BANGKOK — According to the latest annual report from the U.S. Trade Representative focusing on “notorious markets,” it has been revealed that a vast majority of the world’s 35,000 online pharmacies are operating unlawfully. This poses significant risks for consumers, as they may be purchasing ineffective or even hazardous medications. The report has also brought attention to 19 countries due to their issues with counterfeit or pirated goods.
The investigation highlighted around thirty online retailers, predominantly located in China and other parts of Asia, which are purportedly involved in illegal activities, particularly the sale of counterfeit items. Alarmingly, the report indicates that 96% of online pharmacies are breaching regulatory laws, many doing so without proper licenses and selling medicines without prescriptions or adequate safety alerts.
These online pharmacies often mimic legitimate e-commerce websites, frequently including false endorsements claiming approval from the Food and Drug Administration (FDA). Both the FDA and the U.S. Drug Enforcement Administration have issued warnings regarding the dangers associated with procuring prescription medications from such online sources. A survey conducted by the Alliance for Safe Online Pharmacies’ Global Foundation revealed that nearly one in four Americans who have engaged with online pharmacies reported encountering substandard, counterfeit, or harmful medications.
Last year, federal prosecutors disclosed that a network of illicit drug dealers operating in the U.S., Dominican Republic, and India had distributed potentially lethal synthetic opioids disguised as standard prescription drugs, selling millions through fraudulent online drugstores. This operation resulted in at least nine fatalities from narcotics poisoning between August 2023 and June 2024 after individuals mistakenly took these counterfeit pills.
The dangers of consuming drugs that may contain non-active ingredients or induce allergic reactions are underscored in the report, which notes that some medications are produced in unsanitary environments. While the report discusses the risks posed by domestic illegal pharmacies, it also raises concerns about imported substances like fentanyl from China, as many of these unlawful online pharmacies are situated outside the United States.
The USTR’s report aims to expose these illicit entities, emphasizing the global public health dangers they represent. In a statement, the Alliance for Safe Online Pharmacies noted that by identifying these “bad actors,” the USTR provides valuable resources for various stakeholders, including healthcare providers, patient safety advocates, public health organizations, law enforcement, and pharmaceutical manufacturers, all working to safeguard consumers online.
Moreover, the “Notorious Markets List” acknowledged some advancements in the battle against counterfeit and pirated goods. In a significant operation, U.S. authorities alongside industry groups and law enforcement managed to dismantle a piracy network based in Hanoi, Vietnam, specifically targeting the piracy site Fmovies and related websites.
This piracy site had amassed over 6.7 billion visits from January 2023 to June 2024. In another Vietnamese case, two individuals were convicted for operating the pirate television platform BestBuyIPTV and were fined while also forfeiting property. The report mentioned crackdowns on online piracy in regions such as Brazil and the United Kingdom, as well as operations that targeted sellers of counterfeit handbags, apparel, and footwear in Kuwait.
Despite these efforts, challenges persist with cyberlockers that hinder initiatives aimed at curbing film piracy and so-called “bulletproof” internet service providers (ISPs) that allow users to engage with illicit sites without repercussions. Among these ISPs, Avito, a Russian-based advertising platform, has been accused of permitting the advertisement of counterfeit products.
Furthermore, Baidu Wangpan, the cloud storage service of China’s leading search engine, has been criticized for its slow response to copyright enforcement. The report also pointed out issues related to the social-commerce platform Pinduoduo and Douyin Mall, associated with the company ByteDance (owner of TikTok). Although these shopping platforms are working to improve their protective measures, they continue to host numerous counterfeit items.
Shopee, an online marketplace based in Singapore, was mentioned, with the report noting that some localized platforms serving Southeast Asia and South America demonstrate a better commitment to combating piracy than others. In India, IndiaMART continues to list many counterfeit products, reflecting ongoing challenges in addressing such issues.
While a considerable portion of intellectual property theft has transitioned to online platforms, the report also highlighted physical locations notorious for selling counterfeit goods, such as markets in Turkey, bazaars in the United Arab Emirates, and Saigon Square Shopping Mall in Ho Chi Minh City, Vietnam. Although Bangkok’s MBK Center, a large shopping destination with around 2,000 stores, has actively sought to combat counterfeiting, evidence of such products remains available there.