You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

March 13, 2012

Export Controls in Vietnam

Subscribe to Updates
World ECR

With the continued increase in foreign trade and integration into the world economy, especially since its accession to the World Trade Organization in 2006, Vietnam has taken several legislative steps to introduce export controls into its legal regime. This article provides an overview of the current status of Vietnam’s regulations on export control.

Controls on Telecoms Equipment

Vietnam’s government and the Ministry of Information and Communications (MIC) have issued various regulations prohibiting or placing special conditions on the import, export, and trading in various types of telecommunications equipment. In particular, lists of prohibited products, restricted products, and products subject to special conditions have been issued. Special permits are required to import or export products subject to special conditions. For example, under Decree No. 59/2006/ND-CP, very general product categories are listed as subject to special conditions, including telecommunications equipment and wireless broadcasting and receiving equipment. This is one area where Vietnam’s export control laws can have a very broad reach.

Further stringent controls prohibiting imports of certain second-hand informatics equipment are set out in Decision No. 20/2006-QD-BBCVT, issued by the Minister of Posts and Telecommunications on 30 June 2006 (Decision No. 20). In general, almost all types of used computers, printers, hard drives, radio equipment, and various other types of equipment are prohibited for import.

Second-hand goods is one area where Vietnam strictly enforces its import regulations. In one case in 2007, citing the provisions of Decision No. 20, Vietnamese customs authorities seized thousands of second-hand digital monitors that were imported into Vietnam and imposed a US$900 fine. In general, second-hand goods may only be allowed into Vietnam with approval from the Prime Minister or with that of certain authorities in charge of the charitable sector.

Controls on Encrypted Products

As in China, Vietnam’s regulations on controls of encrypted technology focus on controlling the use of encryption within the country. Vietnam’s encryption regulations are set forth in Decree No. 73/2007/ND-CP (Decree No. 73), which was promulgated by the government on 8 May 2007. Decree No. 73 contains regulations on research activities, trading, production and the import/export of encryption and encrypted products. The highest authority in charge of encryption is the Encryption Committee of the government. Any entity that intends to trade in or produce encryption or encrypted products must have a permit from the Encryption Committee. An implementing circular for Decree No. 73 has also been issued by the Ministry of Home Affairs.

Under Decree No. 73, encrypted products fall under the published list of products and goods of which export and import is subject to special conditions. This means that a permit is required prior to import or export such goods. This is a very broad provision, and no further guidelines have been issued. Thus the regulations could conceivably be interpreted as casting a very wide net that could bring encryption technologies in most laptops or smart phones under the export controls on encryption. The broad reach of these export controls is further extended owing to the very broad definition of encrypted products, which basically includes any materials, technical equipment or computer software coded to protect information. Services in providing encryption are also controlled in Vietnam.

To date, however, there has been no known enforcement of these provisions in Vietnam, although the laws are on the books. In fact, a major computer industry publication in Vietnam recently published an article noting that very few of the companies or products in this area in Vietnam are operating with proper permits. Against this backdrop, a government officer in charge of this area stated that more needs to be done to educate business of the legal requirements and dangers that could arise if encryption is not managed.

Military Equipment Subject to Export/Import Controls

In Vietnam, the military authorities have also issued regulations prohibiting the import and export of certain items. These regulations were set forth under Decision No. 80/2006/QD-BQP (Decision No. 80), issued by the Vietnamese Ministry of Defense on 9 May 2006. Items in the List of Weapons, Ammunition, Explosives and Military Technical Equipment Banned from Import and Export issued under Decision No. 80 may only be imported or exported pursuant to an approval from the Prime Minister, and a permit issued by the Minister of Defense. Items banned for import and export include:

  • Explosives (other than industrial explosives), including propellant powders, prepared explosives and various detonation devices such as fuses;
  • Tanks and other armored fighting vehicles;
  • Aircraft with combat equipment or weapons;
  • Warships;
  • Other military weapons;
  • Revolvers and pistols;
  • Weapon parts;
  • Bombs, grenades, etc.; and
  • Military equipment in general, including military uniforms.

The regulations do not specify whether permits are needed for each shipment, or can be used for multiple shipments of banned items.

The provisions on the prohibition on importing aircraft set forth under Decision No. 80 were recently raised as an issue by the General Department of Customs who sought clarification as to which authorities should issue permission to import certain types of airplanes—the Ministry of Defense, or the Ministry of Transport, which also has apparent authority over airplanes.

Agricultural Imports/Exports

Controlled agricultural items fall under the authority of Vietnam’s Ministry of Agriculture and Rural Development (MARD). Vietnam is known to have strict controls of agricultural imports in order to protect the country’s key agricultural sector. Vietnam is one of the world’s largest producers of rice and coffee and 80% of the population still work primarily in agriculture.

