Vietnam cracking down on fraud on US exports: document

Vietnam's trade ministry has issued a directive to crack down on illegal transhipment of goods to the United States and other trading partners as it tries to avoid steep US tariffs, according to a document reviewed by Reuters.

- FRANCESCO GUARASCIO

The ministry in the directive, which was dated and effective April 15, said trade fraud was likely to increase amid growing tension caused by US tariffs.

That in turn would make it “more complicated to avoid sanctions that countries will apply to imported goods” if fraud is not prevented, it said.

The directive did not specifically name any countries where transhipment fraud might originate. However, Vietnam's goods imports are nearly 40% from China, and Washington has openly accused Beijing of using the Asean member country as a transhipment hub to dodge US duties.