New Music Royalty Regulations: Hanoi and HCMC Business Owners React

Starting July 1st, a new regulation in Vietnam requires cafes, restaurants, and other public venues to pay additional royalties for the music they play. This move, aimed at protecting intellectual property and ensuring fair compensation for artists, has sparked a significant reaction among business owners in major hubs like Hanoi and Ho Chi Minh City. While the concept of music copyright is not new, the stricter enforcement and updated fee structures have many proprietors concerned about their operational costs. In the vibrant cafe culture of Vietnam, background music is an essential part of the atmosphere, and owners are now weighing the costs against the benefits of providing a melodic environment for their customers. Some owners express support for the artists' rights but call for more transparency and a simplified payment process. Others are worried that the added financial burden could be difficult for smaller establishments to absorb, especially in a post-pandemic economy. The Vietnamese Center for Protection of Music Copyright (VCPMC) is at the forefront of this transition, working to educate business owners on the legal requirements. This shift reflects a growing maturity in Vietnam’s legal framework regarding creative works, aligning more closely with international standards found in the US and Europe. As the deadline approaches, the dialogue between the authorities and the business community continues, with many hoping for a balanced solution that supports both the creative industry and the local hospitality sector.

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