Foreign investment in Vietnam surges

HCMC - New foreign investment approvals in Vietnam during the year to January 20 reached US$1.9 billion, rocketing by 51.9% year-on-year, according to the latest report by the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment.

As of January 20, up to 226 new projects obtained investment certificates, with total registered capital of some US$805 million, surging by 81.9% year-on-year. In addition, 72 foreign-invested projects won approval to inject an additional US$340.2 million, equal to 74.5% of the figure in the same period last year.

In addition, foreign investors acquired local company shares worth US$761.8 million in 489 transactions, surging 114% over the year-ago period.

According to the Foreign Investment Agency, foreign investors injected capital into 18 sectors, of which the manufacturing and processing sector was the most attractive, receiving a total of US$1.19 billion, making up 62.4% of the fresh capital.

The science and technology sector came in second, with US$185.8 million, followed by the real estate sector, with US$179.1 million.

Japan remained Vietnam’s largest investor this month, with US$364 million, accounting for 19% of the total. South Korea ranked second, with US$349.1 million, and the third largest investor was China, with US$307.8 million.

-Thesaigontime-

ANT Lawyers is a Vietnamese law firm in Vietnam with English speaking lawyers whom understand the laws of Vietnam within the business and the local culture context.

The firm has been advising and representing foreign companies and individual clients interested in either doing business, or needing legal services or representation in Vietnam who are seeking reasonable and competitive solutions without compromising on service quality.

For advice or service request, please contact us via email ant@antlawyers.vn, or call +84 28 730 86 529.

Read More

Vietnam needs to create an enabling environment for private players to drive the next wave of energy investments, the World Bank said.

In the report titled "Maximizing Finance for Development in Vietnam’s energy sector" issued Monday, the bank called for a new approach to financing electricity and gas investments to fit the country’s changing macroeconomic and sectoral contexts.

"Given the limited fiscal space (official developmental assistance capital) and the reduction of concessional financing available going forward (due to Vietnam’s recent middle-income status), it will be important for Vietnam to step up mobilizing alternative capital resources for the electricity and gas sectors," Ousmane Dione, the bank’s country director for Vietnam, said .

The Government should comprehensively address the constraints currently impeding the flows of domestic and cross-border private capital into two of the most strategic segments of the Vietnamese economy, electricity and gas, he added.

Franz Gerner, the World Bank’s lead energy economist, said: "We observe a large interest from private investors to participate in the vast growing energy market in Vietnam, especially in renewables and LNG development."

"They are willing to invest as long as the projects are well-structured and bankable," he said. "What investors need is a transparent and stable regulatory environment which incorporates a proper risk-sharing mechanism among all parties."

Vietnam’s electricity sector would require on average $10 billion annually frontloaded through 2030, higher than the average of $8 billion in 2011–15, according to the bank.

The envisaged expansion of the gas sector requires total investment of around $20 billion between 2015 and 2035.

- evnexpress-

How ANT Lawyers Could Help Your Business?

Please click to learn more about Energy Law Firm in Vietnam or contact our lawyers in Vietnam for advice via email ant@antlawyers.vn or call our office at +84 28 730 86 529 

Read More

Meeting with Victor Schachter on Jan 18th, 2019 on Development of Mediation & ADR in Vietnam

On January 18th, 2019, ANT Lawyers’ representatives Mr. Tuan Nguyen, and Ms. Thuy Do received Mr. Victor Schachter – the Founder and the President of The Foundation for Sustainable Rule of Law Initiatives (FSRI) at ANT Office Building, A9 Xuan Phuong Garden, Tran Huu Duc Street, Nam Tu Liem District, Hanoi. FSRI is a non-governmental organization which provides training, education and counseling to a range of legal providers in developing countries, including courts, judges, lawyers and mediators, with the goal of building sustainable mediation programs which achieve timely, fair and peaceful resolution of disputes.

At the meeting, Mr. Schachter emphasized the importance of mediation: “More and more big companies have been using mediation to win-win solution, they don’t want to destroy their relationship to resolve their problems”, which has been seriously taken note by Mr. Nguyen.

