“Dodging the Law”: A Warning from Global Tariff Crackdowns

Rising Tariffs, Tighter Checks: The Underlying Current Surfaces

New U.S. tariff policies, especially targeting goods from Asia, are creating a massive undercurrent in global logistics routes. These measures are disrupting container flows between India and the U.S. - a corridor accounting for about 18% of India’s export revenue and have sparked a wave of order relocations away from high-risk regions.

Particularly in sensitive sectors like textiles, footwear, and consumer goods, American businesses are reconsidering their supply sources rather than absorb cost hikes of 25% or even 50%. Yet, not all enterprises are seeking legitimate shifts. Many instead choose shortcuts relabeling goods through third countries, falsifying HS codes, or fabricating Certificates of Origin (COs) to evade tariffs.

Clumsy Evasion Comes at a High Price

Customs fraud is not just a legal violation—it erodes supply chain transparency. Inspections now target not only specific shipments but also a company’s entire import history, intermediary relationships, transport records, and banking documentation. In a digitized logistics environment, the space for legal loopholes is rapidly shrinking. A single CO that doesn’t align with shipping records or a suspicious data entry in a customs declaration system can result in a company being flagged for special monitoring. This could lead to detained shipments, administrative fines, or worse—being barred from major markets like the U.S. and EU.

Companies that have relied on dubious COs or incorrect HS codes to evade tariffs are now under the strictest scrutiny.

Compliance Wave Goes Global—Not Just the U.S.

The U.S. isn’t alone. Economies such as the EU, Japan, and South Korea are also ramping up supply chain transparency requirements. What was once a concern limited to agriculture and food products has now expanded into industrial goods, electronics, textiles, and footwear.

Yet, a segment of Vietnamese businesses still treat tax evasion as a common practice, reflecting a troubling disconnect between awareness and action. These businesses often forget that a minor misstatement in a declaration can lead to a canceled contract—and more critically, the loss of international trust, which no short-term profit can replace.

What Vietnamese Businesses Must Do to Respond

Instead of searching for workarounds, Vietnamese businesses must now strengthen internal compliance systems. First, they should establish cross-verification procedures for all documents—COs, HS codes, sales contracts, and bills of lading—to ensure consistency, transparency, and completeness before declaration. Second, they need to invest in personnel trained in international customs regulations, especially the latest updates from CBP, the EU Taxation and Customs Union, and the WTO.

Additionally, logistics firms should actively connect with certification bodies and trade associations for updates and regularly train staff on legal risk management in international shipping. Advanced companies are already adopting blockchain-based traceability systems or QR codes linked to each order to increase credibility and reduce risk of being labeled “high-risk.”

From Cautionary Tale to Survival Strategy

The wave of tariff hikes and tighter oversight from major economies marks a new era for global enterprises—where competitive advantage no longer lies in low costs or delivery speed, but in transparency and legal compliance. For Vietnam, this is not just a wake-up call—it’s an opportunity to filter and restructure the logistics sector toward higher standards.

Companies that invest in risk governance and can demonstrate compliance capabilities will retain a seat at the global supply table. Those who opt for “legal shortcuts” will soon find themselves ejected—not by penalties, but by the loss of trust from international partners.