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According to the Agence France-Presse, Vietnamese authorities are cracking down on Chinese companies that use counterfeit “Made in Vietnam” labels on goods shipped to the US to avoid 25% tariffs on over $325 billion in imports to the US. For example, the article cited Chinese plywood shipped to America through a Vietnamese company to avoid payment of duties for Chinese origin goods to the US.

The Vietnamese government will increase their inspection of exports from Vietnam to to prevent further incorrectly labeled goods from leaving.

As as result of the tariffs on Chinese goods, US imports from Vietnam has increased to $16 billion, a 40 percent increase from a year ago.

The AFP article did not mention “transshipment” – which is what is happening when Chinese companies ship goods to Vietnam, change the country-of-origin marking to “Made in Vietnam” and then ship to the US.

If you or someone you know is being accured of transshipment of goods through a third country to avoid payment of duties, contact trade attorney David Hsu by text/phone at 832-896-6288 or by email at attorney.dave@yahoo.com, or dh@gjatradelaw.com.