Decision No. 1201/QD-TTg 2020 Plan on implementation of Free Trade Agreement between Vietnam - EU

DECISION

Approving the Plan on implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union^[1]

THE PRIME MINISTER

Pursuant to the June 19, 2015 Law on Organization of the Government; and the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

Pursuant to the April 9, 2016 Law on Treaties;

Pursuant to the National Assembly’s Resolution No. 102/2020/QH14 of June 8, 2020, on ratification the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union and relevant documents;

At the proposal of the Minister of Industry and Trade in Documents No. 5248/BCT-DB of July 20, 2020, and No. 5664/BCT-DB of August 4, 2020;

DECIDES:

Article 1. To promulgate together with this Decision the Plan on implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union and its Appendix.

Article 2. This Decision takes effect on the date of its signing.

Article 3. In the course of implementing the Agreement, if it is necessary to make supplements or amendments to suit the actual situation, the Ministry of Industry and Trade shall assume the prime responsibility for, and coordinate with related ministries, sectors and agencies in, summarizing and reporting to the Prime Minister for consideration and decision.

Article 4. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees and heads of related agencies shall implement this Decision.-

Prime Minister
NGUYEN XUAN PHUC

* The Appendix to this Decision is not translated.

PLAN

On implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the European Union (EVFTA)

(Promulgated together with the Prime Minister’s Decision No. 1201/QD-TTg
of August 6, 2020)

I. OBJECTIVES

The Prime Minister approves the formulation of the Plan on implementation of the EVFTA to assign tasks to and define responsibilities of related agencies and organizations, decide on directive and executive measures and other measures for complete and effective implementation of this Agreement.

II. MAJOR TASKS

In order to achieve the above-mentioned objectives, in the coming time, ministries, ministerial-level agencies, government-attached agencies and provincial-level People’s Committees shall, apart from their regular tasks, concretize and organize the implementation of the following fundamental tasks:

1. Dissemination of information about the EVFTA and markets of EU countries

a/ To increase the dissemination of information about the EVFTA to related stakeholders, especially those that may be affected such as farmers and fishermen, central and local management agencies, trade associations, cooperatives, the business community, workers and other components of the labor force via the media, websites, printed publications and documents, radio and television programs, refresher courses and seminars to raise awareness and understanding about the commitments as well as jobs to be performed to effectively implement the EVFTA;

b/ To focus on providing training in a number of fields such as tax, rules of origin, EU market access, investment, services, customs, government procurement, trade remedies, intellectual property, labor, environment, etc., to state management agencies’ cadres as well as enterprises so as to ensure that they have a clear and accurate understanding thereof, thus being capable of making use of and implementing the Agreement sufficiently and effectively;

c/ To set up a focal point for EVFTA information at the Ministry of Industry and Trade to provide information, guide and clarify commitments and issues related to the Agreement;

d/ To consolidate the network, build capacity and enhance the provision of information and forecasts about import and export markets and domestic markets by state agencies functioned to provide information on trade and investment so that Vietnamese enterprises may promptly grasp information, technical requirements and regulations on goods import and export management of EU countries.

dd/ To promote trade and investment promotion programs in EU countries to inform the enterprise community in these countries of the opportunities and advantages of Vietnam’s business and investment environment, thereby developing trade relations and attracting foreign investment in key areas; take advantage of source technologies and modern technologies to remove the bottlenecks that may obstruct a number of Vietnam’s sectors in making use of the EVFTA; and further consolidate the position, role and image of Vietnam in the international arena.

e/ To enhance the role of enterprise associations; and through enterprise associations, grasp and settle difficulties and problems of the enterprise community, especially small- and medium-sized enterprises. To set orientations for associations to innovate production and startup culture, create conditions for private enterprises to improve production capacity and product quality, and meet the EU and international quality standards.

2. Lawmaking and institution building activities

a/ Related ministries and sectors shall continue reviewing law during the implementation of the Agreement and report to the Government proposals for amendment and supplementation to other legal documents to suit the requirements of the Agreement, if any;

b/ To amend and supplement legal documents and submit them to competent authorities for approval and promulgation in accordance with the EVFTA’s roadmap. In case of necessity to fulfill the commitments on time, to apply the simplified order and procedures in accordance with the 2015 Law on Promulgation of Legal Documents;

c/ To ensure the implementation of the mechanism of consultation and collection of opinions of related stakeholders during the process of formulating policies and laws;

d/ To continue developing and completing institutions necessary for the implementation of the Agreement:

- To appoint a common focal point and specific focal points in each area to exchange information between Vietnam and the EU and fulfill notification obligations under the Agreement;

- To appoint and notify Vietnam’s focal point to join the EVFTA’s Trade Committee and specialized Committees specified in the chapters; a focal point for contact information between Vietnam and the EU on all issues concerning the Agreement; a coordinating agency in charge of formulating proposals and receiving technical assistance from EU countries in the implementation process of the Agreement; a focal point coordinating the implementation of new-generation FTAs, including the EVFTA, which is located at the Ministry of Industry and Trade, to closely coordinate with other focal points implementing the EVFTA and CPTPP, etc., at ministries, sectors and localities;

- To appoint individuals to formulate a list of arbitrators in accordance with the Agreement to handle disputes arising between the two parties;

- To develop a mechanism for establishment of a domestic consultancy group comprising of independent representative organizations, ensuring a balanced representation among economic, social and environmental sectors, including employees’ organizations, employers’ organizations, enterprises and environmental organizations. The organizational structure and operational model of this consultancy group are projected as follows:

+ A representative of the Ministry of Industry and Trade shall play the role of a general coordinator, with the participation and coordination of representatives of the Ministries of Labor, Invalids and Social Affairs; Agriculture and Rural Development; and Natural Resources and Environment (as the deputy permanent of the coordinating unit).

