The news comes shortly after the General Department of Vietnam Customs (GDVC) announced its capture of US-bound Chinses aluminum worth US$4.3 billion forging Vietnamese origin.

If not properly addressed, illegal transshipment would increase the risk of Vietnamese compliant traders facing slower export procedures in the US, as well as higher customs duties, said an expert of the US Agency for International Development (USAID).

The establishment of communication channel under the agreement is instrumental in the fight against trade frauds and illegal transshipment, said Deputy Minister of Finance Vu Thi Mai.

Despite trade protection measures from the authority, Vietnam’s steel imports continue to surge.

The Ministry of Finance would cooperate with the US in identifying fields and goods with high risks of origin fraud or illegal transshipment for information sharing and communication.