Decree 117/2022/ND-CP Preferential Export Tariff, Special Preferential Import Tariff between Vietnam and UK

DECREE

On Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland 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 Government’s Resolution No. 31/NQ-CP of March 12, 2021, approving the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland;

In implementation of the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland;

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 Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland 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 Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland (below referred to as the UKVFTA) for the 2022-2027 period, and conditions for application of preferential export duty rates and special preferential import duty rates under the UKVFTA.

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 for the 2022-2027 period

1. Vietnam’s Preferential Export Tariff to implement the UKVFTA for the 2022-2027 period provided in Appendix I to this Decree includes headings, descriptions, and preferential export duty rates applicable in different periods to each heading of goods exported to the United Kingdom of Great Britain and Northern Ireland.

2. Vietnam’s Special Preferential Import Tariff to implement the UKVFTA for the 2022-2027 period provided in Appendix II to this Decree includes headings, descriptions and special preferential import duty rates applicable in different periods to each heading of goods imported into Vietnam from the territories specified at Point b, Clause 3, Article 5 of this Decree.

3. 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 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 promulgated together with this Decree.

The classification of goods must comply with Vietnam’s law.

4. Column “Duty rate (%)” in Appendices I and II: duty rates applicable in different periods, specifically as follows:

a/ Column “2022”: duty rates applicable from December 30, 2022, through December 31, 2022;

b/ Column “2023”: duty rates applicable from January 1, 2023, through December 31, 2023; 

c/ Column “2024”: duty rates applicable from January 1, 2024, through December 31, 2024; 

d/ Column “2025”: duty rates applicable from January 1, 2025, through December 31, 2025; 

dd/ Column “2026”: duty rates applicable from January 1, 2026, through December 31, 2026; 

e/ Column “2027”: duty rates applicable from January 1, 2027, through December 31, 2027. 

Article 4. Conditions and procedures for application of Vietnam’s preferential export duty rates

1. Commodity items not included in the Preferential Export Tariff provided in Appendix I to this Decree will be eligible for the duty rate of 0% when being exported to the United Kingdom of Great Britain and Northern Ireland.

2. Conditions for application of preferential export duty rates under the UKVFTA

Goods exported from Vietnam will be eligible for the preferential export duty rates provided in Appendix I to this Decree and Clause 1 of this Article if fully satisfying the following conditions:

a/ Being imported into the United Kingdom of Great Britain and Northern Ireland.

b/ Being accompanied by transport documents (copies) showing the destination which is the United Kingdom of Great Britain and Northern Ireland under current regulations.

c/ Being accompanied by import customs declarations or substitutes for customs declarations (copies), for the goods shipments exported from Vietnam and imported into the United Kingdom of Great Britain and Northern Ireland under current regulations.

d/ In case the documents specified at Points b and c, Clause 2 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.

3. Procedures for application of preferential export duty rates under the UKVFTA

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

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 2 this Article (1 copy of each document) and make an additional declaration in order to enjoy the preferential export duty rates under the UKVFTA. After the above-mentioned 1-year time limit, the exported goods will be no longer eligible for the preferential export duty rates under the UKVFTA. 

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 2 of this Article, the customs office shall apply the preferential export duty rates under the UKVFTA and refund the overpaid duty amount to the customs declarant in accordance with the law on tax administration.

Article 5. Conditions for application of Vietnam’s special preferential import duty rates

1. The symbol “*” denotes imported goods not eligible for special preferential import duty rates under the UKVFTA.

2. For imported goods subject to tariff-rate quotas, including a number of commodity items of headings 04.07, 17.01, 24.01 and 25.01, the within-quota special preferential import duty rates are the duty rates specified in Appendix II to this Decree; the list and annual import tariff-rate quotas must comply with the Ministry of Industry and Trade’s regulations, and the out-of-quota import duty rates are those specified in the Government’s Export Tariff, Preferential Import Tariff, and List of commodity items and their specific duty rates, compound duty rates and out-of-quota import duty rates at the time of importation.

3. Conditions for application of special preferential import duty rates under the UKVFTA

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

a/ Being included in the Special Preferential Import Tariff provided in Appendix II to this Decree;

b/ Being imported into Vietnam from the United Kingdom of Great Britain and Northern Ireland;

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

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 special preferential import duty rates under the UKVFTA if fully satisfying the conditions specified at Points a and c, Clause 3, Article 5 of this Decree.

Article 7. Effect

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

2. The Government’s Decree No. 53/2021/ND-CP of May 21, 2021, on Vietnam’s Preferential Export Tariff and Special Preferential Import Tariff to implement the Free Trade Agreement between the Socialist Republic of Vietnam and the United Kingdom of Great Britain and Northern Ireland for the 2021-2022 period, ceases 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 to this Decree are not translated.