Vietnam Faces Trade Probe as USTR Prioritizes IP Concerns

The U.S. Trade Representative's office has listed Vietnam as a 'Priority Foreign Country' over intellectual property rights, hinting at a possible trade investigation. This is the first listing in 13 years. A decision on initiating an investigation will be made within 30 days.

The U.S. Trade Representative's (USTR) office has marked Vietnam as a 'Priority Foreign Country' in its annual report concerning intellectual property rights. This designation hints at a potential upcoming trade probe targeting Vietnam. Such identification is applied to nations with stark IP-related offenses adversely affecting U.S. products, per the USTR.

This is the first instance in 13 years where a country has been listed under this category, as noted by the USTR. The designation suggests that Vietnam has not entered 'good faith negotiations' or made significant progress in safeguarding IP rights. The USTR will announce within 30 days whether it will initiate an investigation under Section 301 of the Trade Act of 1974.

Should the investigation commence, consultations with Vietnam will be sought to address the issues leading to its identification as a Priority Foreign Country. Meanwhile, Argentina and Mexico were removed from the priority watch list, and their IP rights improvements were acknowledged. Mexico welcomed their improved standing as they, the U.S., and Canada, prepare to review their trilateral trade pact this year.