  
  RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/VNM/5 
22 November 2004 
 (04-5070) 
Working Party on the 
Accession of Viet Nam Original:   English 
 
 
 
ACCESSION OF VIET NAM 
 
Draft Report of the Working Party on the Accession of Viet Nam  
 
 
 The following submission is being circulated at the request of the Delegation of the Socialist Republic of Viet Nam.  WT/ACC/SPEC/VNM/5 
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  TABLE OF CONTENTS 
 
Introduction................................................................................................................... .........................1  
Documentation provided ......................................................................................................... ..............1  
Introductory statements ........................................................................................................ ................1  
ECONOMIC POLICIES.............................................................................................................. .........3  
Monetary and fiscal policy ..................................................................................................... ...............3  
Foreign exchange and payments.................................................................................................. .........5  
Investment regime.............................................................................................................. ....................8  
State ownership and privatization.............................................................................................. ........14  
Pricing policies ............................................................................................................... ......................18  
Competition policy............................................................................................................. ..................20  
FRAMEWORK FOR MAKING AN D ENFORCING POLICIES .................................................20  
POLICIES AFFECTING TRADE IN GOODS ................................................................................28  
Trading rights (the right to import and export)................................................................................ 28 
1. Import Regulation.............................................................................................................. .....31  
Customs tariff................................................................................................................. ......................31  
Other duties and charges....................................................................................................... ..............34  
Tariff rate quotas, tariff exemptions .......................................................................................... ........35  
Fees and charges fo r services rendered......................................................................................... .....37  
Application of internal taxes .................................................................................................. .............38  
Quantitative import restrictions, including pr ohibitions, quotas and licensing systems...............43  
Customs valuation.............................................................................................................. ..................48  
Rules of origin ................................................................................................................ ......................51  
Other customs formalities ...................................................................................................... .............52  
Pre-shipment inspection ........................................................................................................ ..............53  
Anti-dumping, countervailing duties, safeguard regimes ................................................................53  
2. Export regulation.............................................................................................................. ......54  
Customs tariffs, fees and charges for services rendered, application of internal taxes to 
exports........................................................................................................................ ..............54  
Export restrictions............................................................................................................ ....................55  
Export subsidies ............................................................................................................... ....................57  
3. Internal policies affecting foreign trade in goods.................................................................59  
Industrial policy, including subsidies......................................................................................... ........59  
Technical barriers to trade, standards and certification..................................................................65  
Sanitary and phytosanitary measures............................................................................................ ....70  
Trade-Related Investment  Measures (TRIMs) .................................................................................75  WT/ACC/SPEC/VNM/5 
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  State trading entities......................................................................................................... ...................78
 
Free zones, special economic areas............................................................................................. ........82  
Government procurement......................................................................................................... ..........83  
Trade in Ci vil Aircraft........................................................................................................ .................86  
Transit ....................................................................................................................... ...........................86  
Agricultural policies.......................................................................................................... ...................87  
(a) Imports – description of the types of  border protection maintained .................................87  
(b) Exports........................................................................................................................ .............88  
(c) Internal policies.............................................................................................................. .........89  
Fisheries ...................................................................................................................... ..........................91  
Textiles Regime ................................................................................................................ ....................92  
[Core Labour Standards ......................................................................................................... ............93  
TRADE-RELATED INT ELLECTUAL PROPERTY RIGHTS (TRIPS) .....................................94  
1. General........................................................................................................................ .............94  
(a) Industrial property protection...............................................................................................94  
(b) Responsible agencies for policy formulation and implementation .....................................96  
(c) Participation in international intellectual property agreements ........................................96  
(d) Application of national and MFN treatment to foreign nationals......................................97  
(e) Fees and taxes ................................................................................................................. .........97  
2. Substantive standards of protection, including procedures for the acquisition 
and maintenance of intellectual property rights ..................................................................98  
(a) Copyright protection ........................................................................................................... ...98 
(b) Trademarks, including  service marks.................................................................................103  
(c) Geographical indications, including appellations of origin...............................................106  
(d) Industrial designs............................................................................................................. .....108  
(e) Patents........................................................................................................................ ............108  
(f) Plant variety protection....................................................................................................... .112 
(g) Layout designs of integrated circuits ..................................................................................112  
(h) Requirements on undisclosed information, including trade secrets and test data..........113  
3. Measures to control abuse of intellectual property rights.................................................113  
4. Enforcement .................................................................................................................... ......114  
(a) Civil judicial procedures and remedies...............................................................................114  
(b) Provisional measures ........................................................................................................... .116 
(c) Administrative procedures and remedies...........................................................................116  
(d) Special border measures.......................................................................................................1 18 
(e) Criminal procedures............................................................................................................ .119  WT/ACC/SPEC/VNM/5 
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  POLICIES AFFECTING TRADE IN SERVICES.........................................................................122  
TRANSPARENCY ................................................................................................................... .........125  
Publication of information on trade............................................................................................ .....125  
Notifications.................................................................................................................. ......................126  
TRADE AGREEMENTS ............................................................................................................... ...126  
Conclusions.................................................................................................................... .....................128  
ANNEX 1 ........................................................................................................................ ....................129  
ANNEX 2 ........................................................................................................................ ....................134  
 
  WT/ACC/SPEC/VNM/5 
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  Introduction 
1. The Government of the Socialist Republic of  Viet Nam applied for accession to the World 
Trade Organization in January 1995 (document WT/L /1).  At its meeting on 31 January 1995, the 
General Council established a Working Party to exam ine the application of the Government of the 
Socialist Republic of Viet Nam to accede to the World Trade Organization under Article XII of the 
Marrakesh Agreement Establishing the WTO.  The terms of reference and the membership of the 
Working Party are reproduced in document WT/ACC/VNM/1/[Rev.20]. 
2. The Working Party met on 30-31 July and 3 December 1998 ; 22-23 July 1999 ; 
30 November 2000 ; 10 April 2002 ; 12 May and 10 December 2003; 15 June and [15 December 2004]  
and ……… under the Chairmanship of H.E. Mr. Seung Ho (Republic of Korea). 
Documentation provided 
3. The Working Party had before it, to serve as a basis for its discussions, a Memorandum on the 
Foreign Trade Regime of Viet Nam (WT/ACC/VN M/2), the questions submitted by Members on the 
foreign trade regime of Viet Nam, together with th e replies thereto, and other information provided by 
the authorities of Viet Nam (WT/ACC/VNM/3 and Corrigendum 1 ; WT/ACC/VNM/3 and Addenda 
1, 2 and 3 ; WT/ACC/VNM/5 and Addendum 1 ; WT/ACC/VNM/6 and Addenda 1 and 2 ; 
WT/ACC/VNM/7 ; WT/ACC/VNM/8 ; WT/ACC/VNM/9 and Addenda 1 and 2 ; WT/ACC/VNM/10 ; 
WT/ACC/VNM/11 and Revisions 1, 2, 3, 4 and 5 ; WT/ACC/VNM/12 ; WT/ACC/VNM/13 and 
Addenda 1 and 2 ; WT/ACC/VNM/14 and Addendum 1 ; WT/ACC/VNM/15 and Addenda 1 and 2 ; 
WT/ACC/VNM/16; WT/ACC/VNM/18 and Revision 1 ; WT/ACC/VNM/19 and Revision 1 ; 
WT/ACC/VNM/20 and Revisions 1 and 2 ; WT/ACC/VNM/21 and Revisions 1 and 2 ; 
WT/ACC/VNM/22 and Revision 1 ; WT/ACC/VNM/23 ; WT/ACC/VNM/24 and Revisions 1 and 2 ; 
WT/ACC/VNM/25 and Revisions 1, 2 and 3; WT/ACC/VNM/29; WT/ACC/VNM/31 and 
Revisions 1 and 2; WT/ACC/VNM/32; WT/ACC/VNM/ 33 ….….), including the legislative texts and 
other documentation listed in Annex I. 
Introductory statements 
4. The representative of Viet Nam said that Viet  Nam had been carrying out economic reforms 
since 1986 under the "Doi Moi" (Renovation) polic y, focussing on market oriented economic 
management ; restructuring to build a multi-sectoral economy ; financial, monetary and administrative 
reforms ; and the development of external economic re lations.  Having joined the Association of 
Southeast Asia Nations (ASEAN), the Asia-E urope Cooperation (ASEM) and the Asia-Pacific WT/ACC/SPEC/VNM/5 
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  Economic Cooperation Forum (APEC), Viet Nam was participating in regional institutions which 
were committed to WTO principles and rules, a nd preparatory and substantially supportive of 
Viet Nam's accession to the WTO. 
5. Viet Nam recognized the important role and si gnificance of the WTO in the development of 
the global economy as well as the economic growth of individual countries.  Viet Nam had decided to 
apply for WTO membership with a view to expandi ng its economic, trade and investment ties with 
other Members, reflecting a firm resolve to cont inue the process of integration of Viet Nam's 
economy into the world trading system.  Conscious that WTO membership involved both rights and obligations, Viet Nam was committed to upholding th e principles of the WTO as the basis for its trade 
policies.  Viet Nam was revising its legislation to adapt gradually to the rules and principles of the 
WTO. 
6. The Government had established an inter-mi nisterial National Committee on International 
Economic Co-operation (NCIEC), responsible for in ter-sectoral coordination in policy formulation 
and economic cooperation, as well as a Governmental Negotiation Team on International Economic 
and Trade Affairs, comprising senior officials from various Ministries.  Viet Nam was prepared to 
embark on negotiations in all sectors of interest to Members of the WTO.  Referring to Viet Nam as a 
low-income and highly indebted developing coun try, he hoped and believed that Members would 
show sympathy and flexibility in the elaborati on of the terms and conditions for Viet Nam's 
membership. 
7. Members of the WTO welcomed strongly Viet  Nam's application to join the WTO and 
pledged their full support to the accession process.   Members appreciated the significant reforms 
already undertaken and encouraged Viet Nam to c ontinue the policies towards market-orientation, 
liberalization and transparency.  Viet Nam's integration into the world economy would allow 
Viet Nam to solidify the gains of its ongoing economi c reforms.  Some Members noted that Viet Nam 
would need to make further adjustments in its  legal and trade regime to conform to WTO 
requirements, and looked forward to working ac tively with Viet Nam towards this objective. 
8. The Working Party reviewed the economic policie s and foreign trade regime of Viet Nam and 
the possible terms of a draft Protocol of Accession to the WTO.  The views expressed by members of 
the Working Party on the various aspects of Viet Nam's foreign trade regime, and on the terms and 
conditions of Viet Nam's accession to the WTO ar e summarized below in paragraphs 9 to [379].  WT/ACC/SPEC/VNM/5 
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  ECONOMIC POLICIES  
Monetary and fiscal policy  
9. The representative of Viet Nam said that in accordance with the Law on State Bank of Viet 
Nam, the main objective of Viet Nam's monetary policy was to stabilize the value of the currency – 
the Vietnamese Dong, to control inflation and to pr omote socio-economic development.  Credits were 
channelled into activities making full use of the pot entials of various economic sectors.  The State 
Bank of Viet Nam was using monetary policy instrume nts such as refinancing, reserve requirements, 
interest rates, exchange rates, open market operati ons and other supplementary instruments to regulate 
the money supply.  The State Bank of Viet Nam had applied a uniform rediscount rate for all 
commercial banks since 1999.  Credit policy conti nued to be improved to meet sufficiently the 
financing requirements for economic growth in line with monetary policy objectives from time to 
time.  The credit mechanism had been amended to become more liberal in order to create a level 
playing field among various economic sectors, improve the autonomy and accountability of credit institutions, and enhance credit quality.   
10. Asked about the level of commercial debt owed  by public sector enterprises, he said that 
State-owned enterprises had owed Vietnamese commercial banks 79.7 trillion Dong, or 42 per cent of 
total outstanding debt, on 31 December 2001.  Fi nancial institutions considered and decided 
themselves whether to provide loans to St ate-owned enterprises, on commercial terms. 
11. The budget deficit was considered the main cause of inflation.  The Government targeted a 
deficit ratio of maximum 3 per cent of GDP, co mpared to an average budget deficit of about 
8 per cent to GDP in the 1980s.  The budget deficit had amounted to 1.3 per cent of GDP in 1999, 2.7 per cent in 2000, 2.9 per cent in 2001, 2.3 per cent in 2002 and 2.1 per cent in 2003.  The Government also aimed at maintaining a surplus of current revenue over current expenditure at 
4.5 per cent of GDP.  The respective ratios had been 5.1 per cent in 1999, 5.2 per cent in 2000, 
3.9 per cent in 2001, 5.8 per cent in 2002 and 5.1 pe r cent in 2003.  The first phase of Viet Nam's tax 
reform programme had helped in raising the tota l tax collected to GDP ratio from 13.1 per cent in 
1991 to 22.6 per cent in 1995.  The second phase of the programme had focussed on streamlining the 
tax rate structure, non-discrimina tion, a broadening of the tax base , improved tax administration, and 
the introduction of value-added tax (VAT) to repl ace a turnover tax.  The main taxes levied in 
Viet Nam were corporate income tax; Agricultura l Land Use tax; a Tax on th e Transfer of Land Use 
Rights; Natural Resources tax (Roya lties); Land and Housing tax; (Pers onal) Income tax; VAT; Special 
Consumption tax (Excise tax); and im port and export duties.  In additi on, the Government levied fiscal 
charges such as land rent, water charges, a slaught ering tax (abolished in 1999) , business licensing tax, WT/ACC/SPEC/VNM/5 
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  property registration fees and trans portation fees.  The total revenue from taxes, fees, charges and other 
levies as a percentage of GDP had amounted to 22.1 per cent in 2002 and 21.9 per cent in 2003.   
12. Corporate income tax was levied in accordan ce with the amended Law on Corporate Income 
Tax, enacted by the National Assembly on 17 June 2003 and in effect since 1 January 2004, having 
replaced the Law on Corporate Income Tax of 10 Ma y 1997.  The amended Law stipulated a general 
tax rate of 28 per cent and preferential rates of 10,  15 and 20 per cent, applied to both domestic and 
foreign invested enterprises.  The amended Law ha d also revoked a provision refunding the amount of 
corporate income tax corresponding to reinvested income and the amount of tax on profit repatriation 
according to Articles 42 and 43 of the Law on Forei gn Investment in Viet Nam.  The Agricultural 
Land Use tax had been levied since 1 January 19 94 on all individuals and entities using land in 
agricultural production.  Households using land in  excess of established standard acreage paid an 
additional tax equal to 20 per cent of the basic ra te.  The land and housing tax was levied on houses, 
residential land and construction sites.  Howeve r, the housing tax had remained temporarily 
uncollected.  The amended Law on Corporate Inco me Tax had revoked a provision on taxes on the 
transfer of land use rights imposed on trading units  according to the Law on Taxes on the Transfer of 
Land Use Rights.  According to the amended Law, inco me of trading units arising from the transfer of 
land use rights were now subject to corporate income tax.  The Law on supplements of and 
amendments to some Articles of the Tax on the Transfer of Land Use Rights, effective since 
1 January 2000, provided for a tax rate of 2 per cen t on land used in agricultural, forestry and aquatic 
production, and 4 per cent on land used for residentia l, construction and other purposes.  The natural 
resources tax was applied in accordance with the amendments to the Ordinance on Natural Resources 
Tax of 30 March 1990, effective since 1 June 1998.   The Ordinance provided for tax rates varying 
from 1-8 per cent on metal minerals, coal and precious gems, 0-25 per cent on oil and gas, 1-
5 per cent on non-metal minerals, 1-10 per cent on na tural marine products, 1-40 per cent on natural 
forest products, 0-10 per cent on natural water, 10-20  per cent on swallow's nests, and 0-10 per cent 
on other natural resources.  The tax was applied to all types of projects, except when the Vietnamese 
partner in a joint venture had contributed the regi stered capital in the form of natural resources. 
13. Legislation on personal income tax - the Ordinance on Income Tax of High Income Earners 
of 27 December 1990, last amended on 24 Ma rch 2004 (Ordinance No. 14/2004) – distinguished 
between Vietnamese residents, foreign resident s in Viet Nam, and Vietnamese citizens working 
abroad.  Successive amendments had aimed at gra dually reducing the difference between the tax rates 
applied to Vietnamese residents, wh ich originally ranged from zero to  60 per cent with a threshold of 
1.2 million Dong, and foreign residents and Vi etnamese citizens work ing abroad, which had 
originally been taxed at rates from zero to 50 per cent with a threshold of five million Dong.   WT/ACC/SPEC/VNM/5 
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  Legislation introducing the various types of taxe s contained provisions on tax exemption or tax 
reductions.  Under the new Ordinance, the monthly in come taxable threshold for Vietnamese residents 
had been raised to VND 5 million.  The threshol d for foreigners had remained unchanged since 
30 June 1999 and amounted to VND 8 million.  He c onfirmed that new tax ru lings were not applied 
retroactively.  He added that in the long-term the Ordinance on Income Tax of High Income Earners 
would be replaced by a Law on Pers onal Income Tax consistent with international rules, which would 
introduce a single tax system, broaden the scope of  application of the personal income tax, and 
provide for a clearer definition of residents and non -residents.  The Law was at an initial stage of 
study.  Other tax laws would also be amended to  make them compatible with the Law on Value-
Added Tax and the Law on Corporate Income Tax.   
14. A Member was concerned about very high pe rsonal income tax rates in Viet Nam and 
considered this a major investment disincentive.  The representative of Viet Nam replied that the tax 
system was under review with a view to removing de fects in the current system.  The objective was to 
offer tax paying workers appropriate incentives comp atible with international norms and practices. 
Foreign exchange and payments  
15. The representative of Viet Nam said that Viet Nam had replaced a fixed exchange rate system 
with a managed float flexible exchange rate mechanism in 1989.  Fore ign exchange transaction 
centres had been opened at the end of 1991, and an  inter-bank currency market for commercial banks 
had been established in October 1994.  The State Bank of Viet Nam monitored the balance-of-
payments and foreign exchange r eserves position of Viet Nam, and the State Bank could intervene in 
the market as necessary.  The State Bank publishe d the average transaction exchange rate of the 
Vietnamese Dong against the U.S. dollar in the inte r-bank foreign exchange market on a daily basis.  
Viet Nam had normalized its financial relations with the International Monetary Fund (IMF) in 
October 1993.  In order to prepare for the acceptan ce of the obligations under Article VIII of the 
Fund 's Articles of Agreement, Viet Nam had been gr adually meeting the requirements mentioned in 
Article VIII.   
16. The convertibility of the Vietnamese Dong had been mentioned as an objective in 
Government Decree No. 05/2001/ND-CP of 17 January  2001, which had amended and supplemented 
Government Decree No. 63/1998/ND-CP on Foreign Exchange Management of 17 August 1998.  
Controls on current account transactions had been liber alized.  Pursuant to this Decree, (i) residents 
and non-residents were allowed to open and mainta in foreign exchange accounts with authorized 
banks in Viet Nam; (ii) Vietnamese citizens residi ng in Viet Nam were allowed to purchase, transfer 
and carry foreign exchange abroad for purposes su ch as tourism, education, medical treatment, WT/ACC/SPEC/VNM/5 
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  payment of membership fees, and other charges fo r the purposes of providing support or inheritance 
to family and relatives abroad, upon presentation of relevant documents in accordance with the 
regulations of the State Bank; (iii) foreign reside nts having legal income in foreign currency were 
permitted to transfer or carry the money out of Vi et Nam, and income in Vietnamese Dong could be 
converted into foreign currency at authorized banks upon presentation of re levant documents and a 
certificate that all financial obligations in accordance  with the laws had been fulfilled.  Pursuant to 
Circular No. 04/2001/TT-NHNN on Foreign Exchange Management of foreign-invested enterprises 
and parties to business cooperation contracts (BCC ) of 18 May 2001, foreign investors would be 
permitted to transfer abroad profits and ot her legal income upon presentation of relevant 
documentation to the authorized banks, i.e. the Me morandum of the Board of Directors (or Project 
Management Unit in the case of a BCC) on the distribution of profits (or distribution of revenue in 
case of a BCC) and a certificate from the competent tax authorities testifying that all financial 
obligations to the State of Viet Nam had been fulf illed.  Foreign investors would also be permitted to 
transfer legal capital or reinvested capital due to termination or liquidation before expiry date upon 
presentation of relevant documents - i.e. the deci sion on dissolution of the enterprise (or Decision on 
termination of a BCC), including a statement of liqui dation for terminated projects, and the certificate 
issued by the competent tax aut horities - to the authorized banks. 
17. Some Members noted that Viet Nam had imposed  obligations to surrender foreign exchange 
in 1998.  Viet Nam also appeared to maintain me asures at odds with Articles XI and XVI (footnote 8) 
of the GATS, and Viet Nam was asked to reconsider these measures. 
18. The representative of Viet Nam replied that, due to the impact of regional monetary and 
financial crises, Viet Nam had introduced temporar y obligations to surrender foreign exchange in 
1998 with the aim of concentrating foreign currency in the banking system to meet essential needs for 
foreign currency in the economy.  Viet Nam had re laxed this surrender requirement continuously as 
the economic situation had improved.  The requi rement had been reduced from 80 per cent to 
50 per cent in 1999, 40 per cent in early 2001, and 30 per cent in May 2002.  He added that the obligatory foreign currency surrender ratio applicable to current transactions of  resident economic and 
social entities had been set at zero per cent in accordance with  the Prime Minister's Decision 
No. 46/2003/QD-TTg, issued on 2 April 2003.  Concer ning Article XI and footnote 8 to Article XVI 
of the GATS, Viet Nam confirmed that all current account restrictions had been removed and that 
Viet Nam fully complied with the obligations of Article VIII of the IMF Charter on current account 
payments and international remittances.  A Decree amending Decree No. 63/1998/ND-CP of 
17 August 1998 on foreign exchange control was exp ected to be promulgated by the end of 2004.    WT/ACC/SPEC/VNM/5 
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  19. In respect of capital transactions, Viet Nam ha d relaxed capital transfers by foreign investors 
and foreign borrowing by resident organisations.  Vi et Nam only maintained restrictions on (i) capital 
transfers abroad for investment by resident orga nisations, which were subject to approval by the 
competent agencies and within the amount of foreig n currency owned by them; and (ii) payment and 
repayment of foreign loans by resident organisa tions, which were permitte d only when their loan 
agreements had been certified by the State Bank of Viet Nam.  However, according to Article XII of 
the GATS (Restrictions to Safeguard the Balance of Pa yments), such restrictions could be considered 
acceptable as Viet Nam was facing difficulties in its international balance of payments.  The 
registration with the State Bank was a procedural matter maintained for statistical purposes and in 
order to manage the overall amount of fo reign commercial loans by enterprises.   
20. Asked about present requirements and restric tions on the repayment of loans and capital 
investments abroad by Vietnamese enterpri ses, he added that according to Decree 
No. 22/1999/ND-CP enterprises investing abroad were  required to (i) obtain an overseas investment 
licence from the Ministry of Planning and Investment; (ii) open a foreign account with an authorized bank and channel all remittances th rough this account; and (iii) register the opening of the account 
and investment capital transfers with a bank branch in the province or city of its head office.   
21. Some Members considered a requirement that each foreign company should maintain 
equilibrium between inflows and outflows of foreig n currency, as prescribed in Article 33 of the Law 
on Foreign Investment, an impediment to the commercial activities of foreign investors and 
recommended that this requirement be eliminated. 
22. The representative of Viet Nam replied that th e foreign exchange self-balancing requirement 
had been eliminated pursuant to the Law on Amendm ent to and Supplement of some Articles of the 
Law on Foreign Investment in Viet Nam, approve d by the National Assembly on 9 June 2000.  He 
confirmed that Viet Nam had no intention to re introduce such a requirement.  The amendments 
allowed foreign invested enterprises and parties to  business cooperation contracts (BCC) to purchase 
foreign currency at authorized banks to finan ce current, capital and other permitted types of 
transactions. 
23. He added that his Government was consid ering guaranteeing the balancing of foreign 
currency needs for foreign investors investing in especially important projects identified in 
government programmes, and supporting foreign curre ncy balancing for infrastructure projects and 
some other important projects in case the authorized banks could not meet all foreign currency needs.  Detailed provisions were specified in Decree No . 24/2000/ND-CP of 31 July 2000 regulating the 
implementation of the Law on Foreign Investment  in Viet Nam and in Government Decree WT/ACC/SPEC/VNM/5 
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  No. 27/2003/ND-CP of 19 March 2003.   Under certain circumstances, and subject to approval of the 
State Bank of Viet Nam, foreign invested ente rprises were permitted to open foreign exchange 
accounts abroad.   
Investment regime  
24. The representative of Viet Nam said that the National Assembly had promulgated the Law on 
Companies and the Law on Private Enterprises in 1990, and that these laws had been considered 
important milestones in the economic reform process in Viet Nam.  During the following ten years, 
about 40,000 new enterprises with an aggregat e registered capital of 21,000 billion Dong 
(approximately US$1.5 billion) had been establishe d.  These enterprises had created employment for 
more than 500,000 people.  In addition, more th an 1.5 million business households, a distinctive type 
of business guided by Decree No. 66/HDBT of 2 March 1992, employed some 3 million labourers.   
25. The legal and regulatory framework had been fu rther improved in the 1990s and, as a result, 
some provisions of the Law on Companies an d the Law on Private Enterprises had become 
incompatible with other applicable laws, which ha d hampered the effective enforcement of related 
regulations.  The National Assembly had therefor e passed a new Law on Enterprises, superseding the 
Law on Companies and the Law on Private Enterpri se, in June 1999.  The Law on Enterprises had 
entered into force on 1 January 2000.  The main  changes brought forward by the new Law were 
broader eligibility to set up and contribute to ente rprise capital; simplified administrative procedures, 
including single-stop registration of new businesses; and more business autonomy.  Business sectors 
were divided into (i) prohibited sectors – prohibited to both domestic and foreign investors for 
reasons of national security, public order, social mo ral, human health, tradition, environment, etc; 
(ii) conditional business sectors; (iii) sectors requi ring legal capital; (iv) sectors requiring professional 
licence; (v) sectors reserved for partnerships or privat e enterprises; and (vi) other sectors.  Enterprise 
registration in other sectors was automatic.  Minimum legal capital requirements for the establishment of enterprises stipulated in the Law on Companie s had been abolished, except in some financial 
services sectors, when the Law on Enterprises had en tered into force in 2000.  The number of newly 
registered enterprises had been increasing rapidly si nce the promulgation of the Enterprise Law.  By 
September 2003, some 72,600 new enterprises had been  registered, adding to the 45,000 enterprises 
registered during 1991-1999 and thereby raising the nu mber of privately-owned, registered enterprises 
in Viet Nam to about 120,000.    
26. The Law on Foreign Investment of 29 Decemb er 1987 together with its amendments and 
additions of 1990, 1992, 1996 and 2000 and other guiding docu ments mentioned therein constituted 
the legal framework for foreign direct investment (F DI) activities in Viet Nam.  In addition, with a  WT/ACC/SPEC/VNM/5 
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  view to creating a comprehensive legal framework for FDI, Viet Nam had signed and acceded to 
various bilateral and/or multilatera l arrangements on investment, includi ng bilateral agreements on the 
encouragement and protection of investment with  47 countries and territories, agreements on the 
avoidance of double taxation with 42 countries and territories, the Framework Agreement on ASEAN 
Investment (AIA), the MIGA and the New York Conven tion, etc.  These international treaties were an 
integral part of Viet Nam 's legal framework for FDI in Viet Nam.  The Ministry of Planning and 
Investment was the government authority regulating investment activities.  Approval procedures for 
foreign invested projects were stipulated in the Law on Foreign Investment, in Government Decree 
No. 24/2000/ND-CP of 31 July 2000, and in Decree No. 27/2003/ND-C P of 19 March 2003 on 
amendment of and addition to a number of Articles  of Decree No. 24/2000/ND-C P, guiding in detail the 
implementation of the Law on Fore ign Investment in Viet Nam.  Viet Nam encouraged foreign 
investment into almost all economi c areas.  Investments in some sectors were subject to certain 
conditions (specified in Decree No. 24/2000/ND-CP ).  As of December 2003, 4,412 foreign 
investment projects, with a total registered capital of US$41.7 billion, operated in Viet Nam.  Foreign 
investment projects accounted for 18 per cent of the total invested capital, 31 per cent of Viet Nam's 
export revenue and 37 per cent of industrial output, contributing nearly 14 per cent of Viet Nam's 
GDP.  Foreign investment projects had created some 620,000 jobs directly, and several hundred 
thousand jobs were indirectly dependent on these projects.   
27. Due to its low level of economic development, Viet Nam applied a wide range of incentives 
to stimulate economic development and employment.  The main elements of this policy were wide 
sectoral coverage; encouragement of a wide range of investment forms with no ceiling on the capital held by foreign investors; priority accorded to pr ojects in agriculture and the production of consumer 
goods; encouragement of export oriented production,  including import duty exemptions and/or 
drawback on imported inputs used in the production of  exports; special incentives for investment in 
disadvantaged regions; import duty exemptions on m achinery and equipment, means of transportation, 
and materials used in construction for joint ventur e enterprises; tax holidays; and low tax on profit 
repatriation.  Foreign investment projects were subject to minimum wage regulations.  Minimum wages 
had been stipulated in local currency since 1 July 1999. 
28. In accordance with the provisions of Decree No. 27/2003/ND-CP of 19 March 2003, providing 
for the amendment of and addition to a number of  Articles of Decree No. 24/2000/ND-CP, foreign 
investment in some sectors was only allowed in the form of joint venture or business co-operation 
contract.  The sectors listed were exploitation a nd processing of oil and gas and precious and rare 
minerals; consultancy services (except engineerin g services); air, railway and sea transportation; 
public passenger transportation; airport and por t construction (except for BOT, BTO and BT WT/ACC/SPEC/VNM/5 
Page 10  
 
  projects); maritime and aviation business services; culture (except for projects for the printing of 
technical materials, packaging and labels, and prin ting on textile and garments , leather and footwear, 
printing of computer graphics onto animated films, and entertainment and sports areas); aforestation 
(except for indirect aforestation via Vietnamese organizations, family households and individuals); travel tours; production of industrial explosives;  and consultancy services (except for technical 
consultancy).  The Ministry of Planning and Invest ment would coordinate with ministries, branches 
and people's committees of provinces and cities under central authority to submit the listed sectors to 
the Prime Minister for consideration and promulgation.   
29. He added that his Government had abolishe d most regulations discriminating between 
domestic and foreign investment, and there were ge nerally no substantial differences between these 
two categories of investment.  Notably, the Prim e Minister had issued Decision No. 53/1999/QD-Ttg, 
unifying a number of investment-related fees and ch arges.  Differences in the fees and charges rates 
applied had been eliminated, except for electric ity where dual pricing would be abolished by 
31 December 2005.  Among the fees and charges curre ntly paid by foreign in vested enterprises were 
fees and charges regulated by the Ordinance on Fees a nd Charges, as well as social insurance, medical 
insurance and other insurance fees.  The scope of  other discriminatory regulations, which concerned 
establishment procedures and management organi zation, would be reduced progressively and 
eliminated under the unified Law on Investment and the Law on Enterprises, which were expected to 
be submitted to the National Assembly in 2006.  These two laws were being drafted towards applying 
uniformly to domestic and foreign investors and to all enterprises irrespectiv e of economic sector and 
form of ownership in compliance with WTO rul es.  Pursuant to the Law on amendments and 
supplements to some Articles of the Law on Foreig n Investment of 9 June 2000, foreign-invested 
enterprises were permitted to change the form of investment and divide, de-merge, consolidate or 
merge with other enterprises.  Existing joint-vent ures could be allowed to transform into wholly-
owned foreign capital enterprises under certain conditions pursuant to Government Decree 
No. 24/2000/ND-CP of 31 July 2000. 
30. Foreign invested enterprises were encouraged to manufacture goods for export.  Tax 
incentives, i.e. preferential rates of  corporate income tax (10, 15 or 20 per cent against the standard 
rate of 28 per cent) and tax reducti ons or exemptions with up to 9 year duration, could be granted to 
enterprises depending on their export ratio or area of  investment.  Foreign invested enterprises were 
also allowed to purchase goods not produced by th emselves in the domestic market to be processed 
for export or exported without processing (excep t products listed as prohibited to trade for 
exportation, or conditionally exported goods).  En terprises were remitted import duties on materials 
and inputs actually used in the manufacturing of exports of finished goods.    WT/ACC/SPEC/VNM/5 
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  31. Labour intensive industries were entitled to tr ade-related privileges pursuant Article 15 of 
Government Decree No. 51/1999/ND-CP of 8 July 1999 providing details on implementation of the 
amended Law on Domestic Investment Promotion (Law No. 3/1998/QH 10), under Government 
Decree No. 24/2000/ND-CP of 31 July 2000 guiding the implementation of the Law on Foreign Investment, Government Decree No. 27/2003/ND-CP of 19 March 2003 on amendment of and addition to a number of Articles of Decree No. 24/2000/ND-CP, as well as Government Decree 
No. 164/2003/ND-CP of 22 December 2003 guiding the implementation of the Law on Corporate 
Income Tax.  Incentives could be accorded in the form of reduction or exemption from land rents or 
the land use tax, and extended periods of co rporate income tax exemption or reduction.  
32. Some Members considered the granting of a ta x preference upon the fulfilment of an export 
requirement to be contrary to WTO provisions, most  notably Article 3 of the Agreement on Subsidies 
and Countervailing Measures, and requested Viet Na m to provide a timeframe for the elimination of 
this incentive.  The representative of Viet Nam rep lied that his Government had examined its policies 
to identify measures inconsistent with WTO provi sions (see the sections on export subsidies, 
industrial policy and TRIMs for a more detailed discussion of these measures). 
33. Some Members noted that foreign investors were facing various serious difficulties in 
Viet Nam.  These difficulties were  caused by complicated and burdensome procedures, and included 
governmental investigation and a public tender require ment for the construction of factories, and a 
requirement in Article 14 of the Law on Foreign Inv estment that personnel and financial decisions in 
joint-venture companies be unanimous.  Viet Nam's laws and regulations also encouraged increased 
Vietnamese participation in joint-venture compani es, thereby restricting substantially a foreign 
investor
's participation.  Conditions on the right to us e land remained inconvenient and insufficient for 
foreign investors, limiting the possibilities for investors to raise funds by mortgaging land.  In addition, the land register system was consider ed imperfect and the methods for calculating land 
prices were not transparent.  In centives accorded to foreign invest ment in Viet Nam's laws and 
regulations were not available automatically, but subject to case-by-case approval by the authorities.  
Furthermore, Viet Nam applied a discriminatory la bour system against forei gn-invested companies, 
which were requested to hire employees through "employment promotion centres" and pay salaries of 
local workers in U.S. dollars.  Viet Nam was en couraged to continue deregulating complicated 
procedures, in particular by introducing a one-s top service for investment, improving the laws and 
regulations regarding land and exte nding land use rights, ensuring that preferential benefits would be 
granted to foreign companies without excepti on, and by making improvements to address 
discrimination in labour matters.  Viet Nam was al so invited to allow stock-holding companies as one 
form of investment, and urged to ensure that all company-specific information obtained through the WT/ACC/SPEC/VNM/5 
Page 12  
 
  licensing procedures would remain confidential.  A Member highlighted specific problems in the 
mining sector, including overlapping regulatory responsibilities between central and provincial 
authorities, as well as Viet Nam's practice to gran t investment licences at the development stage, 
rather than at the exploration stage,  which was the international norm.   
34. The representative of Viet Nam replied that tender requirements aimed at ensuring 
fair competition, equality and transparency .  Government Decree No. 88/1999/ND-CP of 
1 September 1999 on the issuing of a Procurement Re gulation and its amendmen ts of 2000 and 2003 
had introduced more transparent, specific and simple  tender procedures.  Only joint-ventures, business 
co-operation contracts (BCC), and projects with mo re than 30 per cent of State-owned shares were 
subject to the Regulation on Tendering.  Public  tender was not required for projects set up by 
domestic or foreign investors on a private basis.  In his view, Viet Nam's legislation on tendering did 
not include any discriminatory provisions.  He adde d that inspections of c onstruction sites guaranteed 
the quality of the works in  accordance with Viet Nam
's construction standards.  A new Construction 
Law has been issued on 10 December 2003, enteri ng into force on 1 July 2004.  Following the 
passage of this Law, three Decrees would be issued  to guide the implementation of the Law.  These 
included a Decree on construction quality manageme nt, a Decree on the management of construction 
investment projects, and a Decree on construction planning and management.  These Decrees were expected to be drafted and submitted to the Government for consideration during 2004.   
35. The representative of Viet Nam considered unani mity among the parties in a joint-venture an 
important contribution to its success.  He added that the Law on Foreign Investment had been 
amended in 2000 to narrow further the scope of  matters requiring unanim ity among joint venture 
parties.  He stressed that, according to this Law, regulations encouraging gradually increasing 
Vietnamese participation in join t-venture enterprises or allowing Vietnamese enterprises to purchase 
part of the capital of a wholly foreign-owned en terprise were not binding, and should be applied 
strictly on the basis of mutual agreement between th e joint venture parties or with the consent of the 
owner of the wholly foreign-owned enterprise.  Land was subject to pub lic ownership and State 
administration in Viet Nam.  Thus, even Vietnamese  nationals could not own or mortgage land.  The 
amended Law on Foreign Investment nevertheless stated that a foreign invested enterprise was 
permitted to mortgage assets associated with land an d the value of land use rights to secure loans from 
all credit institutions permitted to operate in Viet Nam.  The Law also held Provincial Committees and 
Vietnamese partners responsible for establishing clear  procedures relating to land use rights and, if 
necessary, offering compensation.  Foreign invested  enterprises could lease land in connection with 
investment projects.  Pursuant to Article 67.3 of the Land Law (as amended), the duration of the lease 
should normally not exceed 50 years.  However, th e lease could be extended upon termination of the  WT/ACC/SPEC/VNM/5 
 Page 13 
 
 
  initial duration.  In the case of projects with a larg e amount of invested capital, a long capital return or 
conducted in socio-economic difficult areas, the Government could grant leases with maximum 
70 year duration.  In his view, Viet Nam's la nd lease regulations, which were applied in a non-
discriminatory manner between domestic and fore ign investors, were not obstructing business 
activities, and Viet Nam had no plans to revise these regulations.  He added that the National Assembly had adopted the Land Law on 26 November 2003.   
36. The representative of Viet Nam noted that Vietna mese enterprises were also required to apply 
for investment incentives, and that Government De cree No. 24/2000/ND-CP listed detailed criteria for 
the granting of preferential treatment to foreign in vestors.  As to labour matters, the newly amended 
Labour Code, which had entered into force in Janua ry 2003, allowed foreign invested companies to 
hire local personnel directly without going through employment promotion centres.  Wage payments 
to Vietnamese employees were effected in acco rdance with Decision No. 708/1999/QD-BLDTBXH 
of 15 June 1999.  He stressed that his G overnment respected and protected investors
' right to 
confidentiality of their business contracts, and in tended to address problems identified at all State 
agency levels.   
37. He added that on 19 March 2003 his Governme nt had issued Decree No. 27/2003/ND-CP 
providing for amendment of, and addition to, a number of Articles of Decree No. 24/2000/ND-CP 
with a view to simplifying procedures further.  The Decree (i) expanded the scope of activities where 
foreign investment was encouraged; (ii) narrowed th e list of sectors subject to conditional investment 
licences; (iii) abolished restrictions on labour recr uitment and capital contributions in the form of 
technology transfer; (iv) expanded the group of proj ects subject to investment registration – which 
was more open than the investment licensing re gime; and (v) eliminated the 20 per cent equity 
limitation on foreign investment in the form of tech nology transfer in joint ventures.  Viet Nam had 
authorized provincial committees and management co mmittees of industrial parks to grant licences to 
speed up procedures, and the Ministry of Planning and Investment was considering to decentralize 
further the authority to issue investment licen ses to provincial people’s committees and industrial 
zones’ management boards.  He noted that licences were granted within a week in the province of 
Binh Duong.  Efforts to establish a "one stop" agency for foreign investment were ongoing.  On 
6 June 2003, his Government had issued Decr ee No. 61/2003/ND-CP mandating the Agency of 
Foreign Investment within the Ministry of Planning  and Investment to administer foreign investment 
activities uniformly throughout Viet Nam.  Together with other concerned ministries and agencies, the 
Ministry of Planning and Investment was review ing existing regulations with the objective of 
abolishing provisions, procedures and licenses considered out-dated, overlapping or impeding the 
operation of FDI enterprises.  The Ministry of Planning and Investment had submitted a proposal to WT/ACC/SPEC/VNM/5 
Page 14  
 
  the Prime Minister which would allow provincial People's Committees and the management boards of 
industrial zones to grant investment licences.   
38. On 15 April 2003, his Government had issued Decree No. 38/2003/ND-CP, providing for the 
transformation of foreign invested enterprises into join t stock companies.  In addition, with a view to 
setting up a "level playing field" for foreign and domestic investors, Viet Nam was moving forward 
on creating a common Investment Law to be applied for both domestic and foreign investors.  His 
Government had also authorized the Ministry of Planning and Investment, the Ministry of Justice and 
other relevant ministries and agencies to elaborat e a uniform Enterprise Law which would apply to all 
enterprises irrespective of economic sector or form of ownership.  The draft Laws would be submitted 
for consideration by the National Assembly in 2006.  As to foreign investment in mining, Viet Nam 
had revised the Mineral Law to bring it closer to international practice.  According to Government 
Decree No. 76/2000/ND-CP of 15 December 2000 (Article 52.4), investment licences covering 
exploration, exploitation and processing activiti es were granted to fo reign individuals and 
organizations, and joint ventures.  He considered th is legislation in confor mity with international 
practice.  Management of foreign investment in mineral exploitation had been transferred to local 
authorities to improve the effectiveness of FDI management in this sector.   
State ownership and privatization 
39. The representative of Viet Nam said that Viet Nam was shifting from a system of central 
planning to a market-based economy.  Resolution No.51/2001/QH10 of 25 December 2001, which 
amended the 1992 Constitution, recognized seven types of  ownership – State-owne d, collective, private 
individual, households, private capita list, State capitalist and foreign investment – as equal before the 
laws.  State-owned enterp rises had accounted for 41 per cent of GDP in 1996, and 39.5 per cent of GDP 
in 2000.  All enterprises operating legally on the te rritory of Viet Nam and/or under the laws of 
Viet Nam were recognized and prot ected by the laws, including protec tion against nationalization.  The 
laws of Viet Nam did not yet recognize private ow nership of land, forests and water resources, but 
only recognized the right to use these properties.  Sustainable land use rights for land users, including the transfer of land-use rights, had been recogni zed by the State since 1993.  The State of Viet Nam 
recognized the ownership to fixed assets (except land) of foreigners during their residency in Viet Nam. 
40. The State-owned sector had been  restructured and reorganized since 1986, and in particular 
since 1991.  Their assets had been re-evaluated and a udited.  The State had abo lished direct monitoring 
and administration of enterprise s by governmental agencies.  Th e management of State-owned 
enterprises had been given autonomy, and were held  accountable for the performance of their business 
operations.  In the past, the profit s of State-owned enterprises had be en transferred to the State budget,  WT/ACC/SPEC/VNM/5 
 Page 15 
 
 
  and losses had been covered by subsidies from the St ate.  At present, insolvent State-owned enterprises 
would be treated as any other enterprises under th e Law on Bankruptcy, in force since 1 July 1994. 
41. Economic co-operatives were recognized and pr otected under the Law on Cooperatives.  In 
particular circumstances, co-operatives could assign land and capital goods to co-operative member 
households.  Cooperatives were mainly located in ru ral areas and engaged in agricultural production, 
handicrafts, rural transport and credit funding.   The Government assisted cooperatives through 
measures such as exemption from land use tax, tax ex emptions or reductions, and reduced tuition fees 
at public training institutions.  Proprietorships and h ouseholds played an important role in small scale 
production in Viet Nam.  The production of private enterprises and companies acc ounted for around 
8 per cent GDP.  In addition, business households accounted for approximately 9 per cent of GDP. 
42. Pursuant to the Prime Minister 's Directive No. 20/1998/CT-TTg of 21 April 1998 and Decree 
No. 64/2002/ND-CP of 19 June 2002, State-owned ente rprises had been transformed into joint-stock 
companies ("equitized").  Restrictions had been lif ted on the proportion of initially issued shares that 
individuals and legal entit ies could purchase, and the percentage of shares that had to be sold by 
auction to outsiders through financ ial institutions.  The Prime Mini ster had promulgated Decision 
No. 58/2002/QD-TTg on 26 April 2002, subsequent ly superseded by Decision No. 155/2004/QD-TTg 
of 24 August 2004.  The Decision specified the crite ria for classifying enterprises as State-owned and 
State corporations.  State-owned ge neral corporations would be merged , dissolved or transformed into 
individual enterprises.  Only a few qualified general corporations woul d be retained and restructured.  
He added that the State had taken measures to ac celerate the "equitization" of certain State-owned 
enterprises.  Asked to define the concept of "equiti zation", he said that it referred to the transformation 
of State-owned enterprises into joint-stock or limited liability companies.  The establishment and 
operations of such enterprises were subject to the Law on Enterprises.  The Government's equity in 
equitized company was not set and could therefore vary .  He considered the process a step towards the 
restructuring, upgrading and enhancement of the efficiency of State-owned enterprises, whereas 
revenue to the State budget was not the ultimate purpose.  The process foresaw diversity of 
ownership, including by the State and the employees,  and was implemented with consideration to the 
interests of the employees.   
43. Pursuant to the Prime Minister's Directive, ministries and agencies had classified and 
arranged State-owned enterprises in three groups; (i ) enterprises which would remain State-owned, 
(ii) enterprises in which the State would reta in special interest or controlling shares and 
(iii) enterprises in which the State would dispose of all its shares.  Group 1 were State-owned enterprises considered essential to  ensure national security a nd public order, implement the WT/ACC/SPEC/VNM/5 
Page 16  
 
  Government's poverty eradication policy and guara ntee the provision of goods and services that 
would not be viable for private enterprises, a nd therefore 100 per cent State-ownership should be 
retained.  Pursuant to Decision No. 155/2004/ QD-TTg, such enterprises included enterprises 
producing explosive materials, toxic chemicals, radioactive materials, weapons and dedicated 
equipment for security and defence purposes; en terprises printing money and valuable papers; 
publishing houses; and enterprises dealing with na tional power transmission grids; national and 
international telecommunications gateways and netw orks; air traffic control; lottery; urban lighting; 
sewage works etc.  Group 1 also included enterp rises providing essential services to people in the 
highlands and remote areas.  Notwithstanding their inclusion in Group 1, public-interest State-owned 
enterprises could be equitized upon approval of th e Prime Minister, for enterprises with capital 
exceeding 10 billion Dong (US$600,000), or decisions taken by a Minister, or the Chairmen of 
People
's Committees of provinces or cities, for enterp rises involving capital equal to or less than 
10 billion Dong. 
44. Group 2 were enterprises in which the State should retain special interest or controlling shares 
when equitizing, as their businesses were related secu rity or defence, the activities were considered 
vital to the economy, involved the supply of essen tial products, or activities which his Government 
believed the private sector was unwilling or unable to  engage in.  Group 2 included public-interest 
State-owned enterprises with capital of more than 10 billion Dong; enterprises engaged in exploitation 
of precious and rare ores, and enterprises engage d in large-scale mineral exploitation; providing 
technical services relating to oil and gas exploita tion; production of fertilizers, insecticides, 
pharmaceuticals and pharmaceutical chemicals; la rge-scale production of non-ferrous metals and 
precious and rare metals; large-scale electricity production, electricity transmission and distribution; aircraft repair; post and telecommunications services;  railway, airway and maritime transportation; 
printing, publishing and large-scale production of alc ohol, beer, and cigarettes; investment banks and 
banks for the poor; and enterprises engaged in large- scale trading of petrol.  Joint-stock companies 
were required to comply with the provisions of the Company Law (now Enterprise Law).  At least 
20 per cent of the enterprises in Group 2 subjec t to self-accounting had been targeted for 
"equitization" during 1998-99 in accordance with Directive No. 20/1998/CT-TTg of 21 April 1998.  
Group 3 consisted of enterprises in which the State di d not hold a controlling interest, having disposed 
of all or part of its shareholdings.   
45. Foreign investors were allowed to participat e in the equitization process by purchasing shares 
of State-owned enterprises in some sectors in  accordance with the Prime Minister Decision 
No. 36/2003/QD-TTg of 11 March 2003.  These sector s included textiles and garments; footwear; 
leather-processing; production and processing of agricultural, forestry and marine products;  WT/ACC/SPEC/VNM/5 
 Page 17 
 
 
  production of other consumer goods; pr oduction of construction materials;  road transportation, inland 
waterway transportation and container merchandise  transportation; production of stationery and 
teaching equipment for schools; production of toys ; commerce, hotel and hotel-related services; and 
mechanical engineering manufacturing.  The regul ation did not distinguish between enterprises 
producing for the local market or for exportation.  Moreover, Viet Nam did not prohibit the establishment of foreign invest ed enterprises competing with State-owned enterprises undergoing 
equitization.   
46. For equitized Group 2 and Group 3 enterprises, the total value of shares sold to foreigners 
should not exceed 30 per cent of a joint-stock company
's registered capital.  An auction would be 
required if the value of the shares bought by fore igners exceeded this thr eshold, unless the company 
would be transformed into an FDI enterprise and thus governed by the Law on Foreign Investment.  
Shares purchased by foreign investors were paid in local currency.  Foreign exchange was converted 
at the average inter-bank exchange rate announced by the State Bank of Viet Nam at the time of the 
sale.   
47. Equitized enterprises benefited from a 50 per cent reduction in corporate income tax for 
two years after the transformation had taken place.  The fees associated with the transformation were 
deducted from the State capital.  Enterprise empl oyees were entitled to buy shares at a discount, and 
cash bonuses were also distributed to the employees.   
48. A Member requested Viet Nam to provide a table detailing the progress in privatization and 
equitization, including data on completed transforma tions as well as future plans by major sector 
and/or size of enterprise.   
49. In reply, the representative of Viet Nam said that, up to 31 December 2003, Vietnam had 
"equitized" and diversified the owne rship of 1,718 enterprises and units.  His Government had issued 
Decree No. 103/1999/ND-CP of 10 September 1999 on the assignment, sale, contracting out, and 
leasing of State-owned enterprises.  By the end of 2000, about 100 State enterprises had been 
assigned, sold, contracted out or leased.  According to the 2002-2005 Plan for the restructuring and 
change of ownership of State-owned enterprises,  some 2,053 enterprises were expected to be 
equitized, while 200 were to be sold, 278 to be merged and 108 to be acquired.  During 2003, 537 
State-owned enterprises had been equitized and 67 had been assigned, sold or contracted out.  
Following the ownership transformation, most of  these enterprises were currently operating more 
efficiently and contributing to employment and in come generation for their employees.  In 2004, 
efforts had focused on large scale State-owned enterprises.   WT/ACC/SPEC/VNM/5 
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  50. He added that the National As sembly had adopted a revised Law on State-owned enterprises 
in December 2003 to improve the effectiveness of State-owned enterprises and ensure that these 
would compete with other enterprises on an e qual basis.  The revised Law provided for the 
progressive elimination of the subsidies granted to  State-owned enterprises (freezing and elimination 
of debts and preferential credits), and limited the involvement of the State in asset evaluation and approval in the mobilization of capital.  The revised Law also included provisions on owners' 
obligations and modification of the ownership stru cture.  Other important policy adjustments were 
expected in the near future, incl uding the restructuring of current public-interest enterprises, and the 
identification of public goods and services to be pr ovided by any enterprise through bidding, rather 
than by authorization.  A new Government Decr ee on Production and Provision of Public Services 
was being drafted, under which the concept of pub lic enterprises would be replaced by "public 
services to be provided by all enterprises irrespect ive of ownership".  Under this Ordinance, goods 
and services would be considered public services if (i) they were socially and economically essential 
for the country or a particular community, or c oncerned national security and defence; (ii) their 
production was not viable under market  conditions; and (iii) they had been procured to Government 
entities or were produced under governmental planni ng with prices and charges set by the State. 
Pricing policies  
51. The representative of Viet Nam said that his Government resp ected the autonomous right of 
enterprises and individuals operating legally in Viet Nam to set their prices.  Prices of most goods and 
services were determined by market forces.  The Ordinance on Price, which had come into effect on 
1  July 2002 and Decree No. 170/2003/ND-CP of 25 December 2003 guiding in detail the implementation of a number of Articles of this Ordi nance, confirmed that direct State intervention in 
pricing would be limited.  His G overnment would only use measures dire ctly affecting prices in case 
of dumping or abuse of monopoly position in order to stabilize the socio-economic environment, or to 
protect the legitimate interests of producers, consumer s and the State.  Such rates, the enterprises and 
individual businesses subject to price control, and the implementing period, were published widely in 
the media (television, newspapers and the internet ) in Viet Nam.  Since 2003, his Government had 
applied price controls only on petrol, electricity, postal and telecommunications services, air fares 
between Hanoi and Ho Chi Minh City, and potable water.    
52. The Ministry of Trade had been empowered to establish maximum import prices in 
accordance with Government Decree No. 33/CP of 19 April 1994.  Maximum import prices had been 
imposed on fertilizer, petroleum, iron and steel and certain machinery and equipment.  This price 
control measure had been temporary.  It had not applied to Viet Nam's trade on a regular basis and  WT/ACC/SPEC/VNM/5 
 Page 19 
 
 
  had been abolished pursuant to the Ordinance on Price No. 40/2002/PL-UBTVQH10 of the Standing 
Committee of the National Assembly of 10 May 2002.   
53. A Member noted that with the introduction of Value Added Tax on 1 January 1999, the 
Vietnamese authorities had issued "guidance" to en terprises not to add VAT to the price of their 
goods.  This Member considered such "guidance"  measures unreasonable.  The representative of 
Viet Nam replied that to avoid market disturban ce his Government had issued regulations requiring 
all businesses to declare publicly the selling pr ices of their goods.  His Government required 
enterprises to review their costs and set reasona ble prices, and had been strict in preventing 
enterprises from taking advantage of the introduction of VAT to increase their prices.  This 
"guidance" had however been phased out. 
54. He added that Viet Nam was phasing out gradually  a system of dual pricing according to which 
Vietnamese and foreign ente rprises and individuals were charged di fferent prices for identical goods or 
services.  Uniform telecommunications charges had been applied since 1 October 2000.  By February 2004, Viet Nam had eliminated the dual prici ng mechanism on domestic air fares (Decision 
No. 3226/QD-CHK of 26 November 2003), telecomm unication services, and port services, leaving 
only electricity subject to dual pricing.  According to the timetable for adjusting electricity prices 
approved by his Government, a common electricity price would be applied for both Vietnamese and 
foreigners as from the end of 2005.  Price reform  would be conducted in ta ndem with a reform of 
salaries aimed at raising people's income.   
55. Some Members were pleased that Viet Nam had eliminated dual prices on many goods and 
services.  These Members encouraged Viet Nam to implement the measures foreseen to eliminate all 
dual pricing prior to accession, including for electric ity, and reminded Viet Nam that in order to meet 
WTO requirements, price controls applied to trad e should be transparent and conform to other WTO 
provisions, e.g. national treatment a nd the avoidance of prejudicial effects on imports in Article III of 
the GATT 1994.   
56. The representative of Viet Nam confirmed that, from the date of accession, in the application 
of price controls, Viet Nam would apply such m easures in a WTO-consistent fashion, and take 
account of the interests of exporting WTO Members as provided for in Article III.9 of the 
GATT 1994, and in Article VIII of the General Agre ement on Trade in Services (GATS).  He also 
confirmed that Viet Nam had published the list of goods and services subject to State price control 
[and any changes in its Official Gazette] and would continue to do so after accession.  The Working 
Party took note of these commitments. WT/ACC/SPEC/VNM/5 
Page 20  
 
  Competition policy 
57. The representative of Viet Nam said that during the period of central planning in Viet Nam, 
government agencies had controlled all State- owned enterprises operating in each sector.  
Government agencies no longer had such controlli ng power, but they were still responsible for 
sectoral development policies ("sectoral management"). 
58. Viet Nam was drafting a Competition Law for pr esentation to the National Assembly.  In the 
meantime, specific anti-trust and competition matter s had been addressed in existing legislation, 
notably in the Law on Enterprises, the Commercial Law, the Ordinance on Consumer Protection (1999), and the Ordinance on Prices (effective as from  1 July 2002).  Viet Nam had been applying 
certain measures, such as prohibition of abuse of monopolistic power and price fixing, to encourage 
fair competition.  Asked whether the new Competi tion Law, once enacted, would apply equally to 
State-owned, privatized, equitized, foreign invested and private firms, or whether wholly or partially 
State-owned firms would be allowed to retain comp etitive privileges compared to other enterprises, he 
noted that the Competition Law, which was expected  to be adopted in November 2004, would cover 
State-owned, private, equitized and foreign invest ed firms.  The draft Law addressed the issues of 
anti-competitive agreements, abuse of dominant or monopoly position, and economic concentration.  
It prohibited the falsification of commercial inst ructions; infringement of business secrets; bribery, 
inducement or coercion in business; defamation of another enterprise; disruption of business activities 
of another enterprise; advertisement or prom otion aimed at unhealthy competition; associative 
discrimination; and illegal multi-level (pyramid scheme)  sale.  The draft Law specified the procedures 
for conducting investigations and hearings, the righ ts and obligations of the parties, and incurred 
penalties.  The draft Competition Law could be cons ulted at the website of the Ministry of Trade 
(http://www.mot.gov.vn).   
FRAMEWORK FOR MAKING AND ENFORCING POLICIES  
59. The representative of Viet Nam said that in the unitary State of Viet Nam the National 
Assembly was the highest organ of  State and legislative power in accordance with the 1992 Constitution 
of the Socialist Republic of Viet  Nam.  The National Assembly de cided on the fundamental domestic 
and foreign policies, socio-economic policies, nationa l defense and security issues, etc.  The State 
President and Vice-President, the Prime Minister, the President of the Supreme People's Court and the 
Head of the Supreme People's Proc uracy were all elected by the National Assembly.  The duration of 
each National Assembly legislature was five years.  The National Assembly held two regular sessions 
each year and, whenever necessary, extr aordinary sessions w ould be convened.   WT/ACC/SPEC/VNM/5 
 Page 21 
 
