Circular No. 12/2018/TT-BCT

CIRCULAR

PROVIDING DETAILED REGULATIONS FOR A NUMBER OF ARTICLES OF THE LAW ON FOREIGN TRADE MANAGEMENT AND DECREE NO. 69/2018/ND-CP DATED MAY 15, 2018 OF THE GOVERNMENT PROVIDING DETAILED REGULATIONS FOR A NUMBER OF ARTICLES OF THE LAW ON FOREIGN TRADE MANAGEMENT

Pursuant to the Law on Foreign Trade Management dated June 12, 2017;

Pursuant to Decree No. 98/2017/ND-CP dated August 18, 2017 of the Government prescribing the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to Decree No. 69/2018/ND-CP dated May 15, 2018 of the Government providing detailed regulations for a number of articles of the Law on Foreign Trade Management;

At the proposal of the Director General of the Import-Export Department;

The Minister of Industry and Trade promulgates the Circular providing detailed regulations for a number of articles of the Law on Foreign Trade Management and Decree No. 69/2018/ND-CP dated May 15, 2018 of the Government providing detailed regulations for a number of articles of the Law on Foreign Trade Management.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Circular provides for:

1. Details of the List of used consumer goods, medical equipment, and vehicles banned from import by HS code, under the management authority of the Ministry of Industry and Trade.

2. Details of the List of goods subject to temporary suspension of temporary import for re-export and border-gate transfer business, by HS code.

3. Application forms, report forms, templates, and the licensing authorities of the Ministry of Industry and Trade as prescribed in Decree No. 69/2018/ND-CP dated May 15, 2018 of the Government providing detailed regulations for a number of articles of the Law on Foreign Trade Management (hereinafter referred to as Decree No. 69/2018/ND-CP).

4. Import tariff-rate quotas.

Article 2. Subjects of application

This Circular applies to Vietnamese traders; organizations and individuals involved in foreign trade activities as prescribed in the Law on Foreign Trade Management.

Chapter II

LIST OF GOODS

Article 3. List of goods banned from import

Promulgating the detailed List of used consumer goods, medical equipment, and vehicles banned from import by HS code under the management authority of the Ministry of Industry and Trade in Appendix I attached to this Circular.

Article 4. List of goods subject to temporary suspension of temporary import for re-export and border-gate transfer business

1. Promulgating the detailed List of goods subject to temporary suspension of temporary import for re-export and border-gate transfer business by HS code in Appendix II attached to this Circular.

2. The list of goods prescribed in Clause 1 of this Article does not apply to cases of border-gate transfer business in the form of goods transported directly from the exporting country to the importing country without passing through a Vietnamese border gate.

Chapter III

APPLICATION FORMS, REPORT FORMS, TEMPLATES AND LICENSING AUTHORITIES

Article 5. Certificate of Free Sale (CFS)

1. The application form for a CFS is prescribed in Appendix III issued together with this Circular.

2. Agency issuing CFS for exported goods under the management authority of the Ministry of Industry and Trade:

- Hanoi Regional Import-Export Management Division - Import-Export Department - Ministry of Industry and Trade, address: 25 Ngo Quyen, Hoan Kiem District, Hanoi.

- Da Nang Regional Import-Export Management Division - Import-Export Department - Ministry of Industry and Trade, address: 7B Cach Mang Thang Tam, Hai Chau District, Da Nang City.

- Ho Chi Minh City Regional Import-Export Management Division - Import-Export Department - Ministry of Industry and Trade, address: 8th Floor, 12 Nguyen Thi Minh Khai Building, District 1, Ho Chi Minh City.

Article 6. License for temporary import for re-export business; license for temporary import for re-export in other forms; license for temporary export for re-import; license for border-gate transfer business

1. The application form for a license is prescribed in Appendix IV issued together with this Circular.

2. The form for reporting on the implementation of issued licenses for temporary import for re-export business and licenses for border-gate transfer business, as prescribed at Point d, Clause 1 and Point d, Clause 4, Article 19 of Decree No. 69/2018/ND-CP, is prescribed in Appendix V issued together with this Circular.

3. Licensing authority: Import-Export Department - Ministry of Industry and Trade, address: No. 54 Hai Ba Trung, Hoan Kiem District, Hanoi.

