Vietnamese Brands Struggle Against Counterfeit Goods and Digital Challenges

Ho Chi Minh City – September 9, 2025 – Vietnamese companies say a surge in counterfeit products, cheap imports, and slow digital adoption is threatening the competitiveness of domestic brands both at home and abroad.

Speaking at the conference “Expanding Market Share – Positioning Vietnamese Brands in the Digital Space” on September 9, Bông Hoa Việt, Assistant to the CEO of Binh Minh Plastic JSC, admitted that even after more than 50 years of building its brand, the company still suffers from widespread counterfeiting.

“Customers often complain about product quality, but upon inspection we find they bought fake items carrying the ‘Binh Minh’ label,” he said. Just one added character or phrase can turn a fake into a convincing imitation, causing confusion and damaging consumer trust. Despite repeated petitions and even lawsuits, enforcement remains slow, eroding decades of brand value.

Counterfeit Goods Threaten Multiple Industries

The problem is not limited to plastics. Vietnamese companies in food, pharmaceuticals, and fertilizers face the same risk. Nguyen Dang Hien, CEO of Bidrico, stressed the importance of registering trademarks both domestically and internationally. He cited the case of ST25 rice, which was trademarked overseas before Vietnamese firms acted, calling it a “costly lesson” for local businesses.

Cheap Imports Add Pressure

At the same time, cheap Chinese imports, often 10–20% less expensive, flood into Vietnam within days. According to Lu Nguyen Xuan Vu, Chairman of the Saigon Entrepreneurs Association, many Vietnamese companies also lack skilled digital staff and online sales expertise.
“If we fail to embrace digital commerce, we will certainly fall behind,” he warned.

Retail and Consumer Trends

From a retail perspective, Nguyen Ngoc Thang, Deputy CEO of Saigon Co.op, noted that domestic purchasing power remains stable, with overall market growth expected to surpass 10% this year. However, he emphasized that only brands built on authenticity and consumer trust can truly endure.

“Branding is the soul of a product,” he said, highlighting opportunities in green consumption and sustainable development.

E-Commerce Growth but Structural Barriers

According to economist Dinh The Hien, e-commerce already accounts for about 10% of Vietnam’s retail market, doubling growth in recent years. But traditional retail still faces barriers in digital transformation and brand investment.
“To upgrade their position, businesses must invest in content creation, customer experience, and long-term brand value,” he explained.

Call for Stronger Policies and Digital Transformation

Nguyen Anh Duc, Vice Director of Ho Chi Minh City’s Department of Industry and Trade and Chairman of the Vietnam Retailers Association, said digital trade offers enormous opportunities. However, Vietnam needs a more structured approach. He pointed to global giants like Amazon, Alibaba, and Walmart, which have successfully shifted to online channels, while Vietnamese e-commerce platforms remain fragmented and loss-making, plagued by counterfeit goods.

“No Vietnamese brand can succeed without establishing a strong presence in Ho Chi Minh City,” he added.

Meanwhile, Nguyen Van Dung, Vice Chairman of Ho Chi Minh City’s People’s Committee, warned that intellectual property violations not only harm the economy but also threaten consumer health. He called for faster digital transformation and transparent governance to create a healthier business environment.

City leaders urged Vietnamese companies to define their unique brand identity, adopt clear financial strategies, and strengthen resources to compete globally.

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Source: Vietnam Insider