Decree 115/2022/ND-CP Preferential Export Tariff, Special Preferential Import Tariff to implement the CPTPP

DECREE

On Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership for the 2022-2027 period^[1]

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 6, 2016 Law on Import Duty and Export Duty;

Pursuant to the June 23, 2014 Customs Law;

Pursuant to the April 9, 2016 Law on Treaties;

In implementation of the National Assembly’s Resolution No. 72/2018/QH14 of November 12, 2018, ratifying the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and relevant documents;

In implementation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, which took effect on January 14, 2019;

At the proposal of the Minister of Finance;

The Government promulgates the Decree on Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership for the 2022-2027 period.

Article 1. Scope of regulation

This Decree promulgates Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) for the 2022-2027 period and conditions for application of preferential export duty rates and special preferential import duty rates under this Agreement.

Article 2. Subjects of application

1. Duty payers as defined in the Law on Import Duty and Export Duty.

2. Customs offices and customs officers.

3. Organizations and individuals that have rights and obligations relating to imported and exported goods.

Article 3. Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the CPTPP for the 2022-2027 period

1. To promulgate together with this Decree:

a/ Appendix I - Vietnam’s Preferential Export Tariff to implement the CPTPP.

b/ Appendix II - Vietnam’s Special Preferential Import Tariff to implement the CPTPP; List of goods and their special preferential import duty rates, for used cars subject to application of Vietnam’s tariff-rate quotas to implement the CPTPP.

2. The column “Heading” and the column “Description” in the Appendices to this Decree are developed based on Vietnam’s List of imported and exported goods and classified by 8-digit or 10-digit codes.

In case Vietnam’s List of imported and exported goods is modified/supplemented, customs declarants shall declare descriptions and headings of goods based on the modified/supplemented List of imported and exported goods and apply the duty rates for the modified/supplemented headings provided in the Appendices to this Decree.

3. Column “Duty rate (%)” in Appendix I and Appendix II and column “Specific duty rate (USD/item)” in Appendix II: duty rates applicable to countries eligible for preferential duty rates in different periods as specified in Clauses 3 and 4, Article 4 and Clauses 5 and 6, Article 5 of this Decree.

4. Column “Note” in Appendix II comprises the following symbols:

a/ Symbol “TRQ1”: goods items subject to application of tariff-rate quotas based on the annual tariff-rate quota volumes as prescribed by the Ministry of Industry and Trade.

b/ Symbol “TRQ2”: goods items subject to application of tariff-rate quotas based on the tariff-rate quota volumes to implement the CPTPP as prescribed by the Ministry of Industry and Trade.

c/ Symbol “*”: imported goods not eligible for special preferential import duty rates under the CPTPP.

Article 4. Vietnam’s Preferential Export Tariff to implement the CPTPP

1. Vietnam’s Preferential Export Tariff to implement the CPTPP provided in Appendix I to this Decree contains headings, descriptions and preferential export duty rates applicable in different periods to each heading when being exported to each of the countries specified at Point a, Clause 5 of this Article.

2. Goods items not included in the Preferential Export Tariff provided in Appendix I to this Decree are eligible for the duty rate of 0% when being exported to the countries specified at Point a, Clause 5 of this Article.

3. The duty rates for the United Mexican States for the 2022-2027 period as provided in Appendix I shall apply:

a/ From December 30, 2022, through December 31, 2022, with the duty rates provided in the column with symbol “(I)”.

b/ From January 1, 2023, through December 31, 2023, with the duty rates provided in the column with symbol “(II)”.

c/ From January 1, 2024, through December 31, 2024, with the duty rates provided in the column with symbol “(III)”.

d/ From January 1, 2025, through December 31, 2025, with the duty rates provided in the column with symbol “(IV)”.

dd/ From January 1, 2026, through December 31, 2026, with the duty rates provided in the column with symbol “(V)”.

e/ From January 1, 2027, through December 31, 2027, with the duty rates provided in the column with symbol “(VI)”.

4. The duty rates for Australia, Canada, Japan, New Zealand, the Republic of Singapore and the Republic of Peru for the 2022-2027 period as provided in Appendix I shall apply:

a/ From December 30, 2022, through December 31, 2022, with the duty rates provided in the column with symbol “(II)”.

b/ From January 1, 2023, through December 31, 2023, with the duty rates provided in the column with symbol “(III)”.

c/ From January 1, 2024, through December 31, 2024, with the duty rates provided in the column with symbol “(IV)”.

d/ From January 1, 2025, through December 31, 2025, with the duty rates provided in the column with symbol “(V)”.

dd/ From January 1, 2026, through December 31, 2026, with the duty rates provided in the column with symbol “(VI)”.

e/ From January 1, 2027, through December 31, 2027, with the duty rates provided in the column with symbol “(VII)”.

