The Ministry of Finance is preparing a draft decree for the government that, if approved, will adjust Vietnam’s Most Favoured Nation (MFN) import tax rates down. This is at the request of the Prime Minister in response to “complex and unpredictable developments of the world’s geopolitical and economic situation” (READ: US tariff policy), Zing News is reporting.
Items set to have their import tariff cut include:
- MFN import tax on certain types of passenger cars (HS code 8703) will be reduced from 64 percent and 45 percent to a unified rate of 32 percent.
- Ethanol will be reduced from 10 percent to 5 percent.
- Selected food items will see reductions:
- Frozen chicken thighs: from 20 percent to 15 percent
- Pistachios: from 15 percent to 5 percent
- Almonds: from 10 percent to 5 percent
- Fresh apples: from 8 percent to 5 percent
- Cherries: from 10 percent to 5 percent
- Raisins: from 12 percent to 5 percent
- Wood and wood product tariffs will drop from 20–25 percent to 5 percent.
- LNG will be cut from 5 percent to 2 percent, and ethane will be added to the list of products subject to 0 percent tax.
See also: Buy More, Sell Less: Tackling Vietnam’s Trade Surplus with the US