WEBVTT 00:00:00.000 --> 00:00:05.200 (Music) 00:00:05.200 --> 00:00:09.131 Narrator: American consumers drive not only the American economy, 00:00:09.164 --> 00:00:09.164 but much of the global economy as well. 00:00:11.964 --> 00:00:11.964 This makes the United States a favorite market 00:00:14.598 --> 00:00:14.598 for legitimate manufacturers the world over. 00:00:17.198 --> 00:00:17.198 And from storefronts on city streets, 00:00:19.931 --> 00:00:19.931 and in shopping malls, 00:00:21.331 --> 00:00:21.331 to websites online, 00:00:22.931 --> 00:00:22.931 Americans can find virtually 00:00:24.798 --> 00:00:24.798 anything they want. 00:00:26.931 --> 00:00:26.931 Unfortunately, this also makes us a favorite target 00:00:30.098 --> 00:00:30.098 for counterfeiters: terrorists and criminals who pocket huge 00:00:33.664 --> 00:00:33.664 profits by manufacturing fakes. 00:00:36.431 --> 00:00:36.431 Everything from fashion apparel and pirated media 00:00:39.331 --> 00:00:39.331 to military-grade electronics and pharmaceuticals. 00:00:42.698 --> 00:00:42.698 Counterfeit goods are often made of inferior materials, 00:00:45.698 --> 00:00:45.698 manufactured under uncontrolled and unsanitary conditions, 00:00:49.198 --> 00:00:49.198 and labeled with false information. 00:00:51.864 --> 00:00:51.864 As a result, they can threaten the health and safety 00:00:54.698 --> 00:00:54.698 of the people who buy them. 00:00:57.131 --> 00:00:57.131 Fake products violate the intellectual property rights of 00:00:59.898 --> 00:00:59.898 legitimate companies, and undermine those companies' reputations. 00:01:04.398 --> 00:01:04.398 They deprive workers here at home and 00:01:07.331 --> 00:01:07.331 overseas of badly needed jobs. 00:01:10.764 --> 00:01:10.764 A large percentage of counterfeit and pirated products 00:01:13.698 --> 00:01:13.698 are manufactured overseas. They are shipped to the United States 00:01:17.831 --> 00:01:17.831 in the stream of legitimate goods that continually flow into 00:01:21.198 --> 00:01:21.198 America's airports and seaports and across our borders. 00:01:24.998 --> 00:01:24.998 There to stop them are the men and women of U.S. Customs 00:01:27.931 --> 00:01:27.931 and Border Protection, protecting America 24/7. 00:01:45.164 --> 00:01:45.164 Therese Randazzo: The overall volume of US imports 00:01:47.431 --> 00:01:47.431 makes it a real challenge for CBP in terms of IPR enforcement, 00:01:50.531 --> 00:01:50.531 because we have to decide which of the hundreds of millions 00:01:53.798 --> 00:01:53.798 of shipments that enter the United States every year 00:01:56.498 --> 00:01:56.498 are suspect shipments for possible counterfeit or pirated goods, 00:01:59.964 --> 00:01:59.964 while at the same time ensuring the expeditious release into 00:02:03.164 --> 00:02:03.164 commerce of authentic goods. To put those numbers in context, 00:02:07.198 --> 00:02:07.198 on a daily basis CBP processes about 77,000 commercial 00:02:11.364 --> 00:02:11.364 shipments. That's more than 28 million cargo shipments every 00:02:14.498 --> 00:02:14.498 year. In addition to that, there's more than 250 million 00:02:18.598 --> 00:02:18.598 shipments arriving in mail and express small parcels, some of 00:02:21.364 --> 00:02:21.364 which are commercial in nature, that we still have to look 00:02:23.398 --> 00:02:23.398 and decide which of those to examine. 00:02:25.598 --> 00:02:25.598 So the real challenge for us is sorting the good stuff 00:02:27.698 --> 00:02:27.698 from the bad stuff and deciding what to inspect. 