DECREE

PROMULGATING SPECIAL PREFERENTIAL IMPORT TARIFF SCHEDULE FOR IMPMEMENTATION OF ARRANGEMENT ON BILATERAL TRADE ENHANCEMENT BETWEEN THE GOVERNMENT OF SOCIALIST REPUBLIC OF VIETNAM AND THE GOVERNMENT OF THE KINGDOM OF CAMBODIA IN THE 2019 – 2020 PERIOD

Pursuant to the Law on Government Organization dated June 19, 2015;

Pursuant to the Law on Export and Import Duties dated April 06, 2016;

Pursuant to the Law on Customs dated June 23, 2014;

Pursuant to the Law on Tax administration dated November 29, 2006, and the Law on amendments to the Law on Tax administration dated November 20, 2012;

Pursuant to the Law on international treaties dated April 09, 2016;

Pursuant to the Arrangement on Bilateral Trade Enhancement between the Government of Socialist Republic of Vietnam and the Government of the Kingdom of Cambodia dated February 26, 2019;

At the request of the Minister of Finance;

The Government promulgates a Decree promulgating the Special Preferential Import Tariff Schedule for implementation of the Arrangement on Bilateral Trade Enhancement between the Government of Socialist Republic of Vietnam and the Government of the Kingdom of Cambodia (hereinafter referred to as the “Kingdom of Cambodia”) in the 2019 – 2020 period.

Article 1. Scope

This Decree deals with special preferential import duty rates for implementation of the Arrangement on Bilateral Trade Enhancement between the Government of Socialist Republic of Vietnam and the Government of the Kingdom of Cambodia signed in Phnom Penh, Cambodia, on February 26, 2019 (hereinafter referred to as the “Arrangement between Vietnam and Cambodia in the 2019 – 2020 period”) and conditions for grant of special preferential import duty rates under this Arrangement.

Article 2. Regulated entities   

1. Taxpayers as defined in the Law on Export and Import Duties.

2. Customs authorities and customs officials.

3. Organizations and individuals that have rights and obligations related to the import of goods and commodities originating from the Kingdom of Cambodia.

Article 3. List of imported goods and commodities granted special preferential import duty; list of goods and commodities originating in the Kingdom of Cambodia imported under tariff quotas and list of border checkpoints/gates for clearance under the Arrangement between Vietnam and Cambodia in the 2019 – 2020 period

The following are enclosed with this Decree:

1. Appendix I - List of goods and commodities originating in the Kingdom of Cambodia imported into Vietnam under special preferential import duty rates.

2. Appendix II – List of goods and commodities originating from the Kingdom of Cambodia imported under tariff quotas.

3. Appendix III - List of border checkpoints/gates for clearance of imported goods and commodities under the Arrangement between Vietnam and Cambodia in the 2019 – 2020 period.

Article 4. Special preferential import duty rate and conditions for grant of a special preferential import duty rate of 0%

1. The goods and commodities originating in the Kingdom of Cambodia as listed in Appendix I enclosed herewith, when imported, shall be granted a special preferential import duty of 0%.

2. In order to be granted a special preferential import duty rate of 0%, the goods and commodities specified in Clause 1 of this Article must meet the following conditions:

- The good or commodity is supported by a Certificate of Origin Form S (C/O form S) issued by a competent authority of the Kingdom of Cambodia.

- It is granted clearance at a border checkpoint/gate listed in Appendix III enclosed herewith.

Article 5. Duty rate and import quotas for rice and unmanufactured tobacco originating in the Kingdom of Cambodia

1. Rice and unmanufactured tobacco listed in Appendix I, if meeting the conditions set forth in Article 4 of this Decree and being conformable with regulations of the Ministry of Industry and Trade on import under tariff quotas in the 2019 – 2020 period, shall be granted a special preferential import duty of 0% according to the import quotas stipulated in Appendix II enclosed herewith.

2. For rice: In case the actual quantities of imported rice exceed the quotas stipulated in Appendix II enclosed herewith (hereinafter referred to as “out-of-quota import”), the exceeding quantities shall be subject to the ATIGA duty rate (if meeting the conditions laid down in the Government's Decree No. 156/2017/ND-CP dated December 27, 2017) or the most-favoured-nation (MFN) rate stipulated in the Government’s Decree No. 125/2017/ND-CP dated November 16, 2017 (hereinafter referred to as “Decree No. 125/2017/ND-CP”) and its amending documents (if any).

3. For unmanufactured tobacco:

a) In case the actual quantities of unmanufactured tobacco imported exceed the quotas stipulated in Appendix II enclosed herewith but such quantities are still within the total quotas for tobacco of the whole country and in conformity with conditions provided in the existing legislative documents on tariff quotes of Vietnam, the exceeding quantities shall be subject to the MFN rate stipulated in the Government’s Decree No. 125/2017/ND-CP and its amending documents (if any).

b) In case the exceeding quantities of imports specified in Point a of this Clause exceed the total quotas for tobacco of the whole country, the out-of-quota import duty rate shall be applied to the imported unmanufactured tobacco as stipulated in the Government’s Decree No. 125/2017/ND-CP and its amending documents (if any).

Article 6. Agricultural products 

1. Unprocessed agricultural products which the Vietnamese enterprises invested and grew in the Kingdom of Cambodia, when imported into Vietnam, shall comply with existing regulations of the Law on export and import duties.

2. Agricultural products originating in the Kingdom of Cambodia, when imported into Vietnam by Vietnamese enterprises or the purpose of re-export to other market destinations, shall comply with the mechanism on temporary import for re-export of the Socialist Republic of Vietnam, and regional or international agreements to which the contract parties are signatories.

3. The quantities of imported agricultural products specified in Clause 1 and Clause 2 of this Article shall not be included in the granted quotas stipulated in Appendix II enclosed herewith.

Article 7. Implementation organization

1. This Decree comes into force from January 06, 2020 and shall be expired on December 31, 2020.

2. With regard to goods and commodities listed in Appendix I enclosed herewith imported under customs declarations registered in the period from February 26, 2019 to the effective date of this Decree, meeting all conditions for application of special preferential import duty rates and on which import duties have been paid at a higher rate, the overpaid duties shall be considered and handled by customs authorities in accordance with regulations of the Law on tax administration.

3. During implementation of this Decree, if any documents referred to in this Decree are amended, supplemented or superseded, the new ones shall apply.

4. Ministers, heads of ministerial-level agencies, heads of Governmental agencies, Chairpersons of people’s committees of provinces and central-affiliated cities, and relevant organizations and individuals shall implement this Decree./.

APPENDIX I

LIST OF GOODS AND COMMODITIES ORIGINATING IN THE KINGDOM OF CAMBODIA IMPORTED INTO VIETNAM UNDER SPECIAL PREFERENTIAL IMPORT DUTY RATES
(Enclosed with the Government’s Decree No. 92/2019/ND-CP dated November 20, 2019)

APPENDIX II

 LIST OF GOODS AND COMMODITIES ORIGINATING FROM THE KINGDOM OF CAMBODIA IMPORTED UNDER TARIFF QUOTAS
(Enclosed with the Government’s Decree No. 92/2019/ND-CP dated November 20, 2019)

Note: Exchange ratio: 02 kg of rice in husk = 01 kg of rice

APPENDIX III

 LIST OF BORDER CHECKPOINTS/GATES FOR CLEARANCE OF IMPORTED GOODS AND COMMODITIES GRANTED PREFERENTIAL TREATMENT UNDER THE ARRANGEMENT BETWEEN VIETNAM AND CAMBODIA 
(Enclosed with the Government’s Decree No. 92/2019/ND-CP dated November 20, 2019)