Thank you for that; I appreciate your informed comment.
In Aus in the 1980s the multinationals auto manufacturers* tried to stop the importation of "pirate parts" by others on the basis that these parts copied OEM designs which were in turn the manufacturer's property .
The only recent successful case was againset an importer who was importing the Toyota badge which was not made by Toyota.
Since the 1980s Australian Consumer Law permits the importation of these parts provided that they do not have the OEM's logo on them and in fact when one has one's car repaired the chances are that "will fit parts" are used . The exception is that while the car is on OEM's warranty, OEM parts have to be used.
For example the difference in price of a Mazda OEM turbocharger and a "will fit" one can be up to $1000.
Auto manufacturers call this "added brand value"*
Similarily, one can buy an IPhone battery ex China for $17 while Apple downtown is charging 10 times that
I know that there should be a reasonable surcharge benefit to the OEM but 10 times the price difference is absurd, IMO.
Over the past 3 years I have saved over $2K by sourcing spare parts for my car, computers , iPhones and whitewoods in China.
* Before pirate parts arrived on the scene the marketing profit mix for the auto industry was: -10% from sales -5% from servicing packages -85% from parts
Post the arrival of pirate parts this profit mix has dramatically shifted away from parts.
In some cases this "added brand value" called cash boxing is being squirrelled away in overseas tax havens thereby avoiding Aussie corporate tax. This issue was presented at the Aus Senate Finance Committee 3 years ago where Apple Australisia was grilled about why it was owned by Apple Ireland and the transfer pricing tax implications for Australia.
