Circular 06/2020/TT-BCT amending Circular 03/2019/TT-BCT

CIRCULAR

On amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT dated January 22, 2019 of the Minister of Industry and Trade on providing the rules of origin under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership

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Pursuant to the Government’s Decree No. 98/2017/ND-CP dated August 18, 2017 on defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to the Government’s Decree No. 31/2018/ND-CP dated March 08, 2018 on detailing the Law on Foreign Trade Management regarding goods origin;

In furtherance of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership signed on March 08, 2018, in Chile;

At the proposal of the Director General of the Agency of Foreign Trade;

The Minister of Industry and Trade hereby promulgates a Circular on amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT dated January 22, 2019 of the Ministry of Industry and Trade on providing the rules of origin under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (hereinafter referred to as the Circular No. 03/2019/TT-BCT).

Article 1. To amend and supplement a number of Articles of the Circular No. 03/2019/TT-BCT

1. To add Clauses 4 and 5 to Article 29 as follows:

“4. The term“wholly formed”specified in Clause 3 herein means the entire manufacturing process and finishing stage, from extruding filament, strip, film or sheet, and including stretching filaments or films or sheets into strips, or the process of drawing fibers into yarns, or both, and finally acquiring a finished yarn or plied yarn.

5. Provisions of Clause 3 herein shall not apply with materials as prescribed in the Appendix VIII (the List of shortage supply).”

2. To amend and supplement Article 33 as follows:

“Article 33. Implementation organization and effect

1. This Circular takes effect on March 08, 2019.

2. Guidelines, unanimous interpretations related to the rules of origin that are circulated or agreed by member countries in the reports of meetings of the Committee on the Rules of Origin and procedures for certification of origin and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership Council in the framework of implementing the Comprehensive and Progressive Agreement for Trans-Pacific Partnership shall be the basis for agencies granting C/O and customs authorities to implement.

3. Regulation specified in Clause 2 of this Article shall be notified to agencies and authorities granting C/O and customs authorities through focal points as prescribed in the Decision No. 734/QD-TTg dated June 14, 2019 of the Prime Minister on assigning focal points to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (hereinafter referred to as CPTPP).”

3. To repeal the Appendix III (De Minimis exceptions) attached to the Circular No. 03/2019/TT-BCT and replace by the Appendix I attached to this Circular.

4. To repeal the Appendix IV (Vietnam’s CPTPP C/O form) attached to the Circular No. 03/2019/TT-BCT and replace by the Appendix II attached to this Circular.

5. To repeal the Appendix V (form of supplementary declaration to Vietnam’s CPTPP C/Os) attached to the Circular No. 03/2019/TT-BCT and replace by the Appendix III attached to this Circular.

6. To repeal the Appendix VI (Guidance for filling CPTPP C/Os and supplementary declarations) attached to the Circular No. 03/2019/TT-BCT and replace by the Appendix IV attached to this Circular.

Article 2. Effect

This Circular takes effect on May 08, 2020.

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Appendix I

DE MINIMIS EXCEPTIONS

(Attached to the Circular No. 06/2020/TT-BCT dated March 24, 2020 on amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT)

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Article 14 of the Circular No. 03/2019/TT-BCT does not apply to:

a) Non-originating materials of heading 0401 to heading 0406, or non-originating dairy products containing more than 10% on the dry weight of milk in solid form, under subheading 1901.90 or subheading 2106.90, are used in the manufacture of goods from heading 0401 to heading 0406, except goods from subheading 0402.10 to subheading 0402.29 or subheading 0406.30.

b) Non-originating materials of heading 0401 to heading 0406, or non-originating dairy products containing more than 10% on the dry weight of milk in solid form, under subheading 1901.90 are used to produce the following goods:

- Preparations for children containing more than 10% on the dry weight of milk in solid form of subheading 1901.10;

- Mixing and kneading flour, containing more than 25% by weight, of dry butterfat, not put up for retail sale in subheading 1901.20;

- Milk preparations containing more than 10% on the dry weight of milk in solid form of subheading 1901.90 or subheading 2106.90;

- Goods of heading 2105;

- Drinks containing milk of subheading 2202.90; or

- Animal feed containing more than 10% on the dry weight of milk in solid form of subheading 2309.90;

c) Non-originating materials of heading 0805 or from subheading 2009.11 to subheading 2009.39, used in the production of goods of subheading 2009.11 to subheading 2009.39 or fruit or vegetable juices of a kind fruit or vegetables, fortified with minerals or vitamins, whether or not concentrated, of subheading 2106.90 or subheading 2202.90.

d) Non-originating materials of Chapter 15 of the Harmonized Commodity Description and Coding Systems used to produce goods of headings 1507, 1508, 1512 or 1514; or

dd) Non-originating peaches, pears or apricots of Chapter 08 or Chapter 20 of the Harmonized Commodity Description and Coding Systems used to produce goods of heading 2008.

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APPENDIX II

VIETNAM’S CPTPP C/O FORM

(Attached to the Circular No. 06/2020/TT-BCT dated March 24, 2020 on amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT)

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APPENDIX III

FORM OF SUPPLEMENTARY DECLARATION TO VIETNAM’S CPTPP C/Os

(Attached to the Circular No. 06/2020/TT-BCT dated March 24, 2020 on amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT)

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ADDITIONAL PAGE(S) OF CERTIFICATE OF ORIGIN FORM CPTPP

Reference No. ………………………………………Page ……. / …….

