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USTR initiates Section 301 investigation into Vietnam’s IP practices

Following the identification of Vietnam as a “priority foreign country”

june 1, 2026

The Office of the United States Trade Representative (USTR) on May 29, 2026, released a notice announcing the initiation of a Section 301 investigation of the acts, policies, and practices of the government of Vietnam related to intellectual property (IP) protection and enforcement, following the identification of Vietnam as a “priority foreign country.”

Background

The USTR in April 2026 identified Vietnam as a priority foreign country in the 2026 Special 301 Report. This designation followed Vietnam’s failure to resolve long-standing IP protection and enforcement concerns, which the United States previously addressed through proposed IP Work Plans in 2020 and 2023, as well as in recent negotiations for an agreement on reciprocal, fair, and balanced trade. The 2026 Special 301 Report cited five primary grounds for this identification:

  • A lack of persistent and effective enforcement to combat online piracy
  • Insufficient enforcement against widespread counterfeiting
  • A lack of effective border enforcement, including a failure to utilize ex officio authority
  • A lack of enforcement actions against unlicensed software use
  • A lack of criminal measures against cable and satellite signal theft

Notably, administrative enforcement violations in Vietnam involving IP-infringing goods and goods of unknown origin or inferior quality declined by 50% in 2025 compared to 2024.

Initiation of Section 301 investigation

The USTR initiated the Section 301 investigation on May 29, 2026. USTR proposes to determine that Vietnam’s IP acts, policies, and practices are unreasonable or discriminatory, burden or restrict U.S. commerce, and are therefore actionable under Section 301(b). In connection with the investigation, USTR has requested consultations with the government of Vietnam. Under Section 304(a)(3)(A), the USTR is generally required to make a determination on actionability and what action to take within six months of the initiation date, which may be extended by an additional three months under certain circumstances.

Interested parties are invited to submit written comments regarding the investigation, including potential tariff and non-tariff actions, by July 2, 2026.

For more information, contact a professional with KPMG Trade & Customs services:

 

Andrew Siciliano
Partner, U.S. & Global Practice Leader

E: asiciliano@kpmg.com

Doug Zuvich
Partner

E: dzuvich@kpmg.com

Irina Vaysfeld
Principal

E: ivaysfeld@kpmg.com

John L. McLoughlin
Principal

E: jlmcloughlin@kpmg.com

Luis (Lou) Abad
Principal

E: labad@kpmg.com

George Zaharatos
Principal

E: gzaharatos@kpmg.com

Christopher Young
Principal

E: christopheryoung@kpmg.com

Amie Ahanchian
Principal

E: aahanchian@kpmg.com

Gisele Belotto
Principal

E: gbelotto@kpmg.com

Steve Brotherton
Principal

E: sbrotherton@kpmg.com

Jessica Libby
Principal

E: jlibby@kpmg.com

Dawn Olesky
Principal

E: dolesky@kpmg.com

Frances Xing
Principal

E: francesxing@kpmg.com

 

 

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