Regulations on Investment in Telecommunications Services in Vietnam

 The field of telecommunications has appeared in Vietnam for more than 30 years and has helped the business environment and social life of Vietnam to develop. Our telecommunication lawyers in Vietnam shared opinions on the investment in telecom and related services and their restrictions.

The process of liberalizing the telecommunications sector in Vietnam has led to the expansion of the telecommunications network and has become an attractive field for investors to set up company in telecom service, internet service, or join with Vietnamese partner on business cooperation contract in the same fields.  

Currently, telecommunications services are not just telephones and telex, but vary with many types from simple to complex such as audio, video, data transmission services,… Besides the conveniences brought in life, telecommunications services have really become one of the important infrastructures of the economy. However, Vietnam government also impose certain requirements on foreign investors entering Vietnam in this sector.

Forms of investment in telecommunication sector

Specifically, at present, foreign investors can only participate in investments in the form of joint ventures or business cooperation contracts with Vietnamese enterprises to provide telecommunications services.

Conditions to provide telecommunication services in Vietnam

However, for the provision of services with network infrastructure, the partner in which the investor joins the joint venture must be a licensed telecommunications service provider in Vietnam. In addition, foreign investors are also limited on the percentage of charter capital in joint ventures. Accordingly, for services without network infrastructure, foreign investors own not more than 65% of charter capital and for services with network infrastructure, foreign investors do not own more than 49% legal capital of the joint venture.

On the other hand, foreign investors participating in business cooperation contracts will be able to sign a new agreement or switch to another form of presence with conditions no less favorable than those they are currently receiving. Furthermore, an organization or individual that already owns more than 20% of the charter capital or shares in a telecommunications enterprise may not own more than 20% of the charter capital or shares of another telecommunications enterprise doing business in the same company a market for telecommunications services.

Therefore, if the investor meets the above conditions, the investor will carry out the procedures for establishing an economic organization. Like other foreign-invested organizations, the establishment will go through two stages: investment registration and business establishment. For foreign investment projects in the business of telecommunications services, it is necessary to receive the investment approval of the Prime Minister.

Procedures to invest in telecommunication services in Vietnam

Accordingly, the investor submits the application for approval of the investment policy of the investment project to the investment registration agency and within 03 working days from the date of receipt of the complete dossier, the investment registration agency submit the application for appraisal opinions of the Ministry of Information and Communications.

Within 15 days from the date of receipt of the dossier, the Ministry of Information and Communications shall give its appraisal opinions on the extent under its state management and send it to the Ministry of Planning and Investment.

Within 40 days from the day on which the application is received, the investment registration agency shall organize the appraisal of the dossier and make an appraisal report and submit it to the Prime Minister for approval of the investment policy. After receiving the approval of the investment policy, the investor proceeds to establish the business as domestic entities.

How telecommunication lawyers in Vietnam could help?

The telecommunication services are subject to strong regulations hence the conditions for foreign investors to invest and set up company in telecommunication services or take part in providing telecommunication services are also relatively complicated. Therefore, investors are suggested to undertake research on telecommunication regulatory specific to their business with the help of telecommunication lawyers in Vietnam to make the investment effectively.

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Questionnaire in Anti-dumping Measures on Welding Materials From China, Thailand and Malaysia (AD15)

 On March 18th, 2021, Ministry of Industry and Trade issued Decision no. 947/QD-BCT on conducting an investigation to apply anti-dumping measure on some types of welding materials with HS code 7217.10.10; 7217.30.19; 7217.90.10; 7229.20.00; 7229.90.20; 7229.90.99; 8311.10.10; 8311.10.90; 8311.30.91; 8311.30.99; 8311.90.00 originating from People’s Republic of China (China), Kingdom of Thailand (Thailand) and Malaysia (Product under investigation) (code AD15).

In AD15 case, Trade Remedies Authority of Vietnam (Investigating Authority) has sent questionnaire on quality and value to all foreign manufacturing/exporting enterprises which Investigating Authority knows in order for them to answer investigating questionnaire. The deadline for answering the questionnaire is before 5pm of April 19th 2021 (Hanoi time).


Content of this Questionnaire includes:


-General information: Company details; Legal representative


-Product under investigation: Scope of the investigation; Description of product under investigation


-Information of quantity and value: Production and business activities of company in regard to product under investigation; Affiliate companies; Production capacity and total volume of product under investigation of the company and its affiliates during the POI period; Total sales volume and total value of sales revenue from the Company’s product under investigation during the investigation period; Net sales of the Company, excluding taxes and discounts


-Other information.


Regarding domestic producers and importing enterprises, the Investigating Authority has issued the investigating questionnaire in order to collect information, figures for this case. The deadline for answering the questionnaire is before 5pm of May 07th 2021 (Hanoi time).


Content of the Questionnaire for domestic producers includes:


-General information of company: Company; Individuals and organizations that control the activities of the Company; Legal representative; Operational links with other companies or persons in production – business activities; Other product; Accounting/financial practices


-Domestically produced like product: Description; Product Control Number PCN; Company Control Number CCN; Technical description and production process of the like product


-Production, purchases and stocks: Production and production capacity; Purchases of the like product or product under investigation; Stocks of finished product;


-Sales: Total sales of the product under investigation produced by company; Resales; Internal use


-Distribution system and selling prices: Distribution system and channels of sale; Price setting for the like product


-Transaction by transaction listing: Sales transactions in Vietnam during POI; Explanation of the apportionment of costs to transactions; Credit notes


-Cost of production: Cost accounting system; Production process; Cost of production; Different levels of purity; Suppliers of direct materials


-Profitability: Profitability of the like product during investigation period; Profitability of the overall company; Profit in the absence of injurious dumping ; Cash flow for the like product; Investments; Ability to raise capital; Return on investment (ROI) and assets (ROA)


-Employment and wages: Employment; Labor cost


-Other questions


Content of the Questionnaire for importing enterprises includes:


-General information of company: Company; Individuals and organizations that control the activities of the Company; Legal representative; Operational links with other companies or persons in production – business activities; Other product; Accounting/financial practices


-Imported product under investigation: Description; Details of the imported product; Product comparison


-Production, purchases and stocks: General information of sales; Purchase of product under investigation; Product under investigation originated from China and/or Thailand and/or Malaysia; Stocks


-Sales: Introduction


-Profitability: Profitability; Price setting


-Other questions


Our international trade and competition lawyers at ANT Lawyers – a law firm in Vietnam will always follow the development from authorities to provide update to our clients.


