Circular No. 59/2013/TT-BTC guiding customs procedures, inspection, and supervision for certain types of goods traded under temporary importation and re-exportation, transshipment, and storage in bonded warehouses.

CIRCULAR

Guidelines for customs procedures, inspection, and supervision for certain types of goods traded under temporary importation for re-export, transshipment, and storage in bonded warehouses.

goods for temporary importation for re-export, transshipment, and storage in bonded warehouses

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Pursuant to the Customs Law No. 29/2001/QH10 dated June 29, 2001, and the Law No. 42/2005/QH11 dated June 14, 2005 amending and supplementing certain articles of the Customs Law;

Pursuant to Decree No. 154/2005/ND-CP dated December 15, 2005 of the Government stipulating customs procedures and customs inspection and supervision regimes;

Pursuant to Decree No. 12/2006/NĐ-CP dated January 23, 2006, issued by the Government, detailing the implementation of the Law on Trade regarding international trade activities and foreign trade agency services.

Pursuant to Decree No. 118/2008/NĐ-CP dated November 27, 2008, of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Decree No. 87/2012/NĐ-CP dated October 23, 2012 of the Government detailing certain provisions of the Customs Law on electronic customs procedures for commercial export and import goods;

Implementing Directive No. 23/CT-TTg dated September 7, 2012, issued by the Prime Minister, concerning strengthening state management over temporary importation for re-export, transshipment, and storage in bonded warehouses.

At the proposal of the Director General of the General Department of Customs,

The Minister of Finance hereby issues this Circular guiding customs procedures, inspection, and supervision for certain types of goods traded under temporary importation for re-export, transshipment, and storage in bonded warehouses as follows::

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

1. This Circular guides customs procedures for certain types of goods traded under temporary importation for re-export, transshipment, and brought from abroad into bonded warehouses to await export to another country through northern border provinces.

2. Goods traded under temporary importation for re-export, transshipment, and brought from abroad into bonded warehouses awaiting export to another country through northern border provinces as specified in this Circular include:

a) Goods specified in Clause 2, Article 1 of Circular No. 05/2013/TT-BCT dated February 18, 2013, issued by the Ministry of Industry and Trade, concerning temporary importation for re-export and transshipment of certain types of goods (hereinafter referred to as Circular No. 05/2013/TT-BCT).

b) Alcoholic beverages, beer, cigarettes, cigars, frozen food items brought from abroad; goods that have completed customs procedures under the temporary importation for re-export scheme and stored in bonded warehouses to await export to another country through northern border provinces, except for goods specified in Clause 1, Article 25 of Decree No. 154/2005/NĐ-CP dated December 15, 2005, issued by the Government.

Article 2. Applicability

1. Vietnamese traders;

2. Bonded warehouse operators and owners of goods stored in bonded warehouses;

3. Customs authorities and customs officers;

4. Other organizations and individuals related to the matter.

Chapter II

CUSTOMS PROCEDURES, INSPECTION, AND SUPERVISION FOR GOODS TRADED UNDER TEMPORARY IMPORTATION FOR RE-EXPORT

Article 3. Customs Procedures for Goods Traded Under Temporary Importation for Re-Export

Customs procedures for certain types of goods traded under temporary importation for re-export as specified in this Circular shall be carried out according to the guidelines set forth in Article 37 of Circular No. 194/2010/TT-BTC dated December 6, 2010, issued by the Ministry of Finance (hereinafter referred to as Circular No. 194/2010/TT-BTC) and Article 46 of Circular No. 196/2012/TT-BTC dated November 15, 2012, issued by the Ministry of Finance (hereinafter referred to as Circular No. 196/2012/TT-BTC). In addition, some supplementary guidelines are provided as follows: When processing customs procedures for temporary importation, in addition to the documents required for general importation, the trader must:

1. Temporary import customs declaration dossier:

a) Register the exit port for re-export on the "other remarks" section of the customs declaration form.

b) Submit a copy of the export contract.

c) Submit a named consignment bill of lading (clearly stating the name of the recipient and not transferable, with the permit number or business code certificate for temporary importation for re-export issued by the Ministry of Industry and Trade): one copy (except for goods temporarily imported via land border crossings);

d) Business code certificate for temporary importation for re-export issued by the Ministry of Industry and Trade: one copy, presenting the original;

e) Permit for temporary importation for re-export issued by the Ministry of Industry and Trade (for goods listed in point a, Clause 2, Article 1 of Circular No. 05/2013/TT-BCT): one original.

