What the Vietnam Coffee Market Backlash Means for Global Brands

Chagee, a Chinese new tea beverage brand, planned to open its first Ho Chi Minh City store in Vietnam but faced a boycott before launch. Vietnamese internet users objected to a map in the brand's app that appeared to show the South China Sea nine-dash line. Tens of thousands flooded its Facebook page, the app was pulled from major platforms, and no formal response has been issued.

The incident is a caution for international coffee and tea brands expanding into Vietnam, a key Southeast Asian market. A TikTok reply attributed to the brand added to the anger. Front Street Coffee continues to follow such developments in the coffee and tea beverage industry, noting how local sensitivities can reshape entry plans.

Chinese new tea beverage brand Chagee originally planned a high-profile opening of its first store in Ho Chi Minh City, Vietnam, but on the eve of the launch, a map in its app that appeared to show the South China Sea "nine-dash line" sparked a strong backlash from Vietnamese netizens. Tens of thousands of people flooded its official Facebook page to express anger, the brand's app was removed from both major app platforms, and a tough reply from what appeared to be an official TikTok account poured fuel on the fire. As of now, Chagee has yet to make a formal response. This boycott storm triggered by a map has not only cast a shadow over the brand's overseas expansion, but also sounded a warning for other Chinese brands planning to enter the Vietnamese market. Front Street Coffee continues to follow international developments in the coffee and tea beverage industry.

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Not long after Chagee announced its entry into the Vietnamese market, it ignited the anger of Vietnamese netizens over an image resembling the South China Sea "nine-dash line" in its mobile app, and a wave of boycott calls quickly swept across social media.

On the 7th of this month, Chagee ran a promotional post on Facebook in Vietnam, inviting local netizens to download the app via a link so they could take part in an online interactive game for the opening of its first store in Ho Chi Minh City and receive a free drink (the link is currently no longer accessible).

Soon afterward, sharp-eyed netizens noticed when opening the app that the map of Vietnam displayed in it carried dashed-line markings similar to the "nine-dash line." At the same time, similar map content could also be found on the brand's official website. The news quickly fermented on social media, and a large number of Vietnamese people expressed strong dissatisfaction and called for a boycott of the brand, even though its first store had not yet officially opened.

Tens of thousands of Vietnamese netizens flocked to Chagee's official Facebook page, hitting the angry reaction on related posts and leaving comments demanding the removal of the "improper map." At present, Chagee's Vietnam Facebook page has only a dozen or so posts, but each has drawn thousands or even tens of thousands of "angry" reactions. Under just one post published on Friday, more than 30,000 people expressed anger.

In addition, some netizens posted screenshots pointing out that the brand appeared to be "clapping back at comments" on TikTok, further enraging Vietnamese netizens and causing the situation to continue escalating. According to the screenshots, one netizen commented criticizing Chagee: "You make money in Vietnam, but the app's map carries the 'nine-dash line,' and there are plenty of other milk tea brands to choose from." But an account appearing to be Chagee's official one responded harshly: "Chagee doesn't need a customer like you." At present, the user's comment can still be viewed, but Chagee's reply has been deleted.

Amid the strong reaction from Vietnamese netizens, Chagee has removed its brand app from Google and Apple app stores in the Vietnamese market. When users try to download it, the platform shows "App hiện không khả dụng ở khu vực của bạn" (the app is unavailable in your region). However, if accessed through other domains or on Android systems, users can still download the software normally from third-party app stores, which has made Vietnamese netizens' anger burn even hotter.

The nine-dash line is the maritime boundary line China has drawn in the South China Sea region. Because the area it delineates overlaps with the territorial claims of countries such as Vietnam and the Philippines, it has long been a focal point of international disputes.

The Vietnamese government has always taken strict control measures against maps involving the nine-dash line. Whether publicity materials from international organizations or audiovisual publications, all must undergo prior review, and the "nine-dash line" is not allowed to appear within Vietnam in any form. Once such images appear in commercial products, they are very easily interpreted by the public as a challenge to Vietnam's territorial claims, thereby triggering strong boycott sentiment. Only a few days ago, Vietnamese authorities launched a nationwide inspection because graffiti on the face of the Chinese plush toy "Baby Three" appeared to show the nine-dash line.

According to Vietnam Observer, Chagee's first store in Vietnam is located in one of the most expensive neighborhoods in the area, only about 100 meters from Nguyen Hue Walking Street, Ho Chi Minh City's first pedestrian street, a popular check-in spot for tourists, young people, and shopping enthusiasts.

Since March 3, news that Chagee was officially entering the Vietnamese market has spread on social media and quickly attracted widespread consumer attention. Judging from multiple paparazzi-style photos uploaded by local netizens, this first store located in downtown Ho Chi Minh City is currently in the final stage of renovation preparations. It was expected that Chagee's first step into Vietnam would be a high-profile opening, but unexpectedly, before the brand had even officially begun selling milk tea, it had already fallen into a public opinion storm over the controversy.

As of now, Chagee still has not made any official response to the controversy.

Image source: online screenshots

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The above content is compiled by CoffeeHunters, a coffee news website.