Resolution No. 72/2018/QH14 dated November 12, 2018 of the National Assembly on Ratifying the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and other related documents

THE NATIONALASSEMBLY

THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

No. 72/2018/QH14

No.

Contents of the CPTPP Agreement which are directly applied

Time of implementation

1

The Tariff Schedule provided in the Annex to Chapter 2 of the CPTPP Agreement

When the Agreement comes into force

2

Article 1.3, Section B, Chapter 1.

“State enterprise means an enterprise that is owned, or controlled through ownership interests, by a Party” for performance of the obligations prescribed in the CPTPP Agreement’s Chapter 17 on state enterprises.

When the Agreement comes into force

3

Article 1.3, Section B, Chapter 1.

“Remanufactured good” means a good classified in HS¹Chapters 84 through 90 or under heading 94.02 except goods classified under HS headings 84.18, 85.09, 85.10, and 85.16, 87.03 or subheadings 8414.51, 8450.11, 8450.12, 8508.11, and 8517.11, that is entirely or partially composed of recovered materials and: (a) has a similar life expectancy and performs the same as or similar to such a good when new; and (b) has a factory warranty similar to that applicable to such a good when new.

When the Agreement comes into force

4

Article 2.21, Chapter 2 on Agricultural Export Subsidies.

Refraining from promulgating or maintaining export subsidies for agricultural goods other than measures prescribed in Article 10 of the WTO’s Agreement on Agriculture.

When the Agreement comes into force

5

Article 2.26, Chapter 2 on Agricultural Safeguards.

Originating agricultural goods from any Party shall not be subject to any duties applied by a Party pursuant to a special safeguard taken under the WTO’s Agreement on Agriculture.

When the Agreement comes into force

6

Article 3.10, Chapter 3 on Accumulation.

Allowing full accumulation, which means accumulation of the added value of production taken on a non-originating material to the originating value of the goods.

When the Agreement comes into force

7

Point a, Clause 1 of Article 3.23, Chapter 3 on Waiver of Certificates of Origin.

Certificates of origin are not required if the customs value of the importation does not exceed USD 1,000 or the equivalent amount in the importing Party’s currency or any higher amount as the importing Party may establish.

When the Agreement comes into force

8

Clause 12 of Article 7.13, Chapter 7 on Transparency.

The requirement of the SPS²measure takes effect after 6 months from the date of publication, unless the measure is intended to address urgent problems or of a trade-facilitating nature.

When the Agreement comes into force

9

Article 7.14, Chapter 7 on Emergency Measures.

If a Party adopts an emergency measure, it shall review the scientific basis of that measure within six months and make available the results of the review to any Party on request.

When the Agreement comes into force

10

Article 7.16, Chapter 7 on Information Exchange.

Parties shall coordinate with one another in exchange of SPS-related information.

When the Agreement comes into force

11

Part B, Chapter 9 on investor-State Dispute Settlement.

Order and procedures for submission of a claim to arbitration and dispute settlement between the State of a Party and the investor of another Party.

When the Agreement comes into force

12

Clauses 2 thru 9, Article 7.8, Chapter 7 on Equivalence.

“2. On request of the exporting Party, the importing Party shall explain the objective and rationale of its sanitary or phytosanitary measure and clearly identify the risk the sanitary or phytosanitary measure is intended to address.

3. When an importing Party receives a request for an equivalence assessment and determines that the information provided by the exporting Party is sufficient, it shall initiate the equivalence assessment within a reasonable period of time.

4. When an importing Party commences an equivalence assessment, that Party shall promptly, on request of the exporting Party, explain its equivalence assessment process and plan for making the equivalence determination and, if the determination results in recognition, for enabling trade.

When the Agreement comes into force

5. In determining the equivalence of a sanitary or phytosanitary measure, an importing Party shall take into account available knowledge, information and relevant experience, as well as the regulatory competence of the exporting Party.

6. The importing Party shall recognize the equivalence of a sanitary or phytosanitary measure if the exporting Party objectively demonstrates to the importing Party that the exporting Party’s measure:

a/ achieves the same level of protection as the importing Party’s measure; or;

b/ has the same effect in achieving the objective as the importing Party’s measure³.

7. When an importing Party adopts a measure that recognizes the equivalence of an exporting Party’s specific sanitary or phytosanitary measure, group of measures or measures on a systems-wide basis, the importing Party shall communicate the measure it has adopted to the exporting Party in writing and implement the measure within a reasonable period of time.

8. The Parties involved in an equivalence determination that results in recognition are encouraged, if mutually agreed, to report the outcome to the Committee.

9. If an equivalence determination does not result in recognition by the importing Party, the importing Party shall provide the exporting Party with the rationale for its decision.”

13

Article 1.1 of Chapter 11 on Financial Services.

“Financial institution of another Party” means a financial institution, including a branch, located in the territory of a participating Party that is controlled by persons of another concluding Party.

“New financial service” means a financial service which is not provided in the territory of a participating Party but provided within the territory of another Party, including every form of implementation of financial services or the sale of a financial product that is not permitted for trading in such Party’s territory.

When the Agreement comes into force

14

Service sub-sectors in the Schedules of NCM⁴I, II and III attached to the CPTPP Agreement.