đ) When processing customs procedures for re-export, in addition to the documents required for general exportation, the declarant must specify the goods for re-export belonging to which temporary importation declaration on the "accompanying documents" section of the customs declaration form.

2. Temporary re-export customs declaration dossier:

Goods traded under temporary importation for re-export within the scope regulated by this Circular must complete customs procedures for temporary importation and re-export at the port of temporary importation; goods for re-export may be transported through ports as guided in Clause 3, Article 4 of this Circular.

3. Place of customs procedures:

Goods for temporary importation for re-export subject to the scope of this Circular must complete temporary importation and re-export customs procedures at the port of temporary importation; Re-exported goods may be transported through ports in accordance with the guidance provided in Clause 3, Article 4 of this Circular.

Article 4. Customs management and supervision of goods for temporary importation for re-export

1. The period during which goods for temporary importation for re-export may be stored in Vietnam:

a) Goods for temporary importation for re-export specified in this Circular may be stored in Vietnam not exceeding 45 days from the date of completion of temporary import customs procedures.

b) In case traders need to extend the storage period in Vietnam, they shall submit a written request to the Customs Sub-department at the port of entry where the temporary import procedures were completed. The leader of the Customs Sub-department shall examine and approve the request by signing and stamping it on the trader's written request, returning it to the trader to complete the re-export procedures; retain one copy of the customs file. The extension can only be granted once and not more than 15 days.

c) Beyond the permitted storage period in Vietnam, traders are only allowed to re-export through the original port of entry within 15 days from the expiry date of the permitted storage period in Vietnam (re-export through other ports is not allowed). If re-export is not possible, the goods will be confiscated and handled according to regulations; if destruction is required, the cost of destruction shall be carried out in accordance with the guidance of the Ministry of Industry and Trade regarding the management and use of the trader's guarantee deposit as stipulated in Clause 1, Article 13 of Circular No. 05/2013/TT-BCT. The Customs Sub-department at the original port of entry shall be responsible for coordinating with the Customs Sub-department at the re-export port in handling, managing, supervising, and disposing of goods that exceed the storage period in Vietnam.

2. Storage Locations:

a) Goods for temporary importation for re-export specified in this Circular must be stored in the port area, inland container depot (ICD) area, or bonded warehouse located in the port area of temporary importation or re-export port (for cases where re-export procedures have been completed).

b) Frozen food products for temporary importation for re-export, after completing temporary import procedures, may be stored in areas such as warehouses and yards within the customs operation area of the trader, provided that the trader has been issued a business code for temporary importation for re-export by the Ministry of Industry and Trade.

3. Re-export port:

The re-export port for goods for temporary importation for re-export shall be implemented in accordance with the provisions of the Ministry of Industry and Trade in Article 11 of Circular No. 05/2013/TT-BCT.

4. In case the trader needs to change the re-export port recorded on the export declaration, it shall be carried out in accordance with the specific guidelines of the Ministry of Finance.

5. Temporary imported goods may be divided into multiple consignments for re-export, but splitting containers during the transportation process from the port of temporary importation to the customs supervision area at the re-export port is not allowed.

In case transportation requirements necessitate changing or splitting containers for re-export, the trader shall submit a written request detailing the reasons, start and end times for the changes or splits; the head of the Customs Sub-department managing the storage locations shall decide if the goods and transport vehicles meet the following conditions:

a) The goods are being stored at the locations specified in Clause 2 of this Article;

b) Containers or transport vehicles must ensure the condition of customs seal monitoring;

c) Goods during the transfer to another container or transport vehicle must be directly supervised by customs officials.

In the case of splitting containers at the re-export port for re-export, there is no need to comply with the conditions stipulated in Point b, Clause 5 of this Article.

