What are requirements for environmental protection when importing scrap from foreign countries as raw materials for production in Vietnam?

Pursuant to Article 45 of the Decree 08/2022/ND-CP stipulating requirements for environmental protection and responsibilities of organizations and individuals importing scrap from foreign countries as raw materials for production in Vietnam as follows: 

1. Requirements for environmental protection when importing scrap

Organizations and individuals are only permitted to import scrap from foreign countries as raw materials for production for their investment projects or manufacturing establishments and must comply with the environmental protection requirements set out in clause 2 Article 71 of the LEP. Several specific requirements and conditions for environmental protection are prescribed as follows:

- There are technologies and equipment for recycling or reusing scrap meeting environmental protection requirements as prescribed.

- There are technologies and equipment for treating impurities accompanying scrap meeting environmental technical regulations. If there is no technology or equipment for treating the accompanying impurities, such impurities shall be transferred to a licensed unit for treatment.

2. Requirements for imported scrap warehouses and storage yards

- Regarding an imported scrap warehouse:

Have a separate rainwater collection system; a system for collecting and treating types of wastewater generated during the storage meeting technical regulations on environment as prescribed;

Have a foundation which is high enough to avoid flooding; design the floor in the storage area to prevent avoid rainwater from overflowing from outside; build the floor which ensures tightness, is waterproof and durable enough to tolerate the maximum amount of scrap as properly calculated;

Have walls and partitions made of fire-resistant materials; build sun-proof and rain-proof roofs for the entire area of storage which are made of fire-resistant materials; propose any measure or design to restrict wind from getting inside;

- Regarding an imported scrap storage yard:

Have a system for collecting and treating overflowing the storage yard of imported scrap and types of wastewater generated during the storage of scrap meeting environmental technical regulations as prescribed;

Have a foundation which is high enough to avoid flooding; build the floor which ensures tightness, is waterproof and durable enough to tolerate the maximum amount of scrap as properly calculated;

Take measures to minimize dust generated from the storage yard of scrap.

It is required to obtain an environmental license which covers the use of scrap imported as raw materials for production or component environmental license which is the certificate of eligibility for environmental protection during import of scrap as raw materials for production as prescribed in point d clause 2 Article 42 of the LEP, except for the case specified in clause 18 Article 168 of this Decree and import of scrap generated from activities of non-tariff zones, export-processing zones and export processing enterprises. Environmental protection deposits shall be paid as prescribed in Article 46 of this Decree.

3. Requirements to unload imported scrap to a port

An importer of scrap may choose to follow customs procedures at the customs authority of import checkpoint or at the customs authority where the manufacturer using imported scrap is located; may choose to undergo inspection of imported scrap at the import checkpoint or at the customs authority where the manufacturer using imported scrap is located or at the manufacturer using imported scrap. The imported scrap is only permitted to be unloaded to a port if the following requirements are met:

- The consignee mentioned in the E-Manifest must obtain an environmental license or component environmental license specified in clause 4 of this Article which remains valid and has unused quota for imported scrap;

- The consignee mentioned in the E-Manifest must obtain a confirmation of payment of deposit on the imported scrap written on the E-Manifest as prescribed in point b clause 3 Article 46 of this Decree.

The customs authority must check the information prescribed in points a and b of this Clause before permitting the unloading of scrap to the port.

4. Assessment of conformity of environmental technical regulations on imported scrap

- Bodies carrying out assessment of conformity of environmental technical regulations on imported scrap used as raw materials for production include: inspection bodies appointed as per the law; foreign inspection bodies accredited as per the law;

- A body carrying out assessment of conformity of environmental technical regulations is entitled to provide services within Vietnam’s territory after satisfying all conditions in accordance with regulations of law on quality of products and goods, Government’s regulations on conditions for provision of conformity assessment services and regulations of law on specialized inspection.

5. The dossier on imported scrap

The importer of scrap used as raw materials for production shall declare and submit an e-dossier on imported scrap to follow customs procedures in compliance with regulations of law on customs. Apart from the documents prescribed by regulations of law on customs, the dossier on imported scrap shall have the following documents:

- A certificate of quality of the exporting country (if any); certificate of origin (if any); photos or description of scrap;

- A confirmation of payment of deposit on imported scrap (a scan from the original bearing e-signature of the importer);

- A certificate of inspection of quality of imported scrap shipment;

- A commitment to re-export or dispose of scrap in a case where the imported scrap fails to meet environmental protection requirements according to the form specified in the Appendix XXI enclosed herewith.

6. Responsibilities of organizations and individuals importing scrap from foreign countries as raw materials for production in Vietnam

- Import scrap with permitted type and quantity specified in the environmental license or component environmental license specified in clause 4 of this Article;

- Use all of imported scrap usable as raw materials for production to manufacture products and goods as prescribed in this Decree;

- Identify and classify waste generated during the process of using imported scrap to propose an appropriate waste treatment plan;

- Take legal responsibility for import and use of imported scrap used as raw materials for production; cooperate with industry associations in conducting environmental protection activities as prescribed; pay all costs incurred in connection with treatment of imported scrap involved in violations.

Ministry of Natural Resources and Environment shall provide technical guidance on assessment of conformity, and certification and accreditation of bodies carrying out assessment of conformity of environmental technical regulations and inspection of quality of imported scrap used as raw materials for production as specified in this Article.

Best regards!