Vietnam needs to do more to avoid trade fraud

The steel industry is facing lawsuits against tax evasion and dumping, according to information from the Vietnam Steel Association.

Vietnam needs to do more to avoid trade fraud

Steel production at the Kyoei Viet Nam Steel Company in Tam Diep Industrial Zone, Ninh Binh Province. — Photo baoninhbinh.org.vn

The steel industry is facing lawsuits against tax evasion and dumping, according to information from the Viet Nam Steel Association.

The Trade Remedies Authority of Viet Nam said that anti-trade investigation measures against Viet Nam's exports were on the rise.

Products under investigation are mainly iron, steel, fibre, household appliances and electronics. In addition, domestic steel brands have been counterfeited.

Nguyen Van Sua, a steel industry expert, said that many lawsuits against the domestic steel industry in recent years stemmed from the fact that foreign products were transferred to Viet Nam for processing and were then labelled as originating from Viet Nam.

This example of trade fraud greatly affected Vietnamese goods when they were exported to other markets.

As they evade tax, many steel products imported into Viet Nam were cheap compared to domestic products. Therefore, co-ordination between related ministries and branches would be necessary, he said.

Sharing the view, Dr. Pham Sy Thanh from the Viet Nam Institute for Economic and Policy Research, said that it would be a disaster if foreign goods "borrowed" Vietnamese origin, then were exported to other markets.

This would have a long-term negative impact on the whole industry, he said.

How to combat fraud?

In order to effectively handle violations in the origin of goods, Minister of Industry and Trade Tran Tuan Anh directed the Trade Remedies Authority of Viet Nam to establish a standing team to increase state management on trade remedies and origin fraud and finalise action plans, co-ordinating with concerned ministries and branches in implementing them.

 

The Minister also asked C/O (certificate of origin) issuers and customs authorities to tighten the issuance of C/O, as well as strengthen inspections on enterprises with sudden export volume increases.

This was a necessary move to improve the control of goods origin and combat fraud, the minister said.

Nguyen Van Sua said that authorities needed to have policies to protect the domestic market and restrict the import of domestically produced products. In particular, they need to promote the use of trade defence tools and prevent shoddy goods.

However, the core issue lay with the enterprises, which are under pressure from trade remedies, so the initiative in domestic raw material supply plays an important role, according to Sua.

Nghiem Xuan Da, Chairman of the Vietnam Steel Association, said that enterprises must work together and provide information to the association to avoid surging export growth to new markets such as Canada and Mexico when the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) comes into effect. This would reduce losses when countries initiate investigations and apply trade remedies on Viet Nam's exported steel products.

In addition, the authorities needed to strengthen protection of domestic production with technical and trade barriers, he advised.

He advised preventing the transfer of foreign investment into the country with inappropriate technologies which consumed a lot of energy and caused environmental pollution. — VNS

Vietnam steel producers face anti-dumping lawsuits

Vietnam steel producers face anti-dumping lawsuits

The local steel industry is dealing with an increasing number of tax evasion and antidumping lawsuits in other countries, due to the allegedly fraudulent origins of steel exports, according to the Vietnam Steel Association (VSA).

Imported steel floods into Vietnam

Imported steel floods into Vietnam

Global steel capacity is forecast to be excessive so steel has been pouring into the Southeast Asia region. 

Vietnamese steel faces tough seas

Vietnamese steel faces tough seas

Escalating trade tensions and rising protectionism have caused a formidable pressure on Vietnamese steel sector, according to insiders.  

 
 

Other News

.
Vietnam imports rice from India for first time
Vietnam imports rice from India for first time
BUSINESSicon  08/01/2021 

Vietnam’s rice output is more than enough to satisfy domestic demand, but country is importing rice from India to use mostly for animal feed.

New entity to invigorate Vietnam’s stock markets
New entity to invigorate Vietnam’s stock markets
BUSINESSicon  07/01/2021 

With general optimism well-founded for Vietnam’s stock market building in the past year, there is now significant anticipation for 2021 with the arrival of a new entity to run the country’s exchanges.

High expectations laid out through fresh policy move
High expectations laid out through fresh policy move
BUSINESSicon  08/01/2021 

Three amended key laws on securities, enterprises, and investment have now come into force.

Stage set for scale-up of nation’s rice
Stage set for scale-up of nation’s rice
FEATUREicon  07/01/2021 

Vietnam’s rice processing and trading have overcome the difficulties caused by the ongoing pandemic to acquire the export turnover of over $3 billion in 2020, a record in the past nine years, with exporters remaining bullish over future prospects.