00:02:30.931 --> 00:02:30.931 NARRATOR: The challenge might seem hopeless, but CBP has 00:02:34.364 --> 00:02:34.364 developed methodical strategies and powerful tools to support 00:02:38.431 --> 00:02:38.431 the effort. CBP has a multi-layered strategy to 00:02:42.231 --> 00:02:42.231 enforce intellectual property rights. 00:02:44.364 --> 00:02:44.364 It is a three-part strategy: 00:02:46.464 --> 00:02:46.464 Facilitate, Enforce and Deter. 00:02:49.498 --> 00:02:49.498 Randazzo: With regard to facilitation, we're looking to 00:02:51.431 --> 00:02:51.431 identify the authentic shipments, without inspection, 00:02:55.131 --> 00:02:55.131 so that those goods are released immediately into commerce, 00:02:57.598 --> 00:02:57.598 reducing the cost to US importers and more effectively 00:03:00.598 --> 00:03:00.598 using CBP's resources. 00:03:02.464 --> 00:03:02.464 Narrator: U.S. law requires importers to provide CBP with 00:03:06.098 --> 00:03:06.098 documentation for incoming shipments well ahead of their arrival. 00:03:10.164 --> 00:03:10.164 CBP uses this manifest and entry data 00:03:13.631 --> 00:03:13.631 to help identify suspicious shipments. 00:03:16.598 --> 00:03:16.598 In addition, through agreements with America's 00:03:19.198 --> 00:03:19.198 trading partners, CBP maintains teams of officers and 00:03:23.264 --> 00:03:23.264 investigators around the world to help identify suspect 00:03:26.698 --> 00:03:26.698 shipments even before they begin their journey 00:03:29.664 --> 00:03:29.664 to the United States. 00:03:31.498 --> 00:03:31.498 Randazzo: With regard to enforcement, that's about making 00:03:33.364 --> 00:03:33.364 seizures, targeting the right shipments, determining that 00:03:35.631 --> 00:03:35.631 those goods are infringing and seizing those, and then ensuring 00:03:37.664 --> 00:03:37.664 that those goods are ultimately destroyed. 00:03:39.664 --> 00:03:39.664 Narrator: When an analysis raises a red flag, 00:03:42.298 --> 00:03:42.298 CBP issues an alert to the expected port of entry. 00:03:45.931 --> 00:03:45.931 CBP officers stop it from entering the country 00:03:49.198 --> 00:03:49.198 and subject it to rigorous inspection. 00:03:51.831 --> 00:03:51.831 Trained Import Specialists make a quick evaluation. 00:03:56.131 --> 00:03:56.131 If the goods appear to be counterfeit, 00:03:58.331 --> 00:03:58.331 they are detained pending further analysis, 00:04:01.364 --> 00:04:01.364 and samples are often sent to CBP's Laboratories and 00:04:04.431 --> 00:04:04.431 Scientific Services for laboratory testing. 00:04:07.631 --> 00:04:07.631 If the analysis proves deceit, 00:04:09.964 --> 00:04:09.964 the goods are seized and destroyed. 00:04:12.931 --> 00:04:12.931 Just as important, CBP and its partner agencies launch an 00:04:16.998 --> 00:04:16.998 investigation of both the importer 00:04:19.498 --> 00:04:19.498 and the source of the bogus products. 00:04:22.031 --> 00:04:22.031 In this regard, CBP plays a key role in the National 00:04:25.498 --> 00:04:25.498 Intellectual Property Rights Coordination Center. 00:04:28.631 --> 00:04:28.631 The IPR Center coordinates a multi-agency effort 00:04:31.964 --> 00:04:31.964 to review and vet possible IPR infringement cases, 00:04:35.964 --> 00:04:35.964 assigning on a case-by-case basis 00:04:38.698 --> 00:04:38.698 which law enforcement agency will lead investigations 00:04:41.564 --> 00:04:41.564 and pursue prosecutions. 