On January 22, 2020, the Ministry of Industry and Trade issued Circular No. 04/2020 / TT-BCT regulating the auction of used car import duty quotas under The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP Agreement). This Circular takes effect from March 5, 2020.
Circular No. 04/2020 / TT-BCT has some main contents as follows:
1. Used cars imported under tariff quotas must comply with the following provisions:
– Being registered for circulation in the exporting country before reaching the Vietnamese border gates according to the provisions of law;
– Meet the rules of origin of goods in the CPTPP Agreement and must have a certificate of origin when carrying out import procedures;
– Meet the law provisions on technical regulations, quality, technical safety and environmental protection for cars, and regulations on automobile import border gates;
– The type of imported cars must conform to the contents of the automobile import business license in accordance with the provisions of law.
2. Import duty quotas for used cars shall be assigned on the basis of an auction in accordance with the law on auction.
3. Traders importing used cars must be licensed by the Ministry of Industry and Trade. In case of not having this License but participating in auction and winning the auction, the trader must entrust the enterprise with the License to import.
The Circular No. 04/2020 / TT-BCT of the Ministry of Industry and Trade, which takes effect on March 5, 2020, will cause the import market in Vietnam to make certain changes.