Conditions for goods to be exempted from certificates of origin under the Vietnam-EU Free Trade Agreement (EVFTA) have been stated in Circular 11/2020/TT-BCT of the Ministry of Industry and Trade. Accordingly, the condition for exemption from proof of origin is that goods sent in small packages from individuals to individuals or personal luggage of travelers are considered as originating goods without any requirement. Proof of origin of goods is required.
Along with that, the condition that these goods are not imported in a commercial form, are declared to meet the provisions of Circular 11/2020/TT-BCT and there is no doubt about the authenticity of the declaration. In the case of goods sent by post, declaration can be made on the import customs declaration, or on a document attached to the customs declaration.
In addition, goods that are irregularly imported consignments, consisting only of products for the personal consumption of the consignee, the traveller or his or her family, are not considered to be imported under the law trade if the nature and quantity of the product is evidencing that, not for commercial use.
Circular 11/2020/TT-BCT also states that the total value of goods sent in small packages from individuals to individuals and occasional imported shipments with a total value of not more than 500 EUR for goods. small pieces or 1,200 EUR with goods as part of the traveler’s personal baggage upon entry into the European Union (EU).
Or, the total value of goods does not exceed 200 USD for small packages and goods are part of personal luggage of travelers entering Vietnam, they are exempt from proof of origin. In addition, Circular 11/2020/TT-BCT of the Ministry of Industry and Trade also stipulates the mechanism for certification of origin of goods. Accordingly, goods of EU origin imported into Vietnam are entitled to tax incentives under EVFTA when submitting Certificates of Origin (C/O) issued under the provisions of Articles 20-23 of this Circular.
On the other hand, a certificate of origin as defined in Article 24 of the Circular is issued by a qualified exporter under EU regulations for a consignment of any value. Or, any exporter issues a shipment of not more than 6,000 EUR.
In addition, the certificate of origin issued by the registered exporter can be submitted to the electronic database in accordance with EU regulations and notified to Vietnam.
Also according to the Ministry of Industry and Trade, goods originating from Vietnam imported into the EU are entitled to tariff preferences under the EVFTA when the C/O is issued according to the provisions of Articles 4 and 20-23 of Circular 11/2020/TT-BCT.
Furthermore, the certificate of origin as prescribed in Article 25 of Circular 11/2020/TT-BCT issued by the exporter whose consignment is valued at no more than 6,000 EUR; proof of origin issued by a qualified exporter or by an exporter registered in a database in accordance with the regulations of the Ministry of Industry and Trade. At the same time, the self-certification of origin of goods shall comply with the regulations of the Ministry of Industry and Trade and apply after Vietnam has notified the EU.
EVFTA is a comprehensive, high-quality agreement that ensures a balance of interests for both Vietnam and the EU; in which, also noted the difference in development level between the two sides. The implementation of EVFTA will create a huge “bump” for Vietnam”s exports, helping Vietnam to diversify export markets and products, especially Vietnamese products with many competitive advantages.
_____________________
For more information, please contact:
APRA LAW FIRM
Address: 7th Floor, 57 Tran Quoc Toan, Tran Hung Dao Ward, Hoan Kiem District, Hanoi City, Vietnam.
Email: info@apra.vn
Hotline: 024.23486234 – 0948495885
