WASHINGTON — Automakers and suppliers are pressing the Federal Trade Commission for "prompt enforcement" of a law taking effect this month that could play a key role in preventing counterfeit automotive parts from being sold online.
In a letter sent Tuesday to FTC Chair Lina Khan, the Alliance for Automotive Innovation, MEMA and the Automotive Anti-Counterfeiting Council said significant investments and innovations directed at improving vehicle safety in the U.S. are being thwarted by the use of counterfeit auto parts being sold to consumers through third-party marketplaces.
The groups want the commission to take immediate action when the Integrity, Notification and Fairness in Online Retail Marketplaces for Consumers Act takes effect June 27.
Congress passed the law known as the INFORM Consumers Act last year as part of the omnibus spending bill. It requires online marketplaces that sell new or unused consumer products to collect, verify and disclose information about their high-volume third-party sellers and creates a way for consumers to report suspicious conduct.