VIE1. Goods export management policy
In Decision No. 493/QD-TTg dated April 19, 2022 approving the strategy for import and export of goods until 2030, the directions were given: (1) Sustainable export development, promoting comparative advantages and transform the growth model to a reasonable depth, effectively use resources, protect the ecological environment and solve social problems well;(2) Promote in-depth restructuring of export goods, promote industrialization and modernization; increase the proportion of export products with added value, science-technology content, high innovation content, green economy products, circular economy, and environmentally friendly products school. The Government, ministries and branches have focused on building, promulgating and implementing policies to encourage and create motivation to promote sustainable export development.
– Policies to encourage investment and attract FDI for export
The investment and business environment is always improving, completing the legal system, simplifying administrative procedures, improving infrastructure, offering many tax incentives, land rental prices, and land clearance support. equality, create many advantages for foreign investors and commit to protecting the legal rights and interests of domestic and foreign investors. The first and most important adjustment to investment activities is Investment Law No. 61/2020/QH14 dated June 17, 2020, which regulates business investment activities in Vietnam and business investment activities. from Vietnam to foreign countries, replacing Investment Law No. 59/2005/QH11 dated November 29, 2005 and amended Investment Law No. 67/2014/QH13 dated November 26, 2014.
In addition, Resolution No. 50-NQ/TW dated August 20, 2019 of the Politburo on orientation for perfecting institutions and policies, improving the quality and efficiency of foreign investment cooperation until 2030 has set a specific goal of perfecting institutions and foreign investment cooperation policies that are highly competitive and internationally integrated; Meet the requirements of innovating growth models, restructuring the economy, protecting the environment, solving social problems, improving productivity, quality, efficiency and competitiveness of the economy. . Fundamentally overcome existing limitations and inadequacies in building, perfecting and organizing the implementation of institutions and policies on foreign investment cooperation. Create a business environment and competitiveness in ASEAN group 4 before 2021, in ASEAN group 3 before 2030.
Resolution No. 02/NQ-CP dated January 10, 2022 of the Government on main tasks and solutions to improve the business environment and enhance national competitiveness in 2022, clearly stating the need to continue Promote management reform and specialized inspection of exported and imported goods.
– Trade policy, import and export of goods
Law on Foreign Trade Management No. 05/2017/QH14 dated June 12, 2017, effective from January 1, 2018, replacing the 2005 Commercial Law. The provisions in the Law create a strict mechanism to encourage exports such as: Tax incentives and incentives; Export financing through strong financial support mechanisms for exports; Export support and subsidies; Exchange rates, liberalization of foreign exchange management mechanisms and more flexible floating exchange rate policies to facilitate and encourage Vietnamese businesses to boost exports.
Decision No. 493/QD-TTg dated April 19, 2022 approving the goods import and export strategy until 2030 with the following specific goals:
(1) Export and import grow steadily, trade balance is healthy and reasonable:
– The average growth rate of export of goods is 6 – 7%/year in the period 2021 – 2030, of which the period 2021 – 2025 has an average export growth rate of 8 – 9%/year; In the period 2026 – 2030, average growth will be 5 – 6%/year.
– The average growth rate of import of goods is 5 – 6%/year in the period 2021 – 2030, of which the period 2021 – 2025 has an average import growth rate of 7 – 8%/year; In the period 2026 – 2030, average growth will be 4 – 5%/year.
– Balance the trade balance in the period 2021 – 2025, moving towards maintaining a sustainable trade surplus in the period 2026 – 2030; towards a healthy and reasonable trade balance with key trading partners.
(2) Import and export develop sustainably with a balanced and harmonious product structure and market structure
– Increase the proportion of processed and manufactured industrial goods exported to 88% of total export turnover by 2025 and 90% by 2030; Of which, the export proportion of medium and high technology goods will reach about 65% by 2025 and 70% by 2030.
