Circular No. 23/2015/TT-BKHCN dated November 13, 2015 of the Ministry of Science and Technology on import of used machinery, equipment and technological lines

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Circular No. 23/2015/TT-BKHCN dated November 13, 2015 of the Ministry of Science and Technology on import of used machinery, equipment and technological lines
Issuing body: Ministry of Science and TechnologyEffective date:
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Official number:23/2015/TT-BKHCNSigner:Nguyen Quan
Type:CircularExpiry date:
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Issuing date:13/11/2015Effect status:
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Fields:Export - Import , Science - Technology

SUMMARY

May import used equipment with age not exceed 10 years

 

This is one of the significant contents under the Circular No. 23/2015/TT-BKHCN dated November 13, 2015 of the Ministry of Science and Technology on import of used machinery, equipment and technological lines and it takes effect on July 01, 2016.

A piece of used equipment may be imported if it satisfies the following criteria: its age does not exceed 10 years; It is manufactured in accordance with a National Technical Regulation (QCVN) or Vietnam’s Standard (TCVN) or Standards of G7 countries with regard to safety, energy saving, and environmental protection. Particularly, used parts and components may only be imported when the manufacturing enterprise needs to replace or repair its operating equipment. The manufacturing enterprise may import itself or authorize another enterprise to do so.

Where an enterprise has to import a piece of equipment whose age exceeds 10 years to sustain its manufacturing or business operation, the Ministry of Science and Technology shall cooperate with other ministries and agencies in considering the case based on the enterprise’s proposal and documents. With regard to used equipment that has been granted customs clearance, assembled, and put into operation, if safety, energy saving, environmental protection requirements are not complied with during the operation of the equipment, the enterprise shall incur penalties as prescribed by applicable law.

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THE MINISTRY OF SCIENCE AND TECHNOLOGY

 

No. 23/2015/TT-BKHCN

THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

 

Hanoi, November 13, 2015

 

CIRCULAR

Providing the import of used machinery, equipment and technological lines[1]

 

Pursuant to the Government’s Decree No. 20/2013/ND-CP of February 26, 2013, defining the functions, tasks, powers and organizational structure of the Ministry of Science and Technology;

Pursuant to the Government’s Decree No. 187/2013/ND-CP November 20, 2013, detailing the Commercial Law regarding international goods sale and purchase and goods sale and purchase agency, processing and transit with foreign countries;

At the proposal of the Director of the Technology Evaluation, Appraisal and Assessment Department and the Director of the Legal Department;

The Minister of Science and Technology promulgates the Circular providing the import of used machinery, equipment and technological lines.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

1. This Circular provides criteria, dossiers and procedures for import of used machinery, equipment and technological lines, including also used components, spare parts and replacement parts, with HS codes under Chapters 84 and 85 of the Vietnam’s List of Imports and Exports promulgated together with the Ministry of Finance’s Circular No. 103/2015/TT-BTC of July 1, 2015, for use in domestic production and business activities, which are not on the list of goods banned from import issued by the Government, the Prime Minister, ministries and ministerial-level agencies.

2. This Circular does not apply to the following cases of import of used machinery, equipment and technological lines:

a/ Transit or border-gate transfer;

b/ Temporary import for re-export (except temporary import for re-export for performance of processing contracts and import for production or construction under investment projects); and temporary export for re-import;

c/ Import for performance of repair and maintenance service contracts signed with foreign parties;

d/ Domestic acquisition from enterprises located in export processing zones or from export processing enterprises (located outside export processing zones); or transfer between enterprises located in export processing zones;

dd/ Import of used machinery, equipment and technological lines which are domestically unavailable for scientific research and technological development; or for performance of security and defense tasks at the request of line ministries;

e/ Import of machinery and equipment on the lists of products and goods likely to cause unsafety (lists of group-2 products and goods) issued by line ministries in accordance with the Law on Product and Goods Quality;

g/ Import of machinery and equipment of the printing industry, with HS codes from 84.40 thru 84.43.

h/ Cases of import permitted by the Government or the Prime Minister.

