THE MINISTRY OF INDUSTRY AND TRADE | | THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness |
No. 07/2019/TT-BCT | | Hanoi, April 19, 2019 |
CIRCULAR
Prescribing the export of textile and apparel goods to Mexico under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership[1]
Pursuant to the June 12, 2017 Law on Foreign Trade Management;
Pursuant to the National Assembly’s Resolution No. 72/2018/QH14 of November 12, 2018, ratifying the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (below referred to as CPTPP) and other related documents;
Pursuant to the Government’s Decree No. 98/2017/ND-CP of August 18, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;
Pursuant to the Government’s Decree No. 69/2018/ND-CP of May 15, 2018, detailing a number of articles of the Law on Foreign Trade Management;
Pursuant to the Government’s Decree No. 31/2018/ND-CP of March 8, 2018, detailing the Law on Foreign Trade Management regarding the origin of goods;
At the proposal of the Director General of the Export and Import Department;
The Minister of Industry and Trade promulgates the Circular prescribing the export of textile and apparel goods to Mexico under CPTPP.
Chapter I
GENERAL PROVISIONS
Article 1. Scope of regulation
This Circular provides tariff quotas and oversight system of textile and apparel goods exported to Mexico under CPTPP.
Article 2. Subjects of application
This Circular applies to traders exporting textile and apparel goods to Mexico and related organizations and individuals.
Chapter II
PREFERENTIAL TARIFF TREATMENT UNDER TARIFF QUOTAS
Article 3. Tariff quotas of textile and apparel goods exported to Mexico
1. Promulgated together with this Circular is the list of textile and apparel goods subject to tariff quotas for exports to Mexico, which is provided in Appendix I.
2. Tariff quotas for textile and apparel goods to be exported to Mexico in 2019 are provided in Appendix I to this Circular.
3. The Ministry of Industry and Trade shall announce tariff quotas for the subsequent years after receiving Mexican authorities’ notices.
Article 4. Preferential tariff treatment
A textile or apparel goods item exported to Mexico is entitled to preferential tariff treatment under CPTPP if satisfying the following conditions:
1. Having a certificate of origin form CPTPP granted by a competent agency under the Ministry of Industry and Trade’s Circular No. 03/2019/TT-BCT of January 22, 2019, providing the rules of origin under CPTPP.
2. Having a certificate of eligibility granted by a competent agency prescribed in Article 7 of this Circular.
Textile and apparel goods specified at Points b and d, Clause 3 of this Article are not required to have the certificate of eligibility.
3. Satisfying one of the following rules of origin:
a/ Textile and apparel goods subject to tariff quotas with the ordinal numbers of 01, 02 and 03 in Appendix I and using the materials on the short supply list provided in Appendix II to this Circular are exempted from Mexico’s import duty;
b/ Textile and apparel goods not subject to tariff quotas with the ordinal numbers of 01, 02 and 03 in Appendix I to this Circular and satisfying the rules of origin prescribed in CPTTP and the Ministry of Industry and Trade’s Circular No. 03/2019/TT-BCT of January 22, 2019, providing the rules of origin under CPTPP, may enjoy Mexico’s import duty rates under CPTPP.
c/ Textile and apparel goods subject to tariff quotas with the ordinal number of 04 in Appendix I to this Circular and satisfying the rules of origin prescribed in CPTTP and the Ministry of Industry and Trade’s Circular No. 03/2019/TT-BCT of January 22, 2019, providing the rules of origin under CPTPP, may enjoy Mexico’s import duty rates under CPTPP.
d/ Textile and apparel goods not subject to tariff quotas with the ordinal number of 04 in Appendix I to this Circular and satisfying the specific rules of origin applicable to the products specified in Article 5 of this Circular may enjoy Mexico’s import duty rates under CPTPP.
Article 5. Product specific rules of origin
1. To allow chapter change (CC), except from headings 5106 through 5113, headings 5204 through 5212, headings 5401 and 5402, subheadings 5403.33 through 5403.39, subheading 5403.42 through subheadings of heading 5408, headings 5508 through 5516, or headings 6001 through 6006, provided that the product is cut or knit to shape, or both, and sewn or otherwise assembled in the territory of one or more than one CPTPP member state.
2. To allow chapter change (CC), except from headings 5106 through 5113, headings 5204 through 5212, headings 5401 and 5402, subheadings 5403.33 through 5403.39, subheading 5403.42 through subheadings of heading 5408, headings 5508 through 5516, headings 5801 and 5802, or headings 6001 through 6006, provided that the product is cut or knit to shape, or both, and sewn or otherwise assembled in the territory of one or more than one CPTPP member state.
