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 Tariff to implement the Regional Comprehensive Economic Partnership Agreement in the 2022-2027 period

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

Pursuant to the Law on Import Duty and Export Duty dated April 06, 2016;

Pursuant to the Law on Customs dated June 23, 2014;

Pursuant to the Law on Treaties dated April 9, 2016;

For the implementation of the Regional Comprehensive Economic Partnership Agreement which came into force on January 01, 2022;

At the proposal of the Minister of Finance;

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

Article 1. Scope of regulation

This Decree specifies special preferential import duty rates and conditions for imported goods to be eligible for special preferential import duty rates under the Regional Comprehensive Economic Partnership Agreement (RCEP) in the 2022-2027 period.

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. Vietnam's Special Preferential Import Tariffs for the implementation of the Regional Comprehensive Economic Partnership Agreement in the 2022-2027 period (the special preferential import duty rates shall be hereinafter referred to as the RCEP duty rates) shall be issued together with this Decree, including:

Appendix A: Special Preferential Import Tariff for ASEAN countries as specified in Clause 2 Article 4 and Article 5 of this Decree;

Appendix B:  Special Preferential Import Tariff for Australia;

Appendix C:  Special Preferential Import Tariff for China;

Appendix D:  Special Preferential Import Tariff for Japan;

Appendix E:  Special Preferential Import Tariff for Korea;

Appendix F:  Special Preferential Import Tariff for New Zealand.

2. The columns “Heading” and “Description” in the Appendices to this Decree are formulated based on the List of Vietnam’s Imports and Exports and classified by the 8- or 10-digit code.

In case the List of Vietnam’s Imports and Exports is amended and supplemented, customs declarants shall declare descriptions and heading based on the amended list and apply duty rates applicable to the amended headings as specified in the Special Preferential Import Tariffs to this Decree.

3. The column “RCEP duty rate (%)”: The duty rates apply to periods, including:

a) 2022: from January 01, 2022 to December 31, 2022 for countries: Brunei Darussalam, Kingdom of Cambodia, Lao People’s Democratic Republic, Republic of Singapore, Kingdom of Thailand, Australia, China, Japan, New Zealand, and the non-tariff zone of Vietnam; from February 01, 2022 to December 31, 2022 for South Korea; from March 18, 2022 to December 31, 2022 for Malaysia;

b) 2023: from January 01, 2023 to December 31, 2023 for countries: Brunei Darussalam, Kingdom of Cambodia, Lao People’s Democratic Republic, Malaysia, Republic of Singapore, Kingdom of Thailand, Australia, China, Japan, South Korea, New Zealand, and the non-tariff zone of Vietnam; from January 02, 2023 to December 31, 2023 for Republic of Indonesia;

c) 2024: from January 01, 2024 to December 31, 2024;

d) 2025: from January 01, 2025 to December 31, 2025;

dd) 2026: from January 01, 2026 to December 31, 2026;

e) 2027: from January 01, 2027 to December 31, 2027.

4. Symbol “*”: imports ineligible for RCEP duty rates at a given 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, in-quota special preferential import duty rates are the duty rates specified in the Special Preferential Import Tariffs to this Decree; the list and volume of annual import tariff quotas must comply with regulations of the Ministry of Industry and Trade and out-of-quota import duty rates must comply with the Export Tariff, the Preferential Import Tariff and the List of commodity items and their specific duty rates, compound duty rates and out-of-quota import duty rates of the Government at the time of import.

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

Imported goods will be eligible for RCEP duty rates if fully meeting the following conditions:

1. Being included in the Special Preferential Import Tariffs to this Decree;

2. Being imported into Vietnam from the member countries to the RCEP Agreement, including:

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 (South Korea);

l) Japan;

m) New Zealand.

3. Meeting requirements on origin (including direct shipping regulations) and being accompanied by documents certifying their origin according to the RCEP Agreement and current law.

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

Goods imported from non-tariff zones to the domestic market shall be eligible for special preferential import duty rates under the RCEP Agreement if fully meeting the conditions specified in Clauses 1 and 3 Article 4 of this Decree.

Article 6. Special preferential import duty rates

1. For goods imported from a member country of the RCEP Agreement (including goods from Vietnam's non-tariff zone), if the conditions specified in this Decree are satisfied and there is no RCEP duty rate difference between the Tariff Appendices issued together with this Decree, the RCEP duty rates in the Tariff Appendices for that member country shall apply.

2. For goods imported from a member country of the RCEP Agreement (including goods from Vietnam's non-tariff zone), if the conditions specified in this Decree are satisfied and there is RCEP duty rate difference between the Tariff Appendices issued together with this Decree, the RCEP duty rates shall apply as follows:

a) The duty rate in the Tariff Appendix for member country that is determined to be the country of origin in accordance with current law;

b) In case Point a of this Clause does not apply, the importer shall declare at one of the RCEP duty rates below:

- The highest duty rate in the Tariff Appendices applied to the same goods originating from the member countries of the RCEP Agreement (including Vietnam's non-tariff zone) that contribute originating materials used in the production of the imported goods if the importer can prove the declared information;

- The highest duty rate in the Tariff Appendices applied to the same goods originating from the member countries of the RCEP Agreement (including the non-tariff zone of Vietnam).

Article 7. Effect

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

2. For goods imported from countries: Brunei Darussalam, Kingdom of Cambodia, Lao People’s Democratic Republic, Republic of Singapore, Kingdom of Thailand, Australia, China, Japan, New Zealand, Vietnam's non-tariff zone and with registration of import customs declaration from January 01, 2022; for goods imported from South Korea and with registration of import customs declaration from February 01, 2022; for goods imported from Malaysia and with registration of import customs declaration from March 18, 2022 to before the effective date of this Decree, if the commodity items stated in such declarations fully satisfy the conditions to be eligible for the RCEP duty rates specified in this Decree and duties on such higher rates for goods have been paid, customs offices shall handle the overpaid duty amounts in accordance with the law on tax administration.

3. For goods imported from Indonesia and with registration of import customs declaration from January 02, 2023, if the goods items stated in such declarations fully satisfy the conditions, the RCEP duty rates specified in this Decree shall apply.

Article 8. Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of People’s Committees of provinces and centrally-run cities, and related organizations and individuals shall be responsible for the implementation of this Decree.

On behalf of the Government

For the Prime Minister

The Deputy Minister

Le Minh Khai

* All Appendices are not translated herein.