Vietnam steps up fight against counterfeit goods to avoid US tariffs

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Facing the risk of a 46% tariff on exports, Vietnam is intensifying measures against counterfeit goods and digital copyright infringement to alleviate US concerns.

The Vietnamese government is strengthening measures against counterfeit goods and digital copyright violations after President Donald Trump accused the country of being a major center for such illegal activities and threatened to impose tariffs. This move comes amid ongoing US-Vietnam trade negotiations, with the goal of avoiding the 46% tariff currently suspended until July.

According to internal documents accessed by Reuters, the current crackdown includes enhanced border checks on imported goods suspected of being counterfeit. Products of particular focus include luxury brands like Prada, Gucci (Kering), electronics from Google, Samsung, toys from Mattel, Lego, and popular consumer goods from Procter & Gamble, Johnson & Johnson.

Trade Dispute and Anti-Counterfeiting Actions

Vietnam is also intensifying digital copyright enforcement. On April 14, the Ministry of Culture sent a warning to a domestic company about using unlicensed software, following a complaint from the Business Software Alliance (BSA) – an organization representing corporations like Microsoft, Oracle, and Adobe. According to Reuters sources, dozens of similar warning letters have been sent to Vietnamese businesses since early April.

Trade negotiations between the US and Vietnam began informally before Trump's global trade policy took effect on April 2. Key negotiation topics include protecting intellectual property, preventing illegal goods transportation, and reducing trade barriers for US goods.

At the end of April, Prime Minister Pham Minh Chinh directed relevant agencies to strengthen control of trade fraud, especially regarding goods origin and counterfeit products. Vietnam hopes that with the current crackdown, it can avoid US tariffs, although this may create tension with China – the primary source of many counterfeit goods imported into Vietnam.

Despite new measures, counterfeit goods remain easily found in Vietnam. According to Reuters, fake luxury products are still openly sold at Saigon Square shopping center in Ho Chi Minh City. The US Trade Representative's Office (USTR) previously included this shopping center in the "notorious markets for counterfeit goods" list.

In a USTR report published in April 2025, the agency stated: "As more brands shift production from China to Vietnam, stakeholders report that Vietnam has become a primary manufacturer of counterfeit products". The report also highlighted Vietnam's Shopee platform as a major distribution channel for counterfeit goods in the digital space.

To improve intellectual property protection, Reuters reports that Vietnam is planning to establish specialized courts to handle intellectual property-related lawsuits, aiming to bring the Vietnamese legal system closer to global standards. The draft law is expected to be passed in June.

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