Regulations for livestream sales tightened

Regulations for livestream sales tightened

The rapid growth of the digital economy, particularly livestream sales, has created new growth momentum but has also raised concerns over management and consumer protection.

A live stream session. Under the new laws, live-streamers will bear additional accountability. VNA/VNS Photo

For the first time, the Law on E-Commerce requires livestream sellers to verify their identities, provide transparent information and bear clear legal responsibility, a move aimed at better protecting consumers and tightening oversight of online business activities.

The Law on E-Commerce has attracted strong public and business interest as it directly affects millions of individuals and organisations engaged in online trading.

The rapid growth of the digital economy, particularly livestream sales, has created new growth momentum but has also raised concerns over management and consumer protection. The new law is seen as a key step in addressing these challenges by setting out a clear legal framework for livestream selling activities.

Drafted by the Ministry of Industry and Trade, the Law on E-Commerce consists of seven chapters and 41 articles, regulating e-commerce activities in the current context. It aims to improve the effectiveness of state management while safeguarding the lawful rights and interests of businesses and consumers.

A major highlight of the law is the introduction of specific rules for livestream sales, a fast-growing business model that carries significant risks.

Under the new regulations, e-commerce platforms must electronically verify the identities of livestream hosts, establish systems to receive and handle complaints during livestream sessions, and store image and audio data in accordance with the law. These requirements are intended to prevent anonymity and make it easier to trace responsibility in cases of violations or disputes.

The law also clearly sets out the responsibilities of livestream sellers. Sellers are strictly prohibited from providing false or misleading information about the quality, uses, or origin of goods and services. The provision aims to strengthen market discipline, improve transparency, and protect consumers from misleading advertising.

In addition, the law introduces new rules on affiliate marketing, a promotional activity that has become increasingly common on digital platforms. Service providers must verify the identities of affiliates and remove links to goods and services that violate the law, helping to curb uncontrolled or unlawful promotion.

The law also tightens the management of cross-border e-commerce activities. Foreign e-commerce platforms that use Vietnamese, operate under the “.vn” domain name, or reach a certain transaction threshold in Việt Nam are required to establish a legal entity or appoint an authorised representative in the country.

Where there is no physical presence, platforms must place a bank deposit to ensure compensation for consumers and fulfil financial obligations to the State.

To enhance consumer protection, e-commerce platforms are required to disclose information on ownership, personal data protection policies, the rights and obligations of participants, and key criteria used by algorithms to prioritise product displays. Sellers may only operate after completing electronic identity verification.

The law, built around a people- and business-centred approach, encourages enterprises, household businesses, and individuals to adopt new business models and technologies.

For the first time, policies promoting low-emission e-commerce infrastructure, environmentally friendly packaging, and more efficient logistics have been written into law, linking digital development with green and sustainable growth.

The Law on E-Commerce will take effect on July 1, 2026.

Bizhub