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HAPAG-LLOYD LAUNCHES NOTES OFFERING

German shipping major Hapag-Lloyd has launched a euro bond offering with a volume of EUR 300 million and a maturity of seven years.

As informed, the proceeds will be used for the early redemption of the company’s euro bond due in 2018 and the early partial redemption of the euro bond due in 2019.

Currently, the redemption is envisaged for October this year, according to Hapag-Lloyd.

On May 24, Hapag-Lloyd closed the merger with the UAE-based liner shipping company United Arab Shipping Company (UASC), expecting annual synergies of USD 435 million from 2019 onwards.

A significant portion of these savings should be realized in the course of 2018, while the full amount is expected to first be reached in 2019, the company earlier said.

UASC’s 58 vessels have been integrated into the fleet of Hapag-Lloyd, with Hapag-Lloyd assuming the fifth spot in terms of capacity with 230 vessels and a shared fleet capacity of approximately 1.6 million TEU.

Source: http://worldmaritimenews.com/

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REMOVING MANY PROBLEMS ON APPLICATION OF HS CODE FOR EXPORTS AND IMPORTS

VCN- During the implementation of Customs procedures, many enterprises have reflected difficulties related to regulations on the application of HS code for imports and exports. In order to create favorable conditions and support enterprises to understand the legal regulations related to Customs, the General Department of Vietnam Customs has specifically answered some problems of enterprises.

removing many problems on application of hs code for exports and imports
Customs officers of Lang Son province check imported steel. Photo: H. Nu.

Citicom Commercial Joint Stock Company stated that at present, wire rods with the code HS 7227.90.00 HS was subject to a self-defense tax of 15.4%, so the company moved to import non-alloy steel wire with code HS 7213.91.90, with an import duty of 3%. However, according to current information, some domestic manufacturers are requesting the Ministry of Industry and Trade to add this item to the list of tax-defensible goods such as alloys. Will the Ministry of Industry and Commerce put this commodity into the list of tax self-protection as alloy goods and when? Can the General Department of Customs report the results of the survey of H steel and if it changes, when will it be applied?

The company also said that enterprises were importing non-alloy steel wire with HS code 7213.91.90, with an import tax of 3%. However, there is another HS code 9839.10.00 with the same product description, other companies are importing the same factory with the company used for the same purpose, with 0% tax rate. Therefore, enterprises recommend detailed instructions to ensure that enterprises compete fairly.

Regarding the questions of enterprises, the General Department of Vietnam Customs has not received information on the list of commodities under the code 7213.91.90 which are put into the list of tax self-protection and the results of an investigation of H steel. Therefore, the General Department of Vietnam Customs has requested enterprises to contact the Ministry of Industry and Trade for specific information.

In accordance with the Note to Chapter 98 of the Preferential Import Tariff promulgated together with the Government’s Decree No. 122/2016 / ND-CP, “non-alloyed steel, bars, and rolls of unevenly rolled steel” – Heading of 98.39 must meet the technical requirements specified in one of the standards published by the Ministry of Science and Technology in accordance with ISO / IEC Guide 866: 1975 and TCVN 8996: 2011 (ISO 4954: 1993).

Therefore, there are criteria to distinguish non-alloy steel of heading 9839.10.00 and 7213.91.90, so it is recommended that enterprises should study Decree No. 122/2016 / ND-CP to implement regulations.

Yamaha Moto Vietnam Co., Ltd said after the results of the analysis of classification HS code of a company’s import details, if the results of classification analysis HS code is different from HS code that enterprises previously declared as tax NK of the increased detail, do enterprises have to declare additional HS code of the previous import shipments to pay additional tax? What is the deadline for additional declarations? Do enterprises have added the HS code of the previous import shipments for tax refund? What is the deadline for additional declarations?

In this regard, according to the General Department of Vietnam Customs, according to Clause 4, Article 29 of Customs Laws of 2014 and Clause 1, Article 20 of the Ministry of Finance’s Circular No. 38/2015 / TT-BTC stipulating additional cases, especially enterprises add HS code for the previous shipment, the actual status of the goods shall comply with the regulations in accordance with Points b, c and d, Clause 1, Article 20 of Circular 38. / 2015 / TT-BTC.

Minh Nhat Co., Ltd requested the Customs office to guide the implementation of regulations on LPG code for Propane and Butane.