Article 7. Temporary import for re-export business code

1. The application form for a Temporary Import for Re-export Business Code is prescribed in Appendix VI issued together with this Circular.

2. The form of certificate confirming an enterprise's deposit is prescribed in Appendix VII issued together with this Circular.

3. The form for periodic reporting on temporary import for re-export business, for the implementation of Clause 5, Article 31 of Decree No. 69/2018/ND-CP, is prescribed in Appendix VIII issued together with this Circular.

Quarterly periodic reports shall be sent before the 10th of the first month of the following quarter to the Import-Export Department - Ministry of Industry and Trade, address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi, and via the report-receiving email address of the Import-Export Department.

4. Agency issuing the Temporary Import for Re-export Business Code: Ministry of Industry and Trade, address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi.

Article 8. License for goods in transit

1. The application form for a License for goods in transit is prescribed in Appendix IX issued together with this Circular.

2. Agency issuing the License for goods in transit: Ministry of Industry and Trade, address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi.

3. For goods in transit from countries sharing a land border with Vietnam that have signed a goods transit agreement with Vietnam, the provisions of such agreement and the guidance of the Ministry of Industry and Trade shall apply.

Article 9. License for manufacturing and processing of military uniforms for export, and license for importing military uniform samples

1. The application form for a License for manufacturing and processing of military uniforms for export to foreign armed forces is prescribed in Appendix X issued together with this Circular.

2. The application form for a License for importing military uniform samples for research, manufacturing and processing for export to foreign armed forces is prescribed in Appendix XI issued together with this Circular.

3. Licensing authority: Ministry of Industry and Trade, address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi.

Article 10. Coordination in providing information

1. The General Department of Customs shall provide information and data to the Ministry of Industry and Trade to serve management and administration work as prescribed in Article 34 of Decree No. 69/2018/ND-CP. The information and data shall be provided according to the forms prescribed in Appendix XII issued together with this Circular, specifically as follows:

a) Form of statistical information and data on temporary import for re-export business activities: Form 1.

b) Form of statistics on cases of violation of regulations on temporary import for re-export and border-gate transfer business: Form 2.

2. Forms for providing quarterly periodic information shall be sent before the 10th of the first month of the following quarter to the Import-Export Department - Ministry of Industry and Trade, address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi, and via the data-receiving email address of the Import-Export Department.

Chapter IV

IMPORT TARIFF-RATE QUOTAS

Article 11. List of goods managed under import tariff-rate quotas

Article 12. Decision on and announcement of import tariff-rate quota quantities

1. The import tariff-rate quota quantity for the following year for salt, poultry eggs, refined sugar, and raw sugar shall be decided by the Ministry of Agriculture and Rural Development and notified to the Ministry of Industry and Trade no later than November 15 each year.

2. The import tariff-rate quota quantity for the following year for raw tobacco materials shall be decided by the Ministry of Industry and Trade before November 15 each year.

3. On the basis of international commitments, and based on the annual import tariff-rate quota quantities decided in accordance with Clauses 1 and 2 of this Article, the Ministry of Industry and Trade shall officially announce the annual import tariff-rate quota quantities and prescribe the method of administration for each item.

Article 13. Application of import tax rates to goods managed under import tariff-rate quotas

1. Traders granted an Import License under the tariff-rate quota by the Ministry of Industry and Trade, or notified in writing by the Ministry of Industry and Trade of the right to use an import tariff-rate quota, shall enjoy the in-quota import tax rate for the quantity of goods imported as stated in the Import License under the tariff-rate quota or in the notice of the right to use the import tariff-rate quota.

2. For the quantity of goods imported in excess of the tariff-rate quota, the out-of-quota import tax rate shall apply.

3. Cases applying a method of administering the import tariff-rate quota other than the management method prescribed in Clause 1 of this Article shall comply with the regulations and guidance of the Ministry of Industry and Trade.

4. The in-quota import tax rate and the out-of-quota import tax rate shall comply with the regulations of the Government.

Article 14. Subjects considered for the grant of an Import License under the tariff-rate quota

1. For raw tobacco materials: Traders holding a cigarette manufacturing license issued by the Ministry of Industry and Trade and having a need to use imported raw tobacco materials for cigarette manufacturing.

