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Vietnam will crackdown on goods of Chinese origin illegally relabelled "Made in Vietnam" to beat U.S. tariffs

Vietnam has said it would crackdown on goods of Chinese origin illegally relabelled "Made in Vietnam" by exporters seeking to avoid U.S. President Donald Trump's tariffs on Chinese imports.

According to a statement posted to a government website on Sunday, Vietnamese customs have found scores of such cases amid the ongoing U.S.-China trade dispute.

Some importers had been illegally re-packing goods from China in "Made in Vietnam" packaging and then applying for a Vietnamese certificate of origin with which to export to the United States, Europe, and Japan, Vietnam customs said.

The faking of origin and the illegal transshipment of goods happens most often in the sectors of seafood, textiles, honey, steel and iron, agricultural products, tiles, aluminum, and timber products, as the department said in the statement.

In one such example, which the statement said was uncovered by U.S. customs, a Vietnam-based manufacturer of timber products was found to have been importing Chinese timber which it then relabelled and exported to the United States.

Vietnam's customs department is developing a process to identify better and impose penalties on businesses which carry out such violations, the statement said.

Foreign minister Pham Binh Minh said in a speech to Vietnam's national assembly last week that the government has created a steering committee in response to the trade war.

Vietnam has emerged as one of the largest beneficiaries of the trade war between Beijing and Washington as some businesses are shifting their supply chains away from China in order to avoid tariffs.