Article 2. Subject of application

This Circular applies to:

1. Organizations and individuals (below referred to as enterprises) that import used machinery, equipment and technological lines or used components, spare parts and replacement parts.

 2. Assessment organizations that assess used machinery, equipment and technological lines under this Circular.

3. State management agencies related to the import of used machinery, equipment and technological lines specified in Article 1 of this Circular.

Article 3. Interpretation of terms

In this Circular, the terms below are construed as below:

1. Machinery, equipment means a complete structure consisting of interlinked details, detail assemblies and parts to operate or move according to designed use purpose.

2. Technological line means a system of machinery, equipment, tools and instruments which are arranged and installed according to technological diagrams and processes to ensure synchronous operation for the manufacture of products.

3. Components, spare parts and replacement parts means details and detail assemblies constituting machinery and equipment, which are imported to replace or repair parts of machinery, equipment and technological lines currently in use in order to ensure or upgrade the performance and capacity of such machinery, equipment and technological lines.

4. Used components, spare parts and replacement parts means components, spare parts and replacement parts which are disassembled from used machinery, equipment and technological lines. 

5. Equipment age (in years) means the period from the manufacture year to the year of import. The year of import of a machine, equipment or technological line is the year it arrives at a Vietnamese port.

6. Used machinery, equipment and technological lines (below referred to as equipment) means machinery, equipment and technological lines which have been assembled and put into operation.

Article 4. Principles of import management

1. Imported used equipment must comply with regulations of the Government, the Prime Minister, ministries and ministerial-level agencies on the import of goods.

2. For imported used equipment which are managed under documents issued by ministries or ministerial-level agencies, provisions of such documents shall apply; for other cases, the provisions of this Circular shall apply.

3. It is not permitted to import used equipment which have been disused in foreign countries due to their obsoleteness, poor quality and environmental pollution and are published by the Ministry of Science and Technology on its e-portal.

4. Enterprises are encouraged to conduct assessment of used equipment right in exporting countries. In case of assessment upon goods’ arrival at Vietnamese port, goods may be handed over to importing enterprises for preservation as prescribed in this Circular.

Chapter II

REQUIREMENTS FOR IMPORT OF USED EQUIPMENT

Article 5. General requirements

When imported, used equipment must meet safety, energy efficiency and environmental protection requirements according to current laws.

Article 6. Specific requirements

1. To be imported, used equipment must meet the following criteria:

a/ The equipment age does not exceed 10 years.

b/ The equipment was manufactured in accordance with standards conformable with Vietnam’s national technical regulations (QCVN) or national standards (TCVN) or standards of G7 countries on safety, energy efficiency and environmental protection.

2. For used equipment imported under investment projects, including new investment projects and expanded investment projects, which fall into the following cases:

a/ Projects subject to investment policy decision;

b/ Projects subject to grant of investment registration certificates and not subject to investment policy decision.

Clause 1 of this Article shall not apply to investment projects the dossiers of which contain a list of to-be-imported used equipment and which have obtained an investment policy decision of a competent agency or been granted an investment registration certificate by an investment registration agency in accordance with the Investment Law.

When necessary, before making investment policy decision or granting an investment registration certificate, the agency competent to make investment policy decision or investment registration agency may solicit technology appraisal opinions from a professional science and technology agency on used equipment proposed in the project dossier.

3. Used components, spare parts and replacement parts may only be imported when a manufacturing enterprise needs to repair or replace equipment currently in use. The manufacturing enterprise may conduct the import by itself or authorize another enterprise to conduct the import.

4. When necessary, depending on specific characteristics of the sectors and fields and under their management, ministers and heads of ministerial-level agencies may issue regulations lessening the age requirement on used equipment prescribed at Point a, Clause 1, Article 6 of this Circular (under 10 years) and notify such to the Ministry of Science and Technology for knowledge and unified management.

Chapter III

IMPORT DOSSIERS AND PROCEDURES AND ASSESSMENT OF USED EQUIPMENT

Article 7. Dossiers for import of used equipment

Dossiers for import of used equipment: in addition to the import dossier prescribed by the Customs Law, enterprises shall add 1 set of documents including:

1. For used equipment imported under investment projects specified in Clause 2, Article 6 of this Circular:

- One certified copy of the investment policy decision or investment registration certificate, enclosed with the original list of to-be-imported used equipment.

