As new cases of SARS-CoV-2 were confirmed in Da Nang and Quang Ngai after 3 months without new community transmissions, many firms in Vietnam have re-implemented pandemic prevention measures starting early this week. Highlight of business news last week was the Government issuing a resolution approving the first protocol that amends the ASEAN Trade in Goods Agreement (ATIGA).
The past week spotlight
First protocol amending ASEAN Trade in Goods Agreement approved
Photo: First protocol amending ASEAN Trade in Goods Agreement approved
The Government has issued a resolution approving the first protocol that amends the ASEAN Trade in Goods Agreement (ATIGA).
ATIGA came into effect on May 17, 2010. The agreement targets the elimination of tariffs to foster trade among Southeast Asian nations, supports joint efforts to handle non-tariff barriers, and promotes customs cooperation inside the bloc.
According to the pact, ASEAN member states offer each other incentives that are equal or higher than those applied for ASEAN’s partners in free trade agreements signed by the bloc.
4. Vietnam to post world’s fifth-highest economic growth: WB
“Vietnam is projected to be the fifth highest-growing economy in the world this year and the country has a unique opportunity to increase its footprint in the global economy in both trade and investment”, Stefanie Stallmeister, World Bank Acting Country Director for Vietnam, has said.
7. Asia-Pacific investment volumes in real estate fall due to COVID-19
Asia Pacific’s commercial real estate market has felt the brunt of COVID-19 so far this year, with a sharp decline in investment volumes and rental prices across most major commercial asset classes, according to real estate services firm JLL.
8. Most Japanese firms in Vietnam affected by Covid-19 travel restrictions: survey
Eighty nine percent of Japanese firms in Vietnam complain over entry restrictions, 65 percent stating they are impacted by domestic travel restrictions, a survey revealed.
Revenues were down in the first half of the year for 65 percent of firms, and higher for only 13 percent, according to the survey, done in June by the Japan External Trade Organization (Jetro) and the Japan Chamber of Commerce and Industry (JCCI).
Following the Government's Resolution No. 178/NQ-CP dated 12/12/2020, on 23/02/2021 the General Department of Customs (“GDC)” issued Official Letter No. 879/TCHQ-TXNK guiding the tax treatment for imports being materials used for export-production in which part of the production process is being outsourced to 3rd party vendor.
On 30 December 2020, The Government promulgated Decree No. 152/2020/ND-CP regarding foreign employees working in Vietnam (“Decree 152”). Decree 152 is effective from 15 February 2021 and replaces Decree No. 11/2016/ND-CP (as amended by Decree No. 140/2018/ND-CP).
On 25/01/2021, the Ministry of Finance issued Circular no. 07/2021/TT-BTC ("Circular 07") providing guidance on the deadline to submit Certificate of Origin (“C/O”)(1) for goods imported into Vietnam under EU-Vietnam Free Trade Agreement (“EVFTA”).