+ The standing agency (acting as the Secretariat of the consultancy group) shall be an agency under the Ministry of Industry and Trade.

+ The composition of the consultancy group includes a number of representative organizations of employees and employers, enterprises and labor or environmental organizations.

+ The consultancy group shall advise on the implementation of the EVFTA Trade and Sustainable Development Chapter and report to the Commission on Trade and Sustainable Development (established under the Agreement’s Trade and Sustainable Development Chapter).

3. Increase of competitiveness and development of human resources

a/ To perform quantitative assessment of post-Covid-19 impacts of the EVFTA on socio-economic aspects as well as specific sectors, and recommend appropriate responsive measures.

b/ To formulate programs to support and improve competitiveness for industries and enterprises, especially medium-, small- and micro-sized enterprises and farmers, which must be in line with international commitments; at the same time, to prepare responsive and support solutions for industries and commodity items affected severely and directly from the implementation of the Agreement; and support Vietnamese enterprises to participate in regional and global production networks, value chains and supply chains;

c/ To promote the application of sciences and technologies in production and business, and increase productivity in enterprises and manufacturing industries. To formulate strategies to proactively approach and promptly grasp new development trends associated with modern science and technology, especially applying to production such achievements of the Fourth Industrial Revolution as artificial intelligence, Internet of Things, 5G technology, etc. To effectively implement policies to attract talents and encourage domestic and foreign scientists to transfer research outcomes into practical production;

d/ To focus on industrial restructuring, creating a foundation for industrialization and modernization; accelerate the process of agriculture and rural economy restructuring under the models of advanced production, application of sciences and technologies, and safety and environmental friendliness;

dd/ To strengthen measures and mechanisms to encourage and orient foreign-invested enterprises to connect with domestic enterprises, contributing to the formation and development of supply chains;

e/ To attach importance to the development of high-quality human resources, especially in such sectors as engineering-technology, law, finance, etc.;

g/ To promote the mutual recognition of results of EU standard conformity assessment, especially for products and goods of Vietnamese strength which are exported to the EU.

4. Guidelines and policies applicable to trade unions and employees’ organizations at enterprises

a/ To further improve the legal system regulating industrial relations and labor standards in line with international standards, commitments and conventions to which Vietnam has acceded, including the formulation of a decree guiding the implementation of the amended 2019 Labor Code, and coordinate with the Vietnam General Confederation of Labor in the process of amending the Law on Trade Union;

b/ To boost the early ratification of Convention 87 of the International Labor Organization (ILO);

c/ To organize the research, survey and assessment of security issues upon implementation of commitments on labor and trade unions.

5. Policies on social security, environmental protection and sustainable development

a/ To synchronously develop and promulgate social policies, including policies on financial support, vocational training for career change, and provision of employment counseling services, etc., to assist workers who lose their jobs due to enterprises’ failure to stand the competition;

b/ To evaluate the impacts of the EVFTA on labor, employment, society, etc., and propose solutions to effectively implement the EVFTA;

c/ To further promote the full implementation of Vietnam’s commitments under multilateral agreements on environment, and wildlife conservation and protection to which Vietnam has acceded; promote the implementation of the Voluntary Partnership Agreement on Forest Law Enforcement, Governance and Trade (FLEGT-VPA); and attach importance to inspection and examination, and strictly handle violations of the law on environmental protection and biodiversity;

d/ To further push up the implementation of measures to combat illegal, unreported and unregulated (IUU) fishing and trade in illegally exploited wildlife.

III. ORGANIZATION OF IMPLEMENTATION

1. Based on the major tasks specified in this Plan and the assigned functions and tasks, ministers, heads of ministerial-level agencies, heads of government-attached agencies and chairpersons of provincial-level People’s Committees shall direct the formulation of their own implementation plans for promulgation at the time the Agreement takes effect.

2. Ministers, heads of ministerial-level agencies, heads of government-attached agencies and chairpersons of provincial-level People’s Committees shall focus on directing, enhancing inspection and urging the implementation of the plans of their ministries, sectors and localities, and send reports thereon to the Ministry of Industry and Trade before December 15 every year for the latter to summarize and report the implementation situation and propose necessary measures to the Prime Minister so as to ensure effective and synchronous implementation.

3. The Ministry of Industry and Trade shall assume the prime responsibility for, and coordinate with the Government Office in, monitoring and urging ministries, sectors, localities and enterprises’ representative organizations to implement this Plan.

4. Funds for implementation of this Plan shall come from the state budget, donations and other lawful financial sources of ministries and sectors in accordance with the law on the state budget. Funds for implementation of plans of ministries, sectors and localities shall be included in their annual budget plans from the state budget, donations and other lawfully mobilized sources. Related ministries and agencies shall make budget estimates and the Ministry of Finance shall summarize and submit to the Prime Minister for approval and allocation of budgets for the annual implementation of this Plan.

5. In the course of implementation of this Plan, if deeming it necessary to amend and supplement its specific contents, ministries, sectors and localities shall proactively report them to the Prime Minister and concurrently send copies thereof to the Ministry of Industry and Trade for general summarization and submission to the Prime Minister for consideration and decision.-