6. Goods for re-export that have completed customs procedures must be fully assembled at the port area and re-exported through the port within eight working hours from the time the goods arrive at the export port. If export cannot be completed or all goods are not exported, and the trader submits a written request, the head of the Customs Sub-department at the export port may consider extending the deadline to export all goods on subsequent days, but within the permitted storage period in Vietnam.

During the waiting period for further re-export, the goods must be stored in the port area (including the inspection area for export goods recognized by the General Department of Customs in the border economic zone), inland container depot (ICD) area, or bonded warehouse located in the port area.

7. Customs supervision for goods re-exported at a different port:

Customs procedures, inspection, and customs supervision for goods that have completed re-export customs procedures but are transported to a different port for export shall be carried out as for goods exported under changed port procedures in accordance with Circulars No. 194/2010/TT-BTC and No. 196/2012/TT-BTC. Additionally, this Circular supplements as follows:

a) Goods for temporary importation for re-export transported from the port of temporary importation to the re-export port shall not exceed five days.

b) Responsibilities for supervision and management from the port of temporary importation to the re-export port:

b.1) Responsibilities of the Customs Sub-department at the port of temporary importation:

b.1.1) Sealing the goods and the customs file to be transferred to the customs authority at the export port.

b.1.2) Preparing the Handover Record of Goods for Temporary Importation for Re-export (Form 01/BBBG-TNTX/2013 attached to this Circular): three copies, including full information about departure time, route, and other details serving as the basis for the customs authority at the export port to accept, inspect, compare, and handle.

b.1.3) Delivering to the declarant: two copies of the Handover Record of Goods for Temporary Importation for Re-export; the sealed customs file and goods.

b.1.4) Sending the Handover Record of Goods via fax to the Customs Sub-department at the export port before 17:00 daily for coordination and management; in cases where multiple consignments are handed over to the same Customs Sub-department at the export port, a Statistical Table of Handover Records of Goods may be prepared for faxing.

b.1.5) Monitoring feedback information from the Customs Sub-department at the export port. In case the goods have exceeded the transportation period recorded on the Handover Record without receiving feedback, the Customs Sub-department at the port of temporary importation shall report to the Director of the Customs Department to organize the search for the consignment.

b.2) Responsibilities of the Customs Sub-department at the re-export port:

b.2.1) From the date of receiving information on goods for temporary importation for re-export transferred at border gates via the Fax Delivery Record or the Delivery Record Statistics Table from the customs office handling temporary importation, the customs branch at the re-export border gate shall be responsible for monitoring the information on consignments transported to the export border gate according to the Delivery Record or the Delivery Record Statistics Table.

b.2.2) Inspect and verify the condition of the customs seal and confirm the information on the Delivery Record after the trader has gathered the full quantity of goods in the export border gate area.submit to the Branch Leader for signing confirmation on two Delivery Records and fax back the information on the consignment to the customs branch handling temporary importation. In case there is suspicious information indicating that the re-exported consignment violates customs laws, the Branch Director of the customs branch at the re-export border gate shall decide to conduct an actual inspection of the goods and handle the inspection results as if it were a consignment transferred at border gates.

b.2.3) Supervise the consignment from receipt until complete export and confirm the supervision result on the customs declaration (signing, stamping with the official seal and clearly stating the date, month, year) and submit to the Branch Leader for signing confirmation (signing, stamping and clearly stating the date, month, year).

b.2.4) If the transportation period expires but the goods have not arrived at the re-export border gate, before 08:00 AM on the next working day, the customs branch at the re-export border gate shall be responsible for reporting the information on the consignment not being transported within the registered time to the customs branch handling temporary importation, and cooperate with the customs branch handling temporary importation in searching for the consignment.

b.3) Responsibilities of the Customs Control Team:

Upon receiving information on goods for temporary importation for re-export being transported outside the registered route or time within their operational area, the Customs Control Team shall be responsible for organizing the search for the consignment upon request of the customs branch where the declaration was registered; in cases outside their operational area, they shall report to the Anti-Smuggling Investigation Department for coordination in searching for the consignment.

b.4) Responsibilities of the trader:

b.4.1) Transport goods along the confirmed route and within the confirmed time as recorded on the Delivery Record of Goods by the customs authority. In case of objective reasons preventing the transport along the confirmed route or within the confirmed time, the trader must notify the customs branch where the declaration was registered and the customs branch at the export border gate in writing for monitoring and supervision.

b.4.2) Maintain the goods in their original sealed state throughout the transportation process. In case of accidents or unforeseen events causing damage to the customs seal or changes to the original state of the goods, the trader must take measures to minimize losses and immediately inform the People's Committee of the commune, ward, town, or the nearest customs branch to establish a record confirming the current state of the goods.

