Business group presses government for piracy reforms
Thursday urged stronger U.S government action to stop
trafficking of pirated or counterfeit goods, which they said
costs the U.S. economy between $200 to $250 billion per year.
“Every product in every industry is vulnerable,” said Bruce
Josten, Executive Vice President of the
U.S. Chamber of
Commerce. “We can no longer accept counterfeiting and piracy as
just a cost of doing business.”
Members of the Coalition Against Counterfeiting and Piracy
(CACP) presented a six-pronged agenda aimed at stopping the
trafficking of illegal goods, which they blame for 750,000 lost
U.S. jobs.
Their proposal includes tougher border control and
penalties for counterfeiters, more funding for the
Homeland
Security and Justice Departments, reformed judicial processes,
and improved coordination and education for consumers.
The coalition included U.S. movie and recording industry
groups, as well as drug manufacturers, the U.S. Chamber of
Commerce and the
National Association of Manufacturers.
Intellectual property protection has become a particular
sore point in the U.S.'s relationship with China, and the
groups estimate global trade in fake goods to be about $500
billion to $600 billion per year.
“Intellectual property theft stabs at the heart of the U.S.
economy,” said John Engler, President and CEO of the NAM,
calling creativity and innovation the U.S.'s comparative
advantage. “There are some products that literally put lives at
risk. We saw what happened with pet foods.”
TAINTED PET FOOD
Pet food from China, tainted with melamine, caused the
death of cats and dogs across the United States this year.
Concerns about “filthy” imports from China heightened after
the U.S.
Food and Drug Administration warned that it found a
poisonous chemical in toothpaste made in China.
But few Americans realize that their new toothbrush could
be counterfeit.
Oral-B was just one brand among a myriad of fake products
displayed by the groups, including faux Louis Vuitton bags, New
Balance shoes, DVDs, brake shoes for cars, prescription
medication for cancer, erectile dysfunction and mental illness,
and polypropylene mesh used in surgery.
While instances of piracy in the pharmaceutical industry
are more rare than other sectors, the threat is growing, and
it's serious, said Chris Singer, Chief Operating Officer for
Pharmaceutical Research and Manufacturers of America.
“Even our experts have a really hard time telling the
difference,” Singer said.
Stronger overseas enforcement and government partnerships
are needed to temper the flood of goods into the United States,
whose strong laws against counterfeiting and piracy should be
the standard for other countries to meet, he said.
“Much of the supply is coming out of Southeast Asia,”
Singer said. “We need to work with those government to make
sure we put those people out of business.”
The coalition's proposals weren't directed at any
particular country, but business groups see China, India and
Russia as major sources of the trade in fake goods.