Nguồn: https://antlawyers.vn/library/questionnaire-in-anti-dumping-measures-on-welding-materials-from-china-thailand-and-malaysia-ad15.html

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How Dispute Settlement Mechanism of ASEAN Work?

 As economic cooperation has expanded, having an effective mechanism to resolve disputes arising between member countries has become an essential need. Therefore, since 1996, ASEAN has started drafting a Protocol on Dispute Settlement Mechanism, and this Protocol was signed by ASEAN Economic Ministers on November 20, 1996 in Manila (Philippines).

The dispute settlement mechanism of ASEAN is built on the spirit of negotiation and mediation. At any time, Member States which are parties to the dispute have the right to choose forms of mediation. These forms may begin or end at any time. Only when the procedure for mediation has ended, the complainant proceeded to bring the matter to the Senior Economic Officials Meeting of ASEAN (SEOM). While the dispute is in progress, if the parties to the dispute agree, mediation procedures will continue to apply.

If the consultation does not resolve the dispute within sixty (60) days of the receipt of the request, the matter will be referred to SEOM. SEOM will set up a panel or, if possible, refer the matter to the special rules and procedures team or additional for review. However, in specific cases, if deemed necessary, SEOM may decide to resolve the dispute amicably without having to appoint a panel.

SEOM will review the panel report during its discussion and give a decision to the dispute within thirty (30) days from the date the panel submitted the report. In exceptional cases, SEOM may have an additional ten (10) days in adjudicating a dispute. SEOM representatives of Member States who are parties to the dispute may be present during the discussion but may not participate in judgments of SEOM. SEOM will adjudge on a majority basis.

Member States that are parties to the dispute may appeal the judgments of SEOM to the ASEAN Economic Ministers (“AEM”) within thirty (30) days. AEM must make a decision within thirty (30) days of the appeal. In exceptional cases, AEM may have an additional ten (10) days to make a decision on dispute resolution.

Nguồn: https://antlawyers.vn/library/how-dispute-settlement-mechanism-of-asean-work.html

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Notice of operation of the National Office of Intellectual Property

 Due to the recently complicated situation of the Covid-19 epidemic, especially the appearance of new clusters unidentified infections in residential areas, offices, and enterprises, and to implement guidance of the Prime Minister, National Steering Committee for prevention and control, and Ministry of Science and Technology, and the guidance of the emergency dispatch no. 11/CD-UBND dated May 24th 2021 of Chairman of Hanoi People’s Committee on strengthening of measures to prevent and control Covid-19, to contribute to the protection of public health, The National Office of Intellectual Property (NOIP) would like to announce:

From May 27th 2021, NOIP will stop receiving and releasing results of application for industrial property (IP) at NOIP (no. 386 of Nguyen Trai street, Thanh Xuan district, Hanoi). IP application and dispatches, documents submitted to NOIP office only received through online form or post.

NOIP also stops consulting at NOIP office (386 of Nguyen Trai street, Thanh Xuan district, Hanoi). Accordingly, consulting activities on IP in general and procedure for IP application in particular, only are implemented through telephone or email.

The receipt of application and consulting activities at Representative office of NOIP at Ho Chi Minh city and Da Nang will still go on as usual.

Nguồn: https://antlawyers.vn/library/notice-of-operation-of-the-national-office-of-intellectual-property.html

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What Criminal Violations in Stock Exchange in Vietnam?

 Along with the increasingly diversified securities activities, the criminal violations in the stock market are also becoming more and more sophisticated and complex. The securities lawyer in Vietnam is sharing some opinions on the practice of criminal violations in stock exchange in Vietnam to avoid.

Although in Vietnam, violations and crimes committed in the securities sector still account for a small percentage compared to other fields, but these white collar crimes have directly negatively affected trading activities in the market, in particular eroding investors’ confidence, and causing the stock market distortion.

The criminal violations in the stock market could hinder the efficient functioning of the stock market which is a component of a free-market economy, where enterprises raise funds and investors invest and trade. Vietnam is a developing economy and it is getting more serious on prosecuting this crime due to the large scale negative impacts to the financial market.

There are four violations in the securities sector that are defined as crimes, which are: Provision of false information or concealment of information in securities activities; Use of internal information for trading securities; Manipulation of securities market and Forging documents in offering or listing profile as follows:

Provide false information

The law in Vietnam charges person who deliberately provides false information or conceals information in the activities of offering, listing, trading securities, market organization, registration, depositing, clearing or paying for securities. The fine for such activities will be from VND 100,000,000 to VND 2,000,000,000 or up to 02 years’ community sentence or 03 months – 5 years’ imprisonment. Punishments incurred by a corporate legal entity that commits the offenses shall be fined from VND 500,000,000 to VND 5,000,000,000; be banned from operating in certain fields or raising capital for 01 – 03 years.

How insider trading in Vietnam is treated?

Insider trading is also considered a crime in Vietnam but its seriousness has not been emphasized strongly enough as compared with other countries with developed financial market.

Over the 20 years since the stock market in Vietnam has been established, insider traders have not been found or charged yet although the law states that any person who has information about a public company or public fund which has not been published and could remarkably affect securities price of that public company or public fund but and uses such information to deal in securities or discloses it or provides it for another person for trading securities shall be liable to a fine from VND 500,000,000 to VND 2,000,000,000 or face a penalty of 07 months – 03 years’ imprisonment. Punishments incurred by a corporate legal entity that commits the offenses shall be fined from VND 1,000,000,000 to VND 10,000,000,000.

