Decision No. 147/2002/QD-TTg On the mechanism for managing and controlling the import and export, production, assembly of two-wheeled motorcycles and spare parts during the period from 2003 to 2005

Pursuant to …;

On the management mechanism for import and export, production, and assembly of two-wheeled motorcycles and spare parts during the period 2003-2005

To manage motorcycle production and spare parts to ensure quality, encourage exports, and limit the rapid increase in motorcycles causing traffic congestion, traffic accidents, and serious environmental pollution;

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PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;

At the proposal of the Ministries of Industry, Finance, Planning and Investment,

The following regulations on the management mechanism for import and export, production, and assembly of two-wheeled motorcycles and spare parts during the period 2003-2005 are hereby stipulated:

DECISION:

Article 1. 1. The importation of motorcycles and motorcycle spare parts shall be carried out in accordance with Decision No. 46/2001/QĐ-TTg dated April 4, 2001.

2. Enterprises producing and assembling motorcycles with foreign investment capital must comply strictly with the provisions set forth in their investment licenses.

3. Enterprises producing motorcycles and motorcycle spare parts for export shall enjoy preferential policies as prescribed by current regulations.

4. Motorcycles produced and assembled domestically must be registered for protection of industrial property rights and undergo quality inspection in accordance with the provisions of the law.

Products that are motorcycles manufactured in Vietnam without registration for protection of industrial property rights and quality inspection as required by law shall not be allowed to register for circulation.

Spare parts for assembling motorcycles, including imported and domestically produced spare parts, must have clear and legal origins and be registered for product quality in accordance with current laws.

By January 1, 2004, enterprises producing and assembling motorcycles and motorcycle engines must obtain ISO 9001 (version 2000) certification for their motorcycle production and assembly systems.

As of January 1, 2003, the following tax policy shall be implemented for motorcycles and motorcycle spare parts:

a) The minimum rate of import duty on complete motorcycles and complete motorcycle engines is 100%;

b) The current rate of import duty on motorcycle spare parts and engine components shall remain unchanged.

1. The Ministry of Industry shall be responsible for directing the implementation of this Decision; from now until December 31, 2002, it shall take the lead and coordinate with relevant agencies to re-examine all existing enterprises producing and assembling motorcycles. Only those enterprises that meet the conditions specified in Decision No. 24/2002/QĐ-BCN dated June 7, 2002, issued by the Ministry of Industry and Clause 4, Article 1 of this Decision shall be permitted to continue producing and assembling motorcycles.

Article 2. Implementation organization:

2. The Ministry of Planning and Investment shall take the lead and coordinate with relevant agencies to inspect the implementation of investment permits by enterprises producing and assembling motorcycles with foreign investment capital. Investment permits shall be revoked from enterprises that fail to comply with the investment permits already granted.

3. The Ministry of Finance shall guide the implementation of the tax policies stipulated in Clause 5, Article 1 of this Decision; it shall negotiate with ASEAN to exclude motorcycles from the list of items subject to tariff reduction and only reduce tariffs on motorcycle spare parts starting from January 1, 2006.

4. The Ministry of Science and Technology shall be responsible for specifying and strictly controlling the registration for protection of industrial property rights and quality of motorcycle products and spare parts by enterprises producing and assembling motorcycles and spare parts.

5. The Ministry of Transport shall be responsible for strictly managing the quality inspection of motorcycles and motorcycle engines; it shall urgently develop and promulgate before December 31, 2002, technical standards for motorcycles and spare parts in compliance with current legal provisions.

6. The Ministry of Trade shall direct market management agencies to closely cooperate with police and customs forces to strengthen measures against smuggling, commercial fraud, and counterfeiting in the production, import and export, and circulation of motorcycle products and spare parts.

To facilitate the implementation of this Decision, from November 1, 2002, ministries, sectors, and provincial people's committees under the central government shall not issue investment permits for new projects related to motorcycle production and assembly.

Article 3. This Decision takes effect from January 1, 2003.

All previous regulations that conflict with this Decision are hereby abolished.

Ministers, heads of ministerial-level agencies, heads of central government-affiliated agencies, and chairpersons of provincial people's committees directly under the central government are responsible for enforcing this Decision.

Article 4. The Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of People's Committees of provinces and centrally governed cities shall be responsible for implementing this Decision.