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US flags Vietnam as top concern in intellectual property rights report, signals possible trade probe

#International News#United States of America
Last Updated : 6th May, 2026
Synopsis

The United States Trade Representative (USTR) has flagged Vietnam as a “Priority Foreign Country” in its latest intellectual property rights report, marking the first time in 13 years that any country has been placed in this highest-risk category. The move indicates serious concerns over Vietnam’s IP protection and enforcement practices and opens the door for a possible trade investigation under Section 301 of the Trade Act of 1974. The designation also follows allegations of weak enforcement and limited progress in negotiations with the US on intellectual property standards and compliance.

The United States Trade Representative (USTR) has identified Vietnam as a Priority Foreign Country in its annual intellectual property rights assessment released earlier this week. The designation places Vietnam in the highest concern category, reflecting significant issues raised by the US regarding intellectual property protection and enforcement practices.


According to the USTR framework, this classification is reserved for countries with what it describes as the most serious intellectual property-related practices that negatively affect US products and interests. It also applies to cases where there is limited progress in meaningful negotiations or cooperation on improving intellectual property safeguards.

This marks the first instance in 13 years where any country has been placed in this category, highlighting the seriousness of the concerns raised. The report indicates that Vietnam’s position reflects long-standing issues that have not been fully addressed despite ongoing engagement efforts between both sides in recent years.

The USTR has stated that it will decide within 30 days whether to initiate an investigation under Section 301 of the Trade Act of 1974. If an investigation is launched, the process would include formal consultations with Vietnam aimed at addressing the issues identified in the report and working towards corrective measures.

At the same time, the report notes that Argentina and Mexico have been removed from the Priority Watch List following improvements in their intellectual property regimes. Mexico’s exit comes at a time when it is engaged with the US and Canada in a broader review of their shared trade agreement.

The Priority Watch List continues to include countries such as China, India, Chile, Indonesia, Russia and Venezuela. Additionally, 19 other trading partners remain on the Watch List, with the European Union being added in the latest update. These classifications indicate varying levels of concern regarding intellectual property enforcement and compliance across trading partners.

Source Reuters

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