Ahead of the 2026 Lunar New Year Festival, Hai Thuong Lan Ong Street, the city’s main hub for Tet decorations, is awash in red envelopes, lanterns and couplets. Yet despite stronger foot traffic than last year, vendors said sales were only 50 to 60 per cent of normal levels.
“Customers come to browse, but they buy very little,” said Chau, a vendor on the street, adding that shoppers now pick up only a few low-cost items instead of dozens as in previous years.
Prices have risen about 10 per cent, with small decorations priced at VND 10,000 to VND 150,000 and larger illuminated pieces costing more than VND 300,000. Traders said consumers remained cautious with their spending.
Hung, who specialises in large lanterns, estimated demand at only about half of last year’s level. “Many people come to browse, but few actually buy,” he said, noting that rising costs have added to the strain.
Monthly rents along the street range from VND 20 million to VND 30 million for small stalls to as much as VND 60 million to VND 100 million for larger premises, Hung said. With profit margins of only a few tens of thousands of dong per item, even a brief slowdown can erode earnings.
Many vendors blamed tighter household budgets and a shift to online shopping, with customers comparing prices in-store before buying more cheaply online. Stricter pavement rules have also curbed the street displays that once drew crowds.
Some long-standing wholesalers are adapting by offering retail sales at wholesale prices to clear stock, while niche shops selling Chinese calligraphy couplets and traditional characters rely on loyal customers to sustain business.
Although sales remain below expectations, traders said they were hoping demand would pick up once workers begin their official Tet holiday, traditionally the busiest period for festive home decorating.