– Increase the proportion of the European export market to 16-17% of total export turnover by 2025 and 18-19% by 2030; the Americas region to 32 – 33% of total export turnover by 2025 and 33 – 34% by 2030; The proportion of the Asian export market will be about 49 – 50% in 2025 and 46 – 47% in 2030.
– Increase the proportion of the import market from the European region to 8 – 9% of total import turnover by 2025 and 10 – 11% by 2030; the Americas region to 8 – 9% of total import turnover by 2025 and 10 – 11% by 2030; reduce the proportion of the import market from the Asian region to about 78% of total import turnover by 2025 and 75% by 2030.
– Policies on trade promotion and export promotion
The Government, ministries and branches have issued a number of regulations for trade promotion activities, including developing and promoting Vietnamese export brands. Decision No. 1320/QD-TTg of the Prime Minister dated October 8, 2019 approved the Vietnam National Brand Program from 2020 to 2030, in which the overall goal of building Vietnam’s image is a country with a reputation for high-quality goods and services, contributing to promoting exports and improving Vietnam’s competitiveness in exporting goods.
Decision No. 12/2019/QD-TTg dated February 26, 2019 of the Prime Minister on amending and supplementing a number of articles of the Regulation on building, managing and implementing the National Trade Promotion Program issued together with Decision No. 72/2010/QD-TTg dated November 15, 2010 of the Prime Minister; Decision No. 2924/QD-BCT dated December 28, 2022 on approving the national program on trade promotion in 2023.
Circular No. 40/TT-BCT dated November 30, 2020 of the Ministry of Industry and Trade amending and supplementing Circular No. 11/2019/TT-BCT dated July 30, 2019 guiding the implementation of trade promotion activities, Foreign trade development under the National Trade Promotion Program aims to create a clear legal basis to support trade promotion activities in the digital environment, creating favorable conditions for trade promotion agencies, businesses in diversifying trade promotion activities to optimally exploit trade promotion tools to develop domestic and export markets.
– Policy to enhance the application of Science and technology in export activities
Policies and legal regulations on enhancing the application of science and technology in the production and processing of export goods create favorable conditions for businesses to invest in export production industries. Technology Transfer Law No. 07/2017/QH14, effective from July 1, 2018; Resolution No. 52-NQ-TW dated September 27, 2019 on a number of programs and policies to proactively participate in the fourth industrial revolution with the goal of effectively taking advantage of opportunities due to the fourth industrial revolution. investment to promote the process of innovating growth models, restructuring the economy associated with implementing strategic breakthroughs and modernizing the country; Strongly develop the digital economy, develop quickly and sustainably based on science – technology, innovation and high quality human resources; improve the quality of life and welfare of the people, firmly ensure national defense, security, and protect the ecological environment; Resolution No. 20-NQ/TW and Resolution No. 46/NQ-CP of the Government aim to strongly mobilize social capital and foreign capital to invest in science and technology development.
Decision No. 118/QD-TTg dated January 25, 2021 of the Prime Minister promulgating the national technology innovation program until 2030, in which the overall goal is to create conditions and support businesses to transfer , innovating and perfecting technology, creating products with high quality and added value, promoting technology transfer to serve agricultural development in rural, mountainous and disadvantaged areas. difficult and extremely difficult socio-economic conditions; Training scientific and technological human resources to serve the transfer, innovation and improvement of technology.
Decision No. 569/QD-TTg dated May 11, 2022 of the Prime Minister on promulgating the strategy for developing science, technology and innovation until 2030 with the general goal that by 2030, science , technology and innovation are steadily developing, truly becoming the driving force for growth, contributing decisively to turning Vietnam into a developing country with modern industry and high average income; contributing to the comprehensive development of culture, society, people, ensuring national defense – security, environmental protection and sustainable development, enhancing Vietnam’s international position and reputation; The potential and level of science, technology and innovation have reached advanced levels in many important fields, among the leading groups in high-middle-income countries; The level, technological capacity, and innovation of enterprises are above the world average; Some fields of science and technology reach international levels.
