I've read a couple of threads and it kind of makes sense although I cannot and will not condone it. The counterfeits, as claimed in other threads from people supposedly living in places like Hong Kong and whatnot, are so prevalently made because the cannot get the US made knives there for any kind of reasonable cost. It's not like here in the US where you can find ZTs and Benchmades and Spydercos at 40% off MSRP with free shipping and all that. So they make high end counterfeits to tap into the Asian and Russian markets that want the product but cannot obtain it without themselves being ripped off. Those counterfeits are made at a much lower cost just like anything else made in China. Some people know there are shady people here in America that just want to save money and disregard any kind of morality concerning counterfeits so they buy the counterfeits intended to stay in other countries and dump them into the US market.
Long story short, if a Chinese person wanted a high end knife they could buy a Kevin John knockoff of a ZT or buy a We knife and they'd cost about the same over there so it just comes down to what they want. They can't make a We knockoff any better than a We knife or make it just as good for any cheaper so there's no point in knocking it off. There'd be no need to counterfeit a WE knife. Now if an American company could make a counterfeit We knife that was just as good as a We knife and sell it here in the US for substantially less money than a We knife with no laws or regulations to stop them from doing so, then you'd most likely see someone knocking off at least a design or two that was originally created by We. And if it could be made, sold, and exported to China and still be cheaper and just as good as the Chinese brand, there'd be a market for those knives and someone here in the US would do it, especially of there were no American laws stopping them and no way China could come after the American.
That in no way makes it right, but someone would do it regardless.
And that in no way discounts the possibility that the same factories and investors and just generally the people involved in making these high end Chinese knives aren't involved in making the counterfeits using a different brand name. They'd be stealing from themselves.