5. Conditions for application of preferential export duty rates under the CPTPP

To be eligible for application of preferential export duty rates under Clauses 1 and 2 of this Article, goods exported from Vietnam must fully satisfy the following conditions:

a/ Being imported into the countries under the CPTPP, including: Australia, Canada, Japan, United Mexican States, New Zealand, the Republic of Singapore, and the Republic of Peru.

b/ Being accompanied by transport documents (copies) showing the destinations in the countries specified at Point a, Clause 5 of this Article under current regulations.

c/ Being accompanied by import customs declarations or substitutes for customs declarations (copies), for the goods lots exported from Vietnam and imported into the countries specified at Point a, Clause 5 of this Article under current regulations.

d/ In case the documents specified at Points b and c, Clause 5 of Article are made in a language other than Vietnamese or English, the customs declarants shall have such documents translated into Vietnamese or English and take responsibility for the translations.

6. Procedures for application of preferential import duty rates to implement the CPTPP

a/ At the time of carrying out customs procedures, a customs declarant shall fill in an export declaration, choose the applicable export duty rate, and calculate and pay duty according to the Export Tariff based on the List of dutiable goods items provided in the Decree on the Export Tariff, the Preferential Import Tariff, and the List of goods and their specific duty rates, compound duty rates and out-of-quota import duty rates, and amending and supplementing documents.

b/ Within 1 year from the date of registration of the export declaration, the customs declarant shall submit all documents proving the goods’ satisfaction of the conditions specified at Points b and c, Clause 5 of this Article and make an additional declaration in order to enjoy the preferential export duty rate under the CPTPP. After the abovementioned 1-year time limit, the exported goods will be no longer eligible for the preferential export duty rate under the CPTPP. 

c/ The customs office shall check the dossier and the preferential export duty rate based on the Preferential Export Tariff provided in Appendix I to this Decree; if finding that the exported goods fully satisfy the conditions specified in Clause 5 of this Article, the customs office shall apply the preferential export duty rate under the CPTPP and refund the overpaid duty amount to the customs declarant in accordance with the law on tax administration.

Article 5. Vietnam’s Special Preferential Import Tariff to implement the CPTPP; List of goods and their special preferential import duty rates, for used cars subject to application of Vietnam’s tariff-rate quotas to implement the CPTPP

1. Vietnam’s Special Preferential Import Tariff to implement the CPTPP provided in Appendix II to this Decree contains headings, descriptions, special preferential import duty rates applicable in different periods to each heading, and goods items subject to application of tariff-rate quotas in different periods which are imported from the countries specified at Point b, Clause 7 of this Article.

2. The List of goods and their special preferential import duty rates, for used cars subject to application of Vietnam’s tariff-rate quotas to implement the CPTPP as provided in Appendix II to this Decree contains headings, descriptions, special preferential import duty rates and specific duty rates applicable in different periods to each heading which are imported from the countries specified at Point b, Clause 7 of this Article.

3. Special preferential import duty rates for used cars of headings 87.02, 87.03 and 87.04, which are subject to application of tariff-rate quotas, are specified as follows:

a/ For a used car imported within the volume of tariff-rate quotas to implement the CPTPP, the special preferential import duty rate is the compound duty rate, including the duty rate (%) and the specific duty rate for used cars mentioned in the List of goods and their special preferential import duty rates provided in Appendix II to this Decree at the time of registration of the customs declaration.

The duty amount upon the application of the method of compound duty calculation for a used car = X + Y.

In which:

X = The law-prescribed dutiable price of the used car multiplied by (x) the duty rate of tax line applicable to used cars of the same type at the time of registration of the customs declaration.

Y = The relevant specific duty rate applicable to the used car at the time of registration of the customs declaration.

b/ For used cars imported out of quota volumes to implement the CPTPP, the import duty rates are those specified in the Decree on the Export Tariff, the Preferential Import Tariff and the List of goods and their specific duty rates, compound duty rates and out-of-quota duty rates, and amending and supplementing documents.

