Pastel Rainbows, Connecting Vietnam and China.

■ Chinese retail brands are expanding rapidly among Vietnam's youth.
・Recent news: "Against the backdrop of US-China trade friction, Chinese retail brands are entering the market in full force and expanding rapidly among Vietnam's youth."
・Retail brands from China are "rapidly increasing their presence in the Vietnamese market. Unlike the era when they were once viewed as 'cheap products with questionable quality,' they now push trend-conscious product lineups and experiential stores to the forefront, gaining high popularity among urban youth and families." According to a Q3 2025 report by market research firm CBRE Vietnam, "Chinese brands such as tea brand 'Chagee,' lifestyle goods store 'KKV,' and toy brand 'Popmart' are opening stores one after another in large commercial facilities and densely populated residential areas in Ho Chi Minh City."
・One flagship store, "'Oh!Some' in Vincom Dong Khoi, is bustling with young customers even on weekday nights." These brands "set price points equal to or slightly higher than e-commerce malls, while stimulating purchasing desire through sophisticated store displays and extensive product lineups. KKV, in particular, puts Chinese cosmetic brands at the forefront and enhances the quality of the shopping experience through clever use of lighting and color schemes."
・Furthermore, "by incorporating entertainment elements such as claw machines and building block play into the stores, rather than just selling products, efforts are being made to extend the time customers spend in the store. This promotes 'experiential consumption' that goes beyond simple retail."

■ Retail businesses are required to keep evolving.
・Behind this is the fact that "triggered by US-China trade friction, Chinese companies have positioned the Southeast Asian market as an alternative growth destination. Chinese companies are leveraging a robust production system that can complete everything from material procurement to manufacturing within their own country, accelerating their full-scale entry into the Vietnamese market."
・Meanwhile, "local companies are facing intensified competition due to these moves. The Vietnamese footwear brand 'Vina Giày' stated that while high-income earners prefer high-end brands, middle- and low-income earners tend to choose Chinese products with excellent cost performance." Additionally, food giant KIDO Group "revealed that it has met with over 20 Chinese trade delegations in the last six months, pointing to the strength of Chinese companies' interest in the Vietnamese market."
・Under such an environment, "KIDO is embarking on strengthening sales and marketing using AI technology. In addition to its 5,000 offline sales representatives and 3,000 online staff, the company is promoting the hybridization of its sales network by introducing live streaming using AI avatars." Changes can also be seen in consumer behavior: "Especially due to the influence of social media like TikTok, the psychological resistance to Chinese products among the youth is fading, and a consumption style that emphasizes trends and visuals is taking root." The Chinese toy brand 'Popmart' "has become popular overnight, partly due to the influence of K-POP idols, and is seeing such prosperity that lines form on the release days of limited-edition products."
・According to the General Department of Vietnam Customs, "as of mid-October, the country's total trade volume reached approximately 109.5451 trillion yen, with trade with China accounting for the largest share. Imports from China are approximately 17.968 trillion yen, equivalent to about three times the export value." Experts predict that if this trend continues, "the total trade volume with China for the full year of 2025 could exceed a record high of approximately 31.2 trillion yen."

■ Standing at the crossroads of an international city.
・As an aside, as I walk through the streets of Vietnam and inspect shopping malls every day, I have certainly noticed an increase in opportunities to see Chinese retail stores over the past few years. Instant noodles, snacks, juices, stationery, aroma candles, stuffed animals, and sunglasses with Chinese characters are sold, and the Vietnamese people are happily shopping, picking up various items and chatting with each other.
・The displays are neat and tidy, and the pastel-colored product packaging is arranged with careful attention to color schemes, from warm to cool tones, which feels pleasant and comfortable, and my eyes seem to be pleased as well. The reason the stores feel clean and tidy is not just because of the above; the store lighting is brilliant, and I have sometimes been drawn into the stores by that brightness.
・Chinese companies finding a way forward in Southeast Asia are creating the aforementioned scenery in today's Vietnam through trial and error. When I place myself in such a scene, I feel as if I am standing at the crossroads of an international city where different cultures intersect. The fact that a city or a country develops may be a result that becomes visible as people born with different ideas and in different countries move forward earnestly while learning from each other—the southern part of Vietnam is about to enter the dry season, but perhaps as a final struggle of the rainy season, it is raining today on the activities of the people mentioned above. When I suddenly look up at the sky after the rain has stopped, the pastel-colored rainbow pleases my eyes and appears like a bridge connecting the future of Vietnam and China.