 
  60. The Standing Committee of the National Assembly was a permanent body entitled to enact and 
supervise ordinances and resolutions.  The Standing Committee also supervised the implementation of 
the Constitution and resolutions of the National Assemb ly, as well as the activities of the executive and 
juridical branches of government and local electe d bodies.  The Standing Committee of the National 
Assembly was authorized to interp ret the Constitution, laws and ordinances, and carry out the routine 
tasks of the National Assembly  in-between its sessions. 
61. The State President was elected by the National Assembly among its Deputies for a term 
similar to that of the National Assembly.  Among th e duties and powers of the State President were to 
promulgate the Constitution, laws and ordinances; to  negotiate and sign international agreements on 
behalf of the Socialist Republic of Viet Nam with  other heads of State; and to ratify or accede to 
international agreements, except in cases requiring ra tification by the National Assembly.  Pursuant to 
the resolutions of the National Assembly or the Standing Committee of the National Assembly, the 
State President could appoint, relieve from duty or dismiss the Vice Prime Minister, Ministers and other members of the Government, the Vice President of the Supreme People's Court, judges, and the Vice President and prosecutors of the Supreme People's Procuracy. 
62. Executive power to implement policies affec ting the economy, cultural and social life, 
national defense and security, foreign policy, etc.  rested with the Government, reporting to the 
National Assembly, the Standing Committee of the Na tional Assembly, and the State President.  The 
Government was in charge of foreign affairs.  It negotiated and signed in ternational agreements on 
behalf of the Socialist Republic of Viet Nam ex cept in cases falling under the responsibility of the 
State President, and on behalf of the Government; ratified international agre ements on behalf of the 
Government and monitored their implementation; and protected the interests of the State and Vietnamese organisations and citizens abroad.  The Government ensured implementation of the 
Constitution and the laws, prepared bills and draf t law amendments for approval by the National 
Assembly, issued by-laws (decrees and regulations ), and guided the implementation of laws and 
ordinances.  It exercised administrative power at all levels of the administrative system, i.e. central 
government, provinces and cities directly under the cen tral government, districts, precincts and ward 
communes.  Provincial People's Committees carried out  State administrative management and control 
over foreign economic activities within their pr ovinces pursuant to the Constitution, the Law on 
Organization of People's Councils and People's Comm ittees, and other relevant legislation.  The 
Government ensured uniform nationwide implementation of the legal system. 
63. The Prime Minister was empowered to promulgate  decisions and directiv es to implement laws, 
ordinances and law-decrees; to suspend or annul deci sions, directives, and circul ars issued by Ministers WT/ACC/SPEC/VNM/5 
Page 22  
 
  or other senior members of the Government, and decisions or directives issued by the People's 
Committees and by the President of the People's Co mmittees of provinces and cities under central 
management which were considered contrary to the Constitution, laws and other legal documents issued 
by higher-level State agencies; to suspend the impl ementation of resolutions issued by the People's 
Councils of provinces or cities under central management which we re considered contrary to the 
Constitution, laws and other legal documents issued  by the higher-level State agencies, and to propose 
their annulment by the Standing Committee of th e National Assembly.  The main ministries and 
agencies involved in trade and investment related policies were the Ministries  of Trade, Planning and 
Investment, Finance, Foreign Affair s; the Office of the Government; and the People's Committees of 
provinces and cities directly  under central government rule. 
64. He confirmed that the National Assembly was the only body empowered to promulgate the 
Constitution and laws.  In case of conflict between pr ovisions of legally equivalent documents, the most 
recently promulgated provisions would prevail.  Pursuant to the Law on the Enactment of Legal Documents of 12 November 1996 and the Law on amen dment of and addition to a number of Articles 
of the Law on Enactment of Legal Documents adopted by the National Assembly on 
16 December 2002, the hierarchy of laws in Viet  Nam comprised - in descending order - (i) the 
Constitution of the Socialist Republic of Viet Nam, (ii) legislation issued by the National Assembly, 
including laws and resolutions, (iii) legislation issued by the National Assembly's Standing Committee including ordinances and resolutions, (iv) orders and decisions of the State President, 
(v) resolutions and decrees of the Government and decisions and instructions of the Prime Minister, 
(vi) decisions, instructions and circulars issued by  Ministers and heads of ministry-equivalent bodies, 
(vii) resolutions of the Judicial Committee of the Supreme People's Court; decisions, instructions and 
circulars issued by the Head of the Supreme People' s Procuracy, (viii) resolutions and circulars issued 
jointly by government authorities, government authorities and socio-political organizations, and 
(ix) legislation issued by People's Councils and People Committees at different levels in order to 
implement the legislation of superior government authorities.   
65. He noted that Viet Nam's legislation neither provided for direct applicability of international 
treaties in the national legal system nor did it ban the direct application of such treaties.  The 
Ordinance on the Conclusion and Implementation of Treaties mainly addressed the classification of 
treaties, the process and the authority to propose, negotiate, conclude and im plement treaties, and did 
not stipulate whether a treaty was directly applicable in the legal system of Viet Nam.  However, the 
Ordinance required Vietnamese agencies proposing,  negotiating, concluding and implementing 
treaties to review domestic laws and to propose th e amendment of, addition to, revocation or issuance 
of legal documents in order to implement such treati es.  In addition, many (but not all) Vietnamese  WT/ACC/SPEC/VNM/5 
 Page 23 
 
 
  legal documents included a general provision that "i n case that treaties to which Viet Nam is a party 
stipulate otherwise, the provisions of those treaties shall prevail".  He added that a Law on Treaties 
was in preparation and was expected to be subm itted to the National Assembly for comment at the 
end of 2004.  He expected the new Law on Treaties would clarify further the hierarchical order of treaties in the legal system of Viet Nam.  Concer ning the application of MFN and national treatment, 
he noted that the Ordinance on Most Favoured Natio n and National Treatment in International Trade 
No. 41/2002/PL-UBTVQH10, which had entered into  force on 1 September 2002, provided for the 
general principles of non-discriminatory treatment in trade, as well as exceptions to MFN and national 
treatment in strict accordance with WTO rules.   
66. The Supreme People's Procuracy supervised the fu ll and strict observance of the law by local 
authorities and had the right to initiate public pr osecution.  Local People's Procuracy and Regional 
Military Procuracy supervised judicial activities and exercised the right to initiate public prosecution 
within their jurisdictions.  
67. Viet Nam's judicial system comprised the Supreme People's Court, local People's Courts and 
military tribunals.  The National Assembly could also decide to establish special tribunals.  The 
Supreme People's Court supe rvised and directed the judicial work of local People's courts and military 
tribunals.  The President of the Supreme People's C ourt reported to the National Assembly or, when not 
in session, to its Standing Committee and to the Stat e President.  Hearings of  the People's Courts were 
public except in cases determined by the law.  Judg ements by the Civil Courts were executed by central 
and local level bodies under uniform admini stration by the Ministry of Justice. 
68. Encouraged by some Members to improve opportuniti es for consultation prior to the passage of 
laws, and to accelerate the process of issuing guidelines accompanying the relevant laws, the 
representative of Viet Nam noted that Viet Nam had made considerable progress in speeding up 
procedures for the promulgation of legal documents.  Government agencies involved in the drafting of 
legal documents were required to offer individuals and organizations  an opportunity to comment on the 
legal document, and to take account of these commen ts according to Article 3 of the amended Law on 
Promulgation of Legal Documents, approved by th e National Assembly on 16 December 2002 (see also 
the section "Transparency").  In response to Memb ers' observations that conflicting provisions in 
Viet Nam's legislation encouraged subjective in terpretation and complicated enforcement, the 
representative of Viet Nam did not share these views, particularly in respect of legal documents issued 
by the National Assembly or its Standing Committee in the area of international trade.  He stressed that 
Viet Nam was making every effort to identify and correct discrepa ncies among its laws and regulations.  
Viet Nam would also consider propos als to move from a "positive" to a "negative" list approach in its WT/ACC/SPEC/VNM/5 
Page 24  
 
  legislation, whereby activities woul d be considered permitted unless e xpressly prohibited by law.  The 
principle had already been applied, for example, in the Constitution (Article 16) and in the Enterprise 
Law (Article 6).  However, the "negative" list a pproach was still a novelty in Viet Nam, and would 
require further examination and evaluation.  In rega rd to a suggestion that Viet Nam should make its 
laws self-enforcing, he stressed that Viet Nam was making every effort to enforce laws immediately after promulgation.   
69. The representative of Viet Nam said that proce dures for negotiation, conclusion and approval 
or ratification of international treaties were re gulated by the Ordinance on the Conclusion and 
Implementation of International Treaties of 20 A ugust 1998.  The State President decided on the 
ratification of international agreements, except in ca ses where these would need to be submitted to the 
National Assembly for decision.  International trea ties subject to ratification were those addressing 
issues concerning peace, security, territorial borde rs and national sovereignt y; the basic rights and 
obligations of citizens and judicial cooperation; th ose containing provisions not  stipulated in, or in 
contradiction of, provisions in lega l documents issued by the National Assembly, the National Assembly 
Standing Committee or th e State President; treaties having an impact on the State budget upon 
submission by the Government for ratification; or treaties cont aining provisions on mandatory 
ratification.  International treaties signed on behalf of the Government, or Ministries subject to approval, 
were those containing provisions on mandatory approval , or treaties containing provisions not stipulated 
in, or in contradiction of, legal documents issued by his Government .  He confirmed that accession to 
the WTO would require ra tification.  The National Assembly was competent to supervise the 
implementation of international agreements in Viet  Nam and to promulgate legal documents for the 
implementation of such international agreements. 
70. Procedures for the settlement of economic di sputes were stated in the Ordinance on 
Procedures for Settlement of Economic Cases, a dopted by the Standing Committee of the National 
Assembly on 29 March 1994.  All parties to an ec onomic dispute were entitled to bring their cases to 
the People's courts for resolution within 6 months from the date on which the dispute had arisen.  He 
expected the Code for Prosecution of Civil Cases and the Ordinance to be amended to extend the 
current time limit from 6 months to 2 years.  Disputes involving a foreign party were solved by 
People's courts at the provincial level in accordance with first instance procedures.  The court would 
seek amicable settlement before th e first instance hearing.  The fi rst instance hearing was conducted 
by a council of trial comprising two judges and one juror, deciding by majority vote.  All parties were entitled to appeal against the first instance court' s judgment or decision and to request the People's 
court at a higher level to conduct the second instance tr ial within 10 days from the date of declaration 
of the court's judgment.  The judgement of the court of first instance would be legally effective if not  WT/ACC/SPEC/VNM/5 
 Page 25 
 
 
  appealed within this time-limit.  Except in comple x cases, the court of appeal would generally open 
the appeal hearing within one month after the date of receipt of all documents submitted by the court 
of first instance.  The judgment or decision of the court of appeal would be legally effective. 
71. Individuals and organizations were entitled to a ppeal administrative decisions or actions to 
the courts if they considered such decisions or  actions illegal pursuant to the Law on Complaint and 
Denunciation.  Disputed administrative decisions woul d first be appealed to the agency having taken 
the decision.  The appeal should be lodged within 90 days from the date of receipt of the decision 
(Article 30 of the Law on Complaint and Denunciati on).  If the complainant was not satisfied, he 
could further appeal to the immediate higher administ rative level or initiate legal proceedings with an 
Administrative Court (paragraph 7 of Article 1 of Law No. 26/2004/QH11 amending the Law on 
Complaints and Denunciation and paragraph 1 of Article 1 of Ordinance No. 10/1998/PL-
UBTVQH10 of 25 December 1998 amending the Or dinance on Procedures for Settlement of 
Administrative Disputes).  Article 1 of the Ordinance on Procedures for Settlement of Administrative Disputes, adopted on 21 May 1996, and its amendmen ts of 25 December 1998, stipulated that every 
individual, entity and governmental body had the ri ght to initiate a case before the Administrative 
Court to protect their legitimate rights and inter ests.  The Administrative Court had competence to 
handle economic-related administrative cases such as petitions against administrative decisions or 
administrative actions concerning land management, th e grant or withdrawal of permits and licences 
in construction, production and bus iness, forced requisition, purchase or confiscation of property, the 
collection of taxes and tax arrears, and decisions or actions concerning the collection of charges and 
fees.  The Administrative Court was a judicial tr ibunal in the system of People's Courts and was 
independent from the executive branch.  He confir med that according to Article 11 of the Ordinance 
on Procedures of Settlement of Administrative Cases issues relating to customs, taxes, licensing fees 
and charges were all under the purvi ew of administrative courts. 
72. A Member noted that most WTO members allowe d for the full use of administrative appeals 
prior to recourse to the courts, and that participa tion in one process would not preclude recourse to the 
other.  This Member urged Viet Nam to consider the advantages of allowing both avenues of appeal 
in the context of its accession.  The representative of  Viet Nam confirmed that current legislation did 
not allow simultaneous appeal of an administrativ e decision to a higher administrative authority and 
recourse to legal proceedings.  He added that this  question had raised an important issue to be 
considered in the process of administrative and judicial reform in Viet Nam.   
73. Court judgments or decisions having come into  legal force could be challenged under the 
judicial procedure. The President of the Supreme Pe ople's Court and the Head of the Supreme People's WT/ACC/SPEC/VNM/5 
Page 26  
 
  Procuracy had the right to protest ag ainst judgments or decisions, which ha d taken effect, of  Courts at all 
levels.  The Vice President of the Supreme People's  Court and the Deputy Head  of the Supreme People's 
Procuracy had the right to protest against judgments or  decisions (which had taken effect) of lower-level 
Courts.  The President of the provincial People's Court and the Head of the provincial People's 
Procuracy also had the right to protest against effect ive judgements or decisions of lower-level Courts.  
The Head of the Supreme People's Pr ocuracy had the right to request re trial of judgements or decisions 
(which had taken effect) of People's Courts or Military Courts at all levels.  The Head of the provincial 
People's Procuracy had the right to request retrial of effective judge ments or decision s of district 
People's Courts.  The Head of the Regional Militar y Procuracy could request retrial of effective 
judgements or decisions of Regional Military Courts.  The trial panel was entitled to reject a protest, to 
retry a case under the first instance or appeal procedures, or to modify  the judgements or decisions of the 
case.  Judgments or decisions of the People's cour t in economic disputes were mandatory, and enforced 
in accordance with the Ordinance on implementation of civil judgments. 
74. Procedures for settlement of economic disputes by  arbitration were provided in Government 
Decree No. 116/CP of 5 September 1994 on the Organi zation and Activities of Economic Arbitration.  
If the parties to a dispute did not want to file a petition to the People's court, they could choose, by 
consensus, to resolve the dispute by an economic arbitration centre.  The pe tition should attach a 
written agreement on the choice of arbitrators and other re lated documents.  Arbi tration decisions were 
final and binding, and could not be appealed by an y party.  However, if a party did not accept the 
decision, he would have the right to request an auth orized People's court to try the case in accordance 
with the procedure on settlement of economic cases.  Ordinance No. 08/2003/PL-UBTVQH on 
Commercial Arbitration had been adopted by the National Assembly Standing Committee on 
25 February 2004 in order to replace Decree No. 116/CP of 5 September 1994 and Decision 
No. 204/TTg of 28 February 1993 of the Prime Minist er.  The Ordinance had entered into force on 
1 July 2003.  The Ordinance expanded the concept of  commerce to be consis tent with international 
practice and stipulated that decisi ons of an arbitrator would be fina l and binding, unless nullified by a 
court according to the provisions of this Ordinance.   Domestic and internati onal arbitration judgments 
had immediate ef fect in Viet Nam.  Arbitrat ors were selected by the Part ies or appointed by the court 
and could be foreign arbitrators und er the law of their home countries .  Arbitrators did not necessarily 
have to be selected from the list of members of the Viet Nam Arbitration Center.  The Ministry of Justice was responsible for the organization of and ac tivities of arbitrators and, once established, the 
Arbitration Centres should ope rate according to the Charter and Proce dural Rules of Arbi tration Centres.  
Unless specified otherwise, the d eadline for the filing of an arbitration case would automatically be 
two years from the date the dispute had arisen.    WT/ACC/SPEC/VNM/5 
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  75. A Member asked the representative of Viet Nam to confirm that sub-central entities had no 
autonomous authority over issues of subsidies, ta xation, trade policy or any other measures covered 
by WTO provisions, and that Viet Nam would apply the provisions of the WTO agreement, including 
its Protocol of Accession uniformly throughout its  customs territory and other territories under its 
control, including in regions engaging in border trad e or frontier traffic, special economic zones, and 
other areas where special regimes for tariffs, taxes a nd regulations were estab lished.  Viet Nam should 
also confirm that, after accession, when informed  of a situation where WTO provisions were not 
being applied or applied in a non-uniform manner, the central authorities would act to enforce WTO 
provisions without requiring affected parties to petition through the courts. 
76. The representative of Viet Nam replied that the assignment of authorisation to different levels 
of administration was determined by Viet Nam's laws.  Thus, according to the Law on Organization of 
People's Councils and People's Committees of 26 November 2003, the functions of provincial 
People's Committees included (i) the establishment of  plans to develop trade, services and tourist 
networks and participate in inte rnational cooperation in trade, services and tourism as stipulated by 
laws; (ii) issuing and revoking li censes for tourist businesses, tourist areas, tourist spots, hotels, and 
local travel agencies within a prov ince as regulated by laws; (iii) market supervision and organization 
of export-import management as regulated by laws; and (iv) inspection and supervision of trade, 
services and tourism activities to ensure their compliance with laws and regulations.  The 
decentralization of management functions to People's Committees at different levels was also 
stipulated in other specific laws.  However, th e People's Committees implemented the administrative 
functions specifically stipulated in legal docum ents, and were required to comply with these 
documents.  Viet Nam would ensure uniform application of its commitments upon accession to the WTO.  His Government would implement measures as necessary to carry out its obligations required by the WTO and the obligations of Viet Nam stipulat ed in its accession Protocol.  He confirmed that 
local authorities had no right to promul gate any kind of fees on imported goods. 
77. A Member appreciated the information and assurances provided by Viet Nam concerning the 
application of national treatment, MFN, transparency, right of appeal, and the authority of sub-central 
entities in trade policies issues and invited Viet Nam to take appropriate commitments in these areas.  
The representative of Viet Nam replied that Viet Nam would make every effort to implement its 
obligations according to the schedule it had comm itted to, including thro ugh the amendment of 
existing laws and regulations and adoption of new le gislation.  He further confirmed that Viet Nam 
would ensure transparency and notify changes in Viet Nam's legislation in accordance with the WTO 
and Viet Nam's Protocol of Accession. WT/ACC/SPEC/VNM/5 
Page 28  
 
  POLICIES AFFECTING TRADE IN GOODS  
Trading rights (the right to import and export)  
78. The representative of Viet Nam said that, in th e past, only businesses licensed by the Ministry 
of Trade had been allowed to import and export.   The regulation distinguished between production 
enterprises and non-production enterprises, including those specialized in commerce and the supply of 
services (i.e. tourism, transportation, forwarding etc.).  Production enterprises were required to be 
legally established in Viet Nam and to operate in the line of business for which they had been 
registered initially. 
79. The import-export licensing requirement had been  abolished by virtue of Government Decree 
No. 57/1998/ND-CP of 31 July 1998, and a workin g capital requirement for trading enterprises was 
no longer effective.  As of 1 September 1998, all wholly Vietnamese-owned enterprises - irrespective 
of ownership structure, nature (trading or manufact uring) and size of capital - were allowed to import 
and export goods.  However, business activities in some  sectors were prohibited (arms, narcotics, etc.) 
or conditional (mainly for safety, human health and environmental purposes).  His Government did 
not limit or otherwise intervene in the scope of bus iness chosen by Vietnamese enterprises and, except 
in the prohibited sectors, wholly Vietnamese-owned enterprises were entitled to determine their scope 
of business at their own discretion.   
80. Concerning importation by foreign invested enterp rises, past regulations were still in force.  
Foreign-invested enterprises were subject to  the Law on Foreign Investment, while domestic 
enterprises were subject to a different set of re gulations.  Viet Nam did not encourage foreign 
investment in pure trading without a local production or manufacturing base.  Foreign invested enterprises and foreign joint venture enterprises were  not permitted to import goods for distribution in 
Viet Nam.  Foreign invested enterprises were a ccordingly allowed only to import goods used as inputs 
in the manufacturing process, and machinery, equipm ent, transportation means and materials used in 
the construction and installation of the project  in accordance with th e investment licence. 
81. As a step towards levelling the playing field between Vietnamese-owned and foreign invested 
enterprises, the Government of Viet Nam had promulgated Decree No. 10/1998/ND-CP on 
23 January 1998.  The Decree allowed foreign in vested manufacturing enterprises to purchase goods 
in the local market for direct exportation or e xportation after processing, except goods prohibited to 
export (also applicable to Vietnamese enterp rises) as well as (i) rice (HS 1006.10-1006.40), 
(ii) explosives and inflammables (HS 3601-360 4 and 3606), (iii) books and magazines (HS 4901, 
4902), (iv) pearls, precious stones and metals, a nd jewellery (HS 7101-7116 a nd 7118), (v) fine art  WT/ACC/SPEC/VNM/5 
 Page 29 
 
 
  items, collectibles and antiques (HS 9701-9706), (v i) garments and textiles destined for the 
European Communities, Canada, Norway and Turkey , (vii) processed items made from wood, (viii) 
coffee beans, (ix) wild an imals, (x) forestry plants  for seeds, (xi) aquatic products, and (xii) minerals 
(see also Annex II in document WT/ACC/VNM/9).  Foreign invested enterprises could only export 
goods falling within these categories if indi cated in their investment licences.   
82. Categories (iii), (vi), (viii), (xi), (xii) and part  of (v) had subsequently been removed from the 
list of goods FDI enterprises were not allowed to  purchase for export in accordance with Circular 
No. 26/2001/TT-BTM of 4 December 2001.  Pursuant to Government Decree No. 24/2000/ND-CP of 31 July 2000 foreign-invested enterprises and bus iness co-operation parties were allowed not only to 
export directly or authorize agents to export th eir products, but also to purchase goods and products 
directly in the Vietnamese market for processing  for export or for exportation without further 
processing, except for prohibited exports or certain exports specified by the Ministry of Trade for 
particular periods.  Foreign invested enterp rises and business cooperation parties exported goods 
subject to the list of conditional exports, and imported goods in accordance with their awarded 
investment licences.  Pursuant to Decree No. 45/2000/ND-CP of 6 September 2000, branches of 
foreign traders were allowed to purchase handicraf ts, agricultural products and processed agricultural 
products (except rice and coffee), vegetables and processed vegetables, consumer goods, poultry and 
cattle meat and processed foodstuff for export.  Th ese branches were also permitted to import certain 
goods for sale in the Vietnamese market – machinery;  equipment for mineral exploitation, processing 
of agricultural products and a quatic products; materials for production of human and animal 
medicines; and materials for the production of fe rtilizer and pesticides - provided they used the 
foreign exchange earned from export activities to fi nance the imports, and had obtained a licence from 
the Ministry of Trade.  Viet Nam did not apply foreign exchange regulati ons for importation specific 
to foreign invested enterprises. 
83. Concerning changes in the scope of business, Article 61 of the Foreign Investment Law 
stipulated that "any change to business objective of an enterprise must be approved by competent 
authority".  Wholly Vietnamese-owned enterpri ses intending to amend the Business Registration 
Certificate had to re-register with the local De partment of Planning and Investment.  National 
Corporations belonging to the Government were also obliged to comply with this procedure, but these 
registered with the Ministry of Planning and Investment.   
84. Some Members noted that importation of items d esignated to be of special importance to the 
national economy were reserved for "specialized  business enterprises".  Annex 3 of document 
WT/ACC/VNM/3/Add.1 contained all possible items falling under the category of special importance WT/ACC/SPEC/VNM/5 
Page 30  
 
  as of 1997, and Viet Nam was requested to provide information on the frequency and procedure of 
adding and removing items of special importance.  Th e representative of Viet Nam replied that import 
trading rights had been relaxed considerably over th e past years.  Importation of items designated to 
be of special importance to the national economy was no longer reserved for "specialized business 
enterprises", except for the products listed in document WT/ACC/VNM/14/Add.1.   
85. Some Members stated that foreign-invested fi rms did not have the same rights to import, 
import for resale, or export as Vietnamese firms.  Th e current system granted a preference to national 
companies over foreign ones and denied imported goods national treatment as required by Article III 
of the GATT 1994.  Restricting importation to it ems specified in the investment licence or the 
Business Registration Certificates could be seen as  a non-tariff barrier to importation prohibited by 
GATT Article XI.  These Members insisted that Viet Nam should eliminate this discriminatory 
system, thus allowing domestic and foreign individuals  and firms to import inputs and finished goods 
for resale, and to export without any restriction ot her than those consistent with GATT Articles XX 
and XXI.  The process should be completed prior to  or by the time of accession to the WTO, as 
national treatment was a basic requirement of the WTO.  Viet Nam should provide additional 
information to the Working Party on its plans to  ensure national treatment in this regard.   
86. The representative of Viet Nam replied that, in his opinion, the restrictions outlined above did 
not violate the national treatment obligation of Ar ticle III of the GATT 1994 and did not amount to an 
import restriction as enterprises were free to define  their scope of business (trading lines) and hence 
free to determine the list of imported goods indicate d in their Certificate of Business Registration, 
except for goods listed as prohibited imports a nd exports.  Article 61 of the Law on Foreign 
Investment stipulated that any change in the bus iness objective of an enterprise with foreign owned 
capital required approval by the competent authority.  In his view, the provisions of Article 61 of the 
Law on Foreign Investment did not cause any im pediment to the importation of equipment, 
machinery, and materials used in the establishmen t and production of these enterprises.  Importation 
of goods for resale in Viet Nam was, in his opi nion, a matter relating to distribution services and 
therefore to be addressed in the bilateral market access negotiations on trade in services.  Concerning 
exports, he confirmed that the rights of foreign i nvested enterprises to export were identical to those 
of Vietnamese enterprises.   
87. The representative of Viet Nam confirmed that  wholly Vietnamese-invested enterprises had 
been granted full rights to trade since 1 January 2002.  Regarding foreign invested enterprises, he 
proposed to phase in import trading rights gradua lly in accordance with the conditions and the  WT/ACC/SPEC/VNM/5 
 Page 31 
 
 
  timeframe detailed in Table 1.  He confirmed that  foreign-invested enterprises enjoyed the same 
export rights as domestic firms. 
88. Some Members were concerned about the discriminatory nature of Viet Nam's proposed 
import trading rights system, in particular the numb er of areas "unbound" and number of products for 
which trading rights would not be phased in befo re 2008 or 2010; Viet Nam's commitment on joint 
ventures, according to which 100 per cent foreig n-invested enterprises would be allowed to be 
established to engage in import-export activities only from 1 January 2009; the business restrictions to 
which joint ventures would be subject, and the enforcement requirements for customs and fiscal 
purposes described in point 6 of Table 1.  Viet Nam was invited to elaborate further on its proposed "Commitments on Trading Rights" with a view to addressing the issue of national treatment.  A Member sought a commitment from Viet Nam that from the date of accession, any natural or legal 
person, domestic or foreign, would have the right to be the importer or exporter of record of any 
product allowed to be imported into  or exported from Viet Nam, and in the case of importation, would 
have the right to sell those products to any legal or  natural person, domestic or foreign, having the 
right to distribute them.  This Member sought confirmation that trading rights would be administered 
in conformity with all relevant WTO provis ions by the time of Viet Nam's accession. 
89. In response, the representative of Viet Nam sa id that trading rights were "unbound" when 
importation rights of Vietnamese and foreign-invested enterprises on the products concerned had been reserved for a certain period of time.  He added that time was required to merge the import trading 
rights systems for foreign and domestic legal pers ons, promulgate the necessary regulations, and 
strengthen the management/administrative capacity of  the Government's agenci es involved.  For these 
reasons, his Government requested that the Work ing Party grant Viet Nam a transition period.  
1. Import Regulation  
Customs tariff 90. The representative of Viet Nam said that Viet Nam had begun levying import duties in 
accordance with the Law on Import, Export Duties for Commercial Goods of 29 December 1987.  In 1991, Viet Nam had promulgated the Law on Export-Im port Duties, which had replaced the 1987 Law.  
The Law on Export-Import Duties had been amen ded in 1993 and 1998, and the tariff rates were 
accordingly decided by his Government within dut y bands promulgated by the Standing Committee of 
the National Assembly (see paragraph 93 below).   WT/ACC/SPEC/VNM/5 
Page 32  
 
  91. At the time of circulation of the Me morandum on the Foreign Trade Regime in 
September 1996, Viet Nam's import tariffs ranged from zero to 60 per cent.  About 52 per cent of the 
tariff lines fell in the 0-5 per cent range.  The av erage tariff on major imported items such as 
automobiles (for detailed rates see document  WT/ACC/VNM/3 pp.107-109), alcoholic and non-
alcoholic beverages, petroleum, air-conditioners, re frigerators, electric household appliances, cement, 
plastics, rubber, paper and steel was 33.5 per cent.   The trade weighted average duty collected on 
imported goods amounted to 15-16 per cent in 1996.  Viet Nam's tariff schedule had been modified 
several times since then in respon se to the country's development needs.  The number of tariff bands 
had been reduced, as well as the number of tariff lines subject to zero tariff.  In principle, the rate of 
duty applied to imports should not exceed 60 per cent of the c.i.f. price at the point of customs clearance.  In order to improve the transparency of its trade policy regime and fulfil commitments vis-
à-vis  the IMF and the World Bank, Viet Nam had gradually removed import restrictive non-tariff 
measures after 2000 and replaced them by import duties and surcharges (see also the section on 
"Other Duties and Charges").  By the end of 2003, most import surcharges had been incorporated into 
import duties to ensure greater transparency.  Th us, Viet Nam's customs tariff included some MFN 
tariff rates exceeding 60 per cent.  He provided a list of MFN tariff rates exceeding 60 per cent, 
including a description of the products , in document WT/ACC/VNM/28/Add.1. 
92. Some Members requested information on the implementation of the Harmonized System 
nomenclature in Viet Nam and further work to align with the ASEAN Harmonized Tariff 
Nomenclature (AHTN).  Viet Nam was also asked to clarify its "Current Statutory Applied Ceiling 
Rates" and their relationship with the applied customs tariff.  Some Members observed that 
Viet Nam's present tariff system lacked transparency, and urged Viet Nam to submit its current customs tariff and detailed trade statistics to f acilitate the market access negotiations on goods.  A 
Member said that his authorities had been advised  by exporters that Viet Nam had increased the 
import duty on wheat flour from 10 to 20 per cent in October 1998, and wondered whether Viet Nam 
had raised import duties on any other products.  Th is Member considered such action inconsistent 
with the standstill expectation on new trade distorting measures. 
93. In reply, the representative of Viet Nam said that the Harmonized System Convention had 
come into force in Viet Nam on 1 January 2000,  making Viet Nam's tariff nomenclature in full 
compliance with the HS 1996 nomenclature at the six-digit level.  Viet Nam's nomenclature had subsequently been harmonized with the AHTN at the eight-digit level, in full consistency with 
HS 2002.  The new tariff nomenclature had been issued by virtue of Decision No. 82/2003/QD-BTC 
of 13 June 2003.  Concerning the tariff rates, he  noted that the Standing Committee of the National 
Assembly had established maximum rates of duty at  the four-digit HS level ("Current Statutory  WT/ACC/SPEC/VNM/5 
 Page 33 
 
 
  Ceiling Rates of Duty"), which constituted the legal basis for the "effective rates of duty" established 
by the Government at the eight-digit level, currently stipulated in Decision No. 110/2003/QD-BTC of 
25 July 2003, which had replaced previous legal documents governing this issue.  A copy of the 
Effective Import Tariff (MFN rates) was provide d to the Working Party (see notice in document 
WT/ACC/VNM/28/Add.1), as well as import a nd export statistics for 1998-2000 (see 
WT/ACC/VNM/27).  Although he recognized that fre quent changes in the tariff rates limited the 
stability of the tariff policy and affected business pl ans, he stressed that the Vietnamese economy was 
undergoing transition and restructuring and the tariff nomenclature was being adjusted to keep up with the economic changes and to assist the developm ent of domestic infant industries.  Changes in 
tariff rates were decided in consultation with the business community and the ministries and agencies 
concerned.  He assured the Working Party that Viet  Nam would make best efforts to publish the rates 
prior to application and to stabilize the tariff ra tes.  The customs tariff introduced through Decision 
No. 110/2003/QD-BTC had been published in the Offici al Gazette and circulated widely prior to the 
entry into force.  Tariff rates on petrol and some  iron and steel products had been changed recently 
due to wide price fluctuations in world markets. 
94. He noted the preference expressed by some Members for ad valorem  duty rates and their 
concern that any future conversion to specific duties would lead to reduced transparency and 
predictability, but stressed that Viet Nam might n eed to apply specific or compound duty rates on 
certain items in the future to co unter customs fraud.  The applicati on of specific duties, their scope 
and rate were still under consideration.  Three sensitive items subject to fraud, representing about 
100 tariff lines, were likely to be targeted .  He stressed that any conversion of ad valorem  rates after 
Viet Nam's accession to the WTO would comply with the procedures for modification of schedules under Article XXVIII of the GATT 1994 as well as othe r relevant regulations of the WTO.  In 
response to renewed concerns from Members and comments that Article XXVIII negotiations were 
time consuming and inappropriate for addressing this kind of issue, he assured that his Government 
would endeavour to ensure transparency and limit as much as possible any possible resort to GATT 
Article XXVIII.  
95. The representative of Viet Nam added that pursuant to the Law on Import-Export Duties of 
1998, as amended, Viet Nam's trad ing partners were subject to ta riff treatment at the "special 
preferential", MFN or "standard"  rate (also referred to as nor mal or non-MFN rate).  "Special 
preferential rates" appl ied to goods imported from countries having signed special preferential trade 
agreements with Viet Nam, i.e. free trade and customs unions agreements and agreements to facilitate border trade, such as the Common Effective Preferential Tariffs implementing the ASEAN Free Trade 
Area.  MFN rates (or "preferentia l rates") were levied on goods impo rted from countries having signed WT/ACC/SPEC/VNM/5 
Page 34  
 
  agreements on most-favoured nation treatment with Viet Na m, while standard rates applied to products 
imported from other countries.  Under the Law, st andard rates could not ex ceed 170 per cent of the 
MFN rates.  Current standard rate s were applied uniformly at 150 per cent of the MFN rate.  He added 
that standard rates were rarely applied as Viet Nam had signed bilateral trade agreements with almost all its trading partners.  General pr ovisions also allowed Viet Nam to impose additional import duty on 
goods originating in countries discriminating agains t goods originating in Viet Nam on the basis of 
tariffs or other measures.  However, Viet Nam had never invoked these gene ral provisions and had no 
specific provisions regulating such cases, and he could therefore not indicate the criteria Viet Nam would use to identify such discriminatory treatment .  He confirmed that after accession to the WTO, 
any measure taken by Viet Nam in response to discr iminatory treatment would be consistent with the 
principles stipulated in the WTO Agreements.  The Standing Committee of the National Assembly 
had adopted the Ordinance on Most Favoured Nati on and National Treatment on 22 May 2002, which 
required Viet Nam to comply with MFN and national tr eatment provisions of international treaties.   
96. Viet Nam aimed at a uniform import tariff regime for border trade and international trade.  In 
response to a specific question, he added that Vi et Nam had not signed any agreement with Cambodia 
favouring border trade.  According to Decisi on 0724/99/QD/BTM of 8 June 1999, border trade by 
local residents amounting to 500,000 Dong (about  US$35) per passage per day were exempt from 
customs duty.  The excess value was subject to normal tariff treatment.  Cargoes cleared through 
Customs by businesses were of commercial nature and therefore subject to normal duty.  The same 
principles applied to trade along the borders with China and the Lao PDR. 
Other duties and charges  
97. The representative of Viet Nam said that his Government had operated a Price Stabilization 
Fund since April 1993.  The difference between do mestic and world market prices for certain goods 
was monitored, and surcharges were collected in ca se of significant fluctuations.  The Government 
decided or authorized the Head of the Government  Pricing Committee to decide on the items subject 
to surcharge and the amount of surcharge.  The a pplied rate of surcharge normally amounted to 30 to 
70 per cent of the price differences observed.  The revenues were used to stabilize domestic prices and 
to protect domestic production a nd consumption.  Viet Nam maintained no fixed list of goods and 
services subject to price stabilization, but it was ge nerally applicable to essential goods such as paddy 
and rice, coffee, rubber, sugar cane, cashew nut s, petroleum-related pr oducts, iron and steel, and 
fertilizer.  Since 1993, surcharges had been impos ed on imported petroleum, iron and steel for 
construction purposes, DAP fertilizer and sheet steel, and Vietnamese exports of coffee, rubber and cashew nuts.  Although the Price Stabilization F und no longer existed, the import and export  WT/ACC/SPEC/VNM/5 
 Page 35 
 
 
  surcharges had been carried over into the Export Pr omotion Fund, which had been set up to replace 
the Price Stabilization Fund pursuant to Decision No. 195/1999/QD-TTg of 27 September 1999.   
98. A Member asked Viet Nam to explain the rati onale for charges imposed on cement, clinkers, 
ceramics, paper, and steel.  Some Members sought the elimination of all non-tariff charges on imports 
other than domestic taxes applied in conformity with Article III of the GATT 1994, customs or other 
fees or charges applied to cover the cost of servi ces rendered, or other charges authorized by WTO 
Agreements.  Consequently, Viet Nam was requested to bind all "other duties and charges" (ODCs) 
within the meaning of Article II:1(b) of the GA TT at "zero" in its Schedule of Concessions and 
Commitments on Goods.   
99. The representative of Viet Nam replied that Viet Nam had been eliminating non-tariff 
measures on imports gradually since 2000 under an ex tended structural adjustment programme.  The 
non-tariff measures had in some cases been replaced temporarily by import surcharges, including on 
cement, clinkers, ceramics, paper, and steel.  The ODCs assisted the elimination of non-tariff 
measures by (i) mitigating the negative and direct im pact of the elimination of non-tariff measures in 
the early stages of the programme and (ii) ensuring flexibility in solving issues that might arise in 
implementing the NTM elimination programme.  As  per April 2004, Viet Nam applied ODCs only to 
welded steel pipe (HS 7306) and PVC in powder and granule form (HS 3904) at the rates of 10, 5, and 
10 per cent respectively.  
100. Some Members reiterated their request that Viet Nam bind all other duties and charges at zero 
in its Schedule of Concessions and Commitments on Goods. 
101. [The representative of Viet Nam stated that any other duties and charges applied to imports 
other than ordinary customs duties and fees and ch arges for services rendered would be in accordance 
with WTO provisions from the date of accession.  He further confirmed that Viet Nam would not list any other charges in its Schedule of Concessions a nd Commitments on Goods under Article II:1(b) of 
the GATT 1994, and would bind such charges at "zero".  The Working Party took note of this 
commitment.] 
Tariff rate quotas, tariff exemptions  
102. Some Members were concerned that Viet Na m was proposing to introduce tariff rate quotas 
for a range of products, arguing that TRQs were out moded and distorted trade.  Some Members noted 
that although TRQs could be effective measures to ensure stable market access, all relevant 
information necessary for applicants and users would ha ve to be made public to ensure transparency.  WT/ACC/SPEC/VNM/5 
Page 36  
 
  Thus, should tariff quota commitments were to be agreed upon, Viet Nam would be requested to 
provide full details of all tariff quota arrangements in  force, including information on the in-quota and 
out-of-quota tariff rates;  proposed quota volumes and annual growth rates;  supporting data on 
domestic production, consumption and imports fo r each product concerned;  and guarantee tariff 
quota access on a non-discriminatory basis for all WT O Members.  Viet Nam was reminded that a 
tariff quota system should be simple, transparent, timely, predictable, uniform, non-discriminatory 
and non-trade restrictive, and be administered in a way that would not distort trade or cause more 
burdens than absolutely necessary.   
103. The representative of Viet Nam replied th at his Government had issued Decision 
No. 91/2003/QD-TTg on 9 May 2003, introducing tariff rate quotas on the importation of cotton, tobacco materials, salt, dairy products, eggs a nd maize.  The TRQs on cotton and maize had since 
then been eliminated.  TRQs were being applied on  a pilot basis as a step in  the process of increasing 
market access and in the elimination of non-tariff measures such as prohibitions, licences or import 
quotas affecting the same products.  He provided info rmation on the product c overage and allocation 
mechanism of tariff rate quotas, as laid down in Circular No. 09/2003/TT-BTM of 
15 December 2003, in Annex 4 of document WT/ACC/ VNM/33.  Concerning sugar, he added that 
imports of sugar were subject to discretionary licensing by the Mini stry of Trade pursuant to Prime 
Minister Decision No. 46/2001/QD-TTG of 4 April 2001.  However, his Government would commit to replace discretionary licensing by a tariff rate quota mechanism as from the date of accession.  He 
further confirmed that Viet Nam would apply and administer tariff rate quotas in conformity with 
WTO applicable rules and regulations, including the MFN and national treatment provisions of the 
GATT. 
104. The representative of Viet Nam said that the procedure for tariff exemption was outlined in 
the 20 May 1998 Law amending and supplementi ng the Law on Import-Export Duties of 
26 December 1991.  Tariff exemptions were perm itted for non-refundable aid; temporary imports and 
re-exports, temporary exports for exhibitions and re-i mports; goods in transit; exports and imports of 
foreign organizations and individuals enjoying immunities stipulated by the Government pursuant to international treaties to which Viet Nam was a signatory or participant; and materials and raw 
materials imported for processing and re-export in ac cordance with a contract entered into with a 
foreign party.  In accordance with Article 11 of  the Law amending and supplementing the Law on 
Import-Export Duties, import duty exemptions were applicable to imports for specialized use for 
security, national defence, scientific, educational, training; equipment and machinery imported in 
accordance with Article 47 of the Law on Foreign Investment and Article 25 of the Law on Promotion 
of Domestic Investment; exports and imports of enterprises with foreign owned capital and foreign  WT/ACC/SPEC/VNM/5 
 Page 37 
 
 
  parties to a business co-operation contract; gifts of foreign organizations  and individuals to 
Vietnamese organizations and individuals, and vice- versa, within the permitted amount; and imported 
goods for duty-free shops.  The tax exemptions acc orded under Article 47 of the Law on Foreign 
Investment applied also to project expansions and upgrading of technology.  In regions where investment was specially encouraged the import duty exemption for raw materials, equipment and 
components was valid for five years following the commencement of production. 
105. The importer (a domestic enterprise or a foreign- owned enterprise) filed an application to the 
General Department of Taxation of the Ministry of Finance for approval on a case-by-case basis for 
imports which were eligible for duty exemption.  The required documentation was specified in the 
legal documents guiding the implementation of the Law on Export and Import Duties.  These 
procedures were not required if the Ministry of Trade had already approved the importation of 
equipment, machinery or specialised means of transport for the capital construction establishing a 
foreign invested project.  Regarding other cases of duty exemption, importers filed applications with 
the Customs authority. 
Fees and charges for services rendered  
106. The representative of Viet Nam said that fees a nd charges for the State budget were levied in 
accordance with Decree No. 04/1999/ND-CP of 30 Ja nuary 1999, Chapter IV of Government Decree 
No. 16/1999/ND-CP of 27 March 1999 on customs procedures, customs supervision and customs 
fees, and the Ordinance on Fees and Charges that had come into effect on  1 January 2002.  The 
Ministry of Finance and General Department of Cu stoms had issued an Inter-Ministerial Circular 
No. 71/2000/TTLT/BTC-TCHQ on 19 July 2000 pr oviding for guidelines on the collection of 
customs fees and usage management.  The Inter-Minis terial Circular identified the following forms of 
customs fees:  (i) customs clearance fees applicab le to imported or exporte d goods calculated on the 
basis of quantity of goods, (ii) customs warehouse fees for cargo and luggage, (iii) cargo escort fees 
based on accompanying distance, (iv) customs sea ling fees (for paper, lead seal and seal ring), 
(v) transit fees, and (vi) administrative fees for re-certification of customs documents.  Customs 
clearance, customs warehouse, and administrative f ees are enumerated in Table 2, and cargo transit 
and escort fees in Tables 14(a) and (b).  This Circ ular had superseded an earlier inter-ministerial 
circular issued in April 1993.  The fees had been adjusted for inflation to ensure that they were 
maintained at a level approximate to the cost of  the customs services rendered.  An earlier provision 
in the 1993 circular, allowing customs fees to be adju sted when market prices  fluctuated more than 
20 per cent relative to an established pr ice index, had been abolished.   WT/ACC/SPEC/VNM/5 
Page 38  
 
  107. Some Members noted that fees for fundamental  infrastructure, such as port services, were 
very high in Viet Nam compared to other countries in the region, and requested that these fees be 
reduced drastically.  The representative of Viet Na m replied that fees for fundamental infrastructure 
were generally based on commercial considerations.  The general policy of his Government was to try 
to reduce such fees to facilitate trade and investme nt activities in Viet Nam.  He noted that port 
services charges were determined by the port servi ces enterprises themselves, and that these charges 
had been reduced by approximately 10 per cent in 2002 and a further 20 per cent in 2003 and early 
2004. 
108. A Member was concerned that some of Viet Nam's extensive charges and fees might be 
applied to importers or to imported goods in a manner that provided less favourable treatment for 
imports compared to similar domestic goods.  Viet  Nam was requested to identify charges and fees 
applied in a discriminatory manner to importers or foreigners.  The Working Party needed to examine 
these fees and charges to determine those that wo uld have a negative impact on trade in possible 
violation of Article III or Article VIII of the GAT T.  The representative of Viet Nam replied that 
current regulations on fees and charges had been reviewed to amend the discriminatory provisions 
relating to differential rates between Vietnamese or foreigners, or betw een domestic and imported 
goods. 
109. A Member noted that Viet Nam applied a fee for the purchase or sale of foreign exchange 
which varied according to the value of the transf er.  The fee did not meet the requirements of 
Article VIII of the GATT, and should be eliminated or revised to meet the criteria of this Article.  In 
reply, the representative of Viet Nam said that th e customs fee for importation and exportation of 
foreign exchange was determined per tranche of US$100,000.  The first tranche was subject to a 
VND 100,000 fee (US$6), and each extra tran che to a VND 80,000 fee (US$5), with a 
maximum of VND 1.5 milllion (US$100) for each transaction (Inter-Ministerial Circular 
No. 71/2000/TTLT/BTC-TCHQ of 19 July 2000).  He a dded that these fees, which were modest, had 
been adjusted to the cost the services rendered an d were not inconsistent with Article VIII of the 
GATT 1994.  In no cases did they exceed the cost of the services rendered. 
Application of internal taxes 
110. The representative of Viet Nam said that certain goods were subject to excise tax
, levied in 
accordance with the Law on Excise Tax of 30 J une 1990, with amendmen ts of 5 July 1993, 
28 October 1995 and 20 May 1998.  The tax system  was explained in further detail in Circular 
No. 98 TC/TCP of the Ministry of Finance.  Ta xes initially ranged from 32 to 70 per cent on tobacco, 
75 to 90 per cent on beer, 15 to 90 per cent on othe r alcoholic beverages, 100 per cent on pyrotechnic  WT/ACC/SPEC/VNM/5 
 Page 39 
 
 
  articles (excluding firecrackers), 30 to 100 per cent on motor vehicles and 15 per cent on petroleum 
products.  Bo ttled, canned, and fresh beer were taxed di fferently depending on the consumption pattern, 
and thus the elasticity of demand, for each type of  beer.  Effective 1 January 1999, the coverage of the 
Law on Excise Tax had been extended to vari ous "non-essential" goods and services, including 
automobiles (less than 24 seats) ; air conditioners; votive paper a nd votive objects; dancing halls; 
massage parlours; karaoke bars; casino, jackpot games and gambli ng activities; and golf services, 
including the sale of golf club membership cards and tickets.  The rates of excise tax applicable in 2003 
are enumerated in Table 3. 
Table 3:  Goods and services subject to excise tax  
No. HS Code 
(for goods) Description Tax rates 
(per cent) 
Goods 
1 Cigarettes, cigars:  
 2402 a) Filter cigarettes mainly made of 
imported material, cigars 
b) Filter cigarettes mainly made of 
domestically-produced materials 
c) Cigarettes without filter 65 
 
45 
 
25 
2 Spirits:  
 2204;  2205;  2206;  2207; 
2208 a) Of alcoholic strength exceeding 40 ° vol 
b)  Of alcoholic strength 20-40 ° vol 
c)  Of alcoholic strength less than 20 °, of 
wine or fruit flavoured ° 
d)  Medicinal and herbal wines 75 
30 
20 
 
15 
3 Beer:  
 2203 a)  Bottled, canned and draught beer 
b)  Draft beer 75 
30 
4 Automobiles:  
 8703 a)  5 seats or less 80 
 8702;  8703 b)  6 to 15 seats 50 
 8703 c)  16 to 24 seats;  pick-up cars  25 
5 2710 Petrol, naphtha, reformade components, other 
petrol components  10 
6 8415 Air conditioners of capacity not exceeding 
90.000 BTU 15 
7 9504.40.00 Playing cards 40 
8 4823.90.10 Votive papers;  votive objects 70 
Services 
1  Dancing halls, massage parlours, karaoke bars 20 
2  Casino, jackpot games 25 
3  Gambling on horse racing, motor racing  20 
4  Golf services: sale of golf club member cards 
and tickets 20 
 
111. The taxable value was the duty-inclusive price for imported goods and the ex-works selling 
price for domestically-produced goods.  Excise tax wa s in general applied uniformly to imported and WT/ACC/SPEC/VNM/5 
Page 40  
 
  domestically-produced goods.  Howeve r, cigarettes made from imported  tobacco were taxed at a higher 
rate than cigarettes made with domestic tobacco. 
112. The representative of Viet Nam added that, in pr inciple, all individuals and entities producing or 
importing goods subject to excise tax were liable to pay the tax.  However, the Law on Excise Tax 
specified cases where tax reduction could be considered for producti on enterprises facing difficulties 
due to natural disasters,  war and other contingencies, as we ll as for the expansion of production 
capacity.  The criteria to benefit from excise tax reductions following natural disasters, war or other 
contingencies were laid down in  Article 16 of Decree No. 149/2003/N D-CP of 4 December 2003.  The 
amount of tax reduction was calculated on the basi s of the damages incurred and could not exceed 
30 per cent of the total taxable amount.  However, in the event of seriou s damages preventing the 
affected enterprises from manufactu ring, doing business, and paying ta xes, a tax exemption could be 
granted.  Tax breaks for enterprises investing in  new technology and additi onal production capacity had 
been abolished. 
113. Domestically manufactured or a ssembled motor vehicles were originally not subject to excise 
tax.  Since 1 January 1999 such vehicles had been s ubjected to excise tax, in principle.  However, 
according to the Law on Excise Ta x and Official Note 168/1999/TT-BTC  of the Ministry of Finance, 
local car assembling enterprises we re entitled to a 95 per cent tax reduction until the end of 2003, and 
the reductions could be extended an a dditional five years for enterprises still incurring losses.  He added 
that Article 16 of the amende d Law on Excise Tax No. 08/2003/QH11 of 17 June 2003 allowed excise 
tax reductions for domestic automobile manufac turers until 31 Decembe r 2006.  Golf business 
enterprises had been accorded an excise tax reduction of 30 per cent  for three years starting from 1999 
and, as a transitional measure until 2004, loss-mak ing small breweries qualified for a reduction in the 
amount of excise tax due equal to the annual loss.  He confirmed that the tax exemption for loss-making 
small breweries had been abolished according to the amended Law on Excise Tax No. 08/2003/QH11 of 
17 June 2003.   
114. Some Members noted that Viet Nam applied discri minatory excise taxes on imported tobacco, a 
possibly WTO-inconsistent lower rate  of excise duty on herbal wines, and preferential excise tax rates 
on domestically-produced beer and automobiles.  The excise taxes applied to cigarettes and beer were 
in clear contrast to Article III of the GATT 1994 as they taxed like products differently, and these 
Members requested Viet Nam to submit a detail ed plan for the elimin ation of the existing 
discrimination to the Working Party.  In their view, the preferential tax treatment for domestic 
producers was also inconsistent with the national treatment principle of Article III and should be 
abolished prior to accession.  These Members s ought a commitment from Viet Nam that it would  WT/ACC/SPEC/VNM/5 
 Page 41 
 
 
  equalize the excise tax rates on these products by the date of accession and that from this date 
Viet Nam would apply its taxation measures in fu ll compliance with Article III of the GATT without 
affording protection to domestic production. 
115. The representative of Viet Nam replied that only cigarettes made of domestically-produced 
materials and those made of importe d materials were subject to different excise tax rates according to 
Article 7 of the Law on Excise Tax of 20 August 1998.  He added that Viet Nam would comply with 
the non-discrimination principles stipulated in Article III of the GATT 1994 in respect of imported 
tobacco upon accession.  The Law on Excise Tax did not provide for any tax rate discrimination 
between domestically-produced and imported beer.  Viet Nam used its excise taxes to regulate 
consumption between high-value, lu xurious products and cheaper varieties and to contain alcohol 
consumption, and therefore applied lower tax rates on low-cost items such as draft beer and medicinal 
and herbal wine, which were mos tly consumed by low-income people and, for medicinal and herbal 
wine, had a low alcohol content compared to other beers and wines.  He noted that both draft and 
draught beer were produced domestical ly and that only a small quantity of draught beer was imported.  
He reiterated that the regulation providing excise tax reductions to small loss-making breweries had 
been eliminated pursuant to the amended Law on Excise Tax No. 08/2003/QH11 of 17 June 2003.  
The manufacturing of automobiles was still an infant industry in Viet Nam.  To support this sector, 
preferential excise tax rates had been granted to automobile manufacturing enterprises when 
investment licences had been issued.  However, as a compromise between the need to support this 
industry and the potential negative effects that c ould result from the imposition of lower excise tax 
rates, Viet Nam had agreed to gradually phase-out  the excise tax incentive granted to domestically-
produced automobiles.  The amended Law on Excise Tax No. 08/2003/QD11 of 17 June 2003 stipulated a reduction in the excise tax rate for do mestic manufacturers equa l to 70 per cent in 2004, 
50 per cent in 2005 and 30 per cent in 2006.  The preferential excise ta x regime for domestic 
automobile manufacturers would lapse on 31 December  2006, and Viet Nam would comply fully with 
Article III of the GATT 1994 in respect of its exci se taxes on automobiles from 1 January 2007.   
116. Concerning value added tax
, the representative of Viet Nam said that the Law on Value 
Added Tax, adopted by the National Assembly  on 10 May 1997 had entered into force on 
1 January 1999, replacing the Law on Turnover Tax.   The Law on Value Added Tax stipulated four 
rates (0, 5, 10 and 20 per cent).  The tax was collected monthly and settled at the end of every calendar year.  VAT applied generally to all products  and services in the covered categories and used 
in production and consumption in Viet Nam irrespectiv e of their origin.  He identified 26 products and 
services not subject to VAT, including sales of unprocessed or semi-processed  agricultural products 
by organisations or individuals producing these products; salt; credit services; life insurance; health WT/ACC/SPEC/VNM/5 
Page 42  
 
  and education services; and public sanitation services.   According to Article 4 of the Law on Value 
Added Tax, VAT was not assessed on goods and servi ces subject to excise tax, and this provision 
applied equally to imported and domestically-produced  goods (including on locally manufactured and 
imported motor vehicles with less than 24 seats). 
117. Noting that goods subject to excise taxes were not subject to VAT, some Members asked 
Viet Nam to provide a comprehensive list, using th e HS classification, of items subject to VAT and 
the corresponding tax rate, as well as a listing of items exempt from VAT.  The representative of 
Viet Nam replied that the list of items exempt fro m VAT had been issued in accordance with Circular 
No. 122/2000/TT-BTC of 29 December 2000 of the Mi nistry of Finance.  He provided a detailed 
listing of imported items subject to VAT (exempt, 5 or 10 per cent) in 2003, prepared in accordance 
with Circular No. 84/2003/TT-BTC of 28 August 2003,  issued by the Minister of Finance (see notice 
in document WT/ACC/VNM/28/Add.2).  He added that the Law of 17 June 2003 amending the Law 
on Value Added Tax, which had entered into force on 1 January 2004, had repealed the VAT rate of 
20 per cent and had made excise taxed goods subject to VAT.   
118. A Member noted that the VAT exemption on unprocessed and semi-pro cessed agricultural 
and aquatic products sold by indivi duals and organizations in Viet Nam was discriminatory as similar 
imported products were taxed at a 5 per cent rate.  This Member enquired about Viet Nam's plans to 
eliminate the discriminatory aspects of this measure prior to accession.  In r esponse, the representative 
of Viet Nam said that the objective of Article 4,  section 1 of the amended Law on Value Added Tax 
No. 07/2003/QH11 of 17 June 2003 was not to prot ect domestic production against imports, but a 
measure to simplify the manageme nt of the VAT system.  The large portion of the population 
involved in agricultural production at the micro-sc ale level made tax collection and management 
difficult, and the proportion of unprocessed and semi -processed agricultural and aquatic products sold 
by farmers directly to final consumers was very low.  For these reasons, Viet Nam exempted domestic 
raw and semi-processed agricultural products when firs t sold by farmers.  However, processors and 
distributors selling these products were subject to a 10 per cent VAT rate on the total value-added of 
these products (from both stages).  He added that Viet Nam would welcome technical assistance to improve the management of its VAT system.   
119. Noting that Viet Nam exempted from VAT machinery equipment imported for fixed asset 
purposes by foreign investing enterprises accordi ng to Article 60 of the Foreign Investment 
Regulation, a Member requested Viet Nam to apply this exemption uniformly and in compliance with Article III of the GATT 1994, as VAT exemptions app eared not to be granted if the same kind of 
equipment could be manufactured in Viet Nam.    WT/ACC/SPEC/VNM/5 
 Page 43 
 
 
  120. In reply, the representative of Viet Nam confirmed that according to Article 60 of Decree 
No. 24/2000/ND-CP, VAT was not levied on equipm ent, machinery and sp ecialized means of 
transportation forming part of a technological line, not yet domestically produced, and imported to 
form fixed assets of FDI enterprises or to implemen t business co-operation contracts.  In his opinion, 
this regulation was not inconsistent with Artic le III of GATT 1994 since no comparison could be 
made to a "like domestic product", and the purpose of  this measure was not to afford protection to 
domestic production.  He noted that equipment and machinery produced in Viet Nam was subject to 
the same value added tax as imported products.   
Quantitative import restrictions, including prohibitions, quotas and licensing systems 
121. The representative of Viet Nam said that Vi et Nam had been liberalizing its quantitative 
import restrictions.  Viet Nam currently applie d import prohibition, import restrictive licence/quota 
and line management measures.  Responding to  statements from Members that quantitative 
restrictions were inconsistent with GATT Article  XI at that Viet Nam should provide a single 
comprehensive and consolidated list of its curren t quantitative restrictions, including all bans, quotas 
and restrictive licensing requirements and to provide a timetable for each measure currently in place, 
either to be eliminated, revised or replaced with a specific WTO consistent alternative, or present an 
appropriate WTO justification for the retention of the measure, the representative of Viet Nam 
provided information on import prohibitions and their justification, reproduced in Table 4(a), along 
with a timetable for the eliminati on of quantitative restrictions (Table  4(b)) and a list of goods subject 
to payment method restrictions (Table 4(c)).   
122. The main agencies responsible for issuing detailed regulations a nd guidance concerning 
products subject to import prohibition included the Ministry of Public Security, the Ministry of Culture and Information, the Ministry of Industry, an d the Ministry of Health.  Restrictions on trade in 
toxic products were applied equa lly to Vietnamese and foreign traders.  Toxic chemicals prohibited 
from importation or subject to conditional approval  are detailed in Tables 5(a) and 5(b).  In 
exceptional cases, importation of prohibited goods could be authorized by the Prime Minister for non-commercial purposes, in consultation with relevant ministries and agencies.  However, for security 
reasons (i.e. the importation of arms), procedures used  in such cases could not be officially published. 
123. Some Members questioned whether Viet Nam was using the least trade restrictive means to 
address health, environmental, safety or other concerns.  Viet Nam was requested to provide more specificity with respect to the second-hand prod ucts prohibited from importation as some of the 
categories, e.g. electronic goods, appeared rather broad.  Unless Viet Nam could confirm that it 
prohibited the internal resale or resale of domes tic manufactures for all second-hand consumer goods, WT/ACC/SPEC/VNM/5 
Page 44  
 
  materials and equipment listed in Table 4(a), Vi et Nam was invited to explain how its import 
prohibitions did not violate Articles III and XI of  the GATT 1994, and in the absence of any rationale, 
to abolish these measures.  Viet Na m was also asked to provide an i ndication of the types of children's 
toys considered to have adverse effects on moral e ducation and social security, and provide examples 
of depraved and reactionary cultural products. 
124. In response, the representative of Viet Nam replied that due to administrative capacity 
constraints in Viet Nam, the health, envir onmental, and safety objectives sought through the 
imposition of import prohibition could not, in his view , be achieved through alternative measures.  He 
added that the import prohibition on cigarettes wa s part of an anti-smoking programme aiming at 
restricting the production and cons umption of cigarettes.  Although  existing tobacco production units 
were being utilized, Viet Nam had no intention to develop its cigarette indus try and discouraged the 
establishment of new production units.  He added th at provisions restricti ng domestic production and 
consumption of tobacco had been included in  Government Resolution No. 12/2000/NQ-CP of 
14 August 2000 on a national policy on preventing ha rmful effects of tobacco in the period 2000-
2010, and in Decree No. 76/2001/ND-CP of 22 October 2001.  Viet Nam had also signed the 
Framework Convention on Tobacco Control, adopted by the World Health Organization on 
25 May 2003, in order to limit the number of increasing death tolls of tobacco-related diseases.  However, Viet Nam was seeking alternative WTO-consistent measures to achieve its objectives, and accordingly committed to eliminate the prohibition on imports of cigarettes and cigars upon 
accession.   
125. Viet Nam prohibited importation, registration a nd circulation of motorcycles with engine 
capacity exceeding 175 cm³.  Importation of such motorcycles was only allowed for special purposes 
such as for the armed forces, security personnel, or  for competitive sports.  Responding to calls for 
removal of this ban, as motorcycles of this si ze were produced and sold as a commercial good for 
non-military use in many countries, the representativ e of Viet Nam noted that the prohibition was 
applied on a non-discriminatory basis and that there was no domestic production of such motorcycles.  
Viet Nam prohibited the domestic registration of motorcycles with engine capacity exceeding 175 cm³ 
to ensure traffic safety.  Imports of second hand spare parts were prohibited for traffic security 
reasons, and the prohibition on second hand internal  combustion engines below 30 CV was enforced 
to protect the environment.  He considered th e import prohibition on second-hand motor vehicle spare 
parts to be the most feasible measure to protect  safety that Viet Nam could implement under the 
current conditions, as there was no alternativ e enforceable internal mechanism.    WT/ACC/SPEC/VNM/5 
 Page 45 
 