8. Goods for temporary importation for re-export under the scope regulated by this Circular are not permitted to be transferred for domestic consumption. In case traders transfer goods for domestic consumption without permission from competent authorities, they will be subject to legal penalties.

9. Procedures for liquidation and refund of taxes on goods for temporary importation for re-export shall be carried out in accordance with the guidance provided in Circular No. 194/2010/TT-BTC. Additionally, the customs officer conducting the liquidation must base the liquidation of the temporary import declaration on the Delivery Record or the Delivery Record Statistics Table confirmed by the customs office at the export border gate.

10. Reporting system:

On the 10th day of each month, the Provincial or Municipal Customs Office shall compile and report to the General Department of Customs on the situation of customs procedures for goods for temporary importation for re-export according to the form prescribed by the General Department of Customs.

Article 5. Customs management for goods traded under temporary importation and re-exportation stored in bonded warehouses or domestic ports

1. General Provisions

a) Goods traded under temporary importation and re-exportation may only be stored in bonded warehouses or domestic ports located within the area of the import customs checkpoint.

b) When goods traded under temporary importation and re-exportation are stored in bonded warehouses or domestic ports, the period of storage on the territory of Vietnam shall be carried out according to the provisions of Clause 1, Article 4 of this Circular, without additional time for goods stored in bonded warehouses.

c) Goods traded under temporary importation and re-exportation may only be stored in bonded warehouses or domestic ports after having completed the procedures for temporary importation or re-exportation, waiting for export.

2. Customs management for goods traded under temporary importation and re-exportation stored in bonded warehouses.

a) Customs procedures for goods that have completed temporary importation or re-exportation procedures and are stored in bonded warehouses shall be implemented as for goods moved from inland to bonded warehouses according to the guidance provided in Clause 2, Article 55 of Circular No. 194/2010/TT-BTC. In the case of goods that have completed temporary importation procedures and are stored in bonded warehouses, traders must submit a copy and present the original declaration form for temporary importation which has been completed with customs procedures (retained by the declarant).

Customs procedures and customs supervision for goods that have completed temporary importation or re-exportation procedures and are transported from the customs checkpoint to bonded warehouses shall be implemented as for goods transferred between checkpoints according to the guidance provided in Article 57 of Circular No. 194/2010/TT-BTC.

b) When moving goods from bonded warehouses to the customs checkpoint for export, traders must complete customs re-exportation procedures before moving goods from bonded warehouses to another country. The supervision of goods transported from bonded warehouses to the customs checkpoint for export shall be carried out according to the guidance provided in Clause 7, Article 4 of this Circular.

3. Customs management for goods traded under temporary importation and re-exportation stored at domestic ports.

a) Customs procedures and customs supervision for goods that have completed temporary importation or re-exportation procedures and are transported from the import customs checkpoint to domestic ports shall be implemented as for goods transferred between checkpoints according to the guidance provided in Article 57 of Circular No. 194/2010/TT-BTC and Article 19 of Circular No. 196/2012/TT-BTC.

b) The supervision of goods transported from bonded warehouses to the customs checkpoint for export shall be carried out according to the guidance provided in Clause 7, Article 4 of this Circular.

Chapter III

CUSTOMS PROCEDURES, INSPECTION AND CUSTOMS SUPERVISION FOR GOODS TRADED UNDER TRANSIT

Article 6. Customs procedures, inspection, and customs supervision for goods traded under transit

Customs procedures, inspection, and customs supervision for goods traded under transit shall be carried out according to the guidance provided in Article 38 of Circular No. 194/2010/TT-BTC.

