Decree No. 131/2024/ND-CP

DECREE

ON THE SPECIAL PREFERENTIAL IMPORT TARIFF OF VIETNAM FOR THE IMPLEMENTATION OF THE FREE TRADE AGREEMENT BETWEEN THE GOVERNMENT OF THE SOCIALIST REPUBLIC OF VIETNAM AND THE GOVERNMENT OF THE STATE OF ISRAEL FOR THE 2024 - 2027 PERIOD

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law amending and supplementing a number of articles of the Law on Organization of the Government and the Law on Organization of Local Government dated November 22, 2019;

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

Pursuant to the Law on Customs dated June 23, 2014;

Pursuant to the Law on Treaties dated April 9, 2016;

Pursuant to the Law on Tax Administration dated June 13, 2019;

In order to implement the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel, effective from October 15, 2024;

At the proposal of the Minister of Finance;

The Government promulgates this Decree on the Special Preferential Import Tariff of Vietnam for the implementation of the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel for the 2024 - 2027 period.

Article 1. Scope of regulation

This Decree promulgates the Special Preferential Import Tariff of Vietnam for the implementation of the Free Trade Agreement between the Government of the Socialist Republic of Vietnam and the Government of the State of Israel (hereinafter referred to as the VIFTA Agreement) for the 2024 - 2027 period, and the conditions for eligibility for the special preferential import duty rates under this Agreement.

Article 2. Subjects of application

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

2. Customs authorities and customs officers.

3. Organizations and individuals having rights and obligations related to exported and imported goods.

Article 3. Special Preferential Import Tariff of Vietnam for the implementation of the VIFTA Agreement for the 2024 - 2027 period

1. The Special Preferential Import Tariff of Vietnam for the implementation of the VIFTA Agreement for the 2024 - 2027 period (hereinafter referred to as the Special Preferential Import Tariff) comprises the commodity code, description of goods, and the special preferential import duty rates by period applicable to goods imported from the territory of Israel into Vietnam for each commodity code.

2. The "Commodity code" column and the "Description of goods" column in the Special Preferential Import Tariff promulgated together with this Decree are formulated on the basis of Vietnam's List of Exported and Imported Goods and detailed at the 8-digit or 10-digit code level.

In case Vietnam's List of Exported and Imported Goods is amended or supplemented, the customs declarant shall declare the description and commodity code according to the amended or supplemented List of Exported and Imported Goods and apply the duty rate of the amended or supplemented commodity code specified in the Special Preferential Import Tariff promulgated together with this Decree.

Classification of goods shall comply with the provisions of Vietnamese law.

3. The "VIFTA rate (%)" column in the Special Preferential Import Tariff: The duty rate applicable for different periods, comprising:

a) Column "2024": The duty rate applicable from October 15, 2024 to December 31, 2024;

b) Column "2025": The duty rate applicable from January 01, 2025 to December 31, 2025;

c) Column "2026": The duty rate applicable from January 01, 2026 to December 31, 2026;

d) Column "2027": The duty rate applicable from January 01, 2027 to December 31, 2027.

4. The symbol "*": Imported goods not eligible for the special preferential import duty rate under the VIFTA Agreement. The management of imports and the import duty rates for these goods shall comply with the provisions of law.

5. The special preferential import duty rate for certain items under headings 04.07; 17.01; 24.01; 25.01 shall apply only within tariff quotas; the list and quantity of annual import tariff quotas shall comply with the regulations of the Ministry of Industry and Trade, and the out-of-quota import duty rate shall apply according to the Export Tariff, the Preferential Import Tariff, the List of goods and the absolute duty rates, mixed duties, and out-of-quota import duties issued by the Government at the time of importation.

Article 4. Conditions for application

Imported goods eligible for the special preferential import duty rate under the VIFTA Agreement must fully satisfy the following conditions:

1. Being included in the Special Preferential Import Tariff promulgated together with this Decree.

2. Being imported into Vietnam from Israel.

3. Satisfying the regulations on origin of goods and having a document certifying the origin of goods in accordance with the VIFTA Agreement and current provisions of law.

Article 5. Goods from non-tariff zones of Vietnam

Goods from non-tariff zones of Vietnam imported into the domestic market are eligible for the special preferential import duty rate under the VIFTA Agreement provided they fully satisfy the conditions specified in Clause 1 and Clause 3, Article 4 of this Decree.

Article 6. Effect

This Decree takes effect from October 15, 2024 to December 31, 2027.

Article 7. Responsibility for implementation

Ministers, Heads of ministerial-level agencies, Heads of Government-attached agencies, Chairpersons of the People's Committees of provinces and centrally-run cities, and related organizations and individuals shall be responsible for implementing this Decree.