Dropshipping in Vietnam 2025

Have you ever wondered why more entrepreneurs are choosing to dropship from Vietnam instead of the usual hubs like China or India? The answer lies in Vietnam’s booming manufacturing sector, cost-effective labor, and growing reputation for high-quality products. With global e-commerce sales projected to keep climbing, dropshipping in Vietnam is fast becoming a smart move for anyone looking to build a profitable online store.

In this guide, we’ll walk you through everything you need to know—from how to find reliable suppliers and calculate shipping costs, to understanding legal requirements and overcoming challenges unique to dropship in Vietnam. Whether you’re just starting out or scaling an existing business, this article will help you unlock Vietnam’s full potential as your next dropshipping destination.

What is Dropshipping & Why Vietnam?

Dropshipping is a business model where online store owners sell products without keeping any inventory. Instead of purchasing bulk stock upfront, retailers partner with suppliers who handle the storage, packaging, and shipping. When a customer places an order, the store forwards it to the supplier, who ships it directly to the buyer. This makes dropshipping an attractive option for entrepreneurs who want to launch an e-commerce store with low startup costs and minimal risk.

But while dropshipping is a global opportunity, the real question is: why should you dropship from Vietnam instead of other sourcing destinations?

Key Advantages of Sourcing from Vietnam

1. Cost of Labor and Manufacturing

Vietnam has emerged as one of the most cost-competitive manufacturing hubs in Asia. With lower labor costs compared to China and India, businesses can source products at affordable rates while maintaining strong profit margins. This is especially valuable for entrepreneurs looking to scale their dropshipping in Vietnam operations without inflating expenses.

2. Trade Agreements (CPTPP, EVFTA, and More)

Vietnam’s participation in major trade agreements such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the EU–Vietnam Free Trade Agreement (EVFTA) gives international sellers significant advantages. These agreements reduce tariffs, simplify cross-border logistics, and open up access to high-demand markets in Europe, North America, and Asia—making it easier and cheaper to dropship in Vietnam for global customers.

3. Product Diversity & Unique Crafts

Beyond cost advantages, Vietnam is known for its unique handmade goods, textiles, home décor, eco-friendly products, and artisanal crafts. These categories allow dropshippers to stand out in competitive markets with authentic and high-quality items that are difficult to replicate elsewhere. Whether it’s bamboo kitchenware, lacquerware, or trendy fashion pieces, Vietnam offers niches that combine tradition with modern appeal.

4. Focus on Sustainability

Global consumers are increasingly demanding eco-friendly and ethically sourced products. Vietnam has been strengthening its position in sustainable manufacturing, with suppliers offering recyclable packaging, organic fabrics, and environmentally conscious production methods. For store owners who want to target eco-conscious buyers, sourcing and dropshipping from Vietnam aligns perfectly with market demand.

5. Logistics & Infrastructure Improvements

Vietnam’s logistics and shipping capabilities have grown significantly in recent years. With modernized ports, airports, and international courier partnerships, order fulfillment is faster and more reliable than ever before. Suppliers in Vietnam can now ship to major markets like the U.S., Europe, and Australia within competitive timelines, helping reduce cart abandonment due to long shipping waits.

Vietnam’s E-Commerce Market at a Glance

Vietnam is not just a sourcing hub—it is also one of Southeast Asia’s most promising e-commerce markets. The country is expected to reach $60 billion in e-commerce revenue by 2030, driven by its tech-savvy, mobile-first population.

• Internet penetration: Over 75% of the population is online, with millions of new users joining each year.
• Mobile usage: Smartphones dominate shopping behavior, with a majority of transactions completed through apps.
• Cross-border trade growth: Vietnam is actively integrating into global supply chains, making it easier for businesses to dropship from Vietnam to international customers.

This strong digital foundation makes Vietnam both a supplier hub and a lucrative consumer market for forward-looking dropshippers.

How Dropshipping from Vietnam Works: Step by Step

Starting a profitable dropshipping business in Vietnam is more than just finding cheap products. It’s about identifying the right niche, building strong supplier relationships, calculating costs accurately, and ensuring smooth fulfillment. Below is a step-by-step breakdown of how to successfully dropship from Vietnam.

