WT/TPR/G/410/Rev.1  
9 July 2021  
(21-5383) Page: 1/44 
Trade Policy Review Body   Original: English  
 
TRADE POLICY REVIEW  
REPORT BY  
VIET NAM 
Revision  
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by Viet Nam  
is attached.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 2 - 
 
Contents  
1   OVERVIEW OF VIET NAM IN THE GLOBAL TRADING SYSTEM  ................................ ...... 5 
1.1   Overview the formation and development of Vietnamese policies in the global trading  
system during the period 2013 -2020 ................................ ................................ .....................  5 
1.2   Overall evaluation of the role and position of Viet Nam in the global trading system  ............  6 
1.3   Overall evaluation of economic policy implementation of Viet Nam in the national  
socio-economic development during the period 2013 -2020 ................................ ......................  7 
2   VIET NAM ECONOMIC AND TRADING DEVELOPMENT IN THE PERIOD OF 2013 -2020 .. 9 
2.1   Economic development ................................ ................................ ................................ . 9 
2.1.1    GDP growth rate  ................................ ................................ ................................ ....... 9 
2.1.2    Import and export of goods and services  ................................ ................................ ....10 
2.1.2.1    Import and export of goods  ................................ ................................ .................... 10 
2.1.2.2    Import and export services  ................................ ................................ .................... 10 
2.2   Economic and Trade Policy  ................................ ................................ ........................... 10 
2.2.1    Macroeconomic and economic restructuring policies  ................................ ..................... 10 
2.2.1.1    Monetary and exchange rate policies  ................................ ................................ .......10 
2.2.1.2    Financial policies  ................................ ................................ ................................ ...11 
2.2.1.3    Economic restructuring  ................................ ................................ .......................... 12 
2.2.1.4    Competitive and customer protective policies  ................................ ........................... 15 
2.2.1.5    Trade remedy mechanisms  ................................ ................................ .................... 16 
2.2.2    WTO commitment implementation  ................................ ................................ ............. 17 
2.2.2.1    Trade in goods  ................................ ................................ ................................ ......17 
2.2.2.1.1    Tariff commitments  ................................ ................................ ............................ 17 
2.2.2.1.2    Export subsidies for industrial goods  ................................ ................................ .....19 
2.2.2.1.3    State trading enterprises  ................................ ................................ ..................... 19 
2.2.2.1.3.1    Regarding the definition of State -owned enterprises (SOEs)  ................................ .19 
2.2.2.1.3.2    Regarding the results of the equitizat ion of state -owned enterprises  ...................... 19 
2.2.2.1.4    Import and Export licensing  ................................ ................................ ................. 20 
2.2.2.1.5    Customs  ................................ ................................ ................................ ........... 21 
2.2.2.1.5.1    Commitments under the WTO Valuation Agreement (GATT)  ................................ ..21 
2.2.2.1.5.2    Commitments under the WTO Agreement on Rules of Origin  ................................ .21 
2.2.2.1.5.3    Commitments under the WTO Trade Facilitation Agreement (TFA)  ......................... 21 
2.2.2.1.6    Price management  ................................ ................................ ............................. 21 
2.2.2.1.7    Technical barriers to trade (TBT)  ................................ ................................ .......... 22 
2.2.2.1.8    Sanitary and Phytosanitary (SPS)  ................................ ................................ ......... 23 
2.2.2.2    Trade in services  ................................ ................................ ................................ ...23 
2.2.2.2.1    Distribution services  ................................ ................................ ........................... 23 
2.2.2.2.2    Banking services  and related financial services  ................................ ...................... 23 
2.2.2.2.3    Insurance  and securities services  ................................ ................................ ......... 24 
2.2.2.2.3.1    Insurance services  ................................ ................................ ........................... 24 
2.2.2.2.3.2    Securities services  ................................ ................................ ........................... 25 WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 3 - 
 
2.2.2.2.4    Telecommunication services  ................................ ................................ ................ 25 
2.2.2.2.5    Transportation services  ................................ ................................ ....................... 26 
2.2.2.2.5.1    Maritime  transport  services  ................................ ................................ .............. 26 
2.2.2.2.5.2    Air transport  services  ................................ ................................ ....................... 26 
2.2.2.2.5.3    Road transport  services  ................................ ................................ .................... 27 
2.2.2.2.5.4    Railway transport  services  ................................ ................................ ................ 27 
2.2.2.2.5.5    Internal  water ways transport  services  ................................ ................................ 27 
2.2.2.2.5.6    Services auxiliary to all modes of transport  ................................ ......................... 27 
2.2.2.3    Intellectual property rights and rights related to intellectual property  .......................... 28 
2.2.3    Trade policies since 2013  ................................ ................................ .......................... 30 
2.2.3.1    Multilateral trading system  ................................ ................................ ..................... 30 
2.2.3.2    Multilateral and bilateral agreements  ................................ ................................ .......31 
2.2.3.2.1    Overview on process of negotiation, signing and implementation of Viet Nam's  free 
trade agreements  ................................ ................................ ................................ .............. 31 
2.2.3.2.2   The effective Free Trade Agreements  ................................ ................................ ....31 
2.2.3.2.2.1    ASEAN Trade in Goods Agreement (ATIGA)  ................................ ........................ 31 
2.2.3.2.2.2    The ASEAN – China Free Trade Agreement (ACFTA)  ................................ ............. 32 
2.2.3.2.2.3    ASEAN – Republic of Korea Free Trade Agreement (AKFTA)  ................................ ..32 
2.2.3.2.2.4    ASEAN  - Japan Comprehensive Economic Partnership Agreement (AJCEP)  .............. 32 
2.2.3.2.2.5    ASEAN - India Free Trade Agreement (AIFTA)  ................................ ..................... 32 
2.2.3.2.2.6    The Agreement establishing the ASEAN – Australia – New Zealand Free Trade  
Area (AANZFTA)  ................................ ................................ ................................ ................ 33 
2.2.3.2.2.7    ASEAN – Hong Kong, China FTA  (AHKFTA) ................................ ......................... 33 
2.2.3.2.2.8    Viet Nam – Chile Free Trade Agreement (VCFTA)  ................................ ................ 34 
2.2.3.2.2.9    Viet Nam – Japan Economic Partnership Agreement (VJEPA)  ................................ .34 
2.2.3.2.2.10    Viet Nam – Republic  of Korea Free Trade Agreement (VKFTA)  ............................. 34 
2.2.3.2.2.11    Viet Nam Free Trade Agreement – Eurasian Economic Union (VN -EAEU FTA)  ......... 35 
2.2.3.2.2.12    The Comprehensive and Progressive Agreement for Trans -Pacific Partnership 
(CPTPP)  ................................ ................................ ................................ ............................ 36 
2.2.3.2.2.13    The Free Trade Agreement between Viet Nam and the European Union (EVFTA)  ....36 
2.2.3.2.2.14    Viet Nam - UK Free Trade Agreement (UKVFTA)  ................................ ................ 37 
2.2.3.2.3    The signed Free Trade Agreement which are not effective yet  ................................ ..37 
2.2.3.2.3.1    The Regional Comprehensive Economic Partnership  (RCEP)  ................................ ..37 
2.2.3.2.4    Under negotiating Free Trade Agreements  ................................ ............................. 37 
2.2.3.2.4.1    Viet Nam – EFTA Free Trade Agreement  ................................ ............................. 37 
2.2.3.2.4.2    Viet Nam – Israel Free Trade Agreement (VIFTA)  ................................ ................ 37 
2.2.3.3    Recent trade -related policies  ................................ ................................ .................. 37 
2.2.3.3.1    Trade policies  ................................ ................................ ................................ ....37 
2.2.3.3.2    Customs modernization ................................ ................................ ....................... 38 
2.2.3.3.3    Telecommunication  ................................ ................................ ............................ 39 
2.2.3.3.4    Finance  ................................ ................................ ................................ ............. 40 WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 4 - 
 
2.2.3.3.5    Transportation  ................................ ................................ ................................ ...42 
2.2.3.3.5.1    The transportation development in the peri od of 2013–2019 ................................ .42 
2.2.3.3.5.2    Development orientation of transportation in the coming period  ............................ 43 
3   PROSPECTS  ................................ ................................ ................................ ...............  44 
 
 
  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 5 - 
 
1  OVERVIEW OF VIET NAM IN THE GLOBAL TRADING SYSTEM  
1.1  Overview the formation and development of Vietnamese policies in the global trading 
system during the period 2013 -2020  
1.1.  Viet Nam presents its government report at the second Trade Policy Review of the World Trade 
Organization (WTO), which brings Members up -to date on important progresses in its trade policies 
during the period of 2013 -2019, together with the most recent new s throughout 2020. Viet Nam 
attaches great importance to this trade policy review and views the process as a crucial opportunity 
to deliver fully and comprehensively the implementation outcomes of its trade policies throughout 
this period, in order to enha nce its transparency for WTO Members as well as to underscore the key 
results achieved, thereby contributing to the rapid and holistic development in socio -economic and 
political aspects of the country and in relation to the region and the world. More spec ifically:  
- At the 6th National Congress of the Communist Party of Viet Nam  which constituted a time 
for the nation -wide renewal, Viet Nam advocated taking advantage of favourable conditions 
in economic, scientific and technical cooperation, participating m ore broadly in the 
international collaboration and assignment in the "Council for Mutual Economic Assistance 
and Expansion with other countries ". This became the foundation for later policies of the 
country in international economic integration. At the 7th National Congress, Viet Nam put 
forth the orientation of "diversification and multilateralization of relations with other 
countries and economic organizations ". The 8th National Congress marked the appearance 
of the term "integration " in Viet Nam 's most i mportant documents: "Building an open 
economy and integrating with the region and the world "; 
- The 9th National Congress saw the first time that Viet Nam put emphasis on the policy of 
"proactive economic integration into regional and international area". Ac cordingly, 
international economic integration and participating in free trade agreements (FTAs) have 
always been set out in Resolutions and Directives of the Communist Party and the 
Government of Viet Nam, namely the Resolution No. 07 -NQ/TW dated 2001 on i nternational 
economic integration, Resolution No. 08 -NQ/TW dated 2007 on a number of major policies 
for rapid and sustainable economic growth under the context of Viet Nam being a Member 
of the World Trade Organization (WTO), Resolution No. 22 -NQ/TW dated 2013 on 
international economic integration, Resolution No. 06 -NQ/CP dated 2016 on implementing 
effectively international economic integration while maintaining socio -political stability under 
the context of Viet Nam's engagement in new -generation FTAs, and  most recently the 
Directive No. 26/CT -TTg dated 4 September 2018 on promoting international economic 
integration in the direction of more effectiveness and efficiency;  
- The draft Political Report presented at the 13th National Congress of the Communist Par ty 
continues to underscore the role of integration and requires to continue enforcing a foreign 
policy of independence, autonomy, and multilateralism; proactively and actively integrating 
into the world in an exhaustive, extensive and effective manner. At the same time, Viet Nam 
shall proactively participate and foster its role in multilateral mechanisms, especially ASEAN, 
the United Nations, APEC, and other international cooperation fora; improving effectiveness 
of economic integration via multiple forms o f international integration; advancing and 
deepening bilateral cooperation with its trading partners, particularly strategic trading 
partners, creating a mix of benefits and increasing reliability.  
1.2.  In the above -mentioned Resolutions and Directives, the ma jor viewpoints and guidelines 
thoroughly grasped by the Communist Party and the Government of Viet Nam with regard to 
processes of international economic integration and FTAs participation are as follows:  
- Economic integration is central. Integration in oth er aspects must facilitate economic 
integration and contribute positively to economic development, ensurance  and consolidation 
of national defense and security, preservation and promotion of national cultural identity, 
and promotion of socio -cultural development. Integration in all areas must be implemented 
synchronously in a holistic international integration s trategy with a roadmap and specific 
steps aligning with the country's conditions and capacity ; WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 6 - 
 
- The proactive economic integration in the region and the world shall be made in the spirit of 
maximizing internal forces, improving effectiveness of internationa l collaboration, ensuring 
independence, autonomy, and socialist orientation, protecting the interests of the national 
people; protecting national security, preserving national cultural identify, and protecting the 
environment ; 
- Accelerate the pace of reform s of economic institutions, mechanisms, and policies in 
accordance with the orientations and guidelines of the Communist Party and the State, 
proactively establish new partnerships, engage in new negotiation rounds, and promote 
economic cooperation at regi onal, bilateral, and multilateral levels ; 
- Develop and implement strategies, participate in regional trade agreements with crucial 
trade and economic partners in a master plan with reasonable roadmap, in line with national 
interest and capacity. Proactively  build and formulate and implement measures to protect 
legitimate interests of the State, enterprises and domestic consumers ; 
- Advance and deepen relations with partners, especially those of strategic importance to the 
country's development and security, br inging the established relationship framework into 
reality, creating a mix of benefits between Viet Nam and partners.  
- Proactively and actively participate in multilateral institutions, contributing to building fair 
and democratic political and economic or der, preventing wars and conflicts, consolidating 
peace, and promoting mutual cooperation. Special attention is given to participating in 
building the ASEAN community, promoting Viet Nam's role in ASEAN as well as mechanisms 
and forums in which ASEAN plays  a central role, in order to strengthen solidarity, improve 
intra-bloc linkages, consolidate relations with ASEAN's dialogue partners, and further 
advance the trend of peace, cooperation and development in the region . 
1.2  Overall evaluation of the role and pos ition of Viet Nam in the global trading system  
1.3.  Based on the major orientations and guidelines that the Communist Party and the Government 
set out with regard to international economic integration, Viet Nam has been proactively engaging 
in regional and mult ilateral economic institutions in recent years. Outstanding milestones in this 
regard include joining the Association of Southeast Asian Nations (ASEAN), being a founding member 
of the Asia -Europe Economic Forum (ASEM), becoming a member of the Asia -Pacific Economic 
Cooperation (APEC) forum, and most importantly the accession to WTO, marking the comprehensive 
integration into the global economy. During the period 2013 -2019, Viet Nam successfully organized 
the APEC Summit dated 2017 and its relevant Minister ial Conferences. In 2020, as the Chair of 
ASEAN, Viet Nam launched a lot of initiatives supported by other countries.  
1.4.  Within the WTO framework, Viet Nam's viewpoint is to always support a fair, open and 
rule-based multilateral trading system. After over 25  years of establishment, the WTO is facing 
challenges of era, which require profound and radical changes. During recent years, WTO Members 
have been promoting discussions on reforms and proposing options to deal with the pending issues. 
Despite being an ac ceding member, Viet Nam has expressed activeness in such discussions, 
contributing to the removal of deadlocks and urging other Members to soon find solutions to the 
shortcomings of this organization. In recent years, Viet Nam has repeatedly expressed its support 
for WTO reforms based on certain founding principles such as ensuring balance between rights and 
obligations, which corresponds to the development level and enforcement capacity of Members.  
1.5.  In addition, Viet Nam has been participating in a lot of FTAs at both bilateral and multilateral 
levels. To date, Viet Nam has signed 15 regional and bilateral FTAs (among which 14 are in effect) 
and is negotiating two FTAs. Two out of 15 FTAs are new generation ones, in particular the 
Comprehensive and Progress ive Agreement for Trans -Pacific Partnership (CPTPP) and the Free Trade 
Agreement between Viet Nam and the European Union (EVFTA). With a number of current FTAs, 
Viet Nam will have established free trade relations with the majority of significant partners, creating 
a firm foundation to further boost bilateral trade and investments, as well as to promote economic 
integration in the region and all over the world.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 7 - 
 
1.3  Overall evaluation of economic policy implementation of Viet Nam in the national 
socio -economic d evelopment during the period 2013 -2020 
1.6.  The active implementation Viet Nam has shown in the international economic integration 
process during recent years has contributed to bringing about positive impacts on economic growth 
and modernization of the country. Fundamental impacts include: expandin g export markets for 
Vietnamese goods, assisting in Vietnam's deeper participation in the global value chain and 
production network; increasing export value of key products, thereby transforming the economic 
structure in a more positive manner; improving t he business investment environment in the direction 
of more simplicity, transparency, and convenience for domestic and foreign enterprises; taking 
advantage of a large amount of investment capital, technology, knowledge, and management 
experience; creating  more jobs and increasing income for the people; stabilizing social security; 
creating opportunities for consumers to access goods and services of high quality and competitive 
prices, so on and so forth.  
1.7.  Outstanding achievements of the integration process  brought to the economy are shown 
through the following key figures:  
- Regarding promotion of export growth: In 1986 and 2007, Viet Nam's total export value was 
USD 789 million and USD 48.4 billion respectively. In 2019, this number increased to 
USD 267 bil lion, reflecting an increase of 332 times as much as in 1986 (when Viet Nam just 
started the "Doi Moi" policy reform, and over 5 times as much as in 2007 (right before Viet 
Nam acceded to WTO). From 2016 to 2020, Viet Nam has always had trade surplus. In 2 019, 
the country's total import and export value reached USD 517.26 billion, among which the 
export amount was USD 264.19 billion and the import amount was USD 253.07 billion, 
meaning that there was a trade surplus of nearly USD 11.12 billion. In 2020, the  total export 
and import turnover was estimated at USD 543.9 billion, in which the export value was 
estimated at USD 281.5 billion (an increase of 6.5% compared to 2019), while the import 
value reached USD 262.4 billion (an increase of 3.6% compared to 201 9), generating a 
surplus of USD 19.1 billion, the highest one since 20161; 
- Regarding Viet Nam's export markets in 2020: the United States was ranked the biggest one 
with a total value of USD 76.4 billion, an increase of 24.5% compared to the preceding year. 
China took the second position ( USD 48.5 billion, an increase of 17.1% compared to 2019). 
Other major markets saw unsubstantial decreases in export value compared to 2019, in 
particular the EU ( USD 34.8 billion, a decrease of 2.7%), ASEAN ( USD 23.1 billion, a 
decrease of 8.7%), Japan ( USD 19.2 billion, a decrease of 5.7%), and the Republic of Korea 
(USD 18.7 billion, a decrease of 5.1%). Such figures are particularly meaningful, given that 
the Covid -19 pandemic still has negative impacts on regional and global supply chains as 
well as commodity exchanges ; 
- Regarding economy openness (export plus import as percent of GDP), latest statistics of the 
World Bank showed that such value of Viet Nam in 2019 was 210%, which is far ahead of 
other countries with similar development level in the region. This proves that Viet Nam is 
able to take advantage of both the do mestic economy and the global market ; 
- Regarding commodity structure: Viet Nam's export products are becoming more and more 
diversified, and there are a lot of "key" commodity groups generating impressive values. In 
2019, 34 commodities had an export value of over USD 1 billion, accounting for more than 
95% of the country's total exports. In 2020, 31 commodities had an export value of over 
USD 1 billion, accounting for 91.9% of the total exports, six among which (an increase of 
one commodity compared to 2019 ) had an export turnover of over USD 10 billion, accounting 
for 64.3% of the total exports).2 In particular, mobile phones and their components have 
the biggest export value of  USD 46.9 billion (constituting 18.4% of total export). Electronics, 
 