 
  126. Similarly, Viet Nam prohibited imports of second-hand clothing to protect public health as 
there was no enforceable internal mechanism.  He not ed that no domestic organizations or individuals 
were granted Business Registration Certificates  to conduct business in second-hand consumer 
products subject to import restrictions.   
127. Concerning toys, the Minister of Trade had issu ed a detailed list of goods subject to import 
prohibition in Decision No. 0088/2000/QD-BTM of 18 January 2000.  The Decision specified 
"children toys having adversely effect in moral ed ucation, children's health and social security" as 
gun-shaped toys; airguns or guns using compressed spring as propelling force for firing plastic bullets 
or other kinds of bullets; guns firing water or water vapour; guns flaring or making noise while 
shooting; weapon-shaped toys other than gun-shap ed toys; shape-like grenades, bombs, mines, or 
explosives; shape-like swords, spears, bayonets, daggers, bows and crossbows; firecrackers of all 
kinds; certain types of virtual toys; toys in th e form of cultural products (publications, cassettes, 
discs), electronic games containing images, sound, actions describing brutal combats, fights, murderous attacks or other actions degradi ng or offending human dignity, destroying the 
environment, or detrimental to children's aesthetic sense or adversely affecting children's education; 
computer software, electronic games with conten t inciting the users to violence or prostitution; 
remote-controlled electrical toys that could interfere  with the operation of other equipment, devices or 
be unsafe for children; and toys using the nation al flag, Viet Nam's map, leaders' pictures and 
photographs inconsistent with regula tions, or for bad intentions.  Viet Nam had not issued any specific 
legal document stipulating the criteria for determin ing "depraved and reactionary cultural products".  
He suggested that depraved, reactionary, superstitious  or morally pernicious cultural products would 
include books, newspapers, magazines, pictures, paintings, calendars, posters, catalogues, leaflets, 
circulars, handbills, pamphlets, tracts/propaganda l eaflets, slogans, couplets, scrolls, sound or pictures 
recording tapes and discs of various kinds, films (i ncluding cinematographic films and video films), 
photos, practical arts, and other cultural docum ents and products of depraved, reactionary, 
superstitious or morally pernicious content.  Prohibited toys included virtual toys propagating 
violence or running counter to traditional Vietnamese morals.   
128. Concerned about Viet Nam's licensing syst em, some Members asked whether Viet Nam 
applied procedures which met the definition of automatic import licensing under the Agreement on 
Import Licensing Procedures and sought an explan ation why government ministries needed to 
supervise the quality of imported products as this s hould be an issue determined between buyers and 
sellers.  Viet Nam was requested to clarify, for each  tariff line item, the WTO rationale of the measure 
applied and the precise conditions under which licenses w ould not be issued or would be restricted in 
volume or otherwise.  A Member noted that Viet Nam was using discretionary licensing to restrict WT/ACC/SPEC/VNM/5 
Page 46  
 
  imports of dairy products, eggs, maize, tobacco, salt,  cotton, and sugar.  This Member invited Viet 
Nam to eliminate all such measures without an appropriate WTO justification by the date of 
accession. 
129. In reply, the representative of Viet Nam pr ovided information on import licensing procedures 
in document WT/ACC/VNM/3/Add.1, Annex 3.  Pr oducts subject to import licensing are listed in 
Table 4(b).  Although Viet Nam had initially envisaged to phase out quotas and licensing 
requirements on some non-agricultural products after accession, the representative of Viet Nam 
subsequently confirmed that his Government woul d eliminate all quantitative import restrictions in 
the form of quotas or restrictive licences upon acce ssion.  Quantitative import restrictions for 
agricultural products, including discretionary licen sing, would also be eliminated upon accession, or 
replaced by tariff rate quotas for some items.  Viet Nam had not fixed annual import quotas, but relied 
on a flexible system (discretionary import licensi ng) based on forecasted gaps  between total demand 
and supply of the goods concerned.  Quota and li cence volumes were decided by the Ministry of 
Trade, in consultation with the Ministry of Planning and Investment, and the line ministries in charge of the goods.  The timetable for phasing out qu otas and restrictive licensing requirements is 
reproduced in Table 4(b).   
130. Products subject to line management for the pe riod 2001-2005, i.e. import licensing by line 
Ministry, are listed by HS number in Table 6.  This  list, which was not definitive, could be revised 
when needed.  He added that import restrictive line-management measures had been eliminated in 
early 2001.  Annex 3 of the Prime Minister's Decision No. 46/2001/QD-TTg of 4 April 2001 
stipulated that imported products subject to line ma nagement for the purpose of health, safety, etc., 
once allowed for use in Viet Nam, would be imported upon demand and not subject to any limitation in amount or value.  Current measures were a pplied to supervise product quality and safety - for 
example for pharmaceuticals, breeding animals and plan ts - and were, in his view, in compliance with 
international practice and WTO provisions, notably  Articles XX and XXI of the GATT 1994.  The 
fees associated with the issuance of licences were co nsistent with the Ordinance of Fees and Charges 
and, in his opinion, modest and commensurat e with the related administrative costs.   
131. A Member requested Viet Nam to list the inte rnational environmental conventions Viet Nam 
was a party to, and the rules and standards specifically applied when requiring licenses on 
unprocessed wood and forestry products.  This Member  also asked Viet Nam to explain the rationale 
behind the licence requirement for importation of "complete equipment for forestry production and 
wood processing industry" based on " management of  quality and standards of imported technology".  WT/ACC/SPEC/VNM/5 
 Page 47 
 
 
  132. The representative of Viet Nam replied that Vi et Nam was a signatory to the Convention on 
World Cultural Heritage and Natural Resour ces Conservation signed on 19 October 1987; the 
Convention on Wetland of Internati onal Importance, especially of  Waterfowls Habitat (Ramsar), 
signed on 20 January 1989; the Convention on Inte rnational Trade in Endangered Species of Wild 
Flora and Fauna (CITES), signed 20 January 1994; th e Protocol on Ozone destructive substances; the 
Framework Convention on Climate Change, si gned on 16 November 1994; the Convention on 
Biological Diversity (CBD), signed on 16 November  1994; the Convention on Marine Law, signed in 
1994; the Basel Convention on controlling the trans it and disposal of dangerous waste, signed in 
1995; and the Convention on Combat Desertification (CCD), signed on 23 July 1998.  He added that 
Viet Nam no longer maintained the licence requireme nt for importation of "complete equipment for 
forestry production and wood processing industry" based on " management of quality and standards 
of imported technology".  Importe d second-hand equipment, machinery and materials in connection 
with foreign investment projects were only subject to general requirements re lating to labour safety, 
environmental protection, and product and service quality.  An earlier certification requirement 
regarding the remaining quality of imported used  equipment or machinery was no longer effective 
(Decision No. 06/2003/QD-BKHCN of 3 April 2003 of the Ministry of Science and Technology).   
133. Some Members sought a commitment from Viet  Nam that, upon accession to the WTO, it 
would only maintain those import restrictions that can be justified under WTO rules.  Vi et Nam was 
requested to submit a detailed action plan for the introduction of licensing procedures that conform to 
WTO rules.  Notably, Article 1.6 of the Agreem ent on Import Licensing Procedures stipulated that 
licence applicants should need to approach only on e body, and not more than three administrative 
bodies if "strictly indispensable".  Viet Nam would al so need to bring its licensing regime into full 
compliance with the time-limits for processing of import licence applications as set out in Article 3.5(f) of the Agreement on Import Licensing Procedures. 
134. In reply, the representative of Viet Nam subm itted an action plan for the implementation of 
the WTO Agreement on Import Licensing Procedur es (WT/ACC/VNM/22), subsequently revised in 
document WT/ACC/VNM/22/Rev.1.  According to th e revised plan, Viet Nam would ensure full 
compliance with the Agreement by 1 January 2 005, except for the submission of publications 
containing information on import licensing procedures to the Secretariat (obligation under 
Article 1.8), and the provision of all relevant info rmation to Members interested in the trade in a 
product subject to non-automatic licensing (Article 3. 5.a).  Compliance would be ensured by Decision 
of the Prime Minister.  A draft had been prepared  and had been sent to the relevant ministries for 
comment.  As for the two latter provisions, these would be complied with upon Viet Nam's accession 
to the WTO.  He added that Viet Nam intended to  comply with the provisions of the Agreement on WT/ACC/SPEC/VNM/5 
Page 48  
 
  Import Licensing Procedures upon accession either by (i) including import licensing provisions in the 
(amended) Commercial Law planned to be submitted to the National Assembly in September 2004; or 
(ii) in case the drafting of the above Law could not be  completed in time, to issue regulations in the 
form of a Government Decision in order to comply fully with the WTO Agreement on Import 
Licensing Procedures. 
135. [The representative of Viet Nam confirmed that, upon accession, Viet Nam would eliminate 
the import prohibition on cigarettes and cigars and a ll quantitative import restrictions in the form of 
quota or restrictive licences [inconsistent with WTO provisions].  Viet Nam would also, as from the date of accession, apply line ma nagement measures in a WTO-consistent manner and not use these 
measures as quantitative import restrictions.  He furt her confirmed that Viet Nam would comply fully 
with the Agreement on Import Licensing Procedures upon accession.  The Working Party took note of 
these commitments.] 
Customs valuation  
136. The representative of Viet Nam said that customs valuation of  imported and exported goods 
was carried out in accordance with the Law on Expor t-Import Duties.  The basic valuation principle 
was the "contract price", which was not entirely synonymous with the "transaction value" stipulated in 
the Agreement on Implementation of Article VII of  the General Agreement on Tariffs and Trade 1994 
(the Customs Valuation Agreement).  Viet Na m provided information on the implementation and 
administration of the Customs Valuation Agreemen t in document WT/ACC/VNM/3/Add.1, Annex 4.  
He acknowledged that several of the provisions of the Agreement had not yet been implemented in 
Viet Nam.  However, Viet Nam' s customs valuation system was being reformed to be brought into 
conformity with the Customs Valuation Agreemen t.  Revised responses to the questionnaire on 
customs valuation would be provided as soon as possible on the basis of the new legislation. 
137. He added that Viet Nam was taking steps to implement the WTO Customs Valuation 
Agreement.  The National Assembly had adopted  the new Law on Customs on 29 June 2001, and 
Government Decree No. 102/2001/ND-CP of 31 December 2001 provided detailed procedures and 
processes to conduct post-clearance examination for exported and imported goods.  Viet Nam had 
also introduced measures to combat  commercial fraud and transfer pricing.  In addition, customs 
officers and the business community needed training to  use the new valuation procedures.  Viet Nam 
had established a Working Group to promote implem entation of the Agreement.  The Government 
had promulgated Decree No. 60/200 2/ND-CP to implement the Agreement on a pilot basis for goods 
imported from ASEAN countries under the ASEAN Common Effective Preferential Tariff (CEPT) 
Program.    WT/ACC/SPEC/VNM/5 
 Page 49 
 
 
  138. Some Members noted that Viet Nam used mini mum import prices in customs valuation, and 
that Viet Nam's valuation practices resulted in hi gher tariffs on imports from some countries, raising 
issues of non-MFN treatment of imports, transpar ency and consistency with the Agreement on 
Customs Valuation.  The proliferation of this pract ice to include differential valuation treatment for 
wines, spirits and ceramic tiles was highlighted.   
139. The representative of Viet Nam replied that the minimum import prices were determined 
jointly by the Ministry of Finance and the Mini stry of Trade.  The minimum import prices were 
adjusted periodically to take account of fluctuations  in world market prices.  Products of different 
origin varied in quality, level of consumer confid ence and retail sales price, and Viet Nam's minimum 
import prices reflected the influence of these factors.  Viet Nam had removed minimum customs values for wines, spirits and ceramic tiles imported fr om the EU in exchange for preferential treatment 
to Vietnamese exports of textiles and clothing pr oducts.  He added that Viet Nam would phase out 
minimum import values by the date of accession.  The differences in the minimum import prices of goods from various origins had already been narrowed.   The number of commodity groups subject to 
minimum value had been cut from 15 to 7 in 2000 a nd the list of countries whose exports were subject 
to the principles of the Customs Valuation Agreem ent was gradually being e xpanded.  Goods subject 
to minimum customs values as per April 2004 are listed  in Table 7.  He added that efforts would be 
undertaken to train customs officers on manageme nt and inspection techniques related to customs 
valuation, commercial fraud detection, and post-clearance inspection activities.  
140. Asked to clarify whether an importer had the right to judicial review of customs valuation 
decisions by an independent judicial body, and that recourse to an independent tribunal would not preclude the right to lodge administrative appeal s, the representative of Viet Nam said that under 
current rules an importer could appeal a disputed  administrative decision to the agency which had 
taken the decision.  If dissatisfied or if the settle ment period had expired, the importer could further 
appeal either to a higher administrative body or  bring a case before the Administrative Court in 
accordance with Article 1.7 of Law No. 26/20 04/QH11 amending the Law on Complaints and 
Denunciation and Article 1.1 of Ordinance No. 10/1998/PL-UBTVQH10 dated 25 December 1998 
amending the Ordinance on Procedures for Settlement of Administrative Disputes.  Cases brought 
forward by one complainant would be handled by  the Administrative Court.  Final and binding 
decisions on appeals to the higher Customs bodies we re taken by the Minister of Finance; in 
exceptional cases the Minister's decision could be brought before the Prime Minister.  In order to comply fully with Article 11 of the Agreement on Customs Valuation, Viet Nam had drafted new 
amendments to the Ordinance on Procedures for Sett lement of Administrative Disputes, which were 
expected to be adopted by the National Assembly dur ing the fourth quarter of 2004.  In response to a WT/ACC/SPEC/VNM/5 
Page 50  
 
  question, he added that transparency requireme nts were provided for in the decision guiding the 
implementation of Decree No. 60/2002/ND-CP of 6 June 2002.   
141. A Member sought a commitment from Viet Nam to  implement fully the provisions for the 
valuation of carrier media bearing software for data processing equipment and the provisions on the treatment of interest charges in the customs value of imported goods.  The representative of Viet Nam 
replied that carrier media bearing software and inte rest charges were being valued in accordance with 
the basic principles of the Agreement on Customs Valu ation.  He added that the valuation of carrier 
media bearing software raised complex issues a nd Viet Nam would appreciate receiving additional 
assistance on this matter. 
142. Some Members requested Viet Nam to provide a detailed action plan specifying each measure 
necessary for the implementation of the Agreement a nd target dates for implementation.  The action 
plan should include early elimination of minimum cu stoms values, which resulted in higher tariffs on 
imports from some countries and were considered inconsistent with the MFN, transparency and 
consistency requirements of the Agreement on Customs Valuation.   
143. In reply, the representative of Viet Nam subm itted an action plan for the implementation of 
the Custom Valuation Agreement.  The action plan was subsequently revised (see documents 
WT/ACC/VNM/20 and Revisions 1 and 2).  He noted that domestic legislation to implement the 
Customs Valuation Agreement had been largely co mpleted with the promulgation of Government 
Decree No. 60/2002/ND-CP of 6 June 2002.  The Mi nistry of Finance had promulgated Circular 
No. 118/2003/TT-BTC of 8 December 2003 guiding the implementation of Decree No. 60/2002/ND-
CP of 6 June 2002, which provided for the introduc tion of a customs valuation system based on the 
transaction value as required by the Customs Valu ation Agreement.  The new system would be 
applied on a pilot basis for certain target grou ps of countries from 1 January 2004 and expanded 
gradually.  In October 2004, the system was applied to imports from more than 50 countries, 
representing almost all trading partners of Viet Nam.   Asked to provide detailed statistics, he noted 
there was no data available yet as to the percentage of imports subject to the new system.  He confirmed that the minimum customs values  stipulated in accordance with Decisions 
Nos. 164/2000/QD-BTC of 10 October 2000, 136/2001/QD-BTC of 18 December 2001 and 
164/2002/QD-BTC of 27 December 2002, affecting im ports of goods enumerated in Table 7, had 
been eliminated and that the new customs valuation system would apply to all imports upon accession.  He further confirmed that Viet Nam had fully incorporated the provisions of the Customs 
Valuation Agreement and the Interpretative Not es in its regulations, in particular Decree 
No. 60/2002/ND-CP and Circular No. 118/2003/TT-BTC .  However, due to technical difficulties and  WT/ACC/SPEC/VNM/5 
 Page 51 
 
 
  limitations in terms of access to information and data  collection, Viet Nam had not been able to apply 
the computed value method and deductive met hod (except for imported goods for processing).  
Efforts had been undertaken to strengthen capac ity building and upgrade equipment to overcome 
these difficulties, but further tec hnical assistance was necessary. 
144. [[The representative of Viet Nam confirmed that, from the date of accession, Viet Nam would 
apply fully the WTO provisions concerning customs valuation, including the Agreement on the 
Implementation of Article VII of the GATT 199 4 and Annex I (Interpretative Note) and the 
provisions for the Valuation of Carrier Media Bearing Software for Data Processing Equipment 
(Decision 4.1), providing that valuation of the soft ware was based on the value of the media.  He 
stated that Viet Nam would not use any form of reference price or fixed valuation schedule for the 
valuation of imports or to apply du ties and taxes, and that all methods of valuation used were in strict 
conformity with those provided for in the WTO Agreement on the Implementation of Article VII of 
the GATT 1994.]  [The representative of Viet Nam confirmed that, from the date of accession, Viet Nam would apply fully the WTO provisions concerning customs valuation, including the Agreement on the Implementation of Article VII of the GATT 1994 and Annex I (Interpretative Note) 
and the elimination of minimum and reference pric es.  He further confirmed that Viet Nam would 
apply the provisions for the Valu ation of Carrier Media Bearing Software for Data Processing 
Equipment (Decision 4.1) as soon as applicable].  The Working Party took note of these commitments.] 
Rules of origin 
145. A Member requested Viet Nam to supplement or amend its legislation to meet all aspects of 
the Agreement on Rules of Origin, in particular the requirements of Article 2(h)  and paragraph 3(d) of 
Annex II of the Agreement. 
146. The representative of Viet Nam said that Viet  Nam had issued several legal documents to 
implement ASEAN preferential rules of origin as well as non-preferential ru les of origin, including 
Decision No. 416/TM-DB of 13 May 1996 of the Minister of Trade, and joint-ag ency Circulars of the 
Ministry of Trade and the General Customs Department Nos. 09/2000 /TTLT-BTM-TCHQ of 
17 August 2000 and 22/2001/TTLT-BTM-TC HQ of 2 October 2001.  Viet Nam was participating in the 
ASEAN Free Trade Area (AFTA) and the preferential rules of origin of AFTA, and importers were thus 
required to submit certificates of  origin (form D), proving 40 per cent ASEAN cumulative origin, for 
goods imported under the CEPT implementing the ASE AN Free Trade Area.  Importers were also 
required to provide certificates of origin issu ed by relevant authorities in accordance with 
international practices (or as provided in the contract ).  Certificates of origin were issued by the WT/ACC/SPEC/VNM/5 
Page 52  
 
  Chamber of Commerce and Industry of Viet Nam or other competent authorities as stipulated by law.  
Certificates of origin for goods entitled to preferen tial treatment under treaties or agreements to which 
Viet Nam was a party were delivered by the Ministry  of Trade or other authorities appointed by the 
Government, and certificates of origin for goods manufactured in industrial or export processing 
zones were granted by the management boards of th e zones.  The owners of the goods, or the customs 
agents acting on their behalf, were legally responsibl e for the accuracy of the information contained in 
their certificates of origin. 
147. The existing legal documents were, in his view , consistent with the Agreement on Rules of 
Origin, although they did not elaborate fully all aspects governed by the Agreement.  He confirmed that the requirements of Article 2(h) and Paragra ph 3(d) of Annex II of the Agreement on Rules of 
Origin would be incorporated in to the draft Commercial Law and its  implementing regulations, to be 
issued in the form of a Government Decision.  He  confirmed that Viet Nam intended to comply fully 
with the Agreement on Rules of Origin from the date of accession. 
Other customs formalities 
148. Some Members noted that Viet Nam’s customs procedures were complicated and at times 
unpredictable, depending on the discretion of customs officials.  Moreover, continued high tariffs 
appeared to be contributing to rampant smuggling, putting goods cleared through the official channels 
at a disadvantage in the Vietnamese market.  The presence of significant quantities of illegally copied 
goods was also noted.  Viet Nam was urged to establish prompt, simplified and more transparent 
customs procedures, as well as to strengthen the pr otection of intellectual property rights, including 
the enforcement capability of border measures. 
149. The representative of Viet Nam said that Viet Nam was making continuous efforts to ensure 
fair trade and reinforce legal compliance.  His Government had established a Steering Committee to supervise activities to combat smuggling and fraudul ent trading practices, and Viet Nam's customs 
administration was receiving technical assistance fro m the World Customs Organizations and bilateral 
donors to strengthen and enforce anti-smuggling measur es.  The General Department of Customs had 
organized training courses to enhance the knowledg e of Viet Nam's customs regulations among 
customs officials, and cooperated with the Viet  Nam Chamber of Commerce and Industry to raise 
awareness of the Law on Customs and its guiding legal documents among ot her agencies and the 
business community.  Customs procedures were publicly known and transparent.  In addition, a "hot-
line" communication system had been set up in cu stoms agencies to discourage bribery practices.    WT/ACC/SPEC/VNM/5 
 Page 53 
 
 
  Pre-shipment inspection 
150. Some members noted that Viet Nam did not ap ply preshipment inspection requirements.  In 
case Viet Nam would contract the services of pr e-shipment inspection firms, the Government of 
Viet Nam was asked to ensure that the operations of such firms be consistent with the relevant WTO Agreements, in particular GATT Article VIII, th e Agreement on Preshipment Inspection and the 
Agreement on the Implementation of Article VII of the GATT 1994.  A member requested a 
commitment that Viet Nam would not apply PSI measures until WTO-consistent legislation had been 
implemented. 
151. In reply, the representative of Viet Nam said th at Viet Nam would take into consideration the 
provisions of WTO Agreements in the formulation of its  policies in this area.  While indicating initially 
that preshipment inspection might be introduced on a trial basis on particular  consignments, he later 
confirmed that Viet Nam was not applying mandator y preshipment inspection, and was not preparing 
any legislation covering this subject matter. 
152. The representative of Viet Nam stated that if preshipment inspecti on requirements were 
introduced, they would be [temporary and] in conf ormity with the requirements of the Agreement on 
Preshipment Inspection [and other WT O relevant agreements].  [Viet Nam would take full responsibility 
to ensure that such enterprises operating on its be half complied with the pr ovisions of WTO Agreements 
including the Agreements on Technical Barriers to Trade, Sanitary and Phyt osanitary Measures, Import 
Licensing Procedures, the Implemen tation of Article VII, Rules of Origin, the Implementation of 
Article VI (Antidumping), Subsidies and Countervail ing Measures, Safeguards,  and Agriculture.  The 
establishment of charges and fees would be consistent w ith Article VIII of the GATT 1994 and Viet 
Nam would ensure that the due process and transparency requirements of the WTO Agreements, in particular Article X of the GATT 1994 would be applied.  Decisions by such firms could be appealed by 
importers in the same way as administrative decisions taken by the Government of Viet Nam.]  The 
Working Party took note of these commitments. 
Anti-dumping, countervailing duties, safeguard regimes 
153. The representative of Viet Nam said that Viet Nam at the outset had no provisions on 
antidumping, countervailing duty or safeguard measures in  its legislation.  He noted, however, that the 
Law on Amendment and Revision of a number of Articles in the Law on Import and Export Duties 
(Articles 2 and 9), passed by the National Assemb ly on 20 May 1998, would allow the imposition of 
additional duty on goods imported at a price lower than the "normal price as a result of dumping practices, and consequently causing difficulties to  domestic producers of like products" or "normal WT/ACC/SPEC/VNM/5 
Page 54  
 
  price resulting from subsidy in the exporting country , consequently causing difficulties to domestic 
producers of like products".  Viet  Nam could also impose additi onal duty on goods originating in 
countries that applied "d iscriminatory treatment against Vietname se goods with respect to tariff rates 
and/or any other measures".  He co nsidered this provision necessary to  ensure that Viet Nam, as a non-
WTO Member, would not be disadvant aged in international trade. 
154. The representative of Viet Nam acknowledged that Viet Nam needed to establish a proper 
legal and institutional framework to enforce provi sions on antidumping and countervailing measures.  
New Ordinances on Antidumping, Countervailing, and Safeguard Measures had been drafted to this 
effect.  The Standing Committee of the National A ssembly had approved the Ordinance on Safeguard 
Action on 25 May 2002, Ordinance No. 20-2004- PL-UBTVQH11 "Against Dumping of Imported 
Goods into Viet Nam" on 29 April 2004, and Ordinance No. 22-2004-PL-UBTVQH11 "On Measures 
against Subsidized Products Imported into Viet Nam" on 20 August 2004.  
155. A Member asked whether Viet Nam was ready to  make a commitment that, in the absence of 
WTO compatible rules on antidumping and counte rvailing regimes, Viet Nam would not impose 
similar remedies to foreign goods.  The representative of Viet Nam replied that Viet Nam reserved the 
right to apply WTO-consistent anti-trade dist ortion measures and trade remedies to dumped or 
subsidized imports, causing or threatening to cause injury to domestic production of like products, to 
protect the legitimate interests of Vietnamese producers.   
156. [The representative of Viet Nam said that any legislation in place at the time of accession or 
implemented in the future providing for the appli cation of measures taken for safeguard, anti-dumping 
or countervailing duty purposes would be [brought in to] [applied in] conformity with the provisions 
of the WTO Agreements on Safeguards, on An ti-dumping and on Subsidies and Countervailing 
Measures.  In the absence of such conforming legisl ative authority in place at the time of accession, 
Viet Nam would not apply measures for safeguard, anti-dumping or countervailing duty purposes 
until legislation in conformity w ith the provisions of these WTO Agreements had been implemented.  
The Working Party took note of this commitment.] 
2. Export regulation 
Customs tariffs, fees and charges for services rend ered, application of internal taxes to exports  
157. The representative of Viet Nam said that Vi et Nam levied export duties on some non-
renewable minerals and natural r esources exported in raw form.  The main purpose of these export  WT/ACC/SPEC/VNM/5 
 Page 55 
 
 
  duties was to protect scarce natural resources, limit the export of strategic goods, and to regulate and 
reconcile revenue to the State budget. 
158. Export duties were imposed in accordance with  the Law on Import, Export Duties, and Decision 
No. 45/2002/QD-BTC of 10 April 2002.  Viet Nam's export duties were applie d on an MFN basis.  
Rates of export duty ranged from one per cent on certai n precious stones to 45 pe r cent on scrap metal.  
Goods subject to export duties are listed in Table 8.  In response to a Member who enquired about the 
purpose of the duties imposed on ferrous and non-ferrous  scrap exports and urged Viet Nam to eliminate 
the restriction on ferrous scrap exports , the representative of Viet Nam sa id that the domestic source of 
ferrous scrap was becoming exhausted and that Viet  Nam relied on imports of this product.  The 
measure aimed at limiting the costs of enterprises need ing ferrous scrap.  In hi s view, this measure was 
not inconsistent with WTO rules. 
159. In addition, surcharges were or had been applie d to exports of coffee, rubber and cashew nuts.  
The rates of surcharge were linked to fluctuations  in commodity prices, and the revenue had been 
channelled into the Price Stabilization Fund.  The ra tes of surcharge applied to raw cashew nuts and 
unprocessed rubber latex in 2000 amounted to 10 and 6 per cent respectively.  He added that an 
Export Promotion Fund had been established by the Prime Minister's Decision No. 195/1999/QD-TTg 
of 27 September 1999.  According to Article 3 of  this Decision, revenue was collected on price 
differentials for certain importe d and exported goods.  For exporte d goods, the price differential was 
calculated on the basis of the actual export price, excluding freight and insurance, but inclusive of 
export tax and domestic distribution fee, if applicable. 
160. Asked whether Viet Nam intended to adjust the measures applied to cas hew nuts and coffee to 
make them consistent with WTO rules, the representa tive of Viet Nam said that surcharges applied to 
exports of coffee had been phased out since 1995.   Those applied for the benefit of the Export 
Promotion Fund would be adjusted in accordance wi th the requirements of the WTO.  Viet Nam was 
trying to reduce fees and charges appl ied to exports with a view to en couraging exportation.  He did not 
consider Viet Nam's regulat ions on surcharges to be at odds with WTO rules. 
Export restrictions 
161. Some Members noted that Viet Nam allowed only licensed businesses to export.  In addition, 
Viet Nam prohibited exports of timber logs, sawn  wood, charcoal, raw rattan and various semi-
processed and processed wood products "for the purpose of pr otecting the environment" and these 
Members asked whether Viet Nam could confirm th at domestic production of  these items was also 
restricted for the same reasons.  Some Members were also  concerned that Viet Nam's export quota on WT/ACC/SPEC/VNM/5 
Page 56  
 
  rice was WTO-inconsistent, as Article XI of the GATT 1994 prohibited export quotas unless applied 
temporarily to prevent or reli eve critical food shortages. 
162. The representative of Viet Nam replied that the import-export licensing requirement had been 
abolished by virtue of Government Decree No. 57/1998/ND-CP of 31 July 1998, and that the working capital requirement for trading enterprises was no longer effective.  Viet Nam imposed pr oduct-
specific controls or restrictions on the items listed in Table 9.  Certain exports were subject to line 
management approval.  The Ministry of Aqua-cultu re licensed exports of certain aquatic species (see 
Table 10).  The list of products subject to export pr ohibition, in his view, conf ormed to the requirements 
of Article XX of the GATT 1994.  An enterprise wishing to export a product on the prohibited list, 
submitted an application, including justifications fo r the exports, to the Mini stry or People's Committee 
concerned.  If these institutions cons idered the demand justifiable, the application would be submitted to 
the Prime Minister for final decision.  He added that Viet Nam restricted the cutting volume of wood 
and maintained an annual cutting allocation in additi on to quantitative restrictions on exports of wood.  
The production ceiling for wood products had been reduced from 617,000 m³ in 1995 to 300,000 m³ in 1999, and the corresponding export quotas for natu ral wood had been set at 330,000 m³ in 1996, 
80,000 m³ in 1997, 100,000 m³ in 1998 and 150,000 m³ in 1999. 
163. In order to ensure national food security, Viet Na m had controlled the export of rice by setting 
indicative export volumes and by channelling expor ts through so-called fo cal point exporters.  
According to Decision No. 141/TTg of  the Prime Minister "On the Admi nistration of Rice Exports and 
Fertilizer Imports in 1997" of 8 Marc h 1997, rice export quotas had been  allocated to provincial People's 
Committees based on the output of rice paddy in co mmercial quantities in each province, and the 
provincial People's Committees allo cated their quotas to enterprise s based on their actual export 
capacity.  Quotas had also been dist ributed to certain Central Food Cor porations based on their capacity.  
Enterprises had been required to be members of the Vietnamese Foods  Association to be eligible for 
quota allocations.  An enterp rise unable to fill its a llocated quota would need to  report promptly to the 
Ministry of Trade and the Ministry of Agriculture and Rural Development.  The Prime Minister could transfer unused entitlem ents to other enterprises; no other form of  quota transfer or sale was permitted. 
164. The Government had announced the indicative expor t volume to be allocated to enterprises at 
the beginning of each year base d on forecasts for annual consumption, storage and production.  The 
indicative export volume could be adjusted during the year, and actual exports had exceeded the indicative levels in 1998 and 1999.  As for the foca l point exporters, only St ate-owned enterprises had 
held the right to export rice in the past.  Foca l point status was no longe r limited to State owned 
enterprises and, since 1998, other Vi etnamese enterprises regardless of form of ownership had also been  WT/ACC/SPEC/VNM/5 
 Page 57 
 
 
  entitled to export rice.  The number of enterprises ex porting rice had increased from 26 in 1997 to 64 in 
1999, and had continued to rise in 2000.  He confirmed that minimum e xport prices on rice and crude 
oil, serving only as guidance prices, had been abolished. 
165. Noting that export quotas were generally not justified under WTO rules, some Members 
requested a commitment that Viet Nam would only maintain those export restrictions that could be justified under WTO rules upon accession to the WTO.  Some Members did not consider Viet Nam's 
export controls, in particular those on rice and timb er, in conformity with WTO provisions.  Viet Nam 
was requested to revise its regime to introdu ce WTO consistent measures to achieve its policy 
objectives, and to provide a clear timetable for th e elimination of measures inconsistent with WTO 
rules. 
166. In reply, the representative of Viet Nam said th at rice was considered vital for Viet Nam's 
socio-economic security, and Viet Nam therefore di d not intend to eliminate controls on production 
(and trade).  However, rice export quotas had been  eliminated and Viet Nam was not applying any 
export restriction on rice at present.  Instead, a fl exible control mechanism had been developed.  
Under this mechanism, at the beginning of each year, the Government would announce an indicative 
export volume to all enterprises, based on annual pr oduction forecasts.  Enterprises would be free to 
sign rice export contracts and would notify them to the Viet Nam Food Association.  The Viet Nam Food Association was responsible for informing enterprises about accumulated contracted export 
volumes.  He added that his Government reserved its  right to intervene in the rice market in a WTO-
consistent manner in the event of  a domestic shortage of rice. 
167. [The representative of Viet Nam confirmed that, upon accession, [any remaining export 
restrictions] [rice export management measures] woul d be applied in a manner fully consistent with 
WTO provisions.  The Working Party took note of this commitment.] 
Export subsidies 
168. The representative of Viet Nam provided info rmation on industrial subsidy programmes, 
including export subsidies, in documents WT/ACC/VNM/13 (covering the period 1996-1998), 
WT/ACC/VNM/13/Add.1 (for 1999-2000), and WT/A CC/VNM/13/Add.2 (2001-2002).  Viet Nam 
had established an Export Promotion Fund to assist, encourage and promote exportation of 
Vietnamese products.  Subsidies were provided in th e form of interest rate support (full or partial 
refund of interest incurred on ordinary bank loans); di rect financial support, particularly to first-time 
exporters, for exports to new markets, or goods subj ect to major price fluctuations; and export rewards 
and bonuses.  Total expenditure from the Export Pr omotion Fund had amounted  to 128.4 billion Dong WT/ACC/SPEC/VNM/5 
Page 58  
 
  (about US$9.2 million) in 2000.  Asked to define th e terms "financial support" and "export reward", 
the representative of Viet Nam said that financial support covered any kind of financial benefit, and 
that both financial support and export rewa rd could be considered as grants.   
169. Export rewards were paid to traders exporting new products of recognized high quality, based 
on labour intensive manufacturing or the processing of local raw materials.  In order to receive a "Certificate on Export Performance", successful traders would also need to satisfy criteria with respect 
to minimum export volume or export growth.  Sinc e 1998, the average annual export reward to each 
eligible enterprise had ranged between US$2,900 and US$4,710.  The programme to provide export 
bonuses had targeted exports of agricultural products  in 2001, but in 2002 the programme had been 
extended to include non-agricultural products such  as handicrafts, rattan and bamboo ware, plastic 
products and mechanical products (Decisi on No. 63/2002/QD-BTC of 21 May 2002).   
170. The Export Promotion Fund also provided support to enterprises for expenditures on trade 
promotion activities such as participation in trade fairs and exhibitions, market surveys, consultancy fees and the opening of trade promotion centres and re presentative offices abroad since the beginning of 
2001.  Payments were determined on the basis of exported value (0 .1-0.2 per cent), but the support could 
not exceed 50-70 per cent of the actual expend itures of enterprises on such activities.   
171. Effective since 25 September 2001, the Develo pment Assistance Fund – which had been 
established in 1999 to assist in the implementation of important economic projects and the development of disadvantaged areas - was administering an export credit programme, covering short-
term loans and guarantees, medium and long term i nvestment loans, post-investment interest rate 
support and investment credit guara ntees.  Viet Nam had granted s hort-term export support loans 
amounting to 140 billion dong in 2001 and 3,006 billion dong in 2002.   
172. He added that Viet Nam granted a five year  tariff exemption on the importation of production 
raw materials to foreign invested enterprises expor ting at least 80 per cent of their products, or 
50 per cent in the case of agricultural, forestry or a qua-cultural products.  Investment in such projects 
were "specially encouraged" acco rding to Decree No. 24/2000/ND-CP.  He confirmed that the export 
ratio requirement would be eliminated upon Viet  Nam's accession to the WTO as provided for in 
Decision No. 718/BKH-QD of 7 December 2001 (see the section on TRIMs).  Domestic firms 
producing goods for export were exempted from im port duties on the importation of equipment, 
machinery, and specialized transportation means used  in the establishment of the enterprises' fixed 
assets.  Fixed assets used in the production, processing or assembly of exported goods had been subject 
to accelerated depreciation (half the normal duratio n).  In addition, enterprises in the software and 
mechanical industry benefited from duty exemp tion on the exportation of their products.    WT/ACC/SPEC/VNM/5 
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  173. Some Members noted that Viet Nam appeared to  be using incentives stipulated in Decree 
No.24/2000/ND-CP which were linke d to export performance or use of local raw materials and 
resources, and that the criteria employed in the allo cation of such incentives we re unclear a nd potentially 
open to abuse.  Moreover, the export bonuse s granted in accordance with Decisions 
Nos. 65/2001/QD-BTC and 63/2002/QD-BTC  would appear questionable in the light of Article 3 of the 
Agreement on Subsidies and Countervailing Measures .  A Member noted that Viet Nam considered 
itself a low-income developing c ountry eligible to maintain e xport subsidies under the Agreement on 
Subsidies and Countervailing Measures (SCM).  Ho wever, Article 27.2(a) of the Agreement was 
specific to developing countries referred to in Annex VII of the SCM, and this was not a self-
nominated or expanding list of countries.  Moreover,  the provisions of Article 27.4 of the Agreement, 
available to developing countries with a small share of  world export trade, would not be available to 
Viet Nam.  While ready to consider some fl exibility as to how Viet Nam would phase out its 
prohibited export subsidies, this Member mainta ined that Viet Nam should have no recourse to 
provisions allowing the use of prohibited subsidies following its accession.  Moreover, as Viet Nam would be acceding to the WTO after the lapse of the phase-out period for export subsidies by 
developing countries, Viet Nam should phase out its export subsidy schemes upon accession.   
174. In reply, the representative of Viet Nam confirmed that the export ratio requirement 
mentioned in paragraph [172] and subsidies contingent on localizati on ratios and the use of domestic 
over imported goods would be eliminated upon Viet Na m's accession to the WTO.  He proposed that 
Viet Nam would abolish subsidies in the form of direct payments contingent on export performance 
within three years from the date of accession to the WTO. 
3. Internal policies affecting foreign trade in goods 
Industrial policy, including subsidies  
175. The representative of Viet Nam said that Viet  Nam's socio-economic development strategy 
was orientated towards industrialization and mode rnization.  The State had concentrated on 
rehabilitation, upgrading and construc tion of infrastructure such as electricity and water supply, roads, 
airports, sea-ports and post and telecommunications f acilities.  Most of Viet Nam's industries were at 
the initial stage of development and frequently suffered from low competitiveness.  The paper 
industry, for example, was characterized by sma ll scale, inefficient technology, poor product range, 
low quality and high production costs.  At the same  time, the industry was important for the living 
standards of farmers supplying raw materials fo r the production of paper.  The industry was 
accordingly protected by high tariffs and import control measures.   WT/ACC/SPEC/VNM/5 
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  176. The representative of Viet Nam submitted a "Notif ication on Industrial Subsidies Pursuant to 
Article XVI:1 of the GATT 1994 and Article 25 of  the Agreement on Subsidies and Countervailing 
Measures" for the period 1996-1998 in document WT/ACC/VNM/13, updated to cover the period 
1999-2000 in document WT/ACC/VNM/13/ Add.1, and 2001-2002 in document 
WT/ACC/VNM/13/Add.2.  According to the up-date d notifications, Viet Nam provided import duty 
reductions on inputs to certain mechanical-electric and electronic industries; investment incentives to 
labour intensive domestic enterprises; support to enterprises employing a great number of female 
employees; development assistance to some projects in mechanical industries; investment incentives 
to domestic and foreign invested enterprises produc ing goods for export, or operating in certain 
business fields and sectors, or certain areas; de velopment assistance to enterprises located in 
disadvantaged areas; assistance channelled throu gh a Development Assistance Fund; investment 
assistance for science and technology development; s upport for the development of priority industrial 
products; assistance for the development of software  industry; assistance for newly-established or 
expanding Vietnamese enterprises or domestic enterpri ses moving to disadvantaged areas; as well as 
assistance to Vietnamese enterprises c onducting special activities.  He noted that most of the subsidy 
programmes were based on tax concessions or exemp tions, i.e. revenue foregone to his Government, 
and that Viet Nam's statistical and data manageme nt systems were not yet sufficiently developed to 
estimate the revenue foregone and thus to provide da ta on total subsidy amount or subsidy per unit for 
most of the programmes listed.  However, in his assessment most of the programmes provided only 
minor subsidies. 
177. The import duty reduction programme for domest ic and foreign-invested enterprises 
producing or assembling mechanical, electric, or el ectronic products and/or parts of these products 
was contingent on local content, but not on expor t performance.  Details on the tariff reductions and 
corresponding local sourcing ratios are provided in Ta ble 11.  The programme was part of Viet Nam's 
overall industrialization strategy, a lthough he recognized that the programme only played a useful role 
in the development phase of these industries.  Current  legislation did not specify eligibility criteria or 
indicate any timeframe for the application of the s ubsidy.  However, he confirmed that the import 
duty reduction programme for two-wheel motorcyc les and parts had not been applied since 
1 January 2003.  He confirmed that the duty reduc tions were the only incentives provided to recipient 
firms under this programme, and that firms reducin g their local content ratios without approval from 
the competent authorities would face sanctions, including repayment of rebated duty.  
178. Labour-intensive domestic enterprises were eligib le for exemption or re duction of land rental 
and land use tax, and extended corporate income ta x exemption and reduction.  The programme aimed 
primarily at creating employment and improving pe ople's income and conditions of living.  He  WT/ACC/SPEC/VNM/5 
 Page 61 
 
 
  confirmed that the incentives provided under this  programme were not industry- or enterprise-
specific, and were linked entirely to the number of employees.  Land rental fees differed from region 
to region and the average value of the subsidy could not be determined.  Domestic and foreign-
invested enterprises employing a large number of fe male employees were entitled to corporate income 
tax reductions.  The enterprises could also deduct expenses related to the employment of female 
workers from the taxable income.  The programme  was not enterprise- or industry-specific. 
179. A programme to develop the mechanical indus try was channelled towards manufacturing of 
bicycles, electric fans, small-size power engines and maritime ships.  Assistance was provided in the form of preferential credits; co rporate income tax exemption or reduction; exemption from export 
duties; and import duty exemption on components, acce ssories, materials and equipment.  Eligible 
firms were enterprises facing difficulties in rais ing capital to upgrade the technology used in 
production.  By February 1998, the programme had provided assistance to 34 projects in four 
mechanical sub-sectors (bicycle, electric fan, pow er machine, and shipbuilding).  Manufacturers 
and/or exporters of selected products - computer software and mechanical products including diesel 
engines, power engines, bicycles and electric fans - had also been eligible for preferential credits from 
commercial banks between September 1998 and Octo ber 1999.  However, this programme - providing 
credit at a monthly interest rate 0.2 per cent lower than on normal export credits accorded by these 
banks - had been discontinued. 
180. Export oriented foreign-invested enterprises be nefited from investment incentives in the form 
of exemption of corporate income tax or preferen tial tax rates, and exemption of import duties.  
Domestic enterprises producing goods for export were  also entitled to various subsidies, including 
exemption or reduction of land use payment, land rental, and land use tax; preferential corporate 
income tax rates; extended corporate income tax exemption and reduction; exemption or reduction of 
the corporate income tax payable on the income attributable to expans ion and/or enhancement 
investments; exemption from supplementary cor porate income tax; import duty exemption on 
equipment and machinery constituting the enterp rise's fixed assets; and additional preferential 
treatment with respect to corporate income tax.   
181. His Government granted investment incentiv es to foreign-invested and domestic firms 
operating in certain business fields and sectors of national development priority.  Decree 
No. 24/2000/ND-CP identified investment project s which were "specially encouraged" or 
"encouraged", reproduced in Annexes IV and V of document WT/ACC/VNM/13/Add.2.  Foreign 
investment in such projects were eligible for pref erential rates of corporate income tax, reduction or 
exemption of corporate income tax, or duty exemp tions for imported fixed assets and materials.  As to WT/ACC/SPEC/VNM/5 
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  domestic firms, these were eligible for exemption or reduction of land use pa yment, land rental, and 
land use tax; preferential corporate income tax ra tes; extended corporate income tax exemption and 
reduction; exemption or reduction in the corporate in come tax payable on the income attributable to 
expansion and/or enhancement investments; exemp tion from supplementary corporate income tax; 
and import duty exemption on equipment and machinery constituting an enterprise's fixed assets.  The 
business fields and sectors covered under the prog ramme were listed in Annex I of document 
WT/ACC/VNM/13/Add.2.  He confirmed that some of the incentives conferred to foreign-invested 
firms were contingent on export performance, but argued that most of the sectors were important for the development of disadvantaged regions.  Regiona l development support in the form of investment 
incentives was, in his view, legitimate for a lo w income developing country in the process of 
economic transition such as Viet Nam.   
182. Enterprises operating in socio-economic disadvantaged areas were entitled to investment 
incentives.  The list of areas in which foreign-i nvested firms could benefit from incentives had been 
published in Decree No. 24/2000/ND-CP of 31 July 2000, and was reproduced in Annex VI of document WT/ACC/VNM/13/Add.2.  All projects ope rated by foreign-owned enterprises in these 
areas were entitled to incentives in terms of prefer ential corporate income tax rates, exemption or 
reduction in corporate income tax, import duty ex emption and preferential remittance tax rates.  
Domestic firms operating in the areas listed in Annexes II and III of document WT/ACC/VNM/13/Add.2 could benefit from exemp tion or reduction in land use payment, land 
rental, and land use tax; preferential corporate in come tax rates; extended corporate income tax 
exemption and reduction; exemption or reduction of the corporate income tax payable on the income 
attributable to expansion and/or  enhancement investments; exemption from supplementary corporate 
income tax and personal income tax; and impor t duty exemption on equipment and machinery 
constituting an enterprise's fixed assets.   
183. Benefits granted through the Development Assist ance Fund to assist in the implementation of 
important economic projects and the development of disadvantaged areas included preferential 
investment credits ("development investment loan s"), post-investment interest-rate support, and 
investment credit guarantee.  Enterprises investi ng in technology research a nd development benefited 
from preferential corporate income tax rates; ex emption and reduction in corporate income tax; 
exemption from supplementary corporate income tax;  preferential treatment in respect of land use 
payment, land rental, and land use tax; import dut y exemption; preferential credit terms and other 
forms of support.  He confirmed that the benefits and incentives provided under these two 
programmes were not contingent on export perform ance or on the use of domestic over imported 
goods.  WT/ACC/SPEC/VNM/5 
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  184. Viet Nam also supported some enterprises impl ementing projects to promote the development 
of priority industrial products.  Assistance took the form of import duty exemptions, preferential 
corporate income tax, preferential access to the State's development investment credits, and reduction 
of land rentals.  Enterprises eligible under this  program were the Viet Nam Shipping Industry 
Corporation, for the building of maritime ship s with a capacity of 11,500 tonnes; the Viet Nam 
Engine and Agriculture Machinery Corporation (VEAM), responsible for manufacturing internal 
combustion engines (below 30 CV); the Hanoi  Electronics Company (HANEL), which produced 
colour television sets; as well as sub-contractors to these enterprises.  Computers had been added to the list in February 2001 (Decision No. 19/2001/QD- TTg).  The representative of Viet Nam added 
that, in accordance with Circular No. 86/2000/TT- BTC of 16 August 2000, the import duty incentives 
had lapsed on 31 December 2003.   
185. In the software industry, incentives were grante d to domestic and foreign-invested enterprises 
to stimulate investment and promote the supply of software-related services in Viet Nam.  Incentives 
included preferential corporate income tax rates, exemption from corporate income tax, preferential 
treatment with respect to VAT, export duty ex emption, import duty exemption on materials, 
preferential access to the State's development invest ment credits, preferential treatment in respect of 
land use and land rents, and other forms of support. 
186. In 2001, Viet Nam had introduced a subsidy programme to support a Development Strategy 
(2001-2010) for the textile and clothing sector, focusing on projects to develop the production of 
textile materials, investment in waste water trea tment, infrastructure development, and training and 
research.  Assistance was provided in the form  of preferential credits, investment incentives, 
government guarantees and support to trade promotion activities.  Revenue from auctions of textile 
quotas and fees collected in gran ting such quotas were earmarked for trade promotion and human 
resources development.  By the end of 2002, medium  and long term loans totalling 1,379 billion dong 
had been granted to 56 projects, and the estimated  value of the subsidy elements of these loan 
agreements amounted to 395 million dong.  Viet Na m had also introduced a new preferential credit 
and tax incentive scheme for the shipbuilding indust ry in October 2000, provided new preferential 
credits for the mechanical industry since 2001, an d preferential credits for the manufacturing of 
motorcycle engines during 2002.  In addition, the Ministry of Finance had administered a programme 
to assist enterprises "facing difficulti es due to objective reasons" since January 2001.  The programme 
allowed enterprises in financial difficulties to postp one payment of taxes or other dues to the State 
budget for periods of 6-12 months, or to have th eir payment obligations forgiven or frozen.   WT/ACC/SPEC/VNM/5 
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  187. Newly-established or expanding Vietnamese ente rprises and domestic enterprises moving to 
mountainous, island and other disadvantaged areas were entitled to exemption and reduction in 
corporate income tax and - from 18 January 2002 - loan s at reduced rate of interest granted by State-
owned commercial banks.  Corporate income tax ho lidays were also granted to domestic enterprises 
engaged in scientific research; technical services  related to agriculture; vocational training for 
disabled persons, ethnic minority people, and childr en from families in difficulties; production, 
training or services to households earning less than the minimum salary of State employees; and 
enterprises employing disabled persons.   
188. Some Members stated that the subsidies provide d specifically to export-oriented enterprises 
were contingent on export performance.  In additio n, the investment incen tives granted to foreign-
invested firms producing goods for export appeared to  be contingent on local content.  Such subsidies 
were prohibited under the Agreement on Subsid ies and Countervailing Measures, and should 
accordingly be phased out.  In addition, noting that  Viet Nam administered two separate investment 
incentive schemes for export-oriented foreign-invest ed and domestic enterprises, a Member observed 
that a unification of the schemes would be economica lly, financially, and from a transparency point of 
view preferable, and enquired about Viet Nam's pl ans to reform its system.  Some Members also 
noted that the import duty reduction programme fo r mechanical-electric and electronic industries 
appeared to be a prohibited import substitution subs idy according to Article 3.1(b) of the Agreement 
on Subsidies and Countervailing Measures, and would have to be phased out prior to accession.  It 
was also noted that the interest rate support to cer tain mechanical industries and Viet Nam's assistance 
to develop its software industry w ould seem to be linked to export performance.  Viet Nam was asked 
to repeal all measures contingent on export pe rformance.  Concerning Viet Nam's subsidies for 
regional development, some Members noted that th ese subsidies could be considered specific in the 
WTO, and provisions which had allowed non- actionable regional subsidies had lapsed on 
31 December 1999. 
189. The representative of Viet Nam replied that, in his view, the incentives applied to export 
oriented production were consiste nt with WTO provisions available to certain developing countries.  
He requested the right for Viet Nam to maintain  these incentives in accordan ce with the special and 
differential treatment provisions of the WTO.  Con cerning the unification of the investment incentive 
schemes, he noted that the Law on Corporate Income Tax, as amended, and implementing Decree No. 164/2003/ND-CP of 22 December 2003 provided fo r a uniform basis for corporate tax incentives 
applicable to export oriented activities.  He a dded that the import duty reduction programme for 
mechanical-electric and electronic industries would be  phased out by the date of Viet Nam's accession 
to the WTO, as indicated in Viet Nam's action pl an for implementation of the TRIMs Agreement.   WT/ACC/SPEC/VNM/5 
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  The preferential credits accorded to certain mechan ical industries were not, in his view, contingent on 
export performance nor on the use of domestic ove r imported goods.  The programme to assist the 
software industry would, in his opinion, be subject to the disciplines pertaining to trade in services.   
190. The representative of Viet Nam confirmed that subsidies contingent on localization ratios and 
the use of domestic over imported goods would be eliminated upon accession.  He proposed that 
Viet Nam would abolish subsidies in the form of direct payments continge nt upon export performance 
within three years from the date of accession to th e WTO and subsidies in the form of investment 
incentives within nine years.  The latter needed to be maintained fo r a longer period to promote socio-
economic development.   
Technical barriers to trade, standards and certification 
191. The representative of Viet Nam said that a St ate administration body - the Directorate for 
Standards and Quality (STAMEQ), reporting to th e Ministry of Science and Technology - was 
responsible for advising the Government on issues related to standardiza tion, metrology and quality 
management, and representing Viet Nam in inte rnational and regional st andardization fora.  
Information on technical barriers to trade w as submitted in document WT/ACC/VNM/3/Add.1, 
Annex 5, in which STAMEQ was designated as Viet  Nam's central contact point for standards, 
technical regulations and conformity assessment issu es, as well as the notification authority for TBT 
issues according to Decision No. 356/2003/QD-BKHCN of 25 March 2003 of the Ministry of Science and Technology.   
192. The main tasks of STAMEQ included preparation of rules and regulations on standardization, 
metrology and quality control for approval by the co mpetent authorities; supervision and control of 
the implementation of approved rules and regulatio ns; to organize and guide activities relating to 
standardization, metrology and quality control; to formulate national standards; to perform quality 
system certification, product certification and accr editation of testing and calibration laboratories, 
quality inspection bodies and quality certification bodi es; to implement State supervision of quality 
requirements related to goods; to keep the national measurement standards; to organize and guide 
activities of verification, calibration, and certification of measuring instruments and patterns; to conduct studies on standardization, metrology and quality cont rol; to participate in international cooperation 
on standardization, metrology and quality control; and to provide information and training on these 
subjects.  Responding to concerns about the ab ility of STAMEQ to function independently and 
impartially as an accreditation body, the representativ e of Viet Nam said that the accreditation and 
certification services of STAMEQ were entirely separate from a financial, professional, and legal point of view.  STAMEQ's role was to ensure conf ormity with Vietnamese laws and international WT/ACC/SPEC/VNM/5 
Page 66  
 
