Is the circulation of fake chips because of China?

-Original content, please do not reprint.
Most of the chips produced in the world are shipped to China, because this is the country with the largest chip consumption. Most of them are consumed by manufacturing, while some continue to flow around the world. There are real chips and a small number of fake chips.


How did the fake chips get to these companies? What about even entering the U.S. military-industrial system?In this data on the import and export of electronic integrated circuits, China’s import of integrated circuits accounts for as high as 54.81%.

These chips shipped to China are usually used for three purposes:

• Directly sold to the manufacturer for product manufacturing 2: Stored in the supplier's warehouse as a chip reserve for sale 3: Sold to other countries via China. Hong Kong and Singapore have also become major hubs.

• We can see that China's export data for this type of products is also the highest in the world, as high as 41.24%. Of course, this does not entirely include this part of imported chips. It also includes other Chinese-branded parts and components.

Where did the fake chips come from?

Counterfeit chips are usually circulated on the market in the following forms:

• 1: Recycling of old original parts and refurbishing them 2: Similar functions that can replace the original parts and counterfeit them 3: Directly produced copycat original parts. 4: Counterfeiting of completely different parts. 5: Products marked as defective are still sold in the market. Among them Most of our products are used in consumer electronics products that do not have high requirements for the working environment. They may not necessarily malfunction or malfunction in the short term. They can even pass a series of tests. They are usually used in industrial products and automobiles or high-demand applications. Faults will only occur in military products and be identified.

• Most people who buy counterfeit chips do so because they are greedy for cheap. The circulation of counterfeit chips lies in their low cost. Manufacturers around the world want to avoid buying chips from China, but in fact it is difficult to avoid it.

• Because a large number of chips around the world are flowing into China's circulation market, even if they don't want to purchase from China, there will still be lies about supplying chips to manufacturers claiming to be from Europe, the United States or other countries. The lack of components due to shortages also makes many manufacturers People have to lower their standards for suppliers and purchase components from unfamiliar channels.



• The only way is to not only look at whether the price is cheap, but to only cooperate with suppliers with rich business experience. When out of stock, ask a trusted and discerning supplier for help.


crime

• If all the crimes of counterfeit and shoddy chips are blamed on the Chinese market, it will obviously be unfair to other upright suppliers.


• In 2010, 38-year-old Stephanie McCloskey assisted a small Florida company, Vision Technologies, in selling nearly 60,000 counterfeit integrated circuits worth US$16 million. She and her boss, Shannon Lane, knew that the components were counterfeit and manufactured in a harsh environment, but still sold the original components to their customers, and they were used in military products, missiles and hand-held radiation detectors and high-speed control train company. In order to conceal the source of the chip, they even lied that the chip came from Europe and the United States.

• Most Chinese traders do not have the conditions and qualifications to supply to American military companies. As for suppliers who sell counterfeit original parts, they have the ability to identify them and can choose genuine chips, but the huge profits tempt them.

• Counterfeit products are ubiquitous around the world. According to 2019 data, counterfeit products account for 2.5% of total global trade. This is only the result of customs detention observations and does not include products that do not circulate through customs. The actual volume of counterfeit products It may be higher than this figure.