In the wake of pressure by the US Government, Vietnam has launched a crackdown on counterfeit fashion and lifestyle products, impacting the retailers. With the crackdown, the products that came into light included the fake copies of Nike, North Face, and Lacoste, among others. Although, these products were made in China but were stamped ‘Made in Vietnam’ to make them seem genuine.
Among the main targets was the capital city of Vietnam, Hanoi and one of the shopkeepers in Hanoi’s Old Quarter, who spoke under the pseudonym Hoa, alleged that the buyers had a full awareness about the fake products and knew what they were purchasing. She also talked about the crackdown’s impact on business, stating that the raid has led to the closure of her business in not only Hanoi but also Ho Chi Minh City.
With the popular tourist destination, Ho Chi Minh City as another primary target, the city’s Saigon shopping center also witnessed a crackdown. The shopping center had been earlier identified as one of the leading hubs for counterfeit goods by the American authorities. Further to this, in the White House United States Trade Representative (USTR) report of 2024, it was reported that counterfeits remained widespread due to weak penalties, which had a minor impact on the retailers.
Consequently, the US government had threatened to impose a 46 per cent custom duty on the products imported from the communist country as a protectionist push, which
ultimately had led to the crackdown. The national market surveillance agency has stated that more than 7,000 products have been confiscated between January and May, and additionally, 53 cases are under investigation by the police.
Among the arrested, included a man, who was found selling a large quantity of socks – 200,000 pairs with the fake logos of athleisure brands such as Adidas and Uniqlo. Each of his socks were priced under 20 euro cents.
Amid the crackdown, Vietnam has also taken up responsibility to be more stringent over the origin of products that are sold abroad, as earlier Washington had accused Hanoi of transhipment fraud. As per the fraud accusations alleged by the US, Vietnam allowed Chinese products that fall under stricter custom duties to enter the US via Vietnam.
