Finding the Right Dropshipping Suppliers: Why Vietnam Stands Out

Judy Chen
·
February 26, 2025
Dropshipping
Dropshipping Guide
Sourcing Guide
Find Suppliers
Vietnam

Ever thought about running an online store without the hassle of stocking inventory, managing warehouses, or handling shipping? That’s exactly why dropshipping has become a game-changer in e-commerce. This business model allows entrepreneurs to sell products without holding inventory—suppliers take care of production, storage, and shipping, while you focus on branding and marketing. With the global dropshipping market size valued at USD 365.67 billion in 2024 and is projected to grow at a CAGR of 22.0% from 2025 to 2030, it's clear that more businesses are embracing this low-risk, high-reward approach.

So why is dropshipping from Vietnam gaining so much attention? With its competitive manufacturing costs, skilled workforce, and strong export capabilities, Vietnam has emerged as a top destination for sourcing high-quality, cost-effective products.

With low production costs, a booming digital economy, and a prime shipping location, Vietnam is a goldmine for dropshippers. Whether you’re a total beginner or a seasoned e-commerce pro, this guide breaks down everything you need to know about dropshipping from Vietnam—and how to set yourself up for success.

dropshipping market size

Why Vietnam?

So, what makes Vietnam popular for dropshipping success? Let’s break it down:

1. Prime Location for Global Shipping:

Vietnam’s central location in Southeast Asia makes it easy to ship products to the U.S., Europe, and nearby Asian markets.

The country benefits from major trade agreements like the CPTPP and EVFTA, which lower tariffs and make Vietnamese exports more competitive. This means faster, more affordable shipping for dropshippers.

Read How to Source Quality Products from Vietnam to learn about Vietnam's trade agreements

2. Lower Costs, Higher Margins:

Want to maximize your profit?  Vietnam offers some of the lowest labor costs in Asia.

🔹According to Boston Consulting Group, China’s average hourly labor cost was US$6.5 in 2020, while Vietnam’s was only US$3.

🔹 Lower costs mean higher profit margins for dropshippers while maintaining strong product quality.

Manufacturing labor cost per hour for Vietnam and China

3. Diverse & Unique Product Selection:

Vietnam produces high-quality, in-demand products across various categories:

✅ Eco-friendly goods – Bamboo kitchenware, reusable straws, biodegradable packaging

✅ Textiles & apparel – Handmade clothing, premium cotton apparel, leather goods

✅ Handcrafted items – Rattan furniture, ceramic pottery, wood carvings

✅ Electronics & accessories – Affordable tech gadgets and accessories

These unique and high-quality products help your dropshipping store stand out from generic, mass-produced alternatives.

4. Commitment to Quality & Sustainability

Vietnam is renowned for quality craftsmanship, especially in textiles, furniture, and artisanal goods.

🔹 The country is the second-largest textile exporter globally, with exports reaching $44 billion in 2023.

🔹 Brands like IKEA, Patagonia, and Nike source from Vietnam due to its strong focus on ethical and sustainable production.

🔹 If you're targeting eco-conscious consumers, Vietnam is an ideal sourcing destination.

5. Well-Developed Logistics & Infrastructure

Vietnam invests 6% of its GDP in infrastructure—more than double the ASEAN average of 2.3%, making it the region’s top spender. With ongoing developments in roads, railways, ports, and factories, Vietnam aims to become a key logistics hub in Southeast Asia by 2030.

🚢 Cai Mep-Thi Vai Port offers direct shipping to the U.S. and Europe, reducing transit times.

📦 Logistics providers like DHL, FedEx, and local fulfillment centers help make international dropshipping faster and more reliable.

How to Get Started with Dropshipping in Vietnam

Step-by-Step Guide to Setting Up Your Dropshipping Business

1. Pick a Winning Niche – Research trends, demand, and competition to find a niche that’s both profitable and sustainable.

2. Find Trustworthy Suppliers – Partner with reputable Vietnamese manufacturers using platforms like Alibaba, SourceReady and Vietnam-based sourcing websites.

3. Set Up Your Online Store – Use Shopify, WooCommerce, or BigCommerce to create a professional e-commerce storefront.

4. Integrate Payment Gateways – Offer options like PayPal, Stripe, and local Vietnamese payment systems like VNPay to cater to international and domestic buyers.

5. Create a Killer Marketing Plan – Leverage SEO, Facebook & Instagram ads, and influencer marketing to attract and convert customers.

6. Optimize Your Logistics & Shipping – Work with fulfillment centers and logistics providers like Vietnam Post, DHL, and FedEx to ensure fast and reliable deliveries.

7. Make Sure You're Legally Compliant – Register your business, understand tax regulations, and ensure compliance with Vietnamese e-commerce laws.

8. Deliver Customer Service – Offer transparent tracking, easy returns, and quick responses to keep customers happy and coming back for more.

Watch Best Products to Import from VIETNAM

Key Considerations for Vietnam Dropshipping Success

1. Legal & Compliance: Work with Reliable Suppliers

  • ‍Verify Supplier Credentials: Ensure your suppliers have export licenses, business registrations, and quality certifications (e.g., ISO, CE, or SGS).‍
  • Understand Import & Export Regulations: Check customs requirements and ensure suppliers comply with Vietnam’s export laws and destination country regulations.‍
  • Contract Agreements: Work with clear contracts outlining pricing, shipping terms, and dispute resolution to avoid miscommunication or legal issues.

