After Chinese online retailer Temu suspended its operations in Vietnam, many customers have grown inpatient waiting for refunds for prepaid orders.

Temu has yet to issue an official response to their concerns.

Ho Chi Minh City resident An An placed four orders worth a combined VND2 million (US$78.7) on Temu shortly before the platform ceased operations in Vietnam, but it took her over a month to receive a refund on the purchase.

But not everyone has been as fortunate as An, and Facebook groups have begun popping up with large numbers of members complaining that they have yet to receive refunds despite submitting requests weeks prior.

Dang Khoa, a resident of Phu Nhuan District in Ho Chi Minh City, complained that he had not been refunded for his orders of clothes and a pickleball paddle bag worth VND1.3 million ($51.1).

Similarly, Minh Trang, another Ho Chi Minh City resident, bought a cheap bedding set, but when Temu ceased operations, she neither received the product nor a refund.

Both Khoa and Trang have contacted the platform, but have yet to receive a response.

Before Temu suspended operations in Vietnam, many customers had complained about the poor quality of Temu products.

Temu gained popularity in Vietnam thanks to promotions offering discounts of 70-90 percent, far exceeding the level regulated by the Vietnamese law.

It also attracted Vietnamese customers by offering rewards to those who introduced new customers to the platform.

Ho Chi Minh City resident Pham Quoc Thanh and his wife were Temu customers prior to the platform’s exit from Vietnam.

The couple had often found themselves staying up late to catch deals, finding themselves convinced by messages such as ‘Most products have been sold out,’ or ‘Only one day left for this promotion.’

Besides clothes and household items, Thanh bought sports equipment, totaling over VND3 million ($118). However, like many other Vietnamese customers, his orders were never delivered.

He requested a refund from the platform but the customer service agent he had been in contact with seems to have disappeared.

Meanwhile, many individuals who previously worked as affiliate marketers for Temu have found themselves disillusioned and empty-handed. 

"I didn’t receive any commissions and ended up looking bad for convincing my friends to join the affiliate marketing program like I did. I eagerly invited people through Facebook and Zalo, but in the end, I was embarrassed, wasted my time, and hurt my reputation," said the 32-year-old Tran Thi Bich Ngan.

An unknown future

Temu wrote on its website that “Temu is working with the Vietnam E-commerce and Digital Economy Agency and the Ministry of Industry and Trade to register its provisions of e-commerce services in Vietnam,” indicating that it has not completed the legal procedures to operate legally in the Southeast Asian country.

Although the platform still displays product prices in Vietnamese dong, product information on the site is presented in English. 

According to Hoang Ninh, deputy director of the E-commerce and Digital Economy Agency under the Ministry of Industry and Trade, Temu is still in the process of completing its paperwork to apply for a license in accordance with Vietnam’s regulations on e-commerce.

After completing legal procedures and meeting all necessary conditions, Temu will be able to return to the Vietnamese market, Ninh affirmed, adding that Vietnamese customs had stopped customs clearance for all Temu’s shipments.

This means that if Temu does not legalize its operations in Vietnam, previously ordered products will not be able to enter Vietnam.

The Ministry of Industry and Trade has asked Temu to issue an apology and refund customers who have not received their purchases, Ninh said.

For customers who have not yet received refunds, it may be due to errors in order making and delivery processes, said Ninh.

Many experts in e-commerce have urged the Ministry of Industry and Trade to provide information and warnings about unlicensed e-commerce platforms in Vietnam.

Be cautious of illegal e-commerce platforms

According to the Vietnam E-commerce Association, cross-border e-commerce platforms like Temu may offer more options to consumers, but they also pose many risks.

Loose management can result in losses to customers. Therefore, Vietnamese consumers must be vigilant and pay attention to the price, quality, and origin of goods, as well as customer protection policies.

Management agencies must require foreign e-commerce platforms to register their operations and comply with Vietnam’s law.

Taking advantage of the fact that many customers are complaining about not receiving their products or refunds from Temu, several individuals on social Facebook and TikTok have begun attempting to scam others, promising to help them recover their money.

Temu, owned by Chinese e-commerce giant PDD Holdings, is now present in 78 countries and territories.

It began offering its services in Vietnam in October last year.

The platform suspended its operations in Vietnam two months later following a requirement of the Vietnamese Ministry of Industry and Trade.

The ministry made the move as Temu had failed to meet an end-November deadline for business registration with local authorities.

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