Product Discovery & Niche Selection

The first step in dropshipping from Vietnam is identifying products that not only travel well but also have strong global demand. Items like home décor, bamboo kitchenware, fashion accessories, handmade crafts, eco-friendly products, and textiles perform exceptionally well because they are lightweight, durable, and appeal to international buyers.

When choosing a niche, consider:

• Size and weight – Smaller, lighter products reduce shipping costs.
• Durability – Items less prone to damage travel better.
• Trends & demand – Eco-friendly, sustainable, and handcrafted goods from Vietnam are especially popular.

Finding & Vetting Reliable Suppliers

Sourcing high-quality products from trustworthy suppliers is the backbone of successful dropshipping in Vietnam. Here’s how to approach it:

Platforms & Directories

• Spocket – A leading dropshipping platform that connects you with vetted Vietnam-based and international suppliers offering fast shipping options and branded invoicing.
• AliDrop – If you’re focused on AliExpress dropshipping, AliDrop makes it easier to integrate suppliers into your store while offering access to a wide product range, including Vietnam-based manufacturers.
• Alibaba & Global Sources – Large platforms listing Vietnamese suppliers across categories.
• Local directories & trade shows – Great for building relationships directly and finding unique, niche products.

Supplier Verification Checklist

Before committing to a supplier, it’s crucial to verify reliability and quality:

• Certifications – Check for ISO, CE, or eco-certifications depending on the product.
• Sample Orders – Always request samples to test product quality, packaging, and shipping speed.
• Factory Visits or Audits – If possible, visit in person or hire third-party auditors to confirm operations and ethical practices.

Cost Components & Margin Calculation

To maintain profitability when you dropship in Vietnam, you need to factor in all hidden costs—not just supplier prices.

• Supplier Price – Base product cost per unit.
• Packaging & Branding – Branded packaging can enhance customer experience but adds to costs.
• Shipping Fees – Vary by method (air, sea, courier). Bulk discounts may apply.
• Customs, Duties & VAT – Depending on your target market, tariffs and taxes can significantly affect final costs.
• Returns & Refunds – Always budget for a small percentage of returns or damaged goods.

A good rule of thumb: aim for at least 30–40% profit margin after all expenses.

Order Fulfillment & Shipping Methods

Efficient shipping is one of the biggest challenges in dropshipping from Vietnam. Choosing the right fulfillment strategy helps maintain customer satisfaction and avoid delays.

Shipping Options

• Air Freight – Fast but more expensive; ideal for lightweight and high-demand products.
• Sea Freight – Cost-effective for bulk shipments but slower (typically 20–30 days).
• ePacket or Courier Services – Reliable and relatively affordable for small orders.

Lead Times & Managing Wait Times

Shipping times from Vietnam vary between 7–25 days, depending on the destination and method. To manage customer expectations:

• Be transparent about delivery timelines.
• Offer tracking numbers.
• Use buffer time during holidays (e.g., Lunar New Year).

Fulfillment by 3PL or Partner Logistics

Third-party logistics (3PL) companies based in Vietnam can handle storage, packaging, and shipping on your behalf. Partnering with 3PL providers reduces risk, speeds up delivery, and allows for more consistent operations.

Legal, Regulatory & Compliance in Vietnam

When you dropship from Vietnam, knowing the legal and regulatory landscape is critical to avoid delays, fines, loss of reputation, or worse. Here’s what you need to know:

Export-Import (Trade) Rules

On-Spot Import & Export (OTS / “In-Country Export/Import”)

• Effective July 1, 2025, Vietnam passed a law clarifying regulations around “on-spot” import/export (goods sold and delivered domestically but with a foreign buyer) to formalize them under customs and VAT rules.
• These transactions now require full customs clearance (export and import declarations) and are subject to standard customs oversight.
• The good news: such “on-spot” exports are eligible for 0% VAT under certain conditions.

Law on Export-Import Duties

• Vietnam sets export and import duties based on the Harmonized System (HS codes). Most consumer-type goods are subject to import duties; some raw materials or natural resource products have export duties (up to ~45% for certain items). 
• Many goods are exempt from export duties, especially finished products, or goods under free trade or processing contracts.

