VN’s new regulations on import of used machines and equipment

VN’s new regulations on import of used machines and equipment

The Ministry of Science and Technology has promulgated Circular No. 20/2014/TT-BKHCN (hereinafter referred to as “Circular 20″) – effective from September 1, 2014 – in order to ensure the quality, safety, energy efficiency and environmental protection of used machines, and equipment and technology chains imported into Vietnam.

Accordingly, there are two matters PLF suggests that enterprises planning to import the abovementioned goods should give heed to:

Firstly, in regards of general import conditions:

(i) In order to be imported into Vietnam, used machines and equipment:

a) Must not be on the list of used machines, equipment and technology chains banned from import, enacted by competent authorities;

b) Must have usage time (which is calculated from the year they were produced to the year they were imported) not exceeding 5 years and remaining quality of 80% or more in comparison to their original quality.

(ii) Apart from the conditions stated at points a and b in section (i), used technology chains must also meet the following conditions to be permitted for importation:

c) The utilization of used technology chains is specified in the investment project dossier submitted to investment managing body or approved by competent authorities;

d) Used technology chains must satisfy the requirements under sectoral management enforced by Ministries and their regulatory bodies;

e) The quality of used technology chains must be assessed at exporting countries before being dismantled and/or packaged for importation.

Furthermore, Circular 20 also has other regulations on import conditions applied to special cases.

Note: In case where used machines, equipment and technology chains do not meet the condition on usage time but have been repaired, refurbished and satisfy the requirement on remaining quality in certain circumstances as well as the requirements on safety, energy efficiency and environmental protection, the Ministry of Science and Technology will chair and cooperate with related Ministries and their regulatory bodies in making consideration and settlement.

Secondly, in regards of import dossiers and procedures, enterprises conduct import procedures at the customs authority where goods are imported.

Apart from the required import dossier, enterprises must also file with the customs authority technical documents stating the year in which the imported machines, equipment and technology chains were produced and certificate of quality assessment issued by a qualified inspection organization.

As for the import dossier of technology chains, enterprises must also include a copy of Investment project’s demonstration – in which the used technology chains expected to be imported are clearly stated and a written import permit issued by the sectorial managing body is included – filed with the investment managing authorities or approved by competent authorities.

PLF – LAW FIRM

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