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Viet Nam
Status of industrial zones
Author: Saito Hiroshi
The 48th: Important things to note when importing used machinery into Vietnam
1. Certain types of machinery are prohibited from import.
The import of used machinery is not entirely unrestricted. The following items are prohibited or restricted:
- The machinery does not meet national technical regulations (QCVN).
- Machinery that is over 10 years old (general rule).
- Some specific industries (textiles, shipbuilding, printing, etc.) have stricter limits, such as within a 5-year period.
- Machinery that causes environmental pollution or poses a high safety risk.
- Imported machinery is either being liquidated or is in scrap condition.
🔹 Legal basis: Decree No. 18/2019/ND-CP of Vietnam and Circular No. 23/2015/TT-BKHCN of the Ministry of Science and Technology.
2. Must meet technical conditions and quality requirements.
Even used machinery must meet one of the following conditions:
- Comply with current safety, energy efficiency, and environmental protection standards in the country of origin (of manufacture).
- It has the potential to retain 80% or more of the operational capacity/performance compared to new machines of the same type.
- Not more than 10 years old from the date of manufacture (for conventional machinery).
To prove these conditions, a Certificate of Inspection from a designated third-party inspection agency is required.
3. Detailed documentation and procedures. Examples of documents required for import:
Examples of documents required for import:
Document | Content |
Import declaration form | Standard customs declaration form |
Commercial Invoice & Packing List | Transaction details |
Sales contract (Copy) | Proof of sale |
Inspection certificate | Proof of performance, year of manufacture, and condition of the machinery (e.g., SGS, TUV, etc.) |
Certificate of year of manufacture or photo of the nameplate | To verify the year of manufacture |
Document explaining the purpose of use. | This is especially important when companies import goods for internal use. |
4. Import duties and value-added tax (VAT)
- Used machinery is subject to the same import tax as new machinery.
- The tax rate depends on the HS code (usually ranging from 5% to 20%).
- Value Added Tax (VAT): Usually 10%.
5. Used machinery is only permitted for internal use within the enterprise.
In principle, Vietnam does not permit business models based on importing used machinery for resale. The purpose of import must be strictly limited to the following cases:
- Used in the production activities of businesses.
- Imports are made as part of the implementation of an investment project. Essentially, they are limited to internal use only.
6. Note any issues that may arise during the inspection and customs clearance process.
- If the inspection certificate contains errors, customs clearance may be suspended or a re-export order may be issued.
- Imports may also be rejected if a physical inspection reveals “falsified year of manufacture” or “reduced performance”.
5. Practical advice for successful import
- It must undergo inspection by a third-party inspection agency (SGS, Bureau Veritas, TUV, etc.) before export.
- Always check the production label (name label) and the year of manufacture.
- Hire a freight forwarding company or customs broker with expertise in handling the import of used machinery.
- It is best to contact the Ministry of Science and Technology (MOST) or the Ministry of Industry and Trade (MOIT) beforehand to ensure safety.
齊藤公(Saito Hiroshi)
Business Advisor
G.A. Consultants Vietnam Co., Ltd
After graduating from university, he joined a PHP research institute and served as the head of the New York office. He then worked on the “Nagoya Port Redevelopment Project” at a subsidiary of the Chubu Nippon Broadcasting (CBC) company. He later shifted his base to Asia, where he was involved in the launch of “FM96.3” in Singapore, and the creation of “Hello Vietnam” and “Invest Asia” magazines in Vietnam. He then joined BW Industrial Development JSC, Vietnam’s largest rental factory development company, where he was responsible for attracting Japanese manufacturing companies. Currently, he is active as a consultant for the entry of Japanese companies at “G.A. Consultants”, one of the longest-standing Japanese HR consulting firms in Vietnam.
