Decree 131/2024/ND-CP Special Preferential Import Tariff to implement Free Trade Agreement Vietnam-Israel 2024 - 2027

DECREE

On Vietnam’s Special Preferential Import Tariff to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the 2024-2027 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 Law on Customs;

Pursuant to the April 9, 2016 Law on Treaties;

Pursuant to the June 13, 2019 Law on Tax Administration;

In implementation of the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel, which took effect on October 15, 2024;

At the proposal of the Minister of Finance;

The Government promulgates the Decree on Vietnam’s Special Preferential Import Tariff to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the 2024-2027 period.

Article 1. Scope of regulation

This Decree provides Vietnam’s Special Preferential Import Tariff to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel (below referred to as the VIFTA) for the 2024-2027 period, and conditions for application of special preferential import duty rates under this Agreement.

Article 2. Subjects of application

1. Duty payers 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 Special Preferential Import Tariff to implement the VIFTA for the 2024-2027 period

1. Vietnam’s Special Preferential Import Tariff to implement the VIFTA for the 2024-2027 period (below referred to as the Special Preferential Import Tariff) includes headings, descriptions, and special preferential import duty rates applicable in different periods to each heading of goods imported from the territory of Israel into Vietnam.

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 Nomenclature of Imports and Exports and classified by 8-digit or 10-digit codes.

In case Vietnam’s Nomenclature of Imports and Exports is modified/supplemented, customs declarants shall declare descriptions and headings of goods based on the modified/supplemented Nomenclature of Imports and Exports and apply the duty rates of the modified/supplemented headings provided in the Special Preferential Import Tariff promulgated together with this Decree.

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

3. Column “VIFTA duty rate (%)” in the Special Preferential Import Tariff: duty rates applicable in different periods, specifically as follows:

a/ Column “2024”: duty rates applicable from October 15, 2024, through December 31, 2024;

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

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

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

4. The symbol “*” denotes imported goods not eligible for the special preferential import duty rates under the VIFTA. The management of import of, and import duty rates applicable to, such goods must comply with law.

5. The special preferential import duty rates for a number of commodity items of headings 04.07, 17.01, 24.01 and 25.01 may be applied within tariff quotas; the list of goods 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

To be eligible for the special preferential import duty rates under the VIFTA, 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 into Vietnam from Israel.

3. Complying with the regulations on rule of origin, and being accompanied by a proof of origin in accordance with the VIFTA 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 VIFTA if fully satisfying the conditions specified in Clauses 1 and 3, Article 4 of this Decree.

Article 6. Effect

This Decree takes effect from October 15, 2024, through December 31, 2027. 

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
HO DUC PHOC

* Vietnam’s Special Preferential Import Tariff to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the 2024-2027 period promulgated together with this Decree is not translated.-