Required Documentation & Customs Declarations

• Export declarations, commercial invoices, packing lists are essential. For on-spot export/import transactions, special documents include the export license, certificates of specialized inspection (where required), and documentation proving contract terms and origin.
• With the reforms effective mid-2025, the rules have been simplified, especially around definitions, eligibility for VAT exemptions, and customs procedures.

Permits, Licenses & Certifications

To legally produce, export, and dropship goods, there are several licenses/certifications to pay attention to:

• Business / Trading License: Local suppliers must be legally registered with enterprise/trade registration credentials. For foreign exporters sourcing from local factories, verifying that supplier has valid business registration is essential.
• Product Standards & Certifications: Depending on the product category and destination market, manufacturers must meet international and local standards (e.g. CE for Europe, FCC for electronics, FDA for food/supplements, or local safety & health certifications). Vietnam has many agencies overseeing minimum quality/performance standards across agriculture, food, cosmetics, electronics, telecommunications, and more.
• ISO & Environmental Certifications: For higher-end, sustainable, or premium product lines, having ISO 9001 (Quality Management), ISO 14001 (Environmental Management), and other relevant certifications can be a strong differentiator. Though not always legally required, many international buyers demand them.

Intellectual Property, Product Safety & Environmental Standards

Intellectual Property (IP) Protection

• Vietnam uses the Law on Intellectual Property (2005, amended several times, including 2022) as the legal foundation for copyrights, trademarks, industrial designs, patents, geographical indications, and trade secrets.
• Registration is on a first-to-file basis. Foreign companies should apply for trademark/patent protection through Vietnam’s National Office of Intellectual Property (NOIP).
• Enforcement includes civil, administrative, and criminal remedies. Customs authorities also monitor goods entering/leaving Vietnam for IP infringement.

Product Safety & Environmental Standards

• Depending on what you are dropshipping, you may need to comply with safety standards for chemicals, electronics, children’s goods, textiles, etc. This includes testing, labeling, and sometimes restricted substances. These vary by destination (e.g. EU REACH, US FCC or CPSIA).
• Environmental regulations are becoming more important: sustainable packaging, reducing plastic, meeting import market’s environmental compliance (e.g. EU standards) or eco-labels. Suppliers with environmentally friendly manufacturing and sourcing practices are increasingly preferred.

Vietnam’s Tax Laws Related to Exports & Dropshipping

VAT (Value-Added Tax)

Most exported goods are eligible for 0% VAT under Vietnam law (if properly declared and meeting the export rules). This includes goods under on-spot export/import once declarations and documents are in order.

Corporate and Income Tax

Suppliers/manufacturers in Vietnam pay standard corporate tax rates on profits, but export businesses may benefit from tax incentives under certain export-promoting policies.

Import Duties / Tariffs when goods are shipped to destination countries

While Vietnam might exempt or reduce export duties, once goods are shipped abroad,importers (or customers) will face customs duties, VAT/GST, and fees in the destination country. These vary widely depending on HS codes, trade agreements, origin, and value.

Customs & Duties in Destination Countries

Even if you sort everything in Vietnam properly, buyers (or you, as the seller) must deal with destination country’s rules:

• Tariffs & Duties: Depending on the product’s classification and origin, destination countries may impose import duties. Many trade agreements (if Vietnam has FTAs with that country) may reduce or eliminate these duties.
• Customs Clearance & Import Taxes: This includes VAT or GST imposed at borders, plus possibly regulatory fees or inspection costs.
• Rules of Origin: To qualify for preferential tariffs under trade agreements (e.g., EVFTA, CPTPP), goods must meet rules of origin: minimal domestic content, or processing in Vietnam. You’ll need proper documentation to prove origin.
• Restricted / Prohibited Goods: Some items (chemicals, foodstuff, electronics, cosmetics, etc.) may need special permits or be banned in certain markets. Knowing destination regulations is essential to avoid seized shipments or fines.
• Returns & Liability: If goods are defective or non-compliant, shipping back or refunding can create legal issues in cross-border trade. Having clear return policies and understanding both Vietnam’s export rules and import regulations in the destination country helps.