00:04:43.831 --> 00:04:43.831 To further strengthen IPR enforcement, 00:04:46.298 --> 00:04:46.298 CBP supplements its targeting activities 00:04:49.131 --> 00:04:49.131 with random inspections at US ports of entry. 00:04:52.264 --> 00:04:52.264 Vernon Foret: Recent trends indicate a rise 00:04:53.831 --> 00:04:53.831 in the attempted smuggling of counterfeit products 00:04:55.998 --> 00:04:55.998 through our courier service and international mail environments. 00:04:58.631 --> 00:04:58.631 These shipments are pharmaceuticals, contact lenses. 00:05:01.498 --> 00:05:01.498 To counter this trend, CBP has increased inspection efforts 00:05:04.664 --> 00:05:04.664 at our international mail and courier service facilities. 00:05:08.564 --> 00:05:08.564 Randazzo: The third piece is the deterrence part, where we want 00:05:10.531 --> 00:05:10.531 to prevent future violations by conducting audits of importers 00:05:14.498 --> 00:05:14.498 that are involved in counterfeiting and piracy, 00:05:17.531 --> 00:05:17.531 to deter them from bringing any future goods by depriving them 00:05:20.098 --> 00:05:20.098 of the profitability of that activity. 00:05:22.064 --> 00:05:22.064 We make referrals to Immigration and Customs 00:05:23.898 --> 00:05:23.898 Enforcement for criminal investigations to take down the 00:05:26.531 --> 00:05:26.531 organizations that are involved, 00:05:27.664 --> 00:05:27.664 and we issue penalties finally to re-importers as well. 00:05:30.598 --> 00:05:30.598 Narrator: CBP continually examines this information on 00:05:33.864 --> 00:05:33.864 incoming shipments, targeting not just potential IPR 00:05:37.531 --> 00:05:37.531 violations, but high-risk shipments of all types. 00:05:41.364 --> 00:05:41.364 Analysts review shipment documentation, 00:05:44.031 --> 00:05:44.031 intelligence from overseas teams, 00:05:46.031 --> 00:05:46.031 and historical data on importers and suspect manufacturers. 00:05:50.331 --> 00:05:50.331 They use an extensive database of legitimate product 00:05:53.531 --> 00:05:53.531 and trademark information to identify discrepancies. 00:05:58.298 --> 00:05:58.298 Stopping counterfeit shipments at the border is essential, but 00:06:02.031 --> 00:06:02.031 a permanent solution involves stopping counterfeiting and 00:06:05.198 --> 00:06:05.198 piracy at their source and eliminating demand. 00:06:08.964 --> 00:06:08.964 That requires partnering with the trade industry and customs 00:06:12.298 --> 00:06:12.298 agencies worldwide. 00:06:13.998 --> 00:06:13.998 And winning the public's cooperation by educating 00:06:17.231 --> 00:06:17.231 consumers about the dangers associated with counterfeit products. 00:06:21.064 --> 00:06:21.064 Randazzo: You're supporting organized crime when you buy 00:06:23.164 --> 00:06:23.164 counterfeit products, and no one wants to promote organized crime 00:06:26.131 --> 00:06:26.131 on our streets. 00:06:27.131 --> 00:06:27.131 The money that is made by counterfeiting is used to 00:06:30.464 --> 00:06:30.464 launder drugs, weapons, 00:06:32.898 --> 00:06:32.898 a whole host of other illegal activities. 00:06:35.131 --> 00:06:35.131 Narrator: When CBP identifies business practices linked to IPR 00:06:39.064 --> 00:06:39.064 theft, it works with the trade industry 00:06:41.498 --> 00:06:41.498 to change those practices. 00:06:43.864 --> 00:06:43.864 It shares with appropriate US enforcement agencies 00:06:47.298 --> 00:06:47.298 information acquired during investigations, 00:06:50.164 --> 00:06:50.164 through channels such as the IPR Center. 