1 The data are calculated by the General Statistics Office on its website dated 27 December 2020.  
2 The data were roughly calculated in December 2020 by the intersectoral working group consisting of 
the Ministry of Industry and Trade, the Ministry of Planni ng and Investment, the State Bank of Viet Nam, the 
General Department of Customs, and the General Statistics Office, based on import and export statistics as of 
24 December 2020 (provided by the General Department of Customs) in combination with market inf ormation, 
proportion, and import -export tendencies of different commodities. The General Statistics Office received the 
data and updated the report accordingly on 25 December 2020.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 8 - 
 
computers,  and their components took the second place at USD 40.2 billion. After 11 months 
of 2020, export values of several outstanding commodity groups are as follows: 
USD 26.7 billion for textile and garments; USD 23.9 billion for machinery, tools, equipment 
and spare parts; USD 14.9 billion for footwear; USD 10.9 billion for woods and woods 
product ; 
- Regarding foreign investment : Viet Nam has attracted USD 28.5 billion of FDI, including 
newly registered capital, adjusted registered capital, value of capital contribution and buying 
shares of foreign investors. In 2019, Viet Nam realized FDI capital reached USD 20.38 billion, 
increasing by 6.7% compared to 201 8; 3,833 projects were newly registered with a total 
value of USD 16.75 billion, accounting for 93.2%; 1,381 projects had capital adjustments of 
USD 5.8 billion, an increase of 18.1%; there were 9,842 times of capital contribution and 
share purchase with a  total value of USD 15.47 billion, an increase of 56.4% over the same 
period in 2018 and accounting for 40.7% of total registered capital. The total newly 
registered adjusted and contributed capital and purchased shares of foreign investors is 
USD 38 billi on. Such figures indicate that investors have been having longer term business 
strategies and more trust in Viet Nam's economic prospects, thanks to an improved 
investment environment on the one hand and Viet Nam's integration commitments on the 
other hand . Another evidence is that the contribution of FDI sector has always accounted 
for a significant proportion of Viet Nam's GDP in general and import -export value in particular 
during the past years. For instance, in 2019 the export value of FDI enterprises reached 
USD 179.2 billion, an increase of 4.3% over 2018, accounting for 68.8% of the country's 
export turnover. Import value of 2019 was USD 144.64 billion, an increase of 1.9% 
compared to 2018 and accounting for 57.4% of the country's imports. In 2018, e xport value 
of FDI enterprises was 313.21 billion USD, increasing by 11.7% (equivalent to 
USD 32.83  billion) over 2017, and accounting for 65.2% of the country's total import and 
export value ;  
- Regarding GDP growth: In 2020, Viet Nam's GDP increases by 2.9 1%. Although this is the 
country's lowest rate throughout the period 2011 -2020, it still stands among the highest 
rates all over the world in 2020 and thus is considered a great success, especially given that 
the Covid -19 pandemic is still going on with co mplex developments. Of the country's general 
growth, the agriculture, forestry and fishery sector saw an increase of 2.68%, contributing 
13.5% to the growth rate of the total value of the whole economy; the construction and 
industry sector made an increase  of 3.98%, making a contribution of 53%; the services 
sector made an increase of 2.34%, accounting for 33.5% of the growth rate of the economy. 
In 2019, Viet Nam's GDP growth was 7.02%. In 2018, Viet Nam's GDP growth reached the 
highest level in 11 years a t 7.08%. Viet Nam's economic growths were 6.81% in 2017, 
6.21% in 2016, 6.68% in 2015 and 5.98% in 2014. With such steady raise over the past 
5 years, Viet Nam is clearly presenting itself as the fastest growing and most dynamic 
economy in the region ; 
- Regarding poverty alleviation: According to the World Bank's report "Climbing the Ladder: 
Poverty Reduction and Shared Prosperity in Viet Nam" announced on 5 April 2018, the 
proportion of poor households in Viet Nam continues to decline, especially among ethni c 
minorities, with a sharp drop of 13% (the largest in the past decade). Such gigantic changes, 
argued by the World Bank, are outcomes of high economic growth together with wise social 
policies ; 
- Regarding politics: The participation and implementation of F TAs so far has contributed to 
raising Viet Nam's external relations position, enhancing the combination of interests with 
key partners, and ensuring peace and harmony for national development. As such, economic 
integration, particularly engagement in FTAs in recent years, can be said to have made 
comprehensive transformations for the country's economy in the direction of openness, 
modernization, and diversification, thereby maintaining and stimulating sustainable growth, 
and bettering living conditions of t he people.   WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 9 - 
 
2  VIET NAM ECONOMIC AND TRADING DEVELOPMENT IN THE PERIOD OF 2013 -2020  
2.1  Economic development  
2.1.1   GDP growth rate  
2.1.  During the period of 2013 -2019, Viet Nam's economy was no longer under the impact of the 
world economic crisis and positively regained its stable growth and development momentum. The 
growth rate for the period of 2013 -2019 reached 6.46%, of which the lowest growth rates were of 
the year 2013 and 2014, respectively at 5.42% and 5.98% and were only higher than the growth 
rate of 20 09 at 5.4% - the worst year during the world economic crisis. In 2015, Viet Nam's economy 
rebounded and reached a considerable growth rate of 6.68%, showing signs of recovery, then the 
growth rate decreased slightly in 2016 with an increase of 6.21% before  rising again in 2017, 2018 
and 2019 at 6.81%, 7.08%, and 7.02% respectively.  
2.2.  In terms of economic sectors, the period of 2013 -2019 was difficult for the agriculture, forestry, 
and fishery sector (so -called sector I) with an average growth of only 2.64%. T his sector's growth 
rate reached the lowest point in 2016 at 1.36% compared to the previous year due to the sharp 
decline in all three sectors (agriculture, forestry, and fishery), mainly due to the impact of adverse 
weather developments, including the dev astating cold in the North at the beginning of the year; 
prolonged droughts and saline intrusions in the Southern Central and Southern provinces; and 
continuous flooding at the end of the year in Central Viet Nam. 2016 also incurred several damages 
in term s of forestry caused by droughts, where the heat led to widespread forest fires in many 
provinces across the country; as well as volatile raw material prices and consumption markets for 
some key seafood products.  
2.3.  Since 2017, the agriculture, forestry and f ishery sector has made good progress, especially in 
fishing and aquaculture. In this period, the agriculture, forestry and fishery sector restructured the 
industry, its products, and crops and livestock towards developing products of high economic value, 
high added value, suitable for each region and adapting to climate change; developing and 
replicating advanced and effective production models with priority given to models of high 
technology application, producing in accordance with Viet Gap, Global Gap st andards and equivalent 
standards; strengthening linkage networks between supply and consumption sources, horizontal, 
vertical and regional linkages, production scale, etc. The sector has notable highlights including a 
stable development, an improving and r ecognized quality of agricultural and aquatic products and 
expanding export markets.  
2.4.  With the active participation of foreign investors in Viet Nam's processing and manufacturing 
activities, the industry and construction sector in the period of 2013 -2019 h as made Viet Nam a link 
in the global value chain. In 2013, the growth rate of the industry and construction sector (so -called 
sector II) was only 5.08%, the lowest rate in over 20 years because most industries slowed down, 
notably the mining industry had a negative growth rate (-0.23%) and the processing and 
manufacturing industry had a low growth rate. However, in the period of 2015 -2019, sector II 
regained its leading role in economic growth with an average growth rate of 8.59%, higher than the 
average g rowth rate of 6.62% in the period of 2011 -2014. For the period of 2013 -2019, sector II's 
growth increased by 7.77%.  
2.5.  The service sector (so -called sector III) in the period of 2013 -2019 was not prominent but 
acted as the "pillar" for the economy in the year s that sector II experienced declined growth. This 
sector saw an increase of 6.85% during this period. 2013 was the most difficult year when most 
service industries slowed down. Notably, main services such as the wholesale and retail trade 
services only ac hieved a growth rate of 7.21%, the lowest in the period. In recent years, sector III 
has maintained a growth rate of over 8% - a non -sudden increase that played the supporting role 
and had been a positive driving force to maintain and promote economic grow th. 
2.6.  In 2020, despite being strongly affected by the COVID -19 pandemic from the beginning of the 
year, Viet Nam's economic growth rate still reached 2.91%.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 10 - 
 
2.1.2   Import and export of goods and services  
2.1.2.1   Import and export of goods  
2.7.  The total turnover of import and export of goods in the 2013 -2019 period reached 
USD 2.668  billion. This period saw outstanding growth with an average annual growth rate of 12.4%. 
Export turnover nearly doubled from USD 132 billion in 2013 to  USD 264 billion in 2019, with an 
average growt h rate of 12.7%; in which the average annual export growth rate of the foreign direct 
investment sector (FDI) increased by 14% and that of the domestic sector increased by 10.1%. 
Import turnover in 2019 reached USD 253.07 billion, up 1.9 times the figure i n 2013 (132 billion). 
The average import growth rate in this period was 12.1%; in which the average annual import 
growth rate of the FDI sector increased by 13.4% and that of the domestic sector increased by 
10.6%.  
2.8.  During the period of 2013 -2019, the trade  balance of goods remains surplus (except for a trade 
deficit of  USD 3.76 billion in 2015). In 2019, the trade surplus reached a record high of 
USD 10.8 billion, much higher than a surplus of USD 343 thousand in 2013; the average annual 
surplus during this  period was USD 2.78 billion. In particular, the FDI sector maintained a surplus 
higher than the average annual surplus at USD 23.9 billion, while the domestic sector is always in 
trade deficit but tends to increase with an average annual deficit of USD 21.1 billion.  
2.9.  In the context of declining global trade with the increasing trend of trade protectionism, the 
negative impact of the COVID -19 pandemic, and declining exports of many countries in the region, 
Viet Nam's export results in 2020 reflected su bstantial efforts of the business community and 
localities through implementing solutions to boost production and exports. Exports and import 
turnovers in 2020 are expected to be USD 281.5 billion and USD 262.4 billion respectively, up 6.5% 
and 3.6% respec tively compared to 2019, and leads to a trade surplus of USD 19.1 billion.  
2.1.2.2   Import and export services  
2.10.   Total import and export turnover of services in the 2013 -2019 period reached  USD 226 billion, 
of which exports and import turnovers were respectively USD 102.3 billion and USD 123.7 billion, 
and average annual growth rate were respectively 11% and 9.7%. Export of tourism service 
accounts for the largest proportion (about 60%) of Viet Nam's total service export turnover. Import 
of transport services accounte d for about 44% of the total import value, and tourism services came 
in 2nd place, accounting for 24.2%.  
2.2  Economic and Trade Policy  
2.2.1   Macroeconomic and economic restructuring policies  
2.2.1.1   Monetary and exchange rate policies  
2.11.   The State Bank of Viet Nam (SBV) conducts monetary policy, exchange rates according to the 
Law on the State Bank of Viet Nam, Law on Credit Institutions and relevant policies and regulations; 
ensuring transparency and fairness, creating a competitive busin ess environment, without 
discrimination against all economic sectors, complies with the principles and operating rules of the 
market. The SBV manages the exchange rate policy within the legal framework and the general 
monetary policy framework so as to ach ieve macroeconomic stability and inflation control, neither 
to create any unfair competitive advantage in international trade nor to support any specific 
economic sector. Specifically:  
- Managing monetary policy tools synchronously and flexibly to ensure liq uidity for the credit 
institutions system, stabilize the monetary and foreign exchange markets, contributing to 
macroeconomic stability and inflation control. Managing the interest rates to be in line with 
macro -economic developments, inflation rate, domes tic and foreign markets, contributing 
to control inflation, stabilize the macro economy and support economic growth ; 
- Managing the exchange rates in the monetary policy framework in accordance with laws, 
consistent with the macro -economic balances, market d evelopments, stabilizing the foreign WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 11 - 
 
exchange market; consolidating the State foreign exchange reserve when market conditions 
are favourable and being ready to sell foreign currency to intervene the market if necessary ; 
- Managing credits to be in line with macroeconomic developments to ensure the directions to 
improve credit quality, maintain loan standards, and strictly control credit in high risk 
sectors.  
2.12.   According to Viet Nam 's laws, Viet Nam's exchange rate regime is a managed floating one. 
Based on its legal regulations, since 2016, the State Bank has operated the exchange rate according 
to the central exchange rate mechanism: the central rate (USD/VND) is announced daily, fluctuating 
flexibly in two directions of increase/decrease in accordance with the  trend of supply - demand of 
the market and monetary policy goals. Based on the central exchange rate announced by the State 
Bank of Viet Nam, credit institutions determine the USD/VND exchange rate for transactions with 
customers within a range of plus or  minus 3% compared to the central exchange rate.  
2.2.1.2   Financial policies  
2.13.   In the period of 2013 –2019, as a result of implementing Strategy on tax system reform in 
the period of 2011 –2020 under the Prime Minister 's Decision No. 732/QD -TTg dated 17 May 2011 
and Re solution No. 25/2016/QH14 dated 9 November 2016 of the National Assembly on 5 -year 
National Financial Plan and Resolution No. 07 -NQ/TW dated 1st November 2016 of the Politburo on 
policies and solutions to restructure the state budget and manage public debt s for safe and 
sustainable national finance, there were a number of issued legislation documents related to tax 
policies. Some major reforms in such legal documents are supplementing new regulations on value -
added tax (VAT) to be suitable with new economic  activities, reducing general corporate income tax 
rate from 25% to 22% since 2014 and to 20% since 2016 while small and medium -sized enterprises 
are applied income tax rate of 20% from 1 July 2013 to encourage capital accumulation and 
establishment of new  enterprises and investment in production and business. Agricultural land use 
tax is exempted for farmers, special consumption tax rate on goods which are harmful to people 's 
health such as tobacco, alcohol and beer tax rate is raised while taxable prices for imported goods 
are amended to ensure fair competition between domestic products and imported products. At the 
same time, tax policies on tackling difficulties and ensuring social welfare were issued, such as VAT 
rate of 5% are applied for social housin g, corporate income tax rate are reduced and time limit for 
VAT, corporate income tax payment of small and medium -sized enterprises and labor – extensive 
enterprises is also extended. Moreover, VAT, corporate and personal income taxes are reduced for 
organ izations, individuals, homestay business household, room renting service for workers, 
employees and students; child care service and meal providing service for employees, etc.  
2.14.   In general, legal documents regulating the implementation of tax policies have b een issued 
promptly and in compliance with the Constitution and consistent with other legal documents as well 
as international commitments of Viet Nam. Tax policies have contributed to the implementation of 
the Communist Party and State's development direc tion, promoted production and business 
activities, encouraged investment in technology and economic restructuring. Moreover, tax policies 
also help to remove difficulties, support production and business activities, reduce administration 
procedures for tax  payers and tax authorities. Tax policies become more and more transparent, 
simple and synchronous with the legal system, therefore, they improve the efficiency of state 
management and transparency of economic activities and prevent fraud. In addition, acc ounting and 
using of invoices and documents, business management as well as non -cash payment transaction 
are promoted. Tax policies also contribute to the implementation of Viet Nam's commitments when 
joining ASEAN Free Trade Area (AFTA), ASEAN +3, the Wor ld Trade Organization (WTO) and ensure 
compliance with international practices. The promulgation of tax solutions in this period has become 
more and more practical which significantly contributes to the improvement of investment 
environment, suitable with the production and business situation of enterprises and with practices 
of countries in the region and around the world. Capital accumulation of enterprises for investment 
in production and business development is promoted, which is important for economic growth and 
ensures a source for state budget spending for national development and security. Tax policies in 
the period also fully cover new revenue sources which arised along with the development of market 
economy.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 12 - 
 
2.2.1.3   Economic restructuring  
2.15.   On 19 December 2013, the Prime Minister issued the Decision No. 339/QD -TTg approving the 
overall project on economic restructuring associated with transformation of the model of economic 
growth to implement the policy of economic restructuring and the revolution  of the Party 's growth 
model. Accordingly, quality, efficiency and competitiveness would be improved in the period of 
2013–2020 (Decision No. 339) under the general goal that by 2020, the model of economic growth 
in depth would be basically formed, ensurin g growth quality, improving efficiency and 
competitiveness of the economy. The Decision No. 339 sets out several specific objectives, as 
follows : 
- Complete the institution of the socialist -oriented market economy, create a reasonable, 
stable and long -term i ncentive system, especially tax incentives and other investment 
incentives, promote allocation  and utilization of main social resources based on  market 
mechanism into sectors and products with competitive advantages, boosting  labour 
productivity, productiv ity of other  factors and the economic competitiveness;  
- Form and develop a reasonable economic structure on the basis of improving and upgrading 
the development level of economic sectors, economic fields and economic regions; develop 
economic sectors and fi elds using high technologies to create high added value, thus 
replacing low technologies with low added value step by step and becoming key economic 
sectors;  
- Gradually strengthen internal economic strength, proactively integrate into the world and 
consolid ate the national position on the international arena, maintain political stability, 
ensure national security, social order and safety.  
2.16.   The Decision No. 339 also sets out four major orientations for the purpose of restructuring a 
number of key areas, including: Maintaining a favourable and stable macroeconomic environment; 
Effectively implementing the goal of economic restructuring; Promoting restructuring of production 
and service industries, adjusting market strategies, quickly enhancing domestic val ue, added value 
and competitiveness of products, enterprises and the economy; Continuing to restructure, build up 
and develop a rational economic zone structure.  
2.17.   After nearly 8 years of implementation, the results achieved in each major sector are as 
follows: 
- Complete the market economy institution, improve the efficiency of resources allocation . 
2.18.   In the period of 2013 -2020, the economic institution which promotes economic restructuring 
and growth model transformation has continuously finalized. Besides the Decision No. 339, the 
Government continued to issue the Resolution No. 27/NQ -CP dated on 21 February 2017 on the 
Government's action plan to implement the Resolution No. 05 -NQ/TW dated on  1 November 2016 
which was promulgated in the 4th Conference of the 1 2th Communist Party Central Committee on a 
number of major undertakings and policies to continue to renew the growth model, improve the 
quality of growth, labour productivity, the economic competitiveness. In addition, the Resolution 
No. 24/2016/QH14 dated  on 8 November 2016 on the Plan of economic reform for the period of 
2016-2020 was also approved by the National Assembly, deciding 16 major tasks with 120 specific 
tasks about improving the regime to be performed. Until now, most of the missions have been  
deployed with positive results.  
2.19.   Especially in the period of 2016 -2020, about 234 documents have been drafted and 
promulgated and the National Assembly has passed 26 laws therein related to economic 
restructuring with many important laws that contribute to  promoting economic restructuring such 
as: Law on Public Investment ; Law on State Budget ; Law on Investment and State Capital 
Investment in Enterprises ; Law on Provision of Assistance for Small and Medium -sized Enterprises 
(SMEs) ; Law on Technology Transfe r; Law on Investment ; Law on Enterprises ; Law on Credit 
Institutions ; Law on Planning ; Law on Public -Private Partnership Investment ; Law on Labour Code ; 
etc. Notably, the Government has promulgated and implemented all projects and plans for 
restructuring s ectors and fields, such as SOE restructuring plan, public investment restructuring, WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 13 - 
 
and credit institution restructuring associated with bad debt settlement and restructuring the 
industry, agriculture and service.  
- Stabilize and consolidate the macroeconom ics to promote economic restructuring and 
transformation of model of economic growth.  
2.20.   The macroeconomic has been more stably and solidly consolidated (inflation is controlled3; 
public debt ratio and pressure of annual debt payment reduces4; financial infrastructure is reinforced, 
trust in market is enhanced, the national credit rating rises), thus creating a foundation for economic 
restructuring and economic growth5; improving economic resilience and response to external 
shocks; at the same time, creating more room for better performance of social security tasks. The 
model of economic growth is comprehensively changed towards in a harmonious combination in both 
width and depth. The growth direction and quality are continuously improved. Socia l labour 
productivity goes up .6 Total factor productivity (TFP) contributes more to the economic growth .7 
Economic structure changes in the way that private sector grows faster and contributes higher to 
GDP, etc.  
- Intensely and effectively deploy focuses of economic restructuring including public 
investment, state -owned enterprises, and credit institutions . 
2.21.   The public investment is restructured in the direction of high discipline in public investment 
activities, gradually overcoming the situation of spread ing investment and capital construction debts. 
Hence, investment efficiency increases .8 Public investment capital focuses on investment in national 
important projects, essential infrastructure projects, large projects that connect, spread, promote 
economi c restructuring. Investment structure shifts in a positive direction, gradually reducing the 
appropriate proportion of state investment capital in total social investment capital .9 
2.22.   The SOEs restructuring is substantively reinforced. Equitization and dives tment have been 
accelerated compared to the previous period. Key sectors and fields are focused to replace a number 
of SOEs .10 The model of management and supervision of SOEs, state capital and assets in 
enterprise's investment has been completed step by s tep separating the function of state 
management and the representative of the owner of state capital. The total value of state equity 
 
