9:14:49 AM | 1/9/2025
Vietnam's trade flow is becoming vibrant and adding value to the country. However, this growth is accompanied by an increasingly unpredictable rise in smuggling counterfeit goods, intellectual property (IP)-infringing items and goods with fake origins.
Customs authorities are ramping up inspections to combat smuggling, counterfeit goods, IP-infringing items, and products with fake origins
High-risk items for counterfeit and intellectual property-infringing goods mainly include consumer goods such as fashion items, household goods, electronics, electronic components, functional foods, cosmetics, pharmaceuticals, cigarettes, new-generation tobacco products and various types of alcohol. These items commonly originate from South Korea, Cambodia, Thailand, China, Hong Kong and Taiwan (China). Notably, the sale of counterfeit goods, goods of unclear origin and intellectual property-infringing goods on e-commerce websites is increasing significantly.
In response to this situation, customs authorities have issued numerous directives guiding local customs offices to proactively inspect and detect intellectual property-infringing goods. The Anti-Smuggling and Investigation Department regularly develops plans to coordinate with relevant units both within and outside the sector to combat smuggling and counterfeit goods and protect intellectual property rights. As a result, many large-scale cases have been detected, handled and seized, with the value of infringing goods reaching tens of billions of VND.
At the Saigon Port Customs Branch - Area 1, several cases were detected over the past year. One company imported nine items under the name SURMT. Upon inspection, the declaration matched the company's report regarding the name, quantity, type, origin, commodity code and tax rate. Another company imported a shipment of 21 items, including many heat-resistant clothing under the name LAKELAND. However, on the packaging, boxes and product surfaces of both companies, there was an additional "R" in a circle (Registered - trademark registered with the state agency), but they could not present a trademark registration certificate in Vietnam. Both companies were fined VND30 million and required to remove the violating elements from the goods.
Another case was detected by the Hai Phong Port Customs Branch - Area 2. The company imported goods under the brand name BLUMaxi. The actual inspection and assessment results showed that all the goods were BLUMaxi kitchen cabinet hinges, which infringed on the BLUM trademark – a trademark that is registered for protection in Vietnam.
In the fight against intellectual property rights infringement, law enforcement agencies, including customs authorities, face numerous challenges. According to the Anti-Smuggling and Investigation Department, the first obstacle is the rapid development of digital technology, which has led Vietnamese consumers to develop a habit of online shopping, resulting in the rapid growth of e-commerce.
Additionally, Vietnam's geographical location, with a 4,510 km land border adjacent to China, Laos and Cambodia, and a 3,260 km coastline from north to south, presents a lot of challenges. Common tactics include misdeclaring goods, failing to declare, mixing intellectual property-infringing goods with declared imports to conceal and evade detection during low-percentage inspections, or importing unbranded components and parts, then assembling and labeling them with counterfeit trademarks in Vietnam.
Even in developed countries with advanced machinery and equipment, controlling counterfeit and intellectual property-infringing goods on e-commerce platforms remains difficult. In Vietnam, despite state investment and attention, efforts have not yet met practical needs. Furthermore, legal regulations for managing e-commerce business are still being gradually improved, and information exchange between management agencies such as the Vietnam Directorate of Market Surveillance, General Department of Vietnam Customs, and General Department of Taxation is not timely in addressing violations. To enhance the effectiveness of these efforts, representatives from the General Department of Vietnam Customs suggest improving coordination and information exchange between customs authorities and stakeholders. Continuous sharing of information on genuine and counterfeit goods, new product information, and import-export business details is needed. When customs authorities request verification information, prompt and timely responses are necessary.
By Hien Phuc, Vietnam Business Forum