Decree 129/2022/ND-CP Vietnam’s Special Preferential Import Tariff to implement the RCEP Agreement in 2022-2027

DECREE

On Vietnam’s Special Preferential Import Tariffs to implement the Regional Comprehensive Economic 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 Regional Comprehensive Economic Partnership, which took effect on January 1, 2022;

At the proposal of the Minister of Finance;

The Government promulgates the Decree on Vietnam’s Special Preferential Import Tariffs to implement the Regional Comprehensive Economic Partnership for the 2022-2027 period. 

Article 1. Scope of regulation

This Decree provides for Vietnam’s special preferential import duty rates to implement the Regional Comprehensive Economic Partnership (RCEP) 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 Tariffs

1. To promulgate together with this Decree Vietnam’s Special Preferential Import Tariffs to implement the RCEP for the 2022-2027 period (applicable special preferential import duty rates are below referred to as RCEP duty rates), including:

Appendix A: Special Preferential Import Tariff applicable to the ASEAN member states specified in Clause 2, Article 4, and Article 5, of this Decree;

Appendix B: Special Preferential Import Tariff applicable to Australia;

Appendix C: Special Preferential Import Tariff applicable to China;

Appendix D: Special Preferential Import Tariff applicable to Japan;

Appendix E: Special Preferential Import Tariff applicable to the Republic of Korea;

Appendix F: Special Preferential Import Tariff applicable to New Zealand.

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

3. Column “RCEP duty rate (%)”: duty rates applicable in different periods, specifically as follows:

a/ Column “2022”: duty rates applicable from January 1, 2022, through December 31, 2022, to Brunei Darussalam, the Kingdom of Cambodia, the Lao People’s Democratic Republic, the Republic of Singapore, the Kingdom of Thailand, Australia, China, Japan, New Zealand, and Vietnam’s non-tariff zones; or duty rates applicable from February 1, 2022, through December 31, 2022, to the Republic of Korea; or duty rates applicable from March 18, 2022, through December 31, 2022, to Malaysia;

b/ Column “2023”: duty rates applicable from January 1, 2023, through December 31, 2023, to Brunei Darussalam, the Kingdom of Cambodia, the Lao People’s Democratic Republic, Malaysia, the Republic of Singapore, the Kingdom of Thailand, Australia, China, Japan, the Republic of Korea, New Zealand, and Vietnam’s non-tariff zones; or duty rates applicable from January 2, 2023, through December 31, 2023, to the Republic of Indonesia;

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.

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

5. For imported goods subject to tariff 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 Tariffs promulgated together with this Decree; the list and annual import tariff 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 RCEP duty rates, imported imports must fully satisfy the following conditions:

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

2. Being imported from the member states of the RCEP, namely:

a/ Brunei Darussalam;

b/ The Kingdom of Cambodia;

c/ The Republic of Indonesia;

d/ The Lao People’s Democratic Republic;

dd/ Malaysia;

e/ The Republic of Singapore;

g/ The Kingdom of Thailand;

h/ Australia;

i/ The People’s Republic of China (China);

k/ The Republic of Korea;

l/ Japan;

m/ New Zealand.

3. Complying with the regulations on rules of origin (including also regulations on direct shipping), and being accompanied by a proof of origin in accordance with the RCEP and 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 special preferential import duty rates under the RCEP if fully satisfying the conditions specified in Clauses 1 and 3, Article 4 of this Decree.

Articles 6. Special preferential import duty rates

1. Goods imported from a member state of the RCEP (including also goods from Vietnam’s non-tariff zones) will be eligible for the RCEP duty rates provided in the Appendix on the Special Preferential Import Tariff applicable to such member state if satisfying the conditions specified in this Decree and not being subject to different RCEP duty rates among the Appendices on the Special Preferential Import Tariffs promulgated together with this Decree.

2. For goods imported from a member state of the RCEP (including also goods from Vietnam’s non-tariff zones), if  satisfying the conditions specified in this Decree and being subject to different RCEP duty rates among the Appendices on the Special Preferential Import Tariffs promulgated together with this Decree, the application of RCEP duty rates is as follows:

a/ To apply the duty rates provided in the Appendix on the Special Preferential Import Tariff applicable to a member state that is identified as the country of origin under current regulations;

b/ If not applying Point a of this Clause, importers may make declarations at one of the following RCEP duty rates:

- The highest duty rates provided in the Appendices on the Special Preferential Import Tariffs applicable to the same goods originating from the member states of the RCEP (including Vietnam’s non-tariff zones) that have originating materials used for production of the imported goods, provided that importers can prove the declared information;

- The highest duty rates provided in the Appendices on the Special Preferential Import Tariffs applicable to the same goods originating from the member states of the RCEP (including Vietnam’s non-tariff zones).

Article 7. Effect

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

2. For goods which are imported from Brunei Darussalam, the Kingdom of Cambodia, the Lao People’s Democratic Republic, the Republic of Singapore, the Kingdom of Thailand, Australia, China, Japan, New Zealand, or Vietnam’s non-tariff zones, and for which customs declarations are registered in the period from January 1, 2022, goods which are imported from the Republic of Korea and for which customs declarations are registered in the period from February 1, 2022, and goods which are imported from Malaysia and for which customs declarations are registered in the period from March 18, 2022, to the date before this Decree takes effect, if such goods fully satisfy the conditions to be eligible for the RCEP duty rates under this Decree and duties on such goods have been paid at higher rates, customs offices shall handle the overpaid duty amounts in accordance with the law on tax administration.

3. Goods which are imported from the Republic of Indonesia and for which customs declarations are registered on or after January 2, 2023, will be eligible for the RCEP duty rates under this Decree if fully satisfying the law-specified conditions.

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.