Counterfeit goods trade remains robust at Hanoi’s Ninh Hiep market despite a government crackdown and scrutiny from the US Trade Representative (USTR) earlier this year [1, 2, 3]. On April 30, 2026, the USTR designated Vietnam as the world’s worst offender for intellectual property rights violations and warned a probe could lead to new trade tariffs by the end of May [1, 2, 3].

In response, Vietnam launched a nationwide crackdown on counterfeit goods and online piracy from May 7 to May 30, 2026 [1, 2, 3]. However, Reuters journalists observed on May 27 that counterfeit stalls at Ninh Hiep and other markets quickly reopened after brief police raids and continued normal operations [1, 2, 3].

Vendors acknowledged the presence of police patrols but characterized the enforcement as mostly symbolic. One vendor told Reuters, "Police come once a year with a TV crew. They film the seizure of a shop, and then it’s business as usual," reflecting a common view that police actions have little lasting impact [1]. Another large vendor explained that while some branded items are hidden during police patrols, goods are delivered from secret warehouses to buyers shortly after [3].

The counterfeit products on sale include clothes and items bearing brands such as Ralph Lauren, Calvin Klein, Gucci, and Gap. Many are imported from factories in Guangzhou, China [3]. Online piracy also continues, with piracy streaming sites like MyFlixerz believed to operate from Vietnam remaining accessible as of May 27, 2026 [1, 2, 3].

Vietnam’s trade relationship with the US shows a widening deficit, with exports to the US recording a deficit of $54.8 billion in the first quarter of 2026, surpassing deficits with China and Mexico [1, 2, 3]. The US last year imposed a 46% tariff on Vietnamese imports under the Trump administration, although this was later reduced to 10% [1, 2].

Vietnam has urged the US to provide an objective and balanced assessment of its intellectual property protection efforts, emphasizing the measures it has undertaken to address counterfeiting [1, 2].

The US is expected to decide on launching a formal trade probe by the end of May 2026, which could lead to additional tariffs or trade actions against Vietnam [1, 2, 3].