Counterfeit electronic components are a bigger problem than most people realise. In 2024, reports of suspect and non-conforming parts reached their highest level since 2015, up 25% on the year before. And it’s no longer just obscure, hard-to-source parts being targeted. Active components, available through mainstream channels, are increasingly in the crosshairs.
For businesses that design and manufacture products dependent on electronics, that’s a risk worth taking seriously. Because once a fake part makes it into your product, the consequences can be significant.
The real cost of a counterfeit component
Counterfeit parts don’t announce themselves. They look right, they pass visual checks, and they make it through assembly. The problems come later.
Product failures in the field. Safety incidents. Expensive recalls. Regulatory non-compliance. In sectors like defence, medical, aerospace and industrial automation, the stakes are higher still, with potential legal and contractual exposure on top of the commercial damage.
Industry research puts the average cost of a single counterfeit component incident at upwards of £40,000 — and that’s before you factor in the reputational damage and the knock-on impact on your customers. For a product you’ve invested years developing, that’s a risk no one can afford to take lightly.
Why the risk is increasing
The global electronics market is growing fast, driven by demand from AI infrastructure, electric vehicles, smart manufacturing and more. Where demand grows, so does the incentive for counterfeit parts to enter the supply chain.
The most common route in is through grey market sellers and unauthorised brokers. When components are scarce or lead times stretch, the temptation to source outside authorised channels increases, and that’s exactly the moment when counterfeits thrive.
No sector is immune. Newer component types are being targeted for the first time. And the consequences of getting it wrong are becoming harder and harder to absorb.
How Electrica protects your product
We design, develop and manufacture electronics in-house, from initial concept through to finished product. That end-to-end control matters when it comes to counterfeit risk, because we own the supply chain from start to finish. You’re not dependent on a chain of third parties, each with their own sourcing practices and varying standards.
We source components directly from Original Component Manufacturers (OCMs) or their authorised franchised distributors as a matter of course. Everything that comes through our doors goes through rigorous incoming inspection, including X-ray analysis and functional testing, not just a visual check. And we maintain complete traceability on every part, so we can account for the origin and history of every component in your product.
When a component is obsolete and we need to source it from outside standard channels, we use AS6081 certified distributors only. AS6081 is an internationally recognised standard for independent distributors, specifically designed to prevent counterfeit parts from entering the supply chain. It means the same level of rigour applies, regardless of where the component comes from.
Our team also keeps a close eye on developments across the electronics landscape, including emerging supply chain risks. If something looks like it could become a problem for your project, we’ll tell you early, clearly and without fuss. That’s always been our approach.
What this means in practice
We work with customers across some of the world’s most demanding sectors. Defence. Medical. Aerospace. Industrial automation. The quality and compliance standards those industries require don’t leave room for shortcuts, and our processes reflect that.
For you, it means you can trust that the product leaving our facility is built from genuine, traceable components, inspected to a high standard, and backed by documentation that stands up to scrutiny. You don’t need to chase us for assurance. It’s built into how we work.
Let’s talk
If counterfeit component risk is something you’re thinking about — whether you’re mid-project, evaluating a new manufacturing partner, or planning ahead — we’re happy to have an honest conversation about your project and how we can help.
Call us on 0161 343 7575 or email sales@electrica.co.uk to get started.