For some reasons, in Vietnam, it has been disputed that there are challenges to prove the crime in the stock market that make the practice of investigating and charging insider trading crime difficult.

Manipulation of stock market in Vietnam

Manipulation of stock market could be in the forms of fraudsters using one or more security accounts linked to each others, to set buy or sell orders in significant volume that create unusual and fake supply and demand, to lure other small investors in great quantity to make buy and sell decisions and the fraudster later benefit by exiting their shares at high price.

Or the fraudster could use pump and dump scheme to manipulate the stock market by spreading misleading information that create a buying frenzy of the stocks to “pump” prices and later “dump” their shares at inflated price.

The the fine for the individual committing the crime is ranging from VND 500,000,000 to VND 4,000,000,000 or a penalty of 06 months – 07 years’ imprisonment; the penalty for the legal entity committing the crime is a fine ranging from VND 2,000,000,000 to VND 10,000,000,000; can be permanently shut down or be banned from operating in certain fields or raising capital for 01 – 03 years depending on the severity of the violation. Recently these criminal activities have been most popular in Vietnam and a number or cases have been prosecuted.

Forging documents

Forging documents in offering or listing profile criminal is a stock market crime in Vietnam. The law states that any person who forges documents of the offering or listing profile shall be liable to a fine of from VND 500,000,000 to VND 2,000,000,000 or face a penalty of 06 months – 07 years’ imprisonment. In addition, the offender might also be liable to a fine of from VND 50,000,000 to VND 250,000,000, be prohibited from holding certain positions because of such criminal record in Vietnam or doing certain works in related fields for 01 – 05 years.

Securities lawyer in Vietnam to distinguish signs of criminal behaviour or administrative violations

There are also disputes among law makers, legal experts and lawyers in Vietnam on whether there are criminal violations or not; or wherether there are administrative violations, or economic or civil violations for acts that could have signs of criminal behaviours. These kinds of arguments are important to help the society to find balance and defend justice in the development of economy and stabilization of the financial market in Vietnam.

Nguồn: https://antlawyers.vn/library/what-criminal-violations-in-stock-exchange-in-vietnam.html

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How to Make a Joint Will of Husband and Wife under Vietnam Laws?

 How a will lawyer in Vietnam could help?

Under Vietnam culture, marriage is a special relationship that is not considered as a contract. Hence it could become a delicate matter when material comes into play. And talking about death while still living might trigger emotional reaction especially the concerning matters could arise is how to make a will for the assets owned by husband and wife.

We have come across such situations and as a will lawyer in Vietnam, we could help the potential client to understand the need to have a will and have the estate planning. But to get a will and statement service in Vietnam for a joint will or separate will could also be a question. The following will discuss the matter in details.

In fact, a few spouses desire to make joint will to dispose of their common assets. The prevailing law does not yet stipulate joint testament of husband and wife. Hence how to proceed with the application of law for the cases where husband and wife intend to make joint testament?

Legal grounds for joint will and statement in Vietnam

In the legal document system, the “joint testament of husband and wife” was most recently stipulated in the Civil Code 2005, which has now been superseded by the Civil Code 2015. Accordingly, it can be understood that: a joint testament of husband and wife is an expression of the will of the spouses intending to transfer the common assets of the spouses to another person after the death of both husband and wife. With regard to joint testament of husband and wife, the Civil Code 2005 devotes three articles stipulating particulars of this type of testament including concept; amendment, supplementation, replacement, cancellation; legal effect.

Under the abovementioned understanding, after the Civil Code 2005 expires, among prevailing legal documents, especially the Civil Code 2015 directly regulating inheritance and testament by its sphere, there is no provision on “joint testament of husband and wife”. Thus, the joint testament of husband and wife is not recognized but also not prohibited by the law.

Therefore, it is possible to apply the law for cases where spouses intend to make “joint testament of husband and wife by the understanding of the Civil Code 2005” after the Civil Code 2005 is no longer valid as follows:

Joint testament of husband and wife as a type of testament

According to the basic principles of civil law, individuals shall establish, perform and terminate their civil rights and obligations on the basis of free, voluntary undertaking, agreement; any undertaking or agreement which does not violate a prohibition of law or is not contrary to social morals shall be binding on the parties and be respected by other subjects; the establishment, performance and termination of civil rights and obligations may not infringe upon national or ethnic interest, public interest, or legitimate rights and interest of other people.

Accordingly, husband and wife are completely free to agree on the making of a testament that expresses the joint will of both husband and wife towards common assets but must comply with the law on testament.

As such, to be protected as a legitimate testament and as a legitimate testament under Civil Code 2015, apart from general regulations on testament, the joint will of husband and wife shall comply with following regulations:

Firstly, to be a legitimate testament:

First, common will shall first be a testament as provided by law, which is for the purpose of transferring the common assets of husband and wife to other people after the death of both husband and wife.

Second, the testament shall satisfy the criteria of legitimate testament, including: i) the testator was of sound mind when he/she made the testament; and he/she was not deceived, threatened or coerced; ii) the contents of the testament do not contravene the prohibition of law or contrary to social morals; the testament shall be made in writing, it may be made orally if it is unable to be made in writing.

The testament of the incapacitated or the illiterate shall be made in writing notarized or certified by a witness. A written testament which is not notarized or certified shall be deemed lawful only if the testator is of sound mind when he/she made the testament; and he/she was not deceived, threatened, coerced; contents of the testament does not breach the prohibition of law, not contrary to social morals; formality of the testament complies with the law.

An oral testament shall be deemed lawful only if the testator orally expressed his or her last wishes before at least two witnesses who recorded those wishes in writing and signed or fingerprinted the document immediately after the testator orally expressed his or her last wishes. Such testament must be certified by a notary public officer or an authorized agency, verifying signatures or fingerprints of the witnesses within five working days of the of expressing the last wishes.

