The sale of fake sports equipment, like footballs, sports helmets, tennis rackets, skis, gym equipment and skateboards, costs legitimate EU manufacturers €500M ($564M) every year. A new study from the Office for Harmonization in the Internal Market, the EU's largest intellectual property agency, shows that the sales lost due to counterfeiting of sports equipment -- not including sportswear -- correspond to 6.5% of all sales in this sector across the EU-28. The study also shows that approximately 2,800 jobs are lost in this sector throughout the EU, as manufacturers sell less than they would have done in the absence of counterfeiting, and therefore employ fewer people. Every year, an additional €360M ($406M) is lost across the EU due to the indirect effects of counterfeiting of sports equipment -- as manufacturers buy fewer goods and services from suppliers, causing knock-on effects in other areas. The OHIM report also shows that up to €150M ($170M) is lost annually in government revenue throughout the EU due to this type of counterfeiting. This includes tax, social contributions and VAT which are not paid by producers and distributors of fakes. France produces 15% of the total EU sports goods production each year. The manufacture of fake sports equipment costs the sector €82M ($93M) every year. Germany is the second largest producer of sports goods in the EU, accounting for around 20%. Fake equipment costs the sector €44M ($50M) every year. Italy is the primary producer of sports goods with more than 20% of total EU production. The manufacture of fake sports equipment costs the sector €53M ($60M) per year (OHIM).
