Regulations on the reserve of technical materials for national defense industry and security industry in Vietnam from July 1, 2025

Regulations on the reserve of technical materials for national defense industry and security industry in Vietnam from July 1, 2025​ (Image from the internet)

Regulations on the reserve of technical materials for national defense industry and security industry in Vietnam from July 1, 2025

Article 26 of the Law on National Defense, Security Industries, and Industrial Mobilization 2024 prescribes the reserve of technical materials for national defense industry and security industry in Vietnam from July 1, 2025 as follows:

(1) The State ensures the reserve of technical materials serving the national defense and security industries that cannot be produced domestically; implements the reserve of technical materials to meet peacetime usage needs and the first year of war, for the task of protecting national security, ensuring social order and safety, combating crime, or in cases of national security emergency, social order, and safety.

(2) The Ministry of Defense leads, in cooperation with relevant ministries and sectors, in compiling a list, developing a reserve plan of technical materials for the production of technical equipment for training, combat readiness, and the first year of war and submits it to the Prime Minister of the Government of Vietnam for decision.

(3) The Ministry of Public Security leads, in cooperation with relevant ministries and sectors, in compiling a list, developing a reserve plan of technical materials for the production of professional technical means for the task of protecting national security, ensuring social order and safety, combating crime, or in cases of national security emergency, social order, and safety and submits it to the Prime Minister of the Government of Vietnam for decision.

(4) The Prime Minister of the Government of Vietnam decides on adjustments, additions to the list of reserved technical materials for national defense and security industries.

Management of financial resources for national defense industry and security industry in Vietnam

- Priority is given to allocate resources in the 5-year financial plan, the 3-year financial and state budget plan, and the annual state budget estimate for national defense and security production tasks of core national defense and security industrial bases based on the ability to balance the state budget.

- The State ensures the provision of sufficient initial charter capital, additional investment, and increased charter capital from the state budget for core national defense and security industrial bases.

- In urgent cases, the central budget reserve may be used to implement investment tasks and produce national defense and security industrial products according to the law on state budget.

- Post-tax profits from production and business activities of core national defense and security industrial bases, after setting up funds according to the law, are fully used to perform the following tasks according to regulations of the Government of Vietnam:

+ Provision for the National Defense and Security Industry Fund;

+ Support for research, creation, production of new, high-tech products, and offset costs for businesses performing strategic technical equipment research tasks, special professional technical means unsuccessfully;

+ Submit the remaining post-tax profit to the state budget after setting up and spending on tasks specified at points a and b of this clause to allow the Ministry of Defense, Ministry of Public Security to assign tasks, place orders to produce or purchase technical equipment, and professional technical means of core national defense and security industrial bases.

- Budget for purchasing, producing strategic technical equipment, special professional technical means may be transferred until the acceptance, contract liquidation, or task completion if not fully utilized.

- The Government of Vietnam provides detailed provisions for Article 21 of the Law on National Defense, Security Industries, and Industrial Mobilization 2024.

(Article 21 of the Law on National Defense, Security Industries, and Industrial Mobilization 2024)

More details can be found in the Law on National Defense, Security Industries, and Industrial Mobilization 2024 effective from July 1, 2025.

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