2. For other cases (including also import of used equipment under an investment project which has obtained an investment policy decision or investment registration certificate in accordance with the Investment Law but its dossier does not contain a list of to-be-imported used equipment): Technical document showing the manufacture year of and manufacture standards applied to used equipment to be imported, which may be either of the following documents:

a/ The manufacturer’s written certification of the used equipment’s manufacture year and manufacture standards conformable with the requirements stated in Clause 1, Article 6 of this Circular;

b/ The original certificate of assessment of the used equipment’s  manufacture year and manufacture standards conformable with the requirements stated in Clause 1, Article 6 of this Circular, issued by an assessment organization prescribed in Clause 2, Article 10 of this Circular. 

 Article 8. Procedures for import of used equipment

1. Customs offices shall, based on the documents submitted by enterprises, determine whether the used equipment meet the import conditions specified in Article 6 of this Circular, and carry out customs clearance procedures.

2. Handing over goods to importing enterprises for preservation:

a/ At the time of importing used equipment, if still lacking a document specified in Article 7 of this Circular, an enterprise may receive goods for preservation after it submits the following documents to the customs office:

- The original written registration for assessment bearing the assessment organization’s certification as prescribed in Clause 2, Article 10 of this Circular;

- The original request for receipt of goods for preservation, made according to form No. 09/BQHH/GSQL provided in Appendix V to the Ministry of Finance’s Circular No. 38/2015/TT-BTC of March 25, 2015, providing customs procedures; customs inspection and supervision; import duty, export duty and tax administration of imports and exports.

b/ Within 30 working days after receiving goods for preservation, the enterprise shall submit to the customs office the certificate of assessment and documents as committed. The customs office shall allow customs clearance only if the used equipment satisfies the requirements prescribed in Articles 6 and 7 of this Circular.

If assessment results show that the used equipment does not satisfy the requirements prescribed in Clauses 1 and 4, Article 6 of this Circular, competent agencies shall consider and handle these cases according to Article 14 of this Circular.

The enterprise may use or install used equipment it has received for preservation only after customs clearance procedures are completed.

c/ Used equipment imported under approved or registered investment projects prescribed in Clause 2, Article 6 of this Circular may only be used for such projects and may not be transferred to other projects or enterprises, except the cases in which the importing enterprises go bankrupt, are dissolved or terminate operation. 

Article 9. Dossiers and procedures for import of used components, spare parts and replacement parts

1. Dossiers: In addition to the import dossier prescribed by the Customs Law, an importing enterprise shall add a set of documents including:

a/ The enterprise’s original written justification of the import of used components, spare parts and replacement parts for repairing or replacing the used equipment currently in use, and commitment to import used components, spare parts and replacement parts in necessary quantity and of proper categories, and to use them for proper purpose;

b/ The original power of attorney, in case the enterprise imports used components, spare parts and replacement parts under the authorization of an manufacturing enterprise; 

 c/ A copy of the technical document of the used components, spare parts and replacement parts (if any).

2. The customs office shall carry out customs clearance procedures only when the dossier meets the requirements stated in Clause 3, Article 6, and Clause 1 of this Article.

Article 10. Assessment of used equipment

1. In addition to essential information required for a certificate of assessment, the conclusion part of a certificate of assessment stated in Article 6 of this Circular must have the following contents:

a/ Manufacture year and name, brand, number sign, model and name of the manufacturer of the used equipment;

b/ Conclusion on the conformity of the manufacture standards applied to the used equipment with Vietnam’s national technical regulations or G7 countries’ standards on safety, energy efficiency and environmental protection.

