“Intellectual Property Rights: Safeguarding Brands in Vietnam’s Dynamic Market”
At the forum “Refining Intellectual Property Policies – A Driving Force for Innovative Enterprises” organized by the Enterprise Journal in collaboration with TAT Law Firm, the Intellectual Property and Innovation Magazine, Ms. Mai Thi Thao, Vice Director of TAT Law Firm, highlighted the significance of brand value. She emphasized that in industries such as fast-moving consumer goods, cosmetics, and fashion, brand value can account for 30-50% of a company’s total value.
According to statistics from the National Office of Intellectual Property and Market Management, there were 1,430 cases of trademark infringement handled in 2022, and 1,256 cases of counterfeit and IPR infringement in 2024. In the first half of 2025, authorities handled over 3,270 administrative cases related to counterfeiting and IPR infringement. During the peak month of May 15 to June 15, 2025, there were more than 1,631 cases, with the seized goods valued at thousands of billions of VND.
These figures underscore the increasing scale, sophistication, complexity, and audacity of brand infringement activities. Ms. Thao warned that without robust protection and enforcement mechanisms, brands – a priceless asset – could quickly erode, undermining businesses’ competitiveness and threatening the sustainable development of the economy.
Ms. Mai Thi Thao, Vice Director of TAT Law Firm, shared her insights at the forum. Photo: Organizing Committee
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Forms of Brand Infringement in Vietnam
Ms. Thao identified five common forms of brand infringement in Vietnam. Firstly, package and design piracy is the most frequent violation in the consumer goods market. Infringers often mimic the colors, images, layout, and slogans of the original packaging to deceive consumers in the short term.
With consumers’ tendency to make quick purchases, it is easy for them to mistake fake products for genuine ones. Consequently, the legitimate brand’s reputation is damaged, resulting in lost revenue and diminished trust. Meanwhile, low-quality counterfeit products flood the market.
Secondly, infringers take advantage of the reputation of well-established businesses by creating similar company or store names. They slightly modify a character or add a minor element to avoid being considered identical. This has led to prolonged disputes, highlighting the gaps in regulations and protection mechanisms for trade names.
Thirdly, counterfeiters produce fake products with famous brands. This is prevalent in the cosmetics, pharmaceuticals, and nutraceuticals industries, where brand value is closely linked to trust in quality and safety. Fake drugs and counterfeit cosmetics in near-identical packaging damage companies financially and directly endanger consumers’ health, eroding their faith in the entire industry.
The fourth form of infringement involves registering identical or similar trademarks at the National Office of Intellectual Property. Individuals and organizations have been quick to register trademarks, including those of international brands yet to enter the Vietnamese market, before their legitimate owners. This strips the rightful owners of their legal rights and forces them to either file complaints, seek cancellations, or buy back their trademarks. Such disputes are costly and undermine foreign investors’ confidence in Vietnam’s business environment.
Finally, the boom in e-commerce and digital media has provided new avenues for brand infringement. Counterfeit and pirated goods are openly sold on e-commerce platforms and social media at low prices, while control measures are nearly impossible due to the cross-border and anonymous nature of digital platforms. Additionally, infringers are increasingly exploiting online advertising tools like SEO, domain names, and Google Ads to divert customers from legitimate brands, causing direct revenue losses and reputation crises when customers complain or when such practices are exposed by the media.
According to Ms. Thao, the most immediate consequence of brand infringement is the loss of revenue and market share for businesses. More severely, it damages the trust and confidence of consumers. When consumers have negative experiences with counterfeit products associated with reputable brands, they may blame the legitimate company. This erodes the brand’s position and makes it challenging to expand market share, especially in a globalized context where news of counterfeit incidents can quickly spread and affect the brand’s ability to enter and collaborate in export markets that prioritize quality and trust.
Moreover, businesses face mounting legal and crisis management costs. Lengthy and complex complaint and litigation processes not only incur financial burdens but also divert resources from core production and business activities.
Impact and Recommended Solutions
The rapid growth of e-commerce, coupled with limitations in the legal framework and enforcement capabilities, has made brand protection a complex challenge. Infringers are becoming more sophisticated and cunning in their tactics, making detection and proof of violations difficult.
Many businesses lack the information, experience, or resources to investigate and assess the extent of infringement, leading to overlooked or underestimated violations. Investigating on digital platforms requires specialized skills, and the constantly evolving policies and data structures of these platforms add to the complexity. The cost of investigations, including expert fees and the use of modern monitoring tools, can also be a significant financial burden for many companies.
Traditional measures such as administrative complaints and civil lawsuits are often time-consuming, expensive, and insufficiently deterrent. There is a need for better coordination between market management forces, the police, and the courts to expedite the handling process and encourage businesses to pursue legal action.
Many businesses, particularly small and medium-sized enterprises, lack a comprehensive understanding of intellectual property rights and the importance of proactive brand protection. Additionally, while consumers may recognize fake products, they sometimes lack the motivation or confidence to lodge complaints due to concerns about complicated procedures or the effectiveness of dispute resolution.
To address these challenges, Ms. Thao proposed several solutions. Firstly, she emphasized the need to strengthen the operation of specialized IP courts as stipulated in Resolution 81/2025/NQ-UBTVQH15. This includes ensuring a dedicated and skilled workforce for these courts by providing training in intellectual property, technology, and commerce for judges, court clerks, and other personnel. Streamlined and transparent litigation procedures should be established to expedite trials and protect businesses’ legitimate rights promptly. Additionally, a mechanism for publicly disclosing judgments and decisions related to intellectual property should be implemented.
Secondly, she suggested developing an independent appraisal mechanism outside the Ministry of Science and Technology, enhancing administrative penalties, and fostering inter-agency collaboration as foundational solutions.
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