On the occasion of Mr Schachter’s visit, he has been informed by Mr Nguyen about the newly set up mediation center in Vietnam, the Vietnam Effective Commercial Mediation Center (VEMC) which license has been granted by Ministry of Justice in 2018. Mr Schachter spent time to visit the mediation facility including the training room, mediation rooms for joint meeting and private meeting and suggested some modifications according to his experience from the US’s mediation practice. VEMC will operate under the Decree No. 22/2017/ND-CP dated on February 24th, 2017 of the Government on Trade Mediation. This is the fifth mediation center of Vietnam established and operated since the Decree No. 22/2017/ND-CP officially took effect.

Since 2012, Mr Tuan Nguyen has been made aware of mediation and its benefits. He has been attending many training since and most recently been accredited by CEDR and Ministry of Justice as mediator.

Recognizing the rise in number and complexity in commercial dispute, the 2015 Civil Procedure Code has a new chapter on recognizing mediation. In February 2017, the Government issued Decree 22/2017/ND-CP officially legalizing commercial mediation. In addition, the Vietnam Government also has been focusing on developing mediation as alternative dispute resolution by piloting court-annexed mediation centers in Hai Phong and expanding to Hanoi, Ho Chi Minh City, Da Nang, Bac Ninh, Khanh Hoa, Long An. The results and experience of the project will be an important basis for developing and promulgating the Law on Mediation and Dialogue at the Court. A written record of successful mediation results shall be recognized and enforced in accordance with the civil procedure law. This is an advantage of mediation activity in Vietnam to encourage parties to participate in resolving trade disputes by mediation.

End the end of the meeting, both Mr Schachter and Mr Nguyen promised to continue working on initiative to promote mediation and ADR service in Vietnam through training, conferences and technical assistance.

Read More

Lots of regulations on management of medical equipment are supplemented

This is the noticeable contents of the Decree No. 169/2018/ND-CP amending and supplementing the Decree No. 36/2016/ND-CP on management of medical equipment.

The Decree provides supplements to a lot of regulations on management of medical equipment as follows:

- All certificates of completion of training in classification of medical equipment which were granted before December 31, 2018 are valid for 3 years since the signature date;

- Holders of marketing authorization numbers of marketing authorization certificates must review results of classification of medical equipment and report to the Ministry of Health prior to July 1, 2019;

- ASEAN Common Submission Dossier Template takes effect from July 1, 2020.

In addition, the Decree adds regulations that stipulate the quick issue of new marketing authorization numbers for medical equipment in the following cases:

- Medical equipment has been granted marketing authorization in at least 02 countries including: Japan, Canada, Australia, United States and other EU states;

- Medical equipment must be granted marketing authorization ahead of December 31, 2018 and must meet the following requirements:

+ Medical equipment has been circulated for at least 03 years within the validity period of 05 years till the date of submission;

+ There is none of warnings about quality and safety of such medical equipment.

For more details, see the Decree No. 169/2018/ND-CP in force from December 31, 2018.

-thuvienphapluatvn-

Please click to learn more about Medical Device Law Firm in Vietnam or contact our lawyers in Vietnam for advice via email ant@antlawyers.vn or call our office at +84 28 730 86 529

Read More

Decision No. 33/QD-BCT of anti-dumping investigation for some products of aluminum, alloy or non-alloy originated from China (AD05).

On Jan 10th, 2019, Trade Remedies authority of Vietnam (Ministry of Industry and Trade) has promulgated Decision No. 33/QD-BCT on investigation into imposition of anti-dumping measures for some products of aluminum, alloy or non-alloy which are in bar, stick and shape form originated from China (Case number AD05).

Summary of the case:

The requesting party is four (04) shaped aluminum manufacturers representing the domestic industry, including AUSTDOOR ALUMINUM JOINT STOCK COMPANY, TUNG YANG COMPANY LIMITED, SONG HONG ALUMINUM JOINT STOCK COMPANY (SHALUMI) and MIENHUA GROUP JOINT STOCK COMPANY. 

Scope of investigation:

The imported products are alleged of dumping are some products of aluminum, alloy or non-alloy which are in bar, stick and shape form, with the HS codes of: 7604.10.10; 7604.10.90; 7604.21.90; 7604.29.10; 7604.29.90 from China. The investigating period to determine dumping behaviour is from Jan 1st to Dec 31st, 2018. The investigating period to determine the damages of the domestic manufacturing industry is from Jan 1st, 2015 to Dec 31st, 2018.