Chapter IV

CUSTOMS PROCEDURES, INSPECTION AND CUSTOMS SUPERVISION FOR GOODS STORED IN BONDED WAREHOUSES

, Clause 1, Clause 2 Article 7a of this Regulation.. Customs procedures for goods brought from abroad into bonded warehouses to await export to another country

Customs procedures for goods brought from abroad into bonded warehouses to wait for export to another country shall be carried out as for goods brought from abroad into bonded warehouses and taken out of bonded warehouses to another country according to the guidance provided in Clause 1 and Clause 3, Article 55 of Circular No. 194/2010/TT-BTC. Additionally, in this Circular, the Ministry of Finance supplements the following guidance:

1. Goods specified in Point b Clause 2, Article 1 of this Circular may only be stored in bonded warehouses under the jurisdiction of the Customs Sub-Department at the import customs checkpoint or export customs checkpoint;2. Traders with commodity group codes issued by the Ministry of Industry and Trade according to

the guidance provided in Circular No. 05/2013/TT-BCT may be named on declarations for imported and exported goods from bonded warehouses. 3. When completing customs procedures for goods brought from abroad into bonded warehouses, the bonded warehouse owner must submit a waybill clearly indicating the name and address of the bonded warehouse where the goods are stored.

4. Goods brought from abroad into bonded warehouses must be physically inspected; the form and extent of inspection shall be decided by the Head of the Customs Sub-Department.

Customs management for goods entering and exiting bonded warehouses

Article 8. 1. Period for storing goods in bonded warehouses:

Goods specified in this Circular may be stored in bonded warehouses for no more than 45 days from the date of entry into the bonded warehouse; in cases of valid reasons and with the written consent of the Director of the General Department of Customs, the period may be extended once, but not exceeding 15 days.

2. Customs supervision:

a) Goods stored in bonded warehouses must be subject to inspection and supervision by customs authorities during transportation on the territory of Vietnam and while stored in bonded warehouses in Vietnam.

b) Goods brought into bonded warehouses in areas other than the import customs checkpoint or taken out of bonded warehouses in areas other than the export customs checkpoint must be sealed by customs; the handover of supervisory duties between customs at the checkpoint and customs at the bonded warehouse must be carried out strictly in accordance with regulations, ensuring that goods are transported into, out of, and stored in bonded warehouses; the organization of monitoring and coordinating customs supervision shall be carried out as stipulated for goods traded under temporary importation and re-exportation as provided in this Circular and the customs management procedures for exported and imported goods transferred between checkpoints of the General Administration of Customs.

c) The consignor (the bonded warehouse owner if authorized by the consignor) is responsible for transporting along the registered route, time, and checkpoint with the customs authority and preserving the goods in their original condition, sealed by customs;

3. Inspection and reporting system:

On the 5th day of each month, the bonded warehouse owner must report to the General Department of Customs managing the bonded warehouse about the situation of goods brought from abroad into bonded warehouses to wait for export to another country (according to Form No. 02/BC/KNQ attached to this Circular). The General Department of Customs will compile and report to the General Administration of Customs on the 10th of each month.

4. Management of goods exiting bonded warehouses to another country

a) Goods taken from bonded warehouses to another country must be exported out of the territory of Vietnam within 15 days from the date of removal from the bonded warehouse.

In cases where goods have been removed from the bonded warehouse for more than 15 days but have not yet been exported due to objective reasons, the declarant must submit a written request, confirmed by the leader of the Customs Sub-Department at the export customs checkpoint hthat the goods are still within the storage period of the bonded warehouse, they may be, stored in bonded warehouses at the export customs checkpoint or at border areas nearby to await export procedures . The storage period of goods in bonded warehouses is calculated from the date of the first entry into a bonded warehouse.The period for goods stored in bonded warehouses is calculated from the date the goods are first placed in a bonded warehouse.

b) Customs supervision for the transportation of goods from the export gate to the bonded warehouse shall be carried out as if the goods were exported goods that have completed customs procedures for transportation to the bonded warehouse to await export. During the period from when the goods are transported from the export gate to the bonded warehouse until the end of the export process, the Customs Sub-Departments must cooperate to exchange information on the status of goods stored in the bonded warehouse.