According to the General Department of Vietnam Customs, the list of chemicals must be declared attached to Decree No. 26/2011 / ND-CP of the Government, Propan (HS 271112), Butane HS 271113) of the number 9 in Annex V above must declare the imported chemicals to the Ministry of Industry and Trade before Customs clearance. “Other” (HS 271119) which are not on the list of chemicals must be declared in accordance with the provisions of Annex V above.

Regarding the regulations guiding the supervision of LPG products for export to industrial parks and export processing zones, enterprises are requested to comply with the provisions of Circular No. 69/2016 / TT-BTC to carry out Customs procedures, Customs inspections and supervision of the amount of fuel supplied to enterprises in the separate customs areas in the territory of Vietnam.

Hoa Binh Refrigeration and Trading Co., Ltd – Alaske asked the Ministry of Finance to exchange mechanisms, learn international experience, especially experience of countries in the classification of HS codes for many items. Is there a new function to integrate into one? Does the Ministry of Finance have provisions to assist Customs declarants to implement uniformly in accordance with the coding guideline or return the code which is not correct for these difficult items to encode?

Regarding the recommendations of enterprises related to the tax assessment decision, according to the General Department of Vietnam Customs, pursuant to the Decision No. 49 / QD-CTN of 6th March 1998 of the President, Vietnam was a member of the International Convention on Harmonized System for the Description and Coding of Goods (HS Convention). The HS Convention was the Convention of the Customs Cooperation Council, now called the World Customs Organization (WCO), adopted on 14th June 1983 in Brussels, Belgium.

Since its participation, Vietnam (in general), the Ministry of Finance and the General Department of Vietnam Customs (in particular) have fully complied with the HS classification rules, have regularly exchanged and learnt from experience with member countries as well as WCO guidelines (through participation in training courses on coding in ASEAN to exchange experience with other countries in the region, towards the unification of understanding, classification of encoding for export goods (especially for new goods). In addition, the Ministry of Finance and the General Department of Vietnam Customs have regularly referred to documents such as: Detailed description of HS 2012, Supplementary Note to AHTN List, WCO Classification when sorting, encoding for goods, with the purpose of identifying HS codes for exports and imports, in order to create favourable conditions for enterprises.

Articles 7 and 39 of the Law on Tax Administration, Article 18 of the Customs Law of 2014 stipulate that the Customs declarants have the responsibility to declare and take responsibility for information on the Customs declaration. Clause 3, Article 25 of the Government’s Decree No. 08/2015 / ND-CP stipulates the responsibilities of Customs declarants: “The Customs declarants must declare fully, accurately; calculate the amount of tax and other revenues payable to the State budget and take responsibility under the Law for the declared contents”.

By Tuan Kiet/ Hoang Anh

Source: http://customsnews.vn/

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5.2 MILLION CUSTOMS DECLARATIONS ARE DONE PROCEDURE IN 6 MONTHS

VCN – According to statistics from the General Department of Customs, in the first 6 months of 2017, the total import and export declarations reached 5.2 million sheets, increase by 17.1%, in that export declarations reached 2.5 million sheets, increased by 16% and import declarations reached 2.7 million sheets, rose by 18.5% over the same period of 2016.

52 million customs declarations are done procedure in 6 months
Professional activities at Yen Phong Customs Branch – Bac Ninh Customs Department. Photo: T.Trang

Also in the first 6 months of 2017, total export turnover reached $US 198.25 billion, rose by 21.5% over the same period of 2016; in that total export value is estimated at $US 97.78 billion, increased by 18.9% and total import value is estimated at $US 100.47 billion, rose by 24.1%. The balance of trade in goods in 6 months of 2017 is expected to trade deficit by $US 2.7 billion.

Some provincial Customs departments have high export turnover, compared with the same period of 2016: Bac Ninh (rose by 26.5%); HCMC (rose by 19%); Hai Phong (increased by 14.7%); Binh Duong (increased by 21.5%); Dong Nai (rose by 13.6%), etc.

In the first 6 months of 2017, the whole country had 540,000 means of transport on leave and entry. It increased by over 4% compared to the same period in 2016, in that the number of vehicles leaves country reached 271,000 turns, an increase of 7.8% and entry country reached 269,000 turns with the increase over 1%.

By Hải Nam/Thanh Thuy

Source: http://customsnews.vn/

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AGREED MINUTES BETWEEN THE VIETNAM CUSTOMS AND THE KOREA CUSTOMS SERVICE

VCN- The minutes were signed in Seoul, Korea on June 28, 2017.

agreed minutes between the vietnam customs and the korea customs service
The minutes between the Vietnam Customs and the Korea Customs Service was signed in Seoul, Korea on June 28, 2017.