– Supporting industry development policy
Developing supporting industries will help promote the production of export products, especially Vietnam’s key export products.
Decree No. 111/2015/ND-CP dated November 3, 2015 of the Government on supporting industry development and related policy documents, legal systems and policies on supporting industries are increasingly being applied. perfecting and promoting the growing development of the supporting industry in particular and the industry in general.
Resolution 115/NQ-CP of the Government dated August 6, 2020 on solutions to promote the development of supporting industries, with the view of directing the development of supporting industries in accordance with economic development conditions – the country’s society and the world’s development trends, in order to meet the domestic needs of priority industries for development according to Resolution No. 23-NQ/TW of the Politburo dated March 22, 2018 on Orientation for building national industrial development policy to 2030, vision to 2045, including electronics, key mechanics, automobile manufacturing and assembly, textiles, footwear, and high-tech industries and defense industry.
– Policies to support export enterprises in meeting technical standards in export and trade defense
Vietnam has deeply integrated internationally by participating in many new generation free trade agreements such as CPTPP, EVFTA… To strengthen State management and improve forecasting capacity on the applicability of trade agreements. trade defense measures, prevent and strictly handle acts of evasion of trade defense measures, origin fraud and illegal transshipment, protect the rights and interests of manufacturing enterprises , genuine business. The Government and relevant ministries and branches complete the legal framework, promulgate legal documents on trade safeguard measures, anti-dumping, anti-subsidy…
Since 2021, the Ministry of Industry and Trade has developed and launched an early warning system on anti-dumping to provide businesses with a set of useful information lookup tools to be able to predict the risk of incidents occurring. anti-dumping lawsuits, proactively respond to lawsuits, minimize damage caused by anti-dumping lawsuits as well as update information on target export markets.
In addition, the Government and ministries and branches have implemented many measures to support export businesses to proactively meet and overcome technical barriers to trade (TBT) in export markets.
2. Goods import management policy
– Policies, administrative and customs measures for import management
Many legal documents related to the field of import and export have been newly promulgated or amended and supplemented to suit practice as well as state management requirements, of which the most important is the Law on Management. Foreign Trade Regulations No. 05/2017/QH14 was approved by the 14th National Assembly on June 12, 2017. The Law on Foreign Trade Management regulates foreign trade management tools, aiming for stability, transparency, unity, meeting the requirements of international economic integration, while ensuring state management of foreign trade. Foreign trade is convenient and effective, meeting international integration requirements. The Law on Foreign Trade Management is built on the principle of promoting administrative procedure reform, encouraging and creating conditions for the development of foreign trade activities and improving the competitiveness of the economy. Complete and enhance the legal effect of trade defense measures and foreign trade support to enhance the competitiveness of Vietnamese goods and Vietnamese businesses during the integration period.
Measures to ban imports, suspend, limit imports, import tariff quotas, designate border gates, import traders, management according to licenses, import conditions, certificates of origin of goods, temporary import, re-export, temporary export, re-import, border-gate transfer, transit of goods, import consignment and entrustment, border trade management, goods management for separate customs areas, regulations on Customs procedures, customs inspection and supervision for imported goods, specialized inspection procedures for import and export goods.
– Regulations on technical measures and animal and plant quarantine for imported goods
To meet requirements for goods quality, protect human health, protect animals, plants, ecological environment, biodiversity and ensure security and national interests.
Law on Foreign Trade Management No. 05/2017/QH14 has regulations related to technical and quarantine measures specified in Article 61 on application of technical measures to exported and imported goods: submission Procedures for applying technical measures to exported and imported goods comply with the provisions of law on product and goods quality, technical standards and regulations, food safety, measure. Article 62 on application of quarantine measures for animals and animal products before export, import, temporary import, re-export, temporary export, re-import, border gate transfer, bonded warehouse storage, territorial transit Vietnam follows the provisions of veterinary law. Article 63 on application of plant quarantine measures; Article 64 on application of border medical quarantine measures; Article 65 stipulates that exported and imported goods are subject to inspection.
