Vietnam approves customs law changes to strengthen IP enforcement
A Vietnamese flag flutters on the day Chinese President Xi Jinping visits the Ho Chi Minh Mausoleum during his visit to Hanoi, Vietnam, April 15, 2025. REUTERS/Athit Perawongmetha/Pool
Aug 23 (Reuters) - - Vietnam's National Assembly on Sunday approved amendments to the customs law that strengthen customs powers to intercept counterfeit and intellectual property-infringing goods, a move that could address some concerns raised in a U.S. trade investigation into the country's protection and enforcement of intellectual property rights.
• The changes come after the U.S. Trade Representative in May launched a Section 301 investigation into Vietnam's intellectual property regime after designating the country a "priority foreign country" in its annual Special 301 review.
• Among the concerns cited by USTR were widespread counterfeiting, weak border enforcement, limited use of customs' authority to seize suspected counterfeit goods on its own initiative, and the absence of similar powers over goods transiting Vietnam.
• The revised law, which takes effect in March 2027, expands customs enforcement provisions to cover not only imported and exported goods but also goods transiting through Vietnam, broadening the range of shipments that may be subject to intervention by customs authorities.
• Under the amendments, customs authorities retain the power to suspend clearance when rights holders provide evidence of possible infringement and a financial guarantee. Customs officers may also proactively halt the clearance of imported, exported or transit goods if they identify clear signs of counterfeiting or other intellectual property violations.
• The law also introduces new provisions governing goods traded through e-commerce platforms, as Vietnam experiences rapid growth in cross-border online shopping, much of it supplied by Chinese merchants.
• Goods imported and exported through e-commerce platforms will be required to undergo customs procedures and remain subject to customs supervision, while platform operators and logistics providers will be required to provide relevant information to customs authorities.
(Reporting by Khanh Vu; Editing by Raju Gopalakrishnan)
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