When the Agreement comes into force

15

Article 7.15, Chapter 7 on Cooperation

Parties shall explore opportunities for further cooperation on sanitary and phytosanitary matters of mutual interests such as trade facilitation initiatives and technical assistance; and eliminate unnecessary trade obstacles between the Parties.

When the Agreement comes into force

No.

Name of legal documents

Contents to be revised according to the Agreement

Effective time of relevant commitments under the Agreement

1

The 2012 Labor Code

Group 1:Trade unions - organizations of workers

To revise Chapter XIII of the 2012 Labor Code, on trade union toward allowing the establishment of workers’ representative organizations that do not belong to the system of the Vietnam General Confederation of Labor.

- To prescribe workers’ rights to establish and join representative organizations which do not belong to the system of the Vietnam General Confederation of Labor.

- To establish principles on conditions and order for establishment of, and competence to register operation and dissolution of workers’ representative organizations, laying the foundation for the National Assembly to assign the Government to detail and guide the implementation thereof.

As specified in the Agreement⁵

Group 2: Dialogues at workplace, collective bargaining, labor dispute-strike

To add to Chapters V, XIII and XIV of the 2012 Labor Code provisions relating to trade unions, workers’ representative organizations, right to engage in dialogues at workplace, collective labor agreement, settlement of collective labor dispute and strike, including regulations on settlement of new labor disputes against the backdrop of existence of multiple representative organizations such as the dispute among representative organizations regarding the right to collective bargaining, etc.

To review and consider amending the 2012 Law on Trade Unions after the Labor Code is revised in order to ensure the uniformity and consistency of the legal system.

2

The 2005 Law on Intellectual Property (as revised in 2009)

To revise Article 148 to remove the conditions on registration of contracts for legal validity to a third party; and add regulations recognizing the use of a brand by the licensee as lawful and as valid as the owner, regarding procedures for establishment, maintenance and enforcement of such brand.

When the Agreement comes into force

To revise Article 130 to ensure the procedures for settlement of disputes over domain names are conformable to or based on the principles prescribed in the Uniform Domain-Name Dispute-Resolution Policy adopted by the Internet Corporation for Assigned Names and Numbers (ICANN); and to impose appropriate sanctions to handle cases in which a person registers or possesses a domain name identical or confusingly similar to a brand for the purpose of profiteering.

To amend Article 80.3 by applying criterion “potentially confusing”, or keeping Article 80.3 in touch and adding a regulation to clarify the right to such geographical indications within the framework of exceptions to the rights of brand owners.

To amend Clause 3 of Article 60 toward expansion of exceptions on novelty.

To add regulations on (i) “exhaustion” of copyright and relevant rights, including permission for “parallel import”; (ii) permission of electronic filing and maintenance of electronic database on brands; (iii) protection of translation and transcription of geographical indications and criterion on consumers’ awareness when assessing whether a geographical indication is the common name of the relevant goods; common names in multi-component terminology of geographical indications, and recognition and protection of geographical indications under treaties; (iv) method for damage calculation, including also the competence to consider the method for damage calculation given by the right holder on the basis of the market price or recommended retail price, the losing party’s obligation to pay the winning party’s a reasonable lawyer cost in intellectual property disputes; (v) compensation for actual damage (including also reasonable lawyer cost) caused by abuse of rights; (vi) customs offices’ obligation to provide information to the right holders within 30 days; and (vii) reasonable cost for destruction of goods identified as infringing upon intellectual property rights.

To amend Article 72.1 which prescribes that a brand must be a visible and/or audible sign.

Two years after the Agreement comes into force

To supplement Article 128 to permit exclusive protection of experimental data used in registration for sale of agro-chemical products.

Five years after the Agreement comes into force, and contracting parties will not complain about Vietnam’s implementation of this obligation in the subsequent 5 years.

To add regulations on: (i) assurance of information and time for exclusive patent holders to exercise their rights before the products are marketed; (ii) competence to automatically carry out border procedures for exported goods, goods gathered for export or imported goods suspected as brand-counterfeit or copyright-pirated goods when they are under customs control.

Three years after the Agreement comes into force

3

The 2015 Penal Code (as revised in 2017)

To add regulations on handling of (i) export of brand-counterfeit goods within the scope of distribution acts; (ii) import and export of copyright- and related rights-pirated goods within the scope of distribution acts; (iii) violations involving counterfeit labels and packages; infringement upon trade secrets; (iv) infringement upon trade secrets; and (v) penal liability of legal persons.

Three years after the Agreement comes into force

4

The 2015 Criminal Procedure Code (as revised in 2017)

To amend Clause 1 of Article 155, annulling the reference to Article 226 of the 2015 Penal Code that allows competent agencies to initiate criminal cases against infringement of industrial property rights without request of victims

Three years after the Agreement comes into force

5

The 2000 Law on Insurance Business (as revised in 2010)

To add regulations on insurance auxiliary services such as counseling and risk assessment services, support services and appraisal services.

When the Agreement comes into force

6

The 2010 Law on Food Safety

To add regulations requiring SPS-related measures promulgated in cases of emergency to have their scientific grounds reviewed within 6 months.

When the Agreement comes into force

7

The Anti-Corruption Law (to be adopted by the XIV^thNational Assembly at its 6^thsession)

To expand the scope of subjects of corrupt acts to the private sector; and add regulations on prevention, detection and handling of corrupt acts in the private sector.

When the Agreement comes into force