Foreign bicycle manufacturers often bring their products to Vietnam before exporting them to EU markets to evade anti-dumping tariffs, says the Vietnam Competition Authority (VCA).

The situation is attributed to the EU imposing no anti-dumping tariff on Vietnamese bicycles and 30 percent on Chinese bicycles.

The VCA says if Vietnam cannot control the situation, it is likely that the EU will once again impose an anti-dumping tariff on Vietnamese bicycles.

The VCA is now working closely with the Vietnam Chamber of Commerce and Industry and anti-trafficking agencies to inspect the capacity of domestic bicycle producers.

At the same time, provincial departments of planning and investment will only grant licenses to businesses that can prove their production capability.