What are the cases in which MFN treatment shall apply in Vietnam? - Thuy Nguyen (Tien Giang, Vietnam)
Cases in which MFN treatment shall apply in Vietnam (Internet image)
1. Cases in which MFN treatment shall apply in Vietnam
According to Article 6 of the Ordinance on most favoured nation treatment and national treatment in international commerce 2002, the State of Vietnam shall apply a part or all of MFN treatment in the following cases:
- Where the laws of Vietnam provide for the applicability of MFN treatment.
-. Where an international treaty which Vietnam has signed or to which Vietnam has acceded provides for the applicability of MFN treatment.
- Where a nation or territory has in fact already applied MFN treatment to Vietnam.
- In other circumstances as decided by the Government.
2. Scope of applicability of MFN treatment to commercial goods in Vietnam
According to Article 7 of the Ordinance on most favoured nation treatment and national treatment in international commerce 2002, MFN treatment to commercial goods shall apply to:
- Taxes, all types of charges and other fees applicable to import and export goods or relating to import and export goods.
- Payment methods and the remittance of payments for import and export goods.
- Provisions and procedures relating to import and export of goods.
- Taxes and all types of charges collected directly or indirectly in Vietnam on import goods.
- Quantitative restrictions and issuance of permits to import or to export goods.
- Other provisions of law which impact on the sale, offer, purchase, transport, distribution, wharehousing and use of goods on the domestic market.
3. Exceptions on MFN treatment to commercial goods in Vietnam
According to Article 8 of the Ordinance on most favoured nation treatment and national treatment in international commerce 2002, MFN treatment to commercial goods shall not apply to the following:
- Preferences granted to members of Agreements on economic integration which Vietnam has signed or to which Vietnam has acceded.
- Preferences granted to countries which have common borders with Vietnam aimed at facilitating the circulation of border goods on the basis of bilateral Agreements.
- Preferences granted to developing countries and to underdeveloped countries.
- Preferences pursuant to Agreements on goods in transit which Vietnam has signed or to which Vietnam has acceded.
- Tenders for the procurement of goods for projects using aid funded by international organizations or foreign aid and other projects pursuant to regulations of the Government.
4. Exceptions on MFN treatment to commercial services in Vietnam
According to Article 10 of the Ordinance on most favoured nation treatment and national treatment in international commerce 2002, MFN treatment to commercial goods shall not apply to the following:
- Exceptions to MFN treatment applicable to service industries provided for in bilateral or multilateral Agreements which Vietnam has signed or to which Vietnam has acceded.
- Preferences granted to services and service providers of countries which have common borders aimed at promoting commercial services activities between Vietnam and those countries.
- Preferences granted to foreign services and foreign service providers provided for in regional economic Agreements, Agreements on free commercial zones and other similar Agreements which Vietnam has signed or to which Vietnam has acceded.
- Tenders for the provision of services for projects using aid funded by international or foreign organizations and other projects pursuant to regulations of the Government.
- In other circumstances as decided by the Government.
Quoc Dat
- Key word:
- MFN treatment in Vietnam