Secondly, to amend, supplement, supersede, cancel:

Testators may amend, supplement, supersede or cancel the testament at any time, as a result, spouses may amend, supplement, supersede, cancel the made testament at any time upon mutual agreement.

Thirdly, the time of effectiveness:

The testament shall come into effect as of opening the inheritance. On the other hand, the time of opening the inheritance shall be the time when the testator dies. Therefore, the time of effectiveness of the joint testament shall be from when both husband and wife die.

Joint testament of husband and wife as a conditional contract.

Also based on the free, voluntary undertaking, agreement of civil law subjects, husband and wife have right to make a civil contract agreeing on the disposal of common assets that may occurring rights and obligations of the third person; meanwhile, defining the specified event where both husband and wife die as the time of commence of the contract and it is not obliged for the contract to be implemented by spouses themself. As such, to be protected and as protected as a civil contract, the joint testament of husband of wife shall comply with civil contract law.

Firstly, to be the conditional contract as provided by law:

As a civil contract, the joint testament of husband and wife shall be the agreement between husband and wife on occurrence, modification, or termination of rights, obligations to the common assets of husband and wife.

Hereunder rights and obligations may occur to the third person, must not be performed by husband and wife themselves. Not an ordinary civil contract, the joint testament of husband and wife is a conditional contract under whereby the performance depends on the occurrence, modification, or termination of a certain event. Thus, in this contract, husband and wife will agree on the time of division of the common assets.

Secondly, to amend, supplement, supersede, terminate, cancel:

As provided by contract law, husband and wife may negotiate to amend, supplement the joint testament. Spouses may also agree on replacing the made joint testament by a new joint testament after terminating the made joint testament or completely terminating the joint testament in accordance with regulations on contract termination. The notable point of cancelation, termination of the joint testament as a contract is the fact that husband and wife may unilaterally cancel, terminate in accordance with law.

Thirdly, the time of effectiveness:

Not as a testament, stated contract may take effect as of the time of entering contract or the time upon mutually agreed, nevertheless, the effectiveness of the contract is inherently not critical as the establishment, change, and termination of common assets.

For that reason, it is understood that the contract shall take effect from the time as mutually agreed by both husband and wife, otherwise as the time of entering contract. Despite that, apart from the effectiveness of the contract, spouses must also concur on the time of division of the common assets. It is noteworthy that for the purpose of division of the bequests, the abovementioned time shall not fall in the time when it is stated to divide the common assets of husband and wife during the marriage period as prescribed by law on marriage and family.

Application of law to resolve matters relating husband and wife joint testament

Not provided by law, in cases where spouses desire to make joint testament but it is neither applicable for by abovementioned provisions nor agreed upon by the parties, customs can be applied but the customs must not contravene the basic principles of civil law.

If practices are unavailable, provisions of the law governing analogous civil relations shall be applied. Where analogous law cannot be applied, the basic principles of civil law, case law or equity shall be applied.

In short, because the law leaves open joint testaments of husband and wife, thus, husband and wife who have the will to execute a joint testament shall freely agree in the form of a testament or conditional contract according to the corresponding provisions. For related issues that are not reached with an agreement, customary practices, analogy of law, basic principles of civil law, case law, and equity shall be sequentially applied to resolve. The individuals are recommended to consult with a will lawyer in Vietnam to help with will and statement service in Vietnam under Vietnam laws.

Nguồn: https://antlawyers.vn/will-lawyer-in-vietnam/how-to-make-a-joint-will-of-husband-and-wife-under-vietnam-laws.html

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What Are Possible Anti-dumping Measures on Office Desk Products and Office Table Parts, Chairs and Chair Parts?

 Anti-dumping measure imposed on imports of Vietnam is a measure imposed on products that are dumped when being imported to Vietnam, which causes material injury or threaten to cause material injury to domestic industry or retard the establishment of the domestic industry.

According to regulations of the law, a product that is determined as dumped if price of this product imported to Vietnam is less than the comparable price of its like products sold in the exporting country or third country under the common commercial conditions or the price that is self-calculated by the investigating authority. Anti-dumping measures include: Imposition of anti-dumping duty; Undertakings to implement measures for removing the dumping carried out by organizations and individuals producing and exporting products subject to the anti-dumping measures with the investigating authority of Vietnam or domestic producers in case of the approval of the investigating authority.

In recent years, Vietnam has regularly used trade remedies to protect the domestic commodity market. In 2020, the State handled 5 new anti-dumping investigations against a lot of imported goods such as long yarn made of polyester (also known as filament yarn, PFY yarn) originating from China and India, Indonesia and Malaysia; Liquid sugar extracted from corn starch (also known as HFCS) originating from China and Korea; H-shaped steel from Malaysia; Cane sugar comes from Thailand and Sorbitol sugar comes from China, Indonesia and India.

On June 3, 2021, the Trade Remedies Administration (Investigating Authority) received the dossier of the company representing the domestic manufacturing industry (the Requesting Party), requesting investigation to apply anti-dumping measures on a few of office desk products and office table parts, chairs and chair parts originating from the People’s Republic of China and Malaysia. By June 18, 2021, the Investigation Authority confirmed that the dossier was complete and valid in accordance with the law on trade remedies.

According to regulations, within 45 days from the date of confirmation of complete and valid dossier, the Investigation Authority will appraise the dossier and submit it to the Minister of Industry and Trade for consideration to conduct investigation or not to conduct investigation.

Contents of dossier appraisal include:

(i) Determining the legal representative status of the domestic manufacturing industry of the organization or individual submitting the dossier in accordance with the Law on Foreign Trade Management;

(ii) Identify evidence that dumping of imported goods injury or threat of material injury to the domestic industry or material retardation of establishment of the domestic industry.