2. Assessment organizations:

a/ Assessment organizations qualified to issue certificates of assessment stated in Clause 1 of this Article include:

- Domestic assessment organizations already registered under the Commercial Law and having the function of assessing machinery and equipment;

- Foreign assessment organizations already registered under the law of the country where they register assessment activities and having the function of assessing machinery and equipment. 

b/ An assessment organization shall send to the Ministry of Science and Technology information on its name, address, telephone number, fax, website, copy of its business registration certificate under the Commercial Law (for domestic assessment organizations) or copy of the written permission for conducting assessment activities, issued by a competent foreign agency of the country where the organization registers its operation, enclosed with its consularly legalized Vietnamese translation (for foreign assessment organizations); copy of the assessment registration form; and copy of the form of the certificate of assessment.

3. Validity period of certificates of assessment:

For cases of assessment prior to goods’ arrival at a Vietnamese port, a valid certificate of assessment is a certificate granted for the used equipment within 6 months up to the time of the goods’ arrival at a Vietnamese port.    

Chapter IV

ORGANIZATION OF IMPLEMENTATION

Article 11. Responsibilities of the Ministry of Science and Technology

1. To assume the prime responsibility for, and coordinate with ministries and ministerial-level agencies in, managing the import of used equipment as specified in this Circular and other relevant documents.

2. To periodically publish on its e-portal a list of obsolete, poor-quality and polluting equipment which have been disused by foreign countries.

3. To coordinate with other ministries, ministerial-level agencies and provincial-level People’s Committees in inspecting the observance of the law on safety, energy efficiency and environmental protection for used equipment already imported and put into operation, and handling violations in accordance with current laws.

4. To coordinate with the General Department of Customs in making annual statistics on the import of used machinery, equipment and technological lines (names of importing enterprises, addresses, categories of machinery and equipment, countries of manufacturing, import value) and violations resulting in forced re-export and fine for reporting to the Prime Minister.

5. To sum up and publish on its website the list of domestic and foreign assessment organizations satisfying the requirements in Clause 2, Article 10 of this Circular (name, address, website, telephone number, fax number, assessment registration form and form of certificate of assessment).

6. To assign the Technology Evaluation, Appraisal and Assessment Department to act as the focal point in implementing this Circular.

Article 12. Responsibilities of enterprises

1. To comply with this Circular and relevant legal documents in the  import of used equipment.

2. Enterprises that import used equipment for commercial purposes (not for use) may sell such equipment only after customs clearance procedures are completed according to Article 8 of this Circular.

3. To submit to the inspection by competent state agencies in charge of safety, energy efficiency and environmental protection after equipment is cleared from customs procedures, during installation and use in production and business activities, and be sanctioned if violating this Circular and relevant legal documents.

Article 13. Special cases

In case an enterprise needs to import used equipment of an age exceeding 10 years to maintain its production and business activities, the Ministry of Science and Technology shall coordinate with ministries and sectors in considering and making decision on the enterprise’s proposal based on its  dossier.

 Article 14. Handling of violations

1. In case used equipment has arrived at a port or border gate and been assessed that it does not satisfy the requirements specified in Clause 1, Article 6 of this Circular, enterprises shall be sanctioned according to current regulations. In the course of inspecting and handling violations, competent agencies may permit re-assessment as requested by enterprises.

 2. In case used equipment have been cleared from customs procedures, installed and put into use, if it fails to meet the requirements on safety, energy efficiency and environmental protection during its operation, enterprises shall be sanctioned according to current regulations.

Article 15. Transitional provisions

This Circular does not apply to cases in which sale and purchase contracts have been signed and used equipment has been loaded onto carrying vehicles prior to the effective date of this Circular.

Article 16. Effect

1. This Circular takes effect on July 1, 2016.

2. The following documents cease to be effective on the effective date of this Circular: the Ministry of Science and Technology’s Circular No. 20/2014/TT-BKHCN of July 15, 2014, providing the import of used machinery, equipment and technological lines, and Notice No. 2527/TB-BKHCN of September 6, 2012, on suspension of import of used machinery, equipment, and technological lines.

3. In case legal documents referred to in this Circular are amended, supplemented or replaced, amending, supplementing or replacing documents shall apply.

4. Any problems arising in the course of implementation of this Circular should be reported to the Ministry of Science and Technology for amendment and supplementation of this Circular as appropriate-

Minister of Science and Technology
NGUYEN QUAN

 

 

 

[1] Công Báo Nos 1153-1154 (28/11/2015)

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