Vietnamese consumers often have a general mentality that imported cars have better quality than domestically assembled cars. This is not only due to the psychology of foreign buyers, but in fact, imported cars clearly have outstanding advantages over many more comfortable and safer equipment.
Vietnam has imported more than 144,000 cars in 2022. Regarding the auto import market, Indonesia is still the country that provides the most cars to Vietnam. Thailand is the second largest auto exporter to Vietnam with 50,331 vehicles
Knowing the HS code, you will know the regulations related to the export policy of the item, taxes, documents, procedures, … respectively.
HS CODE OF IMPORTED CAR
For imported automobiles, they are classified in Heading 8703 and the specific subheadings are as follows:
8703: Motor vehicles and other motor vehicles principally designed for the transport of persons (other than motor vehicles of heading 87.02), including station wagons and racing cars . Details you can see on the screen
870310 – – Vehicles specially designed for traveling on snow; golf car and similar vehicles.
870321 – – Motor vehicles with a cylinder capacity not exceeding 1,000 cc.
870322 – – Motor vehicles with a cylinder capacity exceeding 1,000 cc but not exceeding 1,500 cc.
870323 – – Motor vehicles with a cylinder capacity exceeding 1,500 cc but not exceeding 3,000 cc.
870324 – – Automobiles with a cylinder capacity exceeding 3,000 cc.
870331 – – Motor vehicles with a cylinder capacity not exceeding 1,500 cc.
870332 – – Motor vehicles with a cylinder capacity exceeding 1,500 cc but not exceeding 2,500 cc.
870333 – – Automobiles with a cylinder capacity exceeding 2,500 cc.
TYPES OF TAXES TO PAY WHEN DOING PROCEDURES FOR IMPORTING CUSTOM CAR
For new cars imported to Vietnam, according to the law, they are subject to taxes such as:
Import tax from 50-70%,
Special consumption tax from 40-150%,
VAT 10% VAT,
Registration tax depending on the province from 10-12%
Import tax (absolute tax)
a) For complete passenger cars with 09 seats or less (including the driver’s seat) with a cylinder capacity of less than 1,500cc.
| Item Description | Belonging to the group of codes in the Preferential Import Tariff | Unit | Tax rate (USD) |
| – Dưới 1.000cc | 8703 | Chiếc | 5.000 |
| – Từ 1.000cc đến dưới 1.500cc | 8703 | Chiếc | 10.000 |
b) The mixed tax rate for CBU cars carrying people with 09 seats or less (including the driver’s seat) of heading 87.03 in the Preferential Import Tariff is determined as follows:
For cars with cylinder capacity from 1,500cc to under 2,500cc: Import tax rate = X + 5,000 USD;
For cars with cylinder capacity of 2,500cc or more: Import tax rate = X + 15,000 USD;
IMPORT POLICY OF CUSTOM CAR
Imported cars must undergo quality inspection according to the provisions of Decision No. 50/2006/QD-TTg dated March 7, 2006 of the Prime Minister on promulgating the list of products and goods subject to inspection. quality.
– Procedures for inspection of quality, technical safety and environmental protection of imported motor vehicles according to regulations of the Ministry of Transport under Decision No. 31/2011/TT-BGTVT dated April 15, 2011 of the Ministry of Transport. Transport regulations on quality inspection, technical safety and environmental protection of imported motor vehicles.
IMPLEMENTATION STEPS
Register at the National Single Window (https://vnsw.gov.vn/); The Registry of Vietnam confirms the registration application and issues the registration number for inspection
Open the customs declaration (DNACCS/VCIS system)
Site inspection; Testing and inspection
Notice of exemption from inspection, Certificate, Notice of failure to meet technical safety and environmental protection quality of imported motor vehicles, Notice of imported motor vehicle in violation of Decree 69/2018/ND-CP.
Regulatory agency: Ministry of Transport.
Receiving agency: Vietnam Registry Department
Time limit for settlement
– For the examination of the application for registration of examination and confirmation on the Certificate of examination registration: within 01 working day
– For vehicle inspection and issue of quality certificates: Within 5 – 10 working days from the date of completion of the inspection of imported motor vehicles at the registered inspection location stated in the inspection registration certificate. quality inspection, technical safety and environmental protection of imported motor vehicles.
ENTERPRISE PREPARATION DOCUMENTS AS FOLLOWS
The original of the inspection registration certificate, clearly stating the chassis number, engine number and year of manufacture of the motor vehicle;
A photocopy of the import document certified by the importing organization or individual, including: Commercial invoice or equivalent papers; Declaration of imported goods;
A copy of the document introducing features and specifications, certified by the importing organization or individual; imported goods;
For used passenger cars with under 16 seats, the importing organization or individual must add a photocopy certified by the importing organization or individual of one of the following papers:
Registration certificate
Certificate of circulation
Certificate of cancellation of Certificate of registration or Certificate of cancellation of Certificate of circulation issued to the vehicle by the competent authority of the country where the automobile is registered for circulation.
