Is it illegal to trade in aldult toys with display booths in Vietnam?

Is it illegal to trade in aldult toys with display booths in Vietnam?

Pursuant to Article 6 of the Investment Law 2020 stipulates banned business lines as follows:

1. The business investment activities below are banned:

a) Business in narcotic substances specified in Appendix I hereof;

b) Business in chemicals and minerals specified in Appendix II hereof;

c) Business in specimens of wild flora and fauna specified in Appendix 1 of Convention on International Trade in Endangered Species of Wild Fauna and Flora; specimens of rare and/or endangered species of wild fauna and flora in Group I of Appendix III hereof;

d) Prostitution business;

dd) Human trafficking; trade in human tissues, corpses, human organs and human fetuses;

e) Business activities pertaining to asexual human reproduction;

g) Trade in firecrackers.

h) Provision of debt collection services.

2. The Government’s regulations shall apply to production and use of the products mentioned in Points a, b, and c Clause 1 of this Article during analysis, testing, scientific research, medical research, pharmaceutical production, criminal investigation, national defense and security protection.

And based on Clause 1, Article 5 of the Investment Law 2020, it stipulates:

1. Investors are entitled to carry out business investment activities in the business lines that are not banned by this Law. Regarding conditional business lines, investors must satisfy business investment conditions as prescribed by law.

According to this Article, the business of sex toys with display booths is not a prohibited business investment activity, so you will not be penalized for trading in adult toys in Vietnam.

What are penalties for business of aldult toys of unknown origin in Vietnam? 

Pursuant to Article 17 of Decree 98/2020/ND-CP stipulating violations involving expired goods or goods of unknown origin and involving in other violations as follows:

1. A warning or a fine ranging from VND 300.000 to VND 500.000 shall be imposed for one of the following violations if the value of goods is less than VND 1.000.000:

a) Trading in goods (except pesticides and animal feeds) past the expiration date indicated in their labels or packages;

b) Swapping or changing labels or packages of goods, erasing or altering the expiration dates indicated on labels or packages of goods, or committing other frauds to extend the expiration dates of goods;

c) Trading in goods of unknown origin;

d) Trading in, transporting, storing or consuming minerals of illicit origin.

2. A fine ranging from VND 500.000 to VND 1.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 1.000.000 to under VND 3.000.000.

3. A fine ranging from VND 1.000.000 to VND 3.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 3.000.000 to under VND 5.000.000.

4. A fine ranging from VND 3.000.000 to VND 5.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 5.000.000 to under VND 10.000.000.

5. A fine ranging from VND 5.000.000 to VND 7.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 10.000.000 to under VND 20.000.000.

6. A fine ranging from VND 7.000.000 to VND 10.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 20.000.000 to under VND 30.000.000.

7. A fine ranging from VND 10.000.000 to VND 15.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 30.000.000 to under VND 40.000.000.

8. A fine ranging from VND 15.000.000 to VND 20.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 40.000.000 to under VND 50.000.000.

9. A fine ranging from VND 20.000.000 to VND 30.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 50.000.000 to under VND 70.000.000.

10. A fine ranging from VND 30.000.000 to VND 40.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth from VND 70.000.000 to under VND 100.000.000.

11. A fine ranging from VND 40.000.000 to VND 50.000.000 shall be imposed if one of the violations in Clause 1 of this Article involves the goods worth VND 100.000.000 or more.

12. A fine that is twice as much as the corresponding fine prescribed in Clause 1 through 11 shall be imposed upon producer or importer committing the administrative violation or for the violation involving the goods which are:

a) foods, food additives, food processing aids, food preservatives, preventive drugs, drugs, medicinal ingredients, cosmetics or medical devices;

b) detergents, chemicals, insecticidal and microbicidal preparations for household and medical use, aqua environmental remediation products, livestock waste treatment products, veterinary drugs, fertilizers, cement, growth stimulants, plant varieties, animal breeds, aquatic breeds or aquaculture feeds; or

c) other goods included in the list of conditional business lines.

13. Additional penalties:

a) The exhibits of the violations prescribed in this Article shall be confiscated, except the case of application of the remedial measure prescribed in Point a Clause 14 of this Article;

b) The instrumentalities which are tools and machinery used for committing the violation prescribed in Point b Clause 1 of this Article shall be confiscated.

14. Remedial measures:

a) The exhibits which cause harm to human health, domestic animals, plants and environment shall be destroyed if the violation in Point a, b or c Clause 1 of this Article is committed;

b) The violating entity is compelled to return any benefits illegally obtained from one of the violations in this Article.

The competent authority can sanction the business of adult toys if the goods are goods of unknown origin, without labels, and the goods' packaging has pictures, drawings, writing, signs, etc. symbols or information that are prejudicial to cultural identity, morals and lifestyles in Vietnam.

Best regards!