Chamber Praises House Passage of Anti-Counterfeiting Bill

WASHINGTON, D.C.—The United States Chamber of Commerce praised the U.S. House of Representatives for closing the loopholes that allow counterfeiters to avoid prosecution and profit from illegal activities.

"Lawmakers have taken the essential step of ensuring that federal laws keep pace with the growing sophistication of counterfeiting activities in this country," said Mike Zaneis, Chamber director of Congressional and Public Affairs. "These criminal acts have significant personal, economic and social consequences and we must stop the trade in fake products from expanding."

Counterfeiting costs U.S. businesses as much as $250 billion every year and results in the loss of 750,000 jobs, according to FBI estimates. Internationally, the World Customs Organization and Interpol estimate that the annual global trade in illegitimate goods has increased from $5.5 billion in 1982 to roughly $600 billion today, and it continues to grow.

H.R. 32, Stop Counterfeiting in Manufactured Goods Act, would strengthen anti-counterfeiting laws by prohibiting the trafficking in counterfeit labels, patches, stickers, hangtags, or medallions that are unattached to goods. In addition, the bill would make mandatory the forfeiture and destruction of counterfeit goods, as well as the assets used to produce, package, and distribute them, and would require the forfeiture of property and assets derived from counterfeiting.

"The increase in counterfeit products—such as batteries, brake pads and airplane components—is alarming," said Zaneis. "Counterfeit products have led to numerous deaths and injuries, and this measure would go a long way to reversing this epidemic."

The House anti-counterfeiting legislation would also combat counterfeiting abroad amid rising concern that organized criminal groups and terrorist organizations are involved in counterfeiting schemes. The Chamber urges the Senate to pass legislation on this important matter.

The U.S. Chamber of Commerce is the world's largest business federation representing more than three million businesses and organizations of every size, sector, and region.

# # #

05-86