Vietnam Today

Many businesses and industrial clusters (ICs) have not yet finished general waste treatment works due to time-consuming and costly legal procedures. The Ministry of Industry and Trade will soon inspect and closely supervise ICs causing pollution and will handle those that are inefficient, violate the law, or unsuitable for actual local conditions. It has also directed that operating ICs complete investments in concentrated waste-water treatment works before January 1, 2024.

On the occasion of the visit to Vietnam by South Korean Foreign Minister Chung Eui Yong, Prime Minister Pham Minh Chinh said Vietnamese Government will always encourage South Korean businesses to continue to invest and expand their investment scale in Vietnam, especially in digital transformation, processing, manufacturing, recycled energy, etc.

The European Commission presented a legislative proposal on July 14 for a Carbon Border Adjustment Mechanism (CBAM), which would levy taxes on all goods imported from countries that do not have a carbon pricing mechanism (CPM). Vietnam is among the top 5 countries exporting manufactured goods to Sweden, so local enterprises should have a plan to reduce the amount of carbon in the production process in order to not exceed the EU threshold.

State budget revenue in 2019 reached VND1.5 quadrillion (about $65.1 billion), some 10.1 per cent over the estimate, according to the National Assembly (NA) Finance and Budget Committee. Regarding the settlement of State budget expenditures, there are still some limitations and inadequacies, such as a high proportion of recurrent expenditures in total expenditure, many important recurrent expenditures not meeting estimates, and spending not being in accordance with regulations, standards, and limitations.

Africa is considered a diverse new export market of potential for Vietnam’s key products. Local businesses need to carefully study the market and legal regulations to avoid risks, however, and also adapt to the tastes and cultures of African consumers, who are primarily Moslems. Other difficulties include high import taxes in some African countries and the common occurrence of fraud.

Industry associations have proposed delaying increases to land rentals, extending grace periods, deferring payments of taxes and fees, and reducing registration fees to assist production and business during the Covid-19 pandemic. They have also suggested dedicated places at factories for eating and resting, and that employees be limited to traveling on the same route to and from work. Other measures may be necessary, depending on the characteristics of each locality.