Vietnam to Cut Import Tariffs for More ASEAN Goods
Thousands of imports sourced from ASEAN countries will enjoy tax cuts during the 2008-2013 period, said the Ministry of Finance (MoF).
The move is in line with the country&rsquos commitment to implementing the Common Effective Preferential Tariff (CEPT) Scheme for the ASEAN Free Trade Area (AFTA) during the five-year period.
Accordingly, thousands of commodities imported from the ASEAN bloc, including art works, antique, furniture, optical equipment, live animals and fruits and vegetables, will be subject to a tax rate of between 0-5 per cent during the time.
Meanwhile, import taxes on a number of commodities will be reduced to 5 per cent by 2013, including rice, eggs and pomeloes (from current 30 per cent), and products meat (from current 40 per cent).
Vietnam has faced trade deficits with ASEAN countries, including Singapore, Malaysia and Thailand for a decade, said the Ministry of Industry and Trade (MoIT).
The two-way trade between Vietnam and ASEAN bloc rose from US$3.49 billion in 1995 to US$18.9 billion in 2006, according to the General Statistics Office (GSO).
However, Vietnam&rsquos trade deficit with these countries climbed to US$6.18 billion in 2006 from US$2.26 billion in 2002. Vietnam often imports goods from ASEAN via Singapore due to low capacity of Vietnamese ships.
ASEAN now accounts for nearly 35 per cent of Vietnam&rsquos total import turnover and 16 per cent of the total export market share. (VNA, Government's Website)
Vietnamese
