U.S. Customs and Border Protection (CBP) recently reported a significant bust in Chicago, where they intercepted 485 shipments filled with fake driver’s licenses and counterfeit watches.
Originating from Hong Kong and China, these packages contained a staggering 4,345 fake driver’s licenses and 516 imitation watches. CBP highlighted the potential danger these items pose, noting their use by foreign terrorist and criminal organizations to sidestep legal scrutiny.
Michael Pfeiffer, the area port director in Chicago, emphasized the risks involved with these counterfeit IDs. “These counterfeit driver’s licenses can lead to disastrous consequences,” he stated, pointing out how they enable illegal activities to fly under the radar. Thanks to the sharp eyes of CBP officers, these realistic forgeries were kept from reaching their intended destinations.
The counterfeit watches bore logos of luxury brands such as Rolex, Patek Philippe, and Cartier. Had they been real, these watches would have fetched over $9.22 million at retail. This incident serves as a stark reminder of the ongoing battle against intellectual property theft, which fuels organized crime and threatens the economic well-being of the nation.
LaFonda D. Sutton-Burke, director of field operations in Chicago, reiterated the threat posed by IP theft. She noted that it not only damages America’s economy but also finances criminal enterprises. The seizures took place across various facilities in Chicago, including the international mail facility and O’Hare International Airport.
In the United States, only the American Automobile Association and the American Automobile Touring Alliance are authorized to print international driver’s licenses.
This underscores the importance of vigilance in combating counterfeit documents. CBP’s announcement came shortly after the Office of the U.S. Trade Representative (USTR) highlighted China’s continued role in global IP infringement.
The USTR’s annual report underscored China’s slow pace in addressing IP protection, keeping the country on its priority watch list. It also highlighted that Chinese e-commerce platforms remain hotspots for counterfeit goods. More than 93 percent of the value of counterfeit goods seized by U.S. customs in 2024 were linked to China and Hong Kong.
Among the most seized counterfeit items were handbags, wallets, and pharmaceuticals, with authentic versions valued at over $1 billion. These figures paint a worrying picture of the scale of counterfeit operations. At midnight on May 2, a key U.S. trade policy known as the de minimis rule expired for Chinese imports, ending duty-free exceptions for goods under $800.
This policy change follows President Trump’s executive order aimed at curbing the influx of counterfeit goods. Chinese shippers have long exploited these loopholes to smuggle illicit items into the country. CBP data revealed a striking rise in de minimis shipments, from 2.8 million in 2023 to 4 million daily.
Back in January 2021, CBP in Cincinnati reported seizing 14,504 fraudulent identification items over the previous year. A whopping 97 percent of these items came from China and Hong Kong. This highlights the persistent challenge posed by counterfeit documents in the U.S.
Richard Gillespie, then-Cincinnati port director, noted the dangers associated with fake documents. They facilitate identity theft, public benefit fraud, and human trafficking, while also aiding terrorists in evading travel screenings. The Chicago O’Hare International Airport saw a similar crackdown in July 2020, with nearly 20,000 fake U.S. driver’s licenses seized in just six months.
Most of these licenses were traced back to Hong Kong and China, with a few originating from the UK and South Korea. This ongoing struggle against counterfeit goods and documents is a testament to the dedication of CBP officers. Their efforts are crucial in safeguarding national security and the economy.