2. Logistics & Fulfillment: Deliver Like a Pro

  • Partner with Vietnam-based 3PL providers like Boxme and Ship60 to keep shipping times low and costs competitive.
  • Offer multiple shipping options (ePacket, express, and standard air freight) to balance speed and affordability.
  • Choose reliable suppliers with inventory forecasting to prevent stock shortages and delays.

3. Payment Solutions: Secure & Efficient Transactions

  • Work with suppliers who accept international payment methods such as PayPal, Wise, or bank transfers (TT payments) for smoother transactions.
  • Be cautious with upfront payments—consider using escrow services or platforms like Alibaba Trade Assurance to reduce risk.
  • Establish clear payment terms (e.g., 50% deposit, 50% on shipment) to maintain cash flow and supplier trust.

4. Marketing & Brand Differentiation: Stand Out from Competitors

  • ‍Private Label & Customization: Partner with suppliers offering custom branding, packaging, and product modifications to set your store apart.‍
  • Sustainable & Ethical Sourcing: Highlight eco-friendly products or ethically produced goods to attract conscious consumers.‍
  • High-Demand Niches: Focus on Vietnam’s strengths, such as handmade goods, textiles, and eco-friendly products, to differentiate from generic dropshipping catalogs.

Challenges of Dropshipping from Vietnam

Even though Vietnam is a rising star in global sourcing, there are a few challenges you should be aware of before diving in.

1. Language & Communication Barriers

Many Vietnamese suppliers do speak English, but communication gaps still exist.

  • The nuances of product specifications, order requirements, or shipping details can sometimes get lost in translation.
  • This can lead to misunderstandings, incorrect orders, or frustrating delays.
  • Unlike China, where international trade has been a focus for decades, Vietnam is still catching up in terms of language proficiency and experience in dealing with global buyers.

2. Longer Lead Times

If you’re used to ultra-fast production and shipping from China, Vietnam might require a little more patience.

  • Many factories still rely on manual labor rather than fully automated production, which results in longer turnaround times.
  • National holidays, such as the Lunar New Year, can completely shut down manufacturing for weeks, causing further delays.
  • If you’re running a dropshipping business that thrives on quick turnarounds, this is something to factor into your supply chain planning.

3. Quality Control Challenges

Vietnamese craftsmanship is excellent, but consistency can be a concern.

  • Some factories, particularly smaller or less experienced ones, may not have robust quality control measures in place.
  • This can lead to discrepancies in product quality, finishes, or materials, especially if you’re placing repeat orders.
  • While premium manufacturers produce outstanding goods, not all suppliers adhere to the same rigorous standards.
  • Sampling and regular quality checks are essential before committing to a long-term supplier.

4. Payment & Fraud Risks

Like with any international sourcing, you’ll need to watch out for fraudulent suppliers.

  • Some less reputable manufacturers may require large upfront deposits and then fail to deliver on promises, leaving buyers out of pocket.
  • There have also been cases of counterfeit or subpar products being shipped instead of what was originally agreed upon.
  • Ensuring proper due diligence—such as verifying supplier credentials, checking trade history, and using secure payment platforms—can help minimize these risks.
Challenges of Dropshipping from Vietnam

Final Thoughts

So, is Vietnam the perfect dropshipping destination? It depends.

If you’re after affordable, high-quality, and unique products, Vietnam is a goldmine. Lower costs, a strong export market, and skilled craftsmanship make it an appealing choice.

But let’s not sugarcoat things—there are challenges. Language barriers, longer lead times, and supply chain limitations require extra effort. However, if you take the time to vet suppliers, plan for potential delays, and develop strong supplier relationships, Vietnam can be a game-changer for your business.

Thinking of sourcing from Vietnam? Do your research, test suppliers, and start small. Dropshipping is all about finding the right balance between cost, quality, and efficiency—and Vietnam might just be the answer you’re looking for.

FAQ

1. What are the best products to source from Vietnam for dropshipping?

Vietnam excels in eco-friendly goods, textiles & apparel, handmade crafts, furniture, and affordable tech accessories—perfect for niche e-commerce stores. Read How to Source Quality Products from Vietnam to learn more.

2. Do Vietnamese suppliers offer private labeling for dropshipping?

Yes! Many manufacturers provide OEM (Original Equipment Manufacturer) and private labeling options, allowing you to customize products with your branding.

3. Should I choose Vietnam over China for dropshipping?‍

It depends on your needs! Vietnam offers lower costs and unique products, but China has faster production and a more established supply chain ecosystem.

Head of Marketing
Judy Chen
Graduating from USC with a background in business and marketing, Judy Chen has spent over a decade working in e-commerce, specializing in sourcing and supplier management. Her experience includes developing strategies to optimize supplier relationships and streamline procurement processes for growing businesses. As SourceReady’s blog writer, Judy leverages her deep understanding of sourcing challenges to create insightful content that helps readers navigate the complexities of global supply chains.

Popular

SourceReady empowers businesses to navigate sourcing effortlessly.

600,000+

Suppliers

30+

Countries

15+

Categories
Book a demo