Motorcycle assembly
TT |
INDUSTRY, SUB-SECTOR | CONDITIONS RESTRICTING MARKET ACCESS | LEGAL GROUNDS |
47 |
Motorcycle assembly |
1. ACIA: must comply with the Government’s planning which may provide more incentives for domestic investors.
For the sub-sector of manufacturing and assembling means of transport: production projects/investments in these industries must comply with specific requirements for domestic raw materials[1], engineering, and/or environment and/or quality that may be inconsistent with the national treatment provision in ACIA.
2. CPTPP: Appendix NCM II-VN-28 For the sub-sector of manufacturing and assembling buses and vehicles with more than 29 seats: Vietnam reserves the right to apply and maintain measures not consistent with Article II.9.1.(h) against enterprises have foreign investment capital in the above sub-sectors. 3. EVFTA: Appendix 8-B: – For the manufacture of motor vehicles, trailers and semi-trailers: Unlimited, except excluding investment in car production and assembly (ISIC 3410) must be based on the Government’s planning government, this plan can be more favorable for domestic investors[ 2] – For motorcycle production (part of ISIC rev 3.1: 3591): No restrictions, except that investment in motorcycle production and assembly (ISIC 3591) must be based on the Government’s planning, this planning may give more incentives to domestic investors. |
– EVFTA, CPTPP, ACIA.
– Decree No. 116/2017/ND-CP dated October 17, 2017 of the Government stipulating the conditions for manufacturing, assembling, importing and providing automobile warranty and maintenance services. – Decree No. 17/2020/ND-CP dated February 5, 2020 of the Government amending the Decree related to business investment conditions in the field of state management of the Ministry of Industry and Trade. |
[1] For greater clarity, the requirement for domestic raw materials is not a requirement for localization.
[2] To illustrate, a domestic manufacturer of motorcycles may be prioritized in terms of production volume to meet domestic market demand and location preference.