E-commerce giant Temu has been ordered to suspend its operations in Vietnam due to non-compliance with registration requirements, Vietnamese state media reported. The company, owned by China-based PDD Holdings, missed a government-imposed deadline at the end of November to register with the Ministry of Industry and Trade, effectively halting the clearance of goods ordered on its platform.
Vietnam’s concerns about Temu extend beyond regulatory compliance. Authorities had raised alarms over the app’s unusually low pricing strategy, which they feared could disrupt local markets. Temu, which launched in Vietnam in October 2024 with aggressive discounts and free shipping offers, has since removed Vietnamese as an interface language from its platform.
The company said it is working to resolve the issue and has submitted the required documents for registration. However, the timeline for resuming operations remains unclear.
This development comes amid growing global scrutiny of Temu’s practices, with investigations ongoing in South Korea and the European Union over allegations of unfair trade practices and insufficient controls to prevent the sale of illegal products.
