AAFA Responds to Release of USTR Special 301 Report

"Counterfeit goods cost our industry billions of dollars every year," stated Helfenbein. "We welcome the U.S. Trade Representative's release of its Special 301 report today. This annual report spells out the progress or lack of progress in the fight against counterfeits, and other forms of intellectual property theft."

"Counterfeit product hurts sales and counterfeit products made in questionable working conditions can damage a brand's reputation, putting both consumers and workers at risk," Helfenbein adds.

According to a new report from the Organization for Economic Cooperation and Development, the manufacture and sale of counterfeit goods today is almost a half-trillion dollar industry. The report notes that footwear, apparel, and fashion accessories are among the most seized counterfeit goods in the world. And, according to a new report from U.S. Customs and Border Protection, clothing, footwear, and travel goods represented 22 percent, 10 percent, and seven percent, respectively, of all of CBP's Fiscal Year 2015 seizures of counterfeit products.

Today's report echoes many of the specific country and cross-cutting concerns raised in AAFA's February 2016 submission for the Special 301 Report. AAFA is particularly pleased that the report highlights problems in ecommerce, such as those relating to enforcement through country code top level domains. With footwear, apparel, and other fashion accessories among the most heavily counterfeited items globally, and given the growing use of ecommerce platforms to traffic in these items, the Special 301 report's focus in this area is well-placed.

The report also underscores the U.S. government's strong commitment to fight IP theft, and to use trade agreements, such as the Trans-Pacific Partnership, to promote widespread protection of the intellectual property rights that are key to the competitiveness of many American brands. We look forward to a continued partnership with USTR in this area.