In the spirit of the Agreement between the Government of the Socialist Republic of Vietnam and the Government of the Republic of Korea concerning Cooperation and Mutal Assistance in Customs Matters, concluded in Hanoi, Vietnam on March 10, 1995;

Confirming the well-established cooperative relationship between the General Department of Vietnam Customs and the Korea Customs Service (hereinafter referred to as “the two Customs Authorities”);

Acknowledging the importance of Customs roles in safeguarding the nation and advancing the national economy through trade facilitation and security, and noting that cooperation and partnership of the two States is imperative;

The General Department of Vietnam Customs delegation headed by Director-General, Mr. Nguyen Van Can and the Korea Customs Service delegation headed by Commissioner CHUN, Hong-UK at the 17th High-level Customs Cooperation Meeting held in Seoul, Korea on June 28, 2017, have reached the following understanding:

1. The two Customs Authorities noted that their mutual efforts for trade facilitation would contribute to the economic development of the two States, and agreed to continue collaborating to address challenges posted to exporting companies of the both nations.

2. The two Customs Authorities agreed to adopt the e-CO exchange scheme and they will make an effort to launch the e-CO exchange scheme at the 18th High-level Customs Cooperation Meeting. Both parties recognized the importance of creating a favorable trade environment and encouraging the use of FTA, and agreed to materialize the woking-level discussions on means of cooperation in the establishment of the e-CO information exchange scheme.

3. Acknowledging the importance of Customs’ role in the enforcement against illicit and illegal trade, the two Customs Authorities agreed to discuss Customs investigation operation at the working level.

4. Being acutely aware of the significance of capacity building through personnel exchange program, the two Customs Authorities agreed to continue the on-going discussion on arranging the twinning program between Ba Ria-Vung Tau Customs and Gwangju Customs to make a substantial effort.

By Hoang Anh

Source: http://customsnews.vn/

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VIETNAM ECONOMY REBOUNDS STRONGLY WITH GDP AT 6.2%

VOV.VN – The Vietnam gross domestic product jumped to 6.2% for the three months leading up to July on the back of a resurgence in exports of Samsung Electronics, reports the Nikkei Asian Review.

vietnam economy rebounds strongly with gdp at 6.2% hinh 0

Most of the recovery is attributable to Samsung, which makes smartphones and ordinary mobile phones at factories located throughout northern and southern Vietnam, says Nikkei.

Following widespread recalls of the fire-prone Galaxy Note 7 phones by Samsung, the GDP of Vietnam fell to 5.1% for the first quarter of the year because of the company’s depressed exports.

Samsung accounts for roughly 20% of the exports for Vietnam, says Nikkei.

Samsung is not the only business based out of the Republic of Korea that is driving the growth of the Vietnamese economy, Nikkei notes, saying that LG Electronics, the Lotte Group and others are also expanding their footprint in the Southeast Asian country.

Nikkei adds that these companies from the ROK have been the largest source of foreign direct investment in Vietnam for the past three consecutive years, starting in 2014, which has some experts concerned the two economies are too closely tethered.

While forays by companies from the ROK have fueled GDP growth over the past several years, the manufacturing sector in Vietnam still faces many obstacles in getting its competitiveness up to the level of other ASEAN countries.

Chief among the complications is finding the finances to develop railroads, highways and other infrastructure, says Nikkei.

VOV

Source: http://english.vov.vn/

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RULES OF ORIGIN UNDERMINE THE EU-VIETNAM FREE TRADE PACT

VOV.VN – A free trade agreement between the EU and Vietnam is scheduled to come into force in 2018 resulting in businesses from both economies enjoying more favourable conditions for both imports and exports.

rules of origin undermine the eu-vietnam free trade pact hinh 0

Trade in goods

Pursuant to the agreement, the Vietnam government will fully dismantle nearly all tariffs on imports from EU businesses except for a few tariff lines that are subject to duty-free tariff rate quotas.

Upon entry into force of the trade pact, roughly 65% of the value of EU imports (49% of tariff lines) will enter Vietnam duty free with substantially all the remaining 35% liberalized after 10 years.

The EU in turn will liberalize from day one 71% of the value of Vietnamese imports (84% tariff lines); and 99% will enter duty-free after seven years.

The agreement will support expanded unimpeded market access for commercial goods for businesses from both economies in each other’s markets.