In order to serve the appraisal work, as well as ensure the legitimate rights and interests of enterprises, the Investigating Authority requests domestic enterprises producing/trading in similar goods mentioned above to provide detailed information about the enterprise, specifically: Information about the enterprise; Design capacity and quantity of office desks and table parts, chairs and chair parts in 2018, 2019 and 2020; The company’s opinion on the case (agree, oppose, no opinion); Any other documents/evidence that the enterprises deem relevant to the case.

The deadline for domestic enterprises to provide the above information is July 16, 2021.

If Client needs any more information or request for legal advice or potential dispute regarding trade remedies measures including, anti-dumping, countervailing duty and safeguard measures or international trade dispute matters, our competition, anti-dumping, and countervailing duty lawyers of International trade and tax practice at ANT Lawyers, a law firm in Vietnam always follow up anti-dumping cases and their development to update clients on regular basis.

Nguồn: https://antlawyers.vn/anti-dumping-lawyers-in-vietnam/what-are-possible-anti-dumping-measures-on-office-desk-products-and-office-table-parts-chairs-and-chair-parts.html

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Public Hearing of Investigating and Applying Anti-Dumping Measures on Polyester Filament Yarn (AD10 case)

 On April 6 2020, Minister of Ministry of Trade and Industry signed the Decision 1079/QD-BCT in the case of investigating and applying anti-dumping measures on Polyester Filament Yarn originating in the People’s Republic of China, the Republic of India, the Republic of Indonesia and Malaysia (AD10 case).

Pursuant to Article 70, Law on Foreign Trade Management 2017 and Article 13, Decree no. 10/2018/ND-CP stipulated the details of some articles of the Law on Foreign Trade Management on trade defense measures, the Investigation Authority is going to hold a public hearing for AD10 case.

Specifically, the hearing will take place online via Meeting room no. 904 – 23 Ngo Quyen, Hoan Kiem, Hanoi at 9am – 12pm, August 30th, 2021, by Hanoi time. The spoken and written language used in the public hearing is Vietnamese. The related parties have the right to use other languages, however, translation from that language into Vietnamese is required. Information and documents other than Vietnamese provided by the related parties must be translated into Vietnamese. The related parties must ensure the truthfulness, accuracy and responsibility before the law for the translated content.

Deadline for submitting registration and consultation content will be before 5pm, August 23rd, 2021 by Hanoi time.

If Client needs any more information or request for legal advice or potential dispute regarding trade remedies measures including, anti-dumping, countervailing duty and safeguard measures or international trade dispute matters, our competition, anti-dumping, and countervailing duty lawyers of International trade and tax practice at ANT Lawyers, a law firm in Vietnam always follow up anti-dumping cases and their development to update clients on regular basis.

Nguồn: https://antlawyers.vn/library/public-hearing-of-investigating-and-applying-anti-dumping-measures-on-polyester-filament-yarn-ad10-case.html

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What Foreign Investors Should Know When Setting up company in Vietnam in 2022?

 In the period of global economic integration, especially Post-Covid-19 era, Vietnam – a developing country is considered one of the countries with potential markets that foreign investors choose to establish the business here taking advantage of the government policy to promote the economy i.e. “new normal” adaption living with Covid-19, quick opening of border allowing tourists to visit Vietnam since Apr 2022, tax reduction, public investment increase…

Whom can set up business in Vietnam?

First, the objects allowed to establish and manage enterprises in Vietnam are all organizations and individuals who are not in the following cases: (i) Minors; people with limited legal capacity; incapacitated people; people having difficulties controlling their behaviors; organizations that are not juridical persons; (ii) People who are facing criminal prosecution, kept in temporary detention, serving an imprisonment sentence, serving an administrative penalty in a correctional institution or rehabilitation center, has limited legal capacity or is incapacitated, is not able to control his/her own behaviors, is banned by the court from holding certain positions or doing certain works; other cases prescribed by the Law on Bankruptcy and the Anti-corruption Law. At the same time, individuals with foreign nationality implementing business investment activities in Vietnam are considered foreign investors. The implementation of investment forms; the scope of operation as well as related procedures must meet the conditions under the Investment Law; related legal documents; other conditions of international treaties that Vietnam is a member.

How to invest and set up business in Vietnam?

Second, foreigners, foreign investors must explore legal forms of investment in Vietnam including: (i) Investing in establishing economic organizations; (ii) Invest in capital contribution, share purchase and purchase capital; (iii) Implementing investment project; (iv) Investment in the form of BCC contract; (v) Forms of investment and new economic organizations according to the Government’s regulations. They need to consider projects planning to invest in Vietnam in case of requesting approval of investment policy of 2020 Investment Law. The investment project of foreign investors is required to carry out procedures for granting investment registration certificates. If the case must be proposed to approve the investment policy, they must prepare dossiers and carry out procedures to request approval of investment policies. When completing the procedure, they will be granted a written decision on investment policy and investment registration certificates. If not falling in the case of approval of investment policy, foreign investors conduct procedures for applying for investment registration certificates.

What documents required to set up company in Vietnam?

Third, after being granted a certificate of foreign investment registration, foreign investors shall continue the procedures for enterprise registration. Vietnam laws do not have to limit the type of enterprise to foreign investors, hence investors can choose: One member limited liability Company; Two-member limited liability companies or more; Joint stock company; Partnerships. Each type of business has different advantages and disadvantages, and foreign investors should base on the purpose and investment scale to choose the type of suitable form of investment. In addition, the investment under the conditional business lines need to fully meet the conditions according to the provisions of law. Depending on the type of business, there will be the document requirements that need to register accordingly. And most importantly, foreign investors must prepare necessary conditions and sufficient conditions (validated documents for use in Vietnam, business name, head office address, business line, charter capital, legal representative,…) attached to the understanding and implementation of the order and procedures when they want to establish a certain type of enterprise in accordance with the Enterprise Law 2020.

We help clients overcome cultural barriers and achieve their strategic and financial outcomes, while ensuring the best interest rate protection, risk mitigation and regulatory compliance. ANT lawyers have Attorneys in Hanoi, Attorneys in Ho Chi Minh and Attorneys in Danang.

