Well-known Chinese news site Sohu recently reported that the U.S tariffs against China are creating a significant challenge for Chinese exporters. More and more Chinese sellers are using a third country route in order to get their products into the United States. This circumstance places heavy pressure on Vietnam since Vietnamese Customs is now seeing a flood of fraud on manufacturing origin certificates. The Vietnamese government announced new rules and has increased the level of its penalties on illegal trade activities. In order to keep its positive trend on a rapid growth of exports to the U.S., Vietnam increased the cost and tightened up the verification process for “Made in Vietnam” labels under the name of protecting the reputation of the label and the nation. According to the U.S. data, in the first quarter, Vietnam saw a year-over-year 40.2 percent growth in exports that are being sent to the U.S. This has made Vietnam the top country that sees the fastest trade growth with the U.S. No wonder Vietnam is now willing to do anything to please the United States.
Source: Sohu, June 13, 2019