You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

October 17, 2023

Two New Laws Will Impact E-Commerce Activities in Vietnam

Subscribe to Updates

On June 20, 2023, Vietnam’s new Law on Protection of Consumers’ Rights (“CPL 2023”) was officially promulgated, followed two days later by a new Law on E-Transactions (“LOET 2023”). The new laws, which will both take effect from July 1, 2024, replacing the CPL 2010 and the LOET 2005, respectively, provide new regulations for e-commerce platforms and will impact e-commerce activities in Vietnam. Some of the more significant changes are outlined below.

Law on Protection of Consumers’ Rights

Regulation of offshore entities: Previously, the CPL 2010 regulated only organizations and individuals in the territory of Vietnam. Under the CPL 2023, both onshore and offshore agencies, organizations, and individuals related to protecting consumers’ rights are regulated. In other words, Vietnam intends to monitor and manage activities of platforms with no legal presence in Vietnam.

Remote transactions: Previously, the laws on consumer protection regulated “remote contracts.” The CPL 2023 introduces and defines “remote transactions” as transactions made online, by electronic means or by other means wherein consumers cannot check or have direct contact with products, goods or services before participating in the transaction. In addition, the CPL 2023 also provides for additional responsibilities of business entities offering remote transactions such as adequately and precisely providing consumers with information when entering into these remote transactions, including the rights of consumers in case of incomplete or inaccurate provision of information and complaint handling mechanisms.

Online businesses: The CPL 2023 introduces “online businesses,” which are defined as (i) those trading products, goods, and services via their self-established platforms or digital platforms or (ii) those establishing or operating intermediary digital platforms. According to the Vietnam Competition Commission in a recent workshop, the definitions of “digital platforms” and “intermediary digital platforms” can be referred to in the LOET 2023 (see below).

Under this new category, online businesses which provide services for three months or more (defined as “continuous supply of services”) will have responsibilities similar to those engaging in remote transactions. Further, additional responsibilities apply, depending on the category:

  • Intermediary digital platforms are required to, among other things,have a mechanism to store information about their products, goods, and services and related transactions; allow consumers to access documents related to their transactions; report content censorship activities; and be responsible to consumers in Vietnam according to the law.
  • Large digital platforms are required to, among other things, monitor advertisements that use algorithms to target specific consumers and consumer groups and assess the handling of fake accounts and application of technology to the platform (such as the use of algorithmic and advertising systems and AI). A new government decree guiding the CPL 2023, currently in the draft stage, will provide the criteria for “large digital platforms.”

Law on E-Transactions 2023

Information systems serving e-transactions: An information system serving e-transactions is a combination of hardware, software, and databases established with the main purpose of serving e-transactions and ensuring the authenticity and reliability of e-transactions.

Administrators of these information systems, which are defined to capture e-commerce platforms, are responsible for, among other things, (i) complying with the provisions of the LOET 2023 and laws on network information security, cybersecurity, personal information protection, personal data protection, and other relevant laws and (ii) monitoring the safety of the information system according to the provisions of the laws on network information security.

Online businesses: The LOET 2023 provides some new definitions. In particular, a “digital platform serving e-transactions” is an information system that creates an electronic environment allowing parties to conduct transactions, provide and use products and services, or develop products and services. An “intermediary digital platform serving e-transactions” is a digital platform whose administrator is independent of the parties performing the transaction.

The LOET 2023 regulates the responsibilities of administrators of large and extremely large intermediary digital platforms.

  • Large intermediary digital platforms are required to, among other things, publish the mechanism to handle problems or content violating Vietnamese law arising in e-transactions and annually report to the Ministry of Information and Communications on incidents of taking advantage of the information system to violate Vietnamese law.
  • Extremely large intermediary digital platforms are required to, among other things, publish the basis used to make recommendations to users and allow users to opt out of such recommendations and uninstall any applications without affecting basic technical features of the system.

A new government decree guiding the LOET 2023 will detail the responsibilities of administrators of large and extremely large intermediary digital platforms based on the scale, number of users in Vietnam, or number of accesses from users in Vietnam of such platforms.

Outlook

E-commerce undoubtedly has helped consumers buy goods and services faster and more easily. However, it also poses many risks, such as the risks of having personal information taken advantage of, being scammed, or buying fake or counterfeit goods. The CPL 2023 is expected to improve the legal framework for consumer protection, especially in e-commerce and cyberspace, and the LOET 2023 will provide a complete legal environment for converting traditional transactions to the digital environment in all industries and fields, promoting efficient, safe, and reliable transactions in cyberspace. However, these laws will also create some new burdens for online businesses, who would be well advised be aware of these new requirements to prepare for them, and ensure ongoing compliance.

