You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

June 17, 2025

New Trade Inspection Implementation Decision in Laos

Subscribe to Updates

On January 9, 2025, the Lao official gazette published the newly amended Decision on Trade Inspection Implementation No. 0019/MOIC, dated January 6, 2025.

This decision aims to establish principles and rules for trade officers to inspect, fine, and take measures against violators of trade laws and their related regulations on business competition, business operations, and intellectual property rights to protect consumers and business operators in Laos.

Changes in Trade Inspection Procedures

Previously, trade inspection officers, operating independently under the central Ministry of Industry and Commerce (MOIC) or the provincial-level Department of Industry and Commerce (DOIC), were responsible for administrative raid actions focusing exclusively on intellectual property issues. However, following the enactment of Decision No. 0019/MOIC, trade inspection officers will now be grouped into the Trade Officers Unit, which will also include business competition officers and consumer protection officers. This unit will conduct and participate in raids, considering not only intellectual property laws but also competition and consumer protection laws when imposing penalties on infringers.

Trade Inspection Authority Levels

Trade inspection implementation is overseen by authorities at three levels:

  • Central level: Department of Business Competition and Trade Inspection, MOIC. The MOIC handles trade inspection work covering all provinces in Laos.
  • Provincial level: DOIC offices in provinces and Vientiane handle trade inspections covering two or more districts.
  • District level: Office of the Industry and Commerce offices in districts.

Violations

Individuals, legal entities, and organizations violating the newly amended trade inspection decision, the Decree on Trade Inspection, or other related regulations will be educated about the issue, warned, disciplined (for government servants), fined, subject to compensation for damage incurred, or punished by the relevant laws, depending on the gravity of the violation.

Trade Violations

Violations of trade laws and regulations concerning business operations will result in fines and additional measures. Examples include:

  • Failure to display product prices: Fines ranging from LAK 500,000 (approx. USD 25) to LAK 1,000,000 (approx. USD 50) per item.
  • False advertising: Fines ranging from LAK 500,000 to LAK 5,000,000 (approx. USD 250) per item, with possible seizure or destruction of products.
  • Defamatory advertising: Fines ranging from LAK 500,000 to LAK 1,000,000 if a complaint is filed.
  • Incorrect labeling or failure to label in Lao language: Fines ranging from LAK 500,000 to LAK 5,000,000 per item, with possible seizure or confiscation of products.
  • Counterfeiting labels: Fines ranging from LAK 200,000 (approx. USD 10) to LAK 2,000,000 (approx. USD 100) per instance, with confiscation of products and criminal prosecution.

Intellectual Property Violations

Minor offenses in violation of intellectual property laws will result in fines of 1% of the value of the damage incurred. Intentional violations will result in fines of 5% of the damage incurred per violation.

False Business Operations

Violations of the Enterprise Law No. 33/NA, dated December 29, 2022, will result in educational measures, warnings, disciplinary actions, fines, civil damages, or criminal penalties. Conducting business without a permit will result in similar measures.

Unauthorized Trading

Illegal trading of products will be punished or fined based on the value of the goods and compliance with ensuing legal obligations. Examples include:

  • Import-export goods processed at incorrect checkpoints: Remedial education and warnings for goods below LAK 5 million, fines of 5% for goods valued between LAK 5 million and LAK 10 million, and fines of 10% for goods above LAK 10 million.
  • Violations of the import and export regulations: Fines of 30% for the first offense, 50% for the second offense, and 70% for illegal import or export of goods.

Compliance

Businesses need to ensure their compliance with the newly amended trade inspection decision and all related laws and regulations, as violating a trade regulation, operating a business without an Enterprise Registration Certificate, or conducting a business for illicit purposes involving illegal goods may result in civil or criminal proceedings, depending on the violation and applicable regulations—in addition to the fines and measures outlined above.

