A showroom specialised in selling used cars in Hà Nội. — Photo courtesy of vtcnews.vn

The Ministry of Industry and Trade (MoIT) is seeking public comments on the draft Circular to finalise the regulations for importing used cars under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) tariff quota system in Việt Nam.

The draft clearly states that regulations for used cars imported according to tariff quotas committed in the CPTPP Agreement are as follows:

According to the regulations, used cars are defined as vehicles that have been previously registered and circulated in the exporting CPTPP country before being imported into Việt Nam.

The used cars must adhere to the rules of origin defined in the CPTPP agreement.

A valid Certificate of Origin must be presented when importing the used cars.

These requirements apply to used cars imported under the tariff quotas outlined in Article 3 of the referenced Circular.

The used cars must meet the current legal regulations on technical specifications, safety standards and environmental protection for automobiles. The used cars must adhere to the regulations on automobile import border gates.

The type of used car imported must be consistent with the content of the Car Import Business License held by the importer, as per legal provisions.

Traders granted the tariff quota import rights for used cars under the CPTPP have the right to receive written notification of their assignment, after they have paid the required winning auction amount. This formal notification provides them the authorised import rights within the tariff quota framework.

Certain traders are assigned the right to import used cars under the specified tariff quotas. These traders receive written notification of their assignment to the tariff quotas. Traders have five working days from the date of notification to pay the auction winning amount.

Failure to pay the winning bid amount within the five-day window, or outright refusal of the assigned tariff quota, will result in the automatic expiration of the allocation. This expired allocation is then reported to the Minister of Industry and Trade for further action by the responsible agency.

The Auction Council is the governing body that sets the rules and oversees the auction-based allocation of the tariff quotas for importing used cars under the specified legal framework. The council is responsible for defining and executing the auction processes to distribute these import rights.

The allocation of the tariff quotas for importing used cars is governed by Decree No. 62/2017/ND-CP dated May 16, 2017 from the Government. These legal instruments (the Law on Asset Auctions and Decree No. 62/2017/ND-CP) provide detailed regulations and measures for implementing the auction-based allocation of these tariff quotas.

The allocation of import tariff quotas is carried out periodically, in the first quarter of every year. The allocation time can be extended, depending on specific cases.

Any extension must be approved by the Minister of Industry and Trade. The information on the quota allocation schedule and registration deadlines is announced through the mass media at least 14 days prior to the allocation session.

The names of traders assigned the quotas and the quota amounts, are announced through the mass media within 14 days after the quota assignments are made. — VNS