  standards and recommendations.  He added that  his Government was considering establishing a 
National Accreditation Council as an effort towards reorganizing STAMEQ. 
193. The legal framework for standardization, metr ology and quality control consisted of the 
Ordinance on Metrology No. 16/1999/PL-UBTVQH10 of 6 October 1999, the Ordinance on Goods 
Quality No. 18/1999/PL-UBTVQH10 of 24 Decemb er 1999, the Ordinance on Consumer Rights 
Protection No. 13/1999/PL-UBTVQH10 of 27 April 1999, the newly promulgated Ordinance on Food 
Safety and Hygiene No. 12/2003/PL-UBTVQH11 of 26 July 2003, issued by the National Assembly 
Standing Committee, and other rela ted regulations such as Decrees or Decisions issued by the 
Government or Prime Minister, and inter-Ministerial or Ministerial Circulars and/or Decisions issued by ministries or Ministers to guide the implementation of the Ordinance on Metrology and the Ordinance on Goods Quality.  He expected a new Ordinance on Standardizati on to be developed and 
introduced in 2007.  The main ministries involved in standardization and quality requirements were 
the Ministries of Science and Technology; Industry; Fisheries; Health; Trade; Agriculture and Rural 
Development; Post and Telematics; Resources and E nvironment; and Transport.  Asked to define the 
term "quality" more precisely, he said that the term should be understood in a broad sense.  The 
Ordinance on Goods Quality governed the state administration of quality through technical 
regulations with the aim to protect human health, safety, the environment and other legitimate objectives as indicated in the TBT Agreement. 
194. Concerning standardization, he said that over 5,600 national standards (Viet Nam standards) 
existed in Viet Nam as per October 2003, of which nearly 1,300 standards were foreign, regional and 
international standards adopted and translated for ap plication in Viet Nam.  The other 4,300 standards 
were in part based on foreign, regional and intern ational standards.  Sectors with a low level of 
harmonization included shipbuilding, aviation, garm ents, cosmetics, wooden articles and glassware, 
and sectors with geographical, cultural and custom specificities.  Draft technical regulations or 
standards were prepared by drafting committees or  technical committees respectively (for example, 
for drafting Viet Nam standards 86 technical comm ittees and 38 sub-committees had been established 
to date).  These committees and sub-committees had been established by STAMEQ and were 
organized and operated in accordance with the guidelines of the International Standardization 
Organization (ISO).  In order to facilitate the collection of comments on draft standards, STAMEQ 
posted the annual standards preparation program on the Internet (http://www.vsc.org.vn), and interested parties could request copies of draft sta ndards for consideration and comment, if necessary.  
Concerning technical regulations, the Law on the Enact ment of Legal Documents stipulated that for 
technical regulations issued by the Government, the Government would assign a drafting body to 
establish drafting committees.  The drafting comm ittees consisted of the relevant agencies and  WT/ACC/SPEC/VNM/5 
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  organizations, experts and scientists.  Ministries  or Ministerial level bodies issuing technical 
regulations established committees or working groups to assist in the preparation.  Draft technical 
regulations were - subject to their nature and cont ent - submitted to the releva nt bodies, organizations 
and individuals for comment.  These committees or working groups were di ssolved upon completion 
of the assignment. 
195. Viet Nam was considering the issue of publicati on of draft standards and technical regulations 
for the purpose of comment prior to adoption.  Viet Nam had embarked on programmes to harmonize 
national standards with internati onal standards, particularly for electrical and electronic products, 
within the framework of ASEAN, APEC and ASEM. 
196. Several Vietnamese standards were compulsory  under the provisions of specific technical 
regulations.  Among the some 5,600 national standards listed in the Viet Nam Standards Catalogue in 
2002, 231 were mandatory.  Requested to provide  a list of the mandatory standards/technical 
regulations applicable in Viet Nam, he referre d Members to the internet homepage of STAMEQ 
(http://www.tcvn.gov.vn ).  Providing an example, he noted that on 24 December 1999, the Standing 
Committee of the National Assembly had adopt ed Ordinance No. 18/1999/PL-UBTVQH10 which 
stipulated that goods related to food, safety, san itary, human health, environment, and other goods 
specified by laws and regulations, were obliged to  be in conformity with Viet Nam's national 
standards.  The Ordinance had entered into force on 1 July 2000, superseding an Ordinance on Goods 
Quality of 27 December 1990.  The Ordinance st ipulated that both domestic and imported goods 
could be subject to either quality inspection - the list of goods would be determined by the 
Government - or quality certification, to be determ ined by Ministers.  Both methods were being 
developed and revised on the basis of ISO Guides.  Quality certification to establish the conformity 
with Viet Nam standards was mostly carried out on a voluntary basis. 
197. Viet Nam was developing safety certification, formerly known as "mandatory product quality 
certification", on the basis of Systems 4 of the ei ght third-party certification systems introduced by 
ISO, notably for electrical and electronic products.  Safety certification would include type testing and 
post-certification surveillance in the market or at th e production site.  Fees for testing, verification and 
related administrative formalities had been establi shed by the Ministry of Finance (Circular 
No. 83/2002/TT-BTC of September 2002), based on th e Ordinance on Fees and Charges promulgated 
by the National Assembly Standing Committee on 28 August 2001, and Government Resolution 
No. 57/2002/ND-CP of 3 June 2002.  According to this Circular, Vietnamese and foreign organizations and individuals paid State management fees and charges for the granting, testing, goods 
quality State inspection, and verification of measuring instruments, by State administrative bodies for WT/ACC/SPEC/VNM/5 
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  standards, metrology and quality, or other authori zed bodies.  The fees and charges were stipulated in 
Vietnamese Dong and were based on the costs of the services rendered.  Viet Nam had issued 
Decision No. 2424/2000/QD-BKHCNMT of 12 December 2000, introducing a procedure for 
supplier's declaration of conformity.  The proce dure was based on ISO/IEC Guide 22 and applied to 
products with a lower level of risk to product users than those subject to the safety certification procedure.  Products covered in cluded electrical goods, foodstuffs, c onsumer chemicals, cosmetics, 
construction materials, children toys, etc.  Importe d products were also subject to this method.  He 
expected supplier's declaration of product confor mity to become the principal method of quality 
management in Viet Nam in the future.  Viet Nam had also established certification schemes of quality assurance systems based on ISO guidelines,  Codex (GMP, HACCP) and on the systems of 
other countries such as New Zealand and Japan. 
198. The representative of Viet Nam listed im ported and exported commodities subject to 
mandatory quality inspection in 1997 in docum ent WT/ACC/VNM/3/Add.1, Appendix 5.  When 
asked by some Members to update these lists he referred them to the website of STAMEQ 
(http://www.tcvn.gov.vn
).  The Ordinance on Goods Quality stipulated that the Government should 
issue a list of goods subject to mandatory quality insp ection.  The most recent list had been published 
in Decision 117/2000/QD-KHCNMT of 26 January 2000, but this list was currently subject to revision.  [Once published, the revised list will be provided to the Working Party.]  He added that 
mandatory registration of product qua lity had been abolished in early  2001.  Inspection procedures for 
imported and exported goods had been  simplified by moving towards a system of type testing.  The 
requirement to inspect each individual consignmen t could be waived for companies with a proven 
track record of quality.  The principle of simplifie d inspection procedures applicable to imported and 
exported goods had been approved by the Mini ster of Science and Technology in Decision 
No. 1091/1999/QD-BKHCNMT of 22 June 1999.  The detailed conditions under which simplified 
inspection procedures could be applied were specified  in regulations issued by the Directorate for 
Standards and Quality and line management ministri es for each type of goods.  Complaints against 
decisions by the authorities responsible for conf ormity assessment or quality inspection procedures 
were conducted in compliance with Viet Nam's Ordinance on Claim and Denouncement. 
199. Asked specifically about the quality inspecti on and customs procedure for imported goods 
subject to state quality inspection, he added that  the procedures were guided by Inter-Circular 
No. 37/2001/TTLT/BKHCNMT-TCHQ issued by the fo rmer Ministry of Science, Technology and 
Environment and General Department  of Customs on 28 June 2001.  The Circular stipulated that the 
owner had legal responsibility for the specified quality  of imported goods subject to State mandatory 
quality inspection.  The owner registered for qua lity inspection with the inspecting body using the  WT/ACC/SPEC/VNM/5 
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  registration form provided in the Inter-Circular No . 37.  Within one working day following customs 
clearance, the goods owner should present the declared goo ds in their original state together with the 
cleared customs documents and other documents pursu ant to the regulations of the inspecting body.  
The inspecting body was required to verify the re gistration for State quality inspection, or issue a 
notification of inspection exemption, to the customs agency within one working day.  As noted above, 
the list of imported and exported goods subject to State quality inspection was implemented according 
to the Decision No. 117/2000/QD-BKHCNMT of the former Minister of Science, Technology and 
Environment.  The list included specified the good s subject to State quality inspection under the 
competence of specialized inspecting bodies of the former Ministry of Science, Technology and Environment (now Science and Technology); the Ministries of Health; Agriculture and Rural 
Development; Industry; Transportation and Fisheries. 
200. Among the steps Viet Nam was taking to remedy deficiencies in its current standardization 
and regulatory regime, he noted that existing standard s were subject to review and revision to ensure 
consistency with international and regional standards, inspection procedures were shifting from 
consignment-by-consignment inspection to type tes ting where appropriate, Viet Nam was establishing 
product testing laboratories meeting the require ments of ISO/IEC Guide 25 as well as ISO/IEC 
Guide 17025, and Viet Nam had entered into  multilateral mutual recognition agreements 
(APEC-MRA).  In response to a specific question, th e representative of Viet Nam said that Viet Nam 
had signed bilateral agreements with China, the Russian Federation and Ukraine which included 
provisions on harmonisation of national standa rds and conformity assessment procedures with 
international standards and guides, mutual tech nical cooperation, and a mechanism for mutual 
recognition of conformity assessment results.  He referred requests for the texts of Viet Nam's existing Mutual Recognition Agreements to the website of STAMEQ (http://www.tcvn.gov.vn). 
201. Asked whether and how Viet Nam accepted the results of conformity assessment procedures 
in other Members, as foreseen under Article 6.1 of the TBT Agreement, and whether Viet Nam 
recognized test data and/or certification conducted by bodies outside of Viet Nam, he said that 
Viet Nam provided many forms of acceptance of tes ting results or certification undertaken by foreign 
organisations.  In most of cases, test results and certifications undertaken by foreign organisations 
were accepted by the sellers and buyers.  For good s subject to quality inspection and certification, 
testing and certification results were accepted under,  for example, (i) bilateral and multilateral mutual 
recognition agreements to which Viet Nam and ex porting countries were parties; (ii) unilateral 
acceptance by Viet Nam of foreign laboratories or  certifying organizations; and (iii) import quality 
inspection.  Viet Nam's unilateral acceptance of foreign laboratories or certifying organizations was 
based on the criteria of the ASEAN and APEC mutual recognition agreements and guidelines.  WT/ACC/SPEC/VNM/5 
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  Testing results of foreign laboratories accredite d by foreign accreditation bodies were automatically 
accepted in Viet Nam if both Viet Nam and the fore ign country were signatories of APLAC and ILAC 
MRAs. 
202. Some members asked Viet Nam to confirm th at full compliance with the TBT Agreement 
would be ensured by the time of accession, and requested a detailed plan of action addressing all 
outstanding issues.  The representative of Viet Na m submitted an Action Plan for the Implementation 
of the WTO Agreement on Technical Barriers to Tr ade in document WT/ACC/VNM/24, subsequently 
revised in documents WT/ACC/VNM/24/Rev.1 and Rev.2.   According to the revised plans, Viet Nam 
would ensure that all new technical regulations, standards, and conformity assessment procedures 
would be in full compliance with the Agreement fr om the date of accession.  In recent years his 
Government had been promoting a program to review legal documents to ensure progressive 
consistency with WTO obligations , including in the area of technical regulations and conformity 
assessment.  The Ministry of Justice acted as the focal point for this program, and legal documents 
drafted by a ministry were sent to the relevant ministries, including the Ministry of Science and 
Technology and STAMEQ, for comment before subm ission to the Government.  He added that 
Viet Nam, by enhancing the capacity of STAMEQ to  prepare standards, would accept and implement 
fully throughout its administration the Code of Good Practice for the preparation, adoption and implementation of standards.  He confirmed th at Viet Nam had established a TBT Notification 
Authority and Enquiry Point in early 2003, which would be fully operational as from the date of 
accession.   
203. The representative of Viet Nam confirmed that Viet Nam would apply the Agreement on 
Technical Barriers to Trade from the date of accession  without recourse to any transition period.  The 
Working Party took note of this commitment.   
Sanitary and phytosanitary measures  
204. The representative of Viet Nam submitted an Action Plan for the implementation of the 
Agreement on the Application of Sanitary  and Phytosanitary Measures in document 
WT/ACC/VNM/11; the plan has subsequently been re vised five times.  He noted that Viet Nam was 
working on the establishment of an SPS regime b ased on international standards, guidelines and 
recommendations.  Among the main challenges facing Viet Nam were the limi ted capability of staff 
to conduct pest risk analysis and the application of pest risk analysis for imported commodities.  
Viet Nam was facing difficulties in performing risk assessment and had not yet been able to analyze 
disease risks in accordance with international criteri a.  His Government was seeking international  WT/ACC/SPEC/VNM/5 
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  assistance to address these issues.  In  principle, Viet Nam applied international standards in the areas 
where Viet Nam could not conduct its own independent risk assessment.   
205. Concerning phytosanitary measures, he said th at the basic legal instruments were the 
Ordinance on Plant Protection and Quarantine on 15 February 1993, amended on 25 July 2002, the Regulation on plant quarantine, plant protection and pesticide management attached to Decree 
No. 58/2002/ND-CP of 3 June 2002, and decisions and circulars by the Ministry of Agriculture and 
Rural Development guiding their implementation.  Viet Nam was in the process of reviewing and 
amending its subsidiary legislation to ensure c onsistency with the amende d Ordinance and the new 
Regulations.  The legal documents were based on th e International Plant Protection Convention, as 
amended in 1997, and the disciplines of the Asia  Pacific Plant Protection Commission (APPPC).  
Viet Nam was reviewing its legislation on phytosanit ary measures in the light of the SPS Agreement, 
the IPPC and other international standards to harmonize phytosanitary measures with ASEAN and 
WTO norms.  Viet Nam and other ASEAN members were developing a harmonisation framework for 
phytosanitary procedures comprising 10 agricultural products at the outset and applicable to ASEAN 
members only.  Work on a phytosanitary certification management system had been completed.  
Asked to provide assurances that the ASEAN harmon ization framework would comply with relevant 
international standards, the representative of Viet Nam replied that the majority of ASEAN countries 
being Members of the WTO, he expected the ASE AN framework to have been notified to the WTO 
and to be WTO-consistent.  He added that no st udy had been conducted on the impact of the ASEAN 
harmonization framework on non-ASEAN exporters.  As per November 2004, Viet Nam had signed 
agreements and Memorandum of understandings on plant protection a nd quarantine co-operation with 
11 countries. 
206. The principal legal framework for inspection of animals was the Veterinary Ordinance 
enacted on 15 February 1993; Decree No. 93/CP of 27 November 1993 for implementation of the 
Ordinance; Regulations on animal protection and inspection attached to Decree No. 93/CP; the 
Regulation on Quarantine Slaughter control and vete rinary hygiene inspection of animals and animal-
related products; and Decisions Nos. 389 NN-TY/Q D and 607 NN-TY/QD providing details of the 
Ordinance.  He added that a revised Veterinary Ordinance had been adopted on 29 April 2004.  The 
Ordinance had entered into force on 1 Oct ober 2004.  He expected the Decree guiding the 
implementation of the Ordinance to be promulgated in December 2004.  Viet Nam was also preparing 
Recommendations to improve veterinary hygiene and food safety inspection procedures, and inspection procedures for veterinary medicines and vaccines.  Viet Nam had signed agreements and 
memoranda of understanding on technical animal health cooperation with the United States, 
Argentina, Australia, the Netherlands, the Russian  Federation, France, etc.  Viet Nam's import WT/ACC/SPEC/VNM/5 
Page 72  
 
  requirements for animals and animal products were based on the International Animal Health Code 
and, in his view, Viet Nam's veterinary standa rds and inspection measures were consistent with 
regulations of international orga nizations such as CODEX, OIE, and ASEAN.  Unsuitable import 
requirements, if any, would be revised to meet OI E standards.  Viet Nam was also making efforts to 
build the necessary infrastructure for veterinary hy giene inspection of animals and animal-related 
products. 
207. The Ministry of Health was responsible for State control of food safety.  A new Ordinance on 
Food Safety and Hygiene had been promulgated in November 2003, and the Decree guiding its 
implementation in September 2004.  The Ordinanc e addressed various issues including hygiene and 
food safety in the production, importation, and exportation of food and foodstuff.  In the meantime, food safety was regulated by the Law on Protection of People's Health, Decree No. 23/HDBT of 
24 January 1991, Decree No. 86/CP of 8 December 1998 on the settlement of administrative breaches 
in State management of health, and Decree No. 41/1998/ND-CP regulating medical inspection at the border of food and foodstuff which, according to th e representative of Viet Nam, was based on norms 
established by the WHO.  As of November 2004, 50 per cent of Viet Nam's national standards 
(TCVN) relating to food and foodstuffs conforme d to ISO, CODEX, international or regional 
standards.  He added that Viet Nam was planning to adjust its remaining standards to international and 
regional standards, with due regard to th e conditions prevailing in Viet Nam.   
208. Concerning GMO labelling, he noted that this was a relatively new subject in Viet Nam and 
that no national standards for GMO products had been  developed yet.  Viet Nam's capacity to assess 
the impact of GMO products was still limited.  La belling of GMO products was subject to the same 
regulations as other products, i.e. Decisi on No. 178/1999/QD-TTg of 30 August 1999 on the 
importation, exportation and domes tic circulation of goods, Decision of the Ministry of Health 
No. 4196/QD-BYT of 31 August 2000, and Circular No. 15/2000/TT-BYT of 30 June 2000 providing 
guidelines for the labelling of foodstuff.  Howe ver, a Regulation on safety management for 
genetically modified organisms was in preparatio n.  Viet Nam intended to formulate compulsory 
standards for products using GMO technology base d on specific evidence or labelling as "products 
using GMO technology".  A Member reminded Viet Nam that any standards relating to GMOs would 
have to be in conformity with WTO rules and jurisprudence in this area. 
209. Asked specifically about Viet Nam's current SPS requirements for the importation of meat 
and poultry, live plants, horticultural products and grain , as well as  technical requirements for the 
certification, labelling, and packaging of food pr oducts, the representative of Viet Nam said that 
Viet Nam's requirements for imported meat were generally based on the Recommendations of OIE,  WT/ACC/SPEC/VNM/5 
 Page 73 
 
 
  the regulations of CODEX, and agreements between Viet Nam and exporting countries.  Poultry meat 
importers were required to obtain a sanitary certificat e issued by the National Veterinary Authority of 
the exporting country, certifying that (i) the exporting country was free from Avian influenza, (ii) the 
meat originated from healthy poultry slaughtered in disease free zones, (iii) the poultry had been 
examined anti-mortem and post-mortem and found free from every infectious disease, and (iv) met all veterinary hygiene standards and were free from harmful micro-organisms.  Plants imported for 
consumption, including grains, were  required to be free from plant quarantine pests of Viet Nam and 
be accompanied by a Phytosanitary Certificate of  the exporting country.  Li ve plants imported for 
propagation or planting should have a quarantine perm it issued the competent Vietnamese authority, a 
Phytosanitary Certificate of exporting country, and be free from plant quarantine pests of Viet Nam.  As for technical requirements for the certification of food products, Viet Nam applied certification 
procedures based on national and international st andards, and certified the quality management 
system based on ISO 9000, Good Manufacturing Pr actices (GMP) and Hazard Analysis and Critical 
Control Point (HACCP) for food producing units.  Labelling and packaging of food products was regulated according to the Prime Minister's Decision No. 178/1999/QD-TTg of 30 August 1999 and 
Circular No. 34/1999/TT-BTM of 15 December 1999 guiding the implementation of the Decision. 
210. Some Members requested Viet Nam to detail how it would act when international standards 
did not exist or the level of protection of an international standard did not meet Viet Nam's 
appropriate level of protection, as the Agreement stip ulated that Viet Nam would need to undertake a 
risk analysis to validate each measure (Article 5.1) , or determine that insu fficient scientific evidence 
would only justify the application of a provisional measure (Article 5.7).  Viet Nam was asked to 
revise its Action Plan to include Article 5.7 considerat ions.  Viet Nam was also requested to specify to 
what extent Viet Nam would adopt international standards and under what circumstances different 
standards might be used.   
211. The representative of Viet Nam replied that  Viet Nam's SPS standards were based on 
CODEX and FAO/WHO standards.  Should CODEX and FAO/WHO standards not be available, 
Viet Nam would adopt the standards of regional or developed countries, or as a last resort, national 
standards would be applied to the extent that these were consistent with the SPS Agreement.  In the 
event of non-existent or insufficient international standards, Viet Nam would undertake its own risk 
assessment to meet its appropriate level of protectio n or consult the regulations of WTO Members, in 
particular those having trade relations with Viet Nam, and seek technical assistance to develop 
appropriate measures in accordance with Paragraphs 1 and 7 of Article 5 of the SPS Agreement.  He 
noted that the SPS standards applied by Viet Nam were  in conformity with international ones, but had 
a generally lower level of protection in order to ad apt to the production conditions in Viet Nam.  He WT/ACC/SPEC/VNM/5 
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  confirmed that Viet Nam was committed to appl y international standards once a WTO Member and 
had no intention to develop national standards rather  than international standards.  Viet Nam would 
gradually improve the techniques and procedures fo r conducting risk assessmen t in cooperation with 
international organizations and WTO Members, and he expected Viet Nam to be in conformity with 
Articles 2.2, 5.1 5.2 and 5.3 upon accession.   
212. The representative of Viet Nam said that th e procedures for the establishment of an SPS 
enquiry point within the Ministry of Agricultu re and Rural Development, ensuring the necessary 
inter-agency co-operation, were bei ng finalized.  The enquiry point was expected to be set up by the 
end of 2004 and to be fully ope rational upon accession.  In the meantime, an inter-ministerial 
Working Group had been established to coordinate SPS activities and the Ministry of Agriculture and 
Rural Development of Viet Nam (MARD) served as a general enquiry point for information on 
sanitary and phytosanitary requirements.  Responsib ility for sanitary and phytosanitary control, plant 
and animal quarantine, health quarantine and fi sheries inspection had been assigned to various 
ministries and agencies, and each entity was responsible  for the submission of information relevant to 
its domain.  Thus, the Department of Plant Protecti on and the Department of Animal Health were at 
present national enquiry points responsible for providing information on plant protection and 
veterinary requirements and measures.  In the cont ext of the Action Plan, he noted that Viet Nam 
would ensure that its transparency obligations would be met on an ongoing basis.   
213. A Member requested Viet Nam to establish a law or guidance requiring the publication of 
proposed SPS measures, notification to the WTO,  and a reasonable timeframe for comments from 
Members.  The representative of Viet Nam replied that legal documents, including those related to 
SPS issues, were published in the Official Gazette and entered into force minimum 15 days thereafter 
in accordance with the amended Law on Promulga tion of Legal Documents.  As noted above, 
Viet Nam intended to establish its National Enquiry  Point and National SPS Notification Body within 
the Ministry of Agriculture and Rural Developmen t, and this agency would be responsible for 
notifying WTO Members of all regulations and measures in a manner consistent with the SPS 
Agreement.  At present, SPS-related legal documents were accessible at two websites 
(http://www.mard.gov.vn/dah and www.ppd.gov.vn). 
214. Some Members noted that Viet Nam appear ed to be taking appropriate account of 
international standards, guidelines and recommenda tions in establishing its SPS regime, and would 
welcome a commitment from Viet Nam to implemen t the SPS Agreement from the date of accession 
without recourse to any transition period.  In reply, the representative of Viet Nam said that although 
Viet Nam's SPS laws, regulations, and standards had been revised to comply with the principles of  WT/ACC/SPEC/VNM/5 
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  harmonization, equivalence, and control of the SPS Agreement, Vi et Nam lacked human resources 
and technical equipment and facilities to implement fully its obligations under the SPS Agreement.  
His Government would therefore require a transitiona l period [until 1 July 2008] to complete work to 
comply with the provisions of the SPS Agreement in respect of harmonization (Article 3.1, 3.3. and 
3.4.), equivalence (Article 4) and control, inspection and approval procedures (Article 8 and 
Annex C).  Viet Nam would comply with the main obligations of the Agreement such as 
transparency, non-discrimination and risk assessm ent from the date of accession.  SPS measures 
applied by Viet Nam would not create barriers to trade during the transitional period.  However, 
Viet Nam hoped that concrete technical assistance woul d be delivered to train staff and that technical 
equipment and expertise (in particular for disease risk analysis, assessment, inspection, control, and 
approval procedures) would be prov ided to develop its laboratories, information systems and control 
procedures, by way of supporting Viet Nam's effort s towards duly implementing all the provisions of 
the SPS Agreement from the date of accession.   
Trade-Related Investment Measures (TRIMs)  
215. Noting that Viet Nam appeared to apply local  content requirements and that the transition 
period for developing country Members for such requirements expired at the end of 2000, some 
Members requested a detailed action plan from Viet  Nam, identifying current measures inconsistent 
with the Agreement on Trade-Related Investment Measures (TRIMs) and specifying a timetable for 
their elimination.  A Member reminded Viet Nam th at the solution envisaged for automobile assembly 
factories, i.e. voluntary registration of local conten t, would not solve the problem of consistency with 
the TRIMs Agreement.  Conditions attached to ta x concessions to foreign enterprises investing in 
export processing zones and industrial zones also a ppeared to be inconsistent with the TRIMs 
Agreement.  Furthermore, Viet Nam was asked to  abolish the regulations restricting the maximum 
level of motorcycle production for foreign-invested  enterprises.  Several Members noted that most 
TRIMs measures had been introduced after Viet Na m's application to join the WTO, and reminded 
Viet Nam that acceding governments were expected not to implement new restrictive measures.  In 
the view of some Members, Viet Nam should comp ly fully with the TRIMs Agreement from the date 
of accession to the WTO without invoking a transition period.  Viet Nam was also asked to commit, 
from the date of accession, not to relate tariff quota a llocations to the levels of production or export of 
particular enterprises that processed the tariff quot a product concerned as such measures were illegal 
TRIMs under paragraph 2(a) of the Annex to the TRIMs Agreement. 
216. The representative of Viet Nam replied that follo wing its application to the WTO, Viet Nam 
had amended its legislation to ma ke it increasingly compliant with WT O provisions on TRIMs.  He WT/ACC/SPEC/VNM/5 
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  noted that, in 2000, the Law on Amendment an Suppl ement to some Articles of the Law on Foreign 
Investment had removed the requirement on foreig n exchange self-balancing and the obligation for 
foreign-invested enterprises to give priority to the purchase of domestic products.  Viet Nam had  no 
intention to reintroduce self-balancing requirements.   
217. He nevertheless acknowledged that Viet Nam's legislation on foreign investment included 
measures inconsistent with the TRIMs Agreemen t, for example local content requirements for 
automobile and motorcycle manufacturing projects.  Viet Nam provided sample notifications of its 
existing TRIMs measures in document WT/ACC/VNM/19 and its Revision 1.  Manufacturing of automobile spare parts and accessories in Viet Nam was a condition for obtaining investment licences 
to assemble and manufacture automobiles.  The value of locally manufactured spare parts and 
accessories was required to reach minimum 5 per cent of the total value of the vehicle by the fifth year 
of the start-up of production, rising to at least 30 per cent by the tenth year of production.  For 
motorcycles, the value of components and spare part s manufactured in Viet Nam by a licensed project 
was required to account for 5-10 per cent of the comp lete motorcycle value from the second year of 
production.  The ratio was required to increase gr adually and steadily until reaching a target of 
minimum 60 per cent of the complete motorcycle value during the fifth or sixth year of manufacture.  
Viet Nam did not issue investment licences for projects  to assemble motorcycles in simple CKD form.  
Assembly projects in mechanical engineering,  and electric and electronic products were only 
approved in IKD form.  The value of components and spare parts manufactured in Viet Nam during 
the first two years should account for at least 20 per cent of the value of the finished products, and the 
ratio should increase steadily in subsequent years.  Investment projects for the manufacture of spare 
parts used in mechanical engineering, electric and electronics industries (except the motor vehicle 
industry) were granted preferential import duty rates c ontingent upon localization rates with respect to 
semi-finished products, accessories, parts and materials used in the production of such spare parts.  
Viet Nam had issued Inter-Ministerial Circular No. 176/1998/TTLT-BTC-BCN-TCHQ of 
25 December 1998, and its amendment of 25 December 2000, providing guidelines on the 
implementation of Viet Nam's tariff policy contin gent upon the localisation ratio for products and 
components of mechanical, electrical and electronic industries.  These documents had come into 
effect in January 2001.  Viet Nam's export require ments and/or tax concessions applied to enterprises 
investing in industrial zones or export processing zon es were, in his view, not contrary to the TRIMs 
Agreement, because this type of measures had not b een included in the illustrative list contained in the 
Annex to this Agreement.  As for regulations  concerning the maximum level of motorcycle 
production, he did not consider that these discrim inated between domestic and foreign investors.  WT/ACC/SPEC/VNM/5 
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  218. He added that Decision No. 229/1998/QD-BKH of  29 April 1998 of the Minister of Planning 
and Investment on industrial products subject to expo rt requirements applied only to projects licenced 
after the Decision had entered into force.  The 80 per cent export ratio was otherwise accepted by 
investors on a voluntary basis.  The sectors subject to this requirement are listed in Table 12.  This list 
had however been updated in light of Decision No. 718/BKH-QD issued on 7 December 2001 by the 
Minister of Planning and Investment.  The number of products subject to export requirements had 
been reduced to 14. 
Table 12:  Industrial Products Subject to Requirement to Export 80 per cent of Output  
No. Description of goods 
1 Motorcycles 
2 Minibuses, trucks of less than 10 ton tonnage 
3 Irrigating pumps of capacity less than 30,000 m3/h, pumps used for everyday lives of capacity less 
than 540 m3/h  
4 Medium and low voltage electric transmission cables 
5 Normal transmission cables 
6 Cargo ships of tonnage less than 30,000 tons, fishing ships of less than 1,000 CV, water boats, 
canoes, barges (this is applicable to 100 per cent foreign invested projects) 
7 Audio-visual products 
8 Aluminium profiles products 
9 Construction glasses in large use ( ∅ < 40 mm) 
10 NPK fertilizers 
11 PVC 
12 Bicycles and bicycle parts  
13 Transformers under 35 KV 
14 Diesel motors under 15 CV 
Note:  The list is attached to Decision No. 718/2001/QD-BKH of 7 December 2001 
219. A Member noted that the export requirement for some products, although deleted according 
to the new list, appeared not to have been eliminat ed in practice.  In some cases, foreign-invested 
enterprises appeared to have been requested also to maintain the same export sales ratio for products 
not included in the list (such as pork).   
220. The representative of Viet Nam submitted an action plan for the implementation of the 
TRIMs Agreement in document WT/ACC/VNM/18, and a revised action plan in document WT/ACC/VNM/18/Rev.1.  He stated that, in accordan ce with the revised action plan, the import duty 
preferences contingent on localization ratio w ith respect to enterprises producing and assembling 
motorcycles specified in the Inter-Ministry Circular No 176/1998
/TTLT-BTC-BCN-TCHQ would 
be eliminated before the end of 2003.  Furthe rmore, upon accession to the WTO Viet Nam would 
eliminate the localization requirements and impor t duty preferences contingent upon localisation 
ratios for enterprises producing automobile parts, electronic and mechanical products specified  in 
the Inter-Ministry Circular No. 176/1998/TTLT-B TC-BCN-TCHQ, amend the list of sectors WT/ACC/SPEC/VNM/5 
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  subject to conditional investment licensing (attach ed to Decree No. 24/2000/ND-CP) to eliminate 
the criteria requiring development of raw material sources for vegetable oils, sugar cane, and wood, 
and eliminate the localization requirement in prac tice for investment licences applicable to projects 
producing or assembling automobiles and motorcycles.   Viet Nam would commit not to introduce any 
new measure inconsistent with the TRIMs Agreement or re-introduce phased-out TRIMs from the date of accession.  Compulsory export ratio require ments were, in his opinion, not covered by the 
provisions of the TRIMs Agreement.  Viet Nam would nevertheless commit to remove the export 
ratio requirement upon accession in an effort towards improving the business environment in Viet Nam.  Prior to accession, Viet Nam would main tain the status quo and would not add any new 
product to the list of 14 industrial products subject to an 80 per cent export ratio requirement.  This 
list would be eliminated upon accession.   
221. Some Members encouraged Viet Nam not to enforce contracts imposing requirements 
inconsistent with the TRIMs Agreement, assuming that the Government of Viet Nam would also eliminate any such requirements accepted on a voluntar y basis.  Viet Nam was invited to confirm that 
any export requirement listed in an investment licen ce, whether issued by the central government or a 
local authority, would be eliminated at the same time. 
222. The representative of Viet Nam replied that fo reign invested enterprises were free to choose 
their own markets for products other than those listed in Decision No. 718/BKH-QD of 7 December 2001.  Immediately upon accession, Vi et Nam would remove the mandatory export 
requirement stipulated in current legal documents  as well as in investment licences issued by central 
or local authorities, and Viet Nam's competent authorities would not apply neither mandatory nor voluntary export regulation for enterprises manufact uring the products listed in Table 12.  He 
confirmed that Viet Nam would implement fully the provisions of the TRIMs Agreement from the 
date of accession.   
223. [The representative of Viet Nam confirmed that, until the date of accession, Viet Nam would 
not introduce any new measures inconsistent with the provisions of the TRIMs Agreement or re-
introduce phased-out TRIMs.  He further confirme d that Viet Nam would fully comply with the 
TRIMs Agreement upon its accession to the WT O.  The Working Party took note of these 
commitments.] 
State trading entities  
224. A Member expressed a general concern that e xporting State trading enterprises (STEs) could 
use their special rights and privileges to disguise export subsidies or to otherwise engage in anti- WT/ACC/SPEC/VNM/5 
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  competitive behaviour.  Viet Nam was requested to provide details on the specific steps it would be 
willing to take to ensure that the operations and policies of STEs within its jurisdiction would not 
distort trade, and otherwise be consistent with  the principles of non-discriminatory treatment 
prescribed by Article XVII of the GATT 1994.  Information provided by Viet Nam in document WT/ACC/VNM/9, Annex I, indicated that many produc ts subject to State trading were subject to 
additional measures such as quantitative restricti ons, surcharges and import licensing.  Some of 
Viet Nam's enterprises appeared to be involved in trade as well as industry regulation, and Viet Nam 
was encouraged to separate these functions to en sure a more open and transparent regulatory and 
purchasing environment. 
225. The representative of Viet Nam provided information on State-trading in document 
WT/ACC/VNM/3/Add.1, Annex 6, a nd subsequently a "Notification on State Trading Enterprises" in 
document WT/ACC/VNM/14 of 28 June 2000, re vised in document WT/ACC/VNM/14/Add.1 of 
31 October 2003.  He added that a revised Law on State-owned enterprises had been adopted in 
December 2003 with a view to improving the effec tiveness of State-owned enterprises and ensuring 
that they would compete with other enterprises on an equal basis and in accordance with commercial 
considerations (see para graph 50).  The system of designating authorized enterprises to export rice 
had been phased out.  Viet Nam would continue to update and supplement the information relating to 
State trading enterprises.  The entities identified by  Viet Nam as State trading enterprises in 2002 and 
the products traded by them, listed by HS numbers, are enumerated in Table 13.  
Table 13:  State Trading Enterprises in Viet Nam  
No Products HS Code Name of enterprise Functions of enterprise 
1 Crude oil 27090010 Viet Nam Oil and Gas Corporation 
(PETROVIETNAM) Searching, exploring, 
exploiting, processing and 
dealing in oil and gas 
products, providing oil and gas related services. 
 WT/ACC/SPEC/VNM/5 
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  No Products HS Code Name of enterprise Functions of enterprise 
2 Refined 
petrol & gasoline 271011 
271019 271099 - PETROLIMEX 
- PETEC - PETECHIM 
- SAIGON PETRO 
- PETROMEKONG 
- VINAPCO (Airlines Petrol & 
Gasoline Company which is the exclusive re-exporter of aircraft 
gasoline) 
- Petroleum Processing and Trading 
Company; 
- MARINESUPPLY 
- Military Petroleum and Gas 
Corporation  
- Dong Thap Petroleum Import-
Export Company Authorised importers of 
gasoline and petrol for supplying to domestic 
consumption.  
3 Aircraft 
spare parts 
and aviation 
equipment, facility 8802, 8803 Airlines Import Export Corporation 
(AIRIMEX) Ensuring the supply of 
aircraft, equipment, facility 
and materials used in 
aviation;  Sole importer of aircraft and 
aviation materials, spare 
parts. 
4 Film  8524 Viet Nam Films Import/Export and 
Distribution Company (FAFILM VIET 
NAM) Sole importer and 
distributor of feature films 
(video tape, VCD). 
5 Newspapers 4902 Books and Newspapers Import Export 
Company (XUNHASABA) Sole importer and 
distributor of newspapers. 
 
226. Members encouraged Viet Nam to provide updated information on its State trading 
enterprises.  A Member reminded Viet Nam that Ar ticle XVII of the GATT stipulated that purchases 
and sales by State trading enterprises (STEs) shoul d be made "solely in accordance with commercial 
considerations".  However, the information pr ovided by Viet Nam in document WT/ACC/VNM/14 
suggested that some of Viet Nam's STEs did no t operate strictly on the basis of commercial 
considerations, for example with respect to impor tation of fertilizer, printing equipment, printed 
material, and cinematographic works.  Among the programmes causing concern was also an export 
enhancement programme for rice (Money Award For Rice Export Turnover), whereby the 
Vietnamese Government provided a grant worth appr oximately 1.2 per cent of the turnover for every 
rice exporter.  A Member requested Viet Nam to clarify why several major State-owned enterprises 
involved in agricultural trade had not been include d in its submissions, noting that a Vietnamese 
website listed several entities as State enterpri ses, including the Viet Nam National Coffee 
Corporation (VINACAFE), the Viet Nam National Tea Corporation (VINATEA), and the Viet Nam 
Dairy Products Company (VINAMILK).   
227. The representative of Viet Nam replied that a ll State trading enterprises in Viet Nam were 
operating in accordance with commercial considerati ons.  The Ministry of Culture and Information  WT/ACC/SPEC/VNM/5 
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  licensed imports of specialised printing plates, printers and typesetting systems for the printing 
industry for reasons of national security and social  stability.  Concerning motion pictures and other 
audio-visual products, the Ministry of Culture a nd Information screened impor ts to preserve national 
culture, traditions and customs and to maintain nati onal and social security.  Quantitative restrictions 
were not applied to such products, except for cinema tographic films.  The purchases and sales of State 
trading enterprises were based only on commercial c onsiderations.  The system of fertilizer import 
quotas and designated importers had been phased out,  as well as the price controls imposed by the 
Government Pricing Committee on fertilizer imports a nd rice exports.  Although he did not consider 
VINACAFE, VINATEA and VINAMILK fell within the scope of GATT Article XVII, as these enterprises were not granted any privileges or sp ecial rights and acted on the basis of commercial 
considerations, he provided information on the tr ading activities of these enterprises in document 
WT/ACC/VNM/32, Annex 2.  He added that VINAMILK had been equitized and was no longer 
State-owned.  VINAMILK's activities were based on commercial considerations and free from any 
government intervention.  He confirmed that there was no regulation prohibiting VINAMILK from 
selling imported products on the domestic market. 
228. Noting that Viet Nam had put a reservation on the right to trade in certain products (Table 1), 
a Member enquired whether State-trading enterprises existed or were planned in relation to these 
products.  The representative of Viet Nam replied th at the list of products subject to State-trading, as 
notified in document WT/ACC/VNM/14/Add.1, was not  definitive.  The reservation on trading rights 
aimed at reserving importation rights of Vietnamese and foreign-invested enterprises for a certain 
period.  However, Viet Nam committed to ensure th at the activities of State-trading enterprises would 
comply with WTO rules, including Article XVII of the GATT 1994 and the Understanding on the interpretation of this Article.  
229. [The representative of Viet Nam confirmed th at his Government would apply its laws and 
regulations governing the trading activities of St ate-owned enterprises and other enterprises with 
special or exclusive privileges in full conformity  with the provisions of the WTO Agreement, in 
particular Article XVII of the GATT 1994 and the U nderstanding on that Article  and Article VIII of 
the GATS.  He further confirmed that Viet Nam would notify any enterprise falling within the scope 
of Article XVII, including those noted in Tabl e 13.  The Working Part y took note of these 
commitments.]  [The representative of Viet Nam confirmed that [from the date of accession] the operation of State-trading enterprises in Viet Nam would comply with WTO rules, including Article XVII of the GATT 1994 and the Understanding on the Interpretation of this Article.  He further 
confirmed that Viet Nam would notify its State-trading enterprises in accordance with WTO 
regulations.] WT/ACC/SPEC/VNM/5 
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  Free zones, special economic areas  
230. The representative of Viet Nam said that Viet  Nam had established 4 export processing zones 
and 87 industrial zones.  Industrial zones were established by Governme nt Decision or Decision of the 
Prime Minister.  The establishment and operation of export processing enterprises were governed by the Regulations on Industrial zones, Export Processing Zones, and High Tech Parks enacted by Decree No. 36/ND-CP. 
231. Enterprises in export processing zones were exempt from import and export duties for goods 
imported from or exported to foreign countries.  En terprises located in industrial zones could import 
duty free equipment, machinery and specialized means of transport (including spare parts and 
accessories) for the initial establishment, expansion or rehabilitation of the project.  Materials and 
parts used in the production of exports were subj ect to import duty, which would subsequently be 
refunded in proportion to the amount  of exported products.  Enterprises located in export processing 
zones were allowed to sell their pr oducts in the domestic market upo n approval by the Ministry of 
Trade.  However, all such sales were subject to the same tariff treatment and customs procedures 
applicable to imported goods.  
232. Asked whether incentives in industrial zones a nd export processing zones were tied to export 
performance, the representative of Viet Nam said th at enterprises in industrial zones which exported 
less than 50 per cent of their output were subject to 15 per cent profit tax and corporate income tax 
exemption for two years after the first profit-making year.  An additional reduction of 50 per cent in 
payable corporate income tax was granted for the two consecutive years for enterprises exporting 
50 to 80 per cent of their output.  Enterprises exporting 80 per cent or more of their output were subject to 10 per cent corporate income tax as we ll as the two-year corporate income tax exemption 
and the 50 per cent reduction in payable corporate income tax for the third and fourth year after the first profit-making year.  Enterprises engaged in in frastructure development in the export processing 
zones were subject to 10 per cent corporate income tax, exemption from corporate income tax for four 
years after the first profit-making year, and a reducti on of 50 per cent in payable corporate income tax 
during the following four years.  The 10 per cent prof it tax also applied to enterprises meeting at least 
two among four stipulated conditions, i.e. being a service enterprise, assigning assets to the State of 
Viet Nam without compensation upon expiry of operati ons, investing in regions with specially harsh 
socio-economic conditions, or investing in "specia lly encouraged" projects enumerated in Decree 
No. 24/2000/ND-CP of 31 July 2000.   
233. A Member stated that Viet Nam was using pr ohibited subsidies as incentives to locate in its 
export processing zones, as the benefits were tied to  a specific level of exportation from the zone.   WT/ACC/SPEC/VNM/5 
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  This Member therefore asked what Viet Nam woul d be prepared to do to bring these measures into 
line with WTO provisions, and in what timeframe .  Another Member requested confirmation from 
Viet Nam that the preferential tr eatment for investments in high-t ech parks, industrial zones and 
export processing zones would not be granted in a manner inconsistent with the Agreement on 
Subsidies and Countervailing Measures. 
234. In reply, the representative of Viet Nam said that the preferential treatment provided by the 
Regulations on industrial zones, export processi ng zones and high-tech parks were measures 
commonly applied by other countries to attract fore ign direct investment.  The preferential measures 
applied to industrial zones, expor t processing zones and high-tech parks had been described in the 
Notification pursuant to Article XVI:I of th e GATT 1994 and Article 25 of the Agreement on 
Subsidies and Countervailing Measures in document WT/ACC/VNM/13/Add.2.   
235. [The representative of Viet Nam confirmed that from the date of accession the Government of 
Viet Nam would ensure enforcement of its WT O obligations in its export processing zones and 
industrial zones.  [In this regard, he confirmed that the Laws on foreign investment and domestic 
investment and related regulations  had been amended to eliminate any requirements for establishment 
in the zones or receipt of benefits provided to firms within the zones conditioned on use of local 
goods or export performance.]  [The representative of Viet Nam confirmed that subsidies in the form 
of incentives for domestic and foreign investment s, including for enterprises investing in export 
processing and industrial zones, would be eliminated w ithin nine years from the date of accession.]  In 
addition, goods produced in export processing zone s under tax and tariff provisions that exempt 
imports and imported inputs from ta riffs and certain taxes would be subject to normal customs 
formalities when entering the rest of Viet Nam, incl uding the application of tariffs and taxes.  The 
Working Party took note of these commitments.] 
Government procurement  
236. The representative of Viet Nam said that  his Government ha d promulgated Decree 
No. 88/1999/ND-CP on Procurement Regulations on  1 September 1999.  The Decree regulated 
uniformly the management of bidding activities; th e selection of consultants; procurement of goods; 
construction and installation; and th e selection of partners to implement projects in full or in part. 
Several governmental agencies, including the Minist ry of Investment and Planning in cooperation 
with the Ministry of Finance, the Ministry of Trade, the Ministry of Construction, the State Bank of Viet Nam, and other heads of related ministries/ agencies had been involved in the elaboration of 
guiding documents to implement the Decree. WT/ACC/SPEC/VNM/5 
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  237. The Government Decree had been s upplemented and amended by Decrees 
Nos. 14/2000/ND-CP of 5 May 2000 and 66/2003/ ND-CP of 12 June 2003, and a Regulation on 
Procurement had been issued together with the Government Decree in September 1999.  Viet Nam's 
legislation did not specify the procurement ag encies and entities covered, but according to the 
Regulation any purchase of goods and services or any investment by State agencies, mass organisations and State-owned enterprises financed by the State budget had to be made in the form of 
a tender.  Viet Nam had not published any list of procuring entities, but the agencies involved were 
mentioned in each bidding announcement.  Statistics on the overall value of public sector purchasing 
and the major procuring entities were not available in Viet Nam.  Whether tenders for procurement 
were open to international bidders, or not, was not provided in the relevant regulations, but 
determined according to the nature and purpose of the procurement.   
238. The 1999 Decree and the Regulation on Procuremen t had required foreign contractors to enter 
into partnerships with Vietnamese contractors or  undertake to employ Vietnamese sub-contractors 
when participating in tenders for the selection of consultants, tenders for the purchase of goods, and 
tenders for construction and installation in Vi et Nam.  The amendments introduced through 
Government Decree No. 14/2000/ND-CP on 5 May 2000 limited this requirement to international 
tenders for construction and insta llation in Viet Nam.  The require ment applied to all construction 
projects, including those which were part of a larger procurement contract. 
239. Successful bidders were required to purchase and use materials and equipment produced, 
processed or available in Viet Nam, with due account taken of quality, price, safety and 
environmental considerations rela ted to the procurement.  The quality of materials and equipment 
purchased in Viet Nam should meet the requirements stipulated in the tender invitation documents, 
and be of equal quality to like materials and e quipment purchased overseas.  The price paid should 
also be equal to or lower than that of like ma terials and equipment purchased overseas.  Safety 
requirements and "other necessary issues" would be stipulated in the tender invitation documents as 
well as in the procurement contract. 
240. Concerning procedures for publishing tenders, he said that the notification inviting bids and 
the bid result were required to be made public.  The opening of submitted bids was made public 
under the terms stipulated in the call for tenders  according to Article 13 of the Regulations on 
Procurement, attached to Decree No. 88/ 1999/ND-CP.  The opening report should include 
information such as the name of the tender package,  the date, time and location of the tender opening, 
the names and addresses of the bidders, the bid pri ce, the bid bond (warranty) and the implementation 
schedule.  The representatives of the party calling fo r tenders and the bidders were required to sign the  WT/ACC/SPEC/VNM/5 
 Page 85 
 
 
  report.  Although public notice of government pr ocurement was compulsory, Viet Nam's legislation 
did not specify any particular publication where these notices should be provided.  Consequently, 
public notices were made through either national or  local newspapers, audio-visual media or other 
mass media.  Procuring agencies and entities announ ced their tenders in a least three consecutive 
issues of widely circulated daily newspapers, or in the audio-visual and other mass media.  The 
announcements should be made at least five days be fore the issue of tender invitation documents for 
contracts worth less than 2 billion Dong, and minimu m ten days prior for larger tenders.  Calls for 
international tenders were announced in at le ast one English-language newspaper with wide 
circulation in Viet Nam. 
241. The representative of Viet Nam added that a new Ordinance on Procurement in preparation 
would provide for greater transparency in the procurement process.  The Ordinance foresaw the 
creation of a Procurement Gazette to provide gene ral information on tendering activities, invitations 
for tender, lists of tenderers participating in  limited tendering proceedings, selection of bids, 
information on enterprises prohibited to participate, or restricted, in the bidding process, etc.  The 
party calling for tenders would have to publish the terms and conditions of the tender in the 
newsletter.  The Ordinance also aimed at de centralising procurement decision-making to the 
ministries, agencies and local authorities.  The ne w Ordinance would also identify bad practices and 
fraudulent behaviour, stipulate penalties for violati ons, and include provisions concerning right of 
appeal and the settlement of disputes.   
242. A Member encouraged Viet Nam to continue in its ongoing efforts to make its procurement 
systems more transparent and open to competition and to become an observer to the Committee on 
Government Procurement upon accession as a first step towards joining the Agreement on Government Procurement.  Noting that membersh ip in the Government Procurement Agreement 
would bring Viet Nam benefits both in terms of access to the procurement markets of other 
Agreement members on a national treatment basis and in terms of transparency, another Member 
invited Viet Nam to negotiate membership in the Agreement on Government Procurement as part of 
its WTO accession and to table an entity offer at the time of accession.  Viet Nam was also encouraged to identify its cha llenges and needs for technical assistance in implementing the 
Agreement.   
243. The representative of Viet Nam replied that Viet Nam had made efforts to improve the legal 
framework for government procurement to enhan ce its transparency and to harmonize the tender 
process and procedures with international practice.  The Ministry of Planning and Investment had 
recently set up a website providing information on bidding procedures and opportunities.  However, WT/ACC/SPEC/VNM/5 
Page 86  
 
  wishing to focus its limited resources on the implem entation of the multilateral agreements, Viet Nam 
would consider joining the Agreement on Gove rnment Procurement after WTO Accession.  
Trade in Civil Aircraft 
244. A Member argued that joining the Agreement on Trade in Civil Aircraft, including the duty 
free treatment of imported aircraft and parts, woul d facilitate the maintenance of good air services and 
support in Viet Nam and help enhance Viet Nam's services infrastructure and foster development and 
growth.  This Member requested Viet Nam to join the Agreement upon accession to the WTO. 
245. In reply, the representative of Viet Nam noted th at this was a plurilateral Agreement and that 
participation in the Agreement was not an oblig ation.  Viet Nam would consider joining the 
Agreement on Civil Aircraft after accession.   
Transit 
246. The representative of Viet Nam said that goods, in  order to transit through the territory of 
Viet Nam, required prior permission from the Ministry of Trade.  Permits were granted only to authorized Vietnamese carriers or carriers from countries which had si gned bilateral transit agreements 
with Viet Nam (China, the Lao PDR and Cambodia).  The selection of  Vietnamese carriers was based 
on past performance.  Regulations were  strict for the purpose of combating smuggling.  While in transit, 
goods were required to be trans ported along the prescribed route and within the time allowed.  
Warehousing of goods in transit was su bject to approval by Customs.  Consumption of goods in transit 
within the territory of Viet Na m was forbidden, and any discre pancy between the amount of goods 
entering and leaving Viet Nam requi red certification by Customs. 
247. Some Members noted that Viet Nam allowed only enterprises of countries having a common 
land border with Viet Nam to apply for the transit li cences, and that goods in transit were subject to a 
transit fee of 1 per cent of the value of the g oods.  These members questioned whether Viet Nam's 
regulations restricted the freedom of transit as provided for under GATT Article V.2, and whether the 
associated fee was commensurate with the administrativ e expenses entailed by transit or with the cost 
of the services rendered for individual cases as required under GATT Article V.3. 
248. The representative of Viet Nam replied that, upon accession to the WTO, Viet Nam will 
observe GATT 1994 rules on the freedom of transit a nd on transit fees commensurate with the cost of 
the services rendered.  The 1 per cent transit fee had b een abolished.  Current fees applicable to goods, 
including postal packages and parcels, and l uggage were calculated according to the means of  WT/ACC/SPEC/VNM/5 
 Page 87 
 
 
  transport and the length of the journey.  The fees for transit and escorting of cargo are enumerated in 
Tables 14 (a) and 14 (b). 
249. Some Members noted that Viet Nam in its res ponses had addressed the issue of transit fees, 
but not the fundamental principle of freedom of transit laid down in Article V of the GATT 1994.  Viet Nam was invited to provide further justificati ons for its transit procedures and the conditions for 
granting transit permits, and explain how Viet Nam would bring its transit regime into conformity 
with the WTO. 
250. The representative of Viet Nam replied that goods were genera lly allowed to transit through 
Viet Nam once the customs procedures had been completed.  The requirement to obtain a transit licence from the Ministry of Trade applied only to in -land or waterway transportation of round timber, 
to lumber, and to transiting goods subject to import or export prohibition.  Current procedures were, in 
his view, not in violation of GATT Article V and Viet Nam would therefore commit to observe fully 
WTO rules on transit upon accession. 
251. [The representative of Viet Nam confirmed that his Government would apply any laws, 
regulations and practices governing transit operations and would act in full conformity with the 
provisions of the WTO Agreement, in particular Article V of the GATT 1994.  The Working Party 
took note of this commitment.]   
Agricultural policies  
(a) Imports – description of the typ es of border protection maintained 
252. Some Members noted that Viet Nam was using bans, quotas, discretionary licensing and other 
quantitative restrictions to regulate agricultural im ports, and that the WTO Agreement on Agriculture 
prohibited the use of quantitative restrictions to regul ate such imports.  Import restrictions on rice and 
sugar appeared to violate the WTO Agreements on Agriculture and Import Licensing Procedures, and 
could not be justified under the provisions of Artic le XI of the GATT 1994.  Viet Nam was requested 
to identify, by tariff line, agricultural imports subject to non-tariff measures and undertake to 
eliminate these measures prior to accession to the WT O.  Noting that Viet Nam banned imports of 
cigarettes for health reasons, Viet Nam was remi nded that Article III and Article XX of the GATT 
prohibited the use of such measures if Viet Nam allowed the manufacture, sale and distribution of 
cigarettes domestically.  If necessary, Viet Nam s hould rely on WTO-consistent measures, and ensure 
that imported items would be subject to the same treatment as domestically-produced items, even if 
Viet Nam's policy aimed at human health protection.   Viet Nam was urged to maintain a tariff-only WT/ACC/SPEC/VNM/5 
Page 88  
 
  regime rather than resort to tariff-rate quotas and to  provide information, if applicable, on differences 
in treatment between State-owned corporations and private companies in the allocation of licenses.  
Some Members noted that Viet Nam was seeking recourse to apply Special Safeguards (SSGs) if 
necessary.  These Member considered SSGs a tr ansitional measure linked to the Uruguay Round 
commitments of some Members, and thus a provision not available to acceding governments.  Viet Nam was asked to enter a commi tment not to seek recourse to SSGs. 
253. The representative of Viet Nam replied that Viet  Nam would consider using tariffs instead of 
quantitative restrictions.  As from the date of accessi on, Viet Nam did not intend to use quantitative or 
other import restrictions on any agricultural product, except for measures allowed under the 
provisions of WTO Agreements.  The simple averag e tariff on imports of agricultural products was 
17.7 per cent (document WT/ACC/VNM/3), and had been increased to 27.1 per cent in 2004.  
Imported sugar was subject to licensing and a ta riff of 30 per cent on raw sugar and 40 per cent on 
refined sugar.  Sugar was included in Viet Nam's List of Sensitive Agricultural Products under the 
CEPT/AFTA framework and would not be subject to tax reduction in the short term.  Viet Nam did 
not apply import quotas on rice.  Viet Nam did not in tend to develop its tobacco industry, but existing 
processing facilities were put to best use for the benefit of tobacco-growing farmers.  Viet Nam's 
legislation did not favour Stat e-owned enterprises to the detriment of the private sector.   
(b) Exports 
254. A Member noted that State-owned enterprises purchased a major portion of Viet Nam's 
agricultural production, and accounted for a large shar e of Viet Nam's exports, for example of rice 
(60 per cent), coffee (70 per cent) and rubber (90 per cent).  Viet Nam was requested to provide 
information about the purchase prices fixed by State-owned enterprises, the relationship between 
State-owned enterprises and the Price Stabilizati on Fund, and the functioning of this Fund. 
255. The representative of Viet Nam replied that purchase prices for exported agricultural products 
were determined by the enterprises themselves, subj ect to market conditions.  State-owned enterprises 
operated in the same manner as all other business ente rprises.  Enterprises had been treated equally in 
relation to the Price Stabilization Fund irrespective of ownership form.  The Export Promotion Fund, 
managed by the Ministry of Finance, had super seded the Price Stabilization Fund in October 1999.  
The purpose of the Fund was to help enterprises pr oducing and trading in e xported products (mainly 
agricultural products) to cope with adverse fluctuations in interna tional market prices, to improve 
their competitiveness, and to promote exports.    WT/ACC/SPEC/VNM/5 
 Page 89 
 