Related Professionals

Practices

Antitrust and Competition

Customs and International Trade

Intellectual Property

Location

RELATED INSIGHTS​ 

March 12, 2025
In November 2024, Thai Prime Minister Paethongtarn Shinawatra unveiled ambitious plans to enhance tax incentives for foreign film productions during a networking reception in Los Angeles, coinciding with her visit to the APEC Economic Leaders’ Meeting in Lima, Peru. This event, attended by Motion Picture Association executives and leaders from top US film companies, marked a significant commitment to boosting foreign investment in Thailand’s film industry. Thailand’s Department of Tourism (DOT) prioritized the initiative by updating the Announcement on Guidelines, Procedures, and Conditions for Applying for Benefits Under the Incentive Measures for Foreign Film Production in Thailand in December 2024 to further position Thailand as a destination for large-scale international film and television productions. Key Amendments to Film Incentives under the 2024 Announcement The 2024 announcement introduced major changes, including (1) removal of the rebate cap, previously set at THB 150 million (approx. USD 4.5 million) per project, enabling rebates based on total qualified spending, and (2) an increase in cash rebate rates. The maximum allowable cash rebate rate was increased to 30 percent from the previous cap of 20 percent. The base rate of 15 percent remains unchanged. The primary incentive available under the 2024 announcement is a 15 percent cash rebate on qualified spending in Thailand of at least THB 50 million (approx. USD 1.5 million). On top of this primary incentive, additional incentives are available; however, the total possible cash rebate is capped at 30 percent, and the additional incentives can only amount to an added 15 percent. Also, the total rebate (including both primary and additional incentives) for films with a budget of less than THB 100 million (approx. USD 3 million) is capped at 25%. To obtain a higher rebate rate, productions may apply for the following additional incentives: Compliance Requirements Foreign production companies
Read More
March 6, 2025
On February 18, 2025, the Thai Senate approved an amendment to the Act on the Establishment of and Procedures for the Tax Court. This follows the July 2024 approval by the Thai cabinet and subsequent preparation of supporting secondary legislation. This important amendment to procedural law, once it takes effect, will extend the exclusive jurisdictional powers of the Tax Court to all criminal tax, customs, and excise tax claims in addition to the court’s existing jurisdiction over all such civil claims. The amendment, while now formally approved by the legislature, is awaiting the king’s signature and will take effect 180 days after its publication in the Government Gazette. Based upon its projected publication date, the amendment will likely take effect by the end of the third quarter of this year. This development is set to offer a more sophisticated Tax Court litigation process for highly specialized and often complex criminal tax and customs claims, something with which Thailand’s traditional criminal courts have struggled. It also ensures that all tax and customs matters are adjudicated before the same court, saving time, party costs, and judicial resources. This appears likely to result in more consistent adjudication of criminal tax and customs disputes, a benefit for the Thai government and party litigants alike. Any ongoing criminal tax and customs claims already commenced with the respective criminal courts on the date on which the amendment becomes effective will remain under the exclusive jurisdiction of those criminal courts. The Tax Court will have exclusive jurisdiction over all other claims. This important legislative change offers those managing or otherwise facing civil and/or criminal Thai tax or customs disputes the opportunity to more effectively plan and execute a uniform defense strategy before a single, qualified forum.
Read More
March 6, 2025
Vietnam’s government is currently undergoing a significant restructuring, consolidating and eliminating various agencies with the aim of streamlining operations and increasing efficiency. The restructuring will bring notable changes to the country’s intellectual property (IP) landscape. We discuss below key developments that may influence IP protection and enforcement in Vietnam in the coming years. Mergers of Ministries One of the most notable changes in the restructuring is the merger of several ministries, including the Ministry of Information and Communications (MIC) and the Ministry of Science and Technology (MOST). Vietnam’s Intellectual Property Office is a unit under MOST; therefore, this merger is expected to impact various aspects of IP administration and enforcement. With the newly merged ministry—which is expected to retain the name of MOST—actively supporting the development of the digital economy, further advancements in digital tools for IP administration and prosecution are anticipated. This could include enhancements in e-filing, online procedures, and digital payment systems, contributing to greater accessibility and efficiency in IP-related services. Domain name disputes can also expect to see a more coordinated approach under the new ministry. Previously, jurisdiction over domain name disputes was divided between MIC and MOST, sometimes leading to procedural complexities. With both areas now under a single ministry, these matters are expected to be handled more seamlessly, potentially with a model aligned with the Uniform Domain Name Dispute Resolution Policy (UDRP). Structural Changes in Inspection Authorities The restructuring also affects inspection authorities responsible for IP enforcement, particularly those under MOST and the Ministry of Culture, Sports, and Tourism (MOCST). These changes may cause temporary delays in administrative enforcement actions: The MOST Inspectorate, which handles industrial property violations, may experience slower enforcement during the transition. The MOCST Inspectorate, responsible for copyright enforcement, may face similar disruptions. However, these delays are expected to be temporary,
Read More