Vietnam moves to amend foreign trade management law to ease trade processes

The proposed amendments aim to address gaps in existing regulations, streamline procedures, and better align Vietnam’s trade framework with international commitments.

Vietnam’s Ministry of Industry and Trade has proposed amendments to the law on foreign trade management in a move aimed at facilitating trade and improving how the country implements its international commitments.

According to Vietnam News, the draft law, which amends and supplements several articles of the existing law, has been released for public comment. The ministry said the changes come after a review of how the law has been implemented since it took effect.

Responding to a more complex trade environment

The ministry noted that export and import activities have become increasingly diverse and complex in recent years. Businesses are now more closely linked to global production networks and supply chains, while the country continues to deepen its international economic integration.

In this context, several provisions in the current law have shown limitations. Authorities said some regulations no longer reflect practical requirements or the international commitments to which Vietnam is a party.

One issue identified relates to the lack of a suitable mechanism allowing businesses to re-import goods they previously exported. This includes cases where products are sent overseas for repair or warranty services.

At present, companies may face difficulties bringing these goods back into the country, particularly when the items fall under categories normally prohibited from import. The ministry acknowledged that this situation can disrupt production planning and reduce the flexibility of international trade activities.

Addressing inconsistencies in origin certification

The draft amendments also seek to address inconsistencies in regulations governing Certificates of Origin.

Currently, the criteria used by central and local authorities to issue Certificates of Origin or approve traders to self-certify the origin of exported goods are not fully aligned. According to the ministry, this lack of uniform standards can lead to disruptions in the issuance process.

Such delays may affect export timelines and could potentially impact the credibility of Vietnam’s origin certification system among its free trade agreement partners.

In addition, the ministry pointed out that some provisions of the law lack internal consistency. For example, regulations related to certificates of origin under Articles 32 and 34 have created confusion in practical implementation.

Aligning with international commitments

Another area highlighted in the draft concerns the self-certification of origin for imported goods.

Under international agreements such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, Vietnam is expected to gradually enhance mechanisms allowing importers to self-certify the origin of goods.

However, the current law does not provide comprehensive guidance on issues such as the delegation of authority, management responsibilities, or eligibility criteria for importers seeking to use this mechanism. This has created challenges in implementing the commitments set out in these agreements.

Expanding authority for Certificates of Free Circulation

The ministry also noted that the authority to issue Certificates of Free Circulation (CFS) is currently limited to state agencies.

This arrangement may not align with broader efforts to reform administrative procedures and facilitate trade. In addition, it differs from the practices adopted by some importing countries.

As a result, businesses may face additional costs and longer processing times when obtaining the necessary documentation for export activities.

Supporting businesses and trade integration

Overall, the ministry said the proposed amendments are intended to remove obstacles for businesses and improve the consistency of the legal system.

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Lead image / Vietnam News