Automotive

Why Anti-Counterfeit solutions for Automotive are needed?

Counterfeit parts have become one of the most widespread risks in the global automotive supply chain. According to OECD, automotive counterfeiting contributes significantly to the global trade in fake goods, which accounted for over USD 467 billion in 2021. Automotive products are among the most affected categories. Even in regulated markets like the U.S., authorities seized more than 200,000+ fake automotive parts in 2024, signalling how deeply the problem has penetrated.

These counterfeit parts quietly slip into workshops, online marketplaces, and dealer networks—damaging vehicles, increasing warranty claims & recall costs, and ultimately eroding brand trust. Implementing anti-counterfeiting for automotive products ensures every part is protected with a secure identity. Protecting each component is no longer optional; it is fundamental to keeping customers safe and safeguarding the brand.

The Counterfeiting Problem:

  • Many counterfeit parts do not meet safety or performance standards — which can lead to failures in critical systems (e.g., brakes, airbags).
  • In the U.S., over 211,000 counterfeit automotive parts were seized in 2024—nearly double the previous year.
  • Because fake parts often mimic original packaging and branding, identification is difficult without verification.
  • The cost isn’t just direct: brands face reputational damage, increased warranty claims, regulatory risk, and potential liabilities.

The Untraceability Problem

  • Multi-tier supply chains make end-to-end visibility difficult.
  • Hard to trace faulty parts back to specific batches or suppliers.
  • Counterfeit or substandard components can enter unnoticed.
  • Manual/siloed tracking delays root-cause analysis.
  • Poor traceability increases recall scope and cost.
  • Inconsistent part-level identification reduces accountability.

How Checko Solves These Problem

Brand Protection

  • Pre-installation authenticity check:  Service centers scan the Checko smart label before fitting a part, ensuring only genuine components go into vehicles.
  • Customer self-verification: Vehicle owners simply scan the Checko tag on replacement parts (e.g., brake pads, filters) to confirm authenticity before service — reducing risk from online or aftermarket purchases.
  • Channel & distributor accountability:  Each part carries a unique Checko identity, allowing brands to see where it moves after dispatch and detect unauthorized or grey-market diversion.

Digitized Loyalty & Engagement

  • Warranty claim validation:When a part fails, Checko scan history confirms if the component was genuine and identifies its batch — resolving claims faster and blocking fraudulent requests.
  • Targeted recall execution:
     Checko helps brands instantly identify which parts (by batch/lot) are in the field — enabling precise recall outreach instead of broad, costly campaigns.
  • Refilled or repacked part detection: Even if original boxes are reused, counterfeit items cannot mimic Checko’s physically-unclonable identity, revealing fakes immediately.

Track & Trace of the Products

  • Supplier & OEM trace-back:  Checko logs movement from supplier to OEM to service network, giving complete chain-of-custody visibility for critical components.
  • Counterfeit risk heat-mapping: Scan analytics highlight suspicious regions or outlets where fake parts repeatedly surface, helping brands act on ground with precision.

Ready to Secure Your Automotive Products?

If you’d like to see how Checko works on your packaging, we’d be happy to run a quick pilot on one of your SKUs.
 Book a demo to get started.

Case Studies

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