When is a counterfeit a counterfeit? Years ago one of my co-workers was stationed in Hong Kong. He was getting us top shelf designer jeans and other clothes at stupidly low prices through his next door neighbor.
It would seem that the owner of the factory decided to run an extra shift for himself. He bought the extra cloth from the usual cloth dealer, extra labels from the label maker, and they were sewed on the same machinery. Everyone in the supply chain was in cahoots.
The fellow in Indonesia sent over audio cassettes. We noticed the printing on the paper insert was excellent and the printing on the cassette was excellent and the sound was great. I bought a cassette in a store and what did it say "Made in Indonesia". Those boys ran extra shifts also.
I laughed when I saw brand name manufacturers #$%*ing about being ripped off by "knock offs". They gave their production to someone else in a place they have no real oversight on. You teach someone else your technology or products to make, they are not yours anymore.
The Japanese have been off shoring production for decades. They went to Korea and the Koreans learned all they needed to produce the same products and kicked their asses. So, they went to Indonesia and now Vietnam, and China. China is outsourcing to Vietnam for lower costs.
In these third world countries they can do short runs of parts for our bikes very cheaply by contracting out to small shops.
Japan can no longer produce products cheaper in Japan. Their economy is upside down and their aging population and negative birthrate make matters worse.