Vietnam to Cancel Tariffs on Power-Equipment Imports

According to Vietnam Economy on June 13, 2011, Vietnam Ministry of Finance is drawing up directives for value-added tax (VAT) and import tariffs on power projects-related equipment.

It is planning to exempt import tariffs on fixed assets, raw materials and other materials for main mechanical equipments used in power projects approved by the government and Prime Minister.

The VAT on above goods will be implemented per VAT laws and implementing regulations.

While declaring duty-free imported commodity list to the Customs, importers should submit the instructions and installation drawings of duty-free imported raw materials and other materials for such mechanical equipments.

This regulation is applicable to Customs Declaration forms dated from December 17, 2010 and later.