Tesla, Samsung Oppose New US Tariffs on Vietnam

A US trade investigation into Vietnam's intellectual property practices is approaching its November 29 deadline. The probe, launched in May, focuses on alleged violations of intellectual property protections and enforcement.

Industry groups are divided on whether new tariffs should be imposed on Vietnamese goods. While Tesla and Samsung oppose additional tariffs, sectors such as steel, wood, and solar panels are calling for penalties.

Vietnam has seen a significant increase in exports to the US, with goods surging 42% in the first eight months of 2024. This has positioned Vietnam as the US's largest goods surplus partner, surpassing China and Mexico.

The Trump administration has designated Vietnam as a 'priority foreign country,' the first in 13 years to be added to the most serious US watchlist category. The US has accused Vietnam of persistent failures in addressing IP protection and enforcement.

Separate from the IP probe, the US is also investigating alleged excessive capacity in Vietnam. Vietnam has urged Washington to conduct its investigations objectively, emphasizing the need for impartiality.

Tesla and Samsung have both expressed concerns about the impact of new tariffs on their supply chains. Tesla noted that some advanced components and equipment cannot be sourced domestically, despite significant investments in US production.

Samsung's US unit highlighted Vietnam's role in producing a large share of its smartphones and network equipment for the US market. The South Korean company is Vietnam's largest foreign investor, having invested about $25 billion there.