 4.5. EU value of fakes by year, 2020-21

Source: OECD calculations.

Note

← 1.  The GTRIC-e is a weighted measure comprising (i) the absolute value of counterfeit and pirated product exports from a given economy, and (ii) the share of counterfeit and pirated products within that economy's total trade. Although Benin's absolute value of counterfeit exports is relatively low, the high proportion of counterfeits in its total exports results in a high GTRIC score.