Apr. 19 – The Vietnamese Ministry of Finance recently issued Circular No.38/2013/TT-BTC which amended its preferential import duties on various commodities. Currently scheduled to be implemented from May 19, 2013, the key revised preferential import duty rates can be found below.
- Commodities in the polymeric styrene category will now taxed at 5 percent (previously taxed at 3 percent);
- High impact polystyrene (HIPS) will now be taxed at 5 percent (previously taxed at 3 percent);
- Synthetic filament yarn (except sewing yarn) will now be taxed at 3 percent (previously not taxed);
- Copper-coated carbon steel wire for inflatable pneumatic rubber tires will now be taxed at 3 percent (previously not taxed); and
- Nylon-6 yarns will now be taxed at 7 percent (previously taxed at 5 percent).
These measures were enacted by the Vietnamese Government to assist with new environmental protection measures that were issued through Resolution 35/NQ-CP. The Resolution contained seven different measures including greater environmental protection at industrial parks, improving environmental protection in mineral exploitation activities, improving the environment for rural areas and craft villages, decreasing environmental pollution, strictly controlling scrap imports, assisting with the prevention of eco-system degradation and raising the effectiveness and efficiency of Vietnam’s environmental protection.
The Vietnamese Government will also increase its control over the use of agricultural chemicals, fertilizers and pesticides.
Dezan Shira & Associates is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia. Since its establishment in 1992, the firm has grown into one of Asia’s most versatile full-service consultancies with operational offices across China, Hong Kong, India, Singapore and Vietnam as well as liaison offices in Italy and the United States.
You can stay up to date with the latest business and investment trends across Vietnam by subscribing to Asia Briefing’s complimentary update service featuring news, commentary, guides, and multimedia resources.
This new 32-page report touches on everything you need to know about doing business in Vietnam, and is now available as a complimentary PDF download on the Asia Briefing Bookstore.