Regulation on benefits of green channel regard to application for preferential C/O in Vietnam

Regulation on benefits of green channel regard to application for preferential C/O in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. What is green channel?

According to Clause 1, Article 3 of Circular 15/2018/TT-BCT, green channel is the priority regime in the process of granting preferential C/O, whereby traders are given priority in exemption, reduction, late submission of documents, reduction of time for C/O issuance, and exemption from physical inspection of goods when applying for the preferential C/O;

2. Regulation on benefits of green channel regard to application for preferential C/O

Specifically, according to Article 5 of Circular 15/2018/TT-BCT stipulating the priority of the Green Stream regime in the process of granting preferential C/O as follows:

(1) With regard to application for preferential C/O

- A green channel trader will be exempted from providing some documents in the application for preferential C/O prescribed in clause 1 Article 15 of Decree 31/2018/ND-CP, specifically as follows:

+ Only the physical documents prescribed in point a and b in clause 1 in Article 15 of Decree 31/2018/ND-CP are required;

+ Electronic documents prescribed in point c through e in clause 1 in Article 15 of Decree 31/2018/ND-CP may be submitted;

+ Other documents prescribed in point g through i in clause 1 in Article 15 of Decree 31/2018/ND-CP are not required.

(2) With regard to late submission of documents

 A green channel trader may submit the documents prescribed in clause 3 in Article 15 of Decree 31/2018/ND-CP within 45 working days from the day on which the C/O is issued.

(3) With regard to time for issuing preferential C/O

A physical application for preferential C/O submitted by a green channel trader will be processed within 6 working hours from the moment the satisfactory application is received.

(4) With regard to physical inspection of goods and site inspection of production facilities

Green channel traders are exempted from physical inspection of goods and site inspection of production facilities when applying for preferential C/O.

3. Identification of green channel traders in Vietnam

A trader applying for preferential C/O will be eligible for green channel if such trader:

- Is certified as a prestige exporter by the Ministry of Industry and Trade; or

- Is certified as eligible for preferential customs treatment by the Ministry of Finance; or

- Satisfies the following requirements:

+ The trader has not violated the rule of origin in the last 2 years before the day applying for preferential C/O through the green channel;

+ The trader has a document archiving system (both physical and electronic documents) as proof of the authenticity of the C/Os and origin of goods during the archiving period specified in Decree 31/2018/ND-CP;

+ The trader has applied for at least 30 preferential C/Os per year on www.ecosys.gov.vn

(Article 4 of Circular 15/2018/TT-BCT)

4. Initiation of categorization of applicants for issuance of preferential C/O in Vietnam

Issuers shall categorize applicants for preferential C/Os in accordance with the criteria in Article 4, Article 6 and Article 7 of Circular 15/2018/TT-BCT. Applications for preferential C/Os shall be automatically categorized.

The Import and Export Department (Ministry of Industry and Trade) and issuers shall publish the list of green channel traders, red channel traders and ordinary traders on www.ecosys.gov.vn.

(Article 9 of Circular 15/2018/TT-BCT)

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE