TPP News

What are VN’s commitments in financial sector?

VGP – Viet Nam pledges common tariffs to all Trans-Pacific Partnership (TPP) Agreement signatories, removing over 65% of tax lines when the document takes effect, according to the Ministry of Finance (MoF).In addition, 98% of tax lines will be eliminated after ten years. Other tax lines will be abolished over 10 years or imposed tariff rate quotas. The MoF announced that other TPP member states committed to opening relatively large up for Vietnamese products with the removal of 78-95% of tax lines. Other commodities will get tax removal within 5-10 years excluding sensitive products after over 10 years or imposed tariff rate quota.

 

A large number of Vietnamese key exports will enjoy 0% tariff after the TPP comes into force or after 3 or 5 years, including agricultural products, aquaculture, garments and textiles, furniture, electricity products, electrical products, rubber.

Regarding finance, Viet Nam made commitments to import tariffs, export tariffs, financial services and customs.

Once the TPP takes effect, Viet Nam pledges to immediately remove import tariffs including livestock, animal food, some milk products, cereals, rice, leather and leather products, rubber and rubber products, plastics, pharmaceutical products, pesticide, chemical substances, papers, raw materials of garments and textiles, footwear, cotton, clothes, fertilizer, perfume, cosmetics, machines, equipment, furniture, musical instruments, steel products, and electronic spare parts.

Tariffs will be removed for the following products in the fourth year including confectionary, tea, coffee, sweet maize, watch, household utensils, sewing-machines, electricity generators, jewelleries, building materials, dairy products, plastic and plastic products, as well as electric products.

Roadmap for tariff elimination in the sixth year includes vegetable oil, fruits and vegetables, and rubber products.

Those in the eighth year consist of spare parts of motorbikes and automobiles, confectionary, aquatic products, oil, fruits and vegetables, bicycles.

Tariffs for beers, sugar, eggs, salt, petrol, automobiles, steel, automobile spare parts, steel, tyres and tubes will be eliminated in the 10-11th year.

In connection to export tariff, Viet Nam promised to remove export tariffs for all products in the roadmap of 5-15 years after the TPP Agreement takes effect. Tariffs for important commodities will be maintained.

Commitments to insurance and security will be implemented to spur investment opportunities and contribute to develop the financial market in Viet Nam. Financial service commitments include market opening and transparency, investment protection (transparent and efficient mechanism on dispute settlement).

So far, TPP member states are completing technical review and necessary procedures to prepare for the official signing of the document that is scheduled in early 2016./.

About Us

NOCNDEAL is an Electronic-Commerce Platform. By using the advantages of E-commerce, the system works as a connection that motivates the trade between Vietnamese Companies and Foreign Companies (Members of TPP Agreement).