0% tax rate, concerns about dirty Chinese fruits and vegetables being smuggled into Vietnam

Besides concerns about competitive pressure, many opinions also expressed the possibility that Chinese goods, especially low-quality agricultural products, and counterfeit goods from Vietnam and other countries will flood into our country.

Chinese goods are about to enter Vietnam with 0% tax: Will "dirty" fruits and vegetables become more widespread?

» Smuggled Chinese fruits and vegetables are rampant near Tet

The Government has recently announced a list of goods that will enjoy special preferential taxes under the ASEAN-China Free Trade Agreement (ACFTA).

Accordingly, thousands of goods from ACFTA member countries, including China... will enjoy 0% preferential tax when entering Vietnam if they have a certificate of origin (C/O) as prescribed by the Ministry of Industry and Trade.

Notably, among the thousands of items mentioned above, agricultural items account for the majority, such as fruits; buffalo meat, beef, pork, various types of fish and many types of seafood, coffee, cereals, etc.

According to the General Department of Customs, in the first 10 months of the year, China was still the largest export market for goods to Vietnam with a turnover of 40.3 billion USD. Meanwhile, Vietnam's exports to China only reached 17.3 billion USD. That means the trade deficit was up to 23 billion USD.

Analysis of statistics on Chinese goods imported into Vietnam by the General Department of Customs shows that domestic enterprises imported 53 million USD worth of seafood, nearly 170 million USD worth of vegetables and fruits...

In the first 10 months of 2016, Vietnam imported fruits and vegetables from 11 countries, of which Thailand accounted for the most with 327 million USD, followed by China with 170 million USD.

Many experts believe that with the imposition of 0% tax on thousands of goods from China, the trade deficit from this country will continue to increase, especially in the import of tax-free goods.

Concerns about counterfeit and poor quality goods

Besides concerns about competitive pressure, many opinions also expressed the possibility that Chinese goods, especially low-quality agricultural products, and counterfeit goods from Vietnam and other countries will flood into our country.

In response to these concerns, Minister, Head of the Government Office, Government Spokesperson Mai Tien Dung said: The issue of import tax down to 0% and the issue of poor quality and counterfeit goods are two completely different issues.

"The import tax of 0% or higher is not the cause of the problem of poor quality and counterfeit goods," Minister Mai Tien Dung affirmed.

The Minister said that the ASEAN-China Free Trade Agreement (ACFTA) was signed on November 29, 2004 in Laos and took effect from October 19, 2005.

According to the final liberalization roadmap of ACFTA in 2020, Vietnam's liberalization rate for China and ASEAN countries is about 86%, while China's rate is about 95%.

Vietnam's liberalization rate in ACFTA is at an average level compared to Vietnam's commitments in other Free Trade Agreements and meets the WTO's criteria for a Free Trade Agreement, Minister Dung said.

According to Minister Dung, Vietnam has deeply integrated into the economy and must fully comply with international commitments. We cannot unilaterally prevent or prohibit imports or take discriminatory measures against goods from a country if those goods do not violate Vietnamese law or international commitments to which Vietnam is a party.

Regarding the concern about the proliferation of counterfeit and poor quality goods, Minister Dung said that over the years, without having to wait until the implementation of tax reduction commitments within the framework of ACFTA, the Government has always attached importance to the work of preventing counterfeit, fake and poor quality goods (including agricultural products) with many solutions.

Focus on propaganda and mobilization of businesses and people not to support smuggling, trading in smuggled goods, poor quality goods, and counterfeit goods. Promote the implementation of the Campaign "Vietnamese people prioritize using Vietnamese goods" and the Program "Proud of Vietnamese goods" to promote awareness of using Vietnamese goods, building a consumer culture of Vietnamese people in the new period.

According to N.Manh/bizlive