 
  (c) Internal policies 
256. The representative of Viet Nam said that agricu ltural and rural development was a priority in 
the economic and social strategy of his Government .  Commercial banks were encouraged to provide 
loans to agricultural projects and farmers on normal commercial terms.  Soft loans could be provided 
to poor farming households; to develop agricultu re in mountainous or is land regions, and areas 
populated by ethnic minorities; as natural disaster relief, etc.  Transformation of land reserved for rice 
production to cultivation of other plants was not en couraged for food security reasons.  However, his 
Government presently allowed and facilitated diversif ication from rice to other plants or shrimp 
breeding in areas where rice productivity was unstable or low.  Except for land reserved for the cultivation of rice, where the State had invested subs tantially in irrigation infrastructure, farmers were 
free to decide their agricultural production. 
257. He provided information on domestic support an d export subsidies in agriculture for the 
period 1999-2001 in docum ents WT/ACC/SPEC/VNM/3 of 5 November 2002, 
WT/ACC/SPEC/VNM/3/Rev.1 of 30 October 2003, WT/ACC/SPEC/VNM/3/Rev.2 of 28 April 2004, 
and WT/ACC/SPEC/VNM/3/Rev.3 of 28 October 2004.  He added that most of Viet Nam's support 
measures should be considered "Green Box" policies, notably the funding of scientific research, 
training, agricultural extension programmes, agri cultural infrastructure services (irrigation, dikes, 
etc.), plant protection, sanitary and phytosanitary quarantine, national stockholding for food security, 
natural disaster relief, structural adjustment assist ance provided through investment aids, and regional 
assistance for relocation.  Among programmes which, in his view, would be included in the category 
of special treatment or developmental progr ammes for developing countries, he identified 
programmes to provide preferential medium and long  term credits through the banking system for 
farmers and agricultural enterprises building workshops or processing f acilities, and to plant perennial 
crops; soft loans to support the development of infrastructure, water and processing facilities to 
encourage agricultural and forestry production; pref erential short term credits to poor farmers through 
the Bank for the Poor People; and subsidies to shift production away from opium.  In calculating its Total Aggregate Measurement of Support, Viet Nam applied a de minimis level of 10 per cent.  Certain subsidies, including "green box" support, were provided by the Stat e and provincial budgets.  
Moreover, the Price Stabilization Fund had been used to grant soft loans to enterprises increasing their 
stock levels above normal commercial requirements for the purpose of stabilizing market supply and 
demand. 
258. Asked specifically about policies to support the sugar sector, the representative of Viet Nam 
said that sugarcane was cultivated mainly in poor  and disadvantaged areas, i.e. in the mountainous WT/ACC/SPEC/VNM/5 
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  midland, central coastal regions, highlands and in  the Cuu Long delta.  Policies supporting the sugar 
sector aimed at improving the economic conditions a nd job creation in these disadvantaged regions.  
In the past, sugar had mostly b een produced by household sugar mills, characterized by low quality, 
waste and environmental pollution.  Since 1995, hi s Government had used funds from abroad and 
domestic credits, and stimulated foreign direct invest ment to build refining plants.  However, the new 
plants had been unable to operate at full capac ity, resulting in low productivity, high prices and, 
consequently, import protection. 
259. A Member requested more detailed informa tion on specific measures applied to support 
Viet Nam's coffee sector, including tax and cred it policies, development assistance programmes and 
export subsidies.  Viet Nam was asked to confir m that its coffee sector was now operating according 
to market principles.  
260. The representative of Viet Nam replied that , under cooperation agreements signed with 
former Socialist partners in 1983, Viet Nam had received a loan of 30 million Transferable Roubles in the form of merchandise such as fertilizers, tractors,  petroleum products, trucks, etc.  The loan, which 
had been reimbursed in 1991, had enabled Viet Nam to sow coffee on 24,500 hectares of land.  
Viet Nam was currently involved in two cooperation projects; (i) a technical assistance programme to 
strengthen the research capacity of the coffee industry, and (ii) a 700 billion Dong project to plant an additional 40,000 hectares of arabica in North Viet Nam.  About 400 billion Dong for the arabica 
coffee project had been financed through a loan from an overseas development agency.  The coffee 
sector was, in his view, operating in accordance with market principles.  In 2000 and 2001, Viet Nam 
had purchased 150,000 tons (representing some 20 pe r cent of domestic production) for temporary 
stockholding.  However, the strategy had failed and the stocks had subsequently been exported at a 
loss.  The low price of Viet Nam's coffee refl ected the high productivity of the domestic coffee 
industry due to good quality soil and favourable climatic conditions.  Viet Nam's coffee prices tracked 
fluctuations at the London Commodity Exchange (LIFFE).  The gap between Vietnamese and LIFFE 
prices, ranging from US$150 to more than US$200, was mainly due to temporary oversupply in Viet Nam and the gap between the FOB price in Viet  Nam and the CIF price in London.  More than 
90 per cent of Viet Nam's coffee production was expor ted, mainly in the form of green coffee.  
Roasted and ground coffee was largely consumed domestically.   
261. The representative of Viet Nam initially said that Viet Nam did not provide any export 
support in the form of direct transfers from the State budget.  However, Viet Nam had begun granting direct budgetary export subsidies in 1998.  Subsidie s took the form of interest rate support; export  WT/ACC/SPEC/VNM/5 
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  bonuses; support to cover losses for enterprises e xporting rice, pork, and coffee; and support to 
exports of vegetables and fruit.   
262. Some Members were concerned that Viet Nam had introduced and maintained export 
subsidies for agricultural products.  Their expecta tion was that Viet Nam would not use agricultural 
export subsidies on any product after accession to the WTO.  These Member s asked Viet Nam to 
provide details of the steps it would take to e liminate export subsidies.  A Member requested 
information on export bonuses paid for a range of pr oducts including rice, coffee, canned vegetables, 
canned fruit and pork in 2001. 
263. The representative of Viet Nam replied that bonuses contingent on export performance had 
been paid to enterprises exporting rice, coffee, por k, canned fruit and canne d vegetables in 2001 in 
accordance with Decision No. 65/2001/QD-BTC of 29 June 2001 of the Ministry of Finance.  The 
export bonus programme had been continued in 2002 , and extended to also cover beef and poultry 
meat;  fresh, dried and semi-processed fruit and vegeta bles;  tea;  peanuts;  pepper;  and cashew nuts 
(Decision No. 63/2002/QD-BTC of 21 May 2002).  Detailed information on subsidy per unit was 
provided in document WT/ACC/VNM/13/Add.2, pp. 20- 22.  He added that Vietnamese farmers had 
faced particularly difficult conditio ns during 1999-2001 with  large fluctuations in commodity prices, 
and his Government had therefore provided suppor t, including export subsidies, to stabilize 
production and foster the development of the agri culture sector.  However, his Government had 
recently taken measures to bring support measures clo ser to WTO rules.  Support had been shifted to 
trade promotion activities and the export bonus re gime had been amended in 2003-2004.  Export 
bonuses were now based on the annual turnover increas e rather than on the export turnover.  He 
considered the level of Viet Nam's export subsid ies negligible and with no significant distorting 
effects on international trade. 
264. [The representative of Viet Nam confirmed that from the date of accession, Viet Nam would 
not maintain or introduce any export subsidies on ag ricultural products [,with the exception of several 
kinds of agricultural export subsidies that devel oping countries were eligible to maintain].  The 
Working Party took note of this commitment.]   
Fisheries 
265. The representative of Viet Nam said that his Government was implementing a comprehensive 
programme to develop aqua-cultu re industries.  The programmes were managed by enterprises, 
households and fishermen, and cooperatives, and re lied to a large extent on technical assistance by 
government experts through a fisheries extension system, training and management guidance for WT/ACC/SPEC/VNM/5 
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  labourers in the sector.  Infrastructure, including the construction of refrigerated facilities and 
facilities for the construction and repa ir of fishing boats, was also be ing developed.  His Government 
was offering long-term loans to fishermen to build  or upgrade offshore fishing boats, and encouraged 
the introduction of new technologies.  His Government  had also promulgated the Law on Fisheries, as 
well as standards and regulations equivalent to re gulations on hygiene, food safety and veterinary 
requirements issued by Codex and the Code of Conduct for Responsible Fisheries.   
266. Import licenses for specialised fishery products mentioned in Decision 
No. 344/2001/QD-BTS of 2 May 2001 and Decision  No. 20/2003/QD-BTS of 12 December 2003 of 
the Ministry of Fisheries, includi ng seeds, feed, medicines, vaccin es, bio-chemical treatments, and 
growth stimulants, applied only to new products, in which case a licence for experimental import was 
required.  The Decision stipulated the requirement s and procedures relating to import and export of 
specialised fishery products.  Quarantine requireme nts and quarantine certificates were applied for 
health protection purposes - to prevent the spread of infectious diseases in the aqua-culture industry.  
The Ministry of Fisheries could ban exportation of rare marine species threatened by extinction and 
set conditions for the export of rare living mari ne species with high economic value if considered 
necessary to preserve resources.  
Textiles Regime  
267. The representative of Viet Nam said that tex tile and garment production was a relatively new 
industry in Viet Nam.  Exports of textiles and clothing had grown rapidl y, although Viet Nam's 
exports were still modest compared to other count ries with comparable population.  He noted that 
Viet Nam's export restraints on textile and clothing  products were based on agreements with countries 
applying quantitative import restrictions (Canada, the EU, Turkey and the United States). 
268. Some Members noted that Vi et Nam banned importation of second-hand clothing, and urged 
Viet Nam to apply less trade restrictive measures.   The representative of Viet Nam noted these 
comments, but considered the import prohib ition necessary to protect human health.   
269. A Member asked whether Viet Nam would accept that, for the purposes of Viet Nam's 
accession to the WTO, the phrase "in force on the da y before the entry into force of the WTO 
Agreement" contained in Article 2:1 of the Agreem ent on Textiles and Clothing should be deemed to 
refer to the WTO, and that the increase in growth  rates provided for in Article 2:13 and 2:14 of the 
Agreement on Textiles and Clothing  should be applied to these base levels, as appropriate, from the 
date of accession of Viet Nam to the WTO.  WT/ACC/SPEC/VNM/5 
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  270. [The representative of Viet Nam confirmed that the quantitative restrictions on imports 
maintained by WTO Members on textiles and clothing pr oducts originating in Viet Nam that were in 
force on the date prior to the date of accession of  Viet Nam to the WTO should be notified to the 
Textiles Monitoring Body (TMB) by the Members main taining such restrictions  and would be applied 
for the purposes of Article 2 of the Agreement on Textiles and Clothing.  Thus, for the purposes of Viet Nam's accession to the WTO, the phrase "in for ce on the day before the entry into force of the 
WTO Agreement" contained in Article 2.1 of the Agreement on Textiles and Clothing shall be 
deemed to refer to the day prior to the date of accession of Viet Nam to the WTO.  To these base 
levels the increase in growth rates provided for in  Article 2.13 and 2.14 of the Agreement on Textiles 
and Clothing shall be applied, as appropriate, in  the Agreement on Textiles and Clothing from the 
date of Viet Nam's accession, such base leve ls and growth rates coming to an end upon the 
termination of the Agreement on Textiles and Clot hing.  The Working Party took note of these 
commitments.]   
[Core Labour Standards 
271. Referring to paragraph 4 of the Singapore Ministerial Conference Declaration, a Member 
noted the commitment of all WTO Members to th e observance of core labour standards, i.e. 
recognising that the International Labour Organi zation (ILO) was the relevant body to advise upon 
these standards and declaring that all Members had an obligation to promote and realize the 
fundamental principles and rights at work.  In this  context, this Member requested Viet Nam to 
provide information concerning (i) the provision of core labour standards to workers in Viet Nam 
through national law and practice; (ii) work undertak en with the ILO to modify its law and practice to 
bring these into greater conformity with interna tionally recognised core labour standards; and 
(iii) whether the Government of Viet Nam had re quested technical cooperation and advisory services 
from the ILO to promote Viet Nam's observance of these standards.  A Member noted that Viet Nam 
had not ratified eight ILO Conventions related to cu rrent core labour standards, and asked whether 
Viet Nam had stipulated any rules or regulations concerning minimum wages. 
272. The representative of Viet Nam replied that Vi et Nam had ratified many conventions in the 
framework of the ILO.  By May 2003, Viet Nam had ratified 16 ILO Conventions.  The Labour Code 
of Viet Nam and other related lega l documents had been established w ith reference to the conventions 
and recommendations of the ILO.  The Vietnamese  Government had requested technical cooperation 
and advisory services from the ILO in order to ensu re that Vietnamese labour  laws were consistent 
with established international standards.  Asked ab out enforcement of the new laws and regulations 
and problems encountered, the representative of Vi et Nam added that his Government had been WT/ACC/SPEC/VNM/5 
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  cooperating with social partners to strengthen the implementation of the Labour Code.  Viet Nam had 
also received technical assistan ce from the ILO and other partners  in areas such as child labour, 
disabled workers, female workers, industrial relatio ns, occupational health and safety, social security 
law and the fight against HIV/AIDS at work.] 
TRADE-RELATED INTELLECTUAL PROPERTY RIGHTS (TRIPS) 
1. General 
(a) Industrial property protection   
273. The representative of Viet Nam said that the main legal instruments for the protection of 
intellectual property in Viet Nam were the Civ il Code of 1995 (Part Six); Government Decree 
No. 63/CP of 24 October 1996 on Detailed Regul ations on Industrial Property; Circular 
No. 3055/TT-SHCN of 31 December 1996 of the Mini stry of Science, Technology and Environment 
on Guiding the Implementation of the Provisions  on the Procedures for Establishing Industrial 
Property Rights, and a number of other procedures in Decree No. 63/CP; and Government Decree 
No. 76/CP of 29 November 1996 on Guiding the Implementation of the Provisions on Copyrights in the Civil Code; and Circular No. 23-TC/TCT of 9 May 1997 of the Ministry of Finance on Industrial 
Property Fees. 
274. He considered the prevailing laws and regulati ons consistent with the requirements of the 
TRIPS Agreement.  However, Viet Nam was upgrading the legal system for the protection of intellectual property rights to ensure the effectiv e implementation and enforcement of these rights.  
Viet Nam had enacted Government Decree No. 12/1999/ND-CP of 6 March 1999 on handling 
administrative violations in the industrial property fields; Circular No. 825/2000/TT-BKHCNMT of 3 May 2000 of the Ministry of Science, Technolog y and Environment guiding the implementation of 
Decree No. 12/1999/ND-CP; Government Decree  No. 54/2000/ND-CP of 3 October 2000 on the 
protection of industrial property rights in business secrets, geographical indications, trade names and 
protection against unfair competition in the i ndustrial property field; Government Decree 
No. 06/2001/ND-CP of 1 February 2001 on amendmen t and supplement to some articles of Decree 
No. 63/CP detailing the regulations on industrial property; Government Decree No. 13/2001/ND-CP 
of 20 April 2001 on the protection of new plant vari eties; Government Decree No. 31/2001/ND-CP of 
26 June 2001 on handling administrative violations in  the field of culture and information, including 
copyright; Joint Circular No. 01/2001/TANDTC- VKSNDTC-BVHTT of 5 December 2001 on dispute 
settlement procedures concerning copyright viola tions; Decree No. 101/2001/ND-CP of 31 December 
2001 providing guidelines on customs procedures; Circular No. 29/2003/TT-BKHCN of  WT/ACC/SPEC/VNM/5 
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  5 November 2003 of the Ministry of Science and Technology guiding the implementation of 
procedures for establishing industrial property right s to industrial designs; and Circular No. 
30/2003/TT-BKHCN of 5 November 2003 of the Ministry of Science and Technology guiding the 
implementation of procedures for establishing industria l property rights to inventions/utility solutions, 
including provisions on application and examination in respect of micro-organisms.  In addition, a new Civil Procedure Code had been promulgated in 2004. 
275. Legal texts expected to be prom ulgated in 2004 included a Circul ar of the Ministry of Finance 
on industrial property fees and charges (substituti ng No. Circular 23/TC-TCT of 9 May 1997), 
including the provisions on the abolition of discriminatory treatment between Vietnamese and foreigners; a Circular of the Ministry of Scie nce and Technology guiding the implementation of 
procedures for establishing industrial property rights to layout designs of semiconductor integrated 
circuits (implementing Decree No. 42/2003/ND-CP of 2 May 2003); a Circular of the Ministry of 
Science and Technology guiding the implemen tation of the Decree No. 4/2000/ND-CP of 
3 October 2000 of the Government on the protecti on of industrial property rights to trade secrets, 
geographical indications, trade names and the protec tion of rights against industrial property-related 
unfair competition, including the detailed provisions on the protection of undisclosed information; a 
Circular of the Ministry of Science and Technology guiding the implementation of procedures for establishing industrial property rights to trademar ks and appellation of origins (substituting the 
respective provisions of Circular No. 3055/TT-SH CN of 31 December 1996), including the detailed 
provisions on recognition of well-know n trademarks; a Decree of the Government on civil remedies 
in the field of intellectual property; a joint Circular of the Supreme People Court, the Supreme People Prosecution Institute and the Ministry of Science and Technology guiding the judgement of cases related to industrial property rights, including th e detailed provisions on reve rsal of the burden of 
proof in patent-related cases; a Decree of the G overnment amending Decree No. 12/1999/ND-CP of 
6 March 1999 on administrative measures against viol ations in the field of industrial property, 
including the detailed provisions on administrative re medies; a Circular of th e Ministry of Science 
and Technology amending Circular No. 825/2000/TT -BKHCNMT of 3 May 2000 of the Ministry of 
Science, Technology and Environment guiding the implementation of Decree No. 12/1999/ND-CP of 
6 March 1999 on administrative measures against viola tions in the field of industrial property, as 
amended by Circular No. 49/2001/TT-BKHCNMT of 14 September 2001 of the Ministry of Science, 
Technology and Environment; a joint Circular of the Ministry of Science and Technology and the Ministry of Finance on border control measures in re spect of industrial property rights for imports and 
exports; and a joint Circular of the Ministry of Tr ade, the Ministry of Science and Technology and the 
Ministry of Culture and Information on measures  of market control and procedures for handling 
violations of intellectual property rights in production, trade and service activities.  WT/ACC/SPEC/VNM/5 
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  276. He presented an Action Plan for the Implemen tation of the TRIPS Agreement in document 
WT/ACC/VNM/12, and revised action pl ans in documents WT/ACC/VNM/21 and 
WT/ACC/VNM/21/Rev.1 and Rev.2.  Viet Nam was considering issuing an Intellectual Property 
Code against the option of including intellectual property provisions in an amendment to the Civil Code, and then issue various documents guiding  the implementation of the Civil Code.   
(b) Responsible agencies for policy formulation and implementation 
277. The representative of Viet Nam said that the ma in ministries and agencies responsible for IPR 
policy formulation and implementation were the Mi nistries of Science and Technology; Culture and 
Information; Justice; Finance; and Trade; the Ge neral Customs Department (under the Ministry of 
Finance); the National Office of Intellectual Prop erty (under the Ministry of Science and Technology) 
and the Copyright Office (under the Ministry of Culture and Informa tion).  Administrative enforcement 
of IPR legislation was entr usted to the customs offices, the mark et control organizations, the Economic 
Police, the Culture and Informa tion Inspections, the Science and Technology Inspections, and the 
People's Committees at all levels (p rovincial, distri ct and commune). 
278. Concerning the tasks of the enforcement agenci es, he said that customs was responsible for 
controlling borders to prevent and deal with infringe ment of intellectual property rights in export and 
import activities, the market control organizations de alt with protection of intellectual property rights 
in production, trade and services within the domestic market, while the Economic Police was 
responsible for preventing and handling infringement of intellectual property rights in all business 
activities.  The People's Committees at the provincial level were entrusted by the Central Government 
to cooperate with enforcement bodies in protect ing industrial property rights (Section 63(3) of 
Decree No. 63/CP). 
(c) Participation in international intellectual property agreements 
279. The representative of Viet Nam said that Viet Nam had been party to the Paris Convention for 
the Protection of Industrial Property and the Madrid  Agreement on International Registration of Marks 
since 1949; the Convention establishing the World In tellectual Property Organization since 1976; and 
the Patent Cooperation Treaty since March 1993.  Viet Nam had become an official party to the Berne 
Convention on 26 October 2004.  Viet Nam had conc luded bilateral agreemen ts on the protection of 
intellectual property with the United States and Swit zerland.  He expected Viet Nam to join the Geneva 
Convention, the Rome Convention, the International Un ion for the Protection of New Varieties of Plants 
(UPOV) Convention, and the Brussels Convention in 2004.  He confirmed that Viet Nam's legislation  WT/ACC/SPEC/VNM/5 
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  neither allowed nor banned the direct application of  international treaties to which Viet Nam was a 
party.   
280. Viet Nam had so far not taken any decision on accession to the IPIC Tr eaty, as the level of 
protection afforded by this international treaty w ould essentially be covered by Viet Nam's eventual 
adherence to the TRIPS Agreement.  Viet Nam had no plans to ratify and join the WIPO Copyright 
Treaty or the WIPO Performance and Phonograms Treaty (WPPT).   
(d) Application of national and MF N treatment to foreign nationals 
281. The representative of Viet Nam said that Viet Na m applied the national treatment principle in 
accordance with the Paris Convention for the Protection of Industrial Property, and applied no 
discrimination, including Most Favour ed Nation treatment between the nationals of other countries.  
Viet Nam applied the principle of reciprocity in other cases.   
282. A Member noted that Viet Nam appeared to require foreign na tionals not having a 
representative office in Viet Nam to use specially licensed agents to establish or enforce trademark, design and patent rights, and asked whether this requirement also a pplied to copyright protection.  
Concerned that these provisions might  impose a burden on foreign applicants, restrict access and hamper 
the development of an effective intellectual property system, this Member asked what steps Viet Nam 
would take to ensure equal treatment betw een foreign and domestic right holders.   
283. In reply, the representative of Viet Nam said th at existing laws did not re quire foreign natural or 
legal persons to establish and enforce copyright th rough intellectual property agents.  According to 
Decree No. 63/CP (Article 15.3.b)  and Decree No. 42/2003/ND-CP (Art icle 12.3), the requirement to 
use Vietnamese industria l property agents applied only to fo reign non-residents and foreign legal 
persons without legal representation or an effective indu strial or commercial presence in Viet Nam.  The 
requirement aimed at protecting the interests of the right holder and facilitating his/her communication 
with the competent State authorities and was, in his view, in conformity with international practice and 
exceptions to national treatment a llowed under the TRIPS Agreement.   
(e) Fees and taxes  
284. The representative of Viet Nam said that current regulations specified 18 ty pes of fees related to 
administrative procedures for the establishment, maintenance and protection of industrial property 
rights.  Most fees were in the US$10-60 range; fees related to the establishmen t of rights in respect of 
inventions amounted to US$100, and the annual ma intenance fees ranged from US$50 to US$280.  He 
added that Viet Nam imposed a tax on income derive d from royalties.  The tax rate was 5 per cent for WT/ACC/SPEC/VNM/5 
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  non-resident individuals and enterprises in Viet Nam.  For resident individuals and enterprises, income 
derived from royalties was subject to the provisions of the Ordinanc e on Income Tax for High Income 
Earners and the Law on Corporate Income Tax.   
285. A Member stated that if Viet Nam charged a fee on top of the application fee to enjoy a 
priority right, then this practice would be contrary  to the Paris Convention.  The representative of 
Viet Nam held the view that the Paris Convention prohibited the collection of fees for late filing of 
documents, but not the application of fees with respect to priority right claims.  He considered 
Viet Nam's fee justified by the additional work in volved in comparing the two applications, adding 
that some WTO Members appeared to apply similar provisions.   
286. Some Members noted that Viet Nam had recons idered amending Circular No. 23 TC/TCT of 
the Ministry of Finance of 9 May 1997 to provide uniform fees and charges for both foreigners and 
Vietnamese, as Viet Nam had taken the view that f ees and charges levied in the area of industrial 
property were a matter of administrative proce dures and thus a permitted exception to the national 
treatment principle (Article 2 of the Paris Conventio n).  A Member pointed out that the exceptions to 
national treatment in Article 2 of the Paris Conve ntion referred only to judicial and administrative 
procedures, jurisdiction, and the designation of an address for service or appointment of an agent, 
adding that the national treatment provision of the TRIPS Agreement expressly included matters 
affecting the acquisition and maintenance of intell ectual property rights such as fees and related 
charges.  This Member urged Viet Nam to amend Circular No. 23 TC/TCT as early as possible. 
287. The representative of Viet Nam replied that his Government would consider this request.  
Differential fees and charges which could not be justified under the exem ptions provided for in 
Article 2(i) of the Paris Convention would be annulled by the draft Circular of the Ministry of Finance 
amending Circular No. 23/TC-TCT of 9 May 1997, wh ich was expected to be promulgated in late 
2004.   
2. Substantive standards of protection, incl uding procedures for the acquisition and 
maintenance of intellectual property rights 
(a) Copyright protection 
288. The representative of Viet Nam said that accord ing to Article 747 of the 1995 Civil Code the 
literary, artistic, and scientific works in various fo rms subject to State copyright protection included 
written works; lectures and speeches; theatrical wo rks and other forms of artistic performance; 
cinematographic and video works; radio and television  works; press works; musical works; architectural  WT/ACC/SPEC/VNM/5 
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  works; applied art work and fine art works; phot ographic works; scientific works, text books and 
teaching materials; graphi cs, drawings, sketches and maps rela ted to topography, architecture or 
scientific projects; translated, adapted, rewritten, transformed, compiled, annotated, selected and 
anthological works, including comp ilations; computer soft ware, including databases; and other works 
prescribed by laws.  "Scientific wo rks" covered works referring to scie nces such as written theoretical 
works in the natural, social, tec hnological, and economic sciences.  "Press works" were works published 
in newspapers.  "Other works" wa s an open provision referring to othe r forms of works not mentioned in 
the list, but subject to copyright protection.  Protec tion would not be granted for the works above if they 
were found to be in violation of  Article 749 of the Civil Code. 
289. Copyright was provided for original works irresp ective of form, language used for expression, 
and the quality of the works.  Copyright arose from the moment the work was created in a certain 
material form.  Works existing prior to the entry into force of the Civil Code were protected in 
accordance with paragraph 3 of the National Assemb ly Resolution on the implementation of the Civil 
Code if their term of protection ha d not expired and were not in viol ation of Civil Code provisions.  
He confirmed that such works were protected in the same way as works created after the entry into 
force of the Civil Code.  Authorship was protected for the lifetime of the author and 50 years after his 
decease (in case of a co-authored work for 50 years after the death of the last surviving author).  
Cinematographic works; radio, television or vide o works; sound recording works; and works published 
posthumously were protected for a period of 50 y ears from the date of first publication.   
290. The Civil Code also regulated the registration of  and application for the protection of author's 
right and the right to ownership of a work (Article 762); the rights of the author, owner of work and 
the time-limit for author's right protection (Articles 751,  752 and 766); and the rights of performers, 
individuals or organizations producing audio ta pes, video tapes and disks, and broadcasting 
organizations (Article s 775, 777 and 779); the rights of registratio n of and application for the protection 
of authorship/ownership of work (Articles 759 and 76 2); the rights of copyright transfer (Article 763); 
the rights of inheritance (Articles 764  and 765); and rental rights (Article 751).  Article 8.2 of 
Decree No. 76/CP regulated import rights of duplicates.  Phonogram producers were protected under the related rights provision (Artic les 776 and 777 of the Civil Code), and unfixed performances under 
Article 775 of the Civil Code.  Concerning radio an d television broadcasts, Vi et Nam had no specific 
regulation covering pre-programme or encrypted signal s, or transmission by cable.  The definition of 
broadcasting included only transmis sion by wireless means received directly by the public.  Protection 
of pre-programme and encrypted signa ls in accordance with the TRI PS Agreement would be considered 
in the preparation of the ap propriate legal documents.   WT/ACC/SPEC/VNM/5 
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  291. The registration process was governed by Article 762 of the Civil Code and Articles 23, 24, 
25, 26 of Government Decree No. 76/CP of 29 December 1996 on Implementation of Certain 
Provisions Concerning Copyright of the Civil Code.  The author or the copyright owner of a work 
filed the application and related documents with the Copyright Office of Viet Nam (COV).  The COV 
decided on the granting of a Registration Certificate within 10 days from the date of receipt of the 
application. 
292. Copyright arose from the moment a work was created in a concrete material form irrespective 
of whether or not it was a registered work (A rticle 754 of the Civil Code and Article 6 of 
Decree No. 76/CP).  Unless the declaration in the application for copyright protection was false, an 
author or owner of a registered work would not be  obliged to justify his/her ownership right over the 
work in case of dispute.   
293. Pursuant to Article 836 of the Civil Code and Article 12 of Decree No. 60/CP of 6 June 1997, 
the works of foreign individuals or foreign organi sations which were protected in Viet Nam included 
(i) works created and displayed in a certain mate rial form in Viet Nam, (ii) works made known 
publicly or disseminated in Viet Nam for the first time, and (iii) works protected in Viet Nam under 
international treaties signed or adopted by Viet Nam.   
294. Right holders had the exclusive right of repr oduction (Article 751.1.d of the Civil Code) and 
translation (Articles 757 of the Civil Code).  Limitations to author's rights were laid down in Article 760 of the Civil Code, which provided that individuals and organisations could use works 
which had been made known public or disseminated if duplication of the works was not prohibited, 
for non-commercial use, did not affect the normal exploitation of the works, and did not infringe on other rights of the works' author or owner.  Indi viduals or organisations using these works would not 
be required to apply for permission or pay royalties to the author or owner of the work, but would be 
required to include the name of the work's author and the source of the works.   
295. Pursuant to Article 761 of the Civil Code and Article 12 of Decree 76/CP, free use of 
published works included duplication for personal use, archives or for use in libraries; quotation without 
falsifying the intent of the author for commentary or illustration in other works (reports, periodical 
publications, documentary films, broadcasts or tele vision programmes) or for teaching and educational 
purposes; performance of theatrical works and other fo rms of artistic performance in public; direct audio 
and visual recording of performances for newscast or educational purposes; introduction of works of 
publicly displayed sculptures, architecture, photograp hy and applied arts; transl ation and dissemination 
of works in Vietnamese into the languages of ethni c minorities in Viet Nam and vice versa; and the 
conversion of printed works into Br aille characters (for the blind).  However, according to item 1b,  WT/ACC/SPEC/VNM/5 
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  c and d of Article 761 of the Civil Code, a quotation from a published work should not become the main 
part of a new work, and quotations w ould be limited only to the extent  of introduction, commentary or 
clarification of issues raised in the work of the person making the quotation, and should spell out clearly 
the name of the author and the sour ce of the quoted work (Article 12.2 of Decree No. 76/CP).  He added 
that the Ordinance on Libraries No. 31/2000/PL-UB TVQH10 of 28 December 2000 required libraries 
and governmental offices to comply with Viet Nam's legislation on intellectual property 
(Article 13.2). 
296. Authors or owners of works whose rights were  being infringed were entitled to require the 
person having committed the acts of infringement to  apologize, rectify, compensate for damages and 
to stop his infringement acts, or to request the comp etent State authority to force the person to do so 
(Article 759).  Criminal remedies were stipulated in Article 131 of  the Criminal Code.  Violators 
could face a fine of 200 million Dong or up to thr ee years imprisonment.  Recourse to civil remedies 
would depend upon the level of damage caused by  the person making the infringement acts.  Eight 
copyright infringement cases had been brought before th e civil courts so far.  Pursuant to Articles 57 
and 58 of the Customs Law (2001), the right holder could also request customs offices to halt 
clearance temporarily of infringing imported or exported goods. 
297. A Member had been informed by industry sources that the virtual absence of legally 
authorized distribution of first-run motion pictur es in Viet Nam created incentives and opportunities 
for piracy, and asked what steps Viet Nam intended to take to allow legal importation of first run 
motion pictures. 
298. The representative of Viet Nam replied that all films on show in Viet Nam were legally 
authorized.  The Ministry of Culture and Info rmation approved all imports of motion pictures, 
videotapes and DVD.  Imports were effected th rough FAFIM under the Ministry of Culture and 
Information (Article 15 of Gove rnment Decree 48/CP of 17 July 1995).  However, Government 
Decree No. 26/CP of 3 August 2000 and Article 3 of Circular No. 28/2000/TT-BVHTT of the 
Ministry of Culture and Information authorized  cinema businesses possessing or having held using 
rights for cinema theatre motion pi ctures for minimum five years, a nd whose cinema theatres met the 
requirements set by the Ministry of Culture and In formation and the Ministry of Construction, to 
import motion pictures - not necessarily through FAFIM - to be shown in their cinema theatres.  The 
monopoly rights conferred to FAFI M extended only to the importation of video tapes and DVD.  In 
deciding the number of foreign films approved for im portation, the Ministry would take into account 
the number of films produced locally and the capacity of the domestic distribution network.  All locally-produced and imported films were screened pursuant to Decision No. 2455/QD-DA on movie WT/ACC/SPEC/VNM/5 
Page 102  
 
  inspection of 8 August 1997.  Viet Nam television coordinated importation of films for broadcasting 
with the Ministry of Culture and Information.   
299. Asked specifically about Viet Nam's regulation of digital copyright i ssues, the representative 
of Viet Nam said that the Civil Code, while provi ding protection to works in "determined physical 
forms", i.e. customary and traditional forms, did not specifically include the digital format and did not 
regulate temporary copies, nor did any other curre nt copyright legislation.  Digital copyright 
protection would be considered in the revision of Viet Nam's legislation on copyright and related 
rights.  The principles and forms of fair use exce ptions permitted according to Articles 760 and 761 of 
the Civil Code did not include copied computer software.  Viet Nam had no direct and specific regulation on technological protection measures for protected copyright.  As to Internet services, 
Article 6.1 of Decree No. 55/2001 required complia nce with the respective regulations under the Law 
on Newspapers, the Law on Publishing, the Ordinance on Protection of State Secrets, and other laws 
and regulations on intellectual prope rty and Internet information management.  The Decree prohibited 
strictly theft and unlawful use of passwords, code s and private information of individuals or entities 
on the Internet.   
300. A Member noted that Article 7 of the Ordinance on Copyright Protection of 1 July 1994 
contained wide provisions for denial of copyri ght and wondered whether any amendment would be 
required to comply with Article 9.2 of the Bern e Convention.  Referring to the Berne Convention 
requirement for automatic protection free of forma lities, the Member also requested an explanation 
for the reference in Article 5 of the Ordinance to grant protection to authors who did not register but 
"have needs for copyright" , in contrast to the reference to protection granted on the basis of 
registration. 
301. The representative of Viet Nam replied that the Ordinance on Copyright Protection of 1994 
had expired on 1 July 1996 and that all copyright-rela ted provisions had been incorporated in the Civil 
Code of 1995 (Chapter 1, Part Six).  He adde d that implementation of the TRIPS Agreement and 
accession to the Berne Convention for the Protection of Literary and Artistic Works would require Viet Nam to amend and improve its  legislation on copyright protection in some areas.  Existing 
legislation was inadequate with respect to detailed regulations on the protec tion of computer programs 
and compilations of databases (Ar ticle 10); provisions on the term  of protection of performers 
(Article 14.1); provisions on the rights of fixati on and communication to the public of broadcasts 
(Article 14.3); provisions on rental rights of phonogram s (Article 14.4); and provisions on the right of 
communication to the public in respect of perform ance of dramatic, dramatic-music and musical 
works (Article 9.1).  Moreover, the limitations on the rights of authors of published works in respect  WT/ACC/SPEC/VNM/5 
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  of performance of dramatic, dramatic-musical, musical and the fixation of musical works in Sections 
774 and 776 of the 1995 Civil Code were inconsiste nt with the requirements of Article 9.1 of the 
TRIPS Agreement.  Amendments required to im plement the TRIPS Agreement properly were in 
preparation, but the timeframe for thei r adoption had yet to be determined. 
(b) Trademarks, including service marks 
302. The representative of Viet Nam said that trad emarks were protected in accordance with 
Article 785 of the Civil Code.  He noted that the sco pe of trademark protection in Viet Nam had been 
narrower than the requirement in Article 16.1 of the TRIPS Agreement, but had recently been extended by Decree No. 06/2001/ND-CP of 1 Febr uary 2001.  Trademarks for pharmaceutical 
products were regulated by the ge neral laws and regulations on trad emarks.  Mandatory registration 
was not required for any goods or services.  All trad emark registrations were published in the Official 
Gazette of Industrial Property. 
303. A trademark could be a word, an image or a comb ination of such elements represented in one 
or many colours.  A sign capable of distinguishing goods or services of the same kind, and not being 
objects excluded from protection in accordance with trademark laws and regulations, could be registered 
for protection as trademarks.  While Viet Nam's laws  did not list the signs pr otectable as trademarks, 
personal names were ex officio  recognized as registerable signs.  Applications for registration of marks 
were filed with the competent State authority (the National Office of Intellectual Property).  Foreign 
natural and legal persons filed a pplications for trademark registra tion through a legally operating 
industrial property representative of their choice, or  through their branches or wholly-owned companies 
in Viet Nam.  Use was not a condition for entitlem ent to file an application for registration of a 
trademark.  A sign which did not possess distinctive character could be protecte d if it had been used 
widely and had a good reputation in Viet Nam.  Curr ent laws and regulations also applied to service 
marks.  Well-known marks were protected in  accordance with the Paris Convention. 
304. Examination of marks was mandatory, and include d examination as to form and substance.  
The National Office of Intellectual Property conducted ex officio  substantive examination of 
trademark applications and decided on refusal of  registration if a trademark failed to meet the 
protection requirements.  Prevailing Vietnamese laws had provisions on opposition to a trademark 
application prior to registration.  Not recogni zed as marks were signs not possessing distinctive 
character; signs describing goods in terms of quality, property, utility etc.; signs that could mislead the public; signs representing State flags, armorial beari ngs or emblems of Viet Nam or other countries 
(unless authorized by the relevant persons or authorities); names or emblems of international 
organizations (per Article 6 ter of the Paris Convention); signs contrary to law, public order and WT/ACC/SPEC/VNM/5 
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  morality; and signs identical or similar to marks previ ously registered in Viet Nam or protected by an 
international convention to which Viet Nam was party in respect of the same kind of goods. 
305. The owner of a trademark had the exclusive right to use, transfer, and licence the trademark to 
other persons.  He had the right to request a th ird party to stop infringement or to request the 
competent authority to handle such infringements.  A trademark was protected for ten years counted 
from the filing date and was renewable for periods of ten years without limitation.  The owner of a 
trademark was obliged to use the registered mark.  Fa ilure to use a trademark fo r five consecutive years 
without plausible reason would lead, upon request of a third party, to the nullification of the protection 
certificate.  Examples of justifiable reasons were na tural disasters, war, governm ental restrictions on use, 
etc.  Licensing of a trademark would not be considered  effective use, but the use of the trademark by the 
licensee would be considered an act of use (Section 46(3) of Decree No. 63/C P).  A registration would 
not be invalidated in the absence of a request for te rmination of validity, or if the owner had begun use 
of the trademark when such a requ est was made, even if the period of non-use had been longer than 
five years.  Applications reques ting termination or cancellation of a Trademark Registration Certificate 
were processed in accordance with procedures laid down in Section 27 of Decree No. 63/CP. 
306. Any contract of assignment of a trademark right needed to be registered with the National 
Office of Intellectual Property.  An assignment contract which had not been registered would be invalid.  In response to a specific question, he noted  that Viet Nam's laws did not oblige a trademark 
assignor to transfer, together with the trademark, the business to which the trademark belonged.  Thus, 
the trademark owner had the right to assign his trademark without the transfer of business in 
compliance with Article 21 of the TRIPS Agreement.   
307. Legal entities, including charitable organizations , could apply for trademark registration only 
if legally engaged in commercial activities.  However, charitable entities not engaged in commercial activities were protected against non- authorized registration of signs a nd designations identical to or 
similar to their emblems or designations according to Decree No. 63/CP, Section 6, subsection 2(g). 
308. Concerning co-ownership of trademarks, a Member noted that Viet Nam appeared not to allow 
a trademark to have more than one owner.  Several countries allowed joint ownership of trademarks, not 
to be confused with collective trademark rights,  and against this background Viet Nam's provisions 
would seem unduly restrictive – possibly due to a mi sinterpretation of Artic le 5(c) of the Paris 
Convention – and could provide a limitation on the rights of foreign trade mark owners to seek 
protection in Viet Nam.  WT/ACC/SPEC/VNM/5 
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  309. In reply, the representative of Viet Nam said that neither the TRIPS Agreement nor the Paris 
Convention required recognition of jo intly owned trademarks.  As the function of a trademark was to 
help consumers distinguish between goods and servic es of different businesse s, co-ownership might 
cause confusion.  His Government would ne vertheless consider this matter further. 
310. A Member requested information about the right of appeal of administrative decisions 
provided for in the TRIPS Agreement, as Viet Na m appeared not to be in compliance with the 
requirement for judicial review of administrative decisions.  The representative of Viet Nam replied 
that decisions relating to the establishment, mainte nance, invalidation and cancellation of trademarks, 
having been appealed to the Director General of th e National Office of Intell ectual Property, could be 
appealed further, at the appellant's discretion, either to the Administra tive Court according to the 
Ordinance on the Judgement of Admi nistrative Cases, or to the Mini ster of Science and Technology 
according to Article 27(4) of Decree No. 63/CP.  Decisions of the Minister of Science and 
Technology on the legal effect of the decision unde r appeal were final and could not be further 
appealed to the Administrative Court.  As such, in  his view, existing laws a nd regulations provided an 
opportunity for both judicial and administrative review in compliance with the TRIPS Agreement.  
Viet Nam did not yet have detailed regulations on  procedures for the judgement of administrative 
cases relating to the establishment, maintenance, cancellation and invalidati on of trademarks (in 
particular, and of industrial property rights in gene ral).  For the time being, the promulgation of a 
circular guiding the judgement of cases relating to industrial property rights of the Supreme Court and 
related authorities was under consideration and schedul ed to be completed after the promulgation of 
the Civil Procedures Code at the end of 2004. 
311. He added that on 1 February 2001 his Government had promulgated Decree No. 06/2001/ND-
CP on amendments to Decree No. 63/CP of 24 Oc tober 1996.  Decree No. 06/2001/ND-CP broadened 
the scope of protection of trademark rights in comp liance with the TRIPS Agreement.  In particular, 
the Decree stipulated as infringement of a trademark owner's rights "the use of signs which are 
identical with the trademark protected by a Trademar k Registration Certificate or by an International 
Registration for goods or services similar to, or relate d to goods or services in the list registered with 
the trademark and/or the use of signs which are similar to the protected trademark for goods or 
services identical with, or similar to, or related to  goods or services in the list registered with the 
trademark, if such use is liable to create confus ion of the origin of go ods or services".  Decree 
No. 06/2001/ND-CP defined a "well-known trademark" as a trademark used continuously for so reputable goods or services that the trademark was wi dely known (Article 1, para.2 of the Decree).  
Well-known trademarks did not need to be registered or used within the territory of Viet Nam to be 
protected.  The industrial property rights of well-know n trademarks were protec ted without time limit WT/ACC/SPEC/VNM/5 
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  from the date on which the trademark had been rec ognised by a competent State authority as a well-
known trademark.  Procedures for the recognition of  well-known trademarks w ould be provided for in 
a Circular of the Minister of Science and Technology on the implementation of Decree No. 63/CP, as 
amended by Decree No. 06/2001/ND-CP, to be promulga ted in 2004.  Pursuant to the draft Circular, 
requests for recognition would need to be accomp anied by documents proving the well-known status 
of the trademark, including information on the num ber of relevant consumers knowing the mark by 
purchasing or using the goods or services bearing the trade mark; the number of countries in which 
the trade marked goods and services were being sold , providing trademark protection or recognizing 
the trademark as well-known; genera ted sales revenue; period of con tinuous use; indications of 
widespread reputation; the value of the trademark in  terms of licensing, contribution to an investment 
asset, etc.  He confirmed that in drafting the Circul ar Viet Nam had taken account of the provisions of 
the Joint Recommendation concerning the Provisi ons on the Protection of Well-Known Marks 
adopted by the Assembly of the Paris Union and the General Assembly of the World Intellectual 
Property Organization (WIPO) in September 1999.  He considered Viet Nam's system for the recognition of well-know marks to be fully consiste nt with the TRIPS Agreement, as well as with 
paragraph 1 of Article 6 bis of the Paris Convention.   
(c) Geographical indications, including appellations of origin 
312. The representative of Viet Nam said that geographical indications in general were protectable 
under Government Decree No. 54/2000/ND-CP on the protection of industrial property rights of 
business secrets, geographical indications, trade na mes and protection against unfair competition, 
notably Articles 10-13 and 19.  Article 5 of this D ecree stipulated that industrial property rights of 
geographical indications would be established automa tically if all prescribed conditions were fully 
satisfied without requirement for registration with  any competent State authority.  Article 10 of 
Decree No. 54/2000/ND-CP, which specified the criteria for protection of geographical indications, 
allowed protection for geographical indications othe r than geographical names.  Regions and localities 
within a country, as well as territories crossing intern ational borders, were protected if they complied 
with all requirements stipulated by laws.  The provisions were, in his view, in compliance with 
Article 22.1 of the TRIPS Agreement.  According to Article 23 of Decree No. 54/2000/ND-CP, acts 
infringing geographical indications would be handled  in accordance with the procedures for handling 
infringement of other industrial property rights.  Civil remedies for wrongfu l use of a geographical 
indication were provided for in paragraph 1 of Arti cle 21 of Decree No. 54/2000/ND-CP, and criminal 
penalties were stipulated in Article 171 of the Criminal Code of 1999.  He confirmed that administrative 
and criminal laws and regulations provided for ex-o fficio protection of geogr aphical indications.  In 
response to a question, he added that a geographical indication would be considered generic pursuant to  WT/ACC/SPEC/VNM/5 
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  Article 10.3 of Decree No. 54/2000/ND-CP if it had become a popular name of good and had lost its 
geographical indica tion character. 
313. Geographical indications of a special kind, name ly appellations of origin, were protectable 
under Decree No. 63/CP of 24 October 1996  as amended by Decree No. 06/2001/ND-CP of 
1 February 2001.  Appellations of origin had to be registered to enjoy protection.  The term of 
protection was indefinite.  The right to use appellati ons of origin was subject to certification by the 
National Office of Intellectual Property pursuant to the procedures provided for in Circular 
No. 3055/TT-SHCN, dated 31 July 1996, of the Minist ry of Science, Technology and Environment.  
The time-limit for formality examination was three months from the filing date and six months for 
substantive examination.  A person having the right to  use an appellation of origin could request the 
competent State authorities to stop unlawful use of  such appellation, and demand compensation from 
unlawful users for the damage caused.  However, he would not have exclusive right to such appellation 
of origin, and could not transfer the right of use to other persons.  Three appellations of origin were 
currently protected in Viet Nam.   
314. Article 19.3 of Decree No. 54/2000/ND-CP of 3 October 2000 provided additional protection 
for wines and spirits.  Provisions on the protection of  appellations of origin a pplied generally to goods 
of all kinds, prohibiting "the illegal use of an appellati on of origin or signs confusingly similar thereto, 
including the case where the true origin of the prod uct or the appellation of origin is indicated or 
accompanied by wordings such as ""kind", "type", "imitating", or similar words to that effect" 
(Section 47(1)(b) of Decree No. 63/CP).  Infringements  could be dealt with under civil, administrative 
or criminal procedures and the provisions were, in  his view, consistent with the requirements of 
Article 23.1 of the TRIPS Agreement.   
315. As to the relationship between the protection of geographical indications and trademarks, 
Article 6.1(f) of Decree No. 63/CP of 24 Oct ober 1996 prohibited the registration of a trademark 
identical with or confusingly similar to protected  geographical indications, including appellations of 
origin.  The time to be taken into consideration for the protection of geographical indications was the 
priority date of the trademark application, or  the date of requesting recognition of a well-known 
trademark.  A Protection Title issued by mistake could be cancelled through the appeals procedure.  
Viet Nam's provisions were, in his view, in conf ormity with Articles 22.3 and 23.2 of the TRIPS 
Agreement, and also accommodated the conflict be tween trademarks and geographical indications 
dealt with in Article 24.5 of the Agreement.   WT/ACC/SPEC/VNM/5 
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  (d) Industrial designs 
316. The representative of Viet Nam said that indus trial designs - a specific appearance of a 
product embodied by lines, three-dimensional forms, colours or a combination thereof of world-wide 
novelty capable of serving as a pattern for a product of industry or handicraft – were protected in  accordance with Article 784 of the Civil Code.  Text ile designs were protectable in the same manner 
as other industrial designs.  Applications for re gistration of industrial de signs were filed with 
the competent State authority (the National Office of Intellectual Property) and subject to examination as 
to form and substance.  The initial term of protectio n of an industrial design was five years, counting 
from the filing date, and it could be renewed for two consecutive terms of five years (Section 9(2)(c) of Decree No. 63/CP). 
317. The owner of a protected industrial design had the exclusive right to use, transfer or licence 
the right to use such industrial design to other persons, the right to request the competent State 
authority to compel other persons to stop infringe ments, and the right to claim compensation for 
damages caused by such acts of infringement (Article 796 of the Civil Code).  In his view, the current 
laws and regulations of Viet Nam were in complia nce with the requirement of Article 26.1 of the 
TRIPS Agreement.  Although the relevant provisions had not been phrased in the exact same wording 
as the TRIPS Agreement, the provisions also cove red the making, selling or importing of articles 
embodying designs which were "substantially a copy" of a protected design.  
318. The rights were restricted when provisions on prior user or compul sory licensing were applied.  
The rights of prior users were provided in Article 801 of the Civil Code.  According to Article 802 of 
the Civil Code and Section 51 of Decree No. 63/CP, compulsory licensing could only be applied (i) for reason of non-use or improper use; (ii) if the propo sed user had failed to reach an agreement with the 
owner on reasonable commercial term s and conditions; or (iii) for reasons of national defense and 
security, the prevention and treatment of diseases or other needs of the society.  The transferee of an 
industrial design by compulsory licensing was required to pay royalties to the owner.  Viet Nam's laws 
and regulations were, in hi s view, in compliance with Article 26.2 of the TRIPS Agreement. He added 
that provisions on compulsory licensing had been amended by Decree No. 06/2001/ND-CP of 
1 February 2001 to be brought into conformity  with Article 31 of the TRIPS Agreement. 
(e) Patents   
319. The representative of Viet Nam said that inve ntions (involving novelty, inventive step and 
industrial applicability) were protected in accordan ce with Article 782 of the Civil Code.  Patent 
applications were subject to examination as to fo rm and substance.  The time-limit for formality  WT/ACC/SPEC/VNM/5 
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  examination was one month and 12 mo nths for substantive examination as stipulated in Sections 16.1 
and 30.1 of Circular No. 30/TT-BKHCN.  By 31 December 2003, 4,021 invention patents had been 
granted, and the National Office of I ndustrial Property had a staff of 148. 
320. Subject matter excluded from protection fell with in three main categories, i.e. (i) those not 
considered as inventions, including scientific ideas, principles and discoveries, theories and mathematical methods; aesthetic creations; economi c management methods and systems; educational, 
teaching, training methods and systems; comput er programs; designs a nd planning schemes for 
construction works; projects for regional development and planning; (ii) subjec t matter which should be 
protected under other forms of protecti on than patents, e.g. layout desi gn of integrated circuits, or plant 
and animal varieties; and (iii) th ose not industrially applicable such  as methods for the prevention, 
diagnose, and treatment of human or  animal diseases, esse ntially biological proc esses for the production 
of plants or animals other than non-biological and microbiological pr ocesses (Section 4( 4) of Decree 
No. 63/CP as amended by Decree No. 06/2001/ ND-CP of 1 February 2001).  Pharmaceutical pr oducts 
and processes to manufacture pharmaceutical products were protectable under Vietnamese law as they did not fall under the list of the objects excluded from protection under Section 4(4) of Decree 
No. 63/CP.  Responding to a Member, who consider ed Viet Nam's exclusions from protection far 
exceeded the exceptions permitted under Article 27.3 of the TRIPS Ag reement, the representative of 
Viet Nam said that the exclusions in Section 4(4) of  Decree 63/CP were essent ially equivalent to those 
of the European Patent Convention and did not, in his view, go well beyond the provisions of Article 
27.3 of the TRIPS Agreement.  Inve ntions could also be excluded from patentability for reasons of 
public order and morality in accordance with Articl e 787 of the Civil Code.  This provision applied 
irrespective of whether the commercial exploitation of such inventions was prohibited by law.   
321. The owner of the invention (patent) had the ex clusive right to use, transfer, and license the 
right to use the invention to other persons.  He  had the right to demand that other persons stop 
infringements, and he could seek compensation for damages caused by acts of infringement.  The 
term of a Patent for Invention began on the grant date and expired at the end of 20 years counting 
from the official filing date according to Section 9 of Decree No. 63/CP and was, in his view, in compliance with Article 33 TRIPS Agreement.  He a dded that utility solutions, which did not require 
protection under the TRIPS Agreement, were protected in Viet Nam.  Any technical solution 
possessing world-wide novelty with industrial appli cability in any economic or social area could be 
protected by a utility solution patent valid for ten years. 
322. The owner of an invention was obliged to use the invention (or transfer the right of use) 
in conformity with the requirements of soci o-economic development of  Viet Nam, and pay WT/ACC/SPEC/VNM/5 
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  remuneration to the author of the invention if the ow ner was not the same as the author.  The rights to a 
patent (invention) could be  restricted by provisions on prior use right (Article 801 of the Civil Code) and 
compulsory licensing (Article 802 of the Civil Code).  The transferee of an invention by compulsory 
licensing was required to pay royalty to the owner.  Compulsory licensing coul d only be applied (i) for 
reason of non-use or improper use; (ii) if the propo sed user had failed to reach an agreement with the 
owner on reasonable comm ercial terms and conditions to no avail w ithin a reasonable period of time; or 
(iii) for reasons of national defense and security, the prevention and treatment of diseases or other urgent 
needs of the society.  He confirmed that importati on would satisfy the "use" requirement stipulated in 
Viet Nam's legislation.   
323. Conditions and procedures for granting non-voluntar y licences were laid down in Section 51 of 
Decree No. 63/CP, as amended and supplemented  by Decree No. 06/2001/ND-CP of 1 February 2001.  
Pursuant to Section 51, compulso ry licences could be granted only upon the expiration of a four year 
period after the filing of an application for a Protecti on Title or three years after a Protection Title had 
been granted.  The patent owner was entitled to re quest the termination of the use of a non-voluntary 
licence if the circumstances which led to it had ceased or were unlikely to recur, provided such 
termination would not prejudice the grantee of the non-voluntary licence.  The Ministry of Science and 
Technology was responsible for granting and suspendi ng non-voluntary licences.  The Ministry notified 
the patent owner within 15 days upon receipt of a request for a compulsory licence, and the owner then 
had 30 days to give his opinion.  The Ministry could request the parties to renegotiate with a view to 
agreeing to a voluntary contractual licence, but if no agreement could be reached the Ministry had three 
months to issue a decision.  Th e decision to grant a non-voluntary licence had to published in the 
Official Gazette on Industrial Prop erty within one month from the date  of issuance of the licence.  
Specific conditions, corresponding to the provisions of Ar ticle 31 paragraphs (c), (d ), (e), and (h), were 
attached to the licence and the right holder had one month to comply with the conditions.  The patent 
owner and the transferee could appeal against the Mi nistry's decision to the Minister of Science and 
Technology and, in last instance, to the Prime Minist er or initiate an administrative court case.   
324. Compulsory licences for an invention could only be granted under the circumstances prescribed 
in Article 802 of the Civil Code.  He noted that no compulsory licence has been granted in Viet Nam 
thus far.  Although the conditions prescribed in Articles 31(f), (k) and (l) of the TRIPS Agreement 
were not provided for expressly in legal documents , Viet Nam would comply with the requirements 
during the application of provisions on the granting of compulsory licenses.  Section 51 of Decree No. 63/CP of 24 October 1996 would be amended to include provis ions on conditions for granting 
compulsory licences in compliance with Articles 31 (f), (k), and (l) of the TRIPS Agreement.    WT/ACC/SPEC/VNM/5 
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  325. The patentee's right to assign or inherit his patent and to conclude a licence contract 
(Article 28.2 of the TRIPS Agreement) was ensu red by Article 796 of the Civil Code, section 1, 
item b and section 2.  The assignment or licensing of a patented invention was subject to certain 
restrictions permitted by Articles 30 and 40 of the TRIPS Agreement.  The approval procedure of the 
Ministry of Science, Technology and Environment applicable to licensing and assignment contracts 
provided for in Decree No. 63/CP had been abo lished through Decree No. 06/2001/ND-CP.  In 
response to concerns expressed by a Member ab out limitations on royalty payments applied by 
Viet Nam, the representative of Viet Nam said that  the abolition of ceilings on royalty payments for 
intellectual property rights had been included in a draft amendment to Decree No. 45/1998/ND-CP on Technology Transfer, to be promulgated in 2004.   
326. In exceptional cases, the use of a protected inve ntion would not be considered infringement, 
i.e. use for non-commercial purposes; distribution,  circulation and use of products having been 
marketed by the owners, prior users or persons to whom  the right of use had been transferred; or when 
use of the invention took place on foreign means of tr ansportation in transit or temporarily staying in 
the territory of Viet Nam and such use was aimed so lely at maintaining the operation of such means. 
327. Procedures for the termination and invalidation of invention patents were regulated by the 
provisions of Section 27 of Decree No. 63/CP as well as by the Ordinance on the settlement of administrative cases.  There were two routes to appeal against decisions of the National Office of Intellectual Property, and as which route to choose w as up to the interested parties, "an opportunity 
for judicial review", i.e. by the Administrative C ourt, was fully ensured.  In case a rightful appellant 
appealed to the Ministry of Science and Technolog y, it would be understood that he would not take 
advantage of the opportunity for judicial review, as the Minister's decision would be final.  He considered Viet Nam to be in full complian ce with Article 32 of the TRIPS Agreement.  
328. Asked about procedures for patent applications in respect of micro-organisms, he said that the 
Ministry of Science and Technology had pr omulgated Circular No. 30/2003/TT-BKHCN of 
5 November 2003 containing provis ions on patent applications for micro-organisms and the 
examination thereof.   
329. Concerning the reversal of the burden of proof in patent infringement actions, he said that 
provisions shifting the burden of proof from the plaint iff to the defendant had been included in the Joint 
Circular of the Supreme People's Court, the Supr eme People's Prosecution Institute and the Ministry 
of Science and Technology guiding the judgement of cases relating to industrial property rights.  He 
expected the the Joint Circular to be promulgated in late 2004.   WT/ACC/SPEC/VNM/5 
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  (f) Plant variety protection 
330. The representative of Viet Na m said that Decree No. 31/CP on Innovations and Inventions, 
Inter-ministerial Circular No. 01/NN-KCM on the Rem uneration to the Authors of Plant Varieties and 
Animal Species, and Decree No. 07/ND-CP of 1996 on  the Management of Plant Varieties constituted 
the legal basis for the protection of plant varieties.  A plant variety needed to be novel, stable, uniform 
and useful to obtain protection, and only the creator  of a plant variety was entitled to be registered 
with the Ministry of Science, Technology and Environment for author's rights.  Authors were 
protected by a system of Plant Variety Author Certifi cates, valid for 15 years from the date of filing of 
the application.  Apart from moral rights, the author of a protected plant variety had the right to remuneration paid by the users.  The exclusiv e right over the plant variety belonged to the 
Government. 
331. Having studied the compliance of its laws and re gulations on the protection of plant varieties 
with the requirements of the TRIPS Agreement,  his Government had decided to promulgate 
provisions on the protection of new plant varie ties in accordance with UPOV standards.  His 
Government had issued Decree No. 13/2001/ND-CP on the protection of new plant varieties on 
20 April 2001.  The Government Decree had been  supplemented by Circular No. 119/2001/TT-BNN 
of the Ministry of Agriculture and Rural Development.  These provisions, as well as recommendations of the UPOV Council, had been incor porated into the Ordinance on Plant Varieties, 
issued by the National Assembly on 24 March 2004.  The Ordinance had a higher legal effect than the 
earlier Government Decree.   
(g) Layout designs of integrated circuits 
332. The representative of Viet Nam said that  his Government had promulgated Decree 
No. 42/2003/ND-CP on Protection of Industrial Prope rty Rights in respect of Layout Designs of 
Semiconductor Integrated Circuits on 2 May 2003.  The Ministry of Science and Technology had also 
drafted a Circular guiding the implementation of the Decree for promulgation in 2004.  The Decree 
offered the same protection to "discrete" layout design as to other layout designs.   
333. Asked about intentions to join to the Treaty on  Intellectual Property in Respect of Integrated 
Circuits, he said that Viet Nam had not yet taken a decision on accession to the IPIC Treaty.  
Viet Nam believed that such accession would not be  necessary, because the standards provided for in 
the TRIPS Agreement were almost equivalent to or  higher than those of the Treaty, and the WTO had 
far more members than the IPIC Treaty.  WT/ACC/SPEC/VNM/5 
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  (h) Requirements on undisclosed information,  including trade secrets and test data 
334. The representative of Viet Nam said that Government Decree No. 54/2000/ND-CP of 
3 October 2000, in particular Articles 6-9 and 18 , provided protection for business secrets, including 
trade secrets and test data.  Business secrets would be protected as long as they satisfied fully all prescribed conditions without being required fo r registration.  As provided for in Decree 
No. 54/2000/ND-CP, owners of business secrets had the right to demand injunctions from the State 
competent authorities to stop infringements and to claim damages (Article 21).  The protection of 
undisclosed test or other data submitted as a c ondition for approving the marketing of pharmaceutical 
or agricultural chemical products was addressed in  Article 18.4 of Decree No. 54/2000/ND-CP, and 
the authorities concerned – the Office of Pharmaceuti cal Administration under the Ministry of Public 
Health and the Office of Plant Protection under the Ministry of Agriculture and Rural Development – 
were required to keep test data secret in accord ance with regulations on data protection by State 
agencies as long as the data would satisfy the criteria for the protection of undisclosed information.   
335. Some Members were of the opinion that Artic le 18.4 of Decree No. 54/2000/ND-CP did not 
specify how Viet Nam's Government itself would protect pharmaceutical or agricultural chemical test 
data provided to it for marketing approval purposes.  The representative of Viet Nam replied that the 
competent authorities were required to ensure the secrecy of test data submitted under the secret- 
keeping rules of the administrative authorities.  St aff of competent authorities were not allowed to 
disclose or provide any information or documents submitted for marketing approval purposes to third 
parties, except to other competent authorities at their request and with written permission of their 
heads.  Moreover, the State authority was not a llowed to rely on test data submitted by one 
manufacturer to approve the products of another ma nufacturer.  He added that his Government had 
drafted a Circular guiding the implementation of Decree No. 54/2000/ND-CP of 3 October 2000, 
which provided for protection of undisclosed test s and data submitted for marketing approval of 
pharmaceutical and agricultural chemical products and included the principles of non-disclosure and 
non-reliance.  The draft Circular was expect ed to be promulgated in late 2004.   
3. Measures to control abuse of intellectual property rights 
336. The representative of Viet Nam said that violations of the regulations or procedures 
establishing a right in relation to an object of indus trial property could lead to the annulment of the 
granted protection certificate.  Non-performance of the owner's obligations such as failure to pay 
maintenance fees or remuneration to the author, or us e or transfer of an objec t already protected could 
result in annulment of the protection certificate or the competent authority could decide to compel the 
owner of the protection certificate to fulfil hi s/her obligations as stipulated by law. WT/ACC/SPEC/VNM/5 
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  337. He added that legal provisions ha d been promulgated to enable Viet Nam to take appropriate 
measures to prevent or control anti-competitive prac tices in contractual licences.  Section 17.4 of 
Circular No. 3055/TT-SHCN stipulated restrictions on the contractual licensing of industrial property 
between the right owners and the licensees (industrial property licensing contracts), applicable to both 
Vietnamese and foreigners. 
338. While acknowledging that Article 8 of the TR IPS Agreement allowed appropriate measures 
to prevent the abuse of intellectual property rights, unreasonable restraints on trade, or adverse effects 
on the international transfer of technology, some  Members noted that Viet Nam had established a 
system of controlling technology transfer ag reements in Circular No. 3055/TT-SHCN and 
Articles 32-37 of Government Decree No. 45/1998/ND- CP of 7 January 1998 which might slow the 
transfer of technology to Viet Nam, while the li nk to any abuse of intellectual property rights was 
unclear.  The system introduced limitations on the duration of royalty payments for patents and know-
how, and capped royalty payments for trademark licences.  A Member requested Viet Nam to set terms for technology transfer agreements that woul d reflect the minimum term for the duration of a 
patent stipulated in Article 33 of the TRIPS Agreement.   
339. The representative of Viet Nam replied that th e duration of technology transfer agreements 
were agreed among the related parties, in which th e time period for royalty payments for intellectual 
property rights should be within the relevant prot ection term.  The abolition of ceilings on royalty 
payments for intellectual property rights had been  introduced in the draft amendment to Decree 
No. 45/1998/ND-CP on Technology Transfer, to be promulgated in 2004.   
4. Enforcement 
(a) Civil judicial procedures and remedies   
340. The representative of Viet Nam said that Peopl e's Courts (Civil Court), at provincial and 
higher level, had the authority of jurisdiction ove r disputes or infringement relating to industrial 
property rights.  The People's Court could adjudicate cases with respect to claims of abuse of industrial 
property rights, disputes concerning royalty or remuneration, claims on application right and the right of 
authorship, and disputes relating to contracts concerning transfer of owne rship right or licensing contract 
for the right to use objects of industrial property.  Lodging a claim or bringing a suit before the Court, 
the plaintiff or his/her lawful representative woul d need to provide evidence of his/her industrial 
property right as well as evidence of infringement of the rights.  The defendant had the right to refute the evidence and arguments of the plaintiff before the Court.  The Court had the right, upon request of either party or on its own initiative, to demand furt her evidence or documentation and, if necessary, to  WT/ACC/SPEC/VNM/5 
 Page 115 
 
 
  collect evidence itself (Articles 85 and 94 of th e 2004 Civil Procedure Code).  The persons or 
institutions requested to provide evidence had 15 da ys to present such evidence.  Concerned parties 
could appeal the Court's collection of evidence to  the People's Prosecutor, which could request the 
Court to verify and collect evidence according to th e concerned parties' request.  All Court decisions 
were provided in written form to the concerned pa rties and the People's Prosecutor within 10 days 
(Article 241 of the Civil Procedure Code).  De tailed provisions on the procedures for providing the 
necessary evidence would be promulgated in a join t Circular of the Supreme People's Court, the 
Supreme People's Prosecution Institute and the Mi nistry of Science and Technology after the 
promulgation of the Civil Procedures Code in 2004.  Procedures existed for amicable settlement of disputes over royalty, remuneration, licensing contr acts and contracts to transfer ownership rights. 
341. The Court could rule that the act of infringement  be stopped, recognize the legitimate rights to 
objects of industrial property, request that the competent State authorities undertake procedures for 
the purpose of acquisition of rights, and award damages.  The compensation amount was determined based on the "actual material damage" or profit obtai ned illegally by the infringing party, and "mental 
damages".  The calculation of "actual material da mages" took into account property losses, costs of 
preventing or minimizing the damages, and lost inco me (Article 310.2 of the Civil Code).  "Mental 
damages" related to damages to the life, health, honour , dignity and prestige of the victim (Article 310.3 
of the Civil Code).  Detailed provisions on compensa tion of right holders would be included in the draft 
Regulation on Civil Remedies, expected to be promul gated in 2004.  People's Courts could order that 
provisional measures be applied.  The Court would decide upon the apportioning of legal costs based on 
the rights and faults of the parties concerned.  The parties could appeal decisions of the first instance 
civil judgment and request a hearing at higher instance.   
342. He added that detailed provisions concerning in demnification of the defendant in the case of 
abuse of civil enforcement procedures by the compla inant would be stipulated  in the Civil Procedure 
Code and in joint Circulars of the Supreme People' s Court, the Supreme People's Prosecution Institute 
and the Ministry of Science and Tec hnology.  He noted that the intellectual property right owner, when 
requesting the suspension of customs procedures, was re quired to deposit an amount  equal to 20 per cent 
of the value of the goods at the State Treasury or, in case of unknown value of the good, a sum of at 
least VND 20 million, or provide a guarantee ensuring compensation to  the owner of the goods (Article 
14.1.b of Decree No. 101/2001/ND-CP of 31 December  2001 and Paragraph 1.2.3. 1. of Joint Circular 
No. 58/2003/TTLT-BVHTT-BTC).  In  the case of a request for l ong-term protection, the deposit 
amounted to at least VND 50 million or a guarantee en suring the payment of all expenses and damages 
that could arise had to be provided.   In response to a Member who not ed that the requirement to deposit 
20 per cent of the value of the good could place an unreasonable burden on effective border enforcement WT/ACC/SPEC/VNM/5 
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  and enquired about the alternative gua rantee, the representative of Viet  Nam said the guarantee should 
cover all the expenses and damages that could arise from the temporary suspension of customs clearance 
procedures. 
343. Referring to Article 41.2 of the TRIPS Agreemen t, a Member asked Viet Nam to extend the 
period to file a suit for the settlement of an econo mic dispute involving infringement of intellectual 
property rights to minimum three years in order to pr ovide sufficient protection.  The representative of 
Viet Nam replied that Article 159.3 of the 2004 Civil Procedure Code, enacted on 15 June 2004, 
provided for a two-year period for filing suits for the settlement of civil disputes, including those 
involving infringement of intellectual property right s, except otherwise provided by laws.  The Code 
would enter into force on 1 January 2005. 
(b) Provisional measures 
344. The representative of Viet Nam said that the Courts having authorit y of jurisdiction over 
violations and disputes in relation to industrial pr operty rights could decide on the application of 
provisional measures.  Detailed provisions were  laid down in the Ordinance on procedures for 
judgement of civil cases of 1989.  The competent State bodies could also impose temporary 
administrative measures.  Provisional measures included the search and detention of material evidence 
or the facilities of infringement; compelling the infr inging party to stop the infringement; confiscation of 
infringed goods; and temporary seizure of goods fo r the purpose of ensuring proper compensation.  
Provisional measures could be lifted when no longer considered ne cessary by the imposing authority.   
345. The Court could order provisional measures to be taken on its own initiative or at the request of 
the Prosecution Institute or the parties concerned.  Having heard the opinion of the parties, the Court could take an immediate decision which would also be effective immediately.   The decision could be 
appealed by either party, in whic h case the Prosecution Institute woul d have the right to make a proposal 
to Court or to the Chief of Justice, who was requi red to respond within three days.  Further detailed 
provisions on provisional m easures would be promulgated in the Ci vil Procedures Code or in a joint 
Circular of the Supreme People's Court, the Supr eme People's Prosecution Institute and the Ministry 
of Science and Technology. 
(c) Administrative procedures and remedies 
346. The representative of Viet Nam said that Viet Nam had no special agency for the enforcement 
of Intellectual Property Rights.  The competent bodies which could take administrative action in relation to violation of intellectual property rights were the market control organizations of the trade  WT/ACC/SPEC/VNM/5 
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  administration, customs offices, specialized inspection authorities such as the Culture and Information 
Inspection, the Science and Technology Inspection, the Economic Police, and th e People's Committees 
at various levels.  A radical reform of the industr ial property enforcement sy stem was being envisaged 
under a Decree amending Decree No. 12/1999/ND-CP, to be promulgated before the end of 2004, 
whereby the administrative enforcement system would have a focal point to receive complaints and to coordinate other bodies in the system.   
347. Administrative measures a nd remedies were regulated  by Government Decree 
No. 12/1999/ND-CP of 6 March 1999 on administrative m easures against violations in the field of 
industrial property, Circular No . 825/2000/TT-BKHCNMT of 3 May 2000 of the Ministry of Science, 
Technology and Environment as amended and suppl emented by Circular No. 49/2001/TT-BKHCNMT 
of 14 September 2001, Ordinance No. 44/2002/PL-U BTVQH10 of 2 July 2002 of the Standing 
Committee of the National Assembly on handling ad ministrative violations, and Government Decree 
No. 31/2001/ND-CP of 26 June 2001 on administrative m easures against violations in the field of 
culture and information.  Any natural or legal pe rson, including non-resident foreigners or foreign 
legal entities without a representation in Viet Na m, had the right and obligation to denounce a 
violation by informing the competent authorities in writing or by other means.  Further provisions on 
closed procedures for judgement and measures to protect undisclosed information would be provided 
in a joint Circular of the Supreme People's Court,  the Supreme People's Prosecution Institute and the 
Ministry of Science and Technology, to be issued thereafter. 
348. Administrative measures included the issu e of warnings or monetary fines up to 
100 million Dong (about US$6,700); the obligation to remove infringing elements from goods and 
instruments; seizure of material evidence or the faci lities of infringement; dest ruction of infringement 
articles and counterfeits and relate d materials (such as product labels  and packaging); and revocation of 
business licences and professi onal licences (with or without time-limit).  The imposition of a 
compensation - up to 1 million Dong - for admini strative damages had been abolished in 2002.  
Compensation for damages was now conducted only under civil procedures.  The procedures to be followed in the confiscation and subseq uent treatment of material evidence were laid down in Articles 
18 and 19 of Decree No.12/1999/ND-CP.  Detailed pr ovisions on additional administrative remedies 
would be elaborated in the Decree amending D ecree No. 12/1999/ND-CP.  Customs procedures for 
imports and exports could be su spended to protect intellectual property rights in accordance with 
Articles 57, 58, 59 of the Customs Law of 29 June 2001 and Decree No.101/2001/ND-CP of 31 December 2001.   WT/ACC/SPEC/VNM/5 
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  349. Decisions to impose an administ rative penalty were issued in writing within ten days following 
the reporting of the violation, or 30 days in complicated cases.  Appeals procedures were regulated 
according to the 1995 Ordinance on procedures for judgement of administrative cases, as amended and 
supplemented by the Appeal and De nounce Law of 1998.  Administrati ve decisions could be appealed 
by either party, first to the authority having issued the decision and subsequently either to the administrative court or to a superior administrative body.  If the latter option was chosen, the decision of 
the superior administrative body would be final a nd could not be challenged before a court.   
350. In his view, administrative procedures were speed y, simple, inexpensive,  and equitable, and 
right owners relied heavily on the administrative au thorities, especially the ma rket control agencies.  
The injunctions were powerful enough to prevent further infringement as most infringements were 
minor and unintentional.  The combination of administrative procedures and remedies and 
compensation under civil procedures pr ovided, in his view, the deterrent effect foreseen in Article 41 of 
the TRIPS Agreement and the indemnification of the de fendant stipulated in Article 48.  However, the 
administrative system would be further strengthene d.  In particular, the scope of application of 
administrative remedies would be limited and emphasis would be shifted to civil remedies, 
administrative procedures would be further elaborated, the principle of administrative fines exceeding 
the benefit gained from infringement would be esta blished, the functions of enforcement authorities 
would be more clearly defined to  avoid overlapping and cumbersome  procedures, and a coordinating 
authority would be established. 
351. Asked about the allocation of staff to fight IPR crime and plans, if any, to create and/or 
designate specialized staff or  units, he said that Viet Nam entruste d this task to general law enforcement 
agencies and had no officials specialized in this area.  No particular incentives were available to these officials to encourage investigation a nd prosecution of IPR infringements.   
(d) Special border measures 
352. The representative of Viet Nam said that Cust oms Departments had the authority to detain 
imported or exported goods temporarily upon request of  the right holder.  Pursuant to Article 14 of 
Decree No. 101/2001/ND-CP of 31 December 2001, request s for temporary detention of goods had to 
be filed with the Head of the customs Sub-depa rtment where the goods were imported or exported, 
accompanied by evidence to substantiate lawful ownership right and use right to the object, and 
evidence testifying the infringement.  The right ho lder would also be required to deposit an amount 
equal to 20 per cent of the contractual value of the goods or provide a guarantee ensuring 
compensation in case of a wrongful request.  Decisi ons to suspend the release of goods from customs 
were issued by the Chief of th e Customs Bureau pursuant to Article 14 of Decree No. 101/2001/ND- WT/ACC/SPEC/VNM/5 
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  CP of 31 December 2001, and the parties concerned would be notified accordingly.  Goods could be 
suspended from release for ten days from the date the decision was issued, and an additional ten days 
in certain circumstances.  Evidence of infringement  would need to be produced during this period.  
The owner of the seized goods would also be given an opportunity to provide evidence or 
justifications relating to the indus trial property right of the detained goods.  The Customs office would 
take a decision to release or prohibit circulation of  the goods in consultation w ith the State management 
bodies for Intellectual Property (the  National Office of Intellectual Pr operty and the Copyright Office).  
He added that Joint Circular No. 58/2002/TTLT-B VHTT-BTC of 17 October 2003 contained detailed 
provisions on the implementation of  border control measures for copy right.  Specific provisions on the 
implementation of border cont rol measures concerning industrial prope rty has also been included in the 
draft Joint Circular of the Minist ry of Finance and Ministry of Science and Technology, which was 
expected to be promulgated in 2004. 
353. In response to specific questions, he added th at Viet Nam's legislation did not provide 
customs offices the right to suspend the release of goods ex officio, and detailed provisions allowing 
right holders or importers to inspect the detained  goods to reinforce their claims had yet to be 
elaborated.  However the draft Joint Circular of th e Ministry of Finance and Ministry of Science and 
Technology, expected to be promulgated in 2004, w ould provide customs authorities with the right to 
check, detect, and suspend customs clearance of c ounterfeit trademark goods at their own initiative.  
The exemption for de minimis imports allowed under Article 60 of the TRIPS Agreement was 
addressed in Article 760 of the Civil Code whic h referred to "usage for non-business purposes that 
does not conflict with the normal exploitation of the works and does not unreasonably prejudice the 
legitimate interests of the author" as not being co nsidered infringement of copyright.  Provisions 
covering goods imported or expor ted for non-commercial purposes, goods exempted under diplomatic 
procedures, gifts, souvenirs, persona l luggage etc. would be elaborated further in a joint Circular of 
the Ministry of Finance and the Ministry of Science and Technology on border enforcement of 
industrial property rights.  The joint Circular woul d be submitted for promulgation before the end of 
2004.   
(e) Criminal procedures  
354. The representative of Viet Nam said that the Criminal Code of 1999 included provisions on 
copyright infringement (Article 131), production and trade in counter feits (Article 156), deceptive 
practices (Article 162), false advert ising (Article 168), and infringemen t of industrial property rights 
(Article 171).  Any person misappropriating copy rights, wrongfully assuming  an author's name, or 
illegally amending, publishing or di sseminating copyrighted works wa s subject to a fine of 20 to WT/ACC/SPEC/VNM/5 
Page 120  
 
