Issue link: https://iconnect007.uberflip.com/i/1527276
24 SMT007 MAGAZINE I OCTOBER 2024 Not yet, that I'm aware of. I think the industry will continue to move toward more transpar- ency as it will simply be necessary to combat the ever-growing threat of counterfeits. We can track the provenance and the chain of distribution for beef, thanks to the mad cow disease experience. We know exactly who had that food, when, and where, all down the chain. So, why not chips? Exactly. Can these counterfeiters be prosecuted? Yes, but it's extremely difficult to catch per- petrators. It's similar to cybercrime in that respect. What can EMS companies do to help keep this out of their supply? I know several EMS providers with their approved broker lists, and they require their customers to waive any company that doesn't have their approval. One company I know is extraordinarily strict. If you're a broker and you sell them a counterfeit, you will never see their business again. I think that kind of rigor is important. In other words, don't buy TVs out of the back of a van in the shopping center parking lot. Exactly right. SMT007 Enrico Hu, business development manager at WIN SOURCE, talks about the controversy over counterfeiting in the global distribution and how it affects his company. "Global distribution indeed faces some controversies, pri- marily due to the circulation of counterfeit products and the volatility of supply chains. These issues not only under- mine overall market trust but also pose challenges to the operations of compliant com- panies. "The issue of counterfeit products is one of the most pressing concerns in global distribution, particularly in the electronic components indus- try. Counterfeit components can lead to equipment failures and even safety incidents, posing production risks to consumers while eroding the brand and revenue of legitimate manufacturers. Addi- tionally, the instability of global supply chains, driven by political and economic uncertainties as well as natural disasters, pres- ents further challenges to distributors. "In response to these chal- lenges, we have adopted pro- active strategies. As mem- bers of associations such as ERAI, ASA, IPC, SMTA, and SEMI, we are committed to distributing only verified high-quality components. We implement stringent sup- plier evaluations and prod- uct inspection procedures to eliminate counterfeit prod- ucts. We have established a robust global supply chain network and employ flexible strategies to address supply chain disruptions, ensuring we fulfill our commitment to 24-hour shipping for our cus- tomers. " Combatting Counterfeiting in the Global Supply Chain Enrico Hu by Dan Beaulieu