Discounts in Vietnam to be capped at 50%
The circular applies to trade promotion activities of all manufacturers, traders, and organizations in Vietnam.
THE HANOI TIMES — The promotions of enterprises in Vietnam will be restricted to 50% off, with 100% discounts allowed only in special cases, according to the latest regulation of the Ministry of Industry and Trade (MOIT) stipulates that
The rule is included in a circular signed on June 23 by MOIT Deputy Minister Nguyen Sinh Nhat Tan regulating the maximum value and discount level for promotional goods and services.
Promotion and discount labels at WinMart supermarket on Ton That Thuyet Street, Nam Tu Liem District, Hanoi for 2025 Reunification Day [April 30] and Labor Day [May 1]. Photo: Anh Kiet/The Hanoi Times
The circular to take effect on July 1 requires that the promotional value must not exceed 50% of the selling price of the goods immediately before the marketing program begins.
The total value of goods used in a promotional program may not exceed 50% of the total value of goods on sale.
Goods and services in centralized promotional programs, such as national shopping festivals or consumption weeks, may be discounted up to 10% of the total value. Rebates for regular goods and services are capped at 50%.
In state-run centralized programs, promotional goods cannot exceed 10% of the total value of goods promoted unless approved by a competent authority, which may permit discounts of up to 100%. These regulations aim to prevent businesses from engaging in unfair practices by offering excessive price reductions.
Specifically, centralized promotions approved by a central authority or those held during holidays or Tet (the Lunar New Year), as outlined in the Labor Code, may offer discounts of up to 100%.
Exceptions to the discount limit include goods under price stabilization programs, fresh food, and cases where businesses dissolve, go bankrupt, change locations, or change lines of business.
The circular applies to the trade promotion activities of all manufacturers, traders, and organizations in Vietnam. Promotional activities launched before July 1 may continue under the previous regulations until their scheduled end date.
Source: Circular No. 39/2025/TT-BCT issued on June 23, 2025, by the Ministry of Industry and Trade.
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The following cases are considered centralized promotional programs: - Programs implemented under decisions issued by central- or provincial-level authorities to execute national or local targeted economic development policies. - Promotional campaigns organized during holidays and Tet, as prescribed by labor laws. These include: • The Tet campaign: The 30 days immediately preceding the first day of the lunar year; • Other holidays and festivals: The promotional period must not exceed the corresponding statutory holiday. |
