Chinese-only Shops In Nha Trang Flourish Despite Numerous Violations

Travelers make payment for goods

The number of Chinese travelers flocking to the sea city has soared in the last two years. In the first quarter of 2018 alone, more than 465,000 Chinese visited. 

Domestic travel firms complain that they cannot book hotel rooms in Nha Trang because the hotels have been fully occupied by Chinese travelers.

Many shops and showrooms specifically serving Chinese travelers have opened recently. The common characteristic of the shops is that they do not receive Vietnamese.

Every visitor has to undergo a thorough security check by local security guards and get a card before entering the shops.

Dien Dan Doanh Nghiep’s reporters managed to enter into a shop named Nature Care in Phuoc Loc hamlet in Phuoc Dong commune. There were many rooms inside the shops, numbered from VIP 1 to VIP 10. 

Reporters found products with only the words Nature Care with no attached information. 

Meanwhile, under Decree 43 dated in 2017 on labeling, all domestic and imported products must show the addresses of manufacturers, labels and production information.

Most Chinese travelers at the shop bought cushions. The tour guides and salespeople said that cushions were made of natural materials which can treat disease. 

A tour guide revealed that he acts as a broker for the shop and can earn commission of VND50 million for every 10 rubber cushions sold.

A car driver who brings Chinese travelers to the shop said that, after making payment, Chinese buyers will send products to China through a forwarding service.

According to the Khanh Hoa provincial Market Management Sub-department, there are 46 trade establishments in Nha Trang City serving mostly Chinese travellers.

The agency since 2016 has conducted nearly 200 inspection tours of the establishments and discovered 68 violations, including having no business license, trading smuggled goods, and quoting prices in foreign currencies. They also violated regulations on labeling and trading goods with an unclear origin.

The Chinese buyers at the shops did not pay in cash, but made e-payments via Wechat, a Chinese app. 

In his letter of complaint, a former worker at a shop on Vo Thi Sau street wrote that the revenue in Vietnam dong of the shop accounted for 5-10 percent of total revenue, while the other 90 percent was in Chinese yuan. 

As the payment was made via Wechat, the money will “go directly to China”, not through Vietnamese banks. 

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Kim Chi