  200 million Dong or non-custodial probation of up to  two years (Article 131).  Infringements of 
organized character or carrying very serious conseq uences, and repeated offe nce were punishable by 
imprisonment from six months to three years.  Offe nders also risked fines from 10 to 100 million Dong 
and being banned from holding certain positions or practising certain professions during one to 
five years.  Persons manufacturi ng or trading counterfeits valued  up to 150 million Dong risked six 
months to five years imprisonment, or three to ten years for organized or professional counterfeiting, 
recidivism, abuse of position, abuse of names of  organizations, counterfeit s priced between 150 to 
500 million Dong, large illicit profits, and acts resulting in very serious consequences (Article 156).  In 
case of counterfeited value exceeding 500 million Do ng, very large illicit profits and extremely serious 
consequences, the penalty would be increased to seve n to 15 years imprisonment .  Offenders would also 
face a fine of 5 to 50 million Dong, possible co nfiscation of property, interdiction to hold certain 
positions and practise certain professions during one to five years.  Any person causing losses to 
customers due to fraudulent behaviour could receive a warning or a fine of 5 to 50 million Dong, and be 
liable to non-custodial probation for up to three year s or imprisonment ranging from three months to 
three years (Article 162).  Repeat ed offence or large illegal gains we re punishable by seven to 15 years 
imprisonment.  Offenders could also be fined 3 to 30 million Dong.  Persons fa lsely advertising goods or 
services were subject to a fine  ranging from 10 to 100 million Dong, non-custodial probation for up to 
three years or imprisonment of six months up to three ye ars (Article 168).  They also risked a fine of 5 to 
50 million Dong and an interdiction to practise certain professions during one to five years.  According 
to Article 171, infringements of industrial property ri ghts constituting criminal acts would be subject to a 
fine of 20 to 200 million Dong or non-custodial probatio n of up to two years.  Violations of organized 
character or carrying very serious consequences, and repeated infringemen ts, were punishable by 
six months to three years imprisonment.  Offenders also risked a fine of 10 to 100 million Dong and an 
interdiction to hold certain posts and practise certain professions during one to five years.  He 
considered these provisions effective deterrents and in compliance with Article 61 of the TRIPS 
Agreement.  He confirmed that crim inal intellectual property enforcemen t officials were entitled to take 
ex-officio actions against criminal  infringement of intellectual prope rty rights.  In 2002, one person had 
been convicted to a prison sentence under the provi sions of Article 171 of the 1999 Criminal Code. 
355. Some members considered the application of  death penalty for se rious counterfeiting of 
trademarks unacceptable and reques ted Viet Nam to eliminate this provision as soon as possible.  A 
Member also noted that the criminal remedies against infringements of organized character or carrying out very serious consequences appeared to be stricter than the standards set by the TRIPS Agreement.  This Member was of the view that criminal pros ecution should be available when commercial intent 
could be proven and asked Viet Nam to clarify th e meaning of "organized character" and "serious 
consequences".  The representative of Viet Nam replied that the Crim inal Code of 1999 only authorized  WT/ACC/SPEC/VNM/5 
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  death penalty for production and trade in counterfei ted foodstuff, medicines and prophylactics having 
extremely serious consequences.  He considered thes e provisions necessary to protect public health and 
nutrition, and consistent with the principle provided for in Article 8.1 of the TRIPS Agreement.  
Concerning criminal remedies against infringements of  "organized character" or "causing very serious 
consequences", he noted that the commercial objecti ve of an infringement act was one of the factors 
constituting a crime pursuant to Articles 156, 157, 158, and 171 of  the 1999 Criminal Code.  An 
infringement of organized character had an intentio nal nature, not an infringement causing serious 
consequences. 
356. Asked about the relationship between administra tive penalties and criminal enforcement, the 
representative of Viet Nam said that any infringement of copyright and industrial property rights dealt 
with administratively and subsequently repeated would be considered a crime in accordance with 
Articles 131 and 171 of the Crimin al Code of 1999.  Administrative remedies thus served as a 
deterrent tool and, in the event of non-complianc e with administrative penalties, compelling measures 
could be taken pursuant to Article 64 of the 2002 Ordinance on the handling of administrative 
measures against violations.  The Criminal Code did not contain provisions providing for criminal 
penalties in case of violation of an administrative orde r, except in the event of recidivism as stipulated 
in Articles 131 and 171.  He added that the 2002 Ordinance provided for the immediate transfer of administrative cases including a criminal element to the competent criminal authorities and, in the event an administrative decision ha ving already been issued, the nullificati on of that decision and the transfer 
of the case within three days, unless the time-limit  for criminal prosecution had expired (Articles 62.1 
and 62.2).  Evidence collected during an administrative procedure could be used by the civil court if 
necessary in accordance with Article 3 of the Ordi nance on procedures for handling civil cases of 1989. 
357. A Member urged Viet Nam to implement the TRIPS Agreement upon accession without 
recourse to a transitional period, stressing the importance of establishi ng appropriate laws and 
regulations, and adequate enforcem ent mechanisms.  Some  Members noted that although Viet Nam had 
implemented many intellectual property laws, Viet Nam also needed adequate enforcement mechanisms and sanctions to ensure protection of intellectual property rights, including civil procedures allowing 
plaintiffs to bring forward actions regarding in fringement, enforcement by the police, and border 
measures by the customs authorities.   
358. In reply, the representative of Viet Nam referred to the Action Plan on the Implementation of 
TRIPS Agreement provided in document WT /ACC/VNM/21, and re vised in documents 
WT/ACC/VNM/21/Rev.1 and Rev.2.  He emphasized that his Government would endeavour to WT/ACC/SPEC/VNM/5 
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  complete its intellectual property re gulations, in particular those relate d to dispute settlement, remedies, 
and border measures, and strength en enforcement mechanisms.   
359. [The representative of Viet Na m confirmed that his Government would apply [fully] all the 
provisions of the Agreement on Trade-Related Aspect s of Intellectual Property Rights from the date 
of accession to the WTO, without recourse to any tran sitional period.  The Working Party took note of 
this commitment.] 
POLICIES AFFECTING TRADE IN SERVICES 
360. The representative of Viet Nam said that most se rvices sectors were still in the early stages of 
development in Viet Nam.  According to the Gene ral Statistical Office, services had accounted for 
42.5 per cent of Viet Nam's GDP in 1995.   
361. The main Ministries and agencies involved in the regulation of services activities were the 
Ministries of Agriculture and Rural Development; Tr ade; Planning and Investment; Transportation; 
Information and Culture; Finance; Construction;  Science, Technology and Environment; Labour, War 
Invalids and Social Affairs; and Industry; the Stat e Bank; the Ministry of Posts and Telematics; the 
General Department of Tourism; the Directorate for Standards and Quality; the Broadcasting and 
Television Authorities; and the Cinematography Office.  In addition to governmental agencies, 
provincial level people's committees we re also authorized to administer local services industries in 
conformity with the national legal system.  Information on the existing regime in the area of services in the format of document WT/ACC/5 was provided in document WT/ACC/VNM/5 of 24 August 1998. 
362. Concerning professional services, he said that foreign law firms could be present in Viet Nam 
in the form of a branch (maximum two branches).  Pursuant to Government Decree No. 92/1998/ND-CP of 10 November 1998 on legal cons ultancy of foreign lawyers in Viet Nam, 
minimum five years of experience in legal consulta ncy was required for the heads of foreign law firm 
branches in Viet Nam.  The experience could be  obtained in any country.  Foreign lawyers in 
Viet Nam were not allowed to advise on Vietna mese laws, and were only permitted to advise on 
foreign and international law in the areas of busin ess, investment, and commerce.  Foreign law firms 
could enter into legal consulting cooperation cont racts with Vietnamese legal services suppliers to 
receive advice on Vietnamese laws.  Foreign auditing firms could operate in Viet Nam in the form of 
a joint-venture with a Vietnamese auditing firm.  Wholly foreign-owned auditing firms had to be 
licensed as provided for in the Foreign Investment La w and other related legal acts.  Advertising was 
a new activity in Viet Nam, and the ma rket would be liberalized gradually.  WT/ACC/SPEC/VNM/5 
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  363. Engineers and architects had to be certified  in accordance with the Regulation on Granting 
Certificate for Design Practice of Construction Work.  Renewable certificates valid for five years 
were delivered by the Construction Department s of cities and provinces.  The Ministry of 
Construction was responsible for supervising the granting of certificates.  Works covered by the 
Regulation included general layout design, architectural  design, exterior and interior design, structural 
design, electrical and mechanical design, as well as design relating to water supply and sewage, 
energy supply, ventilation and air conditioning, co mmunications, and fire protection.  Engineering 
and architectural services providers  were required to hold a Bachelor  or higher degree, have minimum 
three years experience in the design of construction works, and have participated in the design of 
minimum 3 projects within a list of registered design works.   
364. The Ordinance on Posts and Telecommunications had been enacted in October 2002, being 
the highest legal normative document passed by th e Standing Committee of the National Assembly.  
The Ordinance governed the regulatory, op erational and business activities in posts, 
telecommunications and radio fre quency management, created an important legal framework for 
market liberalization, and a level playing field for co mpetitors.  Together with this Ordinance, several 
governmental decrees, Ministerial circulars and deci sions had been promulga ted on interconnection, 
tariffs and pricing, frequency and numbering, in spection, the settlement of disputes, and illegal 
services.  Long-term development plans and stra tegies had been approved and published.  The 
regulatory and business environment had been improved to become more transparent, predictable and 
pro-competitive.   
365. The organization and operation of credit ins titutions and the banking activities of other 
organizations were governed by the Law on Credit In stitutions and some othe r legal documents.  The 
State Bank of Viet Nam had issued regulations to guide the implementation of the Law on Credit 
Institutions.  The Law specified the licensing re quirements for the establishment and operation of 
credit institutions in Viet Nam.  The process in cluded an economic needs test.  Foreign credit 
institutions could operate in Viet Nam in the form  of a representative offi ce, a bank branch, a joint-
venture bank, a joint-venture finance company, or a wholly owned foreign finance company, a joint venture financial leasing company, or a wholly owned financial leasing company.  Pursuant to 
Article 32 of the Law on Credit Institutions, cr edit institutions were permitted to establish 
subsidiaries.  However, up to now, only State owned commercial banks, jo int-venture banks and 
shareholding commercial banks had been allowed to establish subsidiaries.  Operating licences for 
representative offices were valid for five years, 20 years for branches of foreign banks, 30 years for 
joint-venture banks, and 50 years for joint-venture finance companies, wholly foreign-owned finance 
companies, joint-venture financial leasing compan ies and wholly foreign-owned financial leasing WT/ACC/SPEC/VNM/5 
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  companies, and these operating licences could be ex tended.  Minimum capital requirements had been 
established for Joint-Venture banks (US$10 million) , branches of foreign banks (US$15 million), and 
joint-venture or wholly foreign-owned non-ba nking credit institutions (US$5 million).  The 
contribution of the foreign party in a joint-vent ure bank acting as a commercial bank could not exceed 
50 per cent of the bank's registered capital, while the foreign party in a joint venture non-banking 
credit institution needed to account for at least 30 pe r cent of the registered capital.  A foreign legal 
entity or foreign individual was not allowed to own mo re than 10 per cent of the registered capital of a 
Vietnamese joint-stock commercial bank or joint-stoc k financial company, and the aggregate share of 
foreign shareholders could not exceed 30 per cent of the registered capital.   
366. The establishment of foreign insurance companies in the Vietnamese market was subject to an 
economic needs test.  Vietnamese individuals a nd organizations were not allowed to purchase 
insurance abroad for risks arising in Viet Nam.  The National Assembly had approved the Law on 
Insurance Business on 9 December 2000.  The Law had entered into force on 1 April 2001.  A 
securities trading center had been established in Ho  Chi Minh City, and plans existed to establish a 
center also in Hanoi.  Foreign securities companies wishing to trade securities in Viet Nam would be 
required to set up joint-ventures with Vietnamese partners and operate in conformity with the 
Enterprise Law and Government Decree No. 114/20 03/ND-CP on securities and stock exchange, and 
other applicable laws and regulations. 
367. As a member of the Association of Southeast Asia Nations (ASEAN) and the Asia-Pacific 
Economic Cooperation Forum (APEC), Viet Nam was pa rticipating in negotiations to liberalize trade 
in services.  Viet Nam had offered certain co mmitments in some services sectors such as 
telecommunications, tourism, transportation, and financial services under the ASEAN Framework 
Agreement on Services (AFAS).   
368. In response to requests from Members that Viet Nam phase out business co-operation 
contracts (BCC) in favour of more attractive arrange ments for foreign investors, as well as the lifting 
of limitations on foreign participa tion in joint ventures in several services sectors, the representative 
of Viet Nam said that these matters could be di scussed further in the bilateral market access 
negotiations.   
[to be completed]  WT/ACC/SPEC/VNM/5 
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  TRANSPARENCY 
Publication of information on trade 369. A Member noted that Viet Nam was consideri ng a bill to amend the Law on the Promulgation 
of Legal Documents to include procedures for pub lication and public comment.  This Member urged 
Viet Nam to adopt the bill promptly, and thereby develop a system for easy and prompt access to 
relevant legal documents.  Some  WTO Agreements required the provision of an opportunity for 
transparent review and comment on the regulati ons and rulings of government agencies, and 
generalized to other sectors, in particular those re lating to international trade and customs, services 
and intellectual property, would be an immense st ep forward for Viet Nam.  This Member also 
encouraged government agencies and people's commi ttees to respond in a prompter and more reliable 
manner in the future to queries regarding th e interpretation of legal documents.   
370. The representative of Viet Nam said that as a general rule, stipulated in the Law on the 
Enactment of Legal Documents of 12 November 1996,  legal documents were required to be published 
in the Official Gazette or made known to the public through the mass media.  As the effective dates of 
most legal documents were attributed to the time of publication in the Official Gazette as regulated by 
the Law, the Official Gazette was published almost  daily.  On average, Viet Nam issued 3 to 4 
volumes of its Official Gazette every month.  According to the amended Law on Promulgation of 
Legal Documents, approved by the National Assemb ly on 16 December 2002, legal documents were 
required to be published in the Official Gazette a nd would only become effective 15 days thereafter, 
or at a later date if so specified.  He added that  legal documents were accessible on the Internet, for 
the time being in Vietnamese only.  Legal doc uments issued by local authorities and provincial 
People's Councils were put up in  notice on their premises.   
371. Viet Nam had issued the Law on the Enactment of Legal Documents (amended in 2002) to 
ensure the transparency of the legal system of Viet  Nam from the stage of drafting to implementation.  
Since the implementation of this Law, comments on  drafts of legal documents had been collected 
widely from related agencies and individuals.  The obligation to seek the opinions of those directly 
affected by the legal documents, and the possibility to take account of these opinions in the drafting 
process, was laid down in Articles 3, 26.4 and 61 .4 of the amended Law on Enactment of Legal 
Documents.  Articles 62.2 and 65.4 of the amende d Law required the Office of the Government to 
publish draft Government Resolutions and Decrees and Decisions and Instructions of the Prime 
Minister in the mass media and on the internet  for comment by agencies, organizations and 
individuals.   WT/ACC/SPEC/VNM/5 
Page 126  
 
  372. Draft trade-related legislation was made availa ble to residents and non-residents for comment 
through the Vietnamese Chamber of Commerce and Industry, and through other channels.  Annual 
and long-term legislative plans adopted by the Na tional Assembly were published in accordance with 
the Law on the Enactment of Legal Documents.  Pursuant to this Law, agencies drafting legal 
documents were required to accept the comments collect ed and revise their drafts accordingly.  Asked 
whether laws, regulations or administrative orders  could take effect prior to publication, the 
representative of Viet Nam said that according to  the Law on the Enactment of Legal Documents, 
Viet Nam's legislation applied retroactively only in extreme cases.  The Law also stipulated non-
retroactivity in case of (i) new legal obligations imposed on actions happening at a time when such 
legal obligations had not been provided by law; and (ii) new legal obligations  which were higher than 
those applied at the time when such actions took place.   
Notifications 
373. [The representative of Viet Nam said that, at the latest upon entry into force of the Protocol of 
Accession, Viet Nam would submit all initial notif ications required by any Agreement constituting 
part of the WTO Agreement.  Any regulations sub sequently enacted by Viet Nam which gave effect 
to the laws enacted to implement any Agreement constituting part of the WTO Agreement would also 
conform to the requirements of that Agreement.  The Working Party took note of this commitment.] 
TRADE AGREEMENTS 
374. The representative of Viet Nam said that, as of April 1995, Viet Nam had acceded to 
73 multilateral agreements and treaties.  He provide d a list of 55 foreign trade agreements, 17 general 
treaties and 17 tax treaties in document WT/ACC/VNM /3/Add.1, Annex 8.  The trade agreements 
provided for MFN treatment, granted on a reciprocal basis.  At present, preferential rates of import 
duty were applicable only to ASEAN countries and on 243 tariff lines of textile items imported from 
the European Union (in return for increased impor t quotas on Vietnamese exports of textiles to the 
EU).  Viet Nam had become member of ASEAN in July 1995 and as part of its membership 
commitments, Viet Nam had signed 21 ASEAN Agre ements and two Memoranda  of Understanding.  
As of 2000, the Inclusion List of Viet Nam compri sed 4,233 tariff lines, the Temporary Exclusion List 
contained approximately 1,900 tariff lines, the Gene ral Exclusion List covered 131 products and the 
Sensitive List of Unprocessed Agricultural Products included 51 tariff lines.  Viet Nam did not have a 
list of highly sensitive products.  Viet Nam had not  entered into any labour market integration 
agreements.  WT/ACC/SPEC/VNM/5 
 Page 127 
 
 
  375. Some Members noted that Viet Nam, in the context of its commitments under the Agreement 
on a Common Effective Preferential Tariff (CEPT)  implementing the ASEAN Free-Trade Area, had 
referred to its list of sensitive agricultural products to be fully phased into the inclusion list by 2013 
with final bound rates at 5 per cent.  Viet Nam was requested to provide a copy of the list of sensitive 
products to the Working Party, and to indicate whet her the list overlapped with  imports subject to line 
management or other forms of import restriction. 
376. The representative of Viet Nam replied that  sensitive unprocessed agricultural products and 
highly sensitive products had not b een included in the CEPT/AFTA framework prior to 1995.  Since 
then, ASEAN members had established a special m echanism for tariff reduction and elimination of 
non-tariff barriers on these products.  Viet Nam ha d signed a Protocol in September 1999, according 
to which Viet Nam was committed to reducing its tariffs on sensitive unprocessed agricultural 
products to 0-5 per cent for other members of ASEAN by 2013. 
377. Some Members noted that Viet Nam was requi red – under a bilateral agreement on textiles 
and clothing - to reduce its tariffs on a number te xtile products imported from the EU during a period 
of ten years starting from 1 January 1996.  These Members asked whether the tariff reductions were 
implemented on an MFN basis and, if not, how Vi et Nam would abide by Article I of the GATT as a 
Member of the WTO.  Some Members requested that Viet Nam provide a copy of its bilateral trade agreement with the United States to the Working Pa rty.  A Member requested Viet Nam to clarify 
how provisions in this agreement would be applie d in relation to other Members of the WTO.   
378. The representative of Viet Nam replied that Viet Nam would comply with the MFN principle 
within the meaning of Article I of GATT 1994 upon accession to the WTO.  The bilateral agreement 
with the United States had come into force at the end of 2001.   
379. The representative of Viet Nam confirmed that Viet Nam would observe all WTO provisions, 
including those of Article XXIV of the GATT 1994 and Article V of the GATS in the trade 
agreements to which it belongs, and would ensure that the provisions of these WTO Agreements for 
notification, consultation and other requirements concerning free trade areas and customs unions of 
which Viet Nam was a member were met from the date of accession.  He confirmed that Viet Nam would submit notifications and copies of the Free Trade Area and Customs Union Agreements to 
which it belongs to the Committee on Trade in G oods for transmittal to the Committee on Regional 
Trade Agreements (CRTAs) for review.  The Wo rking Party took note of this commitment. WT/ACC/SPEC/VNM/5 
Page 128  
 
  Conclusions 
380. The Working Party took note of  the explanations and statements of Viet Nam concerning its 
foreign trade regime, as reflected in this Report.  The Working Party took note of the commitments 
given by Viet Nam in relation to certain speci fic matters which are reproduced in paragraphs 
[      and        ] of this Report.  The Working Party took note that these commitments had been 
incorporated in paragraph 2 of the Protocol of Accession of Viet Nam to the WTO.   
381. Having carried out the examination of the foreign trade regime of Viet Nam and in the light of 
the explanations, commitments and concessions made by the representative of Viet Nam, the Working 
Party reached the conclusion that Viet Nam be  invited to accede to the Marrakesh Agreement 
Establishing the WTO under the provisions of Article  XII.  For this purpose, the Working Party has 
prepared the draft Decision and Protocol of Accessi on reproduced in the Appendix to this Report, and 
takes note of Viet Nam's Schedule of Concessions and Commitments on Goods (document 
WT/ACC/VNM/../Add.1) and its Schedule of Specific Commitments on Services (document WT/ACC/VNM/../Add.2) that are annexed to the draft Protocol.  It is proposed that these texts be adopted by the General Council when it adopts th e Report.  When the Decision is adopted, the 
Protocol of Accession would be open for acceptan ce by Viet Nam which would become a Member 
thirty days after it accepts the said Protocol.  Th e Working Party agreed, therefore, that it had 
completed its work concerning the negotiations for the accession of the Socialist Republic of 
Viet Nam to the Marrakesh Agreement Establishing the WTO.   
_______________ 
  WT/ACC/SPEC/VNM/5 
 Page 129 
 
 
  ANNEX 1 
Laws, Regulations and Other Information Pr ovided to the Working Party by Viet Nam  
- National Assembly's Resolution No. 51/200 1/QH10 on amendment of and supplement to 
some Articles of the 1992 Constitution of the Socialist Republic of Viet Nam of 25 December 2001; 
- Law on Profit Tax of 1 October 1990; 
- Law on Enterprise Income Tax (1997) of 10 May 1997; - Law on Agricultural Land Use Tax (1993) of 10 July 1993; - Law on Transfer of Land use Right Tax of 22 June 1994; - Ordinance on Income Tax on High-Income Earners of 19 May 2001; 
- Ordinance of the Standing Committee of th e National Assembly on Income Tax of High 
Income Earners (1994) of 19 May 1994, as amended; 
- Ordinance of the State Council on Royalties of 30 March 1990; - Decision No. 396/TTg dated 4 August 1994 On Amendments of and Additions to Foreign 
Currency Control in the Prevailing Circumstances; 
- Circular No. 08/1998/TT-NHNN7 of 30 September 1998 on Guiding the Implementation of 
Decision 173/1998/QD/TTg on the obligation to sell and rights to buy foreign currencies from 
Residents which are organizations (the State Bank of Viet Nam (SBV) provides guidance for 
this Decision); 
- Decree No. 63/1998/ND-CP of 17 August 199 8 on Foreign Exchange Management of the 
Government; 
- Decision of Compulsory Selling Rage of Fore ign Currency with Respect to Current Sources 
of Income of Residents Being Economic or Social Organizations (Decision No. 46-2003-QD-
TTg of 2 April 2003); 
- Law on Cooperatives (1996); - Law on Companies of 21 December 1990, as amended 1 July 1994; 
- Law on Private Enterprises of 21 December 1990, as amended 1 July 1994; 
- Commercial Law No. 05/1997/QH9 of 10 May 1997; - Law on Business Bankruptcy of 30 December 1993; - Law No. 13/1999/QH10 – The Enterprise Law; - Law on Promotion of Domestic Inv estment (1994) of 22 June 1994; 
- Law on Foreign Investment in Viet Nam of 12 November 1996; 
- Law on amendment of and addition to a number of articles of the Law on Foreign Investment 
In Viet Nam of 9 June 2000; 
- Governmental Decree No. 12/CP of 18 Fe bruary 1997 Providing Regulations on Foreign 
Investment in Viet Nam (1997); 
- Circular No. 74 TC/TCT of 20 October 1997 Providing Guidance On the Implementation of 
Tax Provisions Applicable to Various Form s of Investment Under the Law on Foreign 
Investment in Viet Nam; 
- Government Decree Providing Detailed Regula tions on the Implementation of the Law on 
Foreign Investment in Viet Nam (Decree No. 24-2000-ND-CP of 31 July 2000); 
- Ordinance on Price of 26 April 2002; - Petroleum Law of 6 July 1993; 
- The Law on amendment of and addition to a number of articles of the Law on Petroleum of 
9 June 2000; 
- Law on Land of 31 May 2001; - Law No. 10/1998/QH10 mending and complementing a number of Articles of the Land Law 
dated 2 December 1998; 
- Labour Code (1994) of 23 June 1994;  
- Law on the amendment of and supplement to a number of Articles of the Labour Code of 
2 April 2002; WT/ACC/SPEC/VNM/5 
Page 130  
 
  - Law on State Enterprises of 20 April 1995 (Presidential Order No. 39-L/CTN of 
30 April 1995 to promulgate the Law on State Enterprises and the Law on Amendments and Supplements to a number of Articles of the Law on Viet Nam Civil Aviation); 
- Law on the Promulgation of Legal Documents of 12 November 1996; - Law on Amendment and Addition to a Number of Articles of the Law on Promulgation of 
Legal Instruments (Law No. 02-2002-QH11 of 16 December 2002); 
- Ordinance on Commercial Arbitration (No. 08-2003-PL-UBTVQH11 of 25 February 2003); 
- Ordinance on Procedure for Settlement of Economic Disputes of 1 July 1994; 
- Ordinance on Most-Favoured-Nation and Nati onal Treatment in International Trade of 
7 June 2002; 
- Law on Customs (Law No. 29-2001-QH10 of 29 June 2001); 
- Decree on Customs Procedures, Customs Inspection and Control, Making Detailed Provisions 
for Implementation of a Number of Articles of the Law on Customs (Decree No. 101-2001-ND-CP of 31 December 2001); 
- Decision No. 79/TCHQ-GQ of 14 June 1998 On Customs Procedure of Border Imports-
Exports; 
- Decision No. 50/1998/QD-TCHQ of 10 March 1998 of the Director General of the General 
Department of Customs on Handbook and Guideline on Customs Procedure 1995; 
- Decision No. 299/1998/QD-TCHQ of 12 Septem ber 1998 On Amendment and Addition to 
Instruction of the Customs Procedures for Import-Export of Goods (1998) (issued in conjunction with Decision No. 50/1998/QD- TCHQ of 10 March 1998 of the General 
Department of Customs); 
- Decision No. 287/TCHQ/KTTT of 19 December 1995 of Director General of the General 
Department of Customs on the Issuance of New Form of Customs Declaration for Import-Export Commodities; 
- Instruction No. 224/TCHQ-GSQL of 10 N ovember 1994 On Measures of Import-Export 
Inspection for Customs Superv ision and Management (1994); 
- Decision No. 189/TCHQ-GSQL of 7 October 1994  On Issuing Regulation On Inspection of 
Exported and Imported Goods (1994); 
- Regulations No. 296-TMDL/XNK of 9 April 1992 on the Issuance of Import-Export Business 
Permit; 
- Viet Nam's List of Effective Import Tariff (MFN Rates); 
- Ordinance on Levies and Fees of 30 August 2001; 
- Law on Export and Import Duties (1991) of 26  December 1991, as amended 16 January 1992 
and 5 July 1993; 
- Law on Export and Import Duties (1993) of 26  December 1991, as amended 16 January 1992 
and 5 July 1993; 
- Governmental Decree No. 54-CP of 28  August 1993 on Export-Import Duty (1993); 
- Law No. 02/1997/QH9 of 10 May 1997 on Value Added Tax; - Schedule of VAT on Imports (2003); - Law on Turnover Tax (1993) of 30 June 1990, as amended 5 July 1993; - Law on Special Sales Tax of 30 June 1990, as amended 5 July 1993 and 28 October 1995; 
- Circular No. 98-TC/TCP Providing Guidance on the Implementation of Governmental Decree 
No. 97/CP of 27 December 1995 which provides detailed provisions for the implementation 
of the Law on Special Sales Tax and the Law on the Amendments of and Additions to a 
number of Articles of the Law on Special Sales Tax; 
- Detailed Guidance on the Application of Speci al Sales Tax (1995) (Appendix attached with 
Circular of the Ministry of Finance No. 98-TC/TCP of 30 December 1995); 
- Special Consumption Tax Schedule for Imports (with HS Code reference); 
- List of the Commodities Banned from Export and Import in 1997 (Decision of the Prime 
Minister No. 28-TTg of 13 January 1997); 
- Decision of the Prime Minister No. 28-TTg of 13 January 1997 on Import-Export 
Management Policy (1997);  WT/ACC/SPEC/VNM/5 
 Page 131 
 
 
  - Circular of the Ministry of Trade No. 02-TM/XNK of 21 February 1997 Guiding the 
Implementation of Decision No . 28-TTg of 13 January 1997; 
- Decree No. 89 of 4 April 1996 on Revoking the Procedures for Granting Export or Import 
Permits for Each Consignment; 
- Decision of the Prime Minister No. 864-TTg of 30 December 1995 Regarding the Policy on 
Commodities and the Regulation on Import-Export in 1996; 
- Regulations of the Ministry of Commerce and Tourism No. 297-TMDL-XNK of 9 April 1992 
on Export-Import Licence; 
- List of Second Hand Consumer Goods Subject to Import Prohibition (issued together with 
Circular 11/2001/TT-BTM of 18 April 2001 of the Ministry of Trade); 
- Decree on Prescribing the Determination of Tax Calculation Values of Imported Goods 
According to the Principles of the Agreement Implementing Article VII of the GATT (Decree 
No. 60/2002/ND-CP of 6 June 2002); 
- Decision No. 155/1998/QD-TTg of 27 May 1998 On Issuing the Regulations On 
Determination of Dutiable Va lue of Imports and Exports; 
- Decision No. 590A/QD/BCT of 29 April 1998 On  Promulgation of the Table of Dutiable 
Values; 
- Regulation No. 192/TCHQ/KTTH of 15 May 199 5 On Promulgating Application of Dutiable 
Value of Goods for Import and Export Duties (1998); 
- Decision No. 918-TC/QD/TCT of 11 November 1997 on the Promulgation of the Minimum 
Purchase Price Table at Border Gates for Import Duty Calculation; 
- Ordinance No. 20-2004-PL-UBTVQH11 "Again st Dumping of Imported Goods into Viet 
Nam" of 29 April 2004; 
- Ordinance No. 22-2004-PL-UBTVQH11 "On Measures against Subsidized Products 
Imported into Vietnam of 20 August 2004; 
- Ordinance on Safeguards in the Import of Foreign Goods into Viet Nam 
(No. 42/2002/PL-UBTVQH10 of 1 September 2002); 
- Ordinance on the Quality of Goods of 27 December 1990; - Ordinance on Weights and Measures (1990) of 16 July 1990; - Order No. 20/2003/L-CTN Promulgating the Or dinance on Food Hygiene and Safety (passed 
on 26 July 2003) of 7 August 2003; 
- Decision No. 1091/1999/QD-BKHCNMT Promulgating the Regulation on the State Control 
of Import-Export Goods Quality of 22 June 1999; 
- Ordinance on Veterinary Activities (1993) of 27 November 1993; - Decision No. 389 NN-TY/QD of 15 April 1995 On Promulgating the Regulation On 
Procedures for Animal Quarantine, Veterinary  Control for Animal Slaughtering, Animal 
Products and Hygienic Inspection (1995); 
- Veterinary Quarantine and Inspection Subject s List Attached to Decision No. 607 NNTY/QD 
of 9 June 1994 by the Minister for Agriculture and Food; 
- Ordinance on Plant Protection and Inspection of 25 July 2001; - Decree on Tendering (Decree No. 88-1999-ND-CP of 1 September 1999, amended on 
5 May 2000); 
- Decree on Amendments and Additions to a Nu mber of Articles of the Regulations on 
Tendering Issued with Decrees of the Govern ment No. 88-1999-ND-C P Dated 1 September 
1999 and No. 14-2000-ND-CP Dated 5 May 2000 (Decree No. 66-2003-ND-CP of 12 June 2003); 
- Decree No. 43/CP of 16 July 1996 on Procurement; - Part VI of the Civil Code – Intellectual Property Rights and Technology Transfer; 
- Decree No. 63/CP of October 1996 on Detaili ng the Regulations on Industrial Property; 
- Governmental Decree on Detailed Regulations  Concerning Industrial Property (Decree 
No. 63/CP of 24 October 1996, amended and supplemented by Governmental Decree 
No. 06/2001/ND-CP of 1 February 2001); WT/ACC/SPEC/VNM/5 
Page 132  
 
  - Circular No. 3055-TT/SHCN (1996) of 31 Dece mber 1996 Guiding the Implementation of the 
Regulations on the Procedures for Establishi ng Industrial Property Rights and Other 
Regulations in Decree No. 63/CP; 
- Decree on Amendment and Addition of a Number of Articles of Decree 63-CP of the 
Government Dated 24 Octobe r 1996 on Industrial Property (Decree No. 06-2001-ND-CP of 
1 February 2001); 
- Circular No. 23-TC/TCT dated 9 May 199 7 Guiding the Collection, Payment and 
Management of Industrial Property Service Charges and Fees; 
- Decree on Penalties for Administrative Offences  in Relation to Industrial Property (Decree 
No. 12-1999-ND-CP of 6 March 1999); 
- Ministry of Science, Technology and E nvironment's Circular No. 825/2000/IT-BKHCNMT 
of 3 May 2000, as Amended and Supplemented by the Ministry's Circular No. 49/2001/TT-BKHCNMT of 14 September 2001, Guides the Implementation of Decree No. 12/1999/ND-CP of 6 March 1999 on the Handling of Administrative Violations in the Field of Industrial Property; 
- Decree on Copyright Providin g Guidelines for the Implementation of a Number of the 
Provisions of the Civil Code with Respect to Copyright (Decree No. 76-CP of 29 November 1996); 
- Circular of the Ministry of Science and Technology No. 30/2003/TT-BKHCN "Guiding the 
carrying out of the Procedures for Establishment of Industrial Property Rights over Inventions/Utility Solutions" of 5 November 2003; 
- Decree on the Protection of New Plant Varieties (Decree No. 13/2001/ND-CP) of 
20 April 2002; 
- Circular on the Implementation of Gove rnment Decree No. 13/2001/ND-CP dated 
20 April 2001 on the Protection of New Plant Varieties; 
- Decree on Protection of Industrial Property Rights with Respect to Trade Secrets, 
Geographical Indications and Trade Names and Pr otection of Rights to Fight Against Unfair 
Competition Relating to Industrial Property (Decree No. 54-2000-ND-CP) of 3 October 2000; 
- Ordinance on Advertisement of 16 November 2001; - Ordinance on Post and Telecommunication of 7 June 2002; - Law on Insurance Business of 9 December 2000; - Decree No. 64-CP dated 9 October 1995 On Or ganization and Operation of Finance Leasing 
Companies; 
- Circular No. 03-TT-NH5 dated 9 February 1996 On Finance Leasing Companies (providing 
guidelines for the implementation of the tempor ary regulations on orga nization and operation 
of finance leasing companies in Viet Nam); 
- Ordinance on Lawyer Organization of 25 July 2001; 
- Decree No. 42-CP dated 8 July 1995 On Lega l Consultancy Practices of Foreign Law Firms 
in Viet Nam; 
- Circular No. 791-TT-LS-TVPL dated 8 Septembe r 1995 On Foreign Law Firms (providing 
guidelines for the implementation of the Regulati ons on legal consultancy practices of foreign 
law firms in Viet Nam); 
- Decree on Management, Provision and Use of Internet Services (Decree No. 55-2001-ND-
CP); 
- Decree on Dealing with Administrative Offences in the Sector of Culture and Information 
(Decree No. 31-2001-ND-CP of 26 June 2001); 
- Decree on Cinematographic Organizations a nd Activities (Decree No. 48-CP of 17 July 
1005); 
- Decree on Amendment and Addition to Decree 48- CP of the Government Dated 17 July 1995 
on Cinematographic Organizations and Activities (Decree No. 26-2000-ND-CP); 
- Ordinance on the Conclusion and Implementa tion of International Treaties (1989) of 
17 October 1989;  WT/ACC/SPEC/VNM/5 
 Page 133 
 
 
  - Decree No. 18-CP of 4 April 1996 of the Government Issuing the List of Commodities and 
Import Tariffs in Implementing the Programme  of Reducing Tariffs on Goods Imported from 
the European Communities in the years 1996-1997;  
- Import-Export Statistics for 1997; and - Ordinance on Entry, Exit, Residence and Travel of Foreigners in Viet Nam of 28 April 2000. 
 WT/ACC/SPEC/VNM/5 
Page 134  
 
  ANNEX 2 
Table 1:  Commitments on Trading Rights (proposed by Viet Nam)  
 
1 Viet Nam confirms that wholly Vietnamese-invested enterprises have been granted full right to trade 
since 1 January 2002. 
2 Upon accession, foreign directly invested enterpri ses in the production and manufacturing sectors, 
which are not purely import and export trading entities,  would be granted full rights to trade, except for 
the restrictions listed in the table below. Such enterprises shall register their business lines with the 
relevant State's registration agencies. 
3 Upon accession, nationals and companies from WTO Memb ers shall be allowed to set up joint ventures 
with Vietnamese partners to engage in import and export activities, with foreign capital contribution not 
exceeding 49 per cent of the legal capital of the join t ventures.  Not later th an 1 January 2008, this 
limitation shall be 51 per cent.  Not later than 1 Ja nuary 2009, 100 per cent foreign directly invested 
enterprises shall be allowed to be established to engage in import and export activities. 
4 Joint ventures and 100 per cent foreign directly invested enterprises referred to in paragraph 3 above 
shall:  
- be entitled to import and export all kinds of good s, except for those notified as state trading 
enterprises, subject to the restrictions listed in the table below; and  
- register their business lines with th e relevant State's re gistration agencies. 
5 The trading rights referred herein shall not automatically grant the importers the right to distribute 
goods in Viet Nam.  The distribution of goods and the provision of distribution services shall be subject to Viet Nam's Specific Schedule  of Commitments in Services. 
6 The trading rights referred herein shall in no case affect the rights of the Government of Viet Nam to: 
- adopt or enforce requirements for customs and fiscal; and 
- adopt or enforce regulations with respect to the importation, exportation, re-importation, re-
exportation, and transit of goods in consistence with relevant provisions of the WTO Agreements 
and with Viet Nam's commitments upon accession to  the WTO, such as those relating to import 
licensing, state trading, TBT and SPS.   
 
 
HS Description Schedule 
  Meat and edible meat offal  
0201 Meat of bovine animals, fresh or chilled. Upon accession 
0202 Meat of bovine anim als, frozen. Upon accession 
0203 Meat of swine, fresh, ch illed or frozen. Upon accession 
0206 Edible offal of bovine animal s, swine, sheep, ... Upon accession 
0207 Meat and edible o ffal, of the poultry of heading ... Upon accession 
0209 Pig fat, free of lean meat, a nd poultry fat, not ... Upon accession 
0210 Meat and edible meat offal, salted, in brine, .... Upon accession 
  Dairy and Dairy Products  
0401 Milk and cream, not concentrat ed nor containing ... Upon accession 
0402 Milk and cream, concentrat ed or containing ... Upon accession 
0403 Buttermilk, curdled milk an d cream, yogurt, .... Upon accession 
0404 Whey, whether or not con centrated or ... Upon accession 
  Edible fruit and nuts; peel of citrus fruit ...  
0805 Citrus fruit, fresh or dried. Upon accession 
  Cereals  
1005 Maize (corn) . Upon accession 
1006 Rice. U 
  Wheat  
1101 Wheat or meslin  flour Upon accession 
  Plant oils  
1507 Soybean oil and its fractions.... Upon accession 
1508 Ground nut oil and its fractio ns.... Upon accession 
1511 Palm oil and its fractions....  Upon accession  WT/ACC/SPEC/VNM/5 
 Page 135 
 
 
  HS Description Schedule 
1513 Coconut (copra), palm kernel or ba bassu oil and fractions  .....  Upon accession 
  Processed Meat  
1601 Sausages and similar products, of meat, meat offal or blood...                    2008 
1602 Other prepared and preserved meat...  2008 
  Sugar  
1701 Cane or beet sugar and chemically pure sucrose, in solid form 2010 
  Alcohol and Beer  
2203 Beer made from malt  2010 
2204 Wine or fresh grapes, including fortified wines... 2010 
2205 Vermouth and other wine of fresh grapes flavored with plants ... 2010 
2206 Other fermented beverages 2010 
2207 Undenatured ethyl alcohol > 80%... 2010 
2208 Undenatured ethyl alcohol < 80%... 2010 
  Tobacco and tobacco products  
2401 Unmanufactured tob acco; tobacco refuse... U 
2402 Cigars, cheroots, cigarillos and cigarettes... U 
2403 Other manufactured tobacco and manufactured tobacco ... U 
  Cement and Clinker  
2523 Portland cement, aluminous cement, slag cement etc... 2010 
  Crude oil and petroleum products  
2709 Crude oil from petroleum and bituminous minerals... U 
2710 Oil (not crude) from petrol & bitum mineral etc.... U 
2711 Petroleum gases & other gaseous hydrocarbons... 2010 
  Pharmaceutical products  
3003 Medicaments n.e.s.o.i. of mi xtures, not dosage etc form... 2010 
3004 Medicaments n.e.s.o.i., mixed or not, in dosage etc fm... 2010 
3006 Pharmaceutical goods in note 4 to chapter 30... 2010 
  Fertilizers  
3102 Mineral or chemical fertilizers, nitrogenous 2010 
3103 Mineral or chemical fe rtilizers, phosphatic... 2010 
3104 Mineral or chemical fertilizers, potassic... 2010 
3105 Mineral or chemical fertilizers, other... 2010 
  Lubricants  
3403 Lubricating preps, antirus t & treating textiles etc... 2008 
  Cinematographic film  
3706 Motion-picture film, exposed and developed... U 
  Printed books, brochures, leaflets and similar printed matter...  
4901 Books, brochures & similar printed matter... U 
4902 Newspapers, journals & periodicals... U 
4903 Children's picture, drawing or colouring books... U 
4907 Unused postage, check forms, banknotes, stock, etc... U 
4909 Printed or illustrated post cards, greeting cards, etc.... U 
4910 Calendars, calendar blocks of any kind, printed... U 
4911 Printed matter n.e.s.o.i., including print pictures & photos... U 
  Iron and steel  
7208 Fl-rl iron & na st eel nun600mm wd hot-rl, not clad... Upon accession 
7209 Fl-rl iron & na st eel nun600mm wd cold-rl, no clad... Upon accession 
7210 Fl-rl iron & na steel nun600 mm wd, clad etc... Upon accession 
7211 Fl-rl iron & na steel un 600mm  wd, not clad etc... Upon accession 
7212 Fl-rl iron & na steel un 600 mm wd, clad etc... Upon accession 
7213 Bars & rods, iron & na steel , h-r irreg coils... Upon accession 
7214 Bars & rods, iron & na steel  nesoi, h-r etc... Upon accession 
7215 Bars & rods, iron & na steel nesoi... Upon accession 
7216 Angles, shapes & sections of iron & nonalloy steel... Upon accession WT/ACC/SPEC/VNM/5 
Page 136  
 
  HS Description Schedule 
7217 Wire of iron & nonalloy steel... Upon accession 
  Industrial printers  
8442 Mach etc n.e.s.o.i.  for ty peset, making pr plates etc... U 
8443 Print mach incl ink-jet mach ancil t prnt pt nesoi... U 
  Records, tapes and other recorded media  
8524 Records, tapes and other recorded media for sound or ... U 
  Other machinery  
8525 Trans appar for radiot ele etc; tv camera & rec U 
8526 Radar apparatus, radio navig aid & remote cont app U 
  Automobiles, motocycles  
8702 Motor vehicle f trnspt >ten persons includ driver 2010 
8703 Motor cars & vehicles for transporting persons 2010 
8704 Motor vehicles for transport of goods 2010 
8705 Special purpose motor vehicles nesoi 2010 
8706 Chas w eng f trac, mtr veh f pass/gd & special pur 2010 
8707 Bodies (including cabs), for specif motor vehicles 2010 
8708 Parts & access for motor vehi cles (head 8701-8705) 2010 
8709 Works trucks, self-prop, no lift; stat tractrs; pt 2010 
8711 Motorcycles (incl mopeds) & cycles with aux motor 2010 
8714 Parts & access for cycles & invalid carriages 2010 
8716 Trailers etc; other vehicles, not mech propeld, pt 2010 
  Aircraft  
8802 Aircraft, spacecraft and suborbital an d spacecraft launch vehicle Upon accession 
8803 Parts of aircraft, spacecraft and suborb ital and spacecraft launch vehicle Upon accession 
  Other goods  
9001 Opt fibers & bund etc; pol sh eets; unmoun opt elem Upon accession 
9704 Postage or revenue stamps, first day covers Upon accession 
 
Notes: For the purpose of this Table: 
- Schedule starts from 1 January of the specified year 
- "U" means "Unbound"  WT/ACC/SPEC/VNM/5 
 Page 137 
 
 
  Table 2:  Customs fees le vied in accordance with  
Inter-Ministerial Circular No. 71/2000/TTLT/BTC-TCHQ of 19 July 2000  
of the Ministry of Finance and the General Department of Customs  
 
Customs Clearance Fee 
No. Kind of goods Calculation unit Fee rates 
(VND) 
I Ordinary cargo: 
1 Cargo transported by ships, barges (bulk goods, goods of 
different sorts contained in bags, cans, drums, barrels, tanks, reservoirs)   
-Minimum fee rate for 1 ton or less VND/ton 20,000 a. 
-  Fee rate for the second ton onwards VND/ton 1,200 
Goods transported by ships (goods of the same sort): fee 
rate per ton VND/ton 500 
Maximum customs clearance fee rate for:   
-  Ships of a capacity of less than 10,000 GRT (Gross 
registered tonnage) Ship Not exceeding 
3 million 
-  Ships of a capacity of between 10,000 and less than 
20,000 GRT Ship Not exceeding 
6 million 
-  Ships of a capacity of between 20,000 and less than 
70,000 GRT Ship Not exceeding 
15 million b. 
-  Ships of a capacity of 70,000 GRT or more Ship Not exceeding 
20 million 
2 Goods transported by land 
a. -  Goods transported by car VND/ton 5,000 
b. -  Goods transported by train VND/ton 2,000 
Postal packages, parcels 
-  Of a weight of between 5 kg and less than 20 kg VND/clearing case 7,000 
-  Of a weight of between 20 kg and 50 kg VND/clearing case 10,000 
-  Of a weight of more than 50 kg, for every extra 10 kg 
a surcharge shall be collected VND/10 kg 500 3 
-  Of a weight of 1 ton or more, a surcharge shall be 
collected VND/ton 3,000 
II Cargo contained in containers 
1 Cargo contained in 20-feet containers VND/container 60,000 
2 Cargo contained in 40-feet containers VND/container 120,000 
III Cargo being automobiles and motorcycles of all kinds 
Automobiles of all kinds 
-  Automobiles in complete units VND/unit 18,000 1 
-  Automobile components in complete sets VND/set 20,000 
2 Motorcycles (units and complete sets) VND /unit or set 6,000 
Cargo being gold and gemstone 
-  Fee rate for 1 tael (37.5 gr ) or less VND/clearing case 15,000 
-  Fee rate for the second tael (37.5 gr) onwards VND /tael 1,000 IV 
-  Maximum fee rate for each clearance case  Not exceeding 
1.5 million 
Import and export of foreign currencies 
- Import, export of less than US$100,000 (or equivalent 
amounts of other foreign currencies) VND 100,000 
-  For every extra US$100,0 00, a surcharge shall be 
collected VND 80.000 V 
-  Maximum rate for each clearance case VND Not exceeding 
1.5 million WT/ACC/SPEC/VNM/5 
Page 138  
 
  Customs Clearance Fee 
No. Kind of goods Calculation unit Fee rates 
(VND) 
Fees For Goods and Luggage Consigned and Put at Customs Warehouses  
(Customs Warehouse Fee) 
Automobiles of all kinds 
-  Trucks of a capacity of 2 tons or more, passenger cars 
with 15 seats or more Unit 50,000 1  
-  Trucks of a capacity of less than 2 tons, tourist cars 
with 14 seats or less Unit 30,000 
2 Motorcycles, mopeds Unit 10,000 
3 Computers, fax machines, photocopiers Unit 10,000 
4 Air-conditioners, radios, cassettes, communication 
machines, television sets, video sets Unit 5,000 
5 Gold Tael (37.5 gr) 7,000 
6 Gemstone Tael 10,000 
7 Other goods 
a. Small postal parcels of a weight of less than 20 kg Parcel 2,000 
b. Small postal parcels of a weight of between 20 kg and 100 
kg Parcel 4,000 
c. Goods packages of a weight  of between more than 100 kg 
and 1,000 kg Package 5,000 
d. Goods packages of a weight of more than 1,000 kg Package 10,000 
Administrative Fee 
Free rate for re-certifica tion of cargo, luggage documentation Case 12,000 
Note:  Transit and transit-related fees ar e enumerated in Table 13(a) and 13 (b). 
 
  
   WT/ACC/SPEC/VNM/5
 Page 139Table 4(a):  Import prohibitions (as per October 2004)  
 
HS Description Rationale Legal basis Note 
1207 91 00 Poppy seeds Materials for  production of opium    
1302 11 00 Opium, anhydrous morphine anhydrous content   Materials for  production of opium   
2402,  
2403 Tobacco, cigarettes, and other kinds of ma nufactured tobacco  Limit the consumpti on of cigarettes  Import prohibition to 
be abolished upon 
accession   
2618 00 00 Granulated slag (slag sand) from the manufacture of iron or steel Residues causing environmental 
pollution    
2619 00 00 Slag, dross (other than granulated slag), scalings and other waste 
from the manufacture of iron orngs steel Residues causing environmental 
pollution    
2620 Ash and residues (other than from the manufact ure of iron or 
steel) containing metals or metal compounds Residues causing environmental 
pollution    
2621 00 00 Other slag and ash, including seaweed ash (kelp) Residues causing environmental 
pollution    
3601 00 00 Propellant powders Materials for production of 
explosives    
8710 00 00 Tanks and other armoured fighting vehicles, motorized, whether 
or not fitted with weapons, and parts of such vehicles Military equipment    
ex 8711 Motorcycles of a cylinder capacity ex ceeding 175cc Security and traffic safety   
9301 00 00 Military weapons, other than  revolvers, pistols and the arms of 
heading 307:  revolvers, pistols Military equipment   Decision No. 28/TTg dated 
13 January 1997 by PM  
9302 00 00 Revolvers and pistols, other than those of heading 9303 or 9304 Weapons Decision No. 28/TTg dated 
13 January 1997 by PM  
9304  Other arms (for example, spring, air or gas guns and pistols, 
truncheons), excluding those of heading 9307 Weapons  Decision No. 28/TTg dated 
13 January 1997 by PM  
9305 Parts and  accessories of artic les of headings 9301 to 9304 Wea pons  Decision No . 28/TTg dated 
13 January 1997 by PM  
9306 Bombs, grenades, torpedoe s, mines, missiles and similar 
munitions of war and parts thereof; cartridges and other 
ammunition and projectiles and parts thereof, including shot and cartridge wads Weapons  Decision No. 28/TTg dated 
13 January 1997 by PM  
9307 Swords, cutlasses, bayonets, lances and similar arms and parts 
thereof and scabbards and sheaths thereof Weapons  Decision No. 28/TTg dated 
13 January 1997 by PM   
  WT/ACC/SPEC/VNM/5 
Page 140 HS Description Rationale Legal basis Note 
NA Second-hand consumer goods, including: 
 
- Textiles and clothes; footwear -  Electronic goods 
-  Refrigerating equipment and products 
-  Household electric goods -  Furniture 
-  Household goods made from porcelain, clay, glass, metal, 
resin, rubber, plastic, and other materials  Product safety Decision No. 28/TTg dated 
13 January 1997 by PM  
NA Used materials and e quipment, including: 
 
- Used machines, structures, inner tires, tires, accessories, 
motors of automobiles, tr actors, 2-wheel and 3-weel 
motorbikes  
- Internal combustion engines and machines with internal 
combustion engines having capacity below 30 CV  
- Bicycles, 2-wheel and 3-wheel vehicles; 
- Passenger cars of less than 16  seats, trucks with loading 
capacity of less than 5 tonnes, ambulances.  Traffic safety Decisi on No. 28/TTg dated 
13 January 1997 by PM  
NA Toxic chemicals  
List published by the Ministry of Industry  Environment protection, protection of 
human health  Decision No. 28/TTg dated 
13 January 1997 by PM  
NA Garbage and waste materials which may cause environmental 
pollution and epidemics  List published by the Ministry of Science and Technology Environment protection, protection of 
human health    
NA Depraved and reactionary cultural products  Public morals    
NA Children toys having adverse effect in moral education, public 
order and security  Public morals and social security   
NA Narcotics  Protection of human life   
NA Firecrackers (excluding fire signal used for maritime safety and 
other purposes as stipulated by th e Prime Minister in the official 
Document No.1383/CP-KTTS dated 23 November 1998)  Protection of human health & life   
NA Right-hand steering vehicles (including their components and 
those modified to left-hand drive ones prior to importation into 
Viet Nam), except for specialized  right-hand steering vehicles 
operating in small areas such as cranes, trench and canal digging 
machines, garbage trucks, road sweepers, road construction 
trucks, airport passenger transpor tation buses, fork-lifts used at 
warehouses and ports.    Traffic safety    
   WT/ACC/SPEC/VNM/5
 Page 141HS Description Rationale Legal basis Note 
NA Asbestos products and materials under amphibole group  Protection of human health   
NA Specialized encryption machines and encryption software subject 
to State secret National security   
 
Note :  NA Not applicable 
 
These products are not allowed to be circul ated in the domestic market on a normal commercial basis.  Importation for non-comme rcial purposes might be permitted in 
exceptional circumstances. 
  