Nguồn: https://antlawyers.vn/library/how-to-register-a-birth-for-a-child-between-vietnamese-and-foreigner-in-2022.html

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What Foreign Investors Should Consider in Making Investment in Conditional Areas?

 In the context of integration and globalization, the number of foreign investors whom wish to make investment and establish business in Vietnam has increased due to the attractiveness of the growing middle class population, availability of skilled resources, and Vietnam openness policies. To register a business in Vietnam, however, foreign investors must meet the requirements of Vietnam and international treaties to which Vietnam is a party.

Firstly, the field in which foreign investors wish to conduct business must not be on the list of industries that have been denied entry to the market for foreign investors or are prohibited from doing so under the Law on Investment.

Secondly, foreign investors may be restricted to the percentage of charter capital ownership in some economic organizations. For example, foreign investors ownership could only be up to 30% of charter capital of a commercial bank in Vietnam. Limiting the amount of charter capital is indirectly restricting the management and control rights of investors. Instead of freely making policies or decisions, foreign investors have to depend on other members of the company, namely domestic investors. The investors are suggested to consult with corporate lawyers in Vietnam or banking and finance lawyers in Vietnam for specific details in the specialized area like banking or finance.

Thirdly, foreign investors must consider the type of firm they want to register. A foreign insurance enterprise, for example, may operate in Vietnam as an insurance limited liability company or as a branch of a foreign non-life insurance enterprise. If the investor registers the establishment of an enterprise that is not under Vietnam law and the international treaties that Vietnam has signed, the application for registration is considered invalid. In addition, each type will also have certain limitations. For example, setting up a joint stock company might not be suitable for all investors. In the governance of a joint stock company, the decision-making process is complicated and time-consuming with different sequences and procedures.

Finally, the Vietnam law also have requirements on the legal status, financial status, and competence of investors in certain professions. To establish a company in Vietnam, foreign investors must meet all the prescribed conditions.

In conclusion, the foreign investors would need to undertake the legal research into the business it wish to register in Vietnam, and make strategic decision considering the legal and business requirements to maximize the benefits Vietnam would bring.

Nguồn: https://antlawyers.vn/corporate-lawyers-in-vietnam/what-foreign-investors-should-consider-in-making-investment-in-conditional-areas.html

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How to Register Mobile Application in E-commerce in Vietnam?

 The service conducted via mobile applications is no longer a trend, but actually it has become an essential tool for any business that wish to grow and compete in the marketplace.

E-commerce applications on mobile platforms, referred to as mobile applications, are applications installed on networked mobile devices that allow users to access databases of other traders, organizations and individuals to purchase, sell, or use services, including sales applications and e-commerce service applications.

Owners of sale applications, including traders, organizations or individuals that have been granted personal tax identification numbers, must notify the Vietnam Ministry of Industry and Trade of sale applications. Traders or organizations owning applications providing e-commerce services must carry out the registration procedures with the Vietnam Ministry of Industry and Trade. When announcing or registering a mobile application, traders and organizations should comply with the principles when using the mobile application with both sales and e-commerce service delivery functions, register with the Ministry of Industry and Trade according to regulations; and with a mobile application, traders, organizations and individuals only perform the notification or registration procedure once for different versions of the application.

In particular, notification of sales applications includes: application name; storage address or application download address; types of goods and services introduced on the website; registered name of trader, organization or name of website owner; the address of the trader, organization or permanent address of the individual; serial number, date of issue and place of issue of business registration certificate of the trader, or number, date of issue and unit issuing the decision on establishment of the organization; or an individual’s tax code; name, title, identity card number, telephone number and email address of the representative of the trader or person responsible for e-commerce website.

For registration of applications providing e-commerce services, registration documents include: an application for registration of e-commerce service provision; authenticated copy of establishment decision (for organizations), enterprise registration certificate, investment registration certificate (for traders); scheme of providing e-commerce services; operation management regulations of applications providing e-commerce services; form of service contract or cooperation agreement between traders and organizations owning applications providing e-commerce services and traders, organizations or individuals participating in the purchase, sale or auction, promotion for goods or services on that application; general trading conditions applicable to activities of purchase, sale, or auction, promotion of goods and services on applications (if any).

The process of notification of sales applications shall comply with the process of notification of sales e-commerce websites; The process of registering e-commerce service provision applications is similar to the process of registering e-commerce service websites at the E-commerce operation management portal. After the individual or organization has completed the mobile application registration procedure and it has been certified by the Ministry of Industry and Trade, the application will be allowed to conduct e-commerce activities.

If the owner of the sale application fails to notify the competent state management agency as prescribed, a fine of between VND 10,000,000 and VND 20,000,000 will be imposed. Besides, traders or organizations that set up e-commerce service applications without registering with competent state management agencies shall be subject to a fine of between VND 20,000,000 and VND 30,000,000.

Above is the brief on mobile application registration except for mobile applications in the fields of banking, credit, insurance, trading, money, gold, crypto currency and foreign exchange applications and other means of payment, payment applications, payment intermediary services and financial services, online game applications, betting applications or prize-winning games. Traders, organizations and individuals that own mobile applications in such special areas should pay attention to comply with regulations of laws in such areas to avoid violations to the laws of Vietnam or should consult with lawyers in Vietnam for advice.

Nguồn: https://antlawyers.vn/library/how-to-register-mobile-application-in-e-commerce-in-vietnam.html

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Vietnam Investigates and Applies Anti-Dumping Measures on Some Plastic Products from China, Thailand and Malaysia (AD07)

 On April 26, 2019, the Department of Trade Protection (PVTM) – Ministry of Industry and Trade received a dossier requesting investigation and application of anti-dumping measures for some plastic products and products by Plastic is made from polymers and propylene (“Investigated Goods”) originating from the People’s Republic of China (China), Kingdom of Thailand (Thailand) and Malaysia. The requester in the case are representatives of the domestic manufacturing industry, including two companies: (i) Hung Nghiep Formosa Limited Liability Company; and (ii) Plastic Joint Stock Company Youl Chon Vina.