Furthermore, the agreement foresees compliance with principles and rules across a large array of fields such as: rules of origin, technical barriers to trade, sanitary and phyto-sanitary measures, and customs and trade facilitation.

In addition, it provides a framework for liberalizing E-commerce and the establishment of a modern investment protection mechanism including an original investment tribunal system.

Other cross-cutting issues brought by the agreement are: government procurement, trade remedies, competition policy, commitments on state-owned enterprises, protection of intellectual property rights and geographical indications, trade and sustainable development, and cooperation and capacity building.

The agreements potential effects can touch upon all sectors – and the agreement specifically mentions among others – automotive, agribusiness, chemicals, pharmaceuticals, wine and spirits, fisheries, machinery, and textiles.

Rules of Origin

The rules of origin of the agreement indicate how to treat goods from sources that are not a party to the agreement.

This is one of the more troublesome aspects for the Vietnam clothing, textiles and footwear segments because of the lack of a well-developed in country supply chain— which results in most raw materials and intermediary goods being sourced from foreign countries.

The preferential rules of origin define when a product can be considered as sufficiently transformed in Vietnam to grant it a tariff preference as agreed to in the free trade agreement.

Only products originating in Vietnam can benefit from the references granted under the agreement. The following conditions must be met for goods exported from Vietnam to benefit from preferential treatment at the EU border.

Goods must: Originate in Vietnam, be accompanied by a certificate of origin, and fulfil certain additional requirements.

The protocol provides for bilateral cumulation. This means, for example, that EU textile producers may supply Vietnamese garment producers with fabrics originating in the EU.

The agreement also provides for other types of cumulation in two well targeted situations: Vietnam may benefit from extended cumulation with the Republic of Korea in relation to fabrics used for producing garments after complying with certain administrative requirements.

Vietnam will also benefit from cumulation with ASEAN countries with which the EU has a free trade agreement in force for two fishery products: squid and octopus.

A review clause foresees the possibility of agreeing to extended cumulation for more products and/or more countries with which both parties have a free trade agreement in the future.

Most of the basic agricultural products exported from Vietnam must be wholly obtained in the Southeast Asian country or in the EU.

The product specific rules for other products mostly require a change of tariff classification from processing in Vietnam or alternatively a limitation in value of non-originating materials between 50% and 70%.

Some products benefit from rules expressed in specific manufacturing operations. The product specific rules for textiles and garments require double transformation (from fibre to fabric or from yarn to garment).

Printed fabrics benefit from the so called ‘printing rule’. Vehicles must comply with the value limit of 45% of non-originating materials and vehicle parts with the value limit of 50% of non-originating materials.

Although this all sounds complicated, in simpler terms it means that segments such as clothing, textiles and footwear that import raw materials and intermediary goods exceeding 50% of the value of the export to the EU most likely will receive no benefit of reduced tariffs from the agreement.

That is, unless these inputs are sourced from either EU member countries or the Republic of Korea. 

VOV

Source: http://english.vov.vn/economy/

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REGISTER ONLINE BUSINESS TAX: SHOULD BE VOLUNTARY TO AVOID PENALTY

VCN – Recently, General Taxation Department has directed provincial Taxation Departments to request individual and online business have to register and pay tax. HCMC Taxation Department has officially implemented while Hanoi Taxation Department starts to implement. However, the results were not as expected. Mrs. Nguyen Thi Cuc, Chairman of Vietnam Tax Consultant Association, has discussed with the press about this issue.

register online business tax should be voluntary to avoid penalty
Mrs. Nguyen Thi Cuc

Dear Madam, the Tax sector is promoting to collect individual and online business via the internet. How do you appraise about this activity?

In my opinion, the management and tax collection for online business through social networks is an objective inevitably. So, obviously, online businesses have to pay tax as normal business

The General Department of Taxation has issued a document to instruct the local taxation departments to require individuals and online businesses to register and pay taxes. Among them, besides the enterprise, individuals only run online sales; there are also businesses and individuals that are doing normal business and doing business online. For the second type, they must declare, combine both business revenue on the internet and the traditional business.

In cases that the total turnover of both business lines is less than 100 million vnd, they are entitled to tax exemption. In all other cases that are over 100 million vnd of turnover, the tax must be declared. If they are not implemented, tax authorities will take coordinated measures to require individuals and businesses to perform equally according to the tax law. Obviously, that will facilitate to enterprises to develop, while ensuring equality between traditional business and online business.

In fact, the households and traditional businesses have to rent premises, hire employees and pay taxes. Thus there is no reason for doing online business that saves site rental costs and labor costs are not paid.

