Just now! Trump's 301 investigation swung its stick at Vietnam, potentially imposing hefty tariffs! Related companies need to take note
This is a direct action following the designation of Vietnam as a "Priority Foreign Country" in the "2026 Special 301 Report" released on April 30. Previously, the U.S. Trade Representative (USTR) issued the "2026 Special 301 Report," which reviewed over 100 trading partners and ultimately listed 26 countries on the trade "blacklist." Vietnam was identified as a "Priority Foreign Country (PFC)," the highest severity level, marking the first time a country has been placed in this category since 13 years ago.
The United States believes that Vietnam has long failed to effectively address its actions, policies, and practices regarding intellectual property (IP) protection and enforcement, including issues such as online piracy, counterfeit goods, border enforcement, unauthorized software use, and cable/satellite signal theft. Vietnam is accused of "persistent failure" to resolve U.S. concerns, which has harmed American innovators and creators.
The United States investigates whether Vietnam's actions, policies, and practices are "unreasonable or discriminatory" under Section 301 of the Trade Act of 1974 and whether they impose burdens or restrictions on U.S. commerce.
This is the third US 301 investigation that Vietnam has faced since 2026.
The first two investigations are the 301 investigation on structural overcapacity in the manufacturing industry and the 301 investigation on forced labor. Both investigations were launched in March this year and, together with multiple countries, are expected to announce their results before July.
This reflects the overall escalation of trade pressure on Vietnam by the Trump administration, while Vietnam is still negotiating a bilateral trade agreement with the United States
This 301 survey will start accepting public comments from May 30th and the deadline is July 2nd, 2026.
If Vietnam does not make substantial improvements, the United States may take retaliatory measures, including imposing tariffs, suspending trade agreements, or other restrictions. In history, 301 investigations have been commonly used to push for negotiated solutions.
Vietnam is an important trading partner of the United States, especially in electronic products, clothing, furniture, footwear, etc., with a high dependence on exports to the United States.
If tariffs are imposed, it will increase the cost of Vietnamese goods in the US market, affecting export-oriented enterprises, supply chains, and foreign investment attractiveness.
According to reports, the Vietnamese government has begun to strengthen nationwide IP enforcement actions, including high-profile strikes, to demonstrate goodwill before the decision is made by the Office of the United States Trade Representative (USTR). However, USTR believes that these measures are still insufficient to be 'sustained and deterrent'.
For enterprises with production layout or supply chain arrangements in Vietnam, this announcement deserves close attention. If the 301 investigation ultimately determines that Vietnam's intellectual property practices constitute unreasonable and actionable practices, USTR has the right to impose tariffs or other trade restrictions on Vietnamese products.
The 301 intellectual property investigation launched by Trump during his first term on China ultimately led to the imposition of 25% tariffs on billions of dollars worth of Chinese imports. The scale of the situation in Vietnam cannot be compared, but the logic and legal path of the 301 tool are the same.
