The field of anti-dumping and trade remedies is a new field that has been intensively researched and developed in Vietnam, both from the perspective of protecting Vietnamese manufacturing and exporting enterprises from international orders regarding trade remedy duty and from the perspective of protecting the interests of Vietnam's domestic industry through duty calculation and imposition of trade remedy duty on international manufacturing and exporting enterprises to Vietnam.
Regulations on trade remedy duty calculation methods including safeguard duty, anti-dumping duty or anti-subsidy duty are detailed in Clauses 1 and 2, Article 39 of Circular 38/2015/TT-BTC.
Specifically, the method of calculating safeguard duty, anti-dumping duty or anti-subsidy duty is calculated by the following formula:
| Amount of safeguard duty, anti-dumping duty or anti-subsidy duty payable | = | Number of units of each actually imported item stated in the customs declaration for which safeguard duty, anti-dumping duty or anti-subsidy duty is applied | x | Import tax calculation price | x | Safeguard tax rate or anti-dumping duty price or anti-subsidy duty |
| Total amount of import duty payable for goods subject to safeguard duty, anti-dumping duty or anti-subsidy duty | = | Amount of duty payable calculated as prescribed in Clause 2, Article 37 or Clause 2, Article 38 of Circular 38 | + | Amount of safeguard duty, anti-dumping duty or anti-subsidy duty payable |
In case the amount of safeguard duty, anti-dumping duty and
anti-subsidy duty already paid under the Decision on application of
safeguard duty, anti-dumping duty and anti-subsidy duty of the
Minister of Industry and Trade is larger than the duty amount
payable after the Minister of Industry and Trade's decision on
application of safeguard duty, anti-dumping duty and anti-subsidy
duty is issued, the excess amount shall be refunded to duty
payers.
Adjust the method of calculating duty by percentage and by absolute duty rate
On April 20, 2018, the Ministry of Finance issued Circular 39/2018/TT-BTC regulating a number of articles in the field of import and export duty into Vietnam. In particular, the method of calculating safeguard duty, anti-dumping duty or anti-subsidy duty is specified in more detail by percentage and by absolute duty rate. Specifically:
The percentage method of duty calculation applies the formula:
| Amount of safeguard duty, anti-dumping duty or anti-subsidy duty payable | = | Amount of each item actually imported in the customs declaration for which safeguard duty, anti-dumping duty or anti-subsidy duty is applied | x | Taxable value per unit of good | x | Rate of safeguard duty, anti-dumping duty or anti-subsidy duty |
Duty calculation method with absolute duty rate applies the
formula:
| Amount of safeguard duty, anti-dumping duty or anti-subsidy duty payable | = | Amount of each item actually imported in the customs declaration for which safeguard duty, anti-dumping duty or anti-subsidy duty is applied | x | Amount of safeguard duty, anti-dumping duty, anti-subsidy duty payable per unit of goods |
Currently, the Ministry of Industry and Trade of Vietnam is the competent authority to issue the decision to apply anti-dumping duty. Based on the above provisions, the General Department of Customs stipulates that the customs declarant shall base on the actual quantity of imported goods, the dutiable value and the anti-dumping duty rate to determine the amount of anti-dumping duty payable.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.