– Policy on intellectual property rights protection, inspection, examination and handling of problems arising from import activities
The legal system on intellectual property protection is completed in accordance with international commitments, and at the same time participates and fully implements obligations and commitments to international integration on intellectual property in the new generation FTA agreement. Intellectual Property Law No. 50/2005/QH11 dated November 29, 2005 of the National Assembly was amended and supplemented by Law No. 36/2009/QH12 dated June 19, 2009 of the National Assembly and Law No. 42/2019/ QH14 dated June 14, 2019 of the National Assembly amending and supplementing a number of articles of the Law on Insurance Business and the Law on Intellectual Property.
Decree No. 98/2020/ND-CP dated August 26, 2020 stipulating penalties for administrative violations in commercial activities, production and trading of counterfeit and banned goods and protecting consumer rights, in That includes violations of the export and import of goods and services related to the export and import of goods.
3. Some limitations and shortcomings in the management of import and export of goods
In developing policies and allocating resources to develop exports, it is still not commensurate with the potential and achieving optimal efficiency in economic development.
– Reform of market economy institutions as required by the integration process is still slow. In addition, the level of proactive integration of businesses is not high. Leading to Vietnam having disadvantages compared to many countries in the region and internationally, Vietnam is always at risk of falling into the “trade liberalization trap”.
– Taking advantage of tax incentives in FTAs and preparing to meet rules of origin and exploit other benefits from FTAs to boost exports to limited markets
– In the process of implementing policies, there have been a number of obstacles that need to be resolved such as land barriers, scale, production organization, and access to preferential loans to improve the quality of production. The level of science and technology and the application of modern technology are still difficult.
– The new FDI attraction policy focuses on quantity but does not pay attention to the overall economic, social and environmental efficiency, and has not built a close connection between FDI enterprises and domestic enterprises. In other countries, exports depend heavily on businesses and FDI capital sources, which easily leads to risks to sustainable exports.
– Lack of policies to encourage and strengthen cooperation and linkages between domestic and FDI enterprises to improve resources in terms of capital, technology, and management skills leads to limitations for export enterprises. exports when participating in the global supply chain.
– Export support, trade promotion, and export promotion policies still have limitations such as not protecting the interests of exporters and the effectiveness of trade promotion, export, and market expansion is not high. , production, processing and preservation processes do not ensure the quality of export products to meet regulations and consumer needs of export markets.
– State management of import activities is still fragmented, the number of documents is large but incomplete, lacks uniformity and consistency, and lacks important and specialized regulations for each product and market. market and in accordance with the current socio-economic situation.
– Many problems that arise and violations often occur in import-export activities in the tax sector have not been strictly handled, although tax administrative sanctions are currently quite complete and still applied in practice. reveals many limitations that need to be supplemented and improved to ensure efficiency, synchronization and prevent tax loss in import and export activities.
4. Some reasons
– Not fully aware of the importance of sustainable export development and export growth quality when planning and implementing import-export development policies, affecting the effectiveness of promulgation and Implement import and export management policies.
– Resources to develop and implement import-export management policies are limited, first of all human resources, then capital and technology to meet sustainable export development goals.
– The process of supervising law enforcement in the field of import and export is still weak, does not meet regulatory requirements well, technical equipment, investment in import management is still lacking focus, especially is the stage of inspecting imported goods, detecting and handling violations of the law.
– The application of information technology, electronic data exchange, and digital technology application in specialized inspections is still limited. There is no timely coordination and exchange of information between state management agencies on specialized inspection and customs authorities in the management of import and export goods.
– The capacity of businesses to implement import-export management policies is still limited. Capturing information and policies in business activities is not yet timely and agile to adapt to the new context of the international market.
Dr. Tran Thi Thu Hien
Department of Information and Trade Promotion – VIOIT
