Are imports and exports taxed in Vietnam? A guide for global traders
Posted by Nikita Y.
Goods imported to or exported from Vietnam will, in most circumstances, be liable for Vietnam import tax. This is unless there is a specific exemption stated by the Vietnamese government. It should be noted that this applies not just to international shipment as aforesaid, but also to goods moving from the domestic market to non-tariff zones such as bonded warehousing, export processing zones, industrial parks, and special economic zones. Depending on their classification, certain goods may also fall outside the tax scope relating to specific rules regarding import and export tax.
How foreign busunesses are taxed in Vietnam?
If you're a foreign company — and you don't have a business license in Vietnam — and you're importing goods or doing business with a Vietnamese company (say, you've signed a contract with a Vietnamese supplier), you'll need to account for import tax in Vietnam, along with a few other obligations. One of those? The Foreign Contractor Withholding Tax (FCWT) — it kicks in on payments you receive from Vietnam. So yeah, it's worth digging into what the import tax is in Vietnam — and what it actually means for your business model — before you lock in that deal.
Are there any exemptions from import duties?
Enterprises will be exempt from import tax under the following conditions:
| Imported goods are used to build fixed assets for projects in industries that are supported as well as for initiatives in regions with difficult or specially difficult socio-economic conditions. |
| Equipment imported to create fixed assets for encouraged projects (primary imports are exempt from taxes, but replacements are not). |
| Raw materials, spare parts, accessories, other consumables, samples, machinery and equipment imported for processing goods for export and finished products for use in processed goods. |
| Raw materials and consumables (which cannot be produced in Vietnam) in direct use for software development. |
| Plant varieties and animal breeds imported for use in investment projects in agriculture, forestry or fishery. |
| Machinery and equipment, specialized vehicles and materials (which cannot be produced in Vietnam) for use in oil and gas activities or for shipbuilding. |
| Goods imported for direct use in scientific research and technological development. |
| Movable assets. |
| Goods imported for sale at duty-free shops. |
Are there any products subject to import restrictions of any kind?
Indeed. Certain products are prohibited from being imported under the lists that attached to Decree No. 187/2013/ND-CP and MOIT Circular No. 04/2014/TT-BCT.
List of Goods Banned from or subject to Conditions for Export
Banned From Export
| Weapons, ammunitions, explosives (excluding industrial explosives), military technical equipment |
| Relics, antiques, national treasures under ownership of the State or of political or socio-political organizations |
| Assorted publications (including cultural ones) banned or suspended from dissemination in Vietnam |
| Postage stamps banned from trading, exchange, display and dissemination |
| Logs, sawn timber from domestic natural forests |
| Precious and rare wild animals, aquatic species, livestock breeds, plants and plant varieties |
| Encrypted products used for protection of State secrets |
| Toxic chemicals and banned chemicals |
Require Export Permit and/or Subject to Specialized Management
| Under MOIT management |
|---|
| Pre-substances used in industries |
| Explosives pre-substances, industrial explosives |
| Goods exported within quotas set by foreign countries or subject to export control in accordance with Vietnam’s international treaties |
| Goods subject to automatic export permit |
| Under MARD management |
| Precious and rare, endangered, wild, terrestrial animals and plants which need to be placed under export control in accordance with CITES |
| Ornamental, shade and old trees from domestic natural forests |
| Firewood, charcoal or firewood originating from domestic natural forests; aquatic species subject to conditional export or which may be normally exported |
| Under MOST management |
| Relics and antiques not under ownership of the State or of political and socio-political organizations |
| Cinematographic works and other audio-visual products; cultural works; applied art works |
List of Goods Banned from or Conditional for Import into Vietnam
Banned From Import
| Weapons, ammunitions, explosives (excluding industrial explosives), military technical equipment |
| Assorted fireworks, sky lanterns, assorted devices causing interference to vehicle speedometers |
| Used consumer goods |
| Assorted publications (including cultural ones) banned or suspended from dissemination in Vietnam |
| Postage stamps banned from trading, exchange, display and dissemination |
| Non-compliant radio equipment and radio-wave appliances |
| Right hand drive means of transport; tampered automobiles and their spare parts; tampered motorcycles and their spare parts |
| Used supplies and vehicles |
| Chemicals in Annex III of the Rotterdam Convention |
| Pesticides banned from use in Vietnam |
| Wastes and scraps, refrigerating equipment using CFC |
| Products and materials containing asbestos of the amphibole group |
| Schedule-1 toxic chemicals |
Require Import Permit and/or Subject to Specialized Management
| Under MOIT management |
|---|
| Goods subject to import control under Vietnam’s international treaties |
| Goods subject to automatic import permit under the MOIT’s list |
| Goods subject to tariff quotas (i.e., salt, material tobacco, poultry eggs, and sugar) |
| Chemicals/products containing chemicals; pre-substances used in industries |
| Explosive pre-substances, industrial explosives |
| Tobacco and cigarette materials, products, and machines |
| Under MOT management |
| Signal fires for navigational safety |
| Under MONRE management |
| Scraps |
| Under MOIC management |
| Publications |
| Postage stamps, stamp publications |
| Microwave equipment/transmitters/receivers of a certain frequency/output |
| Special-use plate-making and typesetting systems of printing |
| Printing machines of all kinds and color photocopiers |
| Under MARD management |
| Veterinary drugs/materials for production |
| Biological/micro-biological preparations, materials used in veterinary medicine/aquaculture preparations |
| Pesticides, livestock feeds, fertilizers |
| Livestock breeds; plant varieties |
| Gene sources; wild animals and plants; aquatic species |
| Under MOCST management |
| Cinematographic works and other audio-visual products; applied art works |
| Electronic game machines |
| Children’s toys |
| Under MOH management |
| Addictive drugs, psychotropics, pre-substances used as drugs |
| Materials for/finished medicines for prevention/treatment of human diseases |
| Cosmetics |
| Vaccines and medical biologicals; medical equipment |
| Under SBV management |
| Metals casts/machines for molding/minting/stamping coins; banknote-printing ink and paper, banknote-printing presses |
| Vault doors |
| Anti-counterfeiting machines and blank papers |