Chapter V

HANDLING IN CASES OF REFUSAL TO ACCEPT GOODS

Article 9. Cases of Refusal to Accept Goods

1. The consignee named on the waybill may refuse to accept goods in the following cases:

a) Cases where the goods do not comply with the provisions of Article 39 of the Trade Law regarding the sales contract for goods.

b) Goods that are not in compliance with the bonded warehouse lease contract or the sender has not fulfilled the terms specified in the bonded warehouse lease contract.

2. The refusal to accept goods must be implemented before the declaration registration time or the completion time of temporary import customs procedures or the customs procedures for transporting goods into the bonded warehouse.

3. Refusal to accept goods will not be recognized for goods that show signs of violating the law.

4. In case the customs authority determines that the goods refused by the consignee named on the waybill are smuggled goods, such goods shall be handled as smuggled goods.

Article 10. Handling of Refusal to Accept Goods

1. When discovering that the consignor has not fulfilled the contents of the sales contract or the bonded warehouse rental contract, if the consignee refuses to accept the goods, they must submit to the customs authority a set of documents including:

a) A notification of refusal to accept goods, clearly stating the reasons for refusal and proposing a handling solution (re-export, destruction, or confiscation, auction).

b) Evidence proving that the consignor has not fulfilled the contents of the sales contract or the bonded warehouse rental contract.

c) A notice and request for handling from the sender (if any).

If the sender sends the goods to the wrong address, the consignee shall notify the customs authority of the refusal to accept goods in writing.

2. Location for notifying refusal to accept goods:

a) In cases where the goods are under customs inspection and supervision at the gate, the consignee must notify the Customs Sub-Department at the gate.

b) In cases where the goods have been transported to the bonded warehouse, the consignee must notify the Customs Sub-Department managing the bonded warehouse.

3. Based on the set of documents requested by the consignee, the Customs Sub-Department at the gate or the Customs Sub-Department managing the bonded warehouse will cooperate with the Customs Control Team to inspect the entire consignment of goods to classify and handle according to the guidance provided in Clause 4 of this Article.

4. Classification and Handling.

The classification and handling of goods marked as refused by the consignee on the waybill shall be carried out in accordance with the Ministry of Finance's guidelines on the handling of abandoned, lost, misdelivered, or overdue goods declared at sea ports without claimants as stipulated in Article 45 of the Customs Law and goods without other claimants. Additionally, there are some supplementary guidelines as follows:

a) In cases of re-export.

Based on the set of documents requested by the consignee, the Customs Sub-Department at the gate or the Customs Sub-Department managing the bonded warehouse will supervise the goods being re-exported out of Vietnam immediately at the import gate.

b) For cases involving destruction.

The Provincial or City Customs Department will organize the destruction. The destruction costs will be deducted from the consignee's deposit or paid by the bonded warehouse owner.

c) In cases of confiscation and sale for liquidation.

The Provincial or City Customs Department will issue a confiscation decision and organize the sale for liquidation. The total amount received from the sale, after deducting the prescribed expenses, must be deposited into the state budget.

Chapter VI

EFFECTIVE DATE

Article 11. Transitional Provisions

1. The customs procedures for consignments of frozen food temporarily imported for re-export by traders who have been issued a Certificate of Business Code for Temporary Import and Re-export of Frozen Food in accordance with Circular No. 21/2011/TT-BCT dated May 20, 2011 of the Ministry of Industry and Trade on the management of temporary import and re-export of frozen food shall be carried out in accordance with Article 21 of Circular No. 05/2013/TT-BCT.

2. For consignments arriving at the Vietnamese gate from abroad or sent to the bonded warehouse before the effective date of this Circular, the procedures for bringing into and out of the bonded warehouse shall be carried out in accordance with Circular No. 194/2010/TT-BTC.

Article 12. Implementation Organization

1. The Director-General of the General Department of Customs shall guide the customs units to implement uniformly based on the provisions of this Circular.

2. During the implementation of this Circular, if any issues arise, the customs authorities and declarants must report and reflect specific details to the Ministry of Finance (General Department of Customs) for consideration and guidance on resolution.

Article 13. Effective Date

This Circular takes effect from June 22 monthg 6 year 2013./.