Vietnam threatens technical block on Chinese e-commerce giants Shein and Temu

The Vietnamese government is threatening to block the internet domains and apps of Chinese online retailers Shein and Temu if they fail to register their operations with the Ministry of Commerce by the end of November 2024. The move comes amid concerns over the growing influence of the wildly popular e-commerce giants on the economies of local markets. According to Reuters, Vietnamese minister of commerce Nguyen Hoang Long has confirmed that the ministry is in talks with both Shein and Temu.

If Temu and Shein fail to comply with Vietnamese government regulations, technical measures will be taken, namely blocking the apps and domains. This action follows a broader trend of countries growing concerned about the impact of China's growing e-commerce on the local market. For example, the Indonesian government recently asked Apple and Google to remove Temu from their app stores, a move intended to protect local businesses from competition from Temu's low prices. According to the Indonesian government, Temu's business model creates "unhealthy competition."

In Europe, the e-commerce federation Becom has expressed similar concerns. The federation advocates fair competition conditions for platforms such as Shein and Temu, which they say do not comply with European regulations. The global concern over Chinese fast-fashion platforms shows the growing pressure on both governments and the fashion industry to ensure fair competition at a time when Chinese companies are increasingly making their mark on global e-commerce.

In an earlier statement to FashionUnited, Temu said the concerns were unfounded and that they help consumers save money by cutting out the middleman with a so-called 'direct-from-factory' model. The company added: "We take the protection of our customers very seriously and are fully committed to complying with the laws and regulations of the markets in which we operate."

This article originally appeared on FashionUnited.NL. It was translated to English using an AI tool called Genesis and edited by Rachel Douglass..

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