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Amazon Launches Anti-Counterfeiting Fight

FILE - A fake LVMH handbag purchased and shipped from a China based online website is displayed to the photographer outside a Louis Vuitton store in Chevy Chase, Maryland. Taken Oct. 26, 2010

NEW YORK - Amazon has launched its Anti-Counterfeiting Exchange (ACX), an initiative to help retail stores label and track marketplace counterfeits as part of the e-commerce giant's efforts to crack down on organized crime on its platform, the company announced on Thursday.

"We think it is critical to share information about confirmed counterfeiters to help the entire industry stop these criminals earlier," Dharmesh Mehta, Amazon’s vice president of selling partner services, said in a statement.

Online marketplaces in the United States and elsewhere, including Amazon, face hurdles in keeping counterfeiters off their platforms and fake merchandise from entering their warehouses.

The new program mimics data exchange programs by the credit card industry to find scammers and identify their tactics.

Stores and Amazon marketplace sellers can anonymously contribute information and records flagging counterfeiters to a third-party database or use the database to avoid doing business with the bad actors.

The Seattle-based retail giant piloted the anti-counterfeiting initiative in 2021 with an undisclosed number of apparel, home goods and cosmetics stores, where counterfeiting is most common.

As part of other anti-counterfeiting efforts, Amazon is also working with the U.S. Customs and Border Protection on a data pilot that helps the company identify and target low-value e-commerce shipments that may be counterfeit goods or break other regulations.