Instructions on temporary import for re-export

Question: What are the instructions for temporary import for re-export?

Answer: The Ministry of Industry and Trade on January 27, 2014 issued Circular No. 05/2014/TT-BCT (Circular 05) providing for the temporary import, re-export, re-import and transit of goods.

Circular 05 takes effect from February 20, 2014 and replaces Circular No. 05/2013/TT-BCT, dated February 18, 2013.

From February 20, 2014, enterprises trading in temporary import for re-export of used goods and goods subject to special consumption tax must have the security deposit of VND 7 billion. The security deposit must be paid to the State Treasury at provincial level or bank branches in the province or city where the enterprise is issued Certificate of business registration or Certificate of enterprise registration.

The deposit amount of enterprises trading in temporary import for re-export of frozen foods is VND 10 billion.

Circular 05 also regulates that enterprises trading in temporary import for re-export of frozen foods, goods applying to a special consumption tax or second-hand goods will be considered by the Ministry of Industry and Trade for issuing the Trading Code for temporary import for re-export of goods upon fulfilling the prescribed conditions.

The effective duration of the Trading Code for temporary import for re-export is three years from the date of issuance.

Enterprises may have their Trading Code withdrawn in case such as: fraud in the declaration of prescribed conditions; failure of payment of the full amount of additional collateral deposits prescribed within30 days of receipt of the notification of the Ministry of Industry and Trade or temporary import for re-export goods without License of temporary imported for re-export have not been significantly changed from the provisions of Circular 05 which still includes items such as hazardous chemicals; waste materials and scraps of plastic; cooler, freezing machine, second-hand electric and acid batteries./.

By Kim Loan