Continental Warns Against Pirated Reproductions

Only a week after the US Tire Industry Association announced at the SEMA show in Las Vegas its “policy resolution” regarding look alike tyres, Continental has released its own statement on the issue of counterfeit products. The company wishes to extend an emphatic warning against the use of counterfeit Continental products, and has singled out Asia as the predominant site for the production of such items.

“Pirated reproductions do not have the same material and processing quality as genuine products, and can quickly become a safety risk,” emphasises Manfred Wennemer, Continental AG executive board chairman. In light of this, the company declares it is taking “decisive and comprehensive action” against product piracy, and has already had several major successes in its pursuit of Conti counterfeiters. For example, sales of truck tyres produced in China with illegally-copied Continental treads were stopped in Germany, and in Taiwan claims for damages have been asserted against a dealer.

Of particular concern to Continental is that imitation products lead customers to expect quality and safety standards that the products cannot reach in practice. This can result in potentially fatal accidents. “Based on the expertise we have gained during many years of research, all divisions in our company develop products which contribute to increased road safety as well as added comfort,” reports Wennemer. “In order to minimise the danger of product piracy, we do not develop and manufacture certain products or product components in critical regions.”

In September Conti’s Commercial Vehicle Tires division claimed a victory against the infringement of patent rights. Counterfeit HSR 1 truck tyres were marketed by various tyre dealers in Germany under the Goodride name, the specific tyre being the CR 976 A. While the tyre was not a 100 per cent copy, the specific Continental tread, which is protected by a European patent, was clearly identifiable. Continental AG was able to prevent further sales in Germany; the tyre dealers involved agreed to cease-and-desist without court proceedings.

A month earlier, the ContiTech division reached another important milestone: A Taiwanese dealer and a general importer were forced to pay damages at the market value of the original products after approximately 4,500 counterfeit multiple V-ribbed belts and 13,000 empty packages with ContiTech designs were seized. As is usual in Taiwan after such legal decisions, the dealer was also ordered to make a public media statement announcing their wrongdoing.

Continental reports that its Automotive Systems division’s aftermarket unit, with its ATE brand, is also greatly afflicted by product and trademark infringements. Imitation disk brake pads in a design similar to that of ATE were also impounded. A modified ATE logo and incorrect specifications on the product packaging made the counterfeit look like a genuine product and led customers to believe that they had bought a high quality product produced by the well-known brand. It was also discovered that ATE PowerDisc brake disks were being sold by persons outside the Continental Corporation without permission. A new product and trademark protection concept will protect the affected product groups against further product piracy in the future.

“We will keep our eyes open at all times and everywhere, in particular at regional and international trade fairs. We are making every attempt to continue to prevent the manufacturing and sales of counterfeit Continental products,” concluded Wennemer. “If forced to do so, we will not hesitate to use legal means.”

According to OECD (Organization for Economic Cooperation and Development) estimates, the damage caused by product piracy amounts to US$200 billion worldwide.