3 Average CPI in the period of 2016 -2020 is estimated at less than 4%  which  decrease drastically 
compared to the period of 2011 -2015 (7.65%)  but still within the  set target (less than 4%).  
4 Public debt decreased from 63.7% in 2016 to 55% in 2019; Governmental debt decreased from 52.7% 
of GDP in 2016 to 45% of GDP in 2019; Nation al external debt decreased from 49% of GDP in 2017 to 47.1% 
of GDP in 2019.  
5 Economic growth has been gradually improved, achieving a fairly good growth in recent years. The 
growth rate of Gross Domestic Product (GDP) in 2016 reached 6.21%, and increased in 2017 and 2018 to 
6.81% and 7.08% respectively, in 2019 the firgure is 7.02%; the average rate of 4 years 2016 -2019 was 
6.73% (higher than the average growth rate of 5.91% per year in the period 2011 -2015), achieving the 
average growth target of 6.5% -7% of the 5 -year plan 2016 -2020. In 2020, despite the negative impact of the 
Covid -19 pandemic, Viet  Nam still has a growth rate of 2. 91% - one of the countries with positive growth.  
6 Labor productivity is obviously improved, it is forecasted to increase 1. 5 times by  2020 compared to 
2015, the average growth rate in the 2016 -2020 period is estimated at 5.8%/year, higher than the period of 
2011-2015 (4.3%) and exceeded the set target (5%).  
7 TFP's contribution increased highly, averagely in the period 20216 -2020, it was estimated that 45% 
exceeded the set target.  
8 The ICOR index is estimated at 6.1 for the 2016 -2020 period, compared with 6.3 for the 2011 -2015 
period.  
9 This proportion gradually decreases from 40.4% in 2013 to 37.5% in 2016, and 33.3% in 2018 but  it 
is expected to increase highly in 2020 to ensure the reasonable management of the State in the context of the 
economy  heavily affected by the pandemic.  The p roportion of non -state investment capital increased from 
38.9% in 2016 to 46% in 2019.  
10 In the period of 2016 to August 2020, there were 177 enterprises approved by competent authorities 
for equitization plans, with a total value of VND 443,503 billion (t he value of state capital was 
VND 207,116  billion); withdrew VND 25,669 billion, collected VND 172,917 billion (6.8 times higher than book 
value). The total proceeds from equitization and divestment from 2016 to August 2020 reached about  
VND 211,500 billio n, 2.7 times higher than the total revenue from equitization and divestment of the whole 
period 2011 -2015 (about VND 78,000 billion).  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 14 - 
 
has been preserved and developed, the percentage of profitable SOEs has increased, a number of 
weak SOEs have returned to operation .11 
2.23.   The targets of credit institutional restructuring have been basically completed, meeting the 
capital  adequacy  ratio in accordance with the provisions of Basel II standards in Viet Nam12. 
Cross -ownership, cross -investment are handled, manipulation and domination of the bank are 
controlled. Bad debt at credit institutions has been effectively and substantively sett led13; The 
average interest rate has decreased14, and credit flows have shifted more into manufacturing 
industries.  
- Promote the industri al and region al restructuring, adjust market strategies, increase  the 
domestic value, added value and competitiveness of  products, enterprises and the economy . 
2.24.   There is a positive shift on the industrial structure with the increase of processing and 
manufacturing proportion, together with technology -intensive industries in GDP .15 Several key 
industries have achieved breakthrough in growth rate: electronics has become a major industry, 
accounting for 26.8% of the total industrial production value and turn out to be the largest exp ort 
sector; the second largest with a proportion of about 13.2% is food industry; textile ranks third with 
a proportion of about 8.5%. Last but not least, the information technology (IT) attains a high growth 
rate.16 
2.25.   The agricultural production has shifted to focus on higher added value industries and more 
diversified export markets. Many production models with high technology appeared, enterprises' 
investment in agriculture is greater than before, including investment by large corporations, thus 
developing the value chain linkages. New rural construction ha s made progress, initially creating 
positive changes in the face of rural areas. Science and technology are applied more widely. The 
contribution of science and technology is over 30% of the added value of agricultural production.  
 
11 Comparing the SOE restructuring in the period 2016 -2019 with the SOE restructuring in the period 
2011-2015, the total va lue of assets increased 149%, assets for employees increased 189%, net revenue 
increased 110%, profit before tax increased 114%. The number of SOEs with profits increased from 80.2% to 
81.2%.  
12 Up to now, 77 banks and foreign bank branches have applied the Circular No. 41/2016/TT -NHNN, of 
which 18 credit institutions have been approved by the State Bank before the deadline; only a few credit 
institutions have requested to apply the capital adequacy ratio according to Circular No. 22/2019/TT -NHNN.  
13 From 2016 to 31 July 2020, all credit institutions has handled with VND 620.7 trillion . 
14 From 2017 up to now, the State Bank has adjusted to reduce the interest rates by 1.5 -2%/year , 
decreasing from 0.8 -1.25%/year to the ceiling interest rate for terms  of less than 6 months, reducing 2%/year 
ceiling interest rate for short -term loans for priority areas (currently at 5%/year). In particular, in some early 
months of 2020, to support the economy to cope with the Covid -19 pandemic, the State Bank adjusted i nterest 
rates for two consecutive times ( 17 March and 13 May 2020) with a scale of relatively strong decline in recent 
years. According to International Monetary Fund (IMF) data, Viet Nam's lending interest rate is only about 
1-2%/year higher than the most developed ASEAN countries (which has big differences in macroeconomic 
structure and financial market structure). In comparison with  other  countries which has a similar level of 
development such as Indonesia (9.41%), Myanmar (14.5%), Bangladesh (7.79%)  and India (9.05%), 
Viet Nam's interest rate is only about average.  
15 From 14.3% in 2016 to about 16.9% in 2020.  
16 The ratio of industry to GDP increased from 26.63% in 2011 to 28.41% in 2018; the growth rate of 
industry and construction increased from 7.6 % in 2011 to 8.85% in 2018. The processing and manufacturing 
industry has recovered its growth rate in the period 2012 -2018; the growth rate of the following year is higher 
than that of the previous year, corresponding to 9.05% in 2012 to 12.98% in 2018. T he proportion of 
processing and manufacturing industry in GDP increased from 13.35% in 2011 to 16 % in 2018. The industry 
has produced and supplied to meet the demand for many essential items for production of other economic 
sectors and people consumption.  The energy industry is increasingly developing, in general the national 
electricity system meets the electricity demand for socio -economic development. The consumer goods 
industry , foodstuffs and beverages develop at a rapid rate, satisfying domestic dema nd and contributing to 
export turnover. Industry has become the main export sector of the economy with high export scale and 
growth rate (above 80%). The export structure has shifted strongly in a positive direction with the gradual 
increase of high added value and large export value industries, and a gradual decrease in preliminary 
processing and mining industries. Investment in industrial development has continuously increased, especially 
from the non -state sector  and the foreign direct investment (FDI).  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 15 - 
 
2.26.   The growth rate of servic es sectors is generally higher than the general growth rate (except 
for 2020 due to the impact of the COVID -19 pandemic) .17 The services sector is reformed to improve 
the quality, focusing on investment in facilities and diversifying products. A number of services 
sectors are modernized to form high -quality products and services such as medical and insurance 
services. Others with potentials, advantages, scientific and technological value such as information 
technology, post, telecommunications, aviation, fi nance, banking, etc. are priorities to develop.  
2.27.   The legal system on planning has been completed, changing the way of thinking in the 
planning process of approaching and implementing. In result, the situation of divided and local 
management is handled, enco uraging linkages among sectors and localities and promoting the role 
of localities. Outstanding institutions for dynamic economic regions have been formed through the 
establishment of key economic regions .18 The model of urban government and smart city 
construction are piloted to assist the management more effective, by this means enhancing the role 
of major cities and economic drivers of the country in the economic restructuring arena .19 
2.28.   Despite the positive results, there are opportunities and challenges  in the new contexts of the 
COVID -19 pandemic. Therefore, in the coming time, Viet Nam needs to make more intensive efforts 
to complete the missions of the economic restructuring and the model of economic growth can be 
manifested in a rapid and s ustainable manner.  
2.2.1.4   Competitive and customer protective policies  
2.29.   The amended Law on Competition (The Law) was approved at the 14th National Assembly at 
its 5th session on 12 June 2018. The Law consists of 10 chapters and 118 articles which stipulate the 
acts of restricting competition, economic concentration causing impact or potentially causing 
substantial lessening of competition impact on the Vietnamese market; unfair competitive 
behaviour; competitive proceedings; handling violations of competition laws; state management of 
competition.  
2.30.   The Law takes effect from 1 July 2019 which is expected to create a tremendous driving force 
to promote the business environment, free competition, and equality among business owners in the 
economy.  
2.31.   Compar ed to the Competition Law of 2004, the Law 2018 was built on the basis of a n 
integration between economic and legal mind -set which emphasizes on enhancing the efficiency of 
enforcement. There are some important amendments as follows:  
- Expand the scope of ad justment and the subject of application  in order to create a legal 
corridor for the comprehensive handling of any anti -competitive acts committed by any 
subject, including foreign enterprises, no matter where the violation occurs as long as it has 
a negati ve impact or is likely to have a negative impact on competition in the Vietnamese 
market, contributing greatly to ensure healthy competition for the domestic market.  
2.32.   In addition, the expansion also helps to create a legal basis for Viet Nam's competition 
authorities to cooperate with competition authorities around the world in the process of handling 
 
17 The average growth rate for the whole period 2016 -2020 (to the first 6 months of 2020) is about 
6.18% (compared to the whole economy is 5.77%). In the first six months of 2020, the growth rate of the 
service sector is only 0.57% (the growth rate of the w hole economy is 1.81%).  
18 The Directive No.19/CT -TTg dated on 19 September 2019 on solutions to promote sustainable growth 
and development in the Southern Key Economic Region (KTTD); the Directive No.  23/CT -TTg dated on 
5 September 2019 on promoting the Go vernment's Resolution No.  120/NQ -CP on sustainable development of 
the Mekong Delta and adaptation to climate change; the Directive No.  25/CT -TTg dated on 11 October 2019 on 
solutions to promote sustainable growth and development in the northern key economi c region; the Directive 
No. 27/CT -TTg dated on 19 November 2019 on solutions to promote sustainable growth and development in 
the Central Region; the Decision No.  825/QD -TTg dated on 12 June 2020 on the establishment and 
promulgation of the operational reg ulation of the Coordination Council of the Mekong Delta in the period of 
2020-2025.  
19 Organizational structure of the urban government is piloted for Ha Noi, Da Nang, Ho Chi Minh City and 
Hai Phong. The Prime Minister issued the Decision 950/QD -TTg dated  on 1 August 2018 approving the Scheme 
for sustainable smart urban development in Viet Nam for the period of 2018 -2025. More than 25 provinces and 
centrally -run cities have approved smart urban construction projects, such as Ha Noi, Ho Chi Minh City, Da Nang , 
Binh Duong, Quang Ninh, Can Tho, Bac Ninh, Hai  Phong , etc. WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 16 - 
 
cases on competition restriction, creating conditions for the implementation of the competition 
commitments in FTAs in which Viet Nam is a member.  
- Amendment a nd supplement regulations on prohibited acts conducted by state agencies  in 
order to control and limit the abuse of power to perform acts that may obstruct competition, 
negatively affecting legitimate rights and interests of enterprises in the market ; 
- Comp lete regulations on anti -competitive agreement conducts  and supplement regulations 
on leniency policies in order to enhance enforcement efficiency, creating opportunities for 
enterprises participating in competitive restriction agreements to be declared to  
investigating bodies to enjoy sanctions exemption and reduction ; 
- Supplement the criteria for determining significant market power  as the basis for 
determining enterprises, groups of enterprises with dominant positions, exclusive positions 
to more thorough ly handle enterprises with significant market power that abuse this power 
affecting the legitimate rights and interests of other enterprises ; 
- Fundamentally change the approach on economic concentration to its complete regulations. 
Accordingly, economic con centration is considered the right of an enterprise in business 
activities associated with its free business right. The Competition Law 2018 does not prohibit 
economic concentration rigidly based on the combined market share of enterprises 
participating in  economic concentration as before but instead only prohibits enterprises from 
engaging in economic concentrations that cause impact or have the potential to cause a 
substantial lessening of competition impact in the relevant market ; 
- Complete regulations on  controlling unfair competition behaviour  to ensure the uniformity 
of the legal system in the direction of not continuing to regulate some unfair competition 
behaviours as stipulated in other laws, while adding new unfair competition behaviours ; 
- Re-organiz e competition agencies  to establish the National Competition Commission from 
the point of view of re -organizing previous competition bodies. The Model of the National 
Competition Commission is in line with the general trend of the world and helps to reduce  
the clue, streamline the system, ensure effective and effective operation in accordance with 
the economic context and the guidelines, guidelines and policies of the Communist Party and 
the State in the current period ; 
- Finalize regulations on order and pro cedures in competitive proceedings  to help the 
participation in competitive proceedings of enterprises be favourable and effective. In 
particular, the Competition Law 2018 no longer provides for the obligation to pay advance 
fees for handling competitive c ases to the complainants, shortening the time and competitive 
proceedings . 
2.2.1.5   Trade remedy mechanisms  
2.33.   The former trade remedies legislations of Viet Nam consisted of various legal documents 
promulgated from 2002 to 2006 in the form of ordinances of the Standing Committee of the National 
Assembly and decrees of the Government. To consolidate those legislations and to address new 
issues arising from international trade, the National Assembly promulgated the Law on Foreign Trade 
Management 2017, which took effect on  1 January 2018. One chapter of the Law on Foreign Trade 
Management specifically provides legal basis for trade remedies investigations and application of 
trade remedies measures. Hence, the Law of Foreign Trade Management replaced the former 
ordinances. To date, the trade remedies legislation of Viet Nam, including the Law on Foreign Trade 
Management 2017 and its implementing legal documents20, has been relatively completed.  
 
20  Decree No. 10/2018/ND -CP of the Government dated 15 January 2018 detailing a number of articles 
of the Law  on Foreign Trade Management regarding trade remedies;  Circular No. 37/2019/TT -BCT of the 
Ministry of Industry and Trade dated 29 November 2019 detailing some contents regarding trade remedies, 
replacing Circular  No. 06/2018/TT -BCT; Circular No . 19/2019/TT -BCT of the Ministry of Industry and Trade 
dated 30 September 2019 on the application of special safeguard measure under CPTPP.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 17 - 
 
2.34.   In comparison with the former legislations, the current trade remedies l egislations of Viet  Nam 
stipulate a number of new provisions, as follows:  
- Provisions on investigation and application of anti – circumvention measures: The provisions 
give the trade remedies investigating authority a legal framework to conduct anti -
circumv ention investigations and impose anti -circumvention measures ; 
- Provisions on exemption from trade remedy measures: the provisions set up principles and 
criteria to evaluate the exemption from trade remedy measures ; 
- Provisions on review of trade remedy measu res: The provisions give the trade remedies 
investigating authority more detailed guideline when it conducts a review of a trade remedy 
measure ; 
- Provisions on assistance to Vietnamese companies when they are investigated by a foreign 
trade remedies authori ty: The provisions specify certain assistance of the government 
agencies to the Vietnamese enterprises which are the subjects of trade remedies 
investigations conducted by a foreign investigating authority with the aim of ensuring that 
such investigations shall comply with the WTO regulations ; 
- Provisions on special safeguard measures: the provisions provide a legal framework for the 
investigation and application of bilateral/transitional safeguard measures under free trade 
agreements (FTAs) of which Viet Nam is a party . 
2.35.   Under the Law on Foreign Trade Management and its implementing legal documents, the legal 
framework on trade remedies is more complete and consistent with the WTO trade remedy 
regulations. As a result, it is clearer for both the invest igating authority and the business community 
to abide by the legislations and ensure that the investigations are conducted in a transparent and 
WTO-consistent manner.  
2.36.   During the 2013 -2019 period, Viet Nam initiated nine anti-dumping investigation s. As of 
31 December 2019, based on the final findings of the investigations, five definitive anti -dumping 
measures have been applied. The four remaining cases have been under investigation.  
2.37.   In the same period, Viet Nam initiated four safeguards investigations. As results of the 
findings, 4 safeguards measures have been applied.  
2.38.   Viet Nam has not yet investigated and applied any trade remedy measure by using provisions 
of free trade agreements.  
2.39.   In August 2017, the trade remedies authority was separated from a predecessor authority in 
charge of trade remedies and competition. This change has made the competent authority stay more 
focused on trade remedies investigations, ensuring the compliance o f the proceedings with the Law 
on Foreign Trade Management 2017 as well as the trade remedies provisions in the WTO 
agreements.  
2.2.2   WTO commitment implementation  
2.2.2.1    Trade in goods  
2.2.2.1.1   Tariff commitments  
2.40.   In compliance with general commitment in WTO, Viet Nam commits to set binding for all tariff 
lines (at the time of accession, there were 10,600 tariff lines, in compliance with HS 2002 ). The 
average tariff rate is committed to reduce from 17.4% (before WTO accession) to 13.4% in 
5-7 years.  
2.41.   The MFN preferential import tariff schedule is issued every year in Circulars of the Ministry of 
Finance (from 2013 to 31 August 2016) and Decree of the Government (from 1 September until 
now). Accordingly, Viet Nam implements tariff reduction in compliance with W TO commitments. 
Related legal documents each year are as follows:   WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 18 - 
 
Year Legal documents on MFN preferential import tariff schedule from 2013 -2019  
2013 Circular No. 193/2012/TT -BTC of 15 November 2012, promulgating the preferential import and 
export tariff  according to the list of taxable products, effective from 1  January 2013 . 
2014 Circular No. 164/2013/TT -BTC dated 15 November 2013 on promulgation of export tariff 
schedule and preferential import tariff schedule, effective from 1  January 2014.  
2015 Circular No. 182/2015/TT -BTC dated  16 November 2015, on promulgation of preferential import 
and export tariff according to the nomenclature of taxable products, effective from 1 January 
2016. 
2016 - 
2017 Decree No. 122/2016/ND -CP dated 1 September 2016, s chedules of import tariffs and 
preferential import tariffs, list of goods and its flat tax, compound tariff, and out - of - quota 
import tariff, effective from 1 September 2016 . 
2018 -
2019 Decree No. 125/2017/ND -CP dated  16 November 2017 on amendments 122/2016/ND -CP on 
export duty schedule, preferential import duty schedule and lists of commodities and their flat 
tax rates, compound tax rates and outside tariff quota rates, effective from 1  January 2018 . 
2.42.   Currently, Viet Nam  is applying measures to limit the imported amount in the form of tariff 
quotas (replacing the form of import permission) for raw tobacco, poultry eggs, raw and refined 
sugar and salt.  
2.43.   In the period of 2014 –2019, Viet Nam continues to issue a number of im portant legal 
documents to internalize international commitments on the management and distribution of tariff 
quotas within the WTO framework, including:  
 
