Counterfeit and intellectual property infringing goods are becoming more sophisticated

Vu Hoai Linh, Deputy Head of Intellectual Property Rights Protection Enforcement Unit (Unit 4)

How would you assess the current situation of intellectual property violations in import-export activities?

The state of intellectual property (IP) violations in import-export activities has become increasingly complex. Since the outbreak of the COVID-19 pandemic, combined with the rapid growth of digital technology, Vietnamese consumers have developed a habit of shopping online, which has fueled the rapid expansion of e-commerce platforms in Vietnam.

Additionally, Vietnam's geographic location poses significant challenges to IP rights enforcement. With a 4,510 km land border shared with China, Laos, and Cambodia and a 3,260 km coastline stretching from north to south, smugglers and counterfeiters exploit these conditions to transport IP-infringing goods, counterfeit products, and goods with falsified origins into Vietnam.

High-risk goods include consumer items such as fashion products, household goods, electronics, electronic components, functional foods, cosmetics, pharmaceutical drugs, cigarettes, new-generation tobacco products, and alcohol. These goods primarily originate from China, Hong Kong, South Korea, Cambodia, Thailand, and Taiwan (China).

As a key unit in combating counterfeit goods and protecting IP rights, what specific measures has your department implemented? What have been the results?

It is essential to emphasize that Team 4 under the Anti-Smuggling and Investigation Department—General Department of Vietnam Customs—is responsible for combating counterfeit goods and protecting IP rights in import-export activities.

We have proactively advised the department's leadership to issue guidelines for local customs units, enabling them to detect and prevent IP-infringing goods effectively. Additionally, we have coordinated with other units to formulate plans to combat smuggling and protect IP rights. For instance:

In 2024, we proposed the issuance of Plan No. 1244/KH-TCHQ (March 26, 2024), Official Letter No. 4319/TCHQ-ĐTCBL (September 11, 2024), and Official Letter No. 772/ĐTCBL-Đ4 (September 12, 2024), which outline strategies for addressing violations.

Our team has also deployed personnel to border checkpoints to collaborate with local units in inspecting and supervising high-risk goods.

As a result, Team 4 has successfully coordinated with customs units in provinces and cities such as Quang Ninh, Hai Phong, Lang Son, Ho Chi Minh City, Long An, and Tay Ninh to detect and handle numerous IP-related violations. In the first six months of 2024, the Customs sector detected and addressed 42 cases of IP violations and counterfeit goods, with the value of seized goods estimated at VND9.2 billion.

Counterfeit HERMÈS handbags was seized by Unit 4

What challenges does the Customs sector face in combating IP violations?

Despite significant efforts, there are several challenges in tackling IP violations such as geographic and logistical hurdles. Vietnam's extensive borders and booming e-commerce platforms provide multiple channels for counterfeit goods to enter the country, including formal import-export channels, informal border crossings, express delivery and postal services.

Even developed countries with advanced inspection technologies struggle to control counterfeit goods on e-commerce platforms. In Vietnam, while the government has made investments, inspection equipment still falls short of practical needs.

Furthermore, smugglers exploit lenient import policies by misdeclaring goods or mixing counterfeit products with legitimate imports to evade detection, importing disassembled components without branding, which are later assembled and labeled as counterfeit products within Vietnam.

How would you evaluate the cooperation of businesses in combating IP violations? How can this cooperation be enhanced?

Generally, functional units and IP rights holders or their representatives have cooperated effectively with Customs authorities in verifying the authenticity of goods. However, some challenges remain as follow

Certain rights holders have registered for IP protection in Vietnam but lack local representatives, complicating communication and product verification. In some cases, even when contact is established with rights holders, timely responses are not provided, making it difficult to halt customs clearance or inspect goods.

To improve effectiveness, the cooperation between Customs authorities and rights holders needs to be consistent, timely, and proactive. Both parties should regularly exchange information on product authenticity, counterfeit identification, and updates on new products and import-export enterprises, provide swift feedback to Customs inquiries to ensure prompt and accurate inspections.

Thank you for your insights!