Operational Challenges & How to Overcome Them

While dropshipping from Vietnam offers many opportunities, it also comes with its share of challenges. Recognizing these issues upfront and preparing solutions will help you run a more reliable, profitable business.

1. Communication & Language Barriers

One of the most common hurdles when you dropship in Vietnam is effective communication. Many suppliers may not be fluent in English, which can lead to misunderstandings about product specifications, delivery times, or contract terms.

How to overcome it

• Use clear, simple language in all communications.
• Leverage translation tools or hire bilingual staff if managing large operations.
• Work with platforms like Spocket or AliDrop where suppliers are pre-vetted, and communication support is often built in.

2. Quality Control & Consistency

Maintaining product quality across multiple orders is crucial for customer satisfaction. Since you won’t handle the products directly, there’s always a risk of quality variations when dropshipping in Vietnam.

How to overcome it

• Always order samples before listing products in your store.
• Request quality certificates and manufacturing standards from suppliers.
• Hire third-party inspection services for larger or higher-value orders.
• Establish clear agreements with suppliers regarding defective or damaged goods.

3. Supplier Reliability & Stock Availability

An unreliable supplier can damage your brand’s reputation. If a product suddenly goes out of stock or shipping is delayed, your customers may lose trust. This is especially important when you dropship from Vietnam to overseas markets.

How to overcome it

• Work with multiple suppliers for the same product as a backup.
• Use dropshipping platforms that track stock in real-time.
• Set up automated alerts when inventory levels are low.
• Build strong, long-term relationships with trusted suppliers.

4. Long Lead Times, Especially Around Holidays

Vietnamese holidays such as Tet (Lunar New Year) can cause significant shipping delays, sometimes lasting up to two weeks. Longer lead times overall compared to domestic suppliers can also frustrate customers.

How to overcome it

• Be transparent with customers about shipping times.
• Use faster shipping options like express couriers for urgent orders.
• Plan ahead for holiday seasons by stocking up or setting cut-off dates.
• Partner with third-party logistics (3PL) providers in Vietnam to shorten delivery timelines.

5. Payment Method Risks & Fraud Prevention

International transactions always carry risks—from hidden bank fees to fraudulent suppliers. Since many suppliers in Vietnam still prefer wire transfers, dropshippers may feel vulnerable.

How to overcome it

• Use secure payment gateways like PayPal, Wise, or escrow services.
• Start with smaller trial orders before scaling to large volumes.
• Stick to verified suppliers on platforms like Spocket or AliDrop to minimize risks.
• Always request official invoices and keep documentation for tax and compliance purposes.

FUNIMART – A Vietnamese Dropshipping Platform Success

FUNIMART is a local Vietnamese dropshipping / intermediary platform founded in 2020 by Nguyen Minh Duc. The platform connects manufacturers / producers in Vietnam with “collaborators” (i.e. sellers) who sell without holding inventory. This addresses common problems for small sellers: inventory costs, capital lock-in, and risk of fraud.

Key Features

• Acts as a bridge between producers and sellers: sellers list products, and FUNIMART ensures the logistics / order handling through the producers.
• Eliminates some intermediaries, thus lowering costs for both producer and seller. Sellers don’t need huge upfront capital for stock.
• Focuses on quality control and trusted partners, which builds credibility among both producers and sellers. (While not all cost details are public, the model demonstrates how “dropshipping in Vietnam” can work by building trust and local infrastructure.)

Lessons

• By using a platform like FUNIMART, sellers save on inventory costs, storage, and reduce risk.
• The model likely requires commissions / fees for the platform, along with logistics / shipping / order-management costs.
• Success is tied to building trustworthy relationships with both ends (producers and sellers), ensuring product quality, reliable delivery, and transparent communication.

Financial Projections & Profitability

One of the biggest questions entrepreneurs ask before starting is: “How profitable is dropshipping from Vietnam?” While exact numbers depend on your niche, supplier, and marketing spend, it’s possible to build realistic projections to understand break-even points and margins.

