Customs Alert - July 2023

Vietnam's on-the-spot export and import customs procedures, regulated by Article 35, Decree No. 08/2015/ND-CP ("Decree 08") dated 21 January 2015, have been commonly used and play an important part in the processing trade models and manufacturing ecosystem of many Vietnamese manufacturers and foreign principal traders.

However, the General Department of Customs ("GDC"), in its Official Letter No. 2588/TCHQ-GSQL recently issued to the Ministry of Finance and local customs departments, has proposed to abolish all regulations relating to the on-the-spot export and import procedures provided by Article 35 of Decree 08, and suggested that other relevant authorities to study and consider amending relevant regulations to treat such transactions as domestic transactions. The GDC's proposal, if approved, will have significant impacts on those whose processing trade