- Law on Foreign Trade Management No. 05/2017/QH14 dated 12 June 2017 ; 
- Decree No. 69/2018/ND -CP dated 15 May 2018 detailing a number of articles of the Law on 
Foreign Trade Management ; 
- Circular No. 12/2018/TT -BCT dated  15 June 2018 detailing a number of articles of the Law 
on Foreign Trade Management and Decree No. 69/2018/ND -CP dated 15 May 2018 of the 
Government regulating detailing a number of articles of the Law on Foreign Trade 
Management . 
2.44.   Every year, the Ministry of Industry and Trade issue s Circular on tariff quotas for four items, 
including: raw tobacco, refined and raw sugar, salt and poultry eggs.  
2.45.   The allocation of import tariff quota is regulated in Circular No. 12/2018/TT -BCT dated 
15 June 2018 of the Minister o f Industry and Trade elaborating some Articles of the Law on Foreign 
Trade Management and Government's Decree No. 69/2018/ND -CP dated 15 May 2018 elaborating 
some Articles of the Law on Foreign Trade Management.  
2.46.   Entities to be allocated import tariff quota : 
- Import tariff quota for salt is allocated to traders who use salt to produce chemicals and use 
salt as materials for medicine and medical products production ; 
- Import tariff quota for poultry eggs is allocated to traders who have business registration 
certificates/enterprise registration certificates and wish to import poultry eggs ; 
- Import tariff quota for sugar is allocated to traders who directly use sugar as m aterials for 
production and traders who use raw sugar to make refined sugar ; 
- Import tariff quota for raw tobacco is allocated to traders who have production license for 
cigarettes issued by Ministry of Industry and Trade and wish to import raw tobacco to 
produce cigarettes . 
2.47.   For agricultural products, the average committed tariff rate is 25.2% at the date of WTO 
accession and 21% at the end of the committed schedule. The final average committed tariff rate 
will be reduced by 10% compared to the current MFN t ariff rate (at 23.5%). Reduction time is 
3-5 years. Viet Nam applies tariff quota for four items, including poultry eggs, sugar, tobacco leaves 
and salt (salt is not considered as an agricultural product according to WTO). For these four items, WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 19 - 
 
in-quota ta riff rates are equivalent to MFN tariff rates (poultry eggs  40%, raw sugar  25%, refined 
sugar  50-60%, tobacco leaves  30%, salt 30%), which are much lower than out -quota tariff rates.  
- Some products which are forecasted to be positively affected: Exported p roducts are 
expected to expand their markets (coffee, rice, pepper, cashew, rubber, wood products…);  
- Some products which are forecasted to receive few impacts: Corn, peanuts, mulberries, salt;  
- Some products which are forecasted to be negatively affected: Livestock and animal feed 
products, sugar cane, processed agricultural products, temperate fruits, citrus fruits . 
2.48.   For forestry products, after joining WTO, Viet Nam commits to reduce import tariff rates for 
69 items of 15 headings of forestry products. Of which, 47 items are in 12 headings of Chapter 44 
and 22 items are in 3 headings of Chapter 94. The final reduction time for forestry products was 
implemented in 2012. In detail, the lowest tariff rate for forestry products is 10% (for HS 4410, 
HS 4411, HS 4412) and the highest tariff rate is 50% ( wood marquetry and inlaid wood; coffin; 
caskets and cases for jewellery or cutlery, and similar articles, of wood; statuettes and other 
ornaments of wood; wooden articles of furniture not falling in HS 4420) com pared to the tariff rate 
before WTO accession . 
Other commitments on trade in goods  
 
2.2.2.1.2   Export subsidies for industrial goods  
2.49.   There is no legal document on export subsidies for industrial goods . 
2.2.2.1.3   State trading enterprises  
2.2.2.1.3.1   Regarding the definition of State -owned  enterprises (SOEs)  
2.50.   During the reporting period, the Government of Viet Nam had drafted a new Enterprise Law 
to replace the Law of Enterprise No. 68/2014/QH13. This Law has been passed by the National 
Assembly and it will come into force from  1 January 202 1. 
2.51.   In this new Law, SOEs are defined as enterprises where the State holds more than 50% of 
the charter capital, the total number of voting shares according to regulations. This provision is in 
accordance with commitments in several international treaties t o which Viet Nam is a party such as 
the Comprehensive and Progressive for Trans -Pacific Partnership (CPTPP), the Free Trade Agreement 
between Viet Nam and the European (EVFTA).  
2.2.2.1.3.2   Regarding the results of the equitization of state -owned enterprises  
2.52.   With the aim of equitizing all SOEs, the Prime Minister issued Decision No. 58/2016/QD -TTg 
dated 28 December 2016, which decided on criteria to classify 240 SOEs to prepare for the 
equitization of state -owned enterprises in the period of 2016 -2020.  
2.53.   In order to create a full legal basis for the equitization process of state -owned enterprises, 
during the reporting period, the Government issued Decree No. 126/2017/ND -CP dated 
16 November 2017, prescribing on the transformation of an SOE (under the old definition wi th 100% 
state capital contribution) into a joint stock company.  
2.54.   In order to reduce the overlap in state management and capital management in some SOEs 
and to ensure the independence of state management agencies with authority over the operation of 
SOEs wit h the aim of increasing the competitiveness of the market, the Government issued 
Resolution No. 09/NQ -CP dated 3 February 2018 on the establishment of the Commission for the 
Management of State Capital at Enterprises. This Commission is assigned by the Gov ernment to 
exercise the rights and responsibilities of the representative of SOEs of which 100% charter capital 
is held by the State and the state capital invested in joint -stock companies and companies limited 
liability of two or more members according to  the provisions of law.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 20 - 
 
2.55.   To promote the above equitization process, the Prime Minister issued Decision 
No. 26/2019/QD -TTg dated 15 August 2019, requiring a number of state -owned enterprises to 
complete the equitization process in 2020.  
2.56.   In the period of 2016  to March 2020, there are 174 equitization plans approved by competent 
authorities with a total enterprise value of VND 443,126 billion, of which the value of state capital is 
VND 206,748 billion.  
2.2.2.1.4   Import and Export licensing  
2.57.   Since becoming a member of WTO, Viet Nam has actively and seriously implemented all WTO 
accession commitments and general obligations, including commitments related to import and 
export licensing.  
2.58.   Viet Nam has strictly complied with all commitments since its WTO accession, which is not to 
apply new commitments or re -apply import and export quantity control measures not in compliance 
with WTO commitments.  
2.59.   On the basis of implementing notification obligation on import and export licensing and 
ensuring the im plementation of non -tariff measure commitments upon Viet Nam 's accession to WTO, 
after joining WTO, on 2  March 2005, the Prime Minister has issued Decision No. 41/2005/QD -TTg 
regulating import licensing. Recently, the National Assembly has approved Law on Foreign trade 
management No. 05/2017/QH14 dated 12 June 2017 which came into effect on 1  January 2018. 
The issuance of Law on Foreign trade management aims at standardizing state administration and 
management in foreign trade field.  
2.60.   Law on Foreign Trade Ma nagement has institutionalized and systematized foreign trade 
management measures, including measures on import licensing and import condition management. 
Such measures are applied by competent agencies to issue export and import licences or other 
legally equivalent forms to traders to do export and import activities. The purpose of such measures 
is for social order and safety, social ethics, public health, national customs and habits and 
environmental protection. Such measures do not aim at limiting the qu antity of export. In compliance 
with Viet Nam 's commitments in WTO and other international treaties to which Viet Nam is a party, 
Law on Foreign Trade Management also regulates management measures of licences which must 
ensure transparency, time and cost s aving for state agencies and businesses.  
2.61.   List of goods subject to import and export licensing and responsibility of managing goods 
subject to import and export licensing are regulated in Annex III, Decree No. 69/2018/ND -CP dated 
15th May 2018 of the Govern ment regulating some articles of Law on Foreign trade management. 
Responsible ministries and ministerial agencies include: Ministry of Industry and Trade; Ministry of 
Transportation; Ministry of Agriculture and Rural Development; Ministry of Environmental and 
Resources; Ministry of Information and Communication; Ministry of Culture, Sports and Tourism; 
Ministry of Health; The State Bank of Viet Nam, which have the authority to promulgate detailed 
regulations export and import licensing in compliance with th e law, as well as issue licences.  
2.62.   Law on Foreign Trade Management also stipulates management objectives for each period. 
Minister of Industry and Trade regulates the application of automatic export and import licences for 
some goods. This is a measure on i mport management in the form of licences, which will be granted 
to all eligible traders without aiming at limiting import quantity. Nonetheless, for the time being, 
Viet Nam does not apply any automatic import and export licensing.  
2.63.   For non -automatic expor t and import licensing, ministries and ministerial agencies promulgate 
and implement in accordance with Law on Foreign Trade Management and Decree No. 69/2018/ND -
CP, which is fundamentally suitable with practices, consistently with Constitution and legal s ystem, 
meets the requirements on international economic integration and commitments of Viet Nam in 
WTO. Moreover, such regulations also contribute to the improvement of administrative institutions 
and business environment.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 21 - 
 
2.2.2.1.5   Customs  
2.64.   As a Member of the WTO, V iet Nam has been adhering to and strictly implementing the 
commitments related to the customs sector of the WTO such as the commitments under the WTO 
Valuation Agreement (GATT); the Agreement on Rules of Origin; the WTO Trade Facilitation 
Agreement (TFA) a s follows:  
2.2.2.1.5.1   Commitments under the WTO Valuation Agreement (GATT)  
2.65.   Viet Nam complies with and fully implements the commitments under the WTO Valuation 
Agreement GATT, accordingly, the principle of determining the value of the import tax is the 
transaction val ue. To ensure the full implementation of the WTO's regulations in this area, Viet Nam 
issued and completed the relevant legal documents, including: Circular No. 39/2015/TT -BTC dated 
25 March 2015 of the Ministry of Finance on customs value of imported good s and exported goods 
and Circular No. 60/2019/TT -BTC dated 30 August 2019 of the Minister of Finance amending and 
supplementing a number of articles of the Circular No. 39/2015/TT -BTC dated 25 March 2015 of the 
Ministry of Finance on customs value of imported goods and exported goods. Accordingly, Viet Nam 
fully transformed the technical contents of the customs valuation of the WTO Valuation Agreement 
into the national legal document system, making an important contribution to speeding up customs 
clearance; improving effectiveness of supervision and control against price frau d, ensuring correct 
and full collection.  
2.2.2.1.5.2   Commitments under the WTO Agreement on Rules of Origin  
2.66.   The determination of non -preferential origin under the Most Favoured Nation, which is applied 
by Viet Nam in accordance with the provisions of the WTO Agreement  on Rules of Origin, with the 
promulgation and completion of appropriate legal documents, specifically, Circular No. 38/2018/TT -
BTC dated 20 April 2018 on determination of origin of imports and exports and Circular 
No. 62/2019/TT -BTC dated 5 September 2019  amending and supplementing a number of articles of 
Circular No. 38/2018/TT -BTC. 
2.2.2.1.5.3   Commitments under the WTO Trade Facilitation Agreement (TFA)  
2.67.   Viet Nam signed and ratified the WTO Trade Facilitation Agreement with commitments on 
reform of administrative pro cedures in the tax and customs sectors. According to the commitments 
of the Agreement, Viet Nam fulfilled its obligations to classify and announce commitments as well 
as the implementation roadmap, fulfilled its transparency notification obligations, and e stablished 
the National Commission on trade facilitation to coordinate the implementation of the Agreement. 
The implementation of the commitments under the TFA Agreement of Viet Nam is on the right track. 
Currently, by the support of USAID's Trade Facilita tion Project (TFP), Viet Nam has been reviewing 
the progress of implementation of B and C commitments, developing a plan to convert commitments 
to notify the WTO as well as ensure the full implementation of the commitments according to the 
schedule notifie d to the WTO.  
2.2.2.1.6   Price management  
2.68.   After the Law No. 11/2012/QH13 on prices was issued and came into effect from 
1 January  2013, the system of legal documents guiding the implementation of the Law on Price was 
promulgated by competent authorities. The legal documents system on price management was built 
and completed in the direction of clearly defining the rights and obligati ons of production and 
organizations, business individuals and consumers in the price field. The principle of price 
management is that the State respects the right of self -pricing and competition in price of domestic, 
foreign organizations and individuals o perating, producing and trading in Viet Nam (unless otherwise 
prescribed by international treaties) in accordance with the law. Enterprises are entitled to decide 
on the selling prices of produced goods and services in accordance with their own business 
characteristics and market price, the State does not interfere in the valuation of goods and services, 
except for goods and services on the list of which prices are determined by the State. The State 
uses necessary measures (mainly economic measures, regulat ing supply and demand, finance, 
money, etc.) in accordance with the law to stabilize the prices. It is effectively contributing to 
stabilize market prices, macro -economy; overcoming negative impacts of the market economy; 
protecting the legitimate rights a nd interests of business organizations, individuals, and consumers WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 22 - 
 
and stabilizing people's lives. The State implements the policy of eliminating cross -price subsidies 
such as: price subsidy, loss compensation, support from the state budget and implementin g one 
price policy, which is market price.  
2.69.   For some goods and services in the fields where the State is exclusively engaged in production 
and trade; national reserve goods; public products and services and public non -business services 
funded by the State B udget, the State interferes directly with prices to a certain extent through 
pricing such as determining specific prices or price bracket, maximum price or minimum price.  
2.70.   Implementing public price information, thoroughly implementing transparency in the 
management and administration of prices and trade in vital goods and services to the economic and 
social life.  
2.71.   The current price management policy of Viet Nam in accordance with the Law on Prices fully 
complies with the provisions of the WTO, is in line with  the Viet Nam's market principles and 
long-term development orientation of the market economy.  
2.2.2.1.7   Technical barriers to trade (TBT)  
2.72.   The process and procedures for the preparation, evaluation and publication and other  
regulations on the presentation and numbering procedures of national standards are completely 
consistent with the guidance of the International Standardization Organization (ISO), International 
Electrotechnical Commission (IEC) and comply with Annex 3 of the TBT Agreement wh ich contribute 
to the harmonization of the national standard (TCVN) with regional and international standards. 
Viet Nam has currently been participating in 81 International standards' Technical Committees out 
of which Viet Nam is official member of 19 Tech nical Committees of ISO and IEC and observer of 62 
Technical Committees of ISO. By 2020, Viet Nam has 139 national standards' technical committees 
and 54 subcommittees21. Currently, Viet Nam is maintaining about 12,888 TCVNs of which 60% is 
harmonized with  international, regional or foreign standards. Viet Nam is also a member of GS1. 
With the country code 893, Viet Nam has organized the management and implementation of barcode 
standards in accordance with international standards.  
2.73.   The development of techni cal regulations and conformity assessment procedures based on 
international and regional standards has also been specified in Article 6.b of the 2006 Law on 
Standards and Technical Regulations. Currently, the national technical regulation system (QCVN) of 
Viet Nam has more than 800 QCVNs focusing on products and goods at risk of causing unsafety, 
unsanitary and environmental pollution.  
2.74.   Viet Nam has stepped up the socialization of conformity assessment. Currently, Viet Nam has 
731 testing organizations, 179  certification organizations including product certification organization 
and management system certification body. 79 inspection organizations and 116 verification 
organizations of Viet Nam have been granted registration license according to the provision s of the 
related law. Facilitating conformity assessment procedures through the recognition of conformity 
assessment results is considered as one of the measures to build national brands and improve 
competitiveness.  
2.75.   In 2017, the Prime Minister of Viet Nam  issued the Decision No. 46/2017/QD -TTg on the 
organization and operation of the domestic notification and enquiry point network and the 
Inter-ministerial committee for TBTs. On 29 November 2018, the Ministry of Science and Technology 
issued the Circular N o. 16/2018/TT -BKHCN regulating the operation and coordination of the domestic 
notification and enquiry point network and the Inter -ministerial committee for TBTs to specify the 
coordination to fulfil the transparency obligations of the TBT Agreement. In pa rticular, the line 
ministries are required to ensure at least 60 days to allow comments on draft TBT measures.  
2.76.   The TBT transparency obligation of the TBT Agreement has been fully implemented by 
Viet Nam. By the end of September 2020, Viet Nam has sent 173 TBT notifications to the WTO 
Secretariat. The number of notifications during the second trade policy review period (from 2014 to 
 
21 Online information. Viewed at: http://tieuchuan.vsqi.gov.vn . WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 23 - 
 
the end of 2019) has increased nearly 4 times compared to the first pe riod of trade policy review 
(from 2007 to 2013).  
2.77.   By 2020, the Viet Nam Laboratory Accreditation Scheme (VILAS) has accredited about 
1,326 laboratories including 7 foreign laboratories. The Certification Body Accreditation Scheme 
(VCAS) accredits 72 certifi cation bodies and the Viet Nam Inspection Scheme (VIAS) accredits 
84 inspection bodies.  
2.2.2.1.8   Sanitary and Phytosanitary (SPS)  
2.78.   Viet Nam has committed to carry out their rights and obligations under Sanitary and 
Phytosanitary (SPS) Agreement upon its accession to  the WTO. As a developing country, Viet Nam 
requests technical assistances to implement the SPS/WTO Agreement. Viet Nam had made various 
progresses in the implementation of the SPS Agreement before its accession to the WTO. 
Accordingly, Viet Nam has establ ished the Viet Nam's SPS Office in 2005. After its accession, 
promulgated  the National Action Plan to accelerate the implementation of its commitments under 
the Agreement on Sanitary and Phytosanitary (the SPS Agreement), by Decision No. 147/2008/QD -
TTg, d ated 17 November 2008 of the Prime Minister.  
2.79.   Since 2013, Viet Nam uploaded hundreds of notifications to the WTO (including four laws, in 
which two laws in the field of plant protection ; two laws in the field of livestock and veterinary; 
18 decrees, in whic h nine decrees the field of plant protection ; three decrees in food safety ; six 
decrees in livestock and veterinary; 75 circulars, in which 21 circulars in plant protection ; 
16 circulars in food safety , 38 circulars in livestock and veterinary). The Viet Nam's SPS Office also 
compiled and updated on the website about 4 ,000 notifications of drafts which might affect the 
exportation of Vietnamese agricultural products.  
2.80.   Viet Nam has succeeded in convincing Members to exclude commitments on genetically 
modified organism (GMO) products from the WTO's Working Report on the Accession of Viet Nam. 
However, in its bilateral relations, Viet Nam agrees to consult with several Members when making 
regulations on GMO p roducts. Viet Nam also commits to apply regulations on expiry of food materials 
and food additives under general rules of the SPS/WTO Agreement.  
2.2.2.2   Trade in services  
2.2.2.2.1   Distribution services  
2.81.   In the period of 2013 -2019, the implementation of legal policies for di stribution services is 
divided into two phases: (i) for the period of 2013 -2017: continue to comply with the legal policy of 
the period of 2007 -2012 as reported in the previous period; (ii) for the period of 2018 -2019: comply 
with the provisions of Decree No. 09/2018/ND -CP dated 15 January 2018 detailing the Commercial 
Law and the Law on Foreign Trade Management regarding the purchase activities of  goods and 
activities directly related to the purchase and sale of goods by foreign investors and foreign -invested 
economic organizations (replacing Decree No. 23/2007/ND -CP).  
2.2.2.2.2   Banking services  and related financial services  
2.82.   In the financial services sector, Viet Nam commits and fulfils all obligations under WTO and 
FTAs, including but not limited to: National Treatment (NT), Most Favoured Nation (MFN), Market 
Access (MA). Most of the commitments have been internally legalized , some provisions (mainly 
related to the definition and interpretation of concepts in the WTO) have been directly applied. Thus, 
after joining WTO, the banking legal system has been adjusted, amended and supplemented to 
implement commitments fully in banki ng and financial services sectors.  
2.83.   At the same time, SBV has amended, supplemented and issued many legal documents in the 
banking sector in the direction of transparency of policies, compliance with market principles and 
international commitments, in order  to create an increasingly open and favourable environment for 
credit institutions (CIs) to operate in Viet Nam. SBV has actively coordinated and implemented the 
post-WTO accession cooperation activities such as participating in the development of legal 
documents, coordinating the implementation of notification and policies transparency obligations in 
the WTO, etc.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 24 - 
 