3. For napkins and napkin liners for babies and similar articles made from synthetic fibers under heading 9619, to allow change in tariff headings (CTH), except from headings 5106 through 5113, headings 5204 through 5212, headings 5401 and 5402, subheadings 5403.33 through 5403.39 or 5403.42 through 5403.49, headings 5404 through 5408, Chapter 55, heading 5606, headings 5801 and 5802, heading 5903 and headings 6001 through 6006, or Chapters 61 and 62, provided that the product is cut or knit to shape, or both, and sewn or otherwise assembled in the territory of one or more than one CPTPP member state.
Chapter III
PRINCIPLES OF ADMINISTRATION OF TARIFF QUOTAS FOR TEXTILE AND APPAREL GOODS EXPORTED TO MEXICO
Article 6. Principles of administration of tariff quotas
1. The Ministry of Industry and Trade shall grant certificate of eligibility for lots of textile and apparel goods exported to Mexico in the cases specified at Points a and c, Clause 3, Article 4 of this Circular. The certificate of eligibility is valid for the year of grant.
2. Certificate of eligibility is automatically granted for lots of exported goods.
3. Certificate of eligibility is granted by the method of backward subtracting tariff quotas on the electronic system on the principle of first filing first grant until no tariff quota is left. The time of dossier receipt is automatically updated on the Ministry of Industry and Trade’s portal.
4. The Ministry of Industry and Trade shall publicize the number and volume of tariff quotas on its portal.
5. Traders that wish to enjoy the preferential tariff treatment prescribed in this Circular shall monitor tariff quotas for textile and apparel goods exported to Mexico on the electronic system before filing their dossiers of application for certificate of eligibility under Article 8 of this Circular.
Article 7. Agencies competent to grant certificate of eligibility
Agencies competent to grant certificate of eligibility of the Ministry of Industry and Trade are those specified in Appendix V to this Circular.
Article 8. Order and procedures for grant of certificate of eligibility
1. A dossier of application of certificate of eligibility must comprise:
a/ An application for certificate of eligibility (made according for Form 01 provided in Appendix III to this Circular);
b/ A completely filled-out certificate of eligibility (according to Form 02 or 03 provided in Appendix III to this Circular). The guidance on filling out of certificate of eligibility must comply with Appendix IV to this Circular.
The filling out of certificate of eligibility under the guidance in Appendix IV to this Circular serves the grant of certificate and oversight by related state management agencies under CPTPP.
c/ A written declaration of exports for which the customs procedures have been completed.
2. A trader shall fill out its dossier of application for certificate of eligibility according to the form provided in Clause 1 of this Article via the Ministry of Industry and Trade’s portal at http://www.ecosys.gov.vn.
3. Within 8 (eight) working hours after receiving a complete dossier, an agency competent to grant certificate of eligibility shall inform on the electronic system results of the dossier processing as follows:
a/ In case of satisfaction of the conditions for grant of certificate of eligibility, the Ministry of Industry and Trade shall notify such to the trader via the electronic system and send a certificate of eligibility by post or directly to the registered address on the electronic system within 2 (two) working days after the grant of certificate of eligibility is notified.
b/ In case of refusal to grant certificate of eligibility, the Ministry of Industry and Trade shall notify such to the applicant and clearly state the reason on its portal. In case the dossier needs supplementation or modification, the time limit for filing the supplemented or modified dossier is 2 (two) working days after the trader receives the notice. Past that time limit, the electronic system may automatically abort the dossier.
Chapter IV
OVERSIGHT OF TEXTILE AND APPAREL GOODS EXPORTED TO MEXICO UNDER CPTPP
Article 9. Information registration
1. Traders exporting textile and apparel goods to Mexico under CPTPP (including traders exporting goods subject to tariff quotas and those exporting goods not subject to tariff quotas) shall register information according to Form 04 provided in Appendix III to this Circular on the Ministry of Industry and Trade’s portal at http://www.ecosys.gov.vn.
2. Traders shall proactively update information in case of a change in their production and business operation and other relevant information.
Article 10. Dossier archive
Traders specified in Article 9 of this Circular shall archive the following dossiers:
1. Dossers related to lots of goods exported to Mexico, such as dossier of registration for grant of certificate of eligibility, customs dossier, bills of lading, dossier of application for certificate of origin and other related dossiers and documents must be archived for at least 5 years from the date of exportation.
2. Dossiers and documents proving traders’ production capacity in the last five years, covering machinery and equipment, number of employees, and other related dossiers and documents.
Chapter V
IMPLEMENTATION PROVISIONS
Article 11. Organization of implementation
1. The Vietnam E-Commerce and Digital Economy Agency shall develop an electronic system for grant of certificate of eligibility and registration of trader-related information.
