USTR names Vietnam a top concern country for IP protection, enforcement
18 May 2026
The United States Trade Representative (USTR) named Vietnam as a “Priority Foreign Country” (PFC) or a top concern country in its 2026 Special 301 Report released on April 30, 2026 – the first country since 2013 to be named as such by the USTR. Vietnam is also the only country to be designated as a PFC in the report’s 2026 edition.
The USTR report is a yearly review of the United States’ trading partners and their corresponding frameworks and mechanisms for intellectual property protection and enforcement. For 2026, more than 100 trading partners were reviewed.
According to an article by Reuters, jurisdictions identified as a PFC are those with “the most egregious IP-related acts, policies, and practices with the greatest adverse impact on relevant U.S. products” and those which had not been engaging in “good faith negotiations or making significant progress in negotiations” for effective IP protection.
Prompted by this development, prime minister Le Minh Hung ordered a nationwide crackdown on IP infringement activities until May 30, 2026, directing the Supreme People’s Procuracy and the Supreme People’s Court to fast-track the handling of IP disputes.
Hoa Tran | partner and head of trademarks @ BMVN, Hanoi
For Hoa Tran, a partner and head of trademarks at BMVN in alliance with Baker McKenzie in Hanoi, Vietnam’s designation as a top concern country is understandable. “The USTR’s designation signals clear concern about IP enforcement in Vietnam, not the absence of IP laws. It points to questions about how consistently those laws are applied in practice,” she said.
Recent years have seen Vietnam make meaningful progress with the amendment of the IP law, implementation of regulations that are more aligned with Vietnam’s international commitments and greater engagement by enforcement authorities. Despite these, IP rights owners continue to face challenges. These include uneven enforcement across agencies and provinces, weak penalties which encourage repeat behaviour and slow procedures, especially for online infringement, repeat offenders and cross-border issues.
Alison Nguyen | associate @ BMVN, Hanoi
“We would see this less as a punitive label and more as a message that expectations are rising,” added Alison Nguyen, an associate at BMVN in Hanoi, regarding the designation.
“In the short term, it could bring closer scrutiny to Vietnam-based manufacturing, distribution channels and digital platforms, and encourage multinationals to revisit IP risk assessments, contracts and compliance controls,”Tran remarked.
Tran and Nguyen also believe this may help accelerate institutional improvements. “Priorities could include more training and resources for enforcement teams, better coordination across administrative, civil and criminal routes, and greater transparency around enforcement outcomes – steps that would directly address several of the USTR’s stated concerns,” said Nguyen.
The USTR will decide by the end of May 2026 if it will proceed to investigate under the Trade Act of 1974, Section 301, which authorizes the President of the United States to retaliate against a jurisdiction that engages in unfair trade practices or fails to comply with trade agreements by imposing tariffs and other restrictions.
- Espie Angelica A. de Leon