2.84.   Until now, credit institutions and foreign bank branches, irrespective of the types or forms of 
organizations which meet all conditions in accor dance with the Laws on Credit Institutions and other 
relevant laws are allowed by SBV to perform banking activities in Viet Nam; credit institutions and 
foreign bank branches, irrespective of the types or forms of organization, have autonomy in business 
operations, take responsibility for their business results and have the right to refuse credit granting 
or other services requests if they are found to be ineligible, ineffective, or inconsistent with the 
provisions of law. Other institutions and individual are not allowed to illegally interfere in the business 
activities of the credit institution or foreign bank branches.  
2.85.   In order to achieve the ultimate goal of building an equal environment for the operations of 
domestic and foreign banks in a fully integra ted banking sector under the WTO framework in Viet 
Nam, in recent years, the SBV has regularly conducted open communication with representatives of 
the foreign banking community in Viet Nam on both policy and technical issues in banking operations 
through the Banking Working Group under the Viet Nam Business Forum. The regular dialogue has 
helped banks to understand Viet Nam's policies and regulations in the banking sector, and in turn, 
help the SBV to timely address the concerns and proposals of banks to s olve problems in a timely 
and effective manner. Some issues were actively discussed at this forum such as: the issuance of 
guiding regulations in the monetary, credit, banking operations, etc.  
2.2.2.2.3   Insurance  and securities services  
2.2.2.2.3.1   Insurance services  
2.86.   During the period of 2013 -2019, Viet Nam issued one Law, 10 Decrees, one Decision of the 
Prime Minister and 22 Circulars to promote supervision, development and improvement of policies 
to meet Viet Nam's commitments in international agreements as well as c ompliance with WTO 
accession commitments. Some prominent provisions are as follows:  
- In 2016, the Government issued Decree No. 73/2016/ND -CP detailing the implementation 
of the Law on Insurance Business and the Law amending and supplementing a number of 
articles of the Law on Insurance Business. Accordingly, the Decree specifies conditions, 
procedures, records of establishment and operation, financial regimes, monitoring and 
operation management of foreign enterprises' branches of non -life insurance in Viet Nam; 
- In 2018, the Government issued Decree No. 151/2018/ND -CP amending and supplementing 
a number of decrees providing for investment and business conditions under the state 
management scope of the Ministry of Finance. Accordingly, the Decree has reduced 
16/54  business investment conditions and simplified 07/54 business investment conditions 
in the insurance sector ; 
- In 2019, at the 7th session of the 14th National Assembly on 14 June 2019 approved Law 
No. 42/2019/QH14 amending and supplementing a n umber of articles of the Law on 
insurance business and the Law on Intellectual Property effective from 1 November 2019. 
The content of the Law is built on the spirit of ensuring the consistency and synchronization 
with the contents of the commitments in th e CPTPP Agreement and the National Assembly's 
Resolution No. 72/2018/QH14, accordingly, amending and supplementing regulations on five 
types of insurance auxiliary services, including: insurance consulting, insurance risk 
assessment, insurance calculation,  insurance loss assessment, assistance in claim 
settlement ; 
- On 1 November 2019, the Prime Minister signed Decree No. 80/2019/ND -CP amending and 
supplementing a number of articles of Decree No. 73/2016/ND -CP, Decree No. 98/2013/ND -
CP and Decree No. 48/2018/ ND-CP. Accordingly, the Decree specifies the conditions for 
individuals to directly carry out insurance assistance activities in organizations providing 
insurance anxiliary services, providing insurance ancillary services across borders (including 
for obje cts, modes, conditions, responsibilities), detailed regulations on sanctioning of 
administrative violations in the field of insurance ancillary, specifying implementation 
guidance on professional liability insurance, standards in the field of insurance anx iliary 
services, management and supervision for insurance anxiliary services (reporting, revenue, 
cost of providing and using insurance services) ; WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 25 - 
 
- The insurance market continues to maintain a fairly positive growth rate, the overall goals 
of the Viet Nam I nsurance Market Development Strategy for the period of 2013 -2019 have 
been gradually implemented and ensured the outcomes. The insurance market enhances 
the safety, sustainability and efficiency of the market and the ability to meet the diverse 
insurance n eeds of organizations and individuals, contributing to economic stability and 
ensuring social security. The insurance market approaches international standards and 
practices on insurance business and gradually narrows the development gap with other 
countri es in the region.  
2.2.2.2.3.2   Securities services  
2.87.   Since 2013, Viet Nam's stock market has made rapid and steady progress, focusing on 
enhancing the market 's transparency, and facilitating processes and procedures for investors to 
participate into the market, seriously and fully implementing securities services commitments in the 
WTO. Many regulations have been issued regarding Viet Nam's securities services commitments in 
the WTO, in particular:  
Regarding foreign ownership ratio in securities trading organizat ions 
- In 2015, Decree No. 60/2015/ND -CP dated 26 June 2015 of the Government was issued to 
amend and supplement a number of articles of Decree No. 58/2012/ND -CP dated 
20 July 2012 (which provided for the detail guidance on the implementation of a number of 
articles of the Securities Law and the Law amending and supplementing a number of articles 
of the Securities Law), including increasing the foreign ownership ratio in securities trading 
organizations as follows: Foreign investors, which are organizations t hat satisfy the 
conditions specified in the Decree, may purchase to own up to 100% of securities trading 
organizations'  charter capital; to set up securities trading organizations with 100% foreign 
capital; if foreign investor is an organization that does not meet the prescribed conditions or 
is an individual, that foreign investor may own less than 51% of a securities trading 
organization's charter capital ; 
- In addition, Decree No. 86/2016/ND -CP dated 1 July 2016 of the Government regulating 
investment and business conditions on the stock market stipulates allowing foreign securities 
trading organizations providing fund management services to open branches of foreign fund 
management companies in Viet Nam.  Branches of foreign fund management companies are 
allowed to provide securities investment advisory services as decentralized, authorized by 
foreign fund management companies ; 
- The revised Securities Law was passed by the National Assembly on 26 November 2 019 and 
will come into effect from  1 January 2021. The revised law is asymptotic to practical 
requirements, absorbed and codified many international practices, increased market 
transparency as well as being compatible with international treaties and commit ments. Many 
amended provisions of the Securities Law such as: regulations on the participation of foreign 
investors in the Viet Nam's market, the establishment of branches of securities companies 
and foreign fund management companies in Viet Nam, public co mpany administration, the 
Securities Commission's authority in management, supervision and enforcement, etc . are 
amended and supplemented in accordance with international treaties and commitments ; 
2.2.2.2.4   Telecommunication services  
2.88.   After accession to the WTO in 20 07, Viet Nam has developed and issued the 
Telecommunications Law (2009) which has been creating a legal framework for regulating 
telecommunications market in according to international practices, in line with the Viet Nam's 
commitments in the WTO.  
2.89.   The esta blishment of the Telecommunications Authority - the specialized regulator for 
telecommunications of Viet Nam, and the transferring the Viet Nam Posts and Telecommunications 
Group (VNPT) and Mobifone Corporation to the State Capital Management Committee at 
State -owned enterprises as the owner's representative agency has fully met the commitment on 
independent regulatory in telecommunications sector.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 26 - 
 
2.90.   In the period from 2013 to 2019, Viet Nam focused on completing the legal framework with 
the objectives: (i) T o expand the participation of all economic businesses in the telecommunications 
sector, especially is in the area of building up network infrastructure; (ii) To strengthen the role of 
regulation in telecommunications sector; To ensure the telecommunication s market shall be 
operated on public, transparent and non -discriminatory basis; To promote administrative reform in 
regulatory activities; (iii) To ensure universalization of telecommunications services in rural, remote, 
border and island areas, and perfor mance of public duties assigned by the Government; and (iv) To 
ensure the sustainability in planning, construction and development of telecommunications 
networks.  
2.91.   From the end of 2019 to now, Viet Nam has issued many legal documents that are all in line 
with its commitments in the WTO, such as: on 31 December 2019, the Ministry of Information and 
Communications (MIC) issued the Circular No. 21/2019/TT -BTTTT on disclosure of 
telecommunications service revenue; on 14 February 2020, the MIC issued Circular No. 02/2020/TT -
BTTTT regulating the list, benefic iaries, scope, quality, and maximum rates of the public utility 
telecommunications services and supported levels for public utility telecommunications service until 
2020; on 5 March 2020, the MIC issued Circular No. 05/2020/TT -BTTTT regulating the 
intercon nection charges for voice calls between two mobile telecommunication network operators 
and between the local fixed telecommunication network operator and the mobile terrestrial 
telecommunication network operator;  on 13 April 2020, the MIC issued Circular N o. 07/2020/TT -
BTTTT regulating the verification procedures of telecommunications equipment and radio stations; 
on 13 April 2020, the MIC issued Circular No. 08/2020/TT -BTTTT on the list and procedures for of 
telecommunications equipment and radio stations that require verification procedures; on 
7 May 2020, the MIC issued Circular No. 10/2020/TT -BTTTT amending and supplementing the 
Circular No. 30/2011/TT -BTTTT dated on 31 October 2011 on conformity certification and 
announcement for Information and Communi cation Technology (ICT) products and goods.  
2.2.2.2.5   Transportation services  
2.92.   In the period 2014 -2019, Viet Nam has strictly and fully implemented its WTO commitments 
on transport services, specifically as follows . 
2.2.2.2.5.1   Maritime  transport  services  
2.93.   According to the Law on  Investment 2014, maritime  transport services  is a conditional 
business sector specified in Decree No. 160/2016/ND -CP dated 29 November 2016 of the 
Government on conditions for business of maritime, ship agency services and towing and pushing 
services.  
2.94.   The current laws of Viet Nam do not have any restrictions on the capital contribution ratio or 
the number of foreign enterprises and investors providing cargo and passenger transportation 
services on international sea routes, except for the regulations tha t organizations and enterprises 
with foreign capital participating in the transportation of passengers and goods by ships flying the 
Vietnamese national flag shall have the foreign capital proportion of not exceeding 49% of the 
charter capital of the enter prise. This regulation is fully consistent with Viet Nam's commitments at 
WTO. In addition, foreign -invested enterprises, when providing maritime services, shall have to meet 
the same organizational, financial, vessel and human resources requirements as do mestic firms.  
2.2.2.2.5.2   Air transport  services  
2.95.   Viet Nam commits to 3 service sub -sectors related to air transport services under the WTO 
framework, including : (i) sales and marketing services, (ii) computer reservation services, 
(iii) aircraft maintenance and repair services (CPC 8868**).  
2.96.   The Law on Viet Nam Civil Aviation in 2006, amended in 2014, coming into effect from 
1 July 2015, stipulates that "foreign air carriers shall be allowed to sell or issue passenger air tickets, 
air waybills dire ctly at their booking offices and sales agents on the basis of sales agent appointment 
contracts or through electronic transactions".  This law also does not have any restriction on the 
foreign capital contribution ratio for enterprises providing computer r eservation services and aircraft 
maintenance and repair services. Foreign enterprises and foreign -invested enterprises, when WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 27 - 
 
providing these services, shall only satisfy the same conditions as those required for domestic 
enterprises and airlines.  
2.97.   In fact, foreign airlines operating to and from Viet Nam have been facilitated in licensing 
procedures to open representative offices, ticketing offices as well as to provide booking services via 
internet in Viet Nam. Furthermore, to realize the goal of developing the aviation industry, Viet Nam 
has been encouraging qualified foreign investors and enterprises to provide aircraft maintenance 
and repair services in Viet Nam.  
2.2.2.2.5.3   Road transport  services  
2.98.   Regarding WTO commitments in road transport, Viet Nam commits to open the market for 
passenger transportation and freight transportation services, which allows foreign service suppliers  
to provide services through a business cooperation contract or joint venture in which the foreign 
capital contribution does not exceed 51% f or freight transport and 49% for passenger transport.  
2.99.   Decree No. 163/2017/ND -CP dated 30 December 2017 of the Government on logistics 
services, stipulating "g) In case of business of goods transportation services classified in road 
transport services, curr ently through the forms of business cooperation contract or establishment of 
an enterprise or capital contribution, purchase of shares, capital contribution in an enterprise, in 
which the capital contribution ratio of foreign investors does not exceed 51%.  100% of drivers must 
be Vietnamese citizens. ". Thus, the current legal provisions on the proportion of foreign capital in 
enterprises participating in the provision of road freight transport services have been updated in 
accordance with Viet  Nam's commitments in the WTO. For passenger transport servic es by road, it 
is currently applied directly under Viet Nam's WTO commitments.  
2.2.2.2.5.4   Railway transport  services  
2.100.   In railway sector, Viet Nam commits to allow foreign suppliers to provide freight 
transportation services through the establishment of joint ventures with Vietnamese partners in 
which the foreign capital contribution shall not exceed 49% of total legal capital.  
2.101.   Point e, Clause 3, Article 4 of Decree No. 163/2017/ND -CP on logistics services business 
stipulates: "e) In case of business of goods transporta tion services classified in internalinternal 
waterway transport services or cargo transport services classified in rail transport services, the 
foreign investor are allowed to establish an enterprise or contribute capital or purchase shares or 
stakes in an other enterprise, provided the holding of the foreign investor in such company does not 
exceed 49%".  Thus, Viet  Nam's legal provisions are fully consistent with Viet Nam's commitments 
in the WTO.  
2.2.2.2.5.5   Internal  water ways  transport  services  
2.102.   According to Viet Nam' s commitments in the WTO, foreign service suppliers are allowed to 
provide passenger transport services and freight services by internal  waterways through the 
establishment of joint ventures with Vietnamese partners in which the foreign capital contributio n 
shall not exceed 49% of the total legal capital.  
2.103.   Point e, Clause 3, Article 4 of Decree No. 163/2017/ND -CP providing for cases of business 
in cargo transport services classified in internal waterway transport services "the foreign investor 
are allowed to  establish an enterprise or contribute capital or purchase shares or stakes in another 
enterprise, provided the holding of the foreign investor in such company does not exceed 49%".  
Therefore, Viet Nam's WTO commitments in internal waterway freight transpo rt services have been 
specified in Decree No. 163/2017/ND -CP. For passenger transport services by internal  waterways, 
it is currently implemented directly under Viet Nam's WTO commitments.  
2.2.2.2.5.6   Services auxiliary to all modes of transport  
2.104.   Point đ, Clause 3, Art icle 4 of the Government's Decree No. 163/2017/ND -CP dated 
30 December 2017 on logistics services business stipulates "For other services including bill of lading 
inspection, cargo brokerage, cargo inspection, sampling and weighing services; goods receipt and 
acceptance services; and preparation of transport documents, the foreign investor may establish an WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 28 - 
 
enterprise or co ntribute capital or purchase shares or stakes in another enterprise, in which 
containing contributed capital of domestic investor ".  
2.105.   Thus, the Viet Nam's WTO commitments on freight agency services "After seven years from 
the date of accession: no limitatio n" and on other transport -related services "After three years from 
accession, the limit is 51%. Four years later, this capital restriction will be removed " have been 
internalized in the current legal documents of Viet Nam.  
2.2.2.3   Intellectual property rights and rights related to intellectual property  
2.106.   Over the past years, Viet Nam has continually pursued an intellectual property (IP) 
protection policy in line with the goal of economic, cultural and social development, which is using 
the IP protection mechanism as a tool to encourage creativity, innovation and preventing unfair 
competition, in order to bring innovative products, especially new technologies, into developing 
economy and serving social life. In particular, the Government has been focusing on balancing the 
interests of IP holders and of the public to protect the outcome of investment in creative activities 
of organizations and individuals on the one hand, and value the public interests on the other hand.  
2.107.   Viet Nam has made numerous efforts to build an IP legal system as well as strengthen law 
enforcement agencies to protect IP rights effectively and adequately. Up to now, Viet Nam's IP 
system not only meets WTO standards but also can be compared with advanced countries in the 
region. With the commitments t o improve the level of IP protection in FTAs such as CPTPP and 
EVFTA, Viet Nam continues to move towards higher standards of protection in the region and the 
world, in order to create a healthy business environment to attract sustainable foreign direct 
investments. Specifically, the mentioned efforts include:  
2.108.   Viet Nam has issued a number of legal normative documents to complete the IP legal 
system .22 Accordingly, a number of policies have changed create more favourable conditions for IP 
rights holders such as: 
- Regarding the IP protection policies, the IP Law was amended and supplemented to expand 
the exceptions to lack of novelty of inventions, subject of the disclosure, the manner and 
location of the disclosure, as well as to extend the period of exception from 6 months to 
12 months; and eliminate registration requirement of a licensing agreement to establish the 
validity of a contract with a third party ; 
- Regarding the enforcement of IP rights, the Criminal Code was amended and supplemented 
towards expanding the subject of criminal penalties (criminal penalties are not only applied 
to individuals but also legal entities), infringement acts where the object is counterfeit 
trademark goods or counterfeit geographical indication goods to gain illegal pro fits to a 
certain extent, etc.  
2.109.   In 2019, for the first time, Viet Nam issued a National IP Strategy. The guiding viewpoint of 
the IP Strategy is to develop a synchronous and effective IP system in creating, acquisiting, 
exploiting and protecting IP rights, building an environment that encourages innovation and meet 
the requirements of international integration, making IP an important tool to enhance national 
competitiveness, promote economic, cultural and social development. Accordingly, many tasks and 
solutions were set out in order to improve the organization of relevant authorities such as 
consolidating the system of competent authorities on IP to be more efficient and constructive; 
identifying and strengthening IP -specialized divisions at central and loca l authorities; strengthening 
the interdisciplinary coordination mechanism in the competent authorities on IP issues; publishing, 
transparentizing, simplifying and modernizing the IP administrative procedures; interconnecting and 
synchronizing the IP databa se systems among competent authorities.  
2.110.   In addition, many specific activities for encouraging the creation and registration of IP rights 
as well as facilitation of the enforcement of IP rights have been carried out regularly for many years, 
such as organiz ing invention contests, developing and implementing IP assets development 
programmes (for the period of 2011 -2015, 2016 -2020, 2021 -2030), implementing the Action 
 
22 See List of legal  normative documents on industrial property newly issued or supplemented and 
amended in the period of 2012 -2019.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 29 - 
 