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Page 142 Table 4(b): List of Goods Subject to Quantitative Restriction and Phasing-Out Schedule  
 
Phasing out schedule 
HS Description Legal basis Time Legal documents for 
enactment 
A.  Licence/Quota 
8702 
8703 Motor vehicles with capacity not exceeding 12 seats Decision No. 281 1 January 2003 for those 
with capacity not 
exceeding 9 seats Decision No. 462 
8711 Two-wheel motorcycles Decision No. 28 1 January 2003 Decision No. 46 
B.  Import licence by the Ministry of Trade 
0401 
0402 
0403 
0404 Milk and dairy products Circular No. 043 Subject to TRQ  
since May 2003 Decision No. 914 
 
15079010 15089010 
15119090 
15131910 15155090 Refined vegetable oil  Decision No. 242
5 1 January 2002 Decision No. 46 
1701 Sugar Decision No. 28 To be replaced by TRQ 
upon accession  
2204 
2205 
2206 
2207 2208 Wine and spirits Decision No. 11
6 1 May 2001 Decision No. 46 
2501 Salt Decision No. 46 Subject to TRQ  
since May 2003 Decision No. 91 
 
                                                      
1 Decision No. 28/TTg dated 13 January 1997 of the Prime Minister on the management of importation and exportation in 1997. 
2 Decision No. 46/2001/QD-TTg dated 4 April 2001 of the Prime Minister on the management of importation and exportation during t he period of 2001-2005. 
3 Circular No. 04/TM-XNK dated 4 April 1994 guiding the implementation of Decision No. 78/TTg dated 28 February 1994 of the Prim e Minister on the management of 
importation and exportation. 
4 Decision No. 91/2003/QD-TTg dated 9 May 2003 of the Prime Minister on the application of tariff quota on imports to Viet Nam. 
5 Decision No. 242/1999/QD-TTg of the Prime Minister dated 30 December 1999 on the ma nagement of importation and exportation in 2000. 
6 Decision No. 11/1998/QD-TTg of the Prime Minister dated 23 January 1998 on the management of importation and exportation in 19 98.  
   WT/ACC/SPEC/VNM/5
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HS Description Legal basis Time Legal documents for 
enactment 
252310 
25232100 25232910 Cement and clinker Decision No. 28 1 January 2003 Decision No. 46 
2710 Petroleum oils (except for lubricant oil) Decision No. 28 1 January 2004 Decision 
No. 187/2003/QD-TTg 
dated 15 September 2003 of the Prime Minister 
3102 
3103 
3105 Fertilizer Decision No. 28 1 May 2001 Decision No. 46 
4801 
4802 
4804 Paper, cardboard, smooth carton, carton duplex, toilet paper  Decision No. 28 
Circular No. 02 TM/XNK 1 May 2001 Decision No. 46 
6904 
6907 6908 Ceramic and granite tiles with the size not more than 400mm x 400mm  Decision No.  242 1 May 2001 Decision No. 46 
6910 
6911 
6912 
7013 Ceramic, porcelain and glass consumer goods Decision No.  2547 1 May 2001 Decision No. 46 
70049090 
70052990 70042090 
70052190 White and clear construction glass with thickness from 1.5mm - 12mm Decision No. 28  
Circular No. 02 TM/XNK 1 January 2002 Decision No. 46 
                                                      
7 Decision No.  254/1998/QD-TTg of the Prime Minister dated 30 December 1998 on  the management of importation and exportation in  1999.  
  WT/ACC/SPEC/VNM/5 
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HS Description Legal basis Time Legal documents for 
enactment 
72131010 
72131020 72139100 
72139900 
72141020 72142020 
72149100 
72149900 72162100 
72164010 
72165010 72161000 
72163110 
72163210 72163310 
73063091 
73069091 
72104110 
72104910 72106110 
72106910 
721710 721720 
73130000 
73144100 Construction steel Decision No. 28 
Circular No. 02 TM/XNK dated 21 February 1997 1 January 2002 Decision No. 46 
841451 Electric fans Decision No. 254 1 May 2001 Decision No. 46 
8702, 8703 Automobile components in form of SKD and CKD1 Decision No. 28 1 May 2001 Decision No. 46 
8702 
8703 
870421 10-15 seat motor vehicles  
Motor vehicles for the transport of persons and goods 
Trucks with capacity not exceeding 5 tonnes Decision No. 254 1 May 2001 Decision No. 46 
8711 Two-wheel and three-wheel component s in form of SKD and  CKD Decision No. 242 1 January 2003 Decision No. 46 
8712 Bicycles Decision No. 254 1 May 2001 Decision No. 46  
   WT/ACC/SPEC/VNM/5
 Page 145Phasing out schedule 
HS Description Legal basis Time Legal documents for 
enactment 
 
C.  Import licence by line Ministries8   1 May 2001 Decision No. 46 
Chapter 1 Live animals Decree No. 899 
Decision No. 0710 1 May 2001 Decision No. 46 
 Live horses    
0101.1110 -  Pure-bred breeding animals    
 Live bovine animals    
0102.1010 -  Pure-bred breeding animals    
 Live swine    
0103.10 -  Pure-bred breeding animals    
 Live sheep    
0104.1010 -  Pure-bred breeding animals    
 Live goats    
0104.2010 -  Pure-bred breeding animals    
0105 Live poultry, that is to say, fowls of the species Gallus Domesticus, 
ducks, geese, turkeys and guinea fowls     
0105.10 -  Weighing not more than 185g:    
0105.1010 --  Fowls of species Gallus Domesticus    
 ---  Pure-bred breeding animals    
0105.1090 Other:    
 --  Pure-bred breeding animals    
0105.90 Weighing more than 185g:    
0105.9010 --  Fowls of species Gallus Domesticus    
 ---  Pure-bred breeding animals    
0105.9090 Other:    
 --  Pure-bred breeding animals    
0106.00 Other live animals    
0106.0010 -  Pure-bred breeding animals    
                                                      
8 All products under the second column of this section have been replaced, unl ess otherwise indicated, by those listed in Annex C attached to WT/ACC/VNM/... (Q&A 
of the 9th Session) since 1 May 2001 according to the Decision No. 46/2001/QD-TTg dated 4 April 2001 of the Prime Minister. 
9 Decree No. 89/CP dated 15 December 95 by the Government. 
10 Decree No. 07/CP dated 5 February 1996 by the Government.  
  WT/ACC/SPEC/VNM/5 
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HS Description Legal basis Time Legal documents for 
enactment 
Chapter 3 Fish and crustaceans, molluscs and other aquatic invertebrates Decree No. 89 
 1 May 2001 Decision No. 46 
0301 Live fish    
0301.90 - Other live fish:    
0301.9010 --  Pure-bred breeding animals    
0301.93 -  Carp:    
0301.9310 --  Pure-bred breeding animals    
0301.99 -  Other:    
0301.9910 --  Pure-bred breeding animals     
0306.00 Crustaceans, whether in shell or not, live, fresh, chille d, frozen, dried, 
salted or in brine; crus taceans, in shell, cooked by steaming or by boiling 
in water, whether or not chilled, frozen, dried, salted or in brine; flours, 
meals and pellets of crustaceans, fit for human consumption    
0306.0010 --  Pure-bred breeding animals    
0307.00 Molluscs, whether in shell or not, live, fresh, chilled, frozen, dried, salted 
or in brine;aquatic invertebrates other than crustaceans and molluscs, 
live, fresh, chilled, frozen,dried, sa lted or in brine; flours, meals and 
pellets of aquatic invertebrates other than crustaceans, fit for human 
consumption    
0307.0010 --  Pure-bred breeding animals    
Chapter 4 Dairy produce; birds' eggs; natural honey; edible products of animal 
origin, not elsewhere sp ecified or included    
0407.00 Birds' eggs, in shell, fresh, preser ved or cooked Decree No. 89 Subject to TRQ  
since May 2003 Decision No. 91 
 
Chapter 5 Products of animal origin, not elsewhere specified included Decree  No. 89 1 May 2001 Decision No. 46 
 0501.00 Human hair, unworked, whether or not washed or scoured; waste of 
human hair    
0502.00 Pigs', hogs' or boars' bristles and hair; badger hair and other brush 
making hair; waste of such bristles or hair    
Chapter 6 Live trees and other plants; bulbs, roots and the like;  cut flowers and 
ornamental foliage Decree No. 89 1 May 2001 Decision No. 46 
0601.00 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, dormant, in 
growth or in flower; chicory plants and roots other than roots of heading 
No. 12.12    
0602.00 Other live plants (including their roots), cuttings and slips; mushroom 
spawn     
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HS Description Legal basis Time Legal documents for 
enactment 
Chapter 10 Cereals Decree No. 89 1 May 2001 Decision No. 46 
1005.0010 Maize (corn)for sowing    
1006.1010 Rice in the husk (paddy or rough) for sowing    
Chapter 12 Oil seeds and oleaginous fruits; miscellaneous grains, seeds and fruit; 
industrial or medicinal plants; straw and fodder Decree No. 89 1 May 2001 Decision No. 46 
1209.00 Seeds, fruit and spores, of a kind used for sowing    
Chapter 14 Vegetable plaiting materials; vegetable products not elsewhere specified 
or included Decree No. 89 1 May 2001 Decision No. 46 
1401.00 Vegetable materials of a kind used primarily for plaiting (for example, 
bamboos, rattans, reeds, rushes, osier, raffia, cleaned, bleached or dyed 
cereal straw, and lime bark)    
Chapter 23 Residues and waste fro m the food industries;  prepared animal fodder Decree No. 89 1 May 2001 Decision No. 46 
Chapter 29 Organic chemi cals Decree No. 89 1 May 2001 Decision No. 46 
2936 Provitamins and vitamins, natural or reproduced by synthesis (including 
natural concentrates), derivatives ther eof used primarily as vitamins, and 
intermixtures of the foregoing, whether or not in any solvent    
2937 Hormones, natural or reproduced by synthesis; derivatives thereof, used 
primarily as hormones; other steroids use primarily as hormones    
2938 Glycosides, natural or reproduced by synthesis, and their salts, ethers, 
esters and other derivatives    
2939 Vegetable alkaloids, natural or reproduces by synthesis, and their salts, 
ethers, esters and other derivatives    
2941 Antibiotics    
2941.10 -  Penicillins and their derivatives with a penicillanic acid structure; salts 
thereof    
2941.1010 Penicillins G (for injection)    
2941.1020 Penicillins V all kind of finish products (Vegacilline) of any content (for 
drinking)    
2941.1030 Penicillin sodiquet Procain (for injection)    
2941.1040 Benzathin penicillin, benzathin benzil penicillin (for injection)    
2941.1090 Other    
2941.20 -  Streptomycins and their derivatives; salts thereof    
2941.2010 Streptomycins sulphate (for injection)    
2941.2020 Derivatives of streptomycins (for injection)    
2941.2090 Other     
  WT/ACC/SPEC/VNM/5 
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HS Description Legal basis Time Legal documents for 
enactment 
2941.30 -  Tetracyclines and their derivatives; salts thereof:    
2941.3010 Tetracyclines of any content  (for drinking)    
2941.3020 Tetracycline  of any content (for injection)    
2941.3090 Other    
2941.40 -  Chloramphenicol and its derivatives; salts thereof    
2941.4010 Chloramphenicol of any content (for drinking)    
2941.4020 Chloramphenicol of any content (for drinking)    
2941.4090 Other    
2941.50 -  Erythromycin and its derivatives; salts thereof    
2941.5010 Erythromycin  base, estolat, ethylsucdirat, lacto-biarat (for injection)    
2941.5020 Erythromycin (base, estolat,ethylsucdirat, lacto-biarat of any content (for 
drinking).    
2941.5090 Other    
2941.90 Other    
 Amoxicilin (for injection, drinking)    
 Ampixilin trihydrat, natrium (for injection and drinking)    
 Methinciline sodium (for injection)    
 Cloxacilline sodium (for injection)    
 Gentamycin sunfat (for injection)    
 Cephapirine sodique, cefalotine (for injection and drinking)    
 Lyncomycin base vÿ c,c d'ng HCL (for injection)    
 Lyncomycin base vÿ c,c d'ng HC- (for injection)    
 Sulfamethoxarol (SMZ) (for injection and drinking)    
 Trymethoroprin (TM) (for injection and drinking)    
Chapter 30 Pharmaceutical products Decr ee No. 89 1 May 2001  Decision No. 46 
Chapter 37 Photographic or cinematographic goods Decree No. 89. 
Inter-ministerial Circular  
No. 2611 1 May 2001 Decision No. 46 
370100 Film for printing industry    
                                                      
11 Inter-ministerial Circular No. 26/TTLB dated 19/4/1994 by the Ministry of Cultu re & Information, Ministry of Trade.  
   WT/ACC/SPEC/VNM/5
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Chapter 38 Miscellaneous chemical products Decree No. 89 1 May 2001 Decision No. 46 
3808 Insecticides, rodenticides, fungicid es, herbicides, anti-sprouting products 
and plant-growth, regulators, disinfectant and similar products, put up in forms or packings for retail sale or as preparations or articles (for 
example, sulphur-treated bands, wi cks and candles, and fly-papers)    
 -Insecticides:    
38081010 Aerosol    
38081090 Other    
380820 - Fungicides:    
38082010 Liquid    
38082090 Other    
380830 - Herbicides, anti-sprouting products and plant-growth regulators    
Chapter 39 Plastics and articl es thereof Decree No. 89 1 May 2001 Decision No. 46 
391500 Waste, parings and scrap, of plastic    
Chapter 40 Rubber and articl es thereof Decree No. 89 1 May 2001 Decision No. 46 
400400 Waste, parings and scrap of rubber (other than hard rubber) and powders 
and granules obtained there from    
401400 Hygienic or pharm aceutical articles (including  teats), of vulcanised 
rubber other than hard rubber, with or without fittings of hard rubber    
Chapter 41 Raw hides and skins (other than fur skins) and leather Decree No. 89 1 May 2001 Decision No. 46 
411000 Parings and other waste of leather or of composition leather, not suitable 
for the manufacture of leather articles; leather dust, powder and flour    
Chapter 44 Wood and articles of wood; wood charcoal Decree No. 89 1 May 2001 Decision No. 46 
440100 Fuel wood, in logs, in billets, in twigs, in faggots or in similar forms; 
wood in chips or particles; sawdust and wood waste and scrap, whether 
or nor agglomerated in logs, briquettes, pellets or similar form    
440300 Wood in the rough, whether or not stripped of bark or sapwood, or 
roughly squared    
440400 Hoopwood; split poles; piles, pickets and stakes of wood, pointed but not 
sawn lengthwise; wooden sticks, roughly trimmed but not turned, bent or 
otherwise worked, suitable for the manufacture of walking-sticks, 
umbrellas, tool handles or the like; chipwood and the like    
440500 Wood wool, wood flour    
440600 Railway or tramway sleepers (cross-ties) of wood    
440700 Wood sawn or chipped lengthwise, sliced or peeled, whether or not 
planed, sanded or finger-jointed, of a thickness exceeding 6 mm.     
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HS Description Legal basis Time Legal documents for 
enactment 
440800 Veneer sheets and sheets for plywood (whether or not spliced) and other 
wood sawn lengthwise, sliced or p eeled, whether or not planed, sanded 
or finger-jointed, of a thickness not exceeding 6 mm    
440900 Wood (including strips and friezes  for parquet flooring, not assembled) 
continuously shaped (tongued, grooved, rebated, V-jointed, beaded, 
moulded, rounded or the like) along any of its edges or faces, whether or not planed, sanded or finger-jointed Decree No. 89 
Decision No. 28 1 May 2001 Decision No. 46 
441000 Particle board and similar board of wood or other ligneous materials, 
whether or not agglomerated with resins or other organic binding 
substances     
441100 Fibreboard of wood or other ligneous materials, whether or not bonded 
with resins or other organic substances    
441200 Plywood, veneered panels and similar laminated wood    
441300 Densified wood, in blocks, plates, strips or profile shapes    
Chapter 47 Pulp of wood or of other fibrous cellulosic material; recover (waste and 
scrap) paper or paperboard Decree No. 89 1 May 2001 Decision No. 46 
470700 Recovered (waste and scrap) paper or paperboard    
Chapter 49 Printed books, newspaper, picture and other products of the printing 
industry; manuscripts, typescripts and plans Decree No. 89 1 May 2001 Decision No. 46 
4901 Printed books, brochures, leaflets and similar printed matter, whether or 
not in single sheets    
490110 -  In single sheets, whether or not folded    
 -  Other:    
490191 -- Dictionaries and encyclopedias, and serial instalments thereof    
490199 -  Other:    
49019910 --- Classbooks, economy or technology sciential or social sciential books    
49019990 Other    
4902 Newspapers, journals and periodicals, whether or not illustrated or 
containing advertising material.    
490210 Appearing at least four times a week:    
49021010 Economy or technology sciential or social sciential newspapers and 
journals    
49021090 Other    
490290 Other    
49029010  Issuing for advertisement purposes     
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49029020  Economy or technology sciential or social sciential newspapers and 
journals     
49029090 Other    
490300 Children,s picture, drawing or colouring books    
490400 Music, printed or in manuscript, whether or not bound or illustrated    
491000 Calendars of any kind, printed, including calendar blocks    
491100 Other printed matter, including printed pictures and photographs    
Chapter 50 Silk Decree No. 89 1 May 2001 Decision No. 46 
5003 Silk waste (including cocoons unsuitable for reeling, yarn waste and 
garnetted stock)    
500310 -  Not carded or combed    
500390 -  Other    
Chapter 51 Wool, fine or coarse animal hair;  horsehair yarn and wove n fabric Decree No. 89 
 1 May 2001 Decision No. 46 
510300 Waste of wool or of fine or coarse animal hair, including yarn waste but 
excluding garnetted stock    
Chapter 52 Cotton Decree No. 89 1 May 2001 Decision No. 46 
5202 Cotton waste (including yarn waste and garnetted stock)    
520210 -  Yarn waste (including thread waste)     
Chapter 70 Glass and glas sware Decree No. 89 1 May 2001 Decision No. 46 
7001 Cullet and other waste and scrap of glass; glass in the mass    
Chapter 71 Natural or cultured pearls, precious or semi-precious stones, precious 
metals, metal clad with precious me tals, and articles thereof; imitation 
jewellery; coin Decree No. 89 
 1 May 2001 Decision No. 46 
710100 Pearls, natural or cultured, whether or not worked or graded but not 
strung, mounted or set; pearls, natural or cultured, temporarily strung for 
convenience of transport    
710200 Diamonds, whether or not worked, but not mounted or set     
710300 Precious stones (other than diamonds) and semi-precious stone, whether 
or not worked or graded but not strung, mounted or set; un-graded precious stones (other than diamonds) and semi-precious stones, 
temporarily strung for co nvenience of transport.    
710400 Synthetic and reconstructed precious or semi-precious stones, whether or 
not work or graded but not strung, mounted or set; un-graded synthetic or reconstructed precious or semi-precious stones, temporarily strung for 
convenience of transport Decree No. 89 
Decision No. 28 1 May 2001 Decision No. 46  
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710500 Dust and powder of natural or synthetic precious or semi-precious stones    
710600 Silver (including silver plated with gold or platinum), unwrought or in 
semi-manufactured forms, or in powder form    
710700 Base metals clad with silver, not further worked than semi-manufactured     
710800 Gold (including gold plated with platinum) unwrought or in semi-
manufactured forms, or in powder form     
710900 Base metals or silver, clad with gold, not further worked than semi-
manufactured    
711000 Platinum, unwrought or in semi-manufactured forms, or in powder form; 
Base metals, silver or gold, clad with platinum, not further worked than semi-manufactured     
711200 Waste and scrap of precious meta l or of metal clad with precious metal; 
other waste and scrap containing precious or precious metal compounds, 
of a kind used principally for the recovery of precious metal.    
Chapter 84 Nuclear reactors,  boilers, machinery and mech anical appliances; parts 
thereof  Decree No. 89 
 1 May 2001 Decision No. 46 
8442 Machinery, apparatus and equipmen t (other than the machine-tools of 
heading Nos.84.56 to 84.65), for type-founding or type-noting, for 
preparing or making printing blocks, plates, cylinders or other printing 
components; printing type, blocks, plates, cylinders and other printing 
components, blocks, plat es, cylinders and lithographic stones, prepared 
for printing purposes (for example, planed, grained or polished)    
844210 - Phototype-setting and composing machines    
844220 -Machinery, apparatus and equipment for type setting or composing by 
other processes, with or without founding device:    
844230 - Other machinery, apparatus and equipment     
844250 - Printing type, blocks, plates, cylinders and other printing 
components; blocks, plates, cy linders and lithographic stones, 
prepared for printing purposes (for example, planed, grained or 
polished)    
8443 Printing machinery, including ink-jet printing machines, other than those 
of heading No.84.71; machines for uses auxiliary to printing    
844310 - Offset printing machinery    
844320 - Printing machinery for printing wording (not design), exclude 
flexographic printing machinery     
844330 - Flexographic printing machinery     
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HS Description Legal basis Time Legal documents for 
enactment 
844340 - Gravure printing machinery    
844350 - Other printing machinery    
844360 - Machinery for uses of printing technology    
Chapter 85 Electrical machinery and equipm ent and parts thereof; sound recorders 
and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles  Decree No. 89 
 1 May 2001 Decision No. 46 
8524 Records, tapes and other recorded media for sound or other similarly 
recorded phenomena, including matrices and masters for the production 
of records, but excluding products of Chapter 37    
8525 Transmission apparatus for radio-telephony, radio-telegraphy, radio-
broadcasting or television, whether or not incorporating reception 
apparatus or sound recording or reproducing apparatus; television 
cameras; still image video cameras and other video camera recorders    
852510 -  Transmission apparatus    
852520 - Transmission apparatus incorporating reception apparatus    
8526 Radar apparatus, radio navigati onal aid apparatus and radio remote 
control apparatus    
852610 - Radar apparatus    
 - Other:    
852691 -  - Radio navigational aid apparatus    
852692 -  - Radio remote control apparatus    
8527 Reception apparatus for radio-tele phony, radio-telegraphy or radio 
broadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock    
 - Radio-broadcast receivers capable of operating without an external 
source of power, including apparatu s capable of receiving also radio- 
telephony or radio-telegraphy:    
852711 -  - Combined with sound recording or reproducing apparatus    
852719 --  Other    
 - Radio-broadcast receivers not capable of opera ting without an 
external source of power, of a kind  used in motor vehicles, including 
apparatus capable of receiving also radio-telephony or radio-
telegraphy    
852721 -  - Combined with sound recording or reproducing apparatus    
852729 --  Other     
  WT/ACC/SPEC/VNM/5 
Page 154 Phasing out schedule 
HS Description Legal basis Time Legal documents for 
enactment 
 - Other radio-broadcast receivers, including apparatus capable of 
receiving also radio- tele phony or radio-telegraphy    
852790 Other    
Chapter 88 Aircraft, spacecraft, and parts ther eof Decree No. 89 1 May 2001 Decision No. 46 
880200 Other aircraft (for examples , helicopters, aeroplanes); spacecraft 
(including satellites) and suborbita l and spacecraft launch vehicles    
Chapter 89 Ships, boats and floating structures  Decree No. 89 1 May 2001 Decision No. 46 
8901 Cruise ships, excursion boats, ferry-boats, cargo ships, barges and similar 
vessels for the transport of persons or goods    
890110 - Cruise ships, excursion bo ats, and similar vessels principally 
designed for the transport of persons; ferry-boats of kinds    
890120 -  Tankers    
890130 -  Refrigerated vessels, other than those of subheading No.8901.20    
890190 - Other vessels for the transport of goods and other vessels for the 
transport of both persons and goods    
890200 Fishing vessels; factory ships and other vessels for preserving fishery 
products    
890400 Tugs and pusher craft    
890500 Light-vessels, fire-floats, dredgers, floating cranes, and other vessels the 
navigability of which is subsidiary to their main function; floating docks; 
floating or submersible drilling or production platforms.    
890600 Other vessels, including warships and lifeboats other than rowing boats.    
 Chapter 90 Optical, photographic, cinemato graphic, measuring, checking, precision, 
medical or surgical instruments  and apparatus; parts and accessories thereof Decree No. 89 
 1 May 2001 Decision No. 46 
900900 Photo-copying apparatus incorporating an optical system or of the 
contact type and thermo-copying apparatus    
901800 Instruments and appliances used in medical, surgical, dental or veterinary 
sciences, including scintigraphic ap paratus, other electro-medical 
apparatus and sight-testing instruments    
902200 Apparatus based on the use of X-rays or of alpha, beta or gamma 
radiations, whether or not for medical, surgical, dental or veterinary uses, 
including radiography or radiotherapy apparatus, X-ray tubes and other X-ray generators, high tension gene rator, control panels and desks, 
screens, examination or treatm ent tables, chairs and the like     
   WT/ACC/SPEC/VNM/5
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HS Description Legal basis Time Legal documents for 
enactment 
Chapter 96 Miscellaneous manufactured articles Decree No. 89 1 May 2001 Decision No. 46 
960100 Worked ivory, bone, tortoise-she ll, horn, antlers, coral, mother-of-pearl 
and other animal carving material , and articles of these materials 
(including articles obtained by moulding)    
Chapter 97 Works of art, collectors' pieces and an tiques Decree No. 89 1 May 2001 Decision No. 46 
970200 Original engravings, prints and lithographs    
D.  Restriction in payment method (requirement in terms of foreign exchange self-balance and down payment) 
 Consumers goods: The detailed list of consumers goods with HS codes is 
stated in Table 4(c) below. Decision No.  254 1 May 2001 Decision No. 46 
 
 
  WT/ACC/SPEC/VNM/5 
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  Table 4(c): List of Consumer Goods Subject to Restriction in Payment Method  
 
Chapter HS Description 
Chapter 2 0201 Meat of bovine animals, fresh or chilled.  
 0202 Meat of bovine animals, frozen.                                             
 0203 Meat of swine, fresh, chilled or frozen.                                  
 0204 Meat of sheep or goats, fresh, chilled or frozen.                           
 02050000 Meat of horses, asses, mules or hinnies, fresh, chilled or frozen.    
 0206 Edible offal of bovine animals, sw ine, sheep, goats, horses, asses, mules or 
hinnies, fresh, chilled or frozen. 
 0207 Meat and edible offal, of the poultry of heading 01.05, fresh,  chilled or frozen. 
 0208 Other meat and edible meat offal, fresh, chilled or frozen. 
 02090000 Pig fat, free of lean meat, and poultry fat, not rendered or otherwise extract, 
fresh, chilled, frozen, salted, in brine, dried or smoked.                            
 0210 Meat and edible meat offal, salted, in brine, dried or smoked; edible flours and 
meals of meat or meat offal. 
Chapter 3 0301 Live fish. 
 0302 Fish, fresh or chilled, excluding fish fillets and other fish meat of heading 03.04 
 0303 Fish, frozen, excluding fish fillets and other fish meat of heading 03.04 
 0304 Fish fillets and other fish meat (whether or not minced), fresh, chilled or frozen. 
 0305 Fish, dried, salted or in brine, smoked fish, whether or not cooked before or 
during the smoking process; flours, meals and pellets of fish, fit for human consumption. 
 0306 Crustaceans, whether in shell or not, live, fresh, ch illed, frozen, dried, salted or 
in brine; crustaceans, in shell, cooke d by steaming or by boiling in water, 
whether or not chilled, frozen, dried, salted or in brine; flours, meals and pellets of crusta 
 030700 Molluscs, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in 
brine; aquatic invertebrates other than  crustaceans and molluscs, live, fresh, 
chilled, frozen, dried, salted or in brine; flours, meals and pellets of aquatic 
invertebra 
Chapter 4 0401 Milk and cream, not concentrated nor containing added sugar or other 
sweetening matter. 
 0402 Milk and cream, concentrated or containing added sugar or other sweetening 
matter. 
 0403 Buttermilk, curdled milk and cream, yogurt, kephir and other fermented or 
acidified milk and cream, whether or not concentrated or containing added 
sugar or other sweetening matter or flavoured or containing added fruit, nuts or cocoa.  
 0404 Whey, whether or not concentrated or containing added sugar or other 
sweetening matter; products consisting of natural milk constituents, whether 
 0405 Butter and other fats and oils derived from milk; dairy spreads. 
 0406 Cheese and curd.                                                            
 040700 Birds' eggs, in shell, fresh, preserved or cooked.                                       
 0408 Birds' eggs, not in shell, and egg yolks, fresh, dried, cooked by steaming or by 
boiling in water, moulded, frozen or otherwise preserved, whether or not containing added sugar or other sweetening matter.  
 04090000 Natural honey.                                                                 
 0410 Edible products of animal origin, not elsewhere specified or included.       
Chapter 6 0603 Cut flowers and flower buds of a kind suitable for bouquets or for ornamental 
purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared. 
 0604 Foliage, branches and other parts of plants, without flowers or flower buds, and 
grasses, mosses and lichens, being goods of a kind suitable for bouquets or 
ornamental purposes, fresh , dried, dyed, bleached, impregnated or otherwise 
prepared.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
Chapter 7 0701 Potatoes, fresh or chilled. 
 07019000 Potatoes, fresh or chilled. 
 07020000 Tomatoes, fresh or chilled. 
 0703 Onions, shallots, garlic, leeks and ot her alliaceous vegetables, fresh or chilled. 
 0704 Cabbages, cauliflowers, kohlrabi, kale and similar edible brassicas, fresh or 
chilled. 
 0705 Lettuce (Lactuca sativa) and chicory (Cichorium spp.), fresh or chilled.  
 0706 Carrots, turnips, salad beetroot, sals ify, celeriac, radishes and similar edible 
roots, fresh or chilled. 
 07070000 Cucumbers and gherkins, fresh or chilled. 
 0708 Leguminous vegetables, shelle d or unshelled, fresh or chilled. 
 0709 Other vegetables, fresh or chilled. 
 0710 Vegetables (uncooked or cooked by steaming or boiling in water), frozen. 
 0711 Vegetables provisionally preserved (for example, by sulphur dioxide gas,  in 
brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption. 
 0712 Dried vegetables, whole, cut, sliced, broken or in powder, but not further 
prepared. 
 0713 Dried leguminous vegetables, she lled, whether or not skinned or split. 
 0714 Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar  
roots and tubers with high starch or i nulin content, fresh, chilled, frozen or 
dried, whether or not sliced or in the form of pellets; sago pith. 
Chapter 8 0801 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled.  
 08011100 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled. 
 08011900 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled.  
 08012100 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled. 
 08012200 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled. 
   
 08013200 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not  shelled or 
peeled. 
 0802 Other nuts, fresh or dried, whether or not shelled or peeled.  
 08030000 Bananas, including plantains, fresh or dried.   
 0804 Dates, figs, pineapples, avocados, guavas, mangoes and mangosteens, fresh or 
dried. 
 0805 Citrus fruit, fresh or dried. 
 0806 Grapes, fresh or dried. 
 0807 Melons (including watermelons) and papaws (papayas), fresh.  
 0808 Apples, pears and quinces, fresh. 
 0809 Apricots, cherries, peaches (includi ng nectarines), plums and sloes, fresh. 
 0810 Other fruit, fresh. 
 0811 Fruit and nuts, uncooked or cooked by steaming or boiling in water, frozen,  
whether or not containing added sugar or other sweetening matter. 
 0812 Fruit and nuts, provisionally preserved (for example, by sulphur dioxide gas, in 
brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption. 
 0813 Fruit, dried, other than that of headings 08.01 to 08.06; mixtures of nuts or dried 
fruits of this Chapter. 
 08140000 0814.00.00  Peel of citrus fruit or melons (including watermelons), fresh, 
frozen, dried, or provisionally preserved in brine, in sulphur water or in other preservative solutions. WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
Chapter 9 0901 Coffee, whether or not roasted or decaffein ated; coffee husks and skins; coffee 
substitutes containing coffee in any proportion.  
 090121 Coffee, whether or not roasted or decaffeinated; coffee husks and skins; coffee 
substitutes containing coffee in any proportion.  
 090122 Coffee, whether or not roasted or decaffeinated; coffee husks and skins; coffee 
substitutes containing coffee in any proportion.  
 0902 Tea, whether or not flavoured. 
 09030000 Mate 
 0904 Pepper of the genus Piper; dried or crushed or ground fruits of the genus  
Capsicum or of the genus Pimenta.  
 0909 Seeds of anise, badian, fennel, coriander, cumin or caraway; juniper berries. 
 0910 Ginger, saffron, turmeric (curcuma),  thyme, bay leaves, curry and other spices. 
Chapter 10 100630 Rice. 
 10064000 Rice. 
Chapter 12 12060000 Sunflower seeds, whether or not broken.  
Chapter 15 15010000 Pig fat (including lard) and poultry fat, other than that of heading 02.09 or 
15.03. 
 1507 Soya-bean oil and its fractions, whether or not refined, but not chemically 
modified.  
 15079010 Soya-bean oil and its fractions, whether or not refined, but not chemically 
modified.  
 15079090 Soya-bean oil and its fractions, whether or not refined, but not chemically 
modified.  
 1508 Ground-nut oil and its fractions, whether or not refined, but not chemically 
modified. 
 15089010 Ground-nut oil and its fractions, whether or not refined, but not chemically 
modified. 
 15089090 Ground-nut oil and its fractions, whether or not refined, but not chemically 
modified. 
 1509 Olive oil and its fractions, whether or not refined but not chemically modified. 
 150990 Olive oil and its fractions, whether or not refined but not chemically modified. 
   
 15099011 Olive oil and its fractions, whether or not refined but not chemically modified. 
 15099021 Olive oil and its fractions, whether or not refined but not chemically modified. 
 15099091 Olive oil and its fractions, whether or not refined but not chemically modified. 
 15099099 Olive oil and its fractions, whether or not refined but not chemically modified. 
 1510 Other oils and their fractions, obtained solely from olives, whether or not 
refined, but not chemically modified, including blends of these oils or fractions 
with oils or fractions of heading 15.09. 
 15100091 Other oils and their fractions, obtained solely from olives, whether or not 
refined, but not chemically modified, including blends of these oils or fractions with oils or fractions of heading 15.09. 
 15100099 Other oils and their fractions, obtained solely from olives, whether or not 
refined, but not chemically modified, including blends of these oils or fractions 
with oils or fractions of heading 15.09.  
 1511 Palm oil and its fractions, whether or not refined, but not chemically modified. 
 15119090 Palm oil and its fractions, whether or not refined, but not chemically modified. 
 1512 Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or 
not refined, but not chemically modified.  
 15121910 Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or 
not refined, but not chemically modified. 
 15121990 Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or 
not refined, but not chemically modified. 
 15122910 Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or 
not refined, but not chemically modified.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 15122990 Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or 
not refined, but not chemically modified. 
 1513 Coconut (copra), palm kernel or babassu oil and fractions thereof, whether or 
not refined, but not chemically modified. 
 15131910 Coconut (copra), palm kernel or babassu oil and fractions thereof, whether or 
not refined, but not chemically modified 
 15131990 Coconut (copra), palm kernel or babassu oil and fractions thereof, whether or 
not refined, but not chemically modified.  
 15132910 Coconut (copra), palm kernel or babassu oil and fractions thereof, whether or 
not refined, but not chemically modified. 
 15132990 Coconut (copra), palm kernel or babassu oil and fractions thereof, whether or 
not refined, but not chemically modified.  
 1514 Rape, colza or mustard oil and fractions thereof, whether or not refined, but not 
chemically modified.  
 15141990 Rape, colza or mustard oil and fractions thereof, whether or not refined, but not 
chemically modified.  
 15149190 Rape, colza or mustard oil and fractions thereof, whether or not refined, but not 
chemically modified.  
 15149910 Rape, colza or mustard oil and fractions thereof, whether or not refined, but not 
chemically modified.  
 15149920 Rape, colza or mustard oil and fractions thereof, whether or not refined, but not 
chemically modified.  
 15149999 - - - - Other  
 1515 Other fixed vegetable fats and oils (including jojoba oil) and their fractions, 
whether or not refined, but not chemically modified. 
 15152990 Other fixed vegetable fats and oils (including jojoba oil) and their fractions, 
whether or not refined, but not chemically modified. 
 15154090 Other fixed vegetable fats and oils (including jojoba oil) and their fractions, 
whether or not refined, but not chemically modified. 
 15155090 Other fixed vegetable fats and oils (including jojoba oil) and their fractions, 
whether or not refined, but not chemically modified. 
 15159099 Other fixed vegetable fats and oils (including jojoba oil) and their fractions, 
whether or not refined, but not chemically modified. 
 1516 Animal or vegetable fats and oils and their fractions, partly or wholly 
hydrogenatedinter- esterified, re-esterified or, elaidinised, whether or not refined, but not further  prepared.  
 15171000 Margarine, edible mixtures or preparations of animal or vegetable fat or oils or 
of fractions of different fats or oils of th is Chapter, other than edible fats or oils 
or their fractions of heading 15.16.  
 15179090 Margarine, edible mixtures or preparations of animal or vegetable fat or oils or 
of fractions of different fats or oils of th is Chapter, other than edible fats or oils 
or their fractions of heading 15.16.  
Chapter 16  The whole chapter 16 
Chapter 17 1701 Cane or beet sugar and chemically pure sucrose, in solid form. 
 17019100 Cane or beet sugar and chemically pure sucrose, in solid form. 
 170199 Cane or beet sugar and chemically pure sucrose, in solid form. 
 17019911 Cane or beet sugar and chemically pure sucrose, in solid form. 
 17019990 - - - Other  
 1704 Sugar confectionery (including white chocolate), not containing cocoa. 
Chapter 18 1806 Chocolate and other food preparations containing cocoa. 
Chapter 19 1902 Pasta, whether or not cooked or stuffed (with meat or other substances) or 
otherwise prepared, such as spaghetti, macaroni, noodles, lasagne, gnocchi, 
 19030000 Tapioca and substitutes therefore prep ared from starch, in the form of flakes, 
grains, pearls, siftings or in similar forms.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 1904 Prepared food obtained by the swelling or roasting of cereals or cereal products 
(for example, corn flakes); cereals (other than maize (cor n)), in grain form or in 
the form of flakes or other worked grains (except flour, groats and meal), pre-
cooked or ot 
 1905 Bread, pastry, cakes, biscuits and other bakers' wares, whether or not containing 
cocoa; communion wafers, empty cachets of a kind suitable for pharmaceutical 
use, sealing wafers,  rice paper and similar products.   
Chapter 20 2001 Vegetables, fruit, nuts and other edible parts of plants, prepared or preserved by 
vinegar or acetic acid. 
 2002 Tomatoes prepared or preserved otherwise than by vinegar or acetic acid. 
 2003 Mushrooms and truffles, prepared or preserved otherwise than by vinegar or 
acetic acid. 
 2004 Other vegetables prepared or preserve d otherwise than by vinegar or acetic acid, 
frozen, other than products of heading 20.06.  
 2005 Other vegetables prepared or preserve d otherwise than by vinegar or acetic acid, 
not frozen, other than products of heading 20.06. 
 20060000 Vegetables, fruit, nuts, fruit-peel and other parts of plants, preserved by sugar 
(drained, glacÐ or crystallised)  
 2007 Jams, fruit jellies, marmalades, fruit or nut purée and fruit or nut pastes, 
obtained by cooking, whether or not containing added sugar or other sweetening 
matter.  
 2008 Fruit, nuts and other edible parts of plants, otherwise prepared or preserved, 
whether or not containing added sugar or other sweetening matter or spirit, not 
elsewhere specified or included.  
 2009 Fruit juices (including grape must) and vegetable juices, unfermented and not 
containing added spirit, whether or not containing added sugar or other 
sweetening matter.   
Chapter 21 2101 Extracts, essences and concentrates, of coffee, tea or maté and preparations with 
a basis of these products or with a basis of coffee, tea or maté; roasted chicory 
and other roasted coffee substitutes, and extracts, essences and  concentrates 
thereof. 
 2103 Sauces and preparations therefore; mixed condiments and mixed seasonings; 
mustard flour and meal and prepared mustard. 
 2104 Soups and broths and preparations therefore; homogenised composite food 
preparations. 
 21050000 Ice cream and other edible ice, whether or not containing cocoa.  
 2106 Food preparations not el sewhere specified or included. 
 21069010 Food preparations not elsewhere specified or included. 
 21069020 - - Flavoured or coloured syrups 
 21069030 Food preparations not elsewhere specified or included. 
 21069090 Food preparations not elsewhere specified or included. 
Chapter 22 2201 Waters, including natural or ar tificial mineral waters and aerated waters, not 
containing added sugar or other sweetening matter nor flavoured; ice and snow. 
 2202 Waters, including mineral waters a nd aerated waters, containing added sugar or 
other sweetening matter or flavoured, and other non-alcoholic beverages, not including fruit or vegetable juices of heading 20.09. 
 2203 Beer made from malt.  
 2204 Wine of fresh grapes, including fortified wines; grape must other than that  of 
heading 20.09. 
 2205 Vermouth and other wines of fresh grapes flavoured with plants or aromatic 
substances.  
 2206 Other fermented beverages (for example, cider, perry, mead); mixtures of 
fermented beverages and mixtures of fermented beverages and non-alcoholic 
beverages, not elsewhere specified or included.  
 2207 Undenatured ethyl alcohol of an alcoholic strength by volume of 80% vol or 
higher; ethyl alcohol and other spirits, denatured, of any strength.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 2208 Undenatured ethyl alcohol of an alcoholic strength by volume of less than 80% 
vol; spirits, liqueurs and other spirituous beverages. 
 22090000 Vinegar and substitutes for vinegar obtained from acetic acid. 
Chapter 23 230910 Preparations of a kind used in animal feeding. 
Chapter 24 2402 Ci gars, cheroots, cigarillos and cigarettes,  of tobacco or tobacco substitutes. 
 2403 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
 240310 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
   
 24031011 - - - Blended tobacco 
 24031019 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
 24039100 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
 24039940 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
 23049950 Oil-cake and other solid residues, whether or not ground or in the form  of 
pellets, resulting from the extraction of soya-bean oil.                   
 24039960 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
 24039990 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenised" or "reconstituted" to bacco; tobacco extracts and essences. 
Chapter 33 33030000 Perfumes and toilet-waters. 
 3304 Beauty or make-up preparations and preparations for the care of the skin (other 
than medicaments), including sunscreen or suntan preparations; manicure or 
pedicure preparations. 
 3305 Preparations for use on the hair. 
 3306 Preparations for oral or dental hygiene, including denture fixative pastes and 
powders; yarn used to clean between the t eeth (dental floss), in individual retail 
packages. 
 3307 Pre-shave, shaving or after-shave preparations, personal deodorants, bath 
preparations, depilatories and other perf umery, cosmetic or toilet preparations, 
not elsewhere specified or included; prepared room deodorisers, whether or not 
perfumed or having di 
Chapter 34 3401 Soap; organic su rface-active products and prepara tions for use as soap, in the 
form of bars, cakes, moulded pieces or shapes, whether or not  containing soap; 
organic surface; active products and preparations for washing the skin, in the 
form of liquid or 
Except 34012020 Soap; organic su rface-active products and prepara tions for use as soap, in the 
form of bars, cakes, moulded pieces or shapes, whether or not  containing soap; 
organic surface; active products and preparations for washing the skin, in the 
form of liquid or 
 3402 Organic surface-active agents (other than soap); surface-active preparations, 
washing preparations (including auxilia ry washing preparations) and cleaning 
preparations, whether or not containing soap, other than those of heading 34.01 
Except 340220 Organic surface- active agents (other than soap ); surface-active preparations, 
washing preparations (including auxilia ry washing preparations) and cleaning 
preparations, whether or not containing soap, other than those of heading 34.01 
 3405 Polishes and creams, fo r footwear, furniture, floors, coachwork, glass or metal, 
scouring pastes and powders and similar preparations (whether or not in the 
form of paper, wadding, felt, non-wovens, cellular plastics or cellular rubber, impregnated, coated 
 34060000 Candles, tapers, and the like. 
Chapter 36 3604 Fireworks, signalling flares, rain rockets, fog signals and other pyrotechnic 
articles. WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 36049020 Fireworks, signalling flares, rain rockets, fog signals and other pyrotechnic 
articles. 
 36049090 Fireworks, signalling flares, rain rockets, fog signals and other pyrotechnic 
articles. 
 3605 Matches, other than pyrotechnic articles of heading 36.04. 
 36061000 Ferro-cerium and other pyrophoric alloys in all forms; articles of combustible 
materials as specified in Note 2 to this Chapter. 
 36069010 Ferro-cerium and other pyrophoric alloys in all forms; articles of combustible 
materials as specified in Note 2 to this Chapter. 
Chapter 37 3702 Photo graphic film in rolls, sensitised, unexposed, of any material other than 
paper, paper board or textiles; instant print film in rolls, sensitised, unexposed. 
 3703 Photographic paper, paper board and textiles, sensitised, unexposed. 
Chapter 39 3926 Other articles of plastics and ar ticles of other materials of headings 39.01 to 
39.14. 
Except 392690 Other articles of plastics and articles of other materials of headings 39.01 to 
39.14. 
Chapter 42 42010000 Saddlery a nd harness for any animal (inclu ding traces, leads, kneepads, 
muzzles, saddlecloths, saddlebags, dog co ats and the like), of any material. 
 4202 Trunks, suit-cases, va nity-cases, executive-cases, brief-cases, school satchels, 
spectacle cases, binocular cases, camera cases, musical instrument cases, gun 
cases, holsters and similar containers; travelling-bags, insulated food or 
beverages bags, toile 
 4203 Articles of apparel and clothing accessories, of leather or of composition 
leather. 
Chapter 43 4303 Articles of apparel, clothing accessories and other articles of fur-skin. 
 4304 Artificial fur and articles thereof 
Chapter 44 44140000 Wooden frames for paintings, photographs, mirrors or similar objects. 
 44190000 Tableware and kitchenware, of wood. 
 4420 Wood-marquetry and in laid wood; cas kets and cases for jewellery or cutlery, 
and similar articles, of wood statuettes and other ornaments of wood; wooden 
articles of furniture not falling in Chapter 94. 
 4421 Other articles of wood. 
Chapter 46  The whole chapter 46 
 4814 Wallpaper and similar wall coverings; window transparencies of paper. 
 48150000 Floor coverings on a base of paper or of paper board, whether or not cut to size. 
 4817 Envelopes, lettercards, plain post cards and correspondence cards, of paper or 
paperboard; boxes, pouches, wallets and writing compendiums, of paper or 
paperboard, containing an assortment of paper stationery. 
 4818 Toilet paper and similar paper, cellulose  wadding or webs of  cellulose fibres, of 
a kind used for household or sanitary purposes, in rolls of a width not exceeding 16cm, or cut to size or shape; handkerchiefs, cleansing tissues, towels, table 
cloths, serv 
 4819 Cartons, boxes, cases, bags and other packing containers, of paper, paper board, 
cellulose wadding or webs of cellulose fibr es; box files, letter trays, and similar 
articles, of paper or paper board, of a kind used in offices, shops or the like. 
 4820 Registers, account bo oks, notebooks, order books,  receipt books, letter pads, 
memorandum pads, diaries and similar ar ticle, exercise books, blotting-pads, 
binders (loose-leaf or other), folders, file-covers, manifold business forms, 
inter-leaved carbons 
 4823 Other paper, paper board, cellulose wadding and webs or cellulose fibres, cut to 
size or shape; other articles of paper pulp, paper, paper board, cellulose wadding or webs of cellulose fibres. 
 48236000 Other paper, paper board, cellulose wadding and webs or cellulose fibres, cut to 
size or shape; other articles of paper pulp, paper, paper board, cellulose wadding 
or webs of cellulose fibres.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 48239010 Other paper, paper board, cellulose wadding and webs or cellulose fibres, cut to 
size or shape; other articles of paper pulp, paper, paper board, cellulose wadding or webs of cellulose fibres. 
Chapter 49 49090000 Printed or illustrated postcar ds; printed cards bearing personal greetings, 
messages or announcements, whether or  not illustrated, with or without 
envelopes or trimmings. 
 49100000 Calendars of any kind, printed, including calendar blocks. 
Chapter 57  The whole chapter 57 
Chapter 61  The whole chapter 61 except 6114 30 10 and 6114 90 10 
Chapter 62  The whole chapter 62 except 6211 33 10 and 6211 39 10 
Chapter 63 6301 Blankets and travelling rugs. 
 6302 Bed linen, table linen, toilet linen and kitchen linen. 
 6303 Curtains (including drapes) and interior blinds; curtain or bed valances. 
 6304 Other furnishing articles, excluding those of heading 94.04. 
 630710 Other made up articles, including dress patterns. 
 63080000 Sets consisting of woven fabric a nd yarn, whether or not with accessories, for 
making up in to rugs, tapestries, embroidered table-cloths or serviettes, or 
similar textile articles, put up in packings for retail sale. 
 63090000 Worn clothing and other worn articles. 
Chapter 64  The whole chapter 64 except 6406 
Chapter 65 65030000 Felt hats and other felt head gear, made from the hat bodies, hoods or plateaux 
of heading 65.01, whether or not lined or trimmed. 
 65040000 Hats and other head gear, plaited or made by assembling strips of any material, 
whether or not lined or trimmed. 
 6505 Hats and other head gear, knitted or crocheted, or made up from lace, felt or 
other textile fabric in the piece (but not  in strips), whether or not lined or 
trimmed; hair-nets of any material, whether or not lined or trimmed. 
 6506 Other head gear, whether or not lined or trimmed. 
Chapter 66 6601 Umbrellas and sun umbrellas (including walking-stick umbrellas, garden 
umbrellas and similar umbrellas). 
 66020000 Walking-sticks, seat-sticks, whips, riding-crops and the like. 
Chapter 67 6702 Artificial flowers, foliage and fr uit and parts thereof; articles made of artificial 
flowers, foliage or fruit. 
 67030000 Human hair, dressed, thinned, bleach ed or other wise worked; wool or other 
animal hair or other textile materials, prepared for use in making wigs or the 
like. 
 6704 Wigs, false beards, eyebrows and eyel ashes, switches and the like, of human or 
animal hair or of textile materials; articles of human hair not elsewhere 
specified or included. 
Chapter 69 6910 Ceramic sinks, wash basins, wash basin pedestals, baths, bidets, water closet 
pans, flushing cisterns, urinals and similar sanitary fixtures. 
 6911 Tableware, kitchenware, other household articles and toilet articles, of porcelain 
or china. 
 69120000 Ceramic tableware, kitchenware, other household articles and toilet articles, 
other than of porcelain or china. 
 6913 Statuettes and other or namental ceramic articles. 
 6914 Other ceramic articles. 
Chapter 70 7013 Glassware of a kind used for tabl e, kitchen, toilet, office, indoor decoration or 
similar purposes (other than that of heading 70.10 or 70.18). 
 70181000 Glass beads, imitation pearls, imitation precious or semi-precious stones and 
similar glass small wares, and articles thereof other than imitation jewellery; 
glass eyes other than prosthetic articles; statuettes and other ornaments of lamp-worked glass, ot 
 70189090 --Other WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
Chapter 71 7113 Articles of jewellery and parts th ereof, of precious metal or of metal clad with 
precious metal. 
 7114 Articles of goldsmiths' or silversmiths' wares and parts thereof, of precious 
metal or of metal clad with precious metal. 
 7116 Articles of natural or cultured pearls, precious or semi-precious stones (natural, 
synthetic or reconstructed). 
 7117 Imitation jewellery. 
Chapter 73 7321 Stoves, ranges, grates, cookers (including those with subsidiary boilers for 
central heating), barbecues, braziers, ga s-rings, plate warmers and similar non-
electric domestic appliances, and pa rts there of, of iron or steel. 
 7323 Table, kitchen or other household articles and parts thereof, of iron or steel; iron 
or steel wool; pot scourers and scouring or polishing pads, gloves and the like, of iron or steel. 
 7324 Sanitary ware and parts there of, of iron or steel. 
Chapter 74 74170000 Cooking or heating apparatus of a kind used for domestic purposes, non-
electric, and parts thereof, of copper. 
 7418 Table, kitchen or other house hold articles and parts thereof, of copper; pot 
scourers and scouring or polishing pads, gloves and the like, of copper; sanitary ware and parts thereof, of copper. 
Chapter 76 7615 Table, kitchen or other household articles and parts thereof, of aluminium; pot 
scourers and scouring or polishing pads, gloves and the like, of aluminium; 
sanitary ware and parts thereof, of aluminium. 
Chapter 82 82100000 Hand-operated mechanical appliances, weighing 10kg or less, used in the 
preparation, conditioning or serving of food or drink. 
 8212 Razors and razorblades (including razorblade blanks in strips). 
 82142000 Other articles of cutlery (for example, hair clippers, butchers' or kitchen 
cleavers, choppers and mincing knives, paper knives); manicure or pedicure sets 
and instruments (including nail files). 
 8215 Spoons, forks, ladles, skimmers, cake-servers, fish-knives, butter-knives, sugar 
tongs and similar kitchen or tableware. 
Chapter 83 8306 Bells, gongs and the like, non-electric, of base metal; statuettes and other 
ornaments, of base metal; photograph, picture or similar frames, of base metal; mirrors of base metal. 
Chapter 84 841451 Air or vacuum pumps, air or other gas compressors and fans; ventilating or 
recycling hoods incorporating a fan, whether or not fitted with filters. 
 841459 --Other 
 84149019 --Other 
 8415 Air conditioning machines, comprising a motor-driven fan and elements for 
changing the temperature and humidity, in cluding those machines in which the 
humidity cannot be separately regulated. 
 841510 Air conditioning machines, comprising a motor-driven fan and elements for 
changing the temperature and humidity, in cluding those machines in which the 
humidity cannot be separately regulated. 
 841581 Air conditioning machines, comprising a motor-driven fan and elements for 
changing the temperature and humidity, in cluding those machines in which the 
humidity cannot be separately regulated. 
 8418 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84182100 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84182200 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84182900 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 841830 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 84183010 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84183020 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 841840 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84184010 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 84185019 Refrigerators, freezers and other refr igerating or freezing equipment, electric or 
other; heat pumps other than air conditioning machines of heading 84.15. 
 842112 Centrifuges, including centrifugal dryers; filtering or purifying machinery and 
apparatus, for liquids or gases. 
 84211210 Centrifuges, including centrifugal dryers; filtering or purifying machinery and 
apparatus, for liquids or gases. 
 84211220 ---Of capacity exceeding 30l 
 8422 Dishwashing machines; machinery for cleaning or drying bottles or other 
containers; machinery for filling, closing, sealing, or labelling bottles, cans, 
boxes, bags or other containers; machinery for capsuling bottles, jars, tubes and similar containers; 
 842211 --Of the household type: 
 8450 Household or laundry-type washing machines, including machines which both 
wash and dry. 
 84521000 Sewing machines, other than book-sewing machines of heading 84.40; 
furniture, bases and covers  specially designed for sewing machines; sewing 
machine needles. 
Chapter 85 8509 Electro -mechanical domestic appliances, w ith self-contained electric motor. 
 8510 Shavers, hair clippers and hair-removing appliances, with self-contained electric 
motor. 
 8516 Electric instantaneous or storage water heaters and immersion heaters; electric 
space heating apparatus and soil heatin g apparatus; electro-thermic hair-
dressing apparatus (for example, hairdryers, hair curlers, curling tong heaters) 
and hand dryers; ele 
  Electric instantaneous or storage wate r heaters and immersion heaters; electric 
space heating apparatus and soil heatin g apparatus; electro-thermic hair-
dressing apparatus (for example, hairdryers, hair curlers, curling tong heaters) 
and hand dryers; ele 
 8518 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; 
audio-frequency electric ampl 
 85182100 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; 
audio-frequency electric ampl 
 85182200 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; 
audio-frequency electric ampl 
 851830 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; audio-frequency electric ampl 
 85183010 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; audio-frequency electric ampl WT/ACC/SPEC/VNM/5 
Page 166  
 
  Chapter HS Description 
 851840 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a microphone, and sets consisting of a microphone and one or more loudspeakers; 
audio-frequency electric ampl 
 851850 Microphones and stands therefore; loudspeakers, whether or not mounted in 
their enclosures; headphones and earphones, whether or not combined with a 
microphone, and sets consisting of a microphone and one or more loudspeakers; 
audio-frequency electric ampl 
 8519 Turntables (record-decks), record-players, cassette-players and other sound 
reproducing apparatus, not incorporating a sound recording device. 
 8520 Magnetic tape recorders and other sound recording apparatus, whether or not 
incorporating a sound reproducing device. 
 852032 Magnetic tape recorders and other sound recording apparatus, whether or not 
incorporating a sound reproducing device. 
 852039 Magnetic tape recorders and other sound recording apparatus, whether or not 
incorporating a sound reproducing device. 
 852090 Magnetic tape recorders and other sound recording apparatus, whether or not 
incorporating a sound reproducing device. 
 8521 Video recording or reproducing apparatus, whether or not incorporating a video 
tuner. 
 8523 Prepared unrecorded media for sound recording or similar recording of other 
phenomena, other than products of Chapter 37. 
 852311 Prepared unrecorded media for sound recording or similar recording of other 
phenomena, other than products of Chapter 37. 
 852312 Prepared unrecorded media for sound recording or similar recording of other 
phenomena, other than products of Chapter 37. 
 852313 Prepared unrecorded media for sound recording or similar recording of other 
phenomena, other than products of Chapter 37. 
 8524 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but excluding products of Chapter 37. 
 852432 --For reproducing sound only: 
 85243290 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but 
excluding products of Chapter 37. 
 852451 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but 
excluding products of Chapter 37. 
 852452 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but excluding products of Chapter 37. 
 852453 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but 
excluding products of Chapter 37. 
 85245390 Records, tapes and other recorded media for sound or other similarly recorded 
phenomena, including matrices and masters for the production of records, but 
excluding products of Chapter 37. 
 8527 Reception apparatus for radio-te lephony, radio-tele graphy or radio-
broadcasting, whether or not combined, in the same housing, with sound 
recording or reproducing apparatus or a clock. 
 8528 Reception apparatus for radio-te lephony, radio-tele graphy or radio-
broadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock. 
 8539 Electric filamentor discharge lamps,  including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps.  WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 85391090 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
 85392190 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
 85392290 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
 85392990 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
 85393920 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
 85393990 ---Other lamps: 
 85394900 Electric filamentor discharge lamp s, including sealed beam lamp units and 
ultra-violet or infra- red lamps; arc-lamps. 
Chapter 87 8711 Motorcycles (including mopeds) an d cycles fitted with an auxiliary motor, with 
or with outside-cars; side-cars. 
 8712 Bicycles and other cycles (including delivery tricycles), not motorised. 
 8715 Baby carriages and parts thereof. 
Chapter 90 9004 Spectacles, goggles and th e like, corrective, protective or other. 
 90041000 Spectacles, goggles and the lik e, corrective, protective or other. 
 90049030 Spectacles, goggles and the lik e, corrective, protective or other. 
Chapter 91 9101 Wrist-watches, pocket-watches and other watches, including stop-watches, with 
case of precious metal or of me tal clad with precious metal. 
 9103 Clocks with watch movements, excluding clocks of heading 91.04. 
 9105 Other clocks. 
 9113 Watch straps, watch bands and watch bracelets, and parts thereof. 
Chapter 94 9401 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 94013000 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 94014000 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 940150 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
   