Recently, the HCMC Taxation Department has received the registration of individuals, online businesses through the Internet. However, so far, the statistics have not been as expected. Hanoi City has just started to implement, so it does not specific statistics. According to you, if we want to successfully implement this tax collection, what do the tax authorities need to?

Firstly, the propaganda and encouraging individuals to self-registration are the most important. At a certain time, individuals and online businesses still do not register, the tax authorities will be forced to use the allowed measures such as inspection even tax enforcement to coerce households, individuals on a ground with discipline, re-equality of tax.

Do you have any recommendations for individuals and online businesses without tax registration?

I think that households and enterprises that have received notice from the tax authority should voluntarily declare themselves instead of being applied “hard” measures from the Tax Authority. In fact, besides the mobilization of available inspectors, the tax authorities can also coordinate with other competent agencies such as management media agencies, credit institutions, even collaborates with network data security to recover data that individuals purposely delete to recalculate taxable revenue for retrospective collection.

When individuals and businesses have not voluntarily, the tax arrears are also accompanied by fine from 1 to 3 times. It is quite heavy. Therefore, individuals and businesses should voluntarily register and declare tax under the guidance of the tax authorities.

Thank you!

By Hồng Vân/Thanh Thuy

Source: http://customsnews.vn/

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HMM’S ASIA-US VOLUMES SURGE BY 67%

South Korean shipping company Hyundai Merchant Marine (HMM) has seen a 67% year-on-year rise in its Asia-US volume in April 2017.

The company’s volumes jumped from 10,733 TEU/WK to 17,932 TEU/WK in April after HMM formed a strategic cooperation with 2M.

HMM’s Asia-US west coast (USWC) volumes were up by 73% in April 2017, rising from 7,604 TEU/WK to 13,186 TEU/WK at the end of the month, the company said citing PIERS Data.

Additionally, the carrier’s USWC-Asia volume also increased to 7,336 TEU/WK.

“HMM has raised its market share along with its ranking, as its volume has shown dramatic increase compared to last year,” HMM official said.

“We expect gradual improvements in profitability, since we’re heading into the peak season with higher volumes,” the official added.

Source: http://worldmaritimenews.com/

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BY THE END OF MAY 2017: TOTAL IMPORT-EXPORT TURNOVER REACHED NEARLY $US 162.45 BILLION

VCN- According to statistics released by the General Department of Vietnam Customs, the total import and export turnover of Vietnam in the first 5 months of 2017 reached $US 162.45 billion, an increase of 21.5%, equivalent to $US 28.77 billion over the same period in 2016.

by the end of may 2017 total import export turnover reached nearly us 16245 billion
The total import and export turnover of Vietnam in the first 5 months of 2017 reached $US 162.45 billion.

Preliminary statistics of the General Department of Vietnam Customs also show that the total import-export turnover of Vietnam in the second half of May 2017 (from 16th May 2017 to 30th May 2017) reached $US 20.08 billion, an increase of 22.9%, equivalent to $US 3.74 billion compared to the results in the first half of May 2017.

In particular, the import-export volume of foreign-invested enterprises in the period reached nearly $US 13.13 billion, an increase of 22.1%, equivalent to $US 2.38 billion, compared to the first half of May 2017. Over the past 5 months, the total import-export turnover of foreign-invested enterprises reached more than $US 106.5 billion, an increase of 23.7%, equivalent to $US 20.39 billion over the same period in 2016.

In the second half of May 2017, the trade balance of goods had a surplus of $US 540 million, bringing the trade balance of goods in the country in the first 5 months of 2017 to the deficit of nearly $US 2.5 billion, equivalent to 3.1 % of exports.

Regarding exports, the total export turnover of Vietnam in the second half of May 2017 reached more than $US 10.31 billion, an increase of 35.3% (equivalent to an increase of $US 2.69 billion) compared to the first half of May 2017.

Export turnover in the second month of May 2017 increased compared to the first half of May 2017 mainly in the following commodity groups: telephone and components increased by 34.7%, equivalent to $US 611 million; textiles and garments increased by 42.5%, equivalent to $US 339 million; machinery, equipment, tools and spare parts increased by 56.7%, equivalent to $US 265 million; footwear of all kinds increased by 34%, equivalent to $US 200 million. Meanwhile, only a number of commodity groups have an export turnover which decreased compared to the previous period, such as cameras, camcorders, and components with a decrease of 12.8%, equivalent to $US 17 million; coal with a decrease of 8.1%, equivalent to $US 2 million.