Program to prevent IP infringements (for the period of 2012 -2015, 2019 -2023) and the Enabling 
the IP Environment (EIE) project, etc.  
2.111.   The acquisition of industrial property rights in recent years has also had many positive 
changes. The rate of registration applications increased about 10 -12%/year; there were 
75,742  applications received in 2019, increase of 16.7% compared to 2018. From 2012 to 2019, the 
IP Office of Viet Nam received 399,890 registration applications (45,329 patent and utility solution 
applications, 23,677 industrial design applications, 361,374 trademark applications, and 
58 geographical indication applications), granted 222,201 registration certificates 
(14,388  patent/utility solution certificates, 13,756 industrial design certificates, 191,255 trademark 
certificates, and 50 geographical indication certificates).  
2.112.   Activities  of IP dissemination and public awareness are always focused on, the level of the 
activities is being enhanced with the increasingly expanded content and participants. In the period 
of 2012 -2019, Viet Nam proactively organized more than 100 workshops, roun dtables and 
community activities on IP with more than 20,000 participants. In 2019, 26 workshops, roundtables 
and community activities were organized with 2,753 participants from public management agencies, 
businesses, research institutes, and universities . Many big events have positively impacted on the 
public, such as the series of activities to celebrate the World IP Day on 26 April each year, the IP 
Challenge 2017 game show for university students nationwide, and the 2018 Invention contest under 
the the me "Creating technologies for daily life".  
2.113.   A number of legal documents were newly issued or amended for the period of 2012 -2019 
such as:  
- Law No. 42/2019/QH14 on amending and supplementing a number of articles of the Law on 
Insurance Business and the Law on  IP; 
- Criminal Code No. 100/2015/QH13;  
- Law No. 12/2017/QH14 on amending and supplementing a number of articles of the Criminal 
Code 2017 ; 
- Decree No. 99/2013/ND -CP of 29 August 2013 on Sanctioning of Administrative Violations 
in Industrial Property;  
- Circular  No. 05/2013/TT -BKHCN amending the circular No. 01/2007/TT -BKHCN dated 
14 February 2007 of Ministry of Science and Technology guiding the implementation of the 
Government's Decree No. 103/2006/ND -CP, elaborating a number of articles of the Law on 
intellect ual property, amended in the Circular No. 13/2010/TT -BKHCN dated 30 July 2010 
and the Circular No. 18/2011/TT -BKHCN dated 22 July 2011 ; 
- Circular No. 11/2015/TT -BKHCN of Ministry of Science and Technology on detailing and 
guiding the Implementation of a Num ber of Articles of Decree No. 99/2013/ND -CP of  
29 August 2013, on Sanctioning of Administrative Violations in the field of Industrial 
Property ; 
- Circular No. 13/2015/TT -BTC of 30 January 2015, of the Ministry of Finance, defining 
Inspection, Supervision, Temporary Suspension of Customs Procedures for Exported and 
Imported Goods that are Subjects of Intellectual Property Rights; Control of Counterfeit 
Goods and Goods Infringing Inte llectual Property Rights ; 
- Circular No. 16/2016/TT -BKHCN of 30 June 2016, of Ministry of Science and Technology 
amending and supplementing a number of Articles of Circular No. 01/2007/TT -BKHCN of 
14 February 2007 ; 
- Circular No. 263/2016/TT -BTC of 14 November  2016 of Ministry of Finance on the Fees and 
Charges for Industrial Property and the Collection, Transfer, Management and Use Thereof ; 
- Circular No. 13/2020/TT -BTC of 6 March 2020 amending and supplementing a number of 
Articles of Circular No. 13/2015/TT -BTC of 30 January 2015, of the Ministry of Finance, WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 30 - 
 
defining Inspection, Supervision, Temporary Suspension of Customs Procedures for Exported 
and Imported Goods that are Subjects of Intellectual Property Rights; Control of Counterfeit 
Goods and Goods Infring ing Intellectual Property Rights ; 
- Decree No. 131/2013/ND -CP dated 16 October 2013 and Decree No. 28/2017/ND -CP dated 
20 March 2017 of the Government amending and supplementing a number of articles of 
Decree No. 131/2013/ND -CP dated 16 October 2013 providin g for administrative sanctions 
on copyright and related rights;  
- Decree No. 21/2015/ND -CP dated 14 February 2015 of the Government providing for 
royalties and remuneration for cinematographic, fine -art, photographic, theatrical and other 
artistic acting wor ks; 
- Decree No. 22/2018/ND -CP dated 23 February 2018 of the Government detailing a number 
of articles and measures to implement the 2005 Intellectual Property Law and the Law 
amending and supplementing a number of articles of the Law 2009 intellectual prope rty on 
copyright and related rights ; 
- Decision No. 88/QD -TTg dated 20 January 2017 of the Prime Minister approving the Project 
on Strengthening capacity to manage and effectively enforce the law on copyright and 
related rights protection in 2020, with orien tation to 2025;  
- Decision No. 1755/QD -TTg dated 8 September 2016 of the Prime Minister approving the 
Strategy for the development of Viet Nam's cultural industries to 2020, with a vision to 2030;  
- Decision No. 1068/QD -TTg dated 22 August 2019 approving the I ntellectual Property 
Strategy until 2030. Concurrently study and proposing amendments and supplements to the 
Intellectual Property Law in order to better meet the needs of domestic enforcement and 
international integration.  
2.2.3   Trade policies  since 2013  
2.2.3.1    Multilateral trading system  
2.114.   Since the WTO was officially established in 1995 (negotiation proposals were mainly made 
in the 1980s), then its rules and principles may no longer be appropriate, especially when the 
scientific and technology revol ution has profoundly changed not only the production methods but 
also the mode of supply and distribution of goods and services. In particular, the supply chain has 
undergone a fundamental change. Therefore, in order to respond to the new situation, the WT O's 
reform is an inevitable need with profound and comprehensive changes to ensure compatibility with 
the needs of the era. In recent years, WTO Members have accelerated the exchange process and 
proposed solutions to tackle the existing problems of the sys tem. The main topics of discussion by 
Members include: (i) transparency, which mainly focuses on notification obligations; (ii) dispute 
settlement mechanism (DS); (iii) practice of "self -identified" as a developing country and the issue 
of special and different treatment (SDT); and (iv) new issues such as fishery subsidies and e -
commerce.  
2.115.   In that process, Viet Nam, although a later acceding Member, has also shown its activeness 
in discussions on WTO reforms aimed at removing deadlocks and urging members to early solve the 
problems of the organization. In recent years, Viet Nam has repeatedly expressed its support for 
WTO reform based on certain principles such as: ensuring balance between rights and obligations, 
ensuring consistency with development level an d capacity of enforcement of the members. Viet Nam 
believes that the top priority is to improve the function and efficiency of the dispute settlement 
mechanism in general and of the Appellate Body in particular, while avoiding reduction or invalidation 
of the mechanism and negative impacts on all WTO Members. Accordingly, along with ASEAN 
countries and other members, Viet Nam has co -sponsored the proposal to resume the selection 
process of the Appellate Body to resolve the bottlenecks of this mechanism in t he WTO. In addition, 
Viet Nam has also actively participated in the multilateral negotiation on fishery subsidies and has 
studied discussions on e -commerce, domestic regulations, etc. Besides, Viet Nam also actively 
coordinate with other WTO Members in the  WTO Director General selection -process in 2020 to 
promote the operation effectiveness of the WTO.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 31 - 
 
2.2.3.2    Multilateral and bilateral agreements  
2.2.3.2.1   Overview on process of negotiation, signing and implementation of Viet Nam's  
free trade agreements  
2.116.   On the basis of the major undertakings and orientations set by the Communist Party and 
the Government on international economic integration, in recent years, Viet Nam has proactively 
and actively participated in multilateral economic institutions and  in the region, with i mportant 
milestones such as joining the Association of Southeast Asian Nations (ASEAN), being a founding 
member of the Asia -Europe Meeting (ASEM), becoming a member of the Asia -Pacific Economic 
Cooperation (APEC) and especially joining the World Trade Orga nization (WTO), marking 
comprehensive integration into the global economy .  
2.117.   Since then, Viet Nam has been participating in many FTAs, both at bilateral and multilateral 
levels. Bilaterally, we have signed and implemented FTAs with Japan, Chile and the Repu blic of  
Korea; Regarding plurilateral, regional or multilateral cooperation, Viet Nam has signed and 
implemented FTAs with the Eurasian Economic Union, the Comprehensive and Progressive 
Agreement for Trans -Pacific Partnership (CPTPP) and the free trade agr eement with the European 
Union (EVFTA); Previously, Viet Nam also signed the Trans -Pacific Partnership Agreement (TPP). 
Within the framework of ASEAN, Viet Nam has signed a series of FTAs with partner countries 
including China, Japan, Republic of  Korea, In dia, Australia, New Zealand and Hong Kong (China), 
and has signed the Regional Comprehensive Economic Partnership (RCEP – the agreement between 
ASEAN and five partner countries including China, Japan, Republic of  Korea, Australia and New 
Zealand). Recently , Viet Nam has signed the bilateral FTA with the UK on the basis of inheriting the 
EVFTA with some respective modifications. Currently, Viet Nam is negotiating two FTAs with the 
European Free Trade Area (EFTA - including Switzerland, Norway, Iceland and Liechtenstein ) and 
with Israel.  
2.118.   So far, Viet Nam has signed 15 bilateral and regional FTAs (of which 14 have been 
implemented) and now two other agreements are on negotiations.  Among these FTAs, there are two 
new generation FTAs.   
2.2.3.2.2   The effective Free Trade Ag reements  
2.2.3.2.2.1   ASEAN Trade in Goods Agreement (ATIGA)  
2.119.   The ASEAN Trade in Goods Agreement (ATIGA) was signed in February 2009 and came into 
force on 17 May 2010. The ATIGA enhanced and superseded the Agreement on Common Effective 
Preferential Tariff Scheme for the ASEAN Free Trade Area (CEPT/AFTA) which was signed in 1992.  
2.120.   Regarding tariff elimination commitments, Viet Nam has eliminated import duties for 98% 
of tariff lines on 1 January 2018. Besides, on 1 January 2020, Viet Nam officially removed the tariff 
rate quotas (TRQ) on sugar originated in ASEAN countries.  
2.121.   With regard to the rules of origin, the ASEAN -wide self -certification mechanism (AWSC) 
which is stipulated in the First Protocol to amend the ATIGA officially came into force on 
20 September 2020.  
2.122.   Regarding the non -tariff measures (NTMs), with the support of the ASEAN Regional 
Integration Support from the European Union (ARISE Plus), Viet Nam and ASEAN countries are 
developing the ASEAN Trade Repository (ATR) as stipulated in Article 13 of the ATIGA w ith the aim 
of improving transparency in ATIGA implementation. In addition, ASEAN countries have worked 
together to resolve outstanding NTMs -related cases by applying the Principle 4 of the NTMs 
Guidelines through the Coordinating Committee on the implemen tation of ATIGA (CCA).  
2.123.   In comparison with the initial time when participating the ASEAN Free Trade Area (AFTA) in 
1996, the total trade turnover between Viet Nam and ASEAN has increased by more than 9.5 times, 
from USD 5.9 billion in 1996 to more than USD 57 billion in 2019, in which, export turnover is 
USD 24.96 billio n and import turnover is USD 32.09 billion.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 32 - 
 
2.124.   Although Viet Nam always has a trade deficit with ASEAN, it can be seen that the ASEAN 
Trade in Goods Agreement (ATIGA) has brought about positive impacts on Viet Nam exports in a 
way of diversifying the export structure, particularly the gradual change from exporting raw 
materials to exporting high quality goods.  
2.125.   In addition, Viet Nam also has opportunities to attract more foreign direct investment (FDI) 
and increase investment to ASEAN countries. The ATIGA also creates opportunities for Viet Nam's 
enterprises  to improve their competitiveness; access to science -technology, absorb advanced 
management experience  and develop high -quality human resources . 
2.2.3.2.2.2   The ASEAN – China Free Trade Agreement (ACFTA)  
2.126.   The ACFTA Upgrading Protocol was signed in 2015 and entered into force on 1 July 2016. 
The further liberalization of trade in goods was one of unfinished elements under the ACFTA 
Upgrading Protocol , which  the Ministers agreed to continue the discussions to enter into the 
negotiations after the Protocol came into force.  
2.127.   Since 2016 , the matter has been discussed at SEOM -level of ASEAN and China, however it 
faced divergences among parties on the modality  to open trade in goods market. China stressed 
that further liberalization of Sensitive list under ACFTA is the core factor for further liberalization of 
trade in goods. However, ASEAN has not reached consensus on this matter. At the AEM -MOFCOM 
Consultatio ns in August 2020, the Ministers endorsed the next steps for the remaining elements in 
the Future Work Programme as following: (i) to prioritize the conclusion and signing of RCEP and 
discuss the further liberalisation of trade in goods after the signing o f RCEP; and (ii) to identify other 
areas which should be beneficial for both sides such as enhancing transparency, eliminating non -
tariff barriers and promoting trade facilitation.  
2.2.3.2.2.3   ASEAN – Republic of Korea Free Trade Agreement (AKFTA)  
2.128.   The Third Protocol t o amend the ASEAN – Republic of Korea Trade in Goods Agreement 
(AKTIGA) was signed in 2015. Up to now, only Viet Nam has not ratified the Protocol due to technical 
problems related to the tariff commitments on petroleum products.   
2.129.   At the 26th ASEAN Economic Ministers (AEM) Retreat held in March 2020 in Da Nang, ASEAN 
Economic Ministers proposed the "ASEAN -X" solution, in which 9 ASEAN countries and the Republic 
of Korea will move forward work on further liberalization of Sensitive Track produc ts under AKTIGA . 
Viet Nam will join later when the bilateral issue with the Republic of Korea is resolved. At the 17th 
AEM–Republic of Korea Consultation Meeting held on 29 August 2020, the Republic of Korea agreed 
with the ASEAN's proposal, both side s agreed to prioriti ze the the signing of the RCEP in 2020 and , 
therefore proposed to defer negotiations for further liberalization to 2021 . 
2.2.3.2.2.4   ASEAN -Japan Comprehensive Economic Partnership Agreement (AJCEP)  
2.130.   The ASEAN –Japan Comprehensive Economic Partnership Agreement (AJCEP) was signed and 
came into force in 2008 and was fully in force for all participants in October 2010. This Agreement 
focuses on the liberalization of trade in goods.  
2.131.   The First Protocol to amend the AJCEP was signed on 24 April 2 019 with the addition of 
regulations and commitments on trade in services and investment liberalization. The Protocol 
officially entered into force from 1  August 2020 for Japan, Myanmar, Lao  P.D.R , Singapore, Thailand, 
Viet Nam and from 1 October 2020 for Brunei  Darussalam . The remaining countries are still in the 
process of completing the domestic procedures for ratifying the Protocol.  
2.132.   Regarding the implementation the AJCEP TRS in HS 2017, up to now, Cambodia and 
Myanmar have not completed the internal pro cedures for implementing the AJCEP TRS in HS 2017.  
2.2.3.2.2.5   ASEAN -India Free Trade Agreement (AIFTA)  
2.133.   ASEAN and India signed the Framework Agreement on Comprehensive Economic 
Cooperation on 8 October 2003. On the basis of the this agreement , the two sides further signed 
the agreement s on trade in goods, trade in services, and investment to form the ASEAN -India Free WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 33 - 
 
Trade Area (AIFTA). The Protocol to amend the Framework Agreement on Comprehensive Economic 
Cooperation between ASEAN and India was signed on 13  August 2009. The Agreement on Dispute 
Settlement Mechanism under the Framework Agreement on Comprehensive Economic Cooperation 
was signed on 13  August 2009.  
2.134.   So far, nine ASEAN countries have ratified the ASEAN -India Investment Agreement (AIIA), 
(except Ca mbodia ). All ASEAN countries have ratified the Trade in Services Agreement (AITISA). 
The AITIGA Agreement was signed on 13 August 2009 in Thailand and came into force on  
1 January  2010 for countries that had ratified the agreement . 
2.135.   For Viet Nam, the Agreement c ame into force from 1 June 2010. In comparison with other 
ASEAN FTA  + 1 agreements , the AITIGA has the lowest commitment of tariff elimination, specifically, 
at 76.7% for ASEAN countries, and at 74.3% for India. In addition, the rule of origin  of the AITIGA 
is the strictest  among the ASEAN FTAs + 1 , specifically, it  applies simultaneously the regional value 
content of 35% criterion and the changing the tariff classification  at 6-digit level (RVC 35% + CTSH).  
2.136.   In the coming time, ASEA N and India w ill review the AITIGA Agreement to upgrade the 
agreement in a way of more effective, trade facilitative and in line with existing global trade 
practices.  
2.2.3.2.2.6   The Agreement establishing the ASEAN –Australia –New Zealand Free Trade 
Area  (AANZFTA)  
2.137.   The Agreement est ablishing the ASEAN –Australia –New Zealand Free Trade Area was signed 
on 27 February 2009 and came into force on 1 January 2010.  
2.138.   To date, Viet Nam and other Parties have implemented the AANZFTA Tariff Reduction 
Schedules (TRS) and the Product Specific Rule (PSR) Schedule in HS 2017. So far, Viet Nam has 
eliminated 86 .7% of the products' tariff rates and this number is expected to reach 90% by 2022.  
2.139.   With the aim of improving the implementation of AANZFTA Agreement, Viet Nam has actively 
participated in projects under the AANZFTA Economic Cooperation Support Program (AECSP) in a 
number of areas, namely: investment; rules of origin; customs procedures; service; sanitary and 
phytosanitary measures (SPS); standards, technical regulations and conformity assessment 
procedures (STRACAP).  
2.140.   With regard to trade in services, Viet Nam's obligations under AANZFTA Agreement are 
similar to the General Agreement on Trade in Services (GATS) of WTO with the positive list approach. 
Under AANZFTA, Viet Nam on ly has a higher level of market access commitment than that in the 
WTO for legal services and education services. Viet Nam's commitments under the Chapter on 
Movement of Natural Persons under this Agreement are also similar to Viet Nam's commitments on 
the movement of natural persons in the WTO.  
2.141.   Currently, Viet Nam are working closely with other AANZFTA Parties to develop the Work 
Plan for the AANZFTA Upgrade Negotiations in the areas of rules of origin, customs procedures and 
trade facilitation, services ( including financial services and telecommunication services), investment, 
e-commerce, competition, government procurement, trade and sustainable development.  
2.142.   In overall, the AANZFTA Agreement has positively contributed to increasing Viet Nam's 
export to Au stralia and New Zealand.  
2.2.3.2.2.7   ASEAN –Hong Kong, China FTA  (AHKFTA)  
2.143.   The AHKFTA has come into effect to eight participating countries including Viet  Nam. There 
are Brunei and Cambodia on the ASEAN side still in the process of domestic consultation to ratify 
the Ag reement. These countries are now accelerating their ratification process so as to bring the 
Agreement into force by the end of 2020.  
2.144.   In 2019, the total trade volume between ASEAN and Hong Kong, China reached 
USD 111 billion, equivalent to 3.9% of the total trade volume of the whole ASEAN bloc. Also in 2019, 
Hong Kong, China was ranked the 7th biggest trading partner of the ASEAN. Meanwhile, the total WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 34 - 
 