 940161 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 94016910 ---Assembled 
 94017100 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 94017900 --Other 
 940180 Seats (other than those of heading 94.02), whether or not convertible into beds, 
and parts thereof. 
 9403 Other furniture and parts thereof. 
 94031000 Other furniture and parts thereof. 
 940320 Other furniture and parts thereof. 
 940330 Other furniture and parts thereof. 
 940340 Other furniture and parts thereof. 
 940350 Other furniture and parts thereof. 
 940360 Other furniture and parts thereof. 
 940370 Other furniture and parts thereof. 
 940380 Other furniture and parts thereof. 
 9404 Mattress supports; articles of bedding and similar furnishings (for example, 
mattresses, quilts, eiderdowns, cushions, pouf's and pillows) fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics, 
whether or WT/ACC/SPEC/VNM/5 
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  Chapter HS Description 
 9405 Lamps and lighting fittings including searchlights and spotlights and parts 
thereof, not else where specified or included; illuminated signs, illuminated name-plates and the like, having a permanently fixed light source, and parts 
thereof not elsewhere spe 
 940510 Lamps and lighting fittings including searchlights and spotlights and parts 
thereof, not else where specified or included; illuminated signs, illuminated 
name-plates and the like, having a permanently fixed light source, and parts 
thereof not elsewhere spe 
 940520 Lamps and lighting fittings including searchlights and spotlights and parts 
thereof, not else where specified or included; illuminated signs, illuminated 
name-plates and the like, having a permanently fixed light source, and parts 
thereof not elsewhere spe 
 9405300 Lamps and lighting fittings including searchlights and spotlights and parts 
thereof, not else where specified or included; illuminated signs, illuminated 
name-plates and the like, having a permanently fixed light source, and parts 
thereof not elsewhere spe 
 940550 Lamps and lighting fittings including searchlights and spotlights and parts 
thereof, not else where specified or included; illuminated signs, illuminated 
name-plates and the like, having a permanently fixed light source, and parts 
thereof not elsewhere spe 
Chapter 95 9501 Wheeled toys designed to be ridden by children (for example, tricycles, 
scooters, pedal cars); dolls' carriages. 
 9502 Dolls representing only human beings. 
 9503 Other toys; reduced-size ("scale") models and similar recreational models, 
working or not; puzzles of all kinds. 
 9504 Articles for fun fair, table or parlour games, including pin-tables, billiards, 
special tables for casino games and automatic bowling alley equipment. 
 9505 Festive, carnival of other entertainm ent articles, including conjuring tricks and 
novelty jokes. 
 9506 Articles and equipment for general ph ysical exercise, gymnastics, athletics, 
other sports (including table tennis) or outdoor games, not specified or included elsewhere in this Chapter; swimming pools and paddling pools. 
 9507 Fishing rods, fish-hooks and other line fishing tackle; fish landing nets, butterfly 
nets and similar nets; decoy "birds", (other than those of heading 92.08 or 
97.05) and similar hunting or shooting requisites. 
Chapter 96 96032100 Brooms, brushes (including brushes constituting parts of machines, appliances 
or vehicles), hand-operated mechanical floor sweepers, not motorised, mops and 
feather dusters; prepared knots and tufts for broom or brush making; paint pads 
and rollers; squee 
 96032900 Brooms, brushes (including brushes constituting parts of machines, appliances 
or vehicles), hand-operated mechanical floor sweepers, not motorised, mops and 
feather dusters; prepared knots and tufts for broom or brush making; paint pads 
and rollers; squee 
 960390 Brooms, brushes (including brushes constituting parts of machines, appliances 
or vehicles), hand-operated mechanical floor sweepers, not motorised, mops and 
feather dusters; prepared knots and tufts for broom or brush making; paint pads 
and rollers; squee 
 9605 Travel sets for personal toilet, sewing or shoe or clothes cleaning. 
 9608 Ball point pens; felt tipped and other porous-tipped pens and markers; fountain 
pens, stylograph pens and other pens; duplicating stylos; propelling or sliding 
pencils; pen-holders, pencil-holders and similar holders; parts (including caps 
and clips) oft 
 9609 Pencils (other than pencils of heading 96.08), crayons, pencil leads, pastels, 
drawing charcoals, writing or dr awing chalk and tailors' chalks. 
 9613 Cigarette lighters and other lighters, whether or not mechanical or electrical, 
and parts thereof other than flints and wicks.  WT/ACC/SPEC/VNM/5 
 Page 169 
 
 
  Chapter HS Description 
 9614 Smoking pipes (including pipe bowls) and cigar or cigarette holders, and parts 
thereof. 
 9615 Combs, hair-slides and the like; hairpins, curling pins, curling grips, hair-curlers 
and the like, other than those of heading 85.16, and parts thereof. 
 9616 Scent sprays and similar toilet spra ys, and mounts and heads therefore; powder-
puffs and pads for the application of cosmetics or toilet preparations. 
 96170010 Vacuum flasks and other vacuum vessels, complete with cases; parts thereof, 
other than glass inners. WT/ACC/SPEC/VNM/5 
Page 170  
 
  Table 5(a):  Import Prohibitions- Highly Toxic Chemicals  
 
No. Name of chemicals Formula Concentration 
1 Aldrin C 12H8Cl6  
2 BHC (lindane) C 6H6O6  
3 Chordane   
4 DDT   
5 Dieldrin   
6 Eldrin   
7 Heptachlor C 10H5Cl5  
8 Isobenzen   
9 Isodrin   
10 Methamidophos C 2H8NO 2PS  
11 Monocrotophos C 7H14NO 5P  
12 Methyl Parathion C 8H10NO 5PS  
13 Ethyl Parathion   
14 Phosphamidon   
15 Polychlorocamphere   
16 Strobane   
17 Captan   
18 Captofol   
19 Hexachlorobenzen C 6Cl6  
20 24,5 T (Brochtoc, Decamine)   
21 Axit cyanhydric and its salts HCN 0.0003 
22 Hexacloro cyclohexan C 6H6Cl6 0.0001 
23 Methyl parathion (demetil paranitro photpho, volfatoc...)  0.0001 
  WT/ACC/SPEC/VNM/5 
 Page 171 
 
 
   
No.  Name of chemicals 
1 O-Alkyl ( ≤ C10, including cycloalkyl), Alkyl (Me, Et, n-Pr or i-Pr) phosphonofluo-ridates 
2 O-Alkyl ( ≤ C10, including cycloclkyl), N,N-dialkyl (Me, Et, n-Pr or i-Pr) phospho-ramidocyanidates 
3 O-Alkyl (H or C,10, including cyclolkyl), S-2-dialyl (Me, Et, n-Pr or i-Pr)-amincethyl alkyl (Me, Et, n-
Pr or i-Pr) phosphonothiolates and respective alkylat or protonat salts 
4 Sulfur mustards: 
2-Chloroethylchloromethylsulfide, (2625-76-5) 
Mustard gas: Bis(2-chloroethyl) sulfide, (505-60-2),Bis(2-chloroethylthio) methane, (63869-13-6) 
Sesquimustard: 1,2-Bis(2-chloroethylthio)ethane, (3563-36-8) 
1,3-Bis(2-chloroethylthio)-n-propane, (63905-10-2) 
1,4-Bis(2-chloroethylthio)-n-butane, (142868-93-7) 1,5-Bis(2-chloroethylthio)-n-pentane, (142868-94-8) 
Bis(2-chloroethylthiomethyl) ether, (63918-90-1) 
O-Mustard: Bis(2-chloroethylthioethyl) ether, (63918-89-8) 
5 Lewisites: 
Lewisite 1: 2-chlorovinyldichloroarsine, (541-25-3) 
Lewisite 2: Bis(2-chlorovinyl)chloroarsine, (40334-69-8) 
Lewisite 3: Tris(2-chlorovinyl)arsine, (40330-70-1) 
6 Nitrogen mustards: 
HN1: Bis(2-chloroethyl) ethylamine, (538-07-8) 
HN2: Bis(2-chloroethyl) methylamine, (51-75-2) HN3: Tris(2-chloroethyl) amine, (555-77-1) 
7 Saxitoxin, (35523-89-8) 
8 Ricin, (9009-86-3) 
9 Alkyl (Me, Et, n-Pr or i-Pr) phosphonyldifluorides 
10 O-Alkyl (H or ≤ C10, including cycloalkyl) 0-2-dialkyl (Me, Et, n-Pr or i-Pr)-aminoethyl alkyl (Me, 
Et, n-Pr or I-Pr) phosphonites and respective alkylat or protonat salts 
11 Chlorasine: O-Isopropyl methylphosphonochloridate, (1445-76-7) 
12 Chlorosoman: O-Pinacolyl ethylphosphonochloridate, (7040-57-5) 
13 Amiton: O,O-Diethyl S-[2-(diethylamino)ethyl] phosphorothiolate, (78-53-5) and respective alkylat or 
protonat salts 
14 PFIB: 1,1,3,3,3-Pentafluoro-2-(trifluoromethyl)-1-propene, (382-21-8) 
15 BZ: 3-Quinuclidinyl beilate, (6581-06-2) 
16 Methylphosphonyl dichloride, (676-97-1), Dimethyl methylphosphonate, (756-79-6) 
17 N,N-Dialkyl (Me, Et, n-Pr or i-Pr) phosphoramidic dihalides 
18 Diakyl (Me, Et, n-Pr or i-Pr) N,N-dialky l (Me, Et, n-Pr or i-Pr)phosphoramidates 
19 2,2-Diphenyl-2-hydroxyaxetic acid, (76-93-7) 
20 Quinuclidine-3-ol, (1619-34-7) 
21 N,N-Dialyl (Me. Et, n-Pr or i-Pr) aminoethyl-2-ols and respective protonat salts 
23 N,N-Dialyl (Me. Et, n-Pr or i-Pr) aminoe thane-2-thiols and respective protonat salts 
24 Thiodiglycol: Bis (2-hydroxyethyl) sulfide, (111-48-8) 
25 Pinacolyl alcohol: 3,3-Dimethylbutane-2-ol, (464-07-3) 
26 Phosgene: Carbonyl dichloride, (75-44-5) 
27 Chloropicrin: Trichloronitromethane, (76-06-2) 
 WT/ACC/SPEC/VNM/5 
Page 172  
 
  Table 5(b):  Import allowed conditionally -   
Toxic Chemicals and Products Containing Toxic Chemicals  
 
No.  Name of chemical s Formula Concentration 
1 Acetonitril CH 5-CN  
2* Anilin C 6H7-N  
3* Benzene C 6H6  
4 Choloroform CHCl 3  
5* Furfurol C 5H4O2  
6 n-Hexan CH 3(CH 2)4CH 3  
7 Piridin C 5H5N  
8 Carbon tetra chloro CCl 4  
9* Tuluen C 7H8  
10* Ethylen Glycol CH 2OH-CH 2OH  
11* n-Butanol CH 3(CH 2) 2CH 2OH  
12* Aldehyd acetic CH 3CHO  
13* IsoPropanol CH 3CHOHCH 3  
14* Asbestos raw material   
15* Selen and selen compounds Se  
16* Cadmium and cadmium compounds Cd  
17 Thallium Tl  
18* Xylen C 6H4(CH 3) 2  
19* Acid Pechloric HClO 4  
20 Acrolein CH 2=CH-CHO +0.002 
21* Amoniac NH 3NH 4OH +0.002 
22 Anhydric acsenio and anhydrit acsenic  
(asen pentoxide) As2O3 
As2O5 +0.0003 
23 Acsenua hydrogen AsH 3 +0.0003 
24* Anhydrit carbonic CO 2 0.1 per cent mg/l 
25* Anhydrit cromic CrO 3 0.0001 mg/l 
26* Anilin C 6H5-NH 2 0.005 
27* Antimony Sb 0.0005 
28* Hydrochloric acid and hydrochlorua  
(calculated as hydrochlorua) HCl 0.010 
29* Acid nitric (calculated as N 2O5) HNO 3 0.005 
30* Acid acetic CH 3COOH 0.005 
31 Cyanhydric calculated as HCN   
32* Acid sulfuric and anhydrit sulfuric H 2SO 4 0.002 
33* Acid phosphoric H 3PO 4  
34* Acid picric C 6H3K8O7  
35* Bary oxide containing 10 per cent free SiO2 BaO 0.005 
36* Bary + dissolvable compound  (Ba)  
37* Benzidin C 12H22N2 0.001 
38* Brom Br 2 1 ml/m3 
39* Bromua metyl Br-CH 3 10 ml/m3 
40* Bromofoc CHBr 3  
41* Bicromat alkali Cr 2O7-(NaK) 0.0001 
42* Lead and inorganic compounds of lead  Pb 0.00001 
0.0001 
43* Chlorine Cl 2 0.050 
44* Chlorinebenzene C 6H5Cl 0.001 
45 Chlorinediphenyl  0.0005 
46 Chlorine oxydiphonyl  0.001 
47 Chlorinenaphtaline (trichlorinenaphtalin) C 10H7Cl 0.005 
48 High level tetra and pentanaphtalin mixture    
49 Chlorineropren CH 2=CH-CCl=OH 2 0.002  WT/ACC/SPEC/VNM/5 
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  No.  Name of chemical s Formula Concentration 
50 Chlorinepycrin CC 3NO 2 20 mg/m3 60 mg/m3 
51* Limestone chlorinerua (calculating as Cl) CaCl 2 0.001 
52* Metylic spirit CH 3OH 0.050 
53* Dimetyl amin (CH 3) 2NH 0.001 
54 Dimetyl focmanit  CH 3 HCO-N < CH 3 0.001 
55 Dichlorinebenzene C 6H4C12  
56 Dinitrochlorinebenzene (NO 2) 2 C6H3  < Cl 0.001 
57 Dinitrotoluen (NO 2) 2C6H3-CH 3 0.001 
58 Dinitrobenzene and identicals   
59 Dioxide Chlorine ClO 2 0.0001 
60* Copper (salt)  0.00005 
61 Etyl mercury phosphate  0.00005 
62* Focmaldehyt HCHO 0.005 
63 Etyl mercury chlorinerua   
64* Florua hydrogen FH 0.0005 
65 Salt of acid flohydric (calculating as HF) FH 0.0005 
66 Salt of acid flohydric (calculating as HF)  0.001 
67 Florosilicat metal dissolved and undissolved   
68 Hexachlorinero cychlorinehexan  0.00005 
69* Isome (gamma)   
70 Hydrazin and derivatives  0.0001 
71 Isopropylnitrat C 3H7NO 2 0.005 
72* NaOH gas, KOH gas   
73* Mangan and mangan compounds (calculating 
as MnO 2) MnO 2 0.0003 
74* Metaldehyl   
75 Nitrobenzene and its compounds C 6H5NO 2 0.005 
76 Nitrochlorinebenzene Cl C 6H4 < NO 2 0.001 
77 Nicotin  0.0005 
78 Metal nitrit NO 2  
79 Ozon O 3 0.0001 
80* Oxide carbon CO 0.030 
81* Oxide etylen  0.001 
82* Oxide zinc ZnO 0.005 
83* Oxide nito, calculating as N2O5 N 2O, NO, NO 2, N 2O3, 
N2O5 0.005 
84* Oxide niken NiO 0.005 
85 Oxide iron including fluo and mangan 
compound  0.004 
86 Photpho white (sesquisulfur phesphore) P 4 0.0003 
87 Photphotrichlorinerua compound  0.00005 
88 Photphua hydrogen PH 3 0.0003 
89 Photphua metal  0.15-0.30g 
90* Photphorit (ore of under 10 per cent free SiO2)  0.0005 
91 Photgen COCl 2 0.0005 
92* Phenol C 6H5OH 0.005 
93 Photphat dietyl C 10H14NO 5PS 0.00005 
94 Paranitropheny  5mg/kg 
95 (Pration, thiophot)  (insecticide) 
96 Sunfur lead PbS 0.0005 
97 Sunfua carbon SC 2 0.010 
98 Sunfua hydrogen H 2S 0.010 
99* Tetrachlorinerua carbon CCl 4 0.050 
100 Tetrachlorineheptan  0.001 WT/ACC/SPEC/VNM/5 
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  No.  Name of chemical s Formula Concentration 
101 Tetra etyl lead Pb(C 2H5) 4 0.000005 
102 Tetra nitrometan CH 3(NO 2) 4 0.00003 
103 Metal mercury and mercury inorganic 
compound, excluding HgC12 (sublime) Hg 0.00001 
104 Mercury (II)   
105 Chlorinerua (sublime) HgCl 2 0.0001 
106 Trinitro chlorinebenzene  0.001 
107 Trichlorineetylen  0.001 
108 Trichlorineetylen C 2H3Cl3 0.050 
109 Trinitrobenzene and its compounds C 6H3(NO 2) 3 0.001 
110 Toluen dihydrogenxyanat  0.0005 
111 Nitro Toluen CH 3-C6H4-NO 2 0.003 
112 Tetraetyl C 10H20N2S4  
 
No.  Name of chemicals 
1 Phosphorus oxochloride, (10025-87-3) 
2 Phosphorus trichloride, (7719-12-2) 
3 Phosphorus pentachloride, (10026-13-8) 
4 Trimethyl phosphite, (121-45-9) 
5 Triethyl phosphite, (122-52-1) 
6 Dimethyl phosphite, (868-85-9) 
7 Diethyl phosphite, (762-04-9) 
8 Sulfur monochloride, (10025-67-9) 
9 Sulfur dichloride, (10545-99-7-0) 
10 Thionyl chloride, (7719-09-7) 
11 Ethyldiethanolamine, (139-87-7) 
12 Methyldiethanolamine, (105-59-9) 
13 Triethanolamine, (102-71-6) 
14 Asen and asen compounds 
15 Cyanide compounds 
16 PCB (Polychlorinated biphenyls) and PCB-containing compounds 
17 Mercury and mercury-containing compounds 
  WT/ACC/SPEC/VNM/5 
 Page 175 
 
 
  Table 6:  Products subject to line management (import licence by line Ministry)  
 
Code Description Office in charge 
Chapter 1 Live animals  
 Live horses  
0101.1110 -  Pure-bred breeding animals Agr 
 Live bovine animals  
0102.1010 -  Pure-bred breeding animals Agr 
 Live swine  
0103.10 -  Pure-bred breeding animals Agr 
 Live sheep  
0104.1010 -  Pure-bred breeding animals Agr 
 Live goats  
0104.2010 -  Pure-bred breeding animals Agr 
0105 Live poultry, that is to say, fowls of the species Gallus 
Domesticus, ducks, geese, turkeys and guinea fowls   
0105.10 -  Weighing not more than 185g:  
0105.1010 --  Fowls of species Gallus Domesticus  
 ---  Pure-bred breeding animals Agr 
0105.1090 Other:  
 --  Pure-bred breeding animals Agr 
0105.90 Weighing more than 185g:  
0105.9010 --  Fowls of species Gallus Domesticus  
 ---  Pure-bred breeding animals Agr 
0105.9090 Other:  
 --  Pure-bred breeding animals Agr 
0106.00 Other live animals  
0106.0010 -  Pure-bred breeding animals Agr 
Chapter 3 Fish and crustaceans, mollusc s and other aquatic invertebrates  
0301 Live fish  
0301.90 - Other live fish:  
0301.9010 --  Pure-bred breeding animals Aqu 
0301.93 -  Carp:  
0301.9310 --  Pure-bred breeding animals Aqu 
0301.99 -  Other:  
0301.9910 --  Pure-bred breeding animals  Aqu 
0306.00 Crustaceans, whether in shell or  not, live, fresh,  chilled, frozen, 
dried, salted or in brine; crus taceans, in shell, cooked by 
steaming or by boiling in water, whether or not chilled, frozen, dried, salted or in brine; flours, meals and pellets of crustaceans, 
fit for human consumption  
0306.0010 --  Pure-bred breeding animals Aqu 
0307.00 Molluscs, whether in shell or not, live, fresh, chilled, frozen, 
dried, salted or in brine;aquatic invertebrates other than crustaceans and molluscs, live, fresh, chilled, frozen,dried, 
salted or in brine; flours, meals and pellets of aquatic 
invertebrates other than crust aceans, fit for human consumption  
0307.0010 --  Pure-bred breeding animals Aqu 
Chapter 4 Dairy produce; birds' eggs; natural honey; edible products of 
animal origin, not elsewhere specified or included  
0407.00 Birds' eggs, in shell, fresh, preserved or cooked  
0407.0010 -  For hatching Agr 
Chapter 5 Products of an imal origin, not elsewhere specified included  
 0501.00 Human hair, unworked, whether or not washed or scoured; 
waste of human hair Agr WT/ACC/SPEC/VNM/5 
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  Code Description Office in charge 
0502.00 Pigs', hogs' or boars' bristles and hair; badger hair and other 
brush making hair; waste of such bristles or hair Agr 
Chapter 6 Live trees and other plants; bulbs, roots and the like; cut flowers 
and ornamental foliage  
0601.00 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, 
dormant, in growth or in flower; chicory plants and roots other 
than roots of heading No. 12.12 Agr 
0602.00 Other live plants (including their roots), cuttings and slips; 
mushroom spawn Agr 
Chapter 10 Cereals  
1005.0010 Maize (corn)for sowing Agr 
1006.1010 Rice in the husk (paddy or rough) for sowing Agr 
Chapter 12 Oil seeds and oleaginous fruits; miscellaneous grains, seeds and 
fruit; industrial or medicinal plants; straw and fodder  
1209.00 Seeds, fruit and spores, of a kind used for sowing Agr 
Chapter 14 Vegetable plaiting materials; vegetable products not elsewhere 
specified or included  
1401.00 Vegetable materials of a kind used primarily for plaiting (for 
example, bamboos, rattans, reeds, rushes, osier, raffia, cleaned, 
bleached or dyed cereal straw, and lime bark) Agr 
Chapter 23 Residues and waste from the food industries; prepared animal 
fodder Importation of all the 
products in this Chapter 
are subject to line-
management of Environment Department, 
Ministry of Science, 
Technology and 
Environment 
Chapter 26 Ores, slag and ash  
2618.00 Slag and ash Sci 
2619.00 Slag, dross (other than granulated slag), scalings and other 
waste from the manufacture of iron or steel  Ind 
2620.00 Ash and residues (other than from the manufacture of iron or 
steel), containing metals or metals compounds Ind 
2621.00 Other slag and ash Ind  
Chapter 29 Organic chemicals  
2936 Provitamins and vitamins, natural or reproduced by synthesis 
(including natural concentrates), derivatives thereof used 
primarily as vitamins, and intermixtures of the foregoing, whether or not in any solvent MoH 
2937 Hormones, natural or reproduced by synthesis; derivatives 
thereof, used primarily as hormones; other steroids use 
primarily as hormones MoH 
2938 Glycosides, natural or reproduced by synthesis, and their salts, 
ethers, esters and other derivatives MoH 
2939 Vegetable alkaloids, natural or reproduces by synthesis, and 
their salts, ethers, esters and other derivatives MoH 
2941 Antibiotics  
2941.10 - Penicillins and their derivatives with a penicillanic acid 
structure; salts thereof MoH 
2941.1010 Penicillins G (for injection) MoH 
2941.1020 Penicillins V all kind of fi nish products (Vegacilline) of any 
content (for drinking) MoH 
2941.1030 Penicillin sodiquet Procain (for injection) MoH 
2941.1040 Benzathin penicillin, benzathin benzil penicillin (for injection) MoH  WT/ACC/SPEC/VNM/5 
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  Code Description Office in charge 
2941.1090 Other MoH 
2941.20 - Streptomycins and their derivatives; salts thereof MoH 
2941.2010 Streptomycins sulphate (for injection) MoH 
2941.2020 Derivatives of streptomycins (for injection) MoH 
2941.2090 Other MoH 
2941.30 - Tetracyclines and their derivatives; salts thereof:  
2941.3010 Tetracyclines of any content  (for drinking) MoH 
2941.3020 Tetracycline  of any content (for injection) MoH 
2941.3090 Other MoH 
2941.40 - Chloramphenicol and its derivatives; salts thereof  
2941.4010 Chloramphenicol of any content (for drinking) MoH 
2941.4020 Chloramphenicol of any content (for drinking) MoH 
2941.4090 Other MoH 
2941.50 - Erythromycin and its derivatives; salts thereof  
2941.5010 Erythromycin  base, estolat, ethylsucdirat, lacto-biarat (for 
injection) MoH 
2941.5020 Erythromycin (base, estolat,ethylsucdirat, lacto-biarat of any 
content (for drinking). MoH 
2941.5090 Other MoH 
2941.90 Other  
 Amoxicilin (for injection) MoH 
 Amoxicilin (for drinking) MoH 
 Ampixilin trihydrat, natrium (for injection) MoH 
 Ampixilin trihydrat, natrium of any content (for drinking) MoH 
 Methinciline sodium (for injection) MoH 
 Cloxacilline sodium (for injection) MoH 
 Gentamycin sunfat (for injection) MoH 
 Cephapirine sodique, cefalotine (for injection and drinking) MoH 
 Lyncomycin base vÿ c,c d'ng HCL (for injection) MoH 
 Lyncomycin base vÿ c,c d'ng HC- (for injection) MoH 
 Sulfamethoxarol (SMZ) (for injection) MoH 
 Trymethoroprin (TM) (for injection) MoH 
 Sulfamethoxarol (SMZ) (for drinking) MoH 
 Trymethoroprin (TM) (for drinking) MoH 
 Other MoH 
Chapter 30 Pharmaceutical pro ducts Importation of all the 
products of this Chapter 
are subject to line-
management of Ministry of Health 
Chapter 37 Photographic or cinematographic goods  
370100 Film for printing industry Cul 
Chapter 38 Miscellaneous chemical products  
3808 Insecticides, rodenticides, fungicides, herbicides, anti-sprouting 
products and plant-growth, regulators, disinfectant and similar 
products, put up in forms or packings for retail sale or as 
preparations or articles (for ex ample, sulphur-treated bands, 
wicks and candles, and fly-papers)  
 - Insecticides:  
38081010 Aerosol Agr 
38081090 Other Agr 
380820 - Fungicides: Agr 
38082010 Liquid Agr 
38082090 Other Agr WT/ACC/SPEC/VNM/5 
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  Code Description Office in charge 
380830 - Herbicides, anti-sprouting products and plant-growth 
regulators Agr 
Chapter 39 Plastics an d articles thereof  
391500 Waste, parings and scrap, of plastic Sci 
Chapter 40 Rubber an d articles thereof  
400400 Waste, parings and scrap of rubber (other than hard rubber) and 
powders and granules obtained therefrom Sci 
401400 Hygienic or ph armaceutical articles (including teats), of 
vulcanised rubber other than hard rubber, with or without fittings of hard rubber MoH 
Chapter 41 Raw hides and skins (other than furskins) and leather  
411000 Parings and other waste of leather or of composition leather, not 
suitable for the manufacture of l eather articles; leather dust, 
powder and flour Agr 
Chapter 44 Wood an d articles of wood; wood charcoal  
440100 Fuel wood, in logs, in billets, in twigs, in faggots or in similar 
forms; wood in chips or partic les; sawdust and wood waste and 
scrap, whether or nor agglomerated in logs, briquettes, pellets or 
similar form Agr 
440300 Wood in the rough, whether or not stripped of bark or sapwood, 
or roughly squared Agr  
440400 Hoopwood; split poles; piles, pickets and stakes of wood, 
pointed but not sawn lengthwise; wooden sticks, roughly 
trimmed but not turned, bent or otherwise worked, suitable for the manufacture of walking-sticks, umbrellas, tool handles or 
the like; chipwood and the like Agr 
440500 Wood wool, wood flour Agr 
440600 Railway or tramway sleepers (cross-ties) of wood Agr 
440700 Wood sawn or chipped lengthwise, sliced or peeled, whether or 
not planed, sanded or finger-j ointed, of a thickness exceeding 6 
mm. Agr 
440800 Veneer sheets and sheets for plywood (whether or not spliced) 
and other wood sawn lengthwise, sliced or peeled, whether or 
not planed, sanded or finger-jointed, of a thickness not 
exceeding 6 mm Agr 
440900 Wood (including strips an d friezes for parquet flooring, not 
assembled) continuously shaped (tongued, grooved, rebated, V-jointed, beaded, moulded, rounded or the like) along any of its 
edges or faces, whether or not pl aned, sanded or finger-jointed Agr 
441000 Particle board and similar board of wood or other ligneous 
materials, whether or not agglomerated with resins or other organic binding substances  Agr 
441100 Fibreboard of wood or other ligneous materials, whether or not 
bonded with resins or other organic substances Agr 
441200 Plywood, veneered panels and similar laminated wood Agr 
441300 Densified wood, in blocks, plates, strips or profile shapes Agr 
Chapter 47 Pulp of wood or of other fibrous cellulosic material; recover 
(waste and scrap) paper or paperboard  
470700 Recovered (waste and scrap) paper or paperboard Sci 
Chapter 49 Printed books, newspaper, picture and other products of the 
printing industry; manuscripts, typescripts and plans  
4901 Printed books, brochures, leaflets and similar printed matter, 
whether or not in single sheets  
490110 - In single sheets, whether or not folded  Cul 
 - Other:   WT/ACC/SPEC/VNM/5 
 Page 179 
 
 
  Code Description Office in charge 
490191 - Dictionaries and encyclopedias, and serial instalments 
thereof Cul 
490199 - Other: Cul 
 49019910 - Classbooks, economy or technology sciential or social 
sciential books Cul 
49019990 Other Cul 
4902 Newspapers, journals and periodicals, whether or not illustrated 
or containing advertising material.  
490210 Appearing at least four times a week:  
49021010 Economy or technology sciential or social sciential newspapers 
and journals Cul 
49021090 Other Cul 
490290 Other  
49029010 Issuing for advertisement purposes Cul 
49029020 Economy or technology sciential or social sciential newspapers 
and journals  Cul 
49029090 Other Cul 
490300 Children,s picture, drawing or colouring books Cul 
490400 Music, printed or in manuscript, whether or not bound or 
illustrated Cul 
491000 Calendars of any kind, printed, including calendar blocks Cul 
491100 Other printed matter, including printed pictures and photographs Cul 
Chapter 50 Silk  
5003 Silk waste (including cocoons unsuitable for reeling, yarn waste 
and garnetted stock)  
500310 - Not carded or combed Ind, Sci 
500390 - Other Ind, Sci 
Chapter 51 Wool, fine or coarse animal hair; horsehair yarn and woven 
fabric  
510300 Waste of wool or of fine or coarse animal hair, including yarn 
waste but excluding garnetted stock Agr, Sci 
Chapter 52 Cotton  
5202 Cotton waste (including yarn waste and garnetted stock)  
520210 - Yarn waste (including thread waste)  Sci, Agr 
Chapter 70 Glass and glassware  
7001 Cullet and other waste and scrap of glass; glass in the mass Sci 
Chapter 71 Natural or cultured pearls , precious or semi-precious stones, 
precious metals, metal clad with precious metals, and articles 
thereof; imitation jewellery; coin  
710100 Pearls, natural or cultured, whether or not worked or graded but 
not strung, mounted or set; pearls, natural or cultured, 
temporarily strung for convenience of transport Aqu   
710200 Diamonds, whether or not worked, but not mounted or set  SBa 
710300 Precious stones (other than diamonds) and semi-precious stone, 
whether or not worked or graded but not strung, mounted or set; ungraded precious stones (other than diamonds) and semi-
precious stones, temporarily strung for convenience of 
transport. SBa 
710400 Synthetic and reconstructed precious or semi-precious stones, 
whether or not work or graded but not strung, mounted or set; 
ungraded synthetic or reconstructed precious or semi-precious stones, temporarily strung for convenience of transport SBa 
710500 Dust and powder of natural or synthetic precious or semi-
precious stones  SBa WT/ACC/SPEC/VNM/5 
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  Code Description Office in charge 
21II - PRECIOUS METALS AND META LS CLAD WITH PRECIOUS METALS 
710600 Silver (including silver plated with gold or platinum), 
unwrought or in semi-manufactured forms, or in powder form SBa 
710700 Base metals clad with silver, not further worked than semi-
manufactured  SBa 
710800 Gold (including gold plated with platinum) unwrought or in 
semi-manufactured forms, or in powder form  SBa 
710900 Base metals or silver, clad with gold, not further worked than 
semi-manufactured SBa 
711000 Platinum, unwrought or in semi-manufactured forms, or in 
powder form SBa 
711100 Base metals, silver or gold, clad with platinum, not further 
worked than semi-manufactured  SBa 
711200 Waste and scrap of precious metal or of metal clad with 
precious metal; other waste and scrap containing precious or 
precious metal compounds, of a kind used principally for the 
recovery of precious metal. Sci, SBa 
Chapter 84 Nuclear reactors, boilers, machinery and mechan ical appliances; 
parts thereof   
8442 Machinery, apparatus and eq uipment (other than the machine-
tools of heading Nos.84.56 to 84.65), for type-founding or type-
noting, for preparing or making printing blocks, plates, cylinders or other printing components; printing type, blocks, 
plates, cylinders and other printing components, blocks, plates, 
cylinders and lithographic stones, prepared for printing purposes (for example, planed, grained or polished)  
844210 - Phototype-setting and composing machines Cul 
844220 - Machinery, apparatus and equipment for type setting or 
composing by other processes, with or without founding device: Cul 
844230 - Other machinery, apparatus and equipment  Cul 
844250 - Printing type, blocks, plates, cylinders and other printing 
components; blocks, plates , cylinders and lithographic 
stones, prepared for printing purposes (for example, planed, grained or polished) Cul 
8443 Printing machinery, including ink-jet printing machines, other 
than those of heading No. 84.71; machines for uses auxiliary to 
printing  
844310 - Offset printing machinery Cul 
844320 - Printing machinery for printing wording (not design), 
exclude flexographic printing machinery  Cul  
844330 - Flexographic printing machinery Cul 
844340 - Gravure printing machinery Cul 
844350 - Other printing machinery Cul 
844360 - Machinery for uses of printing technology Cul 
Chapter 85 Electrical machinery and equipment and parts thereof; sound 
recorders and reproducers, television image and sound recorders 
and reproducers, and parts and accessories of such articles   
8524 Records, tapes and other recorded media for sound or other 
similarly recorded phenomena, including matrices and masters 
for the production of records, but excluding products of Chapter 37 Cul  WT/ACC/SPEC/VNM/5 
 Page 181 
 
 
  Code Description Office in charge 
8525 Transmission apparatus for radio-telephony, radio-telegraphy, 
radio-broadcasting or television, whether or not incorporating reception apparatus or sound recording or reproducing 
apparatus; television cameras; still image video cameras and 
other video camera recorders  
852510 - Transmission apparatus Pos 
852520 - Transmission apparatus incorporating reception apparatus Pos 
8526 Radar apparatus, radio navigational aid apparatus and radio 
remote control apparatus  
852610 - Radar apparatus Pos 
 - Other: Pos 
852691 - Radio navigational aid apparatus Pos 
852692 - Radio remote control apparatus Pos 
8527 Reception apparatus for radio- telephony, radio-telegraphy or 
radio broadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a 
clock  
 - Radio-broadcast receivers ca pable of operating without an 
external source of power, in cluding apparatus capable of 
receiving also radio- tele phony or radio-telegraphy:  
852711 - Combined with sound recording or reproducing apparatus Pos 
852719 - Other Pos 
 - Radio-broadcast receivers not  capable of op erating without 
an external source of power,  of a kind used in motor 
vehicles, including apparatus capable of receiving also 
radio-telephony or radio-telegraphy  
852721 - Combined with sound recording or reproducing apparatus Pos 
852729 - Other Pos 
 - Other radio-broadcast receive rs, including apparatus capable 
of receiving also radio- te lephony or radio-telegraphy  
852790 Other Pos 
Chapter 88 Aircraft, spacecraft, and parts thereof  
880200 Other aircraft (for examples , helicopters, aeroplanes); spacecraft 
(including satellites) and s uborbital and spacecraft launch 
vehicles Avi 
Chapter 89 Ships, boats and floating structures  
8901 Cruise ships, excursion boats, ferry-boats, cargo ships, barges 
and similar vessels for the transport of persons or goods  
890110 - Cruise ships, excursion boats, and similar vessels principally 
designed for the transport of persons; ferry-boats of kinds Tra   
890120 - Tankers Tra 
890130 - Refrigerated vessels, other than those of subheading 
No. 8901.20 Tra 
890190 - Other vessels for the transport of goods and other vessels for 
the transport of both persons and goods Tra 
890200 Fishing vessels; factory ships and other vessels for preserving 
fishery products Tra 
890400 Tugs and pusher craft Tra 
890500 Light-vessels, fire-floats, dredgers, floating cranes, and other 
vessels the navigability of which is subsidiary to their main function; floating docks; floating or submersible drilling or 
production platforms. Tra 
890600 Other vessels, including warships and lifeboats other than 
rowing boats. Tra WT/ACC/SPEC/VNM/5 
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  Code Description Office in charge 
 Chapter 
90 Optical, photographic, cinematogr aphic, measuring, checking, 
precision, medical or surgical instruments and apparatus; parts and accessories thereof  
900900 Photo-copying apparatus incorporating an optical system or of 
the contact type and thermo-copying apparatus MoH 
901800 Instruments and appliances used in medical, surgical, dental or 
veterinary sciences, including scintigraphic apparatus, other 
electro-medical apparatus a nd sight-testing instruments MoH 
902200 Apparatus based on the use of X-rays or of alpha, beta or 
gamma radiations, whether or not for medical, surgical, dental or veterinary uses, including radiography or radiotherapy 
apparatus, X-ray tubes and other X-ray generators, high tension 
generator, control panels and desks, screens, examination or treatment tables, chairs and the like MoH 
Chapter 96 Miscellaneous manufactured articles  
960100 Worked ivory, bone, tortoise-shell, horn, antlers, coral, mother-
of-pearl and other animal carving  material, and articles of these 
materials (including articles obtained by moulding) Agr 
Chapter 97 Works of art, collectors' pieces and antiques  
970200 Original engravings , prints and lithographs Cul 
 
Agr: Ministry of Agriculture and Rural Development Aqu: Ministry of Aquaculture 
Sci: Ministry of Science, Technology and Environment 
Ind: Ministry of Industry MoH: Ministry of Health 
Cul: Ministry of Culture and Information 
SBa: State Bank of Vietnam 
Pos: General Department of Posts and Telecommunication 
Avi: Administration of Civil Aviation Tra: Ministry of Transportation 
  WT/ACC/SPEC/VNM/5 
 Page 183 
 
 
  Table 7:  Imported products subject to minimum customs value (April 2004)  
 
Item 4-digit HS Code Product description 
1 2201, 2202, 2203, 2204, 2205, 2206, 2208 Beverages including those under Charter 22 of 
the current Import Tariff Nomenclature 
2 4012, 4013, 4016 Tyres, inner tubes and plastic front strips for 
automobiles, motorcycles and bicycles 
3 6810, 6904, 6907, 6908, 6910 Ceramic tiles and sanitary wares  
4 7003, 7004, 7005, 7007, 7009, 7012, 9617 White and tinted flat glass and mirrors; 
vacuum flasks and glass inners for vacuum 
flasks 
5 8407, 8408 Combustion piston engines, electric motors 
and generators (excluding those used in automobiles, motorcycles and specialized 
vehicles e.g.  crane-tr ucks, bulldozers, etc) 
6 8414 Electric fans (excluding industrial fans under 
HS code 84145900) 
7 8711, 8714, 7315, 7318, 7320, 7415, 8301, 
8407, 8408, 8409, 8413, 8414, 8421, 8482, 
8483, 8484, 8507, 8511, 8512, 8539, 8544, 9405 Motorcycles and spare parts 
8 2401, 2403 Tobacco leaves and stems, cigarettes 
9 7315, 7318, 7320, 7415, 8301, 8407, 8408, 
8409, 8413, 8414, 8421, 8482, 8483, 8484, 
8507, 8511, 8512, 8539, 8544, 9405, 8702, 8703, 8704, 8706, 8707, 8708 Automobiles and spare parts 
 WT/ACC/SPEC/VNM/5 
Page 184  
 
  Table 8:  Viet Nam's Export Duty Schedule  
(attached to Decision No. 45/2002/QD/BTC dated 10 April 2002 by the Ministry of Finance)  
 
No. Description Sub- 
Heading Rates 
(%) 
1 Cashew nuts in shell 08013100 4 
2 Crude petroleum oil   27090010 4 
3 Raw hides and skins of bovine (including buffalo) or equine animals 
(fresh, or salted, dried, limed, pickled or otherwise preserved, but not 
tanned, parchment-dressed or further prepared), whether or not de-haired or split. 4101 10 
 
4 Other raw hides and skins (fresh, or salted, dried, limed, pickled or 
otherwise preserved, but not tanned, parchment-dressed or further 
prepared), whether or not de-haired or split, other than those excluded by Note 1(b) or Note 1(c) to this Chapter 4103 10 
5 Trees' Roots and bush of natural wood  4403 5 
6 Hoopwood; split poles; piles, pickets and stakes of wood, pointed but 
not sawn lengthwise; wooden sticks, roughly trimmed but not turned, 
bent or otherwise worked, suitable for the manufacture of walking-sticks, umbrellas, tool handles or the like; chip wood and the like of 
natural wood 4404 5 
7 Railway or tramway sleepers (cross-ties) of natural wood 4406 10 
8 Wood sawn or chipped lengthwise, sliced or peeled, whether or not 
planed, sanded or end-jointed, of a thickness exceeding 6 mm of natural wood 4407 10 
9 Sheets for veneering and  laminated wood (whether or not assembled), 
other wood, sawn lengthwise, sliced or peeled, whether or not planed, 
sanded, spliced or end-jointed, of  a thickness not exceeding 6mm of 
natural wood 4408 10 
10 Wood (including strips and friezes for parquet flooring, not assembled) 
continuously shaped (tongued, grooved, rebated, chamfered, V-jointed, beaded, moulded, rounded or the like) along any of its edges, ends or 
faces, whether or not planed, sa nded or end of natural wood 4409 10 
 
11 Packing cases, boxes, crates, drums and similar packings, of wood; 
cable-drums of wood; pallets, box pallets and other load boards, of wood pallet collars of natural wood 4415 10 
 
12 Casks, barrels, vats, tubs and other coopers' products and parts thereof, 
of wood including staves of natural wood 4416 10 
 
13 Parquet flooring (parquet flooring wood and semi-processed parquet 
floring), shingles and shakes, palet, 4418 10 
 
 Shuttering for concrete constructional work of natural wood   
14 Doors and their frames, steps, thresholds, stairs and their parts of 
natural wood 4418 5 
15 Precious stones (other than diamonds) and semi-precious stones, 
whether or not worked or graded but not strung, mounted or set; 
ungraded precious stones (other than diamonds) and semi-precious stones, temporarily strung for convenience of transport 71031000 5 
15.1  - Unworked or simply sawn or roughly shaped  5 
15.2  - Otherwise worked   
15.2.1  - Rubies, sapphires and emeralds 71039100 1 
15.2.2  - Other 71039900 1 
16 Dust and powder of precious stones of 7103 71059000 3 
17 Steel and iron wastes (excluding turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of steel, whether or not in bundles) 7204 35 
18 Iron and non-alloy steel in ingots or other primary forms (excluding 
iron of heading 72.03) 7206 2  WT/ACC/SPEC/VNM/5 
 Page 185 
 
 
  No. Description Sub- 
Heading Rates 
(%) 
19 Semi-finished products of iron or non-alloy steel  7207 2 
20 Copper waste and scrap (excluding turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of cooper, whether or not in 
bundles). 74040000 45 
21 Master alloys of copper 74050000 15 
22 Powders of non-lamellar structure 74061000 15 
23 Powders of lamellar structure; flakes 74062000 15 
24 Copper bars, rods and profiles 7407 5 
25 Nickel waste and scrap (excluding  turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of nickel, whether or not in 
bundles). 75030000 45 
26 Nickel powders and flakes. 75040000 5 
27 Nickel, not alloyed, in bars, rods and profiles 75051100 5 
28 Alloyed Nickel bars, rods and profiles 75051200 5 
29 Aluminium waste and scrap (exclu ding turnings, shavings, milling 
waste, sawdust, filings, trimmings and stampings of aluminium, whether or not in bundles) 76020000 45 
30 Aluminium powders and flakes 7603 10 
31 Lead waste and scrap (excluding turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of lead, whether or not in 
bundles) 78020000 45 
32 Lead bars, rods and profiles 7803 5 
33 Lead Powders and flakes 78042000 5 
34 Zinc waste and scrap (excluding turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of zinc, whether or not in 
bundles). 79020000 40 
35 Zinc powder 79031000 5 
36 Zinc powder and flakes 79039000 5 
37 Zinc bars, rods, profiles 7904 5 
38 Tin waste and scrap (excluding turnings, shavings, milling waste, 
sawdust, filings, trimmings and stampings of tin, whether or not in 
bundles) 80020000 45 
39 Tin bars, rods 80030010 2 
40 Tin profiles 80030090 2 
41 Tin powder and flakes 8005 2 
42 Waste and scraps of metal and metallic ceramics and their products 
(excluding turnings, shavings, milling waste, sawdust, filings, trimmings and stampings, whether or not in bundles);  8101 to 8113 45 
43 Semi-products of metal and metallic ceramics and Products of metal 
and metallic ceramics  8101 to 8113 5 
 WT/ACC/SPEC/VNM/5 
Page 186  
 
  Table 9:  Goods Subject to Export Restriction  
(except as indicated in the invest ment licences of FDI enterprises)  
 
Export prohibition 
- Weapon, ammunition, explosives, technical military equipment 
- Antique 
- Narcotics 
- Toxic chemicals - Log, sawn timber, husked wood, fire wood, mining coal from wood or fire wood, other wooden products 
from group IA and high quality-manufactured pallet fr om group IIA (refer to the notice), rattan materials 
- Various kinds of wild animal and preciously natural animals and plans 
Products subject to export quota 
Rice 
Textile and garment exported to European Union, Canada, Norway and Turkey markets 
Export subject to specific control 
- Coffee bean 
- Wild animals for export 
- Wild animals for breeding - Precious gems, metal and natural pearl 
- Wooden products (except handicraft; those produced from cultivated forest's wood, from imported wood 
and from artificial pallet implemented under the pr ovision  of the Prime Minister in Decision 
No. 136/1998/Q§-TTg ngµy 31 July 1998) 
- Minerals 
Notice 
Group IA Group IIA 
Calocedrus macrolepis 
Taxus chinensis 
Cephalotaxus fortunei 
Podocarpus neriifolius Pinus kwangtugenis 
Pinus dalatensis 
Glyptostrobus pensillis Keteleeria calcarea 
Amentotaxus argotenia 
Abies nukiangensis Aquilaria crassana 
Copressus torulosa 
Ducampopinus krempfii Dalbergia oliverrii Gamble 
Dalbergia bariaensis 
      Dalbergia oliverrii Gamble 
      Dalbergia Dongnaiensis Afzelia xylocarpa 
 
Sindora cochinchinensis Sindora tonkinensis – A.Chev 
Pterocarpus pedatus Pierre 
Pterocarpus cambodianus Pierre Pterocarpus indicus Willd 
 
Chukrasia tabularis A.juss Chukrasia sp 
Chukrasia sp 
 Dalbergia cochinchinensis Pierre 
Dalbergia annamensis 
Dalbergia cambodiana Pierre Fokienia hodginsii A.Henry et 
Thomas 
 
Diospyros mun H.lec  
Diospyros SP Markhamia pierrei 
Madhuca pasquieri 
Burretiodendron hsienmu Erythophloeum fordii 
Padocarpus fleuryi 
Rauwolfia verticillata  
Morinda officinalis 
Lilium brownii 
Panax Viet Nammensis Amomum longfiligulare 
Amomum tsaoko 
 
  WT/ACC/SPEC/VNM/5 
 Page 187 
 
 
  Items classified as narcotics12 
 
No. International name Scientific name 
1. Acetyl dihydrocodein  (5 , 6)- 4,5 - epoxy-3-methoxy-17 methyl-morphinan-6-
olacetat  
2. Alfentanil (N-[1-2(4-ethyl-4,5-dihydro-5-oxo-1 H-tetrazol-1-yl) ethyl]-4-
(methoxymethyl)-4-piperidinyl]-N-Phenylpropanamide monohydrochloride) 
3. Alphaprodin (Alpha- 1,3-dimethyl-4-phenyl-4 propionoxypiperidine 
4. Anileridin (1- para-aminophenethyl-4- phnylpiperidine-4-carboxylic acid 
ethyl ester) 
5. Bezitramid (1-(3-cyano- 3,3-diphenylpropyl)- 4 (2- oxo- 3- propoonyl-1- 
benzimidazolinyl)- piperidine) 
6. Butorphanol (-)-17- (cyclobutylmethyl) morphinan- 3,14 diolhydrogen 
7. Ciramadol (-)-2-(-Dimethylamino-3-hydroxybenzyl) Cyclohexanol 
8. Cocain (Methyl ester cña benzoylecgonine)* 
9. Codein (3- methylmorphine) 
10. Dextromoramid ((+)-4 [2-methyl-4-oxo-3,3-diphnyl-4 (1-pyrrolidinyl)- butyl] 
– morpholine) 
11. Dextropropoxyphen ( -(+)-4-dimethylamino-1,2-diphenyl-2-butanol propionate) 
12. Dezocin (-)- 13 - Amino- 5,6,7,8,9,10,11 , 12 octahydro- 5- methyl- 5, 
11- methanobenzo – cyclodecen-3-ol 
13. Difenoxin (1- (3 cyano-3,3-Diphenylpropyl)-4- Phenylisonip ecotic acid 
14. Dihydrocodein 7,8- Dihydro-3-O-methylmorphine-hydrogen 
15. Dipipanon (+) - 4,4- Diphenyl-6-Piperidinoheptan-3. 
16. Drotebanol (3,4- Dimethoxy- 17 –Methyl morphinan-6, 14 diol) 
17. Ethyl morphin (3-Ethylmorphine) 
18. Fentanil  (1-Phenethyl-4-N-Propionylanilinopiperidine) 
19. Hydromorphon (Dihydromorphinone) 
20. Ketobemidon (4-meta-hydroxyphenyl -1-methyl-4-prop ionylpiperidine) 
21. Levomethadon (3-Heptanone, 6- (dimethylamino)-4,4-Diphenyl, (R) 
22. Levorphanol ((-)-3-hydroxy-N-methylmorphinan) 
23. Meptazinol (3(-3-Ethyl-1- me thylperhydroazepin -3-yl) phenol 
24. Methadon (6- dimethylamino-4,4-diphenyl-3-heptanone) 
25. Morphin Morphinan-3,6 diol, 7,8-didehydro-4,5-epoxy-17 –methyl – 
(5,6) 
26. Myrophin Myristyl Benzyl morphine 
27. Nalbuphin 17-Cyclobutylmethyl-7,8-dihydro-14-hydroxy-17-
normorphine 
28. Nicocodin Morphinan- 6- ol, 7,8- Dihydro- 4,5-epoxy- 3 methoxy-17- 
methyl-3-pyridin mecarboxxy late (ester), (5, 6 ) 
29.  Nicodicodin 6- Nicotimylcodein 
30. Nicomorphin (3,6- Dinicotylmorphine) 
31. Norcodein N- Dimethylcodein 
32. Opium Opium 
33. Oxycodon (14- hydroxydihydrocodeinone) 
34. Oxymorphon (14- hydroxydihydromorphinone) 
35. Pethidin (1-methyl-4-phenylpiper odine-4-carboxylic acid ethyl ester) 
36. Phenazocin (2'- Hydroxy-5,9-Dimethyl-2-Phenethyl-6,7- Benzomorphan) 
37. Pholcodin (Morpholinylethylmorphine) 
38. Piritramid (1-(3-cyano-3,3-diphenylpropyl-4-(1-piperidino)-piperidine-4-
carboxylic acid amid) 
                                                      
12 Attached to Decision No. 2033/1999/Q§_BYT dated 9 July 1999 of the Minister of Health 
 WT/ACC/SPEC/VNM/5 
Page 188  
 
  No. International name Scientific name 
39. Propiram (N- (1- Methyl- 2 piperidinoethyl- N- 2- pyridyl 
Propionamide) 
40. Sufentanil (N- [4-(methoxymethyl)- 1- [2- (2-thienyl)- ethyl]-4 – 
piperidyl]- propionanilide) 
41. Thebacon (Acetyl dihydro codeinone) 
42. Tonazocin mesylat (+)-1-[(2 R- 6S –1, 2,3,4,5,6 – hexahydro – 8 –hydroxy- 
3,6,11- Trimethyl – 2,6- methano-3-benzazocine-11-yl] 
43. Tramadol (+) - Trans- 2- Dimethylaminomethyl- 1-(3- methoxyphenyl) 
cyclohexanol 
 
Narcotics in the form of mixtures13 
 
No. Name of the material Content of base form per single dose 
product unit 
(mg) Concentration of base 
form per multi dose 
product unit 
(mg) 
1. Acetyl dihydrocodein 100 2.5 
2. Cocain  0.1 
3. Codein 100 2.5 
4. Dextropropoxyphen 135 2.5 
5. Difenoxin No more than 0.5mg Difenoxin and 
at least 0.025 mg Atropin Sulfat in 
per dosage unit of product.  
6. Difenoxylat No more than 2.5mg Difenoxylat 
and at least 0.025 mg Atropin Sulfat per dosage unit of product.  
7. Dihydrocodein 100 2.5 
8. Ethyl morphin 100 2.5 
9. Opium 1 mg Morphin in base form  
10. Nicocodin 100 2.5 
11. Nicodocodin 100 2.5 
12. Norcodein 100 2.5 
13. Pholcodin 100 2.5 
14. Propiram 100 2.5 
 
 
                                                      
13 Attached to Decision No. 2033/1999/Q§_BYT dated 09 July 1999 of Minister of Health 
  WT/ACC/SPEC/VNM/5 
 Page 189 
 
 
  Table 10:  List of Precious Aquatic Creatures Requiring Export Approval  
by the Ministry of Aqua-culture  
 
Names Scientific Names 
Red coral Carallium Japonieus 
Konojci red coral Carallium Konojci 
Leaf-shaped earth-worms Phylum Spp. 
Round earth-worms Bibis Spp. 
Grown batrachian Ranidae 
Lobsters Panulirus Spp. 
Sea Cods of various kinds Ephinephelus Spp. 
 Seriola Spp. 
Awa Chanos Chanos 
Note:  The list is attached to Governme nt Decree No. 89/CP of 15 December 1995. WT/ACC/SPEC/VNM/5 
Page 190  
 
  Table 11:  Preferential tariff rates contingent on localization ratios for the manufacturing of motorcycles and 
mechanical-electric-el ectronic enterprises  
 
Complete products of two-wheel motorbike: 
 
Achieved localization ratio (%) MFN import tariff rates 
contingent upon localization ratios (%) 
1. Above 0 and up to 20 
2. Above 20 and up to 30  
3. Above 30 and up to 40 
4. Above 40 and up to 50 
5. Above 50 and up to 60 
6. Above 60 and up to 70 
7. Above 70 and up to 80 
8. Above 80  60 
50 
40 
30 20 
10 
5 3 
 
Parts of two-wheel motorbike : 
 
MFN import tariff rates contingent upon localization ratios (%) 
With respect to parts which are subject to 
MFN import tariff rate of 50% Achieved 
localization 
ratio 
(%) With respect to 
parts which are 
subject to MFN 
import tariff 
rate of 30% With respect to 
parts which are 
subject to MFN 
import tariff 
rate of 40% Engines Other parts 
1. Up to 20 
2. Above 20 to 35 
3. Above 35 to 45 
4. Above 45 to 55 
5. Above 55 to 65 
6. Above 65 to 80 
7. Above 80 30 
20 
15 
10 
7 
5 
3 40 
30 
20 
10 
7 
5 
3 50 
30 
20 
10 
7 
5 
3 50 
40 
30 
20 10 
7 
5 
 
Electronic products : 
 
MFN import tariff rates contingent upon localization ratios (%) 
Achieved 
localization 
ratio 
(%) With respect to 
parts which are 
subject to MFN 
import tariff rate of 
30% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 40% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 50% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 60% 
1. Up to 20 
2. Above 20 to 35 
3. Above 35 to 50 
4. Above 50 to 60 
5. Above 60 20 
15 10 
5 
3 30 
20 10 
5 
3 40 
30 15 
10 
3 40 
30 15 
10 
3 
  WT/ACC/SPEC/VNM/5 
 Page 191 
 
 
  Electronic parts: 
 
MFN import tariff rates contingent upon localization ratios (%) 
Achieved 
localization 
ratio 
(%) With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 30% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 40% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 50% With respect to 
parts which are 
subject to MFN 
import tariff rate 
of 60% 
1. Up to 15 
2. Above 15 to 30 
3. Above 30 to 40 
4. Above 40 to 50 
5. 5- Above 50 20 
15 
10 
5 3 20 
15 
10 
5 3 30 
20 
10 
5 3 40 
20 
10 
5 3 
 
Mechanical-electric products: 
 
MFN import tariff rates contingent upon localization ratios (%) 
Achieved 
localization 
ratio 
(%) With respect to 
parts which are subject to MFN 
import tariff rate of 
30% With respect to 
parts which are subject to MFN 
import tariff rate of 
40% With respect to 
parts which are subject to MFN 
import tariff rate of 
50% With respect to 
parts which are subject to MFN 
import tariff rate of 
60% 
1. Up to 20 
2. Above 20 to 35 
3. Above 35 to 50 
4. Above 50 to 60 
5. Above 60 20 
15 
10 
5 3 30 
20 
10 
5 3 40 
30 
20 
10 
3 50 
40 
20 
10 
3 
 
Mechanical-electric parts : 
 
MFN import tariff rates contingent upon localization ratios (%) 
Achieved 
localization  
ratio  
(%) With respect to 
parts which are subject to MFN 
import tariff rate of 
30% With respect to 
parts which are subject to MFN 
import tariff rate of 
40% With respect to 
parts which are subject to MFN 
import tariff rate of 
50% With respect to 
parts which are subject to MFN 
import tariff rate of 
60% 
1. Up to 15 
2. Above 15 to 30 
3. Above 30 to 40 
4. Above 40 to 50 
5. Above 50 20 
15 
10 
5 
3 20 
15 
10 
5 
3 30 
20 
10 
5 
3 40 
20 
10 
5 
3 
 WT/ACC/SPEC/VNM/5 
Page 192  
 
  Table 14(a):  Fees for Cargo and Luggage in Transit Through Viet Nam  
 
No. Means of transport – Transiting Distance Calculation 
unit Fee rate 
(VND) 
Automobiles 
- Distance of less than 100 km Unit 60,000 1  
- Distance of 100 km or more, a surcharge shall be collected for 
every extra 50 km Unit 24,000 
Train 
- Distance of less than 100 km Wagon 72,000 2 
- Distance of 100 km or more, a surcharge shall be collected for 
every extra 50 km Wagon 36,000 
3 Ship 
Fee rates for ships of a weight of between 300 GRT and less than 1,000 GRT:  
- Distance of less than 100 km Ship 120,000 a. 
- Distance of 100 km or more, a surcharge shall be collected for 
every extra 50 km Ship 60,000 
Fee rates for ships of a weight of between 1,000 GRT and less than 3,000 GRT 
- Distance of less than 200 km Ship 300,000 b. 
- Distance of 200 km and more, a surcharge shall be collected for 
every extra 50 km Ship 70,000 
Fee rates for ships of a weight of between 3,000 GRT and 5,000 GRT 
- Distance of less than 200 km Ship 720,000 c. 
- Distance of 200 km and more, a surcharge shall be collected for 
every extra 50 km Ship 120,000 
Fee rates for ships of a weight of more than 5,000 GRT 
- Distance of less than 200 km Ship 1,200,000 d. 
- Distance of 200 km and more, a surcharge shall be collected for 
every extra 50 km Ship 240,000 
 
 
Table 14(b):  Fees for Escort and Sealing of Cargo  
 
No. Means of transport Calculation unit Fee rate 
(VND) 
I Customs escorting fee 
Automobiles: 
- Escorting distance of less than 100 km Unit 48,000 
- Escorting distance of between 100 km and 150 km Unit 96,000 1  
- Escorting distance of more th an 150 km, a surcharge shall 
be collected for every extra 50 km Unit 30,000 
Train 
- Escorting distance of less than 100 km Wagon 42,000 
- Escorting distance of between 100 km and 150 km Wagon 96,000 2  
- Escorting distance of more th an 150 km, a surcharge shall 
be collected for every extra 50 km Wagon 20,000 
3 Ship 
a. Fee rates for ships of a weight of less than 300 GRT as those for river or sea barges (as indicated in 
item 4 below) 
Fee rates for ships of a weight of between 300 GRT and 1,000 GRT:  
- Escorting distance of less than 200 km Ship 360,000 
- Escorting distance of between 200 km and 300 km Ship 720,000 b. 
- Escorting distance of more th an 300 km, a surcharge shall 
be collected for every extra 50 km Ship 100,000 
Fee rates for ships of a weight of more than 1,000 GRT:  c. 
- Escorting distance of less than 200 km Ship 600,000  WT/ACC/SPEC/VNM/5 
 Page 193 
 
 
  No. Means of transport Calculation unit Fee rate 
(VND) 
- Escorting distance of between 200 km and 300 km Ship 1,200,000  
- Escorting distance of more th an 300 km, a surcharge shall 
be collected for every extra 50 km Ship 150,000 
River or sea barges 
- Escorting distance of less than 200 km Barge 240,000 
- Escorting distance of between 200 km and 300 km Barge 300,000 4 
- Escorting distance of more th an 300 km, a surcharge shall 
be collected for every extra 50 km Barge 50,000 
Crafts, boats 
- Escorting distance of less than 100 km Boat 60,000 
- Escorting distance of between 100 km and 150 km Boat 120,000 
- Escorting distance of between 150 km and 200 km Boat 180,000 5 
- Escorting distance of more th an 200 km, a surcharge shall 
be collected for every extra 50 km Boat 240,000 
II Customs sealing fee 
1 Paper seal fee: 
- Seals which use less than 10 sealing papers Per sealing 
procedure 5,000 
- Seals which use from 10 to less than 20 sealing papers Per sealing 
procedure 10,000 
 Seals which use from 20 to less than 50 sealing papers Per sealing 
procedure 20,000  
- Seals which use more than 50 sealing papers Per sealing 
procedure 30,000 
2 Lead seal fee Per sealing case 5,000 
3 Seal ring fee Per sealing case 20,000 
 
 
__________  
 
  
 
    