2. For salt: Traders having a need to use salt for production, confirmed by the specialized management agency.

3. For poultry eggs: Traders having a need to import poultry eggs.

4. For refined sugar and raw sugar: Implementation shall follow the Ministry of Industry and Trade's annual guidance, formulated in consultation with the Ministry of Agriculture and Rural Development and the Ministry of Finance.

5. The Ministry of Industry and Trade shall determine the time of allocating the tariff-rate quota for the item prescribed in Clause 1 of this Article.

For the items prescribed in Clauses 2, 3, and 4 of this Article, the Ministry of Industry and Trade shall consult with the Ministry of Agriculture and Rural Development and the Ministry of Finance to determine the time of allocating the tariff-rate quota.

Article 15. Granting an Import License under the tariff-rate quota

1. On the basis of the annual announced tariff-rate quota quantity and the trader's registration, the Ministry of Industry and Trade shall consider granting the Import License under the tariff-rate quota to the trader.

2. The dossier for granting the Import License under the tariff-rate quota shall comply with Points a and b, Clause 1, Article 9 of Decree No. 69/2018/ND-CP, specifically as follows:

a) Application for registration of the import tariff-rate quota, using the form prescribed in Appendix XIII attached to this Circular: 1 original.

b) Investment certificate, or business registration certificate, or enterprise registration certificate: 1 copy bearing the trader's seal.

3. The procedure for granting the Import License under the tariff-rate quota shall comply with Clause 2, Article 9 of Decree No. 69/2018/ND-CP, specifically as follows:

a) The trader shall submit one dossier as prescribed in Clause 2 of this Article directly, by post, or online (if applicable) to the Ministry of Industry and Trade (Import-Export Department), address: 54 Hai Ba Trung, Hoan Kiem District, Hanoi.

b) Where the dossier is incomplete or not in proper form, or supplementary explanatory documents are needed, within 3 working days from the date of receipt of the dossier, the Ministry of Industry and Trade shall notify the trader to complete the dossier.

c) The time limit for processing the grant of the Import License under the tariff-rate quota to the trader is within 10 working days, counted from the time of allocation as prescribed in Clause 5, Article 14 of this Circular and from when the Ministry of Industry and Trade receives the complete and proper dossier.

Where the license is not granted, the Ministry of Industry and Trade shall reply to the trader in writing, clearly stating the reason.

4. Traders are responsible for periodic quarterly or ad hoc reporting on the implementation of imports at the request of the Ministry of Industry and Trade (Import-Export Department), using the form prescribed in Appendix XIV issued together with this Circular.

Before September 30 each year, traders shall submit a report (in lieu of the Quarter III report) to the Ministry of Industry and Trade assessing the import capability for the whole year, proposing an increase or decrease in the granted import quota, or reporting the quantity of goods that cannot be imported for reallocation to other traders.

Chapter V

IMPLEMENTATION PROVISIONS

Article 16. Transitional provisions

Licenses granted by the Ministry of Industry and Trade to traders under the guiding documents implementing Decree No. 187/2013/ND-CP dated November 20, 2013 of the Government detailing the implementation of the Commercial Law on international goods purchase and sale activities and agency activities for buying, selling, processing and transiting goods with foreign countries, issued before this Circular takes effect, shall continue to be implemented according to the contents and validity periods of the licenses already granted.

Article 17. Effect

1. This Circular takes effect from the date of signing.

2. This Circular repeals the following documents:

a) Circular No. 04/2014/TT-BCT dated January 27, 2014 of the Ministry of Industry and Trade detailing the implementation of a number of articles of Decree No. 187/2013/ND-CP dated November 20, 2013 of the Government detailing the implementation of the Commercial Law on international goods purchase and sale activities and agency activities for buying, selling, processing and transiting goods with foreign countries.

b) Circular No. 11/2017/TT-BCT dated July 28, 2017 of the Ministry of Industry and Trade regulating temporary import for re-export, temporary export for re-import, and border-gate transfer of goods.

c) Circular No. 49/2015/TT-BCT dated December 21, 2015 of the Ministry of Industry and Trade regulating the manufacturing and processing of military uniforms for export to foreign armed forces.

3. In the course of implementing this Circular, if difficulties arise, traders and relevant agencies and organizations shall report them in writing to the Ministry of Industry and Trade for resolution./.