00:06:52.931 --> 00:06:52.931 It works with the Department of Defense to help secure the 00:06:55.831 --> 00:06:55.831 military's supply chain for mission-critical components, 00:06:59.031 --> 00:06:59.031 parts and materials. 00:07:00.998 --> 00:07:00.998 And it works with IPR specialists from foreign customs 00:07:04.431 --> 00:07:04.431 agencies and international customs organizations 00:07:07.631 --> 00:07:07.631 to implement best practices that protect both U.S. 00:07:10.798 --> 00:07:10.798 and overseas economies. 00:07:12.864 --> 00:07:12.864 CBP also strongly encourages American consumers 00:07:16.964 --> 00:07:16.964 to do their part. 00:07:18.264 --> 00:07:18.264 Kevin Corsaro: Consumers can avoid purchasing counterfeit 00:07:20.031 --> 00:07:20.031 merchandis e by first knowing what the genuine article typically costs. 00:07:23.831 --> 00:07:23.831 If the price seems too good to be true, it probably is. 00:07:26.864 --> 00:07:26.864 And it may indicate that the product is fake. 00:07:29.064 --> 00:07:29.064 You can familiarize yourself with what the genuine 00:07:31.364 --> 00:07:31.364 product looks like. The manufacturer's website 00:07:33.631 --> 00:07:33.631 is a good source of information. 00:07:35.164 --> 00:07:35.164 Check the quality of the workmanship. 00:07:37.598 --> 00:07:37.598 Most counterfeit products are inferior, and quickly show 00:07:40.064 --> 00:07:40.064 their inferior construction and materials. 00:07:42.698 --> 00:07:42.698 And buy from reputable retailers. 00:07:45.098 --> 00:07:45.098 Beware of Internet sellers; products offered online 00:07:47.531 --> 00:07:47.531 are not always what they appear to be. 00:07:49.798 --> 00:07:49.798 NARRATOR: Businesses and the public can assist CBP in the 00:07:53.064 --> 00:07:53.064 campaign against counterfeit and pirated products. 00:07:56.131 --> 00:07:56.131 Through an online program called E-Recordation, businesses can 00:07:59.531 --> 00:07:59.531 record with CBP any trademarks and copyrights that have been 00:08:02.598 --> 00:08:02.598 registered with the US Patent and Trademark Office 00:08:06.131 --> 00:08:06.131 or the Copyright Office. 00:08:07.531 --> 00:08:07.531 An E-Recordation record provides CBP with information necessary 00:08:12.131 --> 00:08:12.131 to determine when imported products infringe 00:08:14.864 --> 00:08:14.864 on a company's IP rights. 00:08:16.598 --> 00:08:16.598 Businesses can also assist CBP by sharing product information, 00:08:21.198 --> 00:08:21.198 keeping product information guides up to date, 00:08:23.698 --> 00:08:23.698 and providing product training to CBP personnel. 00:08:27.064 --> 00:08:27.064 And businesses and the public can report suspicious trade 00:08:30.364 --> 00:08:30.364 activities to CBP through E-Allegations. 00:08:34.031 --> 00:08:34.031 E-Allegations is an online system that accepts reports 00:08:37.831 --> 00:08:37.831 of possible violations as long as the reports are substantiated 00:08:42.164 --> 00:08:42.164 and include actionable information. 00:08:45.031 --> 00:08:45.031 CBP is continually improving its efforts against IPR violators 00:08:49.264 --> 00:08:49.264 through steady improvements in technology, training, and 00:08:51.998 --> 00:08:51.998 procedures. And it is having an effect. 00:08:55.464 --> 00:08:55.464 But CBP needs your help. 00:08:58.164 --> 00:08:58.164 For more information about CBP and IPR, 00:09:01.364 --> 00:09:05.100 visit this web address on cbp.gov 00:09:05.664 --> 00:09:13.200 (Closing Music)