As reported on the Class 46 blog recently (see here), a new report by the EUIPO and OECD has demonstrated the correlation between illicit trade in counterfeits and labour exploitation. The report, “From Fakes to Forced Labour” was published on 20 January.

Dr. Fabian Landscheidt of Vossius & Partner in Germany has provided the following analysis on behalf the MARQUES Anti-Counterfeiting and Parallel Trade (ACPT) Team:

The ACPT Team welcomes the timely OECD/EUIPO report "From Fakes to Forced Labour" (2026), which provides compelling evidence of the strong correlation between illicit trade in counterfeits and labour exploitation, including forced labour, child labour, and unsafe working conditions.

This study underscores what brand owners have long observed: counterfeiting is not merely an IP infringement issue but a serious human rights and social concern, often fuelled by criminal networks that exploit vulnerable workers to undercut legitimate markets.

The findings – such as positive correlations between counterfeit trade indicators (e.g., value of fakes or customs seizures) and forced labour prevalence, alongside weaker labour protections in high-risk sourcing countries – reinforce the need for integrated approaches that combine robust IP enforcement with enhanced labour governance, supply chain due diligence, and international cooperation.

One key illustration from the report is Figure 3.1, which demonstrates a clear positive correlation (coefficient = 0.42) between the value of counterfeit goods and the number of forced labour victims across countries in 2021 data. This scatter plot highlights how higher volumes of fakes in trade are associated with greater forced labour issues - directly linking the scale of trade mark-infringing counterfeit trade to human exploitation risks.

MARQUES and the ACTP Team remain committed to supporting brand owners in combating counterfeits while advocating for policies that address these interconnected risks. We encourage stakeholders to use this report to drive meaningful action against exploitation in illicit supply chains.