4% inflation target set for 2021 within reach: experts
4% inflation target set for 2021 within reach: experts
BUSINESSicon  07/01/2021 

Vietnam is likely to meet its target of reining in inflation at a rate of below 4% in 2021, although experts warn that unfavourable factors could impact market fluctuations.

Vietnamese billionaires’ net worth increases after battling headwinds of 2020
Vietnamese billionaires’ net worth increases after battling headwinds of 2020
BUSINESSicon  07/01/2021 

2020 was a difficult year for the global economy including Viet Nam, but some Vietnamese billionaires still saw their net asset value increase.

Disbursement of public investment at record since 2016, still misses Gov’t target
Disbursement of public investment at record since 2016, still misses Gov’t target
BUSINESSicon  07/01/2021 

The disbursement of public investment was estimated at VND398 trillion as of the end of December, meeting 82.8 per cent of the Government’s plan – the highest rate in the 2016-20 period, according to the Ministry of Planning and Investment.

Vietnamese dragonfruit needs to find new export markets: Experts
Vietnamese dragonfruit needs to find new export markets: Experts
BUSINESSicon  07/01/2021 

In the first 11 months of this year dragonfruit exports fell by 10 per cent because of the COVID-19 pandemic but still dominated Vietnamese fruit exports with shipments of more than US$1 billion.

Fintech forecast to be robust this year, driven by the creation of regulatory sandbox
Fintech forecast to be robust this year, driven by the creation of regulatory sandbox
BUSINESSicon  07/01/2021 

The regulatory sandbox for financial technology (fintech) which is expected to be created this year, coupled with efforts to promote the use of digital financial services, are expected to accelerate the development of fintech in Vietnam.

Brexit deal met with relief across Europe
Brexit deal met with relief across Europe
BUSINESSicon  07/01/2021 

After four long years of debate, negotiation, elections, and more debate, the United Kingdom has finally and officially left the European Union. 

Party congress to highlight critical role of private sector
Party congress to highlight critical role of private sector
FEATUREicon  07/01/2021 

Vietnam’s development outlook is set to be formulated over the next few weeks when the 13th National Party Congress takes place in Hanoi, 

Country’s IT groups pioneering in digital transformation efforts
Country’s IT groups pioneering in digital transformation efforts
BUSINESSicon  06/01/2021 

The Vietnamese IT market has seen a strong increase in digital products, platforms, and services in 2020, with many gaining bolder steps in domestic and international markets.

Building a modern Vietnam for all
Building a modern Vietnam for all
FEATUREicon  06/01/2021 

The Vietnamese economy has been witnessing tremendous achievements over the past few decades under the sound policies and strategies by the government and the great contributions of the planning and investment sector. 

Cash flows to Vietnam, more young people start up businesses
Cash flows to Vietnam, more young people start up businesses
FEATUREicon  07/01/2021 

The Covid-19 pandemic has disrupted investment flow into Vietnam’s startups, but for venture funds, Vietnam is still considered a priority market in Southeast Asia in 2021.

Investment funds beat the market in 2020
Investment funds beat the market in 2020
BUSINESSicon  06/01/2021 

2020 marked an unexpectedly successful year for big investment funds in Vietnam, with Pyn Elite Fund having the best performance.

Over 14 billion USD mobilised through G-bond auctions at HNX in 2020
Over 14 billion USD mobilised through G-bond auctions at HNX in 2020
BUSINESSicon  06/01/2021 

Nearly VND324 trillion (over $14 billion) was mobilised through G-bond auctions at the Hanoi Stock Exchange (HNX) in 2020, accounting for 108 percent of the set plan.

VIETNAM BUSINESS NEWS JANUARY 7
VIETNAM BUSINESS NEWS JANUARY 7
BUSINESSicon  07/01/2021 

Handicrafts target $5 billion in export value by 2025

Vietnam heads towards modern, integrated agriculture
Vietnam heads towards modern, integrated agriculture
BUSINESSicon  06/01/2021 

Minister of Agriculture and Rural Development Nguyen Xuan Cuong talks about measures to promote modern agricultural development.

After fast growth, domestically assembled cars face downtrend
After fast growth, domestically assembled cars face downtrend
BUSINESSicon  06/01/2021 

The year 2020 witnessed many ups and downs of the car market. In H1, demand dropped dramatically because of Covid-19, but in H2, cars sold well thanks to the preferential vehicle registration tax.

Digitizing traditional markets – $10 billion potential
Digitizing traditional markets – $10 billion potential
FEATUREicon  06/01/2021 

Traditional markets and groceries still hold the largest share of the consumer retail market, but new business models are scrambling for a piece of the pie.

 
 
 
Leave your comment on an article

OR QUICK LOGIN