Supporting Industry Development Program in Vietnam under Decree 111/2015/ND-CP

Supporting Industry Development Program in Vietnam under Decree 111/2015/ND-CP (Internet image) 

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

1. Supporting Industry Development Program in Vietnam under Decree 111/2015/ND-CP

Supporting industry development program according to Article 10 of Decree 111/2015/ND-CP is as follows:

* Objective:

Support individuals, organizations in improving their competence in development of supporting industry.

* Contents:

** Assist in improving enterprise competence: business administration, production management, connect supporting industrial product manufacturers with customers, supply products to multinational groups and other domestic and foreign supporting industrial manufacturers; promote consuming market;

** Support in training labor force to meet the needs of supporting industrial production;

** Assist in research and development, technology application and transfer and renovation in trail manufacturing of components, accessories and materials;

** Disseminate knowledge and information on policies, market and Vietnam’s supporting industry capability through various forms such as workshops, news, publications and advertisements posted on other mass media;

** Promote international cooperation and attract foreign investment in the supporting industry;

** Assist in setting up technical standards and specifications of supporting products on the List to comply with the international and regional standards;

** Create and update the database of domestic and foreign supporting industries on a dedicated supporting industry web portal.

* Funding:

** Funding for the execution of the Supporting Industry Development Program:

- Funding from the State according to the applicable regulations;

- Funding from entities for carrying out the development of supporting industry;

- Sponsorships and contributions from domestic and foreign individuals and organizations;

- Other lawful sources of capital regulated in Vietnam Law.

** Planning and Estimation:

- The Ministry of Trade and Industry makes and aggregates estimates of funding for supporting industry into its combined annual budget and submits to Ministry of Finance, Ministry of Planning and Investment and other relevant agencies;

- People’s Committees of provinces and central – affiliated cities (hereinafter refer to as provinces) shall make and aggregate the estimation of funding for supporting industry into the local annual budget estimate and submit it to competent authorities to approve.

* The Prime Minister shall promulgate specific regulations on the development, management and execution of the Supporting Industry Development Program.

2. Regulations on Supporting Industry Development Center in Vietnam

Regulations on Supporting Industry Development Center in Vietnam according to Article 9 of Decree 111/2015/ND-CP are as follows:

- Supporting industry development center is founded on the basis of rearrangement of the existing units of ministry of trade and industry in order to carry out the following duties:

- Carry out technology transfer and application, support manufacturing of trial supporting products under the List;

- Assist enterprises in setting up a production management system to suit the international standards;

- Provide employees with advanced training in the area of technical management in supporting industry;

- Carry out trade promotion; organize fairs/exhibitions;

- Promote both domestic and foreign investment to boost the development of supporting industry.

- An supporting industry development center shall only be established when all of the following conditions are satisfied:

- Infrastructures, equipment for testing and manufacturing trial supporting products and the professional management team to meet the requirements of supporting industry development.

- There are consultants in the fields of technology, intellectual property and business management related to supporting industry;

 There are possibilities of associating with domestic and foreign manufacturers, research and training centers to serve in supporting industry.

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