2. Agencies competent to grant certificate of eligibility specified in Article 7 of this Circular shall organize the grant of certificate of eligibility.
Article 12. Effect
1. This Circular takes effect on June 20, 2019.
2. Any problems arising in the course of implementation of this Circular, including problems in the interpretation of this Circular’s provisions different from those of CPTPP and relevant documents, should be reported by traders and related agencies, organizations and individuals to the Ministry of Industry and Trade for guidance and settlement.-
Minister of Industry and Trade
TRAN TUAN ANH
APPENDIX I
THE LIST OF TEXTILE AND APPAREL GOODS SUBJECT TO TARIFF QUOTAS TO BE EXPORTED TO MEXICO UNDER MEXICO’S REGULATIONS
(To the Minister of Industry and Trade’s Circular No. 07/2019/TT-BCT of April 19, 2019, prescribing the export of textile and apparel goods to Mexico under CPTPP)
No. | Description | Unit of calculation | Quota number and volume in 2019 |
01 | Cotton of headings 5202 through 5207, headings 5508, 5509 and 5511 and fabrics classified under Chapter 60 and products classified under Chapter 58 and headings 5902 and 5910 made in Vietnam from materials with the ordinal numbers of 2 and 3 in Appendix II to this Circular | Kg | 250,000 |
02 | Knitted clothing classified under Chapter 61 at the column of output requirement with ordinal numbers of 1, 4 and 7 in Appendix II made in Vietnam from materials mentioned in the column of description of above numbers in Appendix II to this Circular | unit | 2,500,000 |
03 | Woven clothing classified under Chapter 62 at the column of output requirement with the ordinal numbers of 5 and 6 in Appendix II made in Vietnam from materials mentioned in the column of description of the above numbers in Appendix II to this Circular | Unit | 750,000 |
04 | Textile and apparel goods under subheadings 6111.30 and 6209.30 and napkin liners for babies made from synthetic fibers under heading 9619 | Unit | 50,000 |
APPENDIX II
THE LIST OF GOODS WITH SHORT SUPPLY
(To the Minister of Industry and Trade’s Circular No. 07/2019/TT-BCT of April 19, 2019, prescribing the export of textile and apparel goods to Mexico under CPTPP)
No. | No. under CPTPP | Description of goods with short supply | Output requirements (if any) | Note |
1 | 6 | Cotton yarn, not put up for retail sale, under heading 5206, containing 50% or more by weight of cotton and at least 35% acrylic, not containing yarn with the yarn index of 67 nm or flatter for single yarn, or with the yarn index of 135 nm or flatter for folded yarn | Clothing and accessories under chapter 61, except socks, socks covering the ankle and knitted socks for children under heading 6111 and hosiery under heading 6115 | To be removed from the short supply list 5 years after the CPTPP takes effect |
2 | 56 | Staple fibers from acrylic or mod acrylic under subheading 5501.30 or 5503.30, not carded, combed or otherwise processed for spinning, except unbleached or bleached fibers, synthetic organic polymers for carbon fiber production, and fibers not colored or polished fibers used for acrylic, not put up for retail | Containing 85% or more by weight of cotton | |
3 | 58 | Staple fibers from acrylic or mod acrylic under subheading 5501.30 or 5506.30, already carded, combed or otherwise processed for spinning, except unbleached or bleached fibers, synthetic organic polymers for carbon fiber production, and fibers not colored or polished fibers used for acrylic, not put up for retail | | |
4 | 96 | Staple fibers from acrylic or mod acrylic, not put up for retail, under subheadings 5509.31, 5509.32, 5509.61, 5509.62 and 5509.69 | Clothing for arms under headings 6105, 6106, 6109, 6110, 6111 and 6114 and except babies’ socks, shoes and knitted socks under heading 6111 and panty hose under heading 6115 | |
5 | 97 | Woven fabrics of stable fibers | | |
| | Woven fabrics of synthetic staple fibers from acrylic or mod acrylic, under subheading 5512.29 | Men’, boys’, women’s or girls’ overcoats under heading 6201 or 6202 and babies’ clothing under heading 6209.30 and similar articles under headings 6201 and 6202 | |
6 | 170 | Woven fabrics with 100% acrylic, with the yarn index of 55 nm, under subheadings 5512.21 or 5512.29 | Clothing under chapter 62 | |
7 | 182 | Yarn (except sewing thread), not put up for retail, containing 50% or more of acrylic, except unbleached or bleached fibers, under subheading 5509.69 | Jumpers, pullovers, waistcoats and similar articles under subheading 6110.30 | |
Vietnamese
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