With its vast coastline, the country is also one of the world’s major exporters of fish products. To this end, MARD has issued Circular No. 60/2009/TT-BNNPTNT, which provides guidelines on export and import controls for the domains of agriculture, forestry, and fisheries.

Timber products

Vietnam has a general ban on exports of timber products that is strictly enforced in practice. Notably, Circular No. 60 specifically prohibits exports of timber products specified in appendix I of the Convention on International Trade of Endangered Species of Wild Fauna and Flora (CITES). A CITES permit issued by the CITES Management Authority of Vietnam is required for any exports of timber falling under appendix II of CITES.

A few exceptions and permit application processes are set out in Circular No. 60. Exceptions are set forth for certain finished woodworks that are completely assembled or knocked-down versions of finished products that can be used immediately following assembly.

Rare and wild animals and plants

Commercial export of endangered, precious, and rare wild animals and plants from natural forest is banned, including all wild plants and animals specified in appendix I of CITES or specified under certain groups set out in Decree No. 32/2006/ND-CP of the government of Vietnam, dated 30 March 2006. Various exemptions exist for non-commercial exports for research or performance purposes. Imports of wild animals and plants specified in CITES appendices are only allowed pursuant to a permit issued by the CITES Management Authority of Vietnam.

Plant varieties

MARD periodically issues a list of plant varieties banned for export or import. Plant varieties that do not appear on this list may be imported for purposes of research and trials, pursuant to a permit obtained from MARD’s cultivation department (for agricultural plant varieties) or MARD’s forestry department (for forest plant varieties). Based on the results of trials, MARD may recognize new plant varieties and add them to a list of plant varieties permitted for production and trading that is also periodically issued. Items on this latter list may be imported without permits.

Other provisions of Circular No. 60 deal with imports and exports of livestock breeds, veterinary drugs and biologicals for veterinary use, plant protection products (pesticides, etc.), fertilizer, livestock feed, aquatic feeds, and aquatic species and breeds, as well as aquatic biologicals.

International Cooperation

As Vietnam integrates into the world economy, its governmental authorities are taking steps to bring the country’s undeveloped export controls system in line with international standards. In this regard, Vietnam’s authorities regularly participate in export controls seminars organized through organizations such as APEC, of which it is a member, in order to take steps toward implementing APEC commitments on export control, such as the APEC Key Elements for Effective Export Control Systems, which were adopted by the APEC ministers in 2004.

Vietnam has also acceded to conventions on non-proliferation of weapons of mass destruction. Recent years have seen numerous programmes implemented in Vietnam to help modernize its customs agencies and to train Vietnamese customs authorities in best practices. This has led to increased seizures of illegal crossborder goods (such as counterfeit goods and contraband).

