Decree No. 123/2022/NĐ-CP on the Preferential Import Tax Tariff for Special Treatment of Vietnam to Implement the ASEAN-Hong Kong, China Free Trade Agreement for the Period 2022-2027

DECREE

Tariff Schedule for Special Preferential Import Duties of Vietnam to Implement the ASEAN-Hong Kong, China Free Trade Agreement for the Period 2022-2027

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

Pursuant to the Law on Export Duties and Import Duties dated April 6, 2016;

Pursuant to the Customs Law dated June 23, 2014;

Pursuant to the ASEAN Framework Agreement on Facilitation of Intra-Regional Land Transport signed on December 10, 2009;

To implement the ASEAN-Hong Kong, China Free Trade Agreement which became effective from June 11, 2019;

At the proposal of the Minister of Finance;

The Government promulgates the Decree on the Tariff Schedule for Special Preferential Import Duties of Vietnam to Implement the ASEAN-Hong Kong, China Free Trade Agreement for the Period 2022-2027.

Article 1. Scope of Regulation

This Decree stipulates the rates of special preferential import duties of Vietnam to implement the ASEAN-Hong Kong, China Free Trade Agreement for the period 2022-2027 and the conditions for enjoying such special preferential import duty rates under this Agreement.

Article 2. Applicability

1. Taxpayers as prescribed by the Law on Export Duties and Import Duties.

2. Customs authorities, customs officers.

3. Organizations and individuals involved in export and import goods have rights and obligations related thereto.

Article 3. Special Preferential Import Tariff Schedule

1. Attached herewith is the Tariff Schedule for Special Preferential Import Duties of Vietnam to Implement the ASEAN-Hong Kong, China Free Trade Agreement for the Period 2022-2027 (hereinafter referred to as AHKFTA preferential import duty rates).

2. The columns "Commodity Code" and "Description of Goods" in the attached Tariff Schedule for Special Preferential Import Duties are based on the List of Exported and Imported Commodities of Vietnam and classified according to the 8-digit or 10-digit coding system.

In case the List of Exported and Imported Commodities of Vietnam is amended or supplemented, the declarant shall declare the description and commodity code according to the amended or supplemented List of Exported and Imported Commodities and apply the AHKFTA preferential import duty rate specified in the attached Tariff Schedule for Special Preferential Import Duties for the amended or supplemented commodity code.

3. Column "AHKFTA Rate (%)": Rates applicable for different periods, including:

a) 2022: The rate applies from December 30, 2022 to December 31, 2022;

b) 2023: The rate applies from January 1, 2023 to December 31, 2023;

c) 2024: The rate applies from January 1, 2024 to December 31, 2024;

d) 2025: The rate applies from January 1, 2025 to December 31, 2025;

đ) 2026: The rate applies from January 1, 2026 to December 31, 2026;

e) 2027: The rate applies from January 1, 2027 to December 31, 2027.

4. Symbol "*": imported goods not entitled to AHKFTA preferential import duty rates at the corresponding time.

For imported goods subject to quota import duties, including certain items under groups 04.07, 17.01, 24.01, 25.01, the special preferential import duty within the quota is the rate specified in the attached Tariff Schedule for Special Preferential Import Duties; the list and annual quota volume for imported goods are regulated by the Ministry of Industry and Trade, and the import duty rate outside the quota is applied according to the Export Tariff, the Tariff Schedule for Preferential Import Duties, the List of Commodities and Absolute, Mixed, and Import Duties Outside Quota as prescribed by the Government at the time of importation.

Article 4. Conditions for applying the Special Preferential Tariff Rate

Imported goods subject to AHKFTA preferential import duty rates must meet the following conditions:

1. They must be listed in the Special Preferential Import Tariff Schedule issued together with this Decree.

2. Imported from countries that are members of the ASEAN-Hong Kong, China Free Trade Agreement, including the following countries and territories:

a) Brunei Darussalam;

b) Kingdom of Cambodia;

c) Republic of Indonesia;

d) Lao People's Democratic Republic;

d) Malaysia;

e) Union of Myanmar;

g) Republic of the Philippines;

h) Republic of Singapore;

i) Kingdom of Thailand;

k) Hong Kong Special Administrative Region of the People's Republic of China.

3. Comply with the rules of origin (including direct shipment requirements) and have a Certificate of Origin (C/O) in the AHK format or other certification documents in accordance with the ASEAN-Hong Kong, China Free Trade Agreement and current laws.

Article 5. Goods from Vietnam's Duty-Free Zones

Imported goods from non-tariff zones in Vietnam into the domestic market must comply with the conditions stipulated in Clause 1 and Clause 3 of Article 4 of this Decree to be eligible for AHKFTA preferential import duty rates.

Article 6. Effectiveness

1. This Decree takes effect from the date of issuance.

2. The Decree No. 07/2020/NĐ-CP dated January 5, 2020 of the Government promulgating the Tariff Schedule for Special Preferential Import Duties of Vietnam to Implement the ASEAN-Hong Kong, China Free Trade Agreement for the Period 2019-2022 ceases to be effective from the date this Decree takes effect.

Article 7. Responsibility for Implementation

Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairpersons of provincial and centrally-administered city People's Committees, and related organizations and individuals are responsible for implementing this Decree.