The alleged dumping margin:

Imported products from China subject to anti-dumping measures imposition investigation are alleged with specified dumping margins rate of 35,58%.

Damages and causal relation

The products alleged of dumping are considered the main cause of significant losses in the domestic manufacturing industry, reflected in the decline in the indexes such as utilization capacity, inventory, profit, and dynamic price, price pressure…

Registration for interested party

According to regulation of Article 74 of the current Law on Foreign Trade Management of Vietnam, Interested parties include:

-Overseas organizations and individuals that produce and export products under consideration to Vietnam;

-Importers of products under consideration;

-Foreign associations whose majority of members are organizations and individuals producing and exporting products under consideration;

-The Government and competent authorities of the exporting country of product under consideration;

-Organizations and individuals that submit the application for the trade remedies;

-Domestic producers of like products;

-Domestic associations whose majority of members are producers of like products;

-Other organizations and individuals that obtain legal rights and interests related to the investigated cases or facilitate the investigation or representative organizations of protection of customer rights.

As such, an organization or individual shall register and be approved by the investigating authority to become an interested party.

The organizations, individuals can register to be recorded as the related parties in this case with the Investigation Authority by the way sending the application according to the application form for the related party provided in Appendix No. 1 attached the Circular No.06/2018/TT-BCT. Deadline for registration of the interested party is before 5p.m on Feb 28th, 2019.

The investigation questionnaire

Within 15 days after the issuance of the investigation decision of the Minister of Industry and Trade, the investigating authority shall send the investigation questionnaire to the following subjects:

-Producers of similar domestic goods;

-Foreign producers and exporters exporting goods subject to anti-dumping and countervailing investigation into Vietnam which the investigating authority knows;

-The representative in Vietnam of the government of the country producing and exporting goods subject to anti-dumping and countervailing investigations;

-Importers of goods subject to anti-dumping and countervailing investigations;

-Other related parties.

Within 30 days after receiving the investigation questionnaires, the interested parties must provide written replies to all questions in the questionnaire. In case of necessity or there are written requests for extension with reasonable reasons from the interested parties, the investigating authority may extend the time limit but not more than 30 days.

Please be informed that the time limit for the anti-dumping measures imposition investigation shall be within 12 months from the day on which the decision on investigation is issued, with a possible extension up to 6 months if necessary. Interested parties could authorise law firm in Vietnam with international trade and anti-dumping specialization to respond to authorities in Vietnam.

Read More

Important Matters on Intellectual Properties Rights Registration in Vietnam

In the process of development of global business, the growth of multinational corporations or business will help individuals and companies to bring their products to the world. In addition to bringing their products to customers, the protection of intellectual property rights for products created is extremely important and necessary. We would like to highlight important matters when registering for intellectual property rights protection in Vietnam.

First, in order to be able to register for protection of intellectual property rights, the protected product must meet all conditions to be protected under the provisions of the Intellectual Property Law of Vietnam.

After meeting all of conditions for protection of intellectual property rights, the owner should pay attention to the procedures for registering intellectual property rights. According to the Intellectual Property Law 2005, the time of intellectual property rights to copyright is when products are created and expressed in a certain material form without needing to register. However, industrial property rights for inventions, industrial designs, layout designs, trademarks, geographical indications are established on the basis of a decision to grant protection titles by competent state agencies rights under the registration procedures prescribed in the Intellectual Property Law or recognition of international registration under the provisions of international treaties to which the Socialist Republic of Vietnam is a member; for well-known trademarks, ownership is established on the basis of use, regardless of the registration procedure. Therefore, in order to be able to establish their intellectual property rights for products created, the owner needs to register for product protection in accordance with regulations, the order given by the Law on Intellectual Property in Vietnam.