Thus, by the end of May 2017, total export turnover of Vietnam reached nearly $US 79.98 billion, an increase of 18.4%, respectively, equivalent to an increase of $US 12.45 billion over the same period in 2016.

The statistics of the General Department of Vietnam Customs also shows that the value of goods exported by FDI enterprises in the second half of May 2017 reached nearly $Ú 7.28 billion, an increase of 33.3%, equivalent to an increase of more than $US 1.82 billion compared to the first period of May 2017, thereby bringing the total export turnover in the first 5 months of 2017 to nearly $US 56.66 billion, an increase of 20 % over the same period in 2016, accounting for 70.8% of the total export turnover of Vietnam.

Regarding imports, the total value of imported goods in Vietnam in the second half of May 2017 reached more than $US 9.77 billion, an increase of 12.1% (equivalent to $US 1.05 billion) compared to the first half of May 2017.

Import turnover of goods in the second half of May 2017 increased over the first half of May 20117 mainly in the following commodities: computers, electronic products, and components increased by 17.1 %, equivalent to an increase of $US 232 million; machinery, equipment, and spare parts increased by 10.7%, equivalent to an increase of $US 177 million; phone accessories and parts increased by 33.9%, equivalent to an increase of $US 159 million; cashew nut increased by 126.2%, equivalent to an increase of $US 113 million; petrol and oil of all kinds increased by 39.1%, equivalent to an increase of $US 89 million. Meanwhile, the feed and material group fell by 46.9%, a decrease of $US 81 million, soybeans fell by 65%, a decrease of $US 25 million; coal fell by 45.4%, equivalent to a decrease of $US 24 million.

Thus, by the end of May 2017, the total import turnover of Vietnam reached more than $US 82.47 billion, an increase of 24.7% (equivalent to nearly $US 16.32 billion) compared to the same period in 2016.

The value of imported goods of FDI enterprises in this period reached nearly $US 5.85 billion, an increase of 10.6%, equivalent to an increase of $US 560 million compared to the first half of May 2017, thereby bringing the total import turnover of these enterprises in the first 5 months of 2017 to reach more than $US 49.84 billion, an increase of 28.1%, equivalent to nearly $US 10.94 billion compared to the same period in 2016.

By Ha Nhi/ Hoang Anh

Source: http://customsnews.vn/

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NOTES FOR IMPORTS INTO AUSTRALIA

VCN – Vietnam Trade Office in Australia recommends that businesses need to check following steps to ensure compliance with Australian rules and regulations for imports to Australia.

notes for imports into australia
Telephones, mobile phones and parts thereof are the largest exports to Australia. Photo: the internet

The Australian Government issued regulations that businesses must comply for importing goods into Australia, such as regulation on imports of agricultural products and foodstuffs. Hence, businesses must ensure compliance rules and regulations.

Normally, businesses and individuals import into Australia without an import license. However, for some certain items, you must ask for permission. For some goods are banned or restricted from imports, such as dangerous chemicals, pharmaceuticals, drugs, some kinds of certain foods, weapons, cigarettes and some kinds of biological material.

In addition, businesses must understand the rules of origin to take advantage of incentives (if any) for imports.

Then, the business must check whether the goods are quarantined or not. If imported goods are plants, animals, minerals and products for human, they must be put on quarantined and treated on insects or other biological factors.

The fee and tax are also noticeable matter. Accordingly, Customs collects fees for normal goods treatment less than $AU 200, and Goods and services tax (GST) which is calculated by 10% of the total value of the goods, plus import duties, plus insurance cost and freight cost to Australia.

Import duty is calculated based on a percentage of goods prices, from 0 to 10% but mainly at 5%. The Special Consumption Tax applies to alcoholic beverages, tobacco, and petroleum.

In addition, goods imported into Australia must be properly labeled, including at least information on the manufacturing country and origin, the exact description of the goods, the address of the exporter and the importer. The labeling must be written in English, attached to the goods, in a right place.

According to statistics from the General Department of Vietnam Customs, in the first four months of 2017, two-way turnover between Vietnam and Australia reached more than $US1.89 billion, of which Vietnam’s exports to Australia reached nearly $US 1.05 billion, up by 21.2%, Vietnam’s import turnover from Australia reached $US 848.02 million, up by 14.2% over the same period of 2016.

By Phan Thu/ Ngoc Loan

Source: http://customsnews.vn/