Hyundai Mobis and Customs Crack Down on Manufacturers and Exporters of 'Counterfeit Auto Parts'

150,000 Counterfeit Brake Pads and Shock Absorbers... Genuine Market Value 5.6 Billion KRW
Hyundai Mobis Detected and Disposed of Counterfeits Worth 37.1 Billion KRW in 2019 and 11 Billion KRW Last Year
Counterfeit Distribution Continues Despite Steady Crackdowns... "Verify Genuine Parts During Maintenance"

Hyundai Mobis announced on the 20th that it conducted a joint crackdown with the Daegu Regional Customs Office of the Korea Customs Service and caught a company manufacturing so-called 'counterfeit automotive AS parts' and exporting them overseas. The photo shows counterfeit brake pads awaiting export.

Photo by Hyundai Mobis

[Asia Economy Reporter Ki-min Lee] A group involved in the illegal production and overseas distribution of counterfeit automotive parts has been caught. Despite continuous crackdowns, counterfeit parts keep circulating, and since defects can pose a threat to the safety of drivers and passengers at any time, experts emphasize the need for consumers to exercise caution.

Hyundai Mobis announced on the 21st that it conducted a joint crackdown with the Daegu Customs Office of the Korea Customs Service and uncovered a company manufacturing so-called 'fake automotive AS parts' and exporting them overseas. Previously, Hyundai Mobis seized and destroyed counterfeit parts worth 37.1 billion KRW in 2019 and 11 billion KRW last year through similar crackdowns.

The counterfeit parts seized this time include approximately 150,000 brake pads and shock absorbers, with a genuine market value of about 5.6 billion KRW. On the day of the search and seizure at the manufacturing company located in Gimcheon, Gyeongbuk Province, around 100,000 counterfeit brake pads awaiting export were found in the company’s warehouse, along with illegally forged packaging boxes, holograms, and labels. It was confirmed that about 50,000 brake pads and shock absorbers had already been exported between December 2019 and November 2020 to countries such as the United Arab Emirates (UAE), Libya, and Algeria.

According to Hyundai Mobis and the Korea Customs Service, the company exploited the popularity of Korean cars in the Middle East and North Africa regions, where local buyers prefer parts directly imported from Korea. They illegally used Hyundai Mobis’s trademark to manufacture brake pads in Gimcheon and exported them through Busan Port. Additionally, counterfeit shock absorbers were manufactured in China and brought into Busan Port, then exported by returning them without domestic customs clearance, thereby meeting the import conditions of overseas buyers.

In particular, to emphasize the Korean brand, the parts were exported under a trademark similar to Hyundai Mobis’s 'BESF1TS' as 'NEW BESF1TS KOREA.' It was also found that the company registered the 'NEW BESF1TS KOREA' trademark locally in the Middle East, knowing that domestic trademark rights do not extend overseas. It was revealed that they had also applied to register the same trademark with the Korean Intellectual Property Office but were rejected due to similarity with existing trademarks.

As the global brand status of Hyundai Motor Company and Kia rises, the methods used by companies manufacturing and distributing counterfeit parts are becoming increasingly sophisticated. Hyundai Mobis is strengthening its global market investigations because counterfeit parts not only undermine the brand trust built over a long time but also can lead to casualties due to poor quality. A Hyundai Mobis official stated, "To protect brand trust and customer safety, we plan to continue working with judicial authorities worldwide to eradicate counterfeit parts. Since there is a possibility of distribution domestically as well, it is important to develop the habit of verifying genuine parts during vehicle maintenance."

This content was produced with the assistance of AI translation services.