US: Vietnam Remains a “Piracy Haven” Despite Fmovies Crackdown

The Office of the United States Trade Representative has released its annual Special 301 Report, calling out countries that fall short on anti-piracy enforcement and other forms of intellectual property protection. Vietnam is once again one of the key targets and still perceived as a piracy haven, despite the historic takedown of the Fmovies piracy ring last summer.

vietnam wall flagFollowing its launch in 2016, Fmovies presented a major threat to Hollywood and after years online, it was one that seemed near impossible to defeat.

The site’s operators were linked to dozens of popular pirate sites, together generating billions of visits annually.

While the MPA’s anti-piracy flagship ACE tied the operation to Vietnam early on, an effective shutdown proved to be unusually complicated. In addition to gathering intelligence, Hollywood’s diplomatic powers were required to force a breakthrough.

Last summer, these efforts paid off handsomely; or so it appeared. After the main Fmovies site fell apart in July, related streaming portals including Bflix, Aniwave, and Zorox fell like dominoes in the weeks after, with ACE taking partial credit for the closures.

The enforcement action didn’t stop there. Vietnamese authorities eventually arrested two suspects in the case; Phan Thành Công, who allegedly ran Fmovies between 2016 and 2024, and Nguyen Tuan Anh, an accomplice who allegedly uploaded 50,000 videos.

The arrests, paired with follow-up confessions by both men, appeared to be great news for Hollywood and other rightsholders. However, the question remained whether others would be deterred from operating similar piracy rings in Vietnam.

USTR: Vietnam Perceived as a Piracy Haven
Earlier this week, the Office of the United States Trade Representative (USTR) published its latest Special 301 Report, highlighting countries that fail to live up to U.S. copyright protection standards. Despite the Fmovies crackdown, Vietnam remains a prime concern.

The USTR writes that Vietnam remains on its “Watch List” since there has been little or no progress on many other intellectual property concerns. At the same time, doubts remain over the effectiveness of local anti-piracy prosecutions.

The USTR highlights two successful criminal convictions last year; one against the operator of BestBuyIPTV, and another targeting the admins of Bilutv.net, Tvhayh.org, and Hiss.pro. While these convictions were rare for Vietnam, they resulted in relatively mild suspended sentences.

These prosecutions don’t appear to have sent shockwaves to other pirate site operators in the country, USTR notes, adding that Vietnam is seen as a piracy haven.

“[E]ven with recent law enforcement actions, Vietnam remains a leading source of online piracy and continues to host some of the most popular English-language copyright infringement sites and services in the world, targeting a global audience,” USTR writes.

“The operators of these sites and services are believed to operate from Vietnam in part because of the perception that the country is a haven for online piracy.”

Stunning Victory or Token Gesture?
The MPA and ACE previously characterized the Fmovies shutdown as a “stunning victory” but they too must be frustrated with the lack of change in the local piracy landscape. Just a few months ago, the MPA listed Hianime and 2embed as notorious pirate operations; both sites are believed to operate from Vietnam.

At the same time, there are serious doubts that prosecutions will lead to convictions that are sufficient to deter other pirate site operators. This includes the prospect of financial penalties that may seem low relative to the scale of the operation.

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The USTR sees the challenges ahead, and it urges Vietnam to step up its enforcement game. This includes more prosecutions of pirate site operators as well as tougher punishments, including prison sentences and steep fines.

“In order to have a deterrent effect, Vietnam enforcement authorities should bring more criminal cases against significant piracy sites and consider seeking prison sentences, monetary fines, and other criminal penalties at the higher levels that are available under Vietnamese law,” USTR writes.

This recommendation must be music to the ears of the MPA and the Hollywood group did indeed welcome the USTR report.

“The MPA commends the team at USTR and its interagency partners for identifying harmful practices, combating copyright infringement in foreign markets, and renewing its commitment to countering digital piracy worldwide,” MPA CEO Charles Rivkin says.

MPA’s comments don’t mention Vietnam or the Fmovies case, however. This is understandable, as there are likely diplomatic talks in progress behind the scenes. While the U.S. has recently shown that playing offense can be one strategy to get things done, sometimes a more subtle approach can still be preferred.

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