Operation Clean Market: Vietnam’s Crackdown on Substandard Drugs, Cosmetics, and Supplements
In recent days, Vietnam’s Drug Administration and Food Safety Authority (under the Ministry of Health) have consecutively announced decisions to recall drugs and revoke product registration certificates for cosmetics and dietary supplements, marking the beginning of a market cleanup campaign amid growing consumer skepticism. Notably, several prominent brands have also voluntarily initiated product recalls.

Authorities inspecting the origin of goods during a raid on counterfeit and imitation goods of famous brands. Source: QLTT
Within a short period of intensified efforts against counterfeit and substandard goods, hundreds of cosmetic products have had their registration certificates revoked. On some days, the Drug Administration issued up to seven decisions to revoke nearly 300 product registration numbers for imported cosmetic products, including sunscreens, shower gels, and facial cleansers.

Tons of drugs and dietary supplements dumped on a vacant lot in Ho Chi Minh City following the crackdown. Source: Police
Most of the recalled products belong to domestic companies that registered them, while others are imported goods distributed by non-authorized or inactive businesses. Notably, well-known brands such as Dove and Bioderma were also on the list. This immediately attracted attention as these brands are household names among Vietnamese consumers.
Voluntary Recalls Don’t Exempt Companies from Responsibility
Speaking to the press, Dr. Ta Manh Hung, Deputy Director of the Drug Administration, stated that only cosmetic products with approved registration certificates are permitted to be marketed. The registrant (even if not the manufacturer or brand owner) is solely responsible for the quality, safety, and efficacy of the product. It is possible for multiple entities to jointly register a product if there is no exclusive authorization from the brand owner.
Each registration certificate is valid for five years from the date of issuance. After this period, if not renewed or if there are violations, the certificate will be revoked. Additionally, businesses have the right to voluntarily withdraw the registration if they no longer intend to trade the product. Dr. Hung emphasized that voluntary recalls do not absolve companies of responsibility. If there are indications of violations, such as false advertising, inaccurate ingredient lists, or products unsafe for consumers, businesses can still be penalized and forced to recall their products from the market.
Amid the uproar, both Dove and Bioderma had to issue reassurances to consumers. Specifically, Dove, owned by Unilever Vietnam, clarified that the recall was initiated by PH Vietnam Trading Services Co., Ltd., and thus had nothing to do with the production and distribution of authentic Dove products by Unilever Vietnam. Similarly, Bioderma Vietnam also asserted that all authentic Bioderma products distributed in Vietnam through Minh Thao Care Co., Ltd. are legally imported, properly labeled, and compliant with current regulations. The recalled products were registered by a different entity.

Numerous products from well-known brands suddenly recalled.
Not only cosmetics but also the dietary supplement market is witnessing an unprecedented cleanup. Most recently, on June 6, the Food Safety Authority (under the Ministry of Health) announced three decisions to revoke product registration certificates.

