Counterfeit in foreign trade refers to goods that use another party's trademark, patent, or copyright without authorization, or are of inferior quality and passed off as genuine. Its core features include: infringement of intellectual property rights, forgery of origin or brand, and failure to meet contractual quality standards. It commonly appears in customs seizures, infringement litigation, and breach of contract disputes. Unlike 'Defective,' which refers only to quality defects and does not necessarily involve infringement, and compared with 'Knockoff,' Counterfeit emphasizes the legal intent to pass off goods as genuine. Precautions: exporting such goods may lead to cargo detention, fines, criminal charges, and claims by brand owners; companies should establish supplier vetting mechanisms, require proof of IP authorization, and clearly stipulate infringement liability clauses in contracts. At the same time, customs IP recordation can help intercept infringing goods.
📝 Examples
1. During export customs declaration, our shipment of sports shoes bearing a counterfeit international brand was seized by customs; because they were suspected of being Counterfeit, all goods were detained and faced an infringement investigation. (Note: This shows a real scenario of customs seizure of counterfeit goods and emphasizes the legal consequences.)
2. The buyer complained that the received electronic products were Counterfeit and demanded a full refund plus compensation, because the products bore a forged well-known trademark and were of poor quality. (Note: This reflects a typical foreign trade dispute in which the buyer claims compensation due to counterfeit and shoddy goods.)
💡 Foreign Trade Tips
Foreign trade terms are the foundation of international business communication
Trade practices may vary slightly by country; pay attention when using them
When using terms in contracts, specify the applicable version (e.g., Incoterms 2020)
For unfamiliar terms, use GlobalSync's multilingual email helper to confirm with your partner