Place the sugar and water in a large heavy-bottomed saucepan. Stir until sugar is evenly moistened.
Combine the hoisin sauce, rice vinegar, fish sauce, and soy sauce in a bowl. Set aside.
Heat on medium, stirring, until the mixture comes to a boil. Once the sugar has dissolved, stop stirring, but swirl the pan gently.
Cook the sugar until it reaches a medium-amber color. Immediately pour in the hoisin sauce mixture, stirring vigorously. Be careful, because the mixture will bubble up and the caramel will most likely harden.
Turn the heat down to medium-low and add the honey, shallot, garlic ginger, and 5 spice. Whisk together until the caramel has melted back into the sauce
Turn the heat down to low and simmer for about 5 minutes, or until the sauce has thickened slightly.