▲ Seized products are displayed during a briefing on the Sept. 17, 2026, crackdown on a broker involved in distributing counterfeit cosmetics, health functional foods and other Chinese-made products in South Korea, held at the Seoul Regional Office of Food and Drug Safety in Yangcheon District, Seoul. (Yonhap)

 

SEOUL, Sept. 17 (Yonhap) -- A Korean broker who allegedly conspired with Chinese manufacturers to bring 5.8 billion won worth of counterfeit cosmetics, health functional foods and other products into South Korea and sell them as authentic goods through online open markets, including Coupang and Naver, has been caught, authorities said Wednesday.

 

The Ministry of Food and Drug Safety said it confirmed through a joint investigation with the Intellectual Property Office that Chinese counterfeit products were being illegally distributed as genuine goods and referred broker A, who led the domestic delivery of the fake products, to prosecutors.

 

Kim Jin-hwi, head of the ministry's Central Investigation Unit for Hazardous Offenses, said at a briefing at the Seoul Regional Food and Drug Administration that A conspired with manufacturers in Shenzhen, China, to sell 4.5 billion won worth of 61 types of counterfeit cosmetics and health functional foods over about a year from October 2024 to November last year.

 

He added that 87 types of illegal counterfeit products were stored at a logistics warehouse of about 1,000 square meters in Cheongju, North Chungcheong Province, operated by A. The products had a total market value of 1.3 billion won.

 

A imported a total of 100,984 counterfeit products from China. Of these, 82,860 were distributed on the market and the remaining 18,124 were seized.

 

"We have not been able to determine how many people purchased the counterfeit products," Kim said. "There is also a possibility that the fake products were sold through channels other than Coupang and Naver."

 

He explained that the Chinese consignor had opened the online open-market accounts, while A received the counterfeit products through direct purchases, stored them at the warehouse and handled their delivery. The manufacturers of the counterfeit products are presumed to be Chinese, he said.

 

He added that the counterfeit products were somewhat cheaper than the genuine ones, but the price difference was not significant.

 

The government launched the investigation after receiving information that some products sold on online open markets, including Coupang and Naver, had packaging, materials and certification marks that differed from those of authentic products.

 

After examining the products stored at the warehouse, the Ministry of Food and Drug Safety said their packaging materials and descriptions, as well as the shape and size of their containers and the appearance and color of the products, differed from those of genuine products.

 

The illegally imported products included not only cosmetics and health functional foods but also toothpaste, water purifier filters, shoes and golf bags.

 

The cosmetics were sold disguised as 28 types of products from well-known brands, including "Celladix," "Gahi," "Beauty of Joseon," "Estée Lauder" and "Lancôme." The counterfeit health functional foods were sold as products from brands such as "Korea Eundan" and "Denps."

 

After testing the cosmetics and health functional foods seized from A's warehouse, the ministry said no functional ingredients or marker substances, including whitening ingredients and probiotics, were detected at all.

 

It stressed that because the products had not undergone quality testing during manufacturing, their functional effects and safety could not be guaranteed.

 

"No harmful substances were detected in the counterfeit products," Kim said, while adding that there may have been reports of adverse effects from some products.

 

Authorities also found that A actively participated in selling counterfeit goods, including changing the country of origin of fake Brita water purifier filters to Germany.

 

In addition to the Brita filters, more than 4,000 products violating trademark law were identified, including AirPods, PlayStation controllers, Nike sneakers and Titleist golf equipment.

 

An official from the ministry said A had agreed to receive a fee for handling the delivery of the counterfeit goods and that authorities confiscated 13 million won in proceeds from his alleged criminal activity.

 

However, the ministry said it would be difficult to hold Coupang or Naver responsible in this case.

 

"When purchasing well-known products through online open markets, it is advisable to use official sellers certified by the manufacturers," a ministry official said. "If a product is suspected of being counterfeit, consumers should contact the customer service center of the manufacturer or seller of the genuine product."

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