US President signs memorandum to curb counterfeit goods

US President Donald Trump recently signed a presidential memorandum to tackle the menace of online trafficking of fake goods. The memorandum is meant to stop the sale of fake products on sites like Amazon, eBay and Alibaba.

Peter Navarro Director of White House National Trade Council says, “This president has decided that it’s time to clean up this Wild West of counterfeiting and trafficking. The central core of the problem is that right now, third-party online marketplaces … have zero liability when it comes to trafficking in these counterfeit goods. That simply has to stop. We are going to attack that on numerous fronts.”

Meanwhile, e-commerce companies are also taking effective measures to stop the trade of counterfeits. Amazon spent a whopping $400 million on fighting fakes and has started brad registry and transparency program by the name of ‘Project Zero’.

However, Navarro also cleared that any possible actions by the administration to prevent online trafficking in counterfeit merchandise is premature. The directive orders the Department of Homeland security to work with other agencies on identifying the root of the problem.

The Organization for Economic Cooperation and Development estimates that the value of trade in counterfeit and pirated goods is about a half trillion dollars a year, with roughly 20% infringing on U.S. intellectual property, according to the directive.