APPENDIX IV

GUIDANCE FOR FILLING CPTPP C/OS AND SUPPLEMENTARY DECLARATIONS

(Attached to the Circular No. 06/2020/TT-BCT dated March 24, 2020 on amending and supplementing a number of Articles of the Circular No. 03/2019/TT-BCT)

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Vietnam s CPTPP C/O form must be declared in the English language and printed. The declaration content must comply with the customs declaration that has completed the customs procedures and other vouchers such as bill of lading, commercial invoices and goods origin inspection record (in case of requiring inspection). The details of the C/O declaration are as follows:

1. The top right box shows the reference number (written by the C/O issuing organizations and agencies). The reference number consists of 13 characters, divided into 5 groups, with a specific way of writing as follows:

a) Group 1: The abbreviated name of the exporting member country is Vietnam, including 02 characters “VN”;

b) Group 2: The abbreviated name of the importing member country under the CPTPP agreement, including 02 characters as follows:

c) Group 3: The year of issuing C/O, including the last 02 characters of the issuing year. For example: The C/O is issued in 2021, it will be recorded as “21”

d) Group 4: The code of C/O issuing organization or agency, including 02 characters. The List of organizations and agencies issuing C/O is prescribed in the Appendix IX attached to the Circular No. 03/2019/TT-BCT. Such List shall be updated on the System of management and electronic certification of origin of the Ministry of Industry and Trade at the website www.ecosys.govn.vn when there is any change;

dd) Group 5: Ordinal number of C/O, including 05 characters;

e) There is a dash “-” between group 1 and group 2; between group 3, group 4 and group 5, there is a slash “/”.

For example: The Department of Import-Export Management of Ho Chi Minh City issues C/O with an ordinal number of 6 for a lot of goods exported to Canada in 2019, then the reference number of such C/O shall be recorded as: “VN-CA 19/02/00006”.

2. The first box: Trading name, e-mail address, contact number and address (including country name) of the exporter. The exporter s address is the exporting place of goods of the member country of the CPTPP Agreement (“Vietnam”).

3. The second box: Trading name, e-mail address, contact number and address of the importer (if the importer s information is available). The importer’s address must belong to the member country of the CPTPP Agreement.

4. The third box: Option to declare the date of departure, the name of the means of transport (if sending goods by aircraft, write "By air", if sending by sea, write the name of the ship) and the name of the seaport or airport of loading and unloading.

5. The fourth box: The C/O issuing organization or agency shall mark (√) on the corresponding box for the following cases:

a) “Non-Party Invoicing” when applying the commercial invoices of countries that are not the member countries of the Agreement;

b) “Certified True Copy” when issuing the certified copy of the original C/O. The issuing date of such copy shall be typed or stamped on the twelfth box.

6. The fifth box: The manufacturer s name, e-mail address, contact number and address (including country name). The manufacturer s address is the place where the last stage of production is to produce goods in a member country.

In case such goods are supplied by many manufacturers, a sentence “Various” shall be recorded or the List of manufacturers shall be attached.

In case of keeping the manufacturers’ information confidential, write "Available upon request by the importing authorities". The exporter of trader requesting for C/O issuance must provide the manufacturer s information as required by the competent authority of the importing member country.

7. The sixth box: Ordinal number of items (listing all items on 1 C/O, each item has a unique ordinal number).

8. The seventh box: Symbols, the number of packages, package types, goods description (including HS codes of the importing member countries at 6-digit level and brand names of goods (if any).

a) For the textile and garment using originating materials, writing "Yarn/fabric of HS (i) originating from (ii)". Where:

(i) The HS codes at the 6-digit level of originating yarn or fabric.

(ii) Origin country of yarn or fabric.

b) For the textile and garment using materials mentioned in the List of shortage supply specified in the Appendix VIII of the Circular No. 03/2019/TT-BCT, writing “Yarn/fabric from No. (#) of SSL”. Where:

(#) is the ordinal number of materials specified in the List of shortage supply.

9. The eighth box: The origin criteria of goods:

10. The ninth box: Weight including wrapping of goods (or other measure units) and value. Traders are entitled to choose to declare the value of the goods on C/O or not.

11. The tenth box: Number and issuing date of the commercial invoices of the lot of goods imported into the importing member country.

12. The eleventh box: Place, date, month and year of requesting for the C/O issuance; full name and signature of the applicant.

13. The twelfth box: For the issuing agencies and organization: Place, issuing date, signature and full name of the competent person issuing such C/O and stamp of the issuing body.

14. Supplementary declaration to Vietnam’s CPTPP C/Os:

In case traders use the additional declaration page as prescribed in the Appendix III attached to this Circular to deploy too many items in excess of one C/O, the following information is required:

- The reference number on the additional declaration page is recorded as same as the C/O reference number.

- The page number shall be recorded if there are 2 additional declaration pages or more.

For example: page 1/3, page 2/3, and page 3/3

- To write information from the sixth box to the twelfth box similar to the regulations specified from Clause 7 through Clause 8 of this Appendix. Information on the eleventh box and the twelfth box must be recorded as in the C/O.