A global hub for fake luxury goods, Vietnam cracks down on its black market

Here is the latest breaking news from around the world: A global hub for fake luxury goods, Vietnam cracks down on its black marketImage source, Getty ImagesImage caption, Bags from French designer label Louis Vuitton are among the most popular in the fake designer marketByGavin Butler, News, Reporting fromSingapore , Thuong Le and Duc Ha, World Service, Reporting fromBangkokPublished34 minutes agoWhen Vietnam's police raided a pair of nondescript warehouses in outer Ho Chi Minh City earlier this year, they discovered more than 23,000 pairs of slippers bearing the logos of Nike, Adidas, Crocs and Gucci. Except those brands had nothing to do with the warehouses. The slippers were all counterfeits.

The raid, which led to the seizure of goods worth VND 2 billion (£57,559; $76,053 USD), was part of a crackdown on a black-market industry that has thrived in the public eye for decades. Just 30km away, at a flea market in Ho Chi Minh's tourist district, the same models of counterfeit slippers – imitations of those retailing for as much as $900 overseas – are being sold for $57 a pair. Displayed alongside them is a cornucopia of other fakes: "Chanel" handbags, "Prada" t-shirts and "Rolex" watches lining the racks.

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Widely recognised as a global hub for cheap knockoffs of luxury goods, Vietnam is home to some of the biggest fake designer markets in the world. Now, under mounting international pressure, authorities are on a crusade to rid the country of that reputation. On May 7, the government launched a nationwide crackdown on products and practices that violate intellectual property rights, including counterfeit goods, online piracy and trademark infringements.

This is not new: authorities in Vietnam perennially and publicly bust bootleg vendors to show that they are doing something about the country's ubiquitous shadow economies. But in recent weeks the clampdown has intensified. Image source, Getty ImagesImage caption, The US government has branded Vietnam the world's worst offender on IP rights"Enforcement has become stricter," says Thanh Truc, a clothes vendor at a popular street market in Ho Chi Minh's Saigon Square, who spoke on the condition that she is referred to by pseudonym.

She has just sold a replica of a Loewe t-shirt, which usually retails at $500, for $17. "Every now and then the authorities launch anti-counterfeit raids, but they usually focus on higher-value items such as luxury handbags or suitcases," she explains. "The market inspectors would come with camera crews, they'd confiscate goods from some shops, and then things gradually returned to normal.

This crackdown is being fuelled by international forces – most notably, US President Donald Trump's trade war against countries thought to be harming America's interests.

The development has drawn wide international attention, with diplomatic circles watching closely.