Vietnamese Furniture makers win in Trump’s trade war.

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A Bloomberg article highlights one of the winners in Trump’s trade war with China – that being Vietnamese furniture manufacturers.

With imports of Chinese furniture subject to a 25% duty in addition to any applicable anti-dumping or countervailing duties, furniture companies in Vietnam are cashing in as the tariff-free alternative to Chinese manufacturing.

The Bloomberg article quotes, the CEO of Xuan Hoa Vietnam Joint Stock Co., a furniture company that has seen a boom in international visitors – including Ikea. Xuan Hoa is a long time Ikea manufacturer (past 17 years) and their ability to produce cheaper than China is only increasing under the trade war.

In addition to not being subject to 301 duties or AD/CVD duties, the Bloomberg article cites labor costs half of what they are in China and lower electricity costs as it is subsidized by the government. Vietnam’s shared border with China also allows for the ease of materials and components.

If you are a furniture importer from China and want to learn how to save on import duties, contact trade and customs attorney by mobile/text at 832-896-6288 or by email at or

Chinese firms accused of using fake “Made in Vietnam” labels to avoid paying duties.

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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, or

CBP investigating Philippines exporter for transshipment.

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According to the, U.S. Custom and Border Protection (CBP) is investigating whether a Philippines manufacturer (Enlin Corporation) of stainless steel flanges has been evading the payment of antidumping duties (AD) and countervailing (CVD) duties by marking the flanges as “made in the Philippines”. Shipping goods from one country to another and falsely claiming the country of origin to avoid AD/CVD duties is frequently referred to as “transshipment”.

Under the tariffs enacted earlier thisĀ  year, the combined AD/CVD on stainless steel flanges can reach as high as 400%. CBP has already placed certain importers of stainless steel flanges from the Philippines subject to AD/CVD duties.

If you have any questions about country of origin, transshipment (trans shipment) or your company is under an investigation by CBP, contact experienced trade attorney David Hsu at 832-896-6288 or by email at: for immediate assistance.