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NEWS

What's Going On

LATEST DRAFT LABOUR CODE MORE IN LINE WITH INTERNATIONAL LAWS


The latest draft text to amend the Labour Code includes substantial changes to recognise the evolution of labour relationships under the impact of the Industrial Revolution 4.0. Important is also that the draft for the first time contains a definition of sexual harassment, which is already prohibited under the current Labour Code.

30 September
DECREES TO IMPLEMENT FTAs AND ECONOMIC PARTNERSHIPS WITH PREFERENTIAL IMPORT TARIFF SCHEDULES

1 January 2018 was an important date for Vietnam and ASEAN: 7 free trade agreements and economic partnerships came into force between Vietnam and Korea, the Eurasian Economic Union, Chile, and Japan; and between ASEAN and China, Korea, Australia/New-Zealand, India, and Japan, and the ASEAN Trade in Goods Agreement (ATIGA) was implemented.

29 March
NEW LAW ON TECHNOLOGY TRANSFER

The amended Law on Technology Transfer No. 07/2017/QH14 will come into effect on 1 July 2018. The main aim is to improve the technology transfer framework and develop a strong science and technology market in Vietnam while eliminating technologies that may adversely influence development.

27 February
675 INVESTMENT REQUIREMENTS ABOLISHED

The Ministry of Industry and Trade plans to eliminate 675 existing investment requirements and conditions. The Decision took effect on 20 September 2017. However, note that not all changes will enter into force immediately. In this update more on franchising, food production and trading, website domain name and commercial assessment services.

27 February
AMENDMENT OF VARIOUS TAX LAWS

A Draft Law that simultaneously will supplement and amend the Law on Value-Add Tax, the Law on Special Consumption Tax, the Law on Corporate Income Tax, Law on Personal Income Tax and the Law on Natural Resource Tax is expected to come into effect on 1 January 2019.

20 February
DECREE 163 ON LOGISTICS SERVICES AND FDI

Decree 163 sets out the basis for FDI companies to set up a business providing logistics services in Vietnam under certain ownership limits. It gives a positive signal though and could help attracting more foreign investment especially resulting in increased partnerships between domestic and overseas companies.

16 February
DRAFT LAW ON SPECIAL ECONOMIC ZONES

The Draft Law on Special Administrative Economic Units intends to attract more foreign investments into Vietnam offering tax and other incentives in special economic zones in Quang Ninh, Khanh Hoa and Phu Quoc. The focus will be on the development of R&D activities, creative start-ups, new sciences and technologies, high-quality health and education, high-class resorts and tourism services.

14 February
DECREE 8 ON ABOLISHMENT OF INVESTMENT CONDITIONS

Decree 8 sets out a wide range of amendments of investment conditions imposed on enterprises in various trade areas such as food production and trading, oil and gas, tobacco, electricity, and franchising. Its main objective is to reduce administrative procedures and easing doing business. The expected abolishment of the registration requirement for franchises did not materialise.

16 January
DECREE 9 ON TRADING (EXPORT/IMPORT) AND DISTRIBUTION FDI COMPANIES

Decree 9 gives information on business license requirements, issuance term, administrative procedures and relevant authorities. Requirements for foreign owned enterprises (FOE) to obtain a business licence are reduced, the retail sector is opened up and the same requirements apply to companies from non-WTO countries. The economic needs test (ENT) remains and new requirements are introduced.

10 January