New car-related policies take effect from October

Car registration fee increased by 10,000 VND from October 8

Circular 55/2022/TT-BTC of the Ministry of Finance, amending Circular 238/2016/TT-BTC regulating prices for technical safety and environmental protection inspection services for motor vehicles, equipment and specialized motorbikes in circulation; assessment and calibration of motor vehicle inspection equipment, effective from October 8, 2022.

Notably, all types of cars are adjusted to increase the inspection service price by 10,000 VND/car compared to the current price.

Specifically: Trucks, car convoys (tractor + semi-trailer) with a load capacity of over 20 tons and specialized cars increased from 560,000 to 570,000 VND; passenger cars with over 40 seats (including driver), buses; increased from 350,000 to 360,000 VND; cars with less than 10 seats increased from 240,000 to 250,000 VND;...

The price list for car inspection will be adjusted from October 8. (Unit: Thousand VND)

Also according to Circular 55/2022/TT-BTC, motor vehicles that fail to meet technical safety and environmental protection standards must be repaired and maintained for re-inspection. The price for re-inspection is calculated as follows:

- If the re-inspection is conducted on the same day (during working hours) as the first re-inspection: no fee will be charged for the first and second re-inspections; from the third re-inspection onwards, each re-inspection will be charged 50% of the prescribed price.

- If the re-inspection is conducted after 01 day and within 07 days (excluding statutory holidays) from the first inspection date, each re-inspection will be charged at 50% of the prescribed price.

- If the re-inspection is conducted after 7 days (excluding statutory holidays) from the date of the first inspection, the inspection price will be calculated as the first inspection.

The price for car inspection has increased by 10,000 VND, however, the fee for issuing inspection certificates has also decreased by 10,000 VND, so basically, the cost of inspection remains unchanged compared to before. Photo: Hoang Hiep

Previously, on June 16, 2022, the Ministry of Finance also issued Circular No. 36/2022/TT-BTC amending and supplementing Circular No. 199/2016 of the Ministry of Finance stipulating the collection rates, collection, payment and management regimes for fees for granting certificates of quality assurance and technical safety for machinery, equipment and means of transport with strict safety requirements.

According to the Circular, the fee for issuing inspection certificates for all types of cars will be reduced by 10,000 VND/certificate, effective from August 1. Specifically, the inspection certificate for cars with less than 10 seats will be reduced from 100,000 VND/car to 90,000 VND/car; other types of cars will be reduced from 50,000 VND to 40,000 VND/car.

Thus, when Circular 55 and Circular 36 both take effect from October 8, the cost of technical vehicle inspection is basically unchanged compared to the time before August 1.

Abolish regulations on calculating auto localization rate from October 1

The Ministry of Science and Technology has just issued Circular 11/2022/TT-BKHCN abolishing previously issued legal documents, including Decision No. 28/2004/QD-BKHCN dated October 1, 2004 of the Minister of Science and Technology on the method of determining the localization rate for automobiles. This Circular 11/2022/TT-BKHCN takes effect from October 1, 2022.

Thus, after nearly 20 years, regulations related to the localization rate and the level of fragmentation of imported auto parts have been officially abolished because the above regulations are no longer suitable for the development of auto manufacturing technology.

Previously, in order to implement the Prime Minister's "Strategy for the development of the Vietnamese automobile industry to 2010, with a vision to 2020", the Ministry of Science and Technology issued regulations on the level of discreteness of imported automobile components. The purpose of this regulation is to serve the method of determining the localization rate for automobiles (scoring according to the level of discreteness).

Determining the localization rate for cars by calculating discrete scores as before is no longer appropriate. Photo: Hoang Ha

Currently, the regulations on the method of determining the localization rate for automobiles are no longer suitable for the development of the automobile industry, because Vietnam is still using the method of calculating the localization rate according to the cluster of details produced domestically. Meanwhile, ASEAN countries calculate according to the total value of each detail added together.

According to experts, the abolition of these regulations is considered suitable for the development and change of the technology process of automobile production and assembly of automobile manufacturing and assembly enterprises in Vietnam and around the world today, aiming to ensure transparency and rationality; not causing administrative procedures, facilitating state management in the fields of investment, science and technology; and ensuring treaties and free trade agreements between Vietnam and other countries.

However, the Ministry of Finance has issued an official dispatch requesting to postpone the above deadline until a new decree is issued.

In addition to the above policies adjusted from October 2022, in September, a series of new regulations related to cars and motorbikes also took effect. These include: 16-seat vehicles cannot be converted into passenger limousines; sending goods on passenger vehicles must declare the CCCD number; or tightening non-commercial imports of cars, motorbikes, etc.