In addition to the prescribed registration procedures, the owner should pay attention to the time of filing the application for protection, and it is suggested to submit the application as soon as possible. Under the provisions of the Intellectual Property Law, in cases where many applications for inventions are identical or similar, industrial designs are identical or not significantly different from each other, the protection title shall be granted only for an invention or industrial design on a valid application, the earliest priority date or filing date shall be among the applications that meet the conditions for being granted a protection title. In the case of multiple applications by different people registering marks that are identical or confusingly similar to each other for products or services that are identical or similar to each other or in the case of multiple applications of the same those who register identical marks for identical products or services, the protection title is only granted to the trademark in the valid application with the earliest priority date or filing date among the applications that meet the requirements sued to be granted a protection title. In case there are many applications for registration as stipulated above and all meet the conditions to be granted a protection title and have the same priority date or the earliest filing date, the protection title will only be granted to the subject of a single application of those applications as agreed by all applicants; if no agreement is reached, the corresponding objects of those applications are refused the protection certificate.

Therefore, in order to protect their intellectual property rights, the owner needs to meet all conditions for the product, in addition to necessary procedures as prescribed by law and promptly apply for a certificate of protection for the product. The protection of products will help individuals and companies gain competitive edge during their commercial operation, in addition to avoiding the risks of being infringed upon intellectual property rights.

ANT Lawyers, a law firm in Vietnam with a team of experienced lawyers, IP consultants and IP agent in Vietnam in the field of Intellectual Property will help customers implement procedures for registering intellectual property rights in the most effective way.

Read More

Some Amendments to Business Registration As of October 10th, 2018 by Decree 108/2018/ND-CP

Decree 108/2018/ND-CP amending and supplementing a number of articles of Decree 78/2015/ND-CP effective from 10/10/2018, has stipulated new points of business registration.

The new decree stipulates clearly some contents on procedures of business registration, especially not needing to seal on the business registration documents and clarifying the power of attorney for individuals to establish an enterprise without notarization or certification in Article 1.1, 1.2 of Decree 108/2018/ND-CP.Since previously there were no regulations on this issue, competent authority required seal business registration documents and notarize or certify power of attorney to ensure valid documents, which caused difficulties when carrying out procedures. This new regulation will receive more support and solve practical problems.

Previously an enterprise may only establish its business locations within the provinces in Vietnam in which its headquarters or branches are located. It means that in case establishing another business location where headquarters or branches are not located, the enterprise must implement two procedures: establishing a branch and establishing a business location, but procedures and dossiers for establishment of branches are more complex than establishment of business locations. Now, enterprises are allowed to directly set up business locations in any province in Vietnam without headquarter or branch. It facilitates enterprises to expand scope of business, save expenses and reduce the workload for the enterprise.

Read More

Regulation on time limits for evaluation of online bid documents comes into effect

The Ministry of Planning and Investment has recently promulgated the Circular No. 05/2018/TT-BKHDT elaborating on preparation of reports on evaluation of bidding documents for procurements in which contractors are selected via the national bidding network system.

The Circular prescribes the time limit for evaluation of bidding documents via the E-HSDT system as follows:

- The maximum time limit is 45 days from the bid opening date to the date of the bid solicitor’s submission of an application for approval of contractor selection results to the investor. 

The duration for evaluation via E-HSDT does not include the period of assessment and approval or the period of assessment of results of evaluation of the technical proposal for the procurement carried out according to the single-stage two-envelope bidding procedure.

- The maximum time limit is 25 days from the bid opening date to the date of the bid solicitor’s submission of application for approval of contractor selection results to the investor with respect to the small-scale procurement.

Where necessary, the duration for evaluation via E-HSDT may be extended to no more than 20 days to ensure the project execution progress. 

The Circular No. 05/2018/TT-BKHDT will take effect on September 1, 2019.

-Thuvienphapluatvn-

ANT Lawyers is a Vietnam law firm with English speaking lawyers whom understand the laws of Vietnam within the business and the local culture context.

For Vietnam legal matters or services, the clients could reach ANT Lawyers, the exclusive Vietnam law firm members via email at ant@antlawyers.vn or call the telephone at +84 28 730 86 529.

Read More

Legal Regulations in Purchasing Real Estate in for Foreigners in Vietnam

Vietnam has become a better place for foreigners to visiting and staying. Many chose Vietnam as home and they come to Ho Chi Minh City, Ha Noi, Da Nang, Phu Quoc, Nha Trang… to buy real estates for living. Many foreigners consider seeking understanding and with the advisory of their real estate lawyers in Vietnam to purchase the property under their name for best interest protection. There are a number of foreigners seek to cooperate with local Vietnamese under investment agreement to invest in properties. It has always been suggested the buyer or investor to receive legal advice from lawyers and real estate law firms in Vietnam before committing the investment to a certain extent.

