Regulatory discrepancies pose more challenge to auto importers

By Hoang Linh - Dec 06, 2018 | 09:33 AM GMT+7

TheLEADERThere remain inadequacies and discrepancies in regulations, which may harness the development of automobile importers.

Regulatory discrepancies pose more challenge to auto importers
Auto importers still face lots of difficulties

Speaking at the Vietnam Business Forum 2018 (VBF) just held in Hanoi, Co-Chairman of European Chamber of Commerce (Eurocham) Nicolas Audier showed his concerns around the implementation in practice of Circular No. 41 dated July 30, 2018 on the list of potentially unsafe  commodities under the management of Ministry of Transport.

Key issues raised by European business representatives include discrepancies in terms, lack of competent vehicle testing centers and inadequate transition period.

According to written proposal of VBF’s Automotive Working Group, Decree 116 and Circular 41 encountered some problems in terms.

According to Decree 116 dated October 17, 2017, Article 2, Clause 1, “this Decree applies to enterprises manufacturing, assembling, importing and trading of automobile, automobile warranty and maintenance services in Vietnam and relevant agencies, organizations and individuals.”

However, the circular stipulates the applicants including those who import spare parts. These enterprises are not subject to Decree 116.

Therefore, the working group proposed to amend Article 2 of the Circular as follows: "This Circular applies to automobile manufacturing and assembling enterprises, producing or importing component enterprises for the purpose of automobile manufacturing and assembling as well as organizations and agencies involved in the management, inspection and testing of automobiles and automobile components for the purpose of manufacturing and assembling.”

In term of evaluation of product quality assurance conditions, VBF’s working group proposed MOT to amend the content of the Decree to accept the quality management system certificate ISO 9001:2015 or evaluation statement issued by the overseas authorized bodies to save time and cost for CKD production and avoid evaluation overlap.

In term of subject of Circular 4, it proposed MOT revise the circular in order to support enterprises as well as Vietnam Automobile industry and customers, including two suggestions.

“This Circular will not apply to spare parts with the purpose of repair and replacing.”

“In case this Circular applies to all components and spare parts, we would like to propose MOT issue a practical roadmap and only new model of spare parts which are manufactured after the implementation time of this Circular must be certified or declared conformably,” specified the proposal.