In early December 2025, U.S. Customs and Border Protection (CBP) officers in Louisville intercepted three international shipments containing counterfeit luxury goods, valued at more than $18.6 million if authentic.
This wasn’t a “one-off.” It’s a clear signal that counterfeiters continue to exploit express and parcel channels, especially during peak and holiday surges, when volumes spike and bad actors hope to blend in with legitimate trade.
For supply chain leaders, this is more than a headline. Counterfeits trigger detentions, seizures, customer trust damage, compliance exposure, and cost volatility, often with little warning.
What happened in Louisville (and why it matters)
According to reporting based on CBP’s release, Louisville officers intercepted:
- Two shipments arriving Dec. 5 from Hong Kong, destined for Staten Island, NY and Irving, TX.
- One shipment contained 400 counterfeit Cartier watches plus Moncler and Chrome Hearts hats.
- Another contained eight counterfeit Cartier watches and 13 counterfeit
- A third shipment arriving from Taiwan, destined for Houston, containing 160 counterfeit Rolex watches (reported as 80 Cosmographs and 80 Day-Dates).
CBP also emphasized a seasonal reality: during the holiday shopping period, counterfeiters intensify efforts, and shoppers (and businesses) can be tricked by “deals” that seem too good to be true.
The bigger picture: counterfeits are a supply chain risk, not just an IP issue
Counterfeiting isn’t limited to luxury goods. It’s a global illicit trade that touches products with direct operational and safety consequences.
The OECD has estimated counterfeit and pirated goods represented up to 3.3% of world trade (based on 2016 data).
Another OECD/EUIPO study estimates international trade in counterfeits totaled up to USD $464B in 2019 (about 2.5% of world trade).
And critically: counterfeit goods can be dangerous. U.S. Homeland Security investigations have warned that high-risk categories often include automotive parts, electronics, safety equipment, prescription drugs, and cosmetics.
That means the “cost” of counterfeits isn’t just lost revenue for brands—it can become product liability, recalls, reputational damage, and downstream channel disruption.
Why express hubs like Louisville are a hotspot
Counterfeiters love environments with:
- High parcel volume
- Fast transit expectations
- Fragmented shipments (many small consignments instead of one large container)
That’s why the Louisville story is so relevant for e-commerce and omnichannel brands. Counterfeiters often test multiple routes and recipients, then scale the lanes that slip through.
What happens when CBP suspects counterfeit goods?
When shipments are suspected of infringing on recorded trademarks/copyrights, CBP can detain, seize, forfeit, and destroy the goods under its enforcement authorities.
In the Louisville case, trade specialists (and CBP’s Centers of Excellence and Expertise, per reporting) confirmed the goods were counterfeit.
For legitimate importers, the operational impact of a hold can include:
- Missed delivery windows / chargebacks
- Inventory stockouts
- Increased customer service volume
- Expedited freight costs to recover timelines}
- Scrutiny on future shipments (same shipper/consignee patterns)
7 practical moves to reduce counterfeit exposure in your supply chain
These are the high-impact, low-regret steps we recommend for importers and brand owners.
1) Tighten supplier onboarding (beyond paperwork)
Add hard gates:
- Verified business registrations and beneficial ownership checks
- Factory/site audits (or credible third-party audits)
- Traceability documentation (purchase orders, authorized distribution proof)
2) Build an “authenticity evidence pack” for high-risk SKUs
For branded or regulated items, keep:
- Authorization letters (where relevant)
- Distributor agreements
- Product catalogs/spec sheets
- Photos of authentic packaging/markings: This reduces friction if CBP or a brand owner requests proof.
3) Standardize product descriptions and valuation discipline
Counterfeit shipments frequently involve false descriptions, undervaluation, or vague commodity names. Clean data helps your broker defend legitimacy and lowers targeting risk.
4) Monitor parcel patterns like fraud signals
Look for:
- Multiple small shipments from new shippers
- Inconsistent routing
- Rapid address changes
- Unusual “gift/sample” declarations
Counterfeits often travel in patterns before they travel in volume.
5) If you own the brand: record your trademarks with CBP
CBP’s Intellectual Property Rights (IPR) e-Recordation program helps CBP identify and enforce against infringing imports.
6) Strengthen marketplace controls (if you sell online)
- Enforce approved reseller lists
- Use serialization where possible
- Run periodic test buys from suspicious sellers
- Align brand protection, legal, and logistics workflows (so escalation is fast)
7) Treat counterfeits as a cross-functional risk
Counterfeit risk touches:
- Procurement (supplier approval)
- Compliance (entry data quality)
- Operations (receiving checks)
- Customer experience (returns and complaints)
A short monthly review between these teams can prevent “surprises at the port.”
Where a customs brokerage partner fits in
Counterfeit events often turn into a time-sensitive compliance problem. You need a broker who can help you:
- Validate documentation fast
- Correct entry issues before they escalate
- Reduce the “noise” that triggers extra scrutiny
- Build repeatable compliance workflows as volume grows
At GLC, our Customs Brokerage team is built around navigating CBP requirements and helping clients stay compliant, especially when the rules get complex or timelines get tight.
And because GLC is a fully integrated operation across freight forwarding, warehousing/fulfillment, and brokerage, we can help reduce handoffs where risk (and data gaps) usually appears.