According to the Law on housing 2005, foreign organizations and individuals investing in construction of houses for sale and lease in Vietnam have the right to own the houses in Vietnam. However, according to the provisions of the Law on housing 2014, the house owners expand and include foreigners being investors building the houses under investor projects, foreign organizations operating in Vietnam and foreign individuals being allowed to enter Vietnam under the provisions of the Law on Entry, Exit, Transit and Residence of Foreigners in Vietnam; and are not entitled to diplomatic privileges and immunities.

Under the provisions of the Law on housing 2014, foreign organizations and individuals are allowed to own apartments, individual houses (villas and townhouses) in commercial housing projects. The total number of foreign individuals/organizations owned does not exceed 30% of an apartment building or does not exceed 10% or 250 houses of a housing project. Foreign individuals may own houses for up to 50 years and are allowed to extend for no more than 50 years. Foreign organizations own the houses according to the time limit on the Investment Registration Certificate and the extension period. During the time of owning the houses, foreign individuals are allowed to sublease, but foreign organizations are not allowed to sublease the houses.

For foreign individuals/organizations, when buying the houses in Vietnam, it is necessary to have a well drafted sales contract for purchase and sale of the houses because all rights and obligations related to the purchase, sales and ownership of houses are regulated in the contract. Therefore, the buyer should consider the contract carefully, usually with the help of real estate lawyers whom understand Vietnam laws before signing, in order to protect their legitimate rights and interests.

The foreigner when buying and selling the houses, especially off-plan house, need to also pay attention to the regulations on payment schedule in the contract. According to Article 57 of the Law on housing 2015, the payment in the purchase, sales, lease sales of the off-plan real estate in Vietnam is carried out in installments, and the first time must not exceed 30% of the contract value, the next times must be in accordance with the construction schedule, however, not exceeding 50% of the contract value when not handed over when the buyer is an enterprise with foreign investment, not exceeding 70% the value of contract, if the buyer is the foreigner individual the payment is not exceed 50% the value of the contract before handing over the house to the buyer. Until the buyer is issued with a certificate of land use right, ownership of houses and other assets attached to the land, the buyer shall pay no more than 95% the value of contract.

Foreigners in Vietnam need to be assisted to be familiar with the laws relating to the purchase and sale of real estate in order to protect their legitimate rights and interests when participating in transactions in Vietnam. It is important that the foreigners consider using the services of law firm in Vietnam specializing in real estate to advise and help manage the transaction.

Read More

Certain provisions of 2012 Labor Code will be amended

The Law on Amendments and Supplements to 37 Laws relating to planning and the XIVth National Assembly’s Resolution No. 72/2018/QH14 prescribes certain contents of the 2012 Labor Code which have been and will be amended or supplemented, including:

- Delete the word “planning” in clause 2 of Article 235 on state management of labor.

- Intend to amend and supplement Chapter XIII on trade unions with a view to giving permission for establishment of employees’ representative organizations which are not subordinate to the Vietnam General Federation of Labour, including the following regulations: 

+ Regulation on the employee’s right to establish and accede to representative organizations which are not subordinate to the Vietnam General Federation of Labour;

+ Principles-based regulation on requirements and processes for establishing, authority to register, operations and dissolution of employees’ representative organizations.

- Intend to supplement Chapter V, Chapter XIII and Chapter XIV relating to trade unions, employees’ representative organizations, right of discussion at workplace, collective bargaining agreements, resolution of collective labor disputes and strikes.

This also includes the regulation on resolution of labor disputes that may arise in the context of multiple representative organizations in existence, such as disputes between representative organizations about the right of collective bargaining, etc.

-thuvienphapluatvn-

ANT Lawyers is a law firm in Vietnam located in the business centers of Hanoi, Danang and Ho Chi Minh City. We provide convenient access to our clients. Please contact us to book your time in advanced to let us provide our best service. 

Call us at +84 28 730 86 529 or send us email ant@antlawyers.vn

Read More