Rough Estimates for Small, Medium & Scale-Up Stores

Small Store (Starter Stage)

• Monthly revenue: $2,000 – $5,000
• Typical products: eco-friendly cutlery, fashion accessories, home décor
• Net profit margins: 20–30% after costs
• Marketing spend: heavy reliance on social media ads and organic growth

Medium Store (Growth Stage)

• Monthly revenue: $10,000 – $30,000
• Broader product catalog with multiple suppliers
• Net profit margins: 25–35%
• More focus on branding, influencer marketing, and repeat customers

Scale-Up Store (Established Stage)

• Monthly revenue: $50,000+
• Includes private-labeling, branded packaging, and partnerships with 3PL logistics providers
• Net profit margins: 30–40%
• Diversified marketing: SEO, email, paid ads, affiliate partnerships

Break-Even Points

The break-even point for most stores that dropship in Vietnam can be reached within 3–6 months, provided:

• Product margins are at least 25% or higher
• Initial ad spend is managed carefully
• Customer acquisition costs don’t outpace lifetime value
• Returns and refunds are kept below 5% of orders

Entrepreneurs who choose high-demand, lightweight, and durable products (e.g., handmade crafts or bamboo items) often break even faster due to lower shipping and replacement costs.

Margins: Vietnam vs. China vs. Other Alternatives

• Vietnam: Margins typically range 25–40% thanks to low labor costs and strong free trade agreements (EVFTA, CPTPP). Niche, handmade, and eco-friendly goods can command higher markups.
• China: Margins often 15–25%, but competition is intense, and products can be commoditized. Fast logistics are an advantage, but price wars eat into profit.
• India / Other Alternatives: Margins vary 20–30%, but supply chain reliability and quality consistency can be an issue. Vietnam often outperforms due to better trade access and diversified product offerings.

For entrepreneurs aiming to dropship from Vietnam, the balance of lower costs, higher perceived value, and unique products provides an attractive profit outlook compared to other markets.

Future Trends & What To Watch For

Looking ahead, dropshipping in Vietnam will continue to evolve with market trends, technology, and consumer preferences.

Emerging Product Categories

• Eco-friendly lifestyle goods – bamboo, rattan, and organic fabrics
• Handmade & artisanal crafts – lacquerware, embroidery, pottery
• Fashion & apparel – streetwear, sustainable fabrics, accessories
• Home & living – minimalist furniture, eco-kitchenware, décor
• Tech accessories – phone cases, charging cables, wearables

Improvements in Logistics & E-Commerce Infrastructure

Vietnam has invested heavily in logistics hubs, ports, and international shipping networks. With rising 3PL providers and faster courier integrations, shipping times from Vietnam are approaching those of China. Platforms like Shopee and TikTok Shop have also made cross-border e-commerce more seamless.

Policy Changes & Trade Agreements

Vietnam’s membership in major trade agreements (CPTPP, EVFTA, RCEP) continues to reduce tariffs and make exports more competitive. These agreements give dropshippers in Vietnam an advantage by lowering costs and expanding access to lucrative markets in the EU, North America, and Asia-Pacific.

Consumer Trends to Leverage

• Eco-friendly & sustainable: Global buyers increasingly favor products with recyclable packaging, organic materials, and fair-trade certifications.
• Handmade & authentic: Unique Vietnamese crafts stand out in a saturated market.
• Mobile-first shopping: With TikTok Shop, Shopee, and Lazada dominating, “shoppertainment” is blending content with commerce.
• Personalized branding: Consumers prefer brands with a story—dropshippers who highlight Vietnam’s culture and craftsmanship can charge premium prices.

Conclusion

Dropshipping from Vietnam offers entrepreneurs an exciting blend of affordability, product diversity, and global market access. With strong trade agreements, growing e-commerce infrastructure, and rising demand for eco-friendly and handmade goods, Vietnam is quickly becoming a top choice for sellers worldwide. While challenges like communication, quality control, and logistics exist, careful planning and trusted supplier networks make it easier to succeed. If you’re ready to start or scale your store, explore Spocket—a platform that connects you with reliable Vietnam-based and international suppliers to simplify sourcing, fulfillment, and growth. Start building your dropshipping business today!