return icon

Chinese found counterfeiting Vietnamese origin for woodwork exports

Many Chinese wooden furniture manufacturers have been found setting up foreign invested enterprises (FIEs) in Vietnam to ‘fabricate’ Vietnamese origin for their exports to the US.

Reports all show a sharp increase in the exports of household-use wooden furniture to large markets, especially the US.




The US imported $10 billion worth of household use goods and wooden furniture products each year. Recently, because of the tariff changes, US importers has sought supplies from Vietnam.

However, according to Trinh Xuan Duong, director of Ke Go Co Ltd, the exporters of plywood to the US are mostly Chinese invested enterprises in Vietnam, while Vietnamese enterprises have very few opportunities to export products to the market.

Duong cited a report as showing that $800 million worth of plywood was exported from Vietnam in 2019 and the exports grew by over 30 percent a year. While the export of other products declined sharply because of the impact from Covid-19 in the first four months of the year, the plywood exports still increased steadily.

Vu Hai Bang, president of Woodsland, believes that there is a relocation of production lines from China to Vietnam. Many Chinese investors come to Vietnam with their outdated technologies and set up factories in Vietnam. Some of them have large turnover of up to $100 million.

Bang warned that the US market is vast. However, if Vietnam’s exports to the country grow too rapidly, especially when there is doubt that Chinese enterprises commit frauds in origin declaration, the US ‘will take actions’.

Bang warned that the US market is vast. However, if Vietnam’s exports to the country grow too rapidly, especially when there is doubt that Chinese enterprises commit frauds in origin declaration, the US ‘will take actions’.

The US is a large market for Vietnam which consumes more than 50 percent ($5 billion) of Vietnam’s woodwork exports. Therefore, Vietnam needs to apply serious measures to retain the market.

Prior to that, the Coalition for Fair Trade of Hardwood Plywood, as the plaintiff, asked the US Department of Commerce (DOC) to conduvmct an investigation against the anti-dumping and anti-subsidy duty avoidance on hardwood plywood products imported from Vietnam.

Vietnam’s plywood exports increased rapidly from $63 million in 2017 to $187 million in 2018 and $309 million in 2019.

The Vietnam Association of Timber and Forest Products (Vifores) estimates that about half of domestic enterprises make plywood products, while the rest are FIEs.

There is a strong relocation of wooden furniture production from China to Vietnam. The report on FDI in Vietnam’s woodwork industry in 2019 by Vifores and Forest Trends showed that by the end of 2019, Vietnam had 966 FIEs in the industry with total registered capital of $6.3 billion.

The Taiwanese are the biggest foreign investors, with 220 projects registered, capitalized at $1 billion. The subsequent positions belong to Hong Kong (58 projects, $952 million) and China (217 projects, $651.4 million). 

Mai Lan

Vietnamese woodwork industry: the path to $20 billion goal

Vietnamese woodwork industry: the path to $20 billion goal

More and more foreign invested enterprises (FIEs) in Vietnam have begun exporting woodwork products as Vietnamese enterprises increasingly lose market share.

Vietnam's woodwork industry expects minus growth rate for 2020

Vietnam's woodwork industry expects minus growth rate for 2020

The woodwork industry is experiencing many hardships with 80 percent of orders postponed in April.


Aviation ground services to go-green to meet compliance

The Civil Aviation Authority of Vietnam (CAAV) is collecting comments on a draft circular stipulating that all businesses in the sector must have a plan to convert ground vehicles from fossil fuels to electric.

President visits, offers condolences to widow of late PM Abe Shinzo

President Nguyen Xuan Phuc visited and offered condolences to Abe Akie, the widow of late Japanese Prime Minister Abe Shinzo, at her home on September 28.


US firm pours capital in cross-border e-commerce project in Binh Duong


PM requests prompt measures to overcome Typhoon Noru’s consequences

Dim outlook for domestic auto component industry

Vietnamese automotive component industry has a dim outlook for growth as it lags behind those in many other regional countries, according to the Ministry of Industry and Trade (MoIT).

Animated series seeks to change stereotypes on Vietnamese products

Wolfoo, a YouTube children’s animated web series, which has reached more than 2 billion views a month, has changed the world’s stereotypes on Vietnamese products.

VN banking prospects from now to the end of the year

Under the circular, the State Bank of Vietnam told banks to reschedule debt repayments to help customers affected by the COVID-19 pandemic until June 30 this year.

JPMorgan: 65% of AirPods production to be located in Vietnam in 2025

JPMorgan analyst expects 20 percent of iPad, 5 percent of MacBook, 20 percent of Apple Watch and 65 percent of AirPods production to be located in Vietnam in 2025.

US$2.3 billion withdrawn from stock market, investors begin to worry

Concerns are increasing in the stock market after the State Bank of Vietnam (SBV) raised regulating interest rates and withdrew VND56 trillion (over US$2.3 billion) last week.

Teacher Nguyen Ngoc Ky writing with feet passes away

This morning, 75-year-old teacher Nguyen Ngoc K, who inspired many generations of students with his determination to rise up in life, passed away at his home in Thu Duc City.

Typhoon Noru passes through central Vietnam

Super typhoon Noru swept through central Vietnam on September 27 night and early September 28, bringing strong winds and torrential rains.

Discovering craft villages in Buddhist centre in Quang Ninh

Coming to Yen Tu relic site in Quang Ninh province – Vietnam’s major Buddhist centre, tourists can also experience traditional crafts such as making hats, bamboo handicrafts, and wood carvings.

Ministry drafts mechanism to adjust average retail power price

The Ministry of Industry and Trade (MoIT) is drafting a Prime Minister's Decision on the mechanism for adjusting the average retail electricity price.

Foreign investment disbursement hits record high in nine months

Disbursement of foreign direct investment (FDI) in the first nine months of this year reached 15.4 billion USD, up 16.2 % year-on-year and marking a record high, a report from the Foreign Investment Department (FIA) has shown.

Foreign Minister Bui Thanh Son pays visit to Germany

Minister of Foreign Affairs Bui Thanh Son paid an official visit to Germany from September 26-27 at the invitation of his German counterpart Annalena Baerbock.