Authorities inspecting a site where tons of drugs and dietary supplements were dumped, suspected to be substandard goods. Source: U.P
Notably, Trumpharmaco Joint Stock Company (Hanoi) had ten of its health protection products’ registrations revoked. These products had been registered for many years and are no longer planned for circulation. The syrup “Siro An Ngon,” registered by International Trade Company Limited in 2019 and advertised for children, was also on the recall list.
Particularly, Bayer Vietnam, a subsidiary of the global pharmaceutical company Bayer, recalled its product Berocca Performance Mango—a popular vitamin supplement. While Bayer Vietnam attributed the recall to commercial reasons unrelated to product quality, consumers couldn’t help but feel concerned.
Positive Signal or Tactical Maneuver?
The voluntary recall of hundreds of drugs, dietary supplements, and cosmetics by dozens of companies within two weeks may be a positive sign. However, amid the intensified crackdown on counterfeit and substandard goods, this wave of recalls could also be a tactical maneuver by some businesses to avoid post-market inspections or penalties for violations.
According to regulations, the product registration number is the legal basis for a product to be marketed, but it does not guarantee the product’s safety, efficacy, or ASEAN standards compliance. Therefore, businesses taking the initiative to recall products can be seen as a demonstration of social responsibility and ethical business practices. It also indicates a positive shift in the market, with businesses taking more accountability.
Nonetheless, the Drug Administration leader affirmed that they are closely coordinating with relevant authorities to verify the reasons for the recalls and will closely monitor the remaining products in circulation.
Furthermore, given the complex situation, authorities advise consumers to purchase cosmetics and dietary supplements only from reputable sources and carefully check product registration, authentication labels, and origin information. Legally declared product information can be publicly accessed on the websites of the Food Safety Authority and the Drug Administration. This simple step helps consumers avoid buying counterfeit or recalled products.
The wave of registration revocations, despite causing temporary disruptions, is a necessary step in the context of Vietnam’s rapidly growing dietary supplement and cosmetics markets, which have lacked stringent control until now.
Attorney Phan Thanh Tam, Director of Kim Thanh Law Firm (Ho Chi Minh City Bar Association), stated that tightening the processes for product registration, post-market surveillance, and violation handling would establish a healthy and transparent business environment while protecting consumers’ legitimate rights. The roles of management agencies, corporate transparency, and consumer vigilance are core elements in rebuilding trust in this volatile market.
“Public opinion also expects this campaign to go beyond administrative measures and address serious violations, clarifying the responsibilities of all involved parties. Additionally, enhancing the capabilities of management agencies is crucial for effective supervision and strict penalties for repeat offenders,” said Attorney Phan Thanh Tam.
Three Products Recalled in a Single Day
The Drug Administration (Ministry of Health) announced that on June 4, 2025, they issued a document requesting the nationwide suspension of sales, recall, and destruction of Shin Nee Premium Cleansing Foam, a cosmetic product marketed by Shynh Beauty Co., Ltd., based in Ho Chi Minh City.
Specifically, Shin Nee Premium Cleansing Foam (registration number 142695/21/CBMP-QLD), manufactured by Hanacos Co., Ltd. in Korea, was recalled because its formulation differed from the approved declaration, violating legal regulations.
Also, on June 4, 2025, the Drug Administration officially requested the nationwide recall of “Coconut & Rice Milk Bath Salt” (S-White brand). The product was manufactured by Neidi Vietnam Thai Pharmaceutical-Cosmetic Joint Stock Company on April 9, 2025 (batch number: DE024) and marketed by Shynh Beauty. According to Ho Chi Minh City Health Inspectorate’s conclusion, the product’s label suggested it was a drug, which is misleading. For similar reasons, Super Shine Biocell Mask (Episoo brand), batch number MFG12032025/L01, produced by HNB Cosmetics Joint Stock Company (located in Long Hau Expanded Industrial Park, Can Giuoc District, Long An Province), and marketed by Shynh Beauty, was also recalled.
The Drug Administration requested the Health Departments of provinces and cities to inform all cosmetic business and usage establishments to immediately stop trading and using Shin Nee Premium Cleansing Foam, Coconut & Rice Milk Bath Salt (S-White brand), and Super Shine Biocell Mask (Episoo brand). They also organized the recall and destruction of these products, inspected and supervised the implementation, and strictly handled non-compliant establishments.
Shynh Beauty and the manufacturing companies must send the recall notice to all distribution systems and consumers and report the results of the recall and destruction to the Drug Administration before June 30, 2025.
The Drug Administration advised consumers not to use the recalled products from Shynh Beauty. If these products are still found on sale or in use, consumers should notify local authorities for handling according to regulations.
Immediately after announcing the recall of the three products marketed by Shynh Beauty, the Drug Administration temporarily suspended the consideration and acceptance of cosmetic product registration dossiers from Shynh Beauty for six months, starting from June 4, 2025. (Thien Phu)
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Market Beat: A Pulse Check on Investor Sentiment
The market witnessed a lackluster performance in the morning session, with no significant recovery efforts. The subdued participation of cash flow, coupled with persistent pressure from the pillar group, painted a gloomy picture. VN-Index hovered at 1,323.17 points, reflecting a 0.51% decline, while HNX-Index mirrored this sentiment with a 0.52% drop, settling at 227.42. The market breadth further emphasized the bearish trend, with 386 declining stocks outweighing the 222 advancing ones.