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Goods no longer stuck by China's new C/O form at Lang Son border


Goods no longer stuck by China's new C/O form at Lang Son border

Drastic guidance

Tuan said after learning the information from August 20 on the new C/O form E issued by China, Lang Son Customs directed its units at the border to guide enterprises on regulations and report to the General Department of Customs for guidance.

After receiving questions from the local customs units related to new C / O form E issued by China, on August 23, the General Department of Customs sent a document to the Ministry of Industry and Trade to discuss this problem. Accordingly, to have a basis to guide the municipal and provincial customs departments, the General Department of Customs is asking the Ministry of Industry and Trade to answer the above problem. At the same time, in order to facilitate businesses, the General Department of Customs requires to accept a new form C / O issued by China on August 20, 2019 in accordance with the notice of the ASEAN Secretariat and China.

“To minimize difficulties and losses in costs and time for enterprises while waiting for guidance from management agencies as well as the General Department of Customs, Lang Son Customs directed its units at the border gate to instruct enterprises as follows: enterprises pay taxes first and submit C/O later, whenever there is specific guidance, C/O will be supplemented in accordance with the regulations to get tax refunds and enjoy tax incentives; or enterprises can bring goods into warehouses and yards and wait for management agencies to give specific instructions for customs clearance,” said Tuan.

At the same time, the Department also asked the border-gate customs branches to regularly monitor import and export activities and actively coordinate and solve arising problems in a timely manner.

Manager of Huu Nghi Border Gate Customs Branch Tran Bang Toan said that some enterprises paid taxes first and owed C/O to clear goods and others have brought goods to warehouses and waited for guidance and clearance. Thus, there is no longer congestion of goods at the border gate.

goods are no longer stuck by chinas new co form at lang son border
Huu Nghi Customs strengthened guidance and support for enterprises. Photo: H. Nu

Also according to Tran Bang Toan, since August 20, the Branch has arranged and assigned customs officers to directly guide, explain and exchange specific plans with the enterprises. Accordingly, many enterprises have agreed and selected appropriate solutions for shipments at the border gate.

Support by enterprises

On August 25, Do Thanh Tuyen, a representative of HAB Company, a company specializing in importing aluminium bars through Huu Nghi border gate Customs Branch said that after facing problems related to the new C/O form issued by China, the company has provided information and asked for guidance from the Customs agency. Huu Nghi Customs Branch assigned customs officers to guide the company to minimize costs and time.

goods are no longer stuck by chinas new co form at lang son border
New C/O form E issued by China from August 20.

“We hope that on August 26, the Customs agency will have instructions for enterprises to implement. We appreciate the enthusiasm from Huu Nghi Customs in particular and Lang Son Customs in general to share the difficulties of our business community,” said Do Thanh Tuyen.

According to Mr. Hoang Duy Hiep, a representative of Bach Viet Lang Son Company Limited, on August 21, when being guided and explained by the leaders of Huu Nghi Customs, the company chose the option of paying taxes first and owing C/O. And from August 21 to now, enterprises still have one to two shipments imported to Vietnam through Huu Nghi border gate. For these shipments, enterprises still choose to pay taxes first and owe C/O.

On July 30, the Ministry of Industry and Trade issued Circular 12/2019 / TT-BCT for the rules of origin in the Framework Agreement on Comprehensive Economic Co-Operation between the Association of South East Asian Nations and the People’s Republic of China (hereinafter referred to as “ACFTA”) to implement international commitments between ASEAN and China on the implementation of the 2015 Protocol amending the Chapter of Origin in ACFTA. The Circular takes effect from September 12, 2019.

Pursuant to Clause 2, Article 34 of Circular 12/2019 / TT-BCT, "The specimen of C/O (Form E), respective rules of origin and application thereof shall conform to agreements between ACFTA Parties and provisions of this Circular. Clause 2 Article 15 Annex I (Rules of Origin) of the 2015 Protocol amending ACFTA Amendment stipulates: “In case of necessity, this Annex may be reviewed and revised at the request of the Parties, and this review and revision may be approved by the ASEAN-China Joint Cooperation Committee.”

The Ministry of Industry and Trade said that according to the results of the 12th meeting of the ASEAN-China Joint Cooperation Committee from May 21 to 22, 2019 in Thailand, ASEAN countries and China agreed on the time of implementing new C/O form E and new rules of origin since August 1, 2019.

Under the agreement in the letters of August 16 and August 20, 2019 of China and ASEAN countries, co-chairs of the ASEAN-China Joint Cooperation Committee through the ASEAN Secretariat, China will issue new C/O form E form August 20, 2019 and accept both new C/O form E and former C/O form E from August 20 to August 31, 2019.

According to the Ministry of Industry and Trade, China’s issuance of new C/O form E in accordance with the form described in Appendix II issued together with Circular 12/2019 / TT-BCT from August 20, 2019 is consistent with the agreement of ACFTA countries. The Ministry of Industry and Trade also informed the Ministry of Finance (General Department of Customs) to accept a new form C/O form under the agreement between ACFTA member countries according to the recent notice of China and ASEAN. The Ministry of Industry and Trade also sent a document to its units to guide C/O Form E for export goods.

Also from August 20 to the end of August 31, 2019, upon the request of the export trader, it is possible to issue the former C/O form E according to current regulations or new C/O form E for Vietnamese export goods if goods meet the rules of origin stipulated in Circular 12/2019 / TT-BCT. From September 1, 2019, new C/O form E shall be issued for goods meeting the rules of origin stipulated in Circular 12/2019 / TT-BCT.

Source: Customs News


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