A Case Involving Counterfeit Luxuries Of Up To 1.8 Billion Yuan
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A Case Involving Counterfeit Luxuries Of Up To 1.8 Billion Yuan

Do you buy luxuries? Recently, Chinese and Arab police uncovered a case of manufacturing and selling counterfeit luxury goods. LOUIS VUITTON, HERMES, CHANEL and other internationally renowned luxury brands have been counterfeited, with fake products produced at a cost of only a few hundred yuan from villages in the cities of Guangdong province being transformed into "genuine article" on sale in Dubai.


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In the urban village of Guangzhou, there is a small workshop of more than 200 square meters, which is full of fake luxury clothing bags produced in large quantities. The windows of the room are closed very tightly, and the smell is pungent. There are only a dozen workers, but their division of labor is very clear, and they can skillfully cut, sew, emboss, glue, label and package.


According to the investigation, when the overseas customers place an order, the company will cooperate with the counterfeiting dens in China to specify the brand, bag type and the number of bags. The person in charge of the factory will go to buy the real bags, recruit the small workers who have experience in counterfeiting, break down the real bags, make proofs of them, use paper as the plate type, purchase leather materials, and then finish the opening, bonding and beautification of leather materials respectively , oil edge and sewing.


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Through this kind of streamlined operation, they produce all kinds of fake brand bags on-demand and report the production progress at any time. When the production of these highly imitated bags is completed, they will be packed into the containers together with the so-called certificates, fake Customs Declaration for Export of the People's Republic of China and the Special Bill of Payment of Import VAT. Then these fakes will be shipped by sea or by air to Dubai, the United Arab Emirates, where they are sold as "genuine articles" at a discount price ranging from several thousand yuan to tens of thousands of yuan to many countries.


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These cross-border counterfeiting and selling gangs are producing in China and selling abroad, and they are more and more hidden in all aspects of production, transportation and sales. The person in charge of Guangzhou company is two fixed overseas personnel, and the company's service objects are all fixed overseas customers. They never receive business from strange customers. At the same time, the bags produced by this small workshop are all sold in Dubai or through the network in the name of promotion after receiving the goods by the boss behind the scenes in the United Arab Emirates. Some fake goods are re-exported to Europe, the United States and other places. The single selling price of some fake luxury bags with limited edition is even up to tens of thousands of dollars.


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In Shenzhen, Foshan, Yangjiang and other places in Guangdong and Dubai and Shanghai, the Chinese and Arab police launched a campaign to crack down on counterfeiting and sale of counterfeit goods. They seized 57 suspects at home and abroad, destroyed one counterfeiting dens, destroyed five hoarding dens, and seized more than 28000 fakes on the spot. The amount involved was nearly RMB 1.8 billion.


Field investigation found that a large number of fake leather materials even crocodile skin. In order to make "exclusive luxury", this small workshop produces only a dozen fakes for each type of luxury, including fake certificates, invoices and POS machine invoices.


The suspect confessed that about 30 fakes are produced in a day, the more expensive the product, the higher the profit. Take Hermes for example, the real exclusive Hermes costs hundreds of thousands of yuan, the delicate knockoff order price also costs 40000 yuan, and the profit is dozens or even hundreds of times.



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