Temu, the e-commerce platform under China’s PDD Holding, has been granted tax identification number 9000001289 for its operations in Vietnam, according to the General Department of Taxation (GDT) under the Ministry of Finance. This tax code enables the tax authority to manage the firm’s taxable income. An advertisement of Temu viewed on Webuy hints at the platform’s upcoming activities in Vietnam.
However, as per Vietnamese regulations, e-commerce platforms must be licensed and managed by the Ministry of Industry and Trade. If Temu obtains the required license from the Ministry, it is expected to start declaring taxable income from the fourth quarter of 2024, paying the taxes by the end of January the following year. In line with the GDT’s objective to facilitate lawful business activities of cross-border companies, Temu’s tax code registration indicates its intent to comply with Vietnamese taxation regulations.
Late last month, Temu submitted a document to the Department of E-commerce and Digital Economy under the Ministry of Industry and Trade to register its Vietnam operations.
Temu’s Vietnam tax code granted
No further updates have been disclosed since this submission.
Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan expressed his concerns over the very low prices of products on the platform. Tan stated that the Ministry would conduct a thorough study to address potential issues, ensuring tight control over trade fraud, and counterfeit goods. “If found dumping,” Tan said, “they will be subjected to anti-dumping regulations.”
Meanwhile, e-commerce transactions in Vietnam surged significantly, reaching $9.5 billion in the first nine months of this year, representing a 37.66% increase year-on-year.
The figure for Q3 alone was VND84.75 trillion ($3.34 billion), showing an 18.15% rise from Q2. Platforms like TikTok Shop and Shopee have also demonstrated positive growth in Q3 compared to the previous quarters. Deputy Minister Tan’s comments underline the government’s commitment to regulating and supporting the dynamic growth of the e-commerce sector in Vietnam while maintaining fair practices and protecting consumers.