Download Full Article
Related Professionals

Practices

Corporate/M&A

Location

RELATED INSIGHTS​ 

September 28, 2026
Thailand has expanded the mandatory use of the Electronic Government Procurement (e-GP) system to cover submissions of procurement appeals to all government agencies subject to the Public Procurement and Supplies Administrative Act B.E. 2560 (2017) (Government Procurement Act). The expansion, which was set out in an official circular dated September 16, 2026, from the Public Procurement and Supplies Administrative Ruling Committee, takes effect on October 1, 2026. Notable Changes Under the expanded framework, bidders challenging an e-bidding or selective-method procurement result must file their appeal exclusively through e-GP within seven working days of the result being announced by the Comptroller General’s Department. While the system accepts filings around the clock during that window, submissions on the final day must be fully completed by 16:30 according to the e-GP system clock—merely starting a draft or uploading materials before the cutoff does not count as a confirmed submission. Government agencies that disagree with an appeal, in whole or in part, will also report their findings and supporting documents to the Appeals Committee through e-GP using the prescribed Appeal Opinion Report, also within seven working days of receipt. Withdrawals of appeals must likewise follow prescribed e-GP steps that vary depending on whether the matter is still under agency review, has been forwarded to the Appeals Committee, or has already been resolved. Excluded Categories Certain categories of procurement are not subject to the new guidelines on filing appeals electronically. These include: Procurement of supplies for confidential government use. Procurement conducted by government agencies operating overseas where the bidder is a foreign legal entity with no legal representative in Thailand, or where the bidder is a non-Thai national. Consulting service procurement under chapter 7 of the Government Procurement Act Design or construction supervision procurement under chapter 8 of the Government Procurement These exclusions apply
Read More
September 15, 2026
The Myanmar Investment Commission (MIC) has issued a notification that gives investors with projects in Myanmar clearer guidance for securing approval and for changing, expanding, or exiting an approved project. Issued on August 19, 2026, MIC Notification No. 5/2026 replaces MIC Notification No. 26/2021 and sets procedures for state or regional investment committees to review, approve, and supervise investment projects, including project amendments, investment increases, land-use rights applications, compliance inspections, and suspension or termination of approved businesses. Endorsement Application Timeline and Deemed Acceptance In Myanmar, prospective investors seeking approval under the Myanmar Investment Law generally do so through an MIC permit or an MIC endorsement, depending on the nature of the investment. While certain large-scale investment projects require an MIC permit, projects that are not required to obtain an MIC permit may instead apply for an MIC endorsement. Investors seeking MIC endorsement for their planned projects typically submit their applications to the relevant state or regional investment committee. These committees are established under the Myanmar Investment Law and are authorized to approve investments of less than USD 5 million, subject to the project’s nature and location. MIC Notification No. 5/2026 specifies that upon receiving an endorsement application, the relevant investment committee office will check it for completeness and determine whether it can be considered at the state or regional level or must be referred to the MIC; if it must be forwarded to the MIC, this will be done within 10 working days. If an application is within its purview, the committee may reject the endorsement application within 15 working days of receipt; otherwise, the application is deemed accepted. If approved, the endorsement certificate will be issued within 10 working days of the approval decision, subject to applicable procedures. Endorsement Certificate Amendment The notification clarifies which amendments a state
Read More
September 9, 2026
Certain securities, derivatives, and treasury activities in Thailand were opened to foreign investors when Thailand’s Ministry of Commerce published two new ministerial regulations in the Government Gazette on August 28, 2026. The regulations significantly broaden the service activities that foreign-owned businesses may conduct without a license or certificate under the Foreign Business Act B.E. 2542, as amended (FBA). Securities and Derivatives Business Exemptions Prior to the issuance of these ministerial regulations, the exemptions covered (1) securities brokerage and derivatives brokerage with their only underlying assets being agricultural commodities, financial instruments, and securities; and (2) dealers, advisers, and fund managers conducting derivatives business under Thailand’s derivatives laws. The ministerial regulations provide broader exemptions. In addition to derivatives under the laws on derivatives as before, the following two major categories are provided: Derivatives whose underlying assets or variables fall outside the scope of Thailand’s laws on derivatives. This addresses a gap in the previous framework, which did not comprehensively exempt derivatives tied to nonregulated underlying assets or variables, such as certain commodities. Foreign brokers, advisors, and fund managers can now facilitate a broader range of hedging and risk management instruments without triggering FBA licensing requirements. Derivatives traded outside a derivatives exchange, or over the counter (OTC), whose payments are calculated by reference to foreign exchange rates or interest rates. This removes an FBA licensing barrier for foreign providers of widely used OTC hedging products, broadening the solutions available to importers and exporters managing currency exposure and to borrowers seeking greater certainty over financing costs. The ministerial regulations also exempt brokers and agents handling transactions involving either of these two derivatives categories. For securities businesses, the ministerial regulations add exemptions for margin loans used to purchase securities and for securities repurchase transactions. These additions clarify whether such activities qualify as exempt brokerage
Read More
September 4, 2026
Foreign business restrictions on telecommunications, treasury center businesses, and intragroup support services were eased when Thailand published the Ministerial Regulation Prescribing Service Businesses Not Requiring Permission for Foreign Business Operations (No. 5) B.E. 2569 (2026) in the Government Gazette on August 28, 2026. The ministerial regulation expands the categories of service businesses that foreign investors may operate without a foreign business license (FBL) under the Foreign Business Act B.E. 2542 (1999) (FBA). Of particular relevance to the telecommunications, fintech, and technology sectors, the ministerial regulation exempts: Type 1 telecommunications licensees, which do not have their own networks; Treasury center businesses operated in accordance with Thailand’s exchange control regulations; and Certain intragroup administrative, human resources, and information technology management services. Telecommunications Services Foreign-owned businesses providing telecommunications services under a type 1 telecommunications license may now operate without obtaining an FBL. This may streamline market entry for qualifying telecommunications and digital infrastructure businesses. The exemption applies only to the FBA licensing requirement. Operators must continue to comply with applicable requirements under the Telecommunications Business Act and the regulations of the National Broadcasting and Telecommunications Commission, and the change does not affect foreign ownership restrictions applicable to type 2 or type 3 telecommunications businesses. Treasury Center Businesses The ministerial regulation also exempts qualifying treasury center businesses from the FBL requirement. This may facilitate centralized treasury functions in Thailand, including liquidity management, foreign exchange management, and intragroup funding arrangements. Treasury center operations remain subject to applicable requirements of the Bank of Thailand and other competent authorities. Intragroup Administrative, HR, and IT Services Certain administrative, human resources, and information technology management services provided between affiliated entities are also exempt, provided the relevant entities satisfy prescribed ownership or management criteria. The exemption is available where the service provider and recipient are related through specified ownership
Read More