Sourcing from Vietnam: From Online Dropshipping to Container Shipping

In recent years, Vietnam has become an important destination for global entrepreneurs looking to expand their businesses. Many start with dropshipping, acting as intermediaries to sell products online without directly handling inventory, and gradually take a bolder step: establishing direct partnerships with Vietnamese manufacturers and managing full container shipments to international markets.

This shift from dropshipping to overseeing international logistics highlights the growing potential of Vietnam’s manufacturing sector. Entrepreneurs who follow this path not only gain control over product quality and supply chains but also unlock a new level of business growth, turning digital ventures into full-scale global trade operations.

The Starting Point: A Beginner’s Guide to Dropshipping

For many aspiring entrepreneurs, dropshipping offers the most accessible entry point into e-commerce. The model is brilliantly simple: an online store is created to market products, and when a customer makes a purchase, a third-party supplier ships the item directly to them. This eliminates the significant risk and capital investment associated with stocking a warehouse.

This journey often begins in established markets like the United States, launching online stores for high-ticket items. The primary tool for growth is typically paid advertising, which forces a steep learning curve in digital marketing, product selection, and conversion optimization.

While this model can yield initial success with typical profit margins of 20-30%, its inherent challenges soon become clear. High advertising costs, dependence on volatile trends, and a complete lack of control over the supply chain make scaling a precarious endeavor. This experience, however, lays the critical groundwork for a more ambitious, sustainable business model.

Check out the video below for an in-depth, practical look at dropshipping. Learn where to begin, understand how the process works, and see how Vinh Ho, successfully scaled from simple dropshipping to managing his first full container shipment.

>> Related article: Vietnam’s OEM Manufacturing Landscape in 2025 : Tips for Sourcing your Own Product

Beyond Dropshipping: The Shift to Sourcing in Vietnam

For many global entrepreneurs, the search for long-term scalability and better profit margins has led to a natural pivot toward Vietnam, now recognized as one of the most dynamic manufacturing centers in Asia.

Vietnam’s strategic advantages were clear: lower operational costs, rapid industrial growth, and a growing reputation as a reliable “China Plus One” alternative. Entrepreneurs and sourcing agencies alike began establishing operations in major hubs such as Ho Chi Minh City, Binh Duong, and Da Nang, where access to factories, materials, and logistics infrastructure offered direct exposure to the manufacturing process.

This shift marked more than just a geographic move, it represented a transformation from online reselling to active participation in global supply chains. By working directly with Vietnamese manufacturers, visiting trade shows, and gaining first-hand knowledge of production capabilities, many discovered the untapped potential of “Made in Vietnam.” As the world’s supply networks diversified, Vietnam’s role evolved from a secondary option to a key player connecting Southeast Asian production to Western markets.

The Ultimate Upgrade: Shipping Your First Container from Vietnam 

For entrepreneurs importing products from Vietnam to the US, one of the biggest milestones is sending the first full container of goods. This often starts with building a strong partnership with a trusted Vietnamese manufacturer, sometimes even securing exclusive distribution rights for the US market.

Moving from small-scale dropshipping to handling a full container brings new challenges and responsibilities. To successfully navigate this step, importers need to plan carefully:

• Logistics: Coordinating with a freight forwarder for a sea journey that can take five to six weeks from Ho Chi Minh City to a US port like Tampa Bay.
• Costs: Factoring in total shipping costs including ocean freight, US tariffs, and inland transportation.
• Payment Terms: Managing factory payments, which typically require a 30-50% upfront deposit to begin production, with the balance due upon shipment.
• Customs: Hiring a US-based customs broker to handle duties, bonds, and essential documentation like the country-of-origin certificate.

Vietnam or China? Making the Right Sourcing Decision for Your Business

An on-the-ground perspective reveals a nuanced comparison between Vietnam and China. China’s manufacturing ecosystem is defined by its decades of experience, massive scale, and ability to produce nearly anything. In contrast, Vietnam still relies on importing some raw materials and components, often from China.

However, Vietnam holds powerful advantages. Its labor costs are more competitive, and it has developed world-class expertise in specific categories like wood furniture, textiles, and footwear. While China’s sophistication is hard to match across the board, Vietnam’s established infrastructure in these key sectors allows for rapid and high-quality production. As the trend of supply chain diversification continues, Vietnam is strategically positioned to become a central manufacturing bridge for Southeast Asia.

>> Related article:  Vietnam as a Key Player in the China Plus One Strategy

Key Considerations When Sourcing from Vietnam

Successfully sourcing from Vietnam requires more than just finding a supplier; it demands a strategic approach to partnership and logistics. For global entrepreneurs looking to navigate this dynamic market, here are the essential considerations:

• Build Direct Relationships: The most valuable asset is a strong, trusting relationship with factory partners. In-person visits and direct communication are irreplaceable.
• Validate Quality with Samples: Never commit to a large production run without first thoroughly testing samples to ensure they meet exact quality standards.
• Understand Factory Operations: Knowing a factory’s Minimum Order Quantity (MOQ) and production lead times is crucial. High MOQs exist because small runs are often unprofitable for large manufacturers, so negotiation requires understanding their business reality.
• Embrace Continuous Learning: The world of global trade is dynamic. A mindset of constant learning, testing, and adapting is non-negotiable for long-term success.

Conclusion

The journey of scaling from a dropshipping operation to managing full container shipments from Vietnam to the US illustrates the transformative potential of engaging directly with Vietnamese manufacturing. Entrepreneurs can transition from intermediaries handling online orders to active participants in global supply chains.

Vietnam offers clear advantages for sourcing and production. Competitive labor costs, improving industrial infrastructure, and growing expertise in key sectors such as furniture, textiles, and consumer goods make it an increasingly attractive destination for international entrepreneurs. By leveraging these strengths, businesses can gain greater control over product quality, optimize supply chains, and tap into sustainable growth opportunities.