Temu and Shein suspended in Vietnam for lack of registration

Dec 6

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Karah Rucker Anchor

By Karah Rucker (Anchor), Kalé Carey (Reporter), Bast Bramhall (Editor)

A popular online shopping platform must cut through red tape after Vietnamese authorities suspended their operations in the country. According to the country’s trade ministry, Temu missed its registration deadline.

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According to a Vietnamese news agency, Temu was warned it would be blocked if the company didn’t register by the end of November, which is required for companies with more than 100,000 annual sales per year.

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Authorities with the trade ministry said that Temu’s application is being reviewed, but as of Thursday, Dec. 5, all Vietnamese language options were no longer available on the company’s website.

Temu says it is currently working with officials to register its services and restore operations through a notification on its website.

Parent company PDD Holdings launched Temu in Vietnam in October. As the website entered the Vietnamese market, it drew the attention of the deputy trade minister, who called for an investigation into the low-priced products and possible counterfeits.

The cheap goods have risen to popularity since 2022 but have started to face challenges as they enter other markets. In the U.S., a Florida state senator is calling on the Department of Commerce to investigate Temu’s labor practices, privacy of data and the safety of products currently sold by the company.

Europe has opened its own investigation into the sale of illegal products officials believe are being sold on the platform. The European Commission cited the union’s Digital Services Act, which aims to keep internet users safe. If found guilty, the company could face hefty fines.

Temu’s fast fashion competitor Shein also faces challenges in Vietnam. The website is unavailable to Vietnam shoppers for failure to register its operations as well.

Tags: China, Commerce Department, Florida, Shein, Temu, Vietnam

[Karah Rucker]

A POPULAR ONLINE SHOPPING PLATFORM MUST CUT THROUGH RED TAPE AFTER VIETNAMESE AUTHORITIES SUSPEND THEIR OPERATIONS.

ACCORDING TO THE COUNTRY’S TRADE MINISTRY THE CHINESE COMPANY..TEMU MISSED THEIR REGISTRATION DEADLINE.

A REQUIREMENT FOR COMPANIES WITH MORE THAN 100 THOUSAND TRANSACTIONS A YEAR.

AUTHORITIES WITH THE AGENCY ARE REVIEWING THEIR APPLICATION…BUT AS OF THURSDAY ALL VIETNAMESE LANGUAGE OPTIONS WERE NO LONGER AVAILABLE ON TEMU’SWEBSITE.

TEMU SAYS THEY ARE WORKING WITH AUTHORITIES TO REGISTER THEIR SERVICES.

PARENT COMPANY PINGDUODUO LAUNCHED TEMU INTO THE VIETNAMESE MARKET JUST LAST MONTH…QUICKLY DRAWING THE ATTENTION OF THE DEPUTY TRADE MINISTER WHO CALLED FOR AN INVESTIGATION INTO THE LOW PRICED PRODUCTS AND POSSIBLE COUNTERFEITS.

THE CHEAP GOODS HAVE GROWN POPULAR IN OTHER MARKETS WHERE THEY ALSO FACE MORE CHALLENGES. IN THE U-S, A FLORIDA SENATOR IS CALLING ON THE COMMERCE DEPARTMENT TO LOOK INTO LABOR PRACITICES…DATA PRIVACY AND THE SAFETY OF THE PRODUCTS SOLD BY TEMU.

EUROPE OPENED THEIR OWN INVESTIGATION INTO THE SALE OF ILLEGAL PRODUCTS THEY BELIEVE ARE BEING SOLD ON THE PLATFORM. OFFICIALS POINTING TO THEIR DIGITAL SERVICES ACT WHICH KEEPS INTERNET USERS SAFE.

TEMU’S COMPETITOR SHEIN IS ALSO FACING THE SAME ISSUE…THE WEBSITE UNAVAILABLE IN VIETNAM FOR FAILURE TO REGISTER.

FOR STRAIGHT ARROW NEWS, I’M KARAH RUCKER.