Decree 118/2022/ND-CP Special Preferential Import Tariff to implement ACFTA during 2022-2027

DECREE

On Vietnam’s Special Preferential Import Tariff to implement the ASEAN-China Trade in Goods Agreement 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 ASEAN-China Trade in Goods Agreement, which took effect on October 19, 2005;

At the proposal of the Minister of Finance;

The Government promulgates the Decree on Vietnam’s Special Preferential Import Tariff to implement the ASEAN-China Trade in Goods Agreement for the 2022-2027 period.

Article 1. Scope of regulation

This Decree provides for Vietnam’s special preferential import duty rates to implement the ASEAN-China Trade in Goods Agreement for the 2022-2027 period, and conditions for application of 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. Special Preferential Import Tariff

1. To promulgate together with this Decree Vietnam’s Special Preferential Import Tariff to implement the ASEAN-China Trade in Goods Agreement for the 2022-2027 period (applicable special preferential import duty rates are below referred to as the ACFTA duty rates).

2. The column “Heading” and the column “Description” in the Special Preferential Import Tariff promulgated together with 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 Special Preferential Import Tariff promulgated together with this Decree.

3. Column “ACFTA duty rate (%)”: duty rates applicable from December 30, 2022, through December 31, 2027.

4. The symbol “*” denotes imported goods not eligible for ACFTA duty rates at a corresponding time.

5. Column “Country not eligible for preferential duty rates”: a country with the code (specified in Clause 2, Article 4 of this Decree) from which commodity items are imported are not eligible for the ACFTA duty rates specified in this Decree.

6. 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 the Special Preferential Import Tariff promulgated together with 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.

Article 4. Conditions for application of special preferential import duty rates

To be eligible for the ACFTA duty rates, imported goods must fully satisfy the following conditions:

1. Being included in the Special Preferential Import Tariff promulgated together with this Decree.

2. Being imported from the member states of the ASEAN-China Trade in Goods Agreement, namely:

a/ Brunei Darussalam, coded BN;

b/ The Kingdom of Cambodia, coded KH;

c/ The Republic of Indonesia, coded ID;

d/ The Lao People’s Democratic Republic, coded LA;

dd/ Malaysia, coded MY;

e/ The Republic of the Union of Myanmar, coded MM;

g/ The Republic of the Philippines, coded PH;

h/ The Republic of Singapore, coded SG;

i/ The Kingdom of Thailand, coded TH;

k/ The People’s Republic of China, coded CN.

3. Complying with the regulations on rules of origin (including also regulations on direct shipping), and being accompanied by a certificate of origin (C/O), Form E, or being accompanied by a proof of origin in accordance with the ASEAN-China Trade in Goods Agreement, and complying with current regulations.

Article 5. Goods from Vietnam’s non-tariff zones

Goods imported from Vietnam’s non-tariff zones into the domestic market will be eligible for the ACFTA duty rates if fully satisfying the conditions specified in Clauses 1 and 3, Article 4 of this Decree.

Article 6. Effect

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

2. The Government’s Decree No. 153/2017/ND-CP of December 27, 2017, promulgating Vietnam’s Special Preferential Import Tariff to implement the ASEAN-China Trade in Goods Agreement for the 2018-2022 period, ceases to be effective on the date this Decree takes effect.

Article 7. 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

* Vietnam’s Special Preferential Import Tariff to implement the ASEAN-China Trade in Goods Agreement for the 2022-2027 period promulgated together with this Decree is not translated.-