On August 5, 2019, the Ministry of Industry and Trade issued Decision No. 2334 / QD-BCT on conducting investigation and application of anti-dumping measures.

What is scope of investigation in anti-dumping case AD07?

The products alleged to be dumped are products made of plastic and plastic products made from propylene polymers (also called Biaxial Oriented Polypropylene film – BOPP) imported from the above countries and dumping on the Vietnam market which caused significant losses to Vietnam’s BOPP film industry under the following HS codes: 3920.20.10 and 3920.20.91.

The period of investigation to determine dumping behavior is from July 1, 2018 to June 30, 2019. The investigation period to determine the damage of domestic manufacturing industry is from July 1, 2016 until June 30, 2019.

How to determine damages and causal relation?

The alleged dumping products are considered to be the main cause of significant losses in the domestic manufacturing industry, reflected by the decline in indicators such as utilization capacity, inventory, profits and dynamic price, price pressure…

What the investigation agency require?

Within 15 days after the issuance of the investigation decision of the Minister of Industry and Trade, the investigating authority shall send the investigation questionnaire to the following subjects:

– The applicant submits the application for anti-dumping measures;

– Other domestic manufacturers;

– The party proposed to investigate applies anti-dumping measures;

– Importers of goods subject to investigation;

– The diplomatic mission of the country where the goods originated is investigated;

– Other stakeholders that the investigating authority deems necessary.

Within 30 days after receiving the investigation question, interested parties must provide a written answer to all questions in the questionnaire. In case of necessity or a written request for extension with reasonable reasons from interested parties, the investigating agency may extend the time limit but must not more than 30 days.

How long does the investigation will take?

Please be informed that the time limit for the anti-dumping measures imposition investigation shall be within 12 months from the day on which the decision on investigation is issued, with a possible extension up to 6 months if necessary. Interested parties could authorize law firm in Vietnam with international trade and anti-dumping specialization to respond to authorities in Vietnam.

Accordingly, after initiating the investigation, the Ministry of Industry and Trade will send the questionnaires to related parties to collect information to analyze and evaluate the alleged contents including the following acts:

+ Dumping behavior of BOPP film export enterprises of China, Thailand and Malaysia;

+ Damage of BOPP film manufacturing industry in Vietnam.

In case of necessity, from the preliminary investigation results, if found that the damage of dumping has a great impact on the domestic manufacturing industry, the Ministry of Industry and Trade may apply anti-dumping measures. The period includes import management for investigated goods, application of temporary anti-dumping duties, consultations and application of anti-dumping duties effective before.

The Ministry of Industry and Trade will conduct the verification and examine the information provided by the parties before completing the official investigation conclusion on the case. At the same time, the Ministry of Industry and Trade will also hold public consultations so that stakeholders can directly exchange, provide information and express their views on the case before making a final conclusion on the case.

Whom could respond the questionnaire and participate to cooperate?

The Ministry of Industry and Trade recommends that all organizations and individuals who are importing – exporting, distributing, trading and using goods subject to investigation be registered as a related party and provide necessary information to the Ministry of Industry and Trade to ensure their rights and interests in accordance with the law.

The Ministry of Industry and Trade may apply anti-dumping duty which is effective backward for goods subject to tax within 90 days before the application of temporary anti-dumping duty. Therefore, the Ministry of Industry and Trade recommends that organizations and individuals in the process of signing import contracts, distribution, business and use of investigated goods should pay attention to the possibility of applying anti-dumping tax. Temporary and anti-dumping taxes are effective backwards.

As international trade law firm, we at ANT Lawyers always monitor changes in law and provide clients with recent update.

Nguồn:https://antlawyers.vn/legal-service/vietnam-investigates-and-applies-anti-dumping-measures-on-some-plastic-products-from-china-thailand-and-malaysia-ad07.html

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Danang organizes roundtable discussion investment cooperation with Canada

 On August 28, 2019, in the Toronto city, Canada, Chairman of Danang People’s Committee chaired a roundtable talk about Canada-Danang investment cooperation.

At the conference, the Chairman of Danang City People’s Committee introduced the investment and business environment, as well as exchanging cooperation and investment opportunities to investors in Canada. The city also expressed its desire to attract investment in high technology, information technology, education and tourism.

Until June, 2019, Canada has 10 foreign direct investment projects in Danang with a total registered capital of nearly USD 1 million, mainly in the field of management consulting service, equipment leasing. In terms of trade exchange, in 2018, exports from Danang to Canada reached 27 million USD, with the main export items including garments, children’s toys, components, auto parts, crafts. Meanwhile, the import value reached US $ 1.6 million with the main import items such as machinery, equipment and transport vehicles. At the roundtable seminar, Canadian investors expressed their interest in projects in the field of renewable energy, education, assembly, and production of auto parts in Danang.

For investors interested in the opportunity to cooperate in the production of automobile parts, Danang said the city has many mechanical businesses capable of cooperating to produce automobile parts with foreign partners. At the same time, the strategic location of Danang is also an advantage for investors in terms of product transportation and distribution system when opening the factory here.

In the field of education – training, city leaders encourage projects of building international schools and joint training programs according to international programs in Danang of Canadian investors.

In addition, Danang also wishes to cooperate with the city of Brampton, Ontario province – a city possessing strengths in logistics, information technology in Canada. At the meeting, representatives of city agencies answered the investors’ questions related to investment support and preferential policies; especially in the field of high technology, renewable energy, financial support for small and medium enterprises, protection of intellectual property rights …

Nguồn:https://antlawyers.vn/business/danang-organizes-roundtable-discussion-investment-cooperation-with-canada.html

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Deadline for submission of AD07 case response questionnaire

On August 5th 2019, Minister of The Ministry of International Trade and Industry issued the decision no. 2334/QĐ- BCT on the investigation of the application of anti-dumping measures on some plastics and plastic products made from propylene polymers comes from the People’s Republic of China, the Kingdom of Thailand and Malaysia (AD07). The case was initiated under investigation based on a request filed by a local manufacturing industry representative on April 26th , 2019.