foreign direct investment (FDI) from Hong Kong, China into the ASEAN  reached about 
USD 11.3 billion, equivalent to 7.0% of the total FDI of the ASEAN of the same period.  
2.2.3.2.2.8   Viet Nam –Chile Free Trade Agreement (VCFTA)  
2.145.   In Viet Nam, businesses have effectively  utilized  the incentives of the Viet Nam - Chile FTA 
(VCFTA) and the C hilean market is currently leading in terms of FTA utilization rate, with the C/O 
usage rate of 67.7% in 2019. The VCFTA is a boost to Viet Nam -Chile trade relations, especially Viet 
Nam's exports to Chile with continuous trade surplus in the last 4 years after several years of trade 
deficit.  
2.146.   Since the VCFTA officially came into effect in January 2014, Viet Nam has strictly complied 
with the terms of the agreement and has been working to improve the business environment and 
domestic investment to create fav orable conditions for businesses and investors of both sides, as 
well as promoting the export of goods.  
2.147.   In 2017, 14,455 C/O forms were issued with a value of USD 684.7 million, an increase of 
18% in quantity and 33% in value compared to 2016. The value of C/O form VC accounted for 
68.5% of total exports to Chile.  
2.148.   In the first six months of 2020, Viet Nam issued 7,815 C/O VC (up 4% compared to 2019) 
with a value of USD 299.99 million (up 12% compared to 2019). The value of C/O form VC accounted 
for 10.88% of  total exports using C/O forms.  
2.2.3.2.2.9   Viet Nam –Japan Economic Partnership Agreement (VJEPA)  
2.149.   Since the Viet Nam -Japan Economic Partnership Agreement (VJEPA) came into force on 
1 October 2009, Viet Nam made the commitment to eliminate 75.2% of tariff lines within 10 years, 
in which 27.5% tariffs lines were eliminated at entry into force and 40.3% tariff lines were eliminated 
after 10 years (in 2019). By the end of 2016, 34% tariff lines (3,234 over 9,487 tariff lines) were 
eliminated. This rate is 37%, 38% a nd 43% respectively for the next 3 years.  
2.150.   In 2019, the total import and export turnover between Viet Nam and Japan reached 
USD 39.9 billion, up 5.5% compared to 2018. In particular, Viet Nam's exports to Japan in 2019 
reached USD 20.4 billion, up 8.4% comp ared to 2018, and Viet Nam's imports from Japan in 2019 
reached USD 19.5 billion, up 2.6% compared to 2018. Viet Nam 's trade surplus to Japan is around 
USD 722 million. In 2019, Viet Nam's trade turnover with Japan accounted for 7.7% of the former 's 
global  trade turnover.  
2.151.   Main export products from Viet Nam to Japan: textiles ( USD 4 billion, up 4.7%); vehicles 
and spare parts ( USD 2.6 billion, up 4.1%); machinery, equipment, other spare parts 
(USD 1.94 billion, up 5.6%); seafood ( USD 1.46 billion, up 5.8%); wood and wood products 
(USD 1.33 billion, up 15.6%); computers, electronic products, and components ( USD 1.03 billion, 
up 26.5%); footwear ( USD 973.5 million, up 14.2%).  
2.152.   Main import products from Japan to Viet Nam: machinery, equipment, tools, other spare 
parts ( USD 4.7 billion, up 5.8%); computers, electronic products, and components ( USD 4.5 billion, 
up 10.6%); iron and steel ( USD 1.36 billion, down 14.6%), plastic products ( USD 841.3 million, 
down 3%); fabrics ( USD 820 million, up 8.5%); auto parts ( USD 721.6 million, down 7.7%).  
2.2.3.2.2.10   Viet Nam –Republic of Korea Free Trade Agreement (VKFTA)  
2.153.   Since the Viet Nam –Republic of Korea Free Trade Agreement (VKFTA) came into effect on 
20 December  2015, Viet Nam and the Republic of Korea established the ministerial -level Joint 
Committee to implement the VKFTA and sub-committees to review, supervi se, and make 
recommendations to promote the implementation of the Agreement. As of 2019, both sides have 
conducted three  meeting sessions un der this mechanism. In these meetings, both sides discussed 
and found solutions to resolve problems and difficulties in implementing the Agreement, focusing on 
areas relating to trade, services, investment, finance, technical barriers to trade (TBT), sanitary and 
phytosanitary (SPS), customs and origin of goods, and trade remedies. Through this mechanism, WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 35 - 
 
both sides cooperate to deploy a number of projects to support the implementation of the Agreement 
for Viet Nam, while facilitating import and export betw een two countries.  
2.154.   The VKFTA has contributed to strengthening the bilateral trade between Viet Nam and the 
Republic of Korea. The bilateral trade increased 1.8 times from USD 36.5 billion in 2015 to 
USD 67 billion in 2019, in which exports and imports resp ectively reached USD 19.75 billion and 
USD 47.29  billion (increased 2.2 and 1.7 times respectively).  
2.155.   Export turnovers of goods that Viet Nam and the Republic of Korea made commitments to 
reduce tax have been increasing. In the 2015 -2019 period, Viet Nam's goods with positive export 
performances include seafood (turnover increased 1.5 times from USD 571 million to 
USD 781 million), textile (turnover increased 1.5 times from USD 2.1 billion to USD 3.3 billion), 
furniture and wood products (turnover increased 1.6 times from USD 498 million to USD 792 million), 
footwear and fibbers, textiles (turnover doubled from USD 302 million to USD 604 million), 
vegetables (turnover doubled from USD 67 million to  USD 131 million). The Republic of Korea's main 
exporting goods include computers, electronic components (turnover increased 2.5 times from 
USD 6.7 billion to USD 16.8 billion), wires and cables (turnover increased 1.5 times from 
USD 111 million to USD 171 million).  
2.156.   Regarding trade balance, Viet Nam remains trade deficit with the Republic of Korea, with 
absolute values increasing every year (in 2019, Viet Nam had a trade deficit of USD 27.5 billion, 
increasing approximately 1.5 times compared to USD 18.7 bi llion in 2015).  
2.157.   VKFTA also plays an important role in attracting FDI from the Republic Korea to Viet Nam. 
In recent years, the Republic of Korea's FDI has been increasing steadily. In the period of 2015 -2019, 
the Republic of Korea has consecutively been ranked among Viet Nam's top foreign investors. In 
2019, total FDI investment into Viet Nam reached USD 38.02 billion; in which the Republic of Korea 
ranked first with a total investment of USD 7.92 billion.  
2.158.   In 2020, the COVID -19 pandemic has been impacting both countries' manufacturing and 
consumption activities. In the first 10 months of 2020, Viet Nam's total export to the Republic of 
Korea is USD 16.1 billion, decreased 3.7% compared to 2019. Specifically, goods whose import 
turnovers are significant include phones and accessories ( USD 4.1 billion, down 9.1%), textiles 
(USD 2.5 billion, down 14.4%), computers, electronic products and components ( USD 2.3 billion, 
down 4.4%).  
2.159.   On the other hand, Viet Nam's total import fro m the Republic of Korea reached 
USD 37.5 billion, decreased 5.1% compared to 2019. Specifically, goods whose import turnovers 
are significant include electronic products and components ( USD 14.1 billion, down 3.5%), phones 
and accessories ( USD 5.5 billion,  increasing 14.7%), other machinery, equipment, tools and, spare 
parts ( USD 4.9 billion, down 4.1%).  
2.160.   The Republic of Korea's FDI into Viet Nam also decreased compared to 2019. As of 
20 October 2020, Korean enterprises' total registered FDI reached USD 3.4 billion, down 38% and 
ranked second after Singapore. However, the Republic of Korea is still the largest FDI investor in 
Viet Nam with 8934 projects with accumulated investment of USD 70.3 billion.  
2.161.   Korean FDI enterprises play an important part to Viet Nam' s economy, with investments 
focusing on the manufacturing and processing industry, shipbuilding, wholesales, retails, logistics, 
real estate, construction, etc. Most Korean companies in FORTUNE 500 have been invested in Viet 
Nam, such as Samsung, LG (manuf acturing), Kumo, Doosan, Huyndai, GS, Posco (heavy industry 
and shipbuilding), CJ, Lotte, Shinsegae (logistic and distribution), etc.  
2.2.3.2.2.11   Viet Nam Free Trade Agreement –Eurasian Economic Union (VN -EAEU FTA)  
2.162.   The Free Trade Agreement between the Socialist Republ ic of Viet Nam, of the one part, and 
the Eurasian Economic Union (EEC) and its Member States, of the other part (VN -EAEU FTA) was 
signed on 29 May 2015 and took effect on 5 October 2016. After four years of implementation, 
Viet Nam and EEC organized 3 sess ions of the Join Committee for the implementation of the VN -
EAEU FTA. The latest session (the third one) took place in Hanoi on 12 December 2019 and both 
sides are preparing for the fourth  session through video conference by late 2020 or early 2021.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 36 - 
 
2.163.   According to Viet Nam General Customs, trade turnover between Viet Nam and EAEU 
reached USD 5.55 billion in 2019, in which Viet Nam's export and import turnovers were respectively 
USD 4.2 billio n and USD 1.33 billion. In 2018, bilateral trade turnover reached USD 4.9 billion, 
increased by 26.2% compared to 2017, in which Viet Nam's export and import were respectively 
USD 2.7 billion and USD 2.2 billion. In 2017, bilateral import and export turnov er Viet Nam reached 
USD 3.9 billion, up 28.3% compared to 2016. In 2016 - the first year implementing VN -EAEU FTA, 
two-way trade Viet Nam reached USD 3.04 billion, up 23% compared to 2015. Therefore, after four 
years implementation of the Agreement, two -way trade turnover has nearly doubled.  
2.164.   According to Viet Nam's statistics on the use of the Certificate of Origin under the VN -EAEU 
FTA – form EAV (C/O EAV), in only 2019, over 700 million USD of goods exporting from Viet Nam 
to EAEU market used C/O EAV (abo ut 30%). Usage rate of C/O EAV has been increasing every year. 
Specifically, in 2017 the usage rate was 22% (worth 484.4 million USD), in 2018 the usage rate was 
28% (worth 686.4 million USD). Some export products with high usage rates of C/O EAV include 
rice, pepper, plastic and plastic products, and textiles.  
2.2.3.2.2.12   The Comprehensive and Progressive Agreement for Trans -Pacific 
Partnership (CPTPP)  
2.165.   The CPTPP Agreement comes into force with six original signatories (Mexico, Japan, Canada, 
Singapore, Australia, and New Zealand)  on 30 December 20 18. For Viet Nam, the Agreement 
officially came into effect on 14 January 2019. On 24 January 2019, the Prime Minister issued 
Decision No. 121/QD -TTg on approving the Implementation Plan of CPTPP Agreement.  
2.166.   In fact, one-year implementation of the CPTPP Agreement clearly shows this positive result. 
Trade exchange turnover between Viet Nam and CPTPP countries in 2019 reached USD 77,4 billion, 
up 3.9% compared to 2018. In which, Viet Nam's export turnover to CPTPP countries  reached 
USD 39,5 billion, up 7.2% compared to 2018. In which, our import and export turnover to 6 countries 
that have ratified the CPTPP Agreement in 2019 reached nearly USD 34.4 billion, up 8.2% compared 
to 2018. The share of the total import and export in 2019 also reached 14,1% compared to the 
figure of 12.9% in 2018. Notably, Viet  Nam had a trade surplus of USD 1.6 billion  to CPTPP countries. 
When a year earlier, Viet Nam had a trade deficit of USD 0.9 billion from these countries. In 
particular, for t he two markets for the first time Viet Nam has FTA relations, namely Canada and 
Mexico, Viet Nam has a trade surplus of more than USD 5 billion, accounting for more than 50% of 
the total value of Viet Nam's trade surplus to the world.  
2.167.   In the first nine months of 2020, export turnover to CPTPP countries reached USD 28,07 
billion, equivalent to 13 .8% of the country's export turnover. Import turnover from CPTPP countries 
reached USD 27,5 billion, equivalent to 14 .7% of the import turnover of the country.  
2.2.3.2.2.13   The Free Trade Agreement between Viet Nam and the European Union 
(EVFTA)  
2.168.   The Free Trade Agreement between Viet Nam and the European Union (EVFTA) was ratified 
by the National Assembly of Viet  Nam on 8 June 2020 and officially entered into force on  
1 August  2020. To implement the Agreement, the Government has issued the Decision 
No. 1201/QD -TTg on Action Plan for Implementation of the EVFTA.  
2.169.   Since the EVFTA Agreement took effect (from 1 August 2020) to 31 October 2020, authorized 
organizations have issued nearly 36,700 C/Os under the form of EUR .1 with a turnover of 
USD 1.43 billion to 28 EU countries. The products granted C/O form EUR.1 are footwear, seafood, 
plastic and plastic products, coffee, textiles, bags, suitcases, vegetables, handicrafts from ratt an, 
bamboo; agricultural products; electronics, etc. Import markets are EU's countries with ports and 
distribution and transit centers such as Belgium, Germany, the Netherlands, France and the 
United Kingdom . 
2.170.   Regarding imports, in the first 10 months of 20 20, imports from the EU (EU 28) market 
reached USD 11.8 billion with an increase of 4.2% over the same period in 2019. In the three  months 
since the Agreement came into effect, imports from the EU reached about USD 3.98 billion, increased 
by about 11.5% co mpared to three  months of the same period in 2019 . WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 37 - 
 
2.2.3.2.2.14   Viet Nam -UK Free Trade Agreement (UKVFTA)  
2.171.   To ensure trade continuity between the United Kingdom (UK) and Viet Nam after the end of 
the Brexit transition period, Viet Nam and the UK discussed a bilateral tr ade agreement on the basis 
of technical inheritance  of the EVFTA with necessary amendments. On 11 December 2020, Viet Nam 
and the UK signed a Memorandum of Agreement to conclude bilateral FTA negotiation on the basis 
of technical inheritance  of the EVFTA with a number of adjustments suitable with the bilateral 
context. On 29 December 2020, the two sides signed this Agreement in London, the United Kingdom 
(UK). After that, Viet Nam and the UK completed their respective domestic procedures for provisional 
application of this Agreement from 23:00 GMT 31 December 2020.  
2.2.3.2.3   The signed Free Trade Agreement which are not effective yet  
2.2.3.2.3.1   The Regional Comprehensive Economic Partnership  (RCEP)  
2.172.   The Regional Comprehensive Economic Partnership (RCEP) negotiation s were launched 
between ASEAN and the six partners (China, Republic of Korea, Japan, India, Australia and 
New Zealand), which already had FTAs with ASEAN, at the 21st ASEAN Summit in Cambodia in 2012. 
At the end of 2019, the RCEP negotiations were essentia lly concluded among 15 countries and India 
announced the withdrawal of the Agreement at the 3rd RCEP Summit in Bangkok. In 2020, 15 RCEP 
participating countries (except India) conducted legal scrubbing for agreed negotiation outcomes 
and spared no efforts to convince India to re -join the RCEP Agreement. However, India still kept its 
decision.  
2.173.   After eight years of negotiations with tireless efforts, the Regional Comprehensive Economic 
Partnership (RCEP) Agreement was formally signed on 15 November 2020 on th e side  lines of the 
37th ASEAN Summit and related meetings among 15 RCEP participating countries with the aim to 
establish a modern, comprehensive, high -quality, and mutually beneficial economic partnership. The 
RCEP includes 20 Chapters and attached Annex es, once entering into force, this Agreement will 
establish a huge market accounting for about 30% of the global GDP and 30% of the world 
population, become the largest regional trade area in the world. The RCEP Agreement would need 
signatory States, inclu ding at least six ASEAN and three non -ASEAN signatory States, to deposit 
their instruments of ratification, acceptance or approval for the RCEP Agreement to enter into force.  
2.2.3.2.4   Under negotiating Free Trade Agreements  
2.2.3.2.4.1   Viet Nam –EFTA Free Trade Agreement  
2.174.   Up to now, the two sides have undergone 16 formal negotiation sessions , and two 
negotiation sessions at the Head of the delegation and many discussions at the technical level. 
Currently, the two sides have identified outstanding issues in important areas of the Agreement such 
as trade in goods, government procurement, and intellectual property. Currently, the two sides are 
trying to deal with the remaining issues in order to conclude the negotiation soon on the basis of the 
balance of inter ests of both sides.  
2.2.3.2.4.2   Viet Nam –Israel Free Trade Agreement (VIFTA)  
2.175.   VIFTA negotiation has undergone 9 rounds with tradition negotiated issues, including: Trade 
in Goods, Rule of Origin, Custo ms Cooperation, Trade remedies, Technical barriers to trade (TBT), 
Sanitary and Phytosanitary measures (SPS), Trade in Services, Investment, Government 
procurement and Institutional and Dispute Settlement. Currently, the two sides are tackling existing 
issues in order to conclude negotiation on the basis of balancing inter ests of both sides.  
2.2.3.3    Recent trade -related policies  
2.2.3.3.1   Trade policies  
2.176.   By the end of 2019, most of the goals set out in the Strategy on Exporting and Importing 
goods during the 2011 -2020 period, with a vision to 2030, hereinafter called the Strategy, have all 
been achieved, namely:  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 38 - 
 
Export growth exceeded the target  
 
2.177.   Export growth in the period of 2015 -2019 averaged 13% per year, higher than the target of 
11% set out in the strategy. In 2020, in the context that the global economy is heavily affected by 
Covid -19, exports of countries in the region decreased compared to last year, Viet Nam's exports 
still achieved positive growth, and export turnover reached USD 281.5 billion, up 6.5% compared to 
2019.  
Imports were moderated, the average growth rate of imports is lower than that of exports  
 
2.178.   Import growth in the period of 2015 -2019 averaged 11.2% per year, which is lower than 
the average export growth (13%) and achieved the target set out in the Strategy.  
Trade balance was improved and trade surplus durin g this period was growing steadily and following 
year's surplus always topped the previous' one  
 
2.179.   The Strategy targeted trade deficit  to be gradually reducing and account for about 10% of 
export turnover by 2015, aiming to balance the trade balance by 2020.  In fact, from 2016, the trade 
balance maintains increasing surplus over the years, respectively at USD 1.77 billion (2016), 
USD 2.11 billion (2017), USD 6.83 billion (2018), and USD 10.87 billion (in 2019) respectively. 
Particularly, in the first nine months of 2020, trade surplus reached USD 16.52 billion.  
Export structure changed positively  
 
2.180.   The structure of exporting groups changed positively. Processed industrial goods in 2019 
accounted for 84.2% of total export turnover, up 78.6% compared to 2015; whi le fuel and minerals 
only accounted for 1.7% of total export turnover.  
2.181.   The number of products with an export turnover of USD 1 billion or more has increased over 
the years. In 2019, there are 31 products with an export turnover of over 1 billion. Mobile ph ones 
continued to have the largest export turnover in 2019 ( USD 51.4 billion) but contributed only 
USD 2.2 billion to an overall increase of  USD 20.6 billion in the total export value in 2019, compared 
to the previous year.  
2.182.   Due to the export growth of many  products, exports saw positive and stable growth and are 
no longer heavily dependent on the growth of mobile phone exports.  
The target of export value per capita was achieved  
 
2.183.   The export value per capita in 2019 is about  USD 2,740 per person, 2.5 times hi gher than 
in 2011. The target of export value per capita of over USD 2,000 in the strategy has been achieved 
from 2017.  
2.2.3.3.2   Customs modernization  
2.184.   After 10 years of implementing the Customs Development Strategy up to 2020 according to 
the Prime Minister's Decision No. 448 /QD -TTg dated  25 March 2011, up to now, the objectives set 
out in the Customs Sector Strategy have been basically completed.  
2.185.   In terms of institutions, the system of legal documents on customs and customs professional 
processes a re built on the principle of compliance with the general objective requirements of the 
national administrative reform; stick to the institutional goals that the Strategy has set out.  
2.186.   Regarding customs operations, customs administration has shifted from phy sical to digital; 
modern customs management techniques following the standards of World Customs Organization 
(WCO) have been gradually applied and developed in -depth such as implementing synchronous 
solutions to reduce clearance time, implementing the prio rity enterprises policy, improving the 
efficiency of specialized inspection, implementing the national and ASEAN single window, and 
promoting automatic customs supervision at seaports, airports, etc. Customs risk management has 
been completed and enhanced,  becoming the fundamental of modern customs management. 
Post-clearance inspection has been deployed professionally;  post-clearance inspection is WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 39 - 
 
implemented according to the international practice as Post Clearance Audit (PCA). The application 
of informati on technology in the fields of customs administration has been promoted. Until now, the 
customs sector has been invested in a modern and synchronous information technology 
infrastructure from the central to local levels. Online public services have been pr omoted. These 
achievements have been supporting the customs sector to improve the efficiency of its state 
management, which is considered by the Government and society as one of the leading State 
administrative agencies in reform and development.  
2.187.   Regarding  the customs strategy orientation to 2030, the overall goal is to build a modern, 
professional, effective and efficient Viet Nam Customs based on a comprehensive legal system and 
application technology of the 4th industrial revolution to facilitate legal t rade, ensure social security 
and safety, protect the interests of the nation. The main targets include:  
- Build a synchronous, transparent customs legal system according to international standards, 
ensuring a fully legal basis for the technology application of the 4th industrial revolution. The 
legislation of custom and tariff is cohesion and unity that meet the requirements of state 
management of customs in the direction of modernization.  
 