4. Special preferential import duty rates for goods items of headings 04.07, 17.01, 24.01, and 25.01, which are subject to application of tariff-rate quotas, are specified as follows:

a/ For a goods item, marked TRQ1 or TRQ2, which is imported within the tariff-rate quota volume, the special preferential import duty rate is the duty rate provided in Appendix II to this Decree.

b/ For a goods item, marked TRQ1 or TRQ2, which is imported out of the tariff-rate quota volume, the import duty rate is that provided in the Government’s Export Tariff, Preferential Import Tariff and List of goods items and their specific duty rates, compound duty rates and out-of-quota duty rates at the time of importation.

5. The duty rates for the United Mexican States for the 2022-2027 period as provided in Appendix II shall apply:

a/ From December 30, 2022, through December 31, 2022, with the duty rates provided in the column with symbol “(I)”.

b/ From January 1, 2023, through December 31, 2023, with the duty rates provided in the column with symbol “(II)”.

c/ From January 1, 2024, through December 31, 2024, with the duty rates provided in the column with symbol “(III)”.

d/ From January 1, 2025, through December 31, 2025, with the duty rates provided in the column with symbol “(IV)”.

dd/ From January 1, 2026, through December 31, 2026, with the duty rates provided in the column with symbol “(V)”.

e/ From January 1, 2027, through December 31, 2027, with the duty rates provided in the column with symbol “(VI)”.

6. The duty rates for Australia, Canada, Japan, New Zealand, the Republic of Singapore and the Republic of Peru for the 2022-2027 period as provided in Appendix II shall apply:

a/ From December 30, 2022, through December 31, 2022, with the duty rates provided in the column with symbol “(II)”.

b/ From January 1, 2023, through December 31, 2023, with the duty rates provided in the column with symbol “(III)”.

c/ From January 1, 2024, through December 31, 2024, with the duty rates provided in the column with symbol “(IV)”.

d/ From January 1, 2025, through December 31, 2025, with the duty rates provided in the column with symbol “(V)”.

dd/ From January 1, 2026, through December 31, 2026, with the duty rates provided in the column with symbol “(VI)”.

e/ From January 1, 2027, through December 31, 2027, with the duty rates provided in the column with symbol “(VII)”.

7. Conditions for application of special preferential import duty rates under the CPTPP

To be eligible for special preferential import duty rates under the CPTPP, imported goods must fully satisfy the following conditions:

a/ Being included in Vietnam’s Special Preferential Import Tariff or List of goods and their special preferential import duty rates, for used cars subject to application of Vietnam’s tariff-rate quotas to implement the CPTPP as provided in Appendix II to this Decree.

b/ Being imported to Vietnam from the member states of the CPTPP, including: Australia, Canada, Japan, United Mexican States, New Zealand, the Republic of Singapore, and the Republic of Peru.

c/ Complying with the regulations on rules of origin and being accompanied by a proof of origin in accordance with the CPTPP.

8. The volumes of tariff-rate quotas, marked TRQ1 and TRQ2, for imported goods eligible for preferential tariff under the CPTPP shall be announced by the Ministry of Industry and Trade.

Article 6. Goods from Vietnam’s non-tariff zones

Goods imported from Vietnam’s non-tariff zones into the domestic market will be eligible for the duty rates provided in Appendix II if fully satisfying the conditions specified at Points a and c, Clause 7, Article 5 of this Decree, specifically as follows:

1. From December 30, 2022, through December 31, 2022, to apply the duty rates provided in the column with symbol “(II)”.

2. From January 1, 2023, through December 31, 2023, to apply the duty rates provided in the column with symbol “(III)”.

3. From January 1, 2024, through December 31, 2024, to apply the duty rates provided in the column with symbol “(IV)”.

4. From January 1, 2025, through December 31, 2025, to apply the duty rates provided in the column with symbol “(V)”.

5. From January 1, 2026, through December 31, 2026, to apply the duty rates provided in the column with symbol “(VI)”.

6. From January 1, 2027, through December 31, 2027, to apply the duty rates provided in the column with symbol “(VII)”.

Article 7. Effect

1. This Decree takes effect on the date of its signing.

2. The Government’s Decree No. 57/2019/ND-CP of June 26, 2019, promulgating the Preferential Export Tariff and Special Preferential Import Tariff to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership for the 2019-2022 period, and the Government’s Decree No. 21/2022/ND-CP of March 10, 2022, amending and supplementing a number of articles of the Government’s Decree No. 57/2019/ND-CP of June 26, 2019, on the Preferential Export Tariff and Special Preferential Import Tariff to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership for the 2019-2022 period, cease to be effective on the date this Decree takes effect.

Article 8. Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees, and related organizations and individuals shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
LE MINH KHAI

* The Appendices and the List of goods to this Decree are not translated.