A workshop in Hanoi on June 21 warned that trade fraud could lead to enormous losses to Vietnam’s wood industry (Photo: VNA) Hanoi (VNA) – The impact of the US-China trade waron Vietnam’s wood industry, including trade fraud risks, was highlighted at aworkshop in Hanoi on June 21.
Participants noted that China is the biggestsupplier of wood products for the US, with an export revenue of over 30 billionUSD in 2018. However, the trade tension between these two economies is animportant cause of the shift of production and business activities from Chinato other countries to avoid the US’s new tariffs imposed on goods originatingfrom China shipped to this country.
Tran Thi Thu Huong, Director of the centre forcommercial document certification of the Vietnam Chamber of Commerce andIndustry (VCCI), said foreign businesses’ investment in Vietnam is a chance forlocal firms to improve the competitiveness of their exports to the US.
However, there will be problems if Vietnamesefirms do not have a good grasp of regulations or meet rules of origin, shenoted, adding that when the US discovers any businesses that have products withfake origin, not only those products will be banned from entering this marketbut other companies may also be affected.
She said the VCCI is working closely with theagencies that grant certificates of origin (C/O) nationwide so as to enhanceexamination.
To prevent trade fraud, it is necessary to havestrong coordination among management agencies, especially customs offices,Huong said.
To Xuan Phuc, a representative of non-profitorganisation Forest Trends, said trade fraud could lead to enormous losses toVietnam’s wood industry, and specifying and minimising new risks are urgentissues of the sector.
He added management agencies shouldcomprehensively assess risks of FDI projects as well as their export products.They should coordinate with local authorities to review FDI companies’activities, along with products exported from Vietnam to the US as well asthose from China to Vietnam, to clarify trade fraud risks.
He recommended the C/O granting process bestrictly examined to ensure that these certificates are provided only foreligible companies and products, adding that business associations also need toupdate information from partners and authorised agencies to notify its membersand help them avoid risks.-VNA
VNA
