The trade dispute between the United States and China constantly affects companies from both sides. The U.S. officials are seriously imposing sanctions on Chinese companies. These companies are reportedly collaborating with the Chinese government for espionage and censorship. In the newest case, the United States Trade Representative has announced on its annual report that it is putting AliExpress and WeChat on its black list due to counterfeiting and piracy. The report represents “notorious markets” that “reportedly engage in or facilitate substantial trademark counterfeiting or copyright piracy.” However, this is not the first time that the United States is labeling Chinese companies and restricting their activities in the country. The Donald Trump and TikTok controversy is one of the most prominent cases. Also, the sanctions that Joe Biden imposed on Huawei and other Chinese semiconductor companies were significant.
The companies in question are said to “facilitate substantial trademark counterfeiting”
The companies in question are said to “facilitate substantial trademark counterfeiting”
The United States Trade Representative says that the companies in question are “significant China-based online markets that reportedly facilitate substantial trademark counterfeiting.” In the USTR list, you can find 42 online markets and 35 physical markets presented as potential avenues for counterfeiting and copyright piracy. The list created in 2011 to monitor and regulate non-US companies and markets. The U.S. sanctions and restrictions imposed on Chinese companies have led these companies to face a sharp decrease in revenues. For the 2021 annual financial report, Huawei reported a 29% loss in revenues compared to the previous year. Moreover, Ambassador Katherine Tai, serving as the United States Trade Representative, says that “The global trade in counterfeit and pirated goods undermines critical U.S. innovation and creativity and harms American workers.” She continued, “This illicit trade also increases the vulnerability of workers involved in the manufacturing of counterfeit goods to exploitative labor practices, and the counterfeit goods can pose significant risks to the health and safety of consumers and workers around the world.”