Pursuant to Official Letter No. 704 / PVTM-P1 sent by the Vietnam Chamber of Commerce and Trade to all parties involved in the AD07 case on August 19, 2019, asking foreign manufacturers and exporters to conduct questionnaires. The investigation has been posted publicly on the website of the investigating authority and the Ministry of Industry and Trade or contacting the investigation office of the Department of Trade Remedies to receive the questionnaire.

After completing the questionnaire , the manufacturers and exporters related to the case AD07 send the complete questionnaire including 03 confidential copies, 03 public copies (hard copy) and 01 USB containing the soft copy of the answer. The answer is considered to be submitted on time when the Investigation Agency receives all hard and soft copies before 4:30 pm on September 25, 2019 (Hanoi time). Investigating agencies request stakeholders to answer and carefully study the instructions in the questionnaire before answering and submit the questionnaire within the prescribed time limit. Beyond this period, all questionnaires submitted to the investigating authority are not considered valid.

In the event that the investigating authority does not receive the timely response or the information provided incorrectly, incompletely as required, the investigating authority will apply the provisions of Article 10 of Decree 10/2018/ ND- CP on related parties not cooperating in trade defense cases.

As international trade law firm, we at ANT Lawyers always monitor changes in law and provide clients with recent update.

Nguồn:https://antlawyers.vn/library/deadline-for-submission-of-ad07-case-response-questionnaire.html

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How to Obtain Business Registration Certificate in Vietnam?

 How to Obtain Business Registration Certificate in Vietnam?

Every organization and individual wishing to set up a foreign owned company in Vietnam shall need to meet some specifics conditions as promulgated under the Law on Investment and Law on Enterprise. In specific areas being considered as conditional investment, the investor shall also need to consult with the law governing the area of investment. Once the investment registration certificate is completed, the investor has the obligation to apply for enterprise registration.

Business Registration Certificate in Vietnam

The procedure to register for a certificate of enterprise registration of a joint stock company or limited liability with two or more members are herein mentioned:

Dossiers:

i) Application form for enterprise registration

ii) The company’s charter.

iii) A list of founding shareholders and shareholders being foreign investors/ a list of capital contribution members.

iv) Valid copies of:

Copies of the ID card or other ID papers of founding shareholders and foreign investors/members being individuals; list of authorized representatives of foreign shareholders being organizations.

Decision on establishment, certificate of business registration, or an equivalent document of the organization and the letter of authorization; the ID card or other ID papers of the authorized representatives of founding shareholders and foreign investors being organizations.

If shareholders are foreign organizations, the copy of the certificate of business registration or an equivalent document must be notarized, legalized and authenticated.

The Certificate of Investment registration of the foreign investors as prescribed by the Law on Investment.

State Authority: Business registration office of the province where the enterprise’s headquarters is situated.

Period: within 03 working days from the full receipt of the dossiers

Result: Business registration office shall issue the certificate of enterprise registration or if the application is not satisfactory, business registration office shall inform the applicant of necessary revisions and supplementation to company.

In general, Vietnam government encourages foreign direct investment. If the investor faces challenges at state authority, whom do not issue notification or request of supplementation to the application for enterprise registration, the investor cold lodge a complaint as prescribed by regulations of law on complaints and denunciation to the state authority to protect its right in doing business and investment in Vietnam. A law firm in Vietnam with expertise in both business registration and dispute resolution could assist the investor in the process.

The enterprise is entitled to do business from the issuance date of the certificate of enterprise registration. For conditional business lines, enterprises are entitled to engage in conditional business lines if they satisfy all conditions and are capable to maintain fulfillment of such conditions throughout their operation.

We help clients overcome cultural barriers and achieve their strategic and financial outcomes, while ensuring the best interest rate protection, risk mitigation and regulatory compliance. ANT lawyers have Attorneys in Hanoi, Attorneys in Ho Chi Minh and Attorneys in Danang.

Nguồn:https://antlawyers.vn/update/how-to-obtain-business-registration-certificate-in-vietnam.html

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Which Form of Investment – Branch or Company?

 Foreign entities can set up company or set up branch offices in Vietnam to carry out business activities.

There are several main different aspects between opening a branch office or establishing a foreign owned company in Vietnam.

1.Conditions

-Permits for establishment of Vietnam-based branches of foreign enterprise shall each have a valid term of five years.

-Foreign enterprise must choose between establishing a 100% foreign capital enterprise or forming a joint-venture with domestic investor or company.

2.Certificate

-The Branch office needs to apply and obtain the operation license of a Branch;

-A foreign owned company will need to apply and obtain the investment certificate (“IC”) to operate in Vietnam.

3.Capital

-Optional, foreign entity will decide how much money to invest in branch. The allocation capital for branch is capital for the subordinate units.

-Mandatory, foreign entity will need to provide minimum capital as required by Vietnam Law in conditional investment area.

4.Obligation of owner

For branch office in Vietnam, owner takes full responsibility;

For company, owner takes responsibility within the capital contributed into the company in Vietnam;

5.Other matters

-For branch office setting up in Vietnam, the procedure is less complicated compared to those for the establishment of a 100% foreign owned company; the branch office is able to carry out trading and some other activities as stipulated by Vietnam laws and the WTO commitments which Vietnam enters. The business lines of a branch have to be aligned with the business lines of the headquarter of the foreign entity.

-Setting up foreign owned company would be more complicated than the setting up of the branch office, however this form of investment has more flexibility and freedom as it is a stand alone Vietnam entity recognized under Vietnam laws.

We help clients overcome cultural barriers and achieve their strategic and financial outcomes, while ensuring the best interest rate protection, risk mitigation and regulatory compliance. ANT lawyers have law firm in Hanoi, law firm in Ho Chi Minh City and law firm in Da Nang.

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