BANGKOK — A new report from the U.S. Trade Representative reveals troubling information about the global landscape of online pharmacies, indicating that nearly all of the estimated 35,000 sites are operating outside the law. The report underscores significant risks consumers face when purchasing medications online, which may include ineffective or potentially hazardous products. Additionally, it identifies 19 nations as problematic due to their involvement in the distribution of counterfeit or pirated items.
The report further highlights a list of approximately thirty online retailers, primarily based in China and other parts of Asia, that are believed to be involved in selling counterfeit goods or engaging in other unlawful activities. Alarmingly, it states that around 96% of online pharmacies were found to be in violation of existing laws, many lacking necessary licenses and selling medications without requiring prescriptions or providing essential safety warnings.
Many of these online platforms mimic genuine e-commerce sites, often making false assertions of approval from the Food and Drug Administration (FDA). It points out that both the FDA and the U.S. Drug Enforcement Administration (DEA) have warned consumers about the dangers of procuring prescription drugs from dubious online sources. A survey conducted by the Alliance for Safe Online Pharmacies’ Global Foundation revealed that nearly 25% of Americans who purchased medicines online had experienced issues with substandard or counterfeit medications.
Federal prosecutors recently highlighted a case where a network of illicit drug sellers from the U.S., Dominican Republic, and India had been packaging lethal synthetic opioids disguised as regular prescription medications. According to legal documents, these counterfeit pills were sold through fake online pharmacies, with at least nine fatalities attributed to narcotics poisoning from August 2023 to June 2024. Furthermore, the report notes that the risks associated with these drugs include exposure to inert ingredients or allergens, and that many are produced in unsanitary environments. However, the report did not provide figures on the annual number of deaths or injuries attributed to these practices.
While the report covers illicit activity occurring within the United States, it also draws attention to the dangers posed by imported ingredients like fentanyl from China. A majority of the illicit online pharmacies are not based in the U.S. The “Notorious Markets List” within the report does acknowledge some progress made in addressing counterfeit and pirated goods.
One notable achievement involved U.S. agencies, industry coalitions, and law enforcement successfully dismantling a piracy operation based in Hanoi, Vietnam. This crackdown targeted the then-largest piracy website for movies, which had drawn over 6.7 billion visits from January 2023 to June 2024. Additionally, two individuals involved in the pirate television service BestBuyIPTV were convicted and ordered to pay fines as well as surrender properties related to their illegal activities.
The report also points to increased efforts to combat online piracy in countries such as Brazil and the United Kingdom, alongside arrests of counterfeit sellers in Kuwait dealing in imitation handbags, apparel, and footwear. Despite these efforts, challenges persist with “cyberlockers” that complicate the enforcement against movie and content piracy, as well as “bulletproof” internet service providers that allow users to engage with pirate sites without consequences. Avito, a Russian-based advertising platform, was cited for allegedly permitting the advertisement of counterfeit products.
Moreover, Baidu Wangpan, the cloud service of China’s largest search engine, faces scrutiny for its alleged failure to adequately enforce copyright protections. The report also mentions Chinese social commerce platforms like Pinduoduo and Douyin Mall, owned by ByteDance, which, while striving to strengthen protections against counterfeit items, still host numerous fraudulent goods. Similarly, Singapore-based Shopee, along with some locally-focused e-commerce platforms serving Southeast Asia and South America, have varied success rates in addressing piracy.
Despite the prevalence of online intellectual property theft, real-world locations also remain hotspots for counterfeit sales. The report points out markets in Turkey, bazaars in the United Arab Emirates, and Saigon Square Shopping Mall located in Ho Chi Minh City, Vietnam, as notorious for selling counterfeit products. In Bangkok, the MBK Center, a large mall featuring around 2,000 stores, is noted for its efforts in combating counterfeiting, although such products are still available.