- Develop simple, harmonious customs procedures comply with internation al standards and 
practices. Applying modern customs management method synchronously at the stages 
before, during and after customs clearance. Coordinate in the management of specialized 
inspection activities, immigration activities at ports and border gate s when authorized by 
relevant agencies, following the provisions of legal documents. Improving the capacity and 
efficiency of specialized inspection in the direction that specialized inspection must be 
conducted at border gates or clearance locations.  
 
- Develop a customs apparatus in accordance with the requirements of the new tasks with a 
compact structure, reducing the intermediaries, meeting the requirements of efficient use of 
payroll and centralized management and application of information technology 
comprehensive management of civil servants to meet e -Government requirements. Develop 
elite human resources, have professional qualifications, expertise, master modern 
technology, technical equipment, operate with integrity, be organized and managed in a 
scientific manner, associate needs practicality of work positions with individual capacities. 
The management and development of customs human resources based on capacity based 
on job position ; 
 
- Apply widely the technology of the 4th industrial revolution, thereby completing the building 
of an e -customs agency in accordance with the e -government architecture, initially building 
a digital customs agency according to regulations Government direction number; modern 
infrastructure system,  machinery and equipment to meet the requirements of State 
management on customs in the new situation ; 
 
- Coordinate in the management of specialized inspection activities, immigration activities at 
ports and border gates when authorized by relevant agencies , in accordance with the 
provisions of legal documents. Improve the capacity and efficiency of specialized inspection 
in the direction that specialized inspection must be carried out at the border gates or goods 
clearance points. Implement the National Sin gle Window to fully connect relevant ministries, 
branches, agencies and units in goods import and export activities. Implement the ASEAN 
Single Window and a number of non -ASEAN trading partners to fully exchange the scope 
and quantity of electronic documen ts to facilitate cross -border trade.  
2.2.3.3.3   Telecommunication  
2.188.   In the period of 2013 -2019, on the basis of practical needs and development trends of 
telecommunications in the world, and based on Viet Nam's commitments in free trade agreements 
(FTAs) in general, an d in WTO in particular, Viet Nam continuously improves its legal frameworks, 
and enhances the effectiveness and efficiency in enforcement of laws and regulations, such as 
hereunder:  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 40 - 
 
- Continue to improve the investment and business environment towards more f avorable, 
transparent and non -discriminatory orientation ; 
 
- Re-organize, restructure, and renew management of state -owned enterprises in the 
telecommunications sector, in parallel with the restructuring of the telecommunications 
market ; 
 
- Deploy continuously the National Program on provisioning public utility teleco mmunications 
services until 2020 with objectives: (i) to invest in development of broadband 
telecommunications infrastructure nationwide, with priority areas in remote areas, 
disadvantaged areas, border areas and islands; (ii) to universalize public utilit y 
telecommunications services, to ensure equal and reasonable access rights for all people 
and households. And based on specific time, supporting priorities for usage of public utility 
telecommunications services and digital television receivers by poor an d near -poor 
households and some other social policy beneficiaries according to the Government's 
regulations; (iii) to ensure communication for searching and rescuing, and direction and 
administration of Government in prediction, prevention and mitigation o f natural disaster; 
to provide accessibility and connectivity with free access to the universal telecommunications 
services to all people; (iv) to ensure that all schools, hospitals, and commune -level People's 
Committees have the ability to use broadband I nternet access services; and (v) to ensure 
the implementation of the objectives in the National Project on digitization of terrestrial 
television transmission and broadcasting until 2020 ; 
 
- Promulgate regulations on planning passive telecommunication technical infrastructure 
(passive telecommunication network) in provinces; regulations on licensing procedures for 
construction of telecommunications infrastructure works to facilitate the constr uction and 
establishment of telecommunications networks ; 
 
- Deploy the Mobile Number Portability (officially from 16 November 2018) to enhance 
competition in the mobile communication market, and to protect the consumers as well.  
Testing 5G technology (2019)  
 
2.189.   Some strategic orientations for the development of the telecommunications sector in the 
upcoming years:  
- On 3 June 2020, the Prime Minister of Viet Nam signed the Decision No. 749/QD -TTg to 
approve the "National Digital Transformation Program to 2025, with  an orientation to 2030", 
in which setting up the objectives such as universalization of fiber -optic broadband Internet, 
universalization of 5G mobile network services and smart mobile phones, and developing 
the digital infrastructure for being ready to me et the booming connectivity demand and big 
data processing in near future ; 
- MIC has been researching, studying and building a 5 -year development P pan for ICT Sector 
in the period of 2021 –2025 and the National Telecommunications Development Strategy for 
the period of 2021 –2030, in which identify the goals and tasks related to telecommunications 
development in forthcoming time ; 
- Telecommunications regulatory activities will be aimed to create foundation for transmi tting 
telecommunications infrastructure to digi tal infrastructure.  
2.2.3.3.4   Finance  
2.190.   In the period of 2013 -2019 and in the upcoming periods, the State Bank will implement 
strategic directions fully and synchronously, including:  
- The legal framework related to currency and banking must be in line  with market princ iples 
and international practices ; 
- The credit institutions system, including all economic components, is treated equally in a 
competitive market in accordance with relevant laws and regulations, autonomic operation WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 41 - 
 
and self -responsibility; developing the system of credit institutions in the  direction of a 
diversified structure of ownership, size and type; facilitating foreign credit institutions in 
doing business and competing equally with Vietnamese credit institutions ; 
- The State (through the State Bank of Viet Nam) creates a stable and saf e banking and 
monetary business environment, encourage healthy competition, ensuring discipline, 
complying with the law and market rules.  
2.191.   The financial strategy up to 2020 was approved in Decision No. 450 /QD -TTg dated 
18 April 2012 of the Prime Minister. The overall objective of the Strategy is to build a healthy national 
finance, ensure financial security, stabilize the macro -economy, finance - currency, and facilitate 
economic growth with the model of economic growth and restructuring, well solving the p roblems of 
social security; mobilize, manage, distribute and use financial resources in an efficient and equitable 
manner; administrative reform is synchronous and comprehensive, ensuring the efficiency and 
effectiveness of financial management and supervi sion. At the same time, the Strategy has set out 
06 specific tasks and 8 groups of solutions to be implemented in the period of 2011 -2020. Sectoral 
strategies as tax, customs, state treasury, national reserve, debt management, securities, 
insurance, accoun ting and auditing have been developed and submitted to the Prime Minister 
approval. In particular, all groups of solutions and sector strategies contain orientation of reform in 
order to conform with international practices and commitments. The financial s trategy toward 2020 
also contains its own group of solutions No. 6 on proactively promoting cooperation activities and 
international financial integration.  
2.192.   In recent years, the implementation of the Financial Strategy and the strategies of the 
sectors, fie lds have achieved many positive results, contributing to the effective allocation and use 
of financial resources for socio -economic development, ensure macroeconomic stability and promote 
economic growth. At the same time, the implementation of the Financi al Strategy and the sectoral 
strategies also contributes to Viet Nam's international economic integration. In the period of 2013 -
2019, the reform of the tax system, customs and financial sectors increasingly conforms to 
international practices and aims to implement integrational commitments, contributing to opening 
up many wide markets for domestic enterprises, at the same time diversifying international partners, 
thereby contributing to improve economic security, reduce the impact of changes from the 
international environment on the domestic economy. In addition, financial cooperation in multilateral 
and bilateral frameworks is enhanced, positively contributing to foreign relations promotion, 
experiences sharing, policies coordination, contributing to stren gthening the position and supporting 
financial policies.  
2.193.   Until now, the implementation of the Financial Strategy to 2020 has been being completed. 
The review and assessment work is currently being implemented with a focus on six specific tasks 
and eight groups of solutions stated in the Financial Strategy to 2020 as well as the results of 
implementing a number of major guidelines, orientations of the Communist Party and State related 
to the State budget -finance sector recently. On that basis, Viet Nam can d efine the achieved results, 
difficulties and limitations compared with the targets set for the period of 2011 -2020 period; point 
out shortcomings, challenges, the causes of the shortcomings, weaknesses,  and lessons from 
experience. At the same time, the Fi nancial Strategy for the period of 2021 -2030 is also under 
formulation. The orientation of developing the Financial Strategy for the period of 2021 -2030 is 
concretizing the Communist Party and State's undertaking and guidelines on the 10 -year-period 
socio-economic development strategy for 2021 -2030, the 13th Communist Party Congress, 
guidelines and orientations related to the State budget -finance sector which is identified in the 
Party's documents and resolutions such as Resolution  No. 07-NQ/TW dated 18 November 2016 on 
the policies and solutions to restructure the State budget, public debt management to ensure a safe 
and sustainable national financial system, etc. and Resolution No. 39 -NQ /TW dated 15 January  2019 
of the Politburo on improving the efficienc y of management, exploitation, use and promotion of 
economic resources; along with the guidelines and orientations for international integration in the 
coming period.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 42 - 
 
2.2.3.3.5   Transportation  
2.2.3.3.5.1   The transportation development in the period of 2013–2019  
2.194.   In the period of 2013 -2019, along with the implementation of Viet Nam's WTO commitments, 
Viet Nam has made great efforts to improve the institutional system, state management policies as 
well as cre ate a favourable business environment to be transparent and to promote the formation 
of a socialized, highly competitive, fair and healthy transport market; encourage investment in 
developing domestic transport as well as international transport; establish  mechanisms to encourage 
domestic transport enterprises to invest abroad as well as facilitate foreign businesses to invest in 
the development of Viet Nam's transportation system. Transport volume in 2013 had reached 
1,011.1 million ton nes of cargo and 2,9 50.1 million passengers. Up to 2019, these numbers were 
1,684.12 million ton nes of cargo and 5,143.07 passengers, 67% and 74% respectively increasing 
compared to 2013. A logistic service has been growing impressively in both quality and scale, and 
higher t han GDP growth rates. According to the World Bank 's report, Viet Nam's Logistics Index 
(LIP) in 2018 ranked 39/160 countries, 25 ranks higher than 2016.  
2.195.   Air transport made breakthrough developments in scale and service quality with the average 
growth of 17 .8%/year in terms of passenger transport and 12.6%/year in terms of goods transport. 
Volume in Viet Nam's airports system in 2019 reached 116.2 million passengers and 1.55 million 
tonnes of cargo, increasing 12.4% in both passenger and cargo volume compare d to 2018. 
Compared to 2013, the number of domestic airlines is still 04 airlines, of which Viet Nam Airlines is 
the national airline of Viet Nam with the State's dominant share rate with 86.16%. Jetstar Pacific 
Airlines is owned by Viet Nam Airlines with a controlling share of 70%. Airlines including VietJet Air 
and Bamboo Airway are owned by private owners. There are currently 70 foreign airlines operating 
to Viet Nam, an increase of 17 airlines compared to 2013. The Vietnamese air fleet including 221 
aircrafts, an increase of 124 aircrafts compared to 2013, has been operating 60 domestic routes and 
more than 130 international routes which are more than 20 domestic routes and 50 international 
routes compared to 2013. Currently, there are 22 airports in ope ration with a total capacity of 
90 million passengers/year including 08 international airports. Among them, Van Don Airport (Quang 
Ninh province) was built with 100% private investment.  
2.196.   Maritime has met the needs of the economy, the quality of seaport serv ices has been 
improved markedly, and handling productivity has increased rapidly. The volume of goods circulating 
by sea accounts for over 50% of the total volume of goods circulating nationwide, meeting 100% of 
the domestic freight transport demand by sea  and about 90% of the import and export volume. 
Those are owing to the investment and construction of modern seaport system in accordance with 
the planning; concentrating on linkage with other modes of transport, especially with internal 
waterways in order  to reduce the overcapacity of road transport. The quality of logistic services has 
also been improved. The cargo throughput of Vietnamese seaport system in 2019 reached 
664 million ton nes (excluding the volume of goods in transit), an increase of 11% comp ared to 2018, 
of which exports reached about 160 million ton nes (11% increasing), about 205 million ton nes of 
imported goods (17% increasing), about 2 million ton nes of goods in transit. As of December 2019, 
Vietnamese fleet has 1,507 ships (in which cargo  ships are 1,047 units) with a total capacity of about 
7.55 million DWT, capable of operating routes connecting continents of the world. According to the 
statistics of the United Nations Development and Trade Forum (UNCTAD), the Vietnamese fleet ranks 
4th in the ASEAN region and 29th in the world. Vietnamese seaport system has been invested and 
developed with about 92.2 km of long berths and a total capacity of over 550 million ton nes/year. 
Many ports have been investing with advanced and modern technology to manage and operate at 
international level with the capacity to accommodate ships up to 195,000 DWT/18,000 TEU such as 
Cai Mep -Thi Vai port (Ba Ria -Vung Tau province), the international gateway port of Lach Huyen - 
Hai Phong. Currently, there are 8 logis tics centres and 21 ICDs (dry ports) in operation.  
2.197.   Road infrastructure has been making a lot of breakthroughs and taking a key role in regional 
and international transport connectivity. In the period of 2013 -2020, about 1,000 km of road and 
expressway was completed, bringing the total length of expressways in use to 1,163 km; total length 
of national highway network reached 24,598 km. The quality of road transport has been improved, 
significantly reducing travel time, especially for passenger transport, the  appearance of many 
modern, high -quality vehicles, the application of information technology is accelerated satisfying the 
people's travel needs, in line with the development trend of new and modern means of transport for 
both passenger and cargo transport  in the region and around the world, especially since the 
expressways were put in operation. Roads along the Trans Asia Network and ASEAN road network WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 43 - 
 
have been upgraded synchronously. Viet Nam has been working together with its partners in ASEAN 
and the M ekong sub -region to expand the implementation of agreements on cross -border transport 
of passenger and goods.  
2.198.   Regarding railway transport, important railway routes connecting the North -South axis, 
economic centres, corridors, seaports has been upgrading an d renovating such as Ha Noi -Ho Chi 
Minh City, Ha Noi -Hai Phong, Ha Noi -Lao Cai, etc. Rail transport has been gradually improved 
towards modernization, reasonable cost, fast, safe, environmental protection, saving social costs, 
undertaking long and medium b ulk cargo transportation, long distance and interprovincial passenger 
transportation. Viet Nam and China still maintain the railway lines connecting the two countries 
(from Lao Cai to Kunming and Nanning). Viet Nam has been actively calling for investment in 
railways connecting to Laos and Cambodia. Public passenger transport routes in big cities like Ha 
Noi and Ho Chi Minh City has been gradually built meeting the needs of socio -economic development.  
2.199.   Internal waterway transport has made remarkable developm ents with the volume of cargo 
transport in 2019 increasing approximately twice compared to 2011, an average annual increase of 
about 9%. The market share of internal waterway transport in 2019 reached nearly 20%, increasing 
4% compared to 2011. Some breakt hroughs have been created such as putting the coastal shipping 
lines into operation, significantly reducing the pressure for road transport in the North -South 
corridor; transporting containers between Northern and Southern seaports, etc. Internal waterway 
transport connecting between Viet Nam and Cambodia has grown strongly with over 50,000 ships 
entering and exit each year.  
2.2.3.3.5.2   Development orientation of transportation in the coming period  
2.200.   Promot ing the construction of traffic infrastructure, focus on developing large, modern and 
pervasive infrastructure such as the North -South expressway, a number of expressways connecting 
the economic center. In order to achieve the target by the end of 2025, there  will be about 3,858  km 
of expressways; to invest in the development of seaports and channels such as the international 
gateway ports of Hai Phong -Lach Huyen, Cai Mep -Thi Vai; to upgrad e and expand international 
airports (international airports) Tan Son Nh at, Noi Bai, Da Nang and invest in phase 1 of Long Thanh 
international airport; to renovate, upgrade and efficiently exploit the existing railway lines; to 
renovate and upgrade important waterway transport corridors to ensure synchronous service for the 
development of container transport, specialized goods, large volumes.  
2.201.   Mobilizing private  investment in infrastructure development, focus on perfecting the legal 
framework for investment in the form of public -private partnerships (PPP) to call for foreign 
investment in transport infrastructure. Further step up administrative reform, facilitate the attraction 
of foreign investment in transport infrastructure projects to ensure publicity and transparency.  
2.202.   Promoting growth in transport with expected average growt h rate in the period of 2021 -2025 
from 7.0% to 8.2% per year in passenger transportation and from 6.7% to 7.5% per year on freight 
transport (not taking into account the impact of abnormal factors). Restructuring the transport 
market share in the direction  of reducing the market share of road transport, increasing the market 
share of inland waterways and railways; focusing on developing multimodal transport and logistics 
services on the basis of applying science and technology, improving capacity, efficienc y, quality of 
transport services, reducing logistics costs to about 16% to 18% of GDP. Developing an inland port 
system according to the approved plan to support the seaport system and logistics services, 
especially in the South and the North.   
2.203.   Develop ing urban traffic towards a civilized, modern and environmentally friendly way with 
public transport as the foundation; building  step by step large -volume passenger transport routes 
in urban centers of grade I; continu ing to develop the urban railway network i n Ha Noi capital and 
Ho Chi Minh city to ensure increasing the public passenger transport rate to about 20% -25%.  
2.204.   Implement ing synchronous solutions to ensure traffic order and safety, especially roads, 
railways, in ternal  waterways, continue to achieve the  goal of reducing annual traffic accidents at 
least 5%.  WT/TPR/G/ 410/Rev.1  • Viet Nam  
 
- 44 - 
 
2.205.   Developing a sustainable transportation system, taking into account the response to climate 
change, preventing natural disasters; realizing the goals of sustainable development, enhancing 
natural reso urce management and environmental protection.  
2.206.   Fully comply ing with Viet  Nam's international commitments in the transportation field; 
strengthening transportation connections with countries in the region and around the world, 
contributing to promoting Viet  Nam's international economic integration; participate actively and 
responsibly in international transport cooperation frameworks   
3  PROSPECTS  
3.1.  Viet Nam will continue to improve to adopt and pursue to successfully implement the objectives 
and orientations set out in the draft Report on the implementation of the 10 -year socio -economic 
development strategy for the period of 2011 -2020 and develop a 10 -year socio -economic 
development strategy for the period of 2021 -2030. Accordingly, by 2030, Viet Nam strives to become 
a developing country with modern industry, high average income; modern, competitive, efficient 
and effective management institutions; dynamic, fast and sustainable development economy, 
independence and autonomy on the basis of science , technology and innovation associated with 
improving efficiency in foreign affairs and international integration activities; enhancing Viet Nam's 
position and prestige in the international arena; and strives to become a developed and high -income 
country b y 2045.  
3.2.  Viet Nam will continue to support WTO Members in WTO reforms to solve the WTO's current 
difficulties and impasses and maintain and ensure its role in the multilateral trade system.  
3.3.  Viet Nam will continue to participate in mechanisms, gathering forc es, groups of 
countries/negotiating groups in the WTO suitable with its development capabilities and qualifications, 
prioritizing ASEAN and ASEAN -led mechanisms (such as ASEAN+1 with partners), thereby enhancing 
Viet Nam's position, contributing to further  the global role of ASEAN.23 
3.4.  For FTAs' participation, Viet Nam has and will promote negotiating and signing FTAs with its 
trading partners, creating the foundation for deeper integration into the regional and global 
economies. In the coming time, Viet Nam will focus on promoting the implementation of FTAs such 
as CPTPP, EVFTA, RCEP, and improving the effectiveness of the implementation of previously 
implemented FTAs in order to make the most of the opportunities and minimize the challenges 
brought by these FTAs.  
__________  
 
23 Currently, some partners have expressed interest and desire to coordinate their views with ASEAN on 
a number of issues related to WTO reform; in which Australia is proposed to hold 02 technical meetings and 
one minister -level meeting on the side -lines of the 51st ASEAN Economic Ministers' Meeting in September 2019 
to discuss relevant contents and promote the participation of ASEAN countries in the WTO reform process.