Steering committee orders tougher crackdown on counterfeits, IP theft

Vietnam is intensifying its crackdown on counterfeit goods and intellectual property (IP) theft as its e-commerce market experiences rapid growth. A government steering committee has ordered stricter enforcement against these illicit activities. The local e-commerce market has surpassed $30 billion this year, growing by 25% and accounting for two-thirds of the digital economy's value. However, this expansion has also led to a surge in counterfeit and imitation goods, alongside trade fraud. In the first half of the year, authorities detected and handled 67,937 violations, a 36.66% year-on-year increase. Revenue from enforcement reached nearly 9.65 trillion VND (approximately $367 million USD), up 49.36%. Investigations were launched into 1,676 criminal cases involving 2,789 suspects. While Vietnam has regulations on rules of origin, these currently apply mainly to imports and exports for tariff preferences under free trade agreements and foreign trade management. The new directives aim to bolster domestic market enforcement. Under its one-party system, Vietnam has prioritized economic growth, attracting foreign investment and promoting export industries. However, rapid development has exposed challenges in domestic market regulation and enforcement. For a country with a long border with China, combating counterfeit goods has been a persistent issue, and strengthening IP protection is crucial for international credibility. This directive marks a significant step for Vietnam in enhancing its reliability within global supply chains and pursuing sustainable economic growth.