Related Professionals

Industries

Consumer Products

Technology

Practices

Antitrust and Competition

Location

RELATED INSIGHTS​ 

August 4, 2026
Thailand’s Personal Data Protection Act B.E. 2562 (2019) (PDPA) could soon see some important changes, as a draft bill to amend the PDPA has been introduced in the House of Representatives. The draft amendment is currently in the public consultation phase, with comments accepted from July 16 to August 15, 2026. If enacted in its current form, the amendment would make three key changes: expanding the government exemption to cover anticorruption operations, introducing a statutory definition of “government agency,” and restructuring the lawful bases for personal data processing to align with international standards. Background The PDPA has encountered several enforcement challenges since its implementation, including three core problems identified by the bill’s sponsors: (1) the current exemptions for government agencies do not cover anticorruption and misconduct-prevention operations; (2) the PDPA lacks a clear statutory definition of “government agency,” causing legal uncertainty as to which entities are covered; and (3) the existing framework for lawful bases of data processing does not align with international standards—particularly the multiple-lawful-bases system in the EU’s General Data Protection Regulation (GDPR)—making compliance inflexible for both government and private sector entities. Expanded Government Exemption The current PDPA exempts government agencies performing duties related to national security (including fiscal security), public safety, anti-money laundering, forensic science, and cybersecurity. The proposed amendment adds “prevention and suppression of corruption and misconduct” to this list of exempted functions. This would allow anticorruption bodies—most notably the National Anti-Corruption Commission (NACC), which is identified as a directly affected party—to collect, use, and disclose personal data without being subject to PDPA requirements when carrying out their duties. New Statutory Definition of “Government Agency” Notably, while the current PDPA use the term “government agency” in several provisions, the term is not comprehensively defined, creating potential uncertainty as to its scope. The draft bill therefore
Read More
August 3, 2026
On July 23, 2026, the Bank of Thailand (BOT) released for public comment its draft Notification on Digital Channel Security, which would significantly expand the scope and stringency of Thailand’s existing mobile banking security framework. If finalized in its current form, the draft notification would extend mandatory security requirements to credit card providers and credit providers, cover internet banking in addition to mobile applications, phase out SMS one-time passwords (OTPs) for transaction authentication, and introduce biometric verification requirements for high-value transactions. The public comment period is open through August 24, 2026. Background The BOT’s existing Mobile Banking Security Notification, issued in 2024, sets minimum security standards for financial institutions, specialized financial institutions (SFIs), and e-money providers, significantly reducing “money-draining app” fraud. However, fraudsters have since shifted to nonbank providers and internet banking channels, prompting the BOT to propose broader security requirements. Expanded Scope of Regulated Entities and Channels The existing Mobile Banking Security Notification covers only financial institutions, SFIs, and e-money providers offering mobile banking services. The draft expands coverage in two key areas: entities and channels. On the entity side, it adds credit card providers and credit providers that offer fund transfers to third parties at other financial service providers or that provide cash withdrawal services to individual retail customers. On the channel side, it broadens coverage to include internet banking in addition to mobile banking. Strengthened Customer Authentication The draft introduces enhanced authentication requirements in three areas: Service enrollment and device changes. Providers must implement rigorous identity verification, notify customers of enrollment results through out-of-band communication channels, and adopt risk-mitigation measures such as cooling-off periods and temporary transaction limits. Transaction-level authentication. Providers must use two-factor authentication for fund transfers, cardless ATM withdrawals, and transaction limit increases. Secure authentication factors. Key requirements include the following: “What-you-know” factors must
Read More
July 28, 2026
Data protection officers (DPOs) have become a fixture of Thailand’s privacy compliance landscape since the Personal Data Protection Act B.E. 2562 (2019) (PDPA) took full effect and the Office of the Personal Data Protection Committee (PDPC) began requiring certain organizations to appoint them. On July 7, 2026, the Office of the PDPC presented draft guidance on DPOs as part of a public consultation on a series of draft personal data protection manuals and recommendations. The draft offers the clearest indication yet of how the regulator expects the DPO role to work in practice, addressing recurring implementation issues under the PDPA—including when an organization must appoint a DPO, how the DPO should operate independently, how to manage conflicts of interest, and how data subjects and regulators should be able to contact the DPO. Because it remains in draft, organizations have an opportunity to weigh the practical implications now before the guidance is finalized. When a DPO Must Be Appointed The draft guidance clarifies the triggers for mandatory DPO appointment, including: Regular and systematic monitoring of personal data or systems on a large scale, such as tracking, analyzing, or predicting behavior, attitudes, or individual characteristics. Core activities involving large-scale processing of sensitive personal data, such as health data, biometric data, or criminal records. Certain foreign-organization representative arrangements. Public-sector coverage under relevant notifications identifying government entities that must appoint a DPO. Processing involving 100,000 or more data subjects may be considered large-scale. The guidance also contemplates voluntary DPO appointment for organizations that wish to raise their privacy governance standards, and such organizations should still comply with the standards applicable to DPOs under the law. Independence and Reporting Lines The draft guidance identifies lack of DPO independence as a core risk because an ineffective or constrained DPO may be unable to raise deficiencies
Read More
July 27, 2026
Vietnam’s new E-Commerce Law, which took effect on 1 July 2026 along with its implementing Decree No. 248/2026/ND-CP (Decree 248), marks a significant development in the country’s approach to online intellectual property (IP) enforcement, reflecting a clear shift from a reactive model of intermediary liability to one that expects platforms to play a more active role in preventing infringement. From notice-and-takedown to platform responsibility The most significant change introduced by the E-Commerce Law is the transformation of the legal role of e-commerce platforms. The existing safe harbor provisions under the IP Law and the copyright notice-and-takedown regime established by Decree 17/2023/ND-CP (Decree 17) largely required intermediaries to act only after receiving notice of infringement. Once infringing content had been removed, the platform’s legal obligation was generally considered fulfilled. The new legislation adopts a fundamentally different approach. Article 17 of the E-Commerce Law requires intermediary platforms to screen information relating to goods and services before publication in order to prevent listings involving counterfeit or IP-infringing goods, and goods of unknown origin. Rather than relying exclusively on complaints from rights holders, platforms are now expected to implement preventive measures before infringing listings become publicly available. Decree 248 further requires platforms to update keyword filters based on recommendations issued by competent authorities. These filtering mechanisms are intended to prevent prohibited listings from appearing on the platform and represent a further move away from a purely complaint-driven enforcement model. The legislation also introduces Vietnam’s first statutory stay-down obligation. Under the E-Commerce Law and Decree 248, major digital platforms must maintain automated systems capable of reviewing, warning against, and removing unlawful listings while also implementing measures to prevent repeat violations, defined under Decree 248 as conduct that has previously been identified and handled by the platform, but continues to recur. This obligation addresses one
Read More