I get this request almost every week: "Dmitry, we're buying Vietnamese goods through an agent, the markup is eating our margin — how do we go direct to the factory?" I understand the logic. An agent is convenient: no need to fly, no need to speak Vietnamese, no need to deal with C/O. But convenience costs money — and often it's not 5%, but a very different figure.
I'm not arguing: an agent is useful at the start. But there's a nuance that changes the economics of procurement entirely — most "factories" that are sold to you through an agent are not factories at all.
What Challenge the Importer Faces
The scheme looks harmless. You find a supplier, they send a price list, you approve a sample, you pay a deposit. The problem is that between you and the machine there may be one, two, or three intermediary companies.
Each adds its own margin. Each is not responsible for the quality of the batch. And each disappears when a claim arises.
What I see from operations: Russian brands most often work not with a manufacturer, but with a trading company that calls itself a "factory." This is not outright deception — it's normal Vietnamese practice. But that doesn't make it any easier for you.
How to Distinguish a Factory from a Trading Company
There are three signs I check first. They don't require travel and take one evening.
- Activity code in the registry. A manufacturing company has a manufacturing code in its registration certificate (section C in the Vietnamese classification). A trader has trade, section G.
- Address and area. A factory is not in an office building in downtown Ho Chi Minh City. It's in an industrial zone — Binh Duong, Dong Nai, Long An, Hai Phong.
- Reaction to a visit. A factory will invite you to the production site. A trader will start inventing reasons why "now is not convenient."
The first point can be checked publicly. The National Business Registration Portal — National Business Registration Portal — is open in English and Vietnamese. There you can see activity types, charter capital, and owners. Enter the company name — and in two minutes you understand who you're talking to.
It seems logical: if the registry says "manufacturing," then it's a factory. In reality — no. A manufacturing code can belong to a company that leases out capacity and does nothing itself. Therefore, the registry is a first-level filter, not the final answer.
What to Request Before the First Order
I don't ask the supplier for "everything." I ask for a specific package — and I watch how they react to each document.
- Copy of Business Registration Certificate (Giấy chứng nhận đăng ký doanh nghiệp) and tax code (MST).
- Commercial Invoice and Packing List for your batch sample.
- Certificate of Origin (C/O) — Form E for supplies under the ASEAN agreement, Form EUR.1 for Europe.
- Product certificates: CFS if the goods fall under sanitary control, or an industry quality standard.
- Capacity data: number of lines, shifts, average monthly output.
Separately about C/O. Since 2025, Quyết định 467/QĐ-CHQ — the regulation on customs verification of origin — is in effect. The document specifies how customs correlates the date of issue of the C/O with the date of loading and what to do with the mark ISSUED RETROACTIVELY. If the supplier doesn't understand what this is about, it's a trader, not a factory.
The reaction to a document request is itself a diagnostic. A factory will send scans within a day. A trader will start bargaining: "why do you need this, we've been working for ten years."
What the Twist Is
The main mistake is to think that going direct to a factory is always cheaper. It's not.
A factory gives you a lower price. But it doesn't give you consolidation, doesn't give you on-site quality control, doesn't give you packaging for a marketplace. If you buy five SKUs from five factories — you'll get five containers, five sets of documents, and five headaches.
A trader provides a different function: they assemble the order, hold stock, handle logistics. For this they take a margin — and often it's justified.
So the question is not "how to remove the intermediary." The question is where the intermediary adds value and where they just stand in the chain.
What I See from Operations
At VietSmart, we've been connecting partners with Vietnamese factories for years. And I see a consistent pattern: brands that come to the production site in person get a different price. Not because they are liked more. Because the factory sees a long-term order, not a one-off deal through an intermediary.
Second observation. Those who request the full package of documents before the deposit almost never end up with a poor-quality batch. Those who pay based on a sample and take someone's word for it — end up with one regularly.
Third. The category matters. In furniture and textiles, there are more intermediaries — it's easy to hide there. In electronics and packaging, factories more often work directly because they need certifications and stable volume.
What a Brand Should Do: Five Steps
- Check your current supplier in the National Business Registration Portal and look at their activity code.
- Request the document package: BRC, MST, C/O, product certificates — before discussing price.
- Check the production address on a map: industrial zone or office center.
- Order a trial batch with your or our representative visiting for acceptance.
- Compare the factory price and the agent price for the same SKU — the difference will show the real cost of the intermediary.
If after this you understand that the agent takes 8% for consolidation and control — that's fine. If 30% for forwarding letters — you're paying for air.
Your Next Move
Open the business registry. Enter the name of your current supplier. Look at the activity code and address. If it's a trade code and an office in the city center — you're working with an intermediary, and it's worth checking.
At VietSmart, we cover the full cycle: we find a factory for your category, verify documents, organize a visit to the production site and acceptance of the first batch. From request to finished container — 60–90 days, depending on the category and seasonality.
Direct import is not about removing all intermediaries. It's about understanding what you're paying each link in the chain for.