Other documents include:
Declaration of imported goods;
Registration of imported motor vehicle specifications;
Documents related to emissions of unused motor vehicles may be submitted by importing organizations or individuals before conducting vehicle inspection.
APPLICATION FOR A CAR IMPORT LICENSE
Enterprises wishing to import cars must first apply for an import license. The application for a license includes:
1 original copy of the application for the license to import automobiles (Form No. 05, Appendix II issued together with Decree 116/2017/ND-CP)
1 copy of Certificate of Business Registration or equivalent legal document
Documents proving that the enterprise meets the conditions for automobile import, specifically:
1 copy of the document proving that the enterprise has an automobile warranty and maintenance facility that meets the prescribed conditions
1 copy of the written certification or document proving that the enterprise is authorized to act on behalf of the foreign automobile manufacturer and assembler to carry out the recall order for imported cars in Vietnam according to regulations approved by the representative agency. Vietnamese diplomats abroad legalize consular in accordance with the law
The Ministry of Industry and Trade is the competent authority to grant automobile import business license.
Within 10 working days from the date of receipt of a complete and valid dossier, the Ministry of Industry and Trade shall consider granting the automobile import business license to the enterprise.
In addition, according to Article 1 of Circular No. 20/2011/TT-BCT issued on May 12, 2011 of the Ministry of Industry and Trade, supplementing procedures for importing passenger cars with 09 seats or less as follows: after:
“Traders importing cars with 9 seats or less when doing customs procedures, in addition to complying with current regulations, need to submit the following additional documents to competent state agencies:
01 copy (with certification and stamp) Designation letter or Power of attorney to be the importer or distributor of the car manufacturer or trader, or the agency contract of the manufacturer or dealer. Such automobile business has been consularly legalized by Vietnamese diplomatic missions abroad in accordance with law.
01 copy (with certification and stamp) Certificate of qualified automobile warranty and maintenance facility issued by the Ministry of Transport.
CONDITIONS FOR IMPORTING USE CAR TO VIETNAM
Pursuant to the provisions of Section II of the Inter-Ministerial Circular No. 03/2006/TTLT-BTM-BGTVT-BTC-BCA issued on March 31, 2006 of the Ministry of Trade – Ministry of Transport – Ministry of Finance – Ministry of Finance. Police, when you want to import cars to Vietnam, you need to ensure the following conditions:
The time must not exceed 5 years from the year of manufacture to the time the car arrives at the port of Vietnam.
The car has been registered for circulation in the country of settlement or the country where Vietnamese citizens reside abroad, up to the time of carrying out procedures at least 06 months.
Cars are registered with a minimum period of 06 months and are allowed to run for a minimum distance of 10,000km by the time they arrive in Vietnam.
Imported cars other than right-hand drive cars must be disassembled, or have their structure changed.
CUSTOMS PROCEDURES FOR IMPORTING CAR TO VIETNAM
The final step of customs clearance is always to prepare a full set of documents. Importing cars requires submission of the following documents:
Declaration of imported goods
Commercial Invoice (Invoice)
Contract of sale (Contract)
Packing list (Packing list)
Bill of Lading (Bill of Lading)
Certificate of Origin (C/O)
Certificate of inspection registration & certificate of quality, technical safety and environmental protection of imported motor vehicles
Your power of attorney for another organization or individual in Vietnam to carry out vehicle import procedures
Entrustment contract for imported goods (if entrustment)
Customs authorities may only complete customs clearance procedures when the passenger car has been granted a certificate of quality, technical safety and environmental protection by the Vietnam Register or a Notice Exemption from inspection of quality, technical safety and environmental protection of imported motor vehicles.
CERTIFICATE OPTIONAL – LASHING CAR
In the process of transporting goods by trucks, containers, ships and boats, there will be problems; Tie up cars to prevent risks during transportation, especially high-value cars and reduce disputes and complaints about goods for consignees.
Meet the requirements of shipping lines, shipping units; ensure that the car is always fixed in a safe condition during transportation, avoiding situations such as: goods being moved, scratched, broken, or even dropped from the vehicle during transit. transport process, causing dangerous situations, damaging the goods, the structure of the vehicle being transported.
TRADE INSPECTION
In commercial activities, cars, from the time they are manufactured to the time they are delivered to the buyer/consumer, have to go through many stages (transportation, delivery, storage, etc.), which cannot be avoided. risks, errors, losses, etc., leading to disputes between the parties involved in the purchase/sale contract.
Some common disputes are:
Errors in number/volume, quality, packaging, origin, type of goods, condition; (inspection under commercial contract)
Division of responsibility, compensation levels of related parties when goods are lost; (insurance loss assessment)
Time, place of delivery, transfer of ownership, risks to the goods…
In order to directly prevent and have a legal basis to resolve disputes that occur quickly when goods are damaged, missing, lost, damaged, etc., the contracting parties often include clauses in commercial contracts. appoint an independent, neutral, competent/reputable inspection organization to conduct inspection and issue results on conformity in terms of goods quality, quantity and volume compared to the signed contract. .
