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DRAFT DECREE AMENDING AND SUPPLEMENTING DECREE NO. 26/2023/ND-CP ON THE EXPORT TARIFF AND PREFERENTIAL IMPORT TARIFF

The Ministry of Finance is seeking comments on the draft Decree amending and supplementing certain articles of Decree 26/2023/ND-CP on the Export Tariff, the Preferential Import Tariff, and the List of goods and absolute tax rates, mixed tax rates and out-of-quota import tax rates. The draft focuses on adjusting tax incentives for the automobile, electric motorbike and supporting industries, as well as certain industrial products.

Key amendments and supplements:

  1. Change in the authority managing the list of domestically manufactured goods: The authority to issue the list of goods that can be manufactured domestically is expected to be transferred from the Ministry of Planning and Investment to the Ministry of Industry and Trade before 01 January 2028. During the transition period, Circular 01/2023/TT-BKHDT will continue to apply.
  2. Amendments to import tax incentives for automobile components
  • Components for exported vehicles: The preferential tax rate of 0% applies immediately at the time of registration of the import declaration if the enterprise has an export contract/export sales contract and the vehicles are actually exported within 01 year.
  • Environmentally friendly vehicles: Electric, hybrid, natural gas-powered or biofuel-powered vehicles are exempt from vehicle model declaration procedures and are not required to meet the minimum output volume in the first two incentive review periods.
  • Adjustment to the output roadmap for petrol and diesel vehicles: The roadmap for progressively increasing the minimum total output through phases up to 2032 has been updated. The minimum output for each vehicle model is fixed at 30% of the total output. Enterprises may flexibly choose an incentive review period of 06 or 12 months and may aggregate the output of vehicles actually exported.
  • Customs procedures: Dossiers may be submitted electronically via national portals. The customs authorities shall retrieve data through interconnected systems and shall not require enterprises to resubmit documents already available on the system.
  1. Additional incentives for electric motorbike components: A 0% tax rate applies to certain components under heading 98.53 used for the assembly of battery-powered electric motorbikes that are actually exported, applicable until 31 December 2029 and subject to the condition that the products are exported within 01 year from the date of importation.
  2. Extension of incentives for the automobile supporting industry: The implementation period of the Tax Incentive Programme for the automobile supporting industry is extended until 31 December 2032 (instead of ending in 2027). The list of supporting industry products prioritised for development is also updated in line with the new Decree No. 205/2025/ND-CP.
  3. Adjustment to export duties on certain processed natural resource products: The basis for determining cases where the value of natural resources plus energy costs accounts for 51% or more of the product cost has been updated in line with the new regulations on value-added tax.

👉 The tax rates, incentive conditions and effective dates may be further adjusted before official promulgation. Enterprises in the automobile, electric motorbike, supporting industry and component manufacturing sectors should monitor these developments to assess the impact on their import plans and tax costs.