Circular No. 77/2010/TT-BTC dated May 18, 2010 of the Ministry of Finance promulgating Vietnam's special preferential import tariff to implement the ASEAN-Korea free trade area during 2010-2011

THE MINISTRY OF FINANCE

Circular No. 77/2010/TT-BTC of May 18, 2010, promulgating Vietnam’s Special Preferential Import Tariff to implement the ASEAN-Korea Free Trade Area during 2010-2011

Pursuant to June 14, 2005 Law No. 45/2005/QH11 on Export Duty and Import Duty;

Pursuant to the Government’s Decree No. 118/2008/ND-CP of November 27, 2008, defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

Pursuant to the Government’s Decree No. 149/2005/ND-CP of December 8, 2005, detailing June 14, 2005 Law No. 45/2005/QH11 on Export Duty and Import Duty;

Pursuant to the Framework Agreement on Comprehensive Economic Cooperation among the governments of the member countries of the Association of Southeast Asian nations and the Republic of Korea concluded in Malaysia on December 13, 2005, which was ratified by the President of the Socialist Republic of Vietnam on April 12, 2006;

Pursuant to the Agreement on Trade in Goods under the Framework Agreement on Comprehensive Economic Cooperation among the governments of the member countries of the Association of Southeast Asian nations and the Republic of Korea concluded in Malaysia on December 13, 2005, signed in August 24, 2006, in the Philippines;

Pursuant to the Protocol on the Accession of the Kingdom of Thailand to the Agreement on Trade in Goods under the Framework Agreement on Comprehensive Economic Cooperation among the governments of the member countries of the Association of Southeast Asian nations and the Republic of Korea,

The Ministry of Finance promulgates the Circular on Vietnam’s Special Preferential Import Tariff to implement the Agreement on Trade in Goods under the Framework Agreement on Comprehensive Economic Cooperation among the governments of the member countries of the Association of Southeast Asian nations and the Republic of Korea as follows:

Article 1. To promulgate together with this Circular Vietnam’s Special Preferential Import Tariff to implement the ASEAN-Korea Free Trade Area during 2010-2011 (below referred to as AKFTA tax rate)

In which:

+ Column “Goods code” and column “Goods description” are developed based on HS (Harmonized Commodity Description and Coding System) 2007 and AHTN (ASEAN Harmonized Tariff Nomenclature) 2007 and classified by the 10-digit level.

+ Column “AKFTA tax rate”: Tax rate applicable to each year, from January 1 through December 31 of the year;

+ Column “Ineligible countries”: Goods imported from countries with country signs (specified at Point b, Article 2 of this Circular) ineligible for AKFTA tax rate.

+ Column “GIC” (Gaeseong Industrial Complex): Goods produced at Kaesong (Gaeseong) Industrial Complex in the territory of the People’s Democratic Republic of Korea eligible for AKFTA tax rate under Article 3 of this Circular.

Article 2. To be eligible for AKFTA tax rate, imports must fully meet the following conditions:

a/ Being included in the Special Preferential Import Tariff promulgated together with this Circular (not printed herein).

b/ Being imported to Vietnam from:

c/ Being transported directly from exporting countries (specified at Point b of this Article) to Vietnam under the Ministry of Industry and Trade’s regulations.

d/ Satisfying the conditions on origin of ASEAN-Korea goods, having certificates of origin of ASEAN-Korea goods (abbreviated to form-AK C/O) issued by the following agencies:

- The Ministry of Foreign Affairs and Trade, in Brunei Darussalam;

- The Ministry of Commerce, in the Kingdom of Cambodia;

- The Ministry of Trade, in the Republic of Indonesia;

- The Ministry of Industry and Commerce, in the Lao People’s Democratic Republic;

- The Ministry of International Trade and Industry, in Malaysia;

- The Ministry of Commerce, in the Union of Myanmar;

- The Department of Finance, in the Republic of the Philippines;

- Singapore Customs, in the Republic of Singapore;

- The Ministry of Commerce, in the Kingdom of Thailand; and,

- Korea Chamber of Commerce and Industry or Korea Customs Service, in the Republic of Korea.

Article 3. To be eligible for AKFTA tax rate, goods produced at Kaesong Industrial Complex in the territory of the People’s Democratic Republic of Korea (GIC goods) must fully meet the following conditions:

a/ Being goods with GIC sign in column No. 6 of this Tariff.

b/ Being imported and transported directly from the Republic of Korea to Vietnam under the Ministry of Industry and Trade’s regulations.

c/ Having form-AK C/O printed with phrase “Rule 6” in box No. 8 issued by a Republic of Korea agency competent to issue form-AK C/O under the Ministry of Industry and Trade’s regulations.

d/ Satisfying the conditions on origin of ASEAN-Korea goods, for goods subject to Rule 6 - AKFTA defined in Appendix IV to the Regulation on AKFTA origin, to the Industry and Trade Minister’s Circular No. 17/2009/TT-BCT of June 29, 2009, and amending and supplementing circulars.

Article 4. This Circular takes effect 45 days from the date of its signing. To annul the Finance Minister’s Decision No. 112/2008/QD-BTC of December 1, 2008, promulgating Vietnam’s Special Preferential Import Tariff to implement the ASEAN-Korea Free Trade Area during 2009-2011.-

For the Minister of Finance
Deputy Minister
TRAN XUAN HA