Vietnam Regulatory News

Vietnam's main chemical management law, the Law on Chemicals, has a draft update that has been finalized by the Ministry of Industry and Trade (MOIT). MOIT is currently seeking input on the proposed r...

Vietnam's main chemical management law, the Law on Chemicals, has a draft update that has been finalized by the Ministry of Industry and Trade (MOIT). MOIT is currently seeking input on the proposed revisions. 

Background on the Law on Chemicals 

The 12th National Assembly, in its second session, passed the Law on Chemicals No. 06/2007/QH12 on November 21, 2007. It became operative on July 1, 2008, institutionalizing, implementing, and expeditiously concretizing the principles and policies of the Party and the State. The enactment of the Law on Chemicals is a significant turning point in the process of formalizing and establishing a national legal corridor for chemical-related activities. 

Current Amendments 

On March 7, MOIT stated that the Ministry's Department of Chemicals should work with the Department of Legal Affairs and other relevant agencies to make further changes to the draft before it is published,. A drafting board and editorial team would be established, MOIT advised, to urgently organise the implementation of the law. 

The Ministry plans to propose an amended draft law at the eighth session of the 15th National Assembly in October 2024, which it hopes will be passed at the ninth session in May 2025. 

Policy development Objectives 

• Create a legal framework that supports the growth of the chemical sector in line with the Party's Ten-Year Socio-Economic Development Strategy, which outlines its goals and directions for 2021–2030. 

• Pay attention to the growth of a number of basic industries, such as energy, mechanical engineering, metallurgy, and chemistry, to meet the economy's needs for basic production materials. 

• Consider the prudent, cost-effective, efficient, and long-term management, utilization, and accumulation of resources. 

• Consider the preservation of the quality of life and public health as primary objectives. 

• In order to "build a green, circular, environmentally friendly economy" and preserve biodiversity and ecosystems, the Party must resolutely reject projects that pollute the environment. This will further consolidate the Party's leadership in chemical management and the chemical industry. 

• Establish a framework of legal documents to stabilize the management of basic chemical activities in the coming years. 

• Align the legal framework for chemical management with international standards to encourage investment from multinational companies and big chemical companies that can expand their operations in Vietnam by utilizing technology, cutting-edge management techniques, and high-value products. This will also help Vietnamese companies to engage in international trade by providing favourable conditions. 

Compared to the 2007 Chemical Law, the draft has one additional chapter and 24 articles, bringing the total to 11 chapters and 95 articles. 

Evaluating the policy impact:  

The following issues will be assessed by the Ministry of Industry and Trade: 

Policy 1: The sustainable growth of the chemical industry as a key sector today. 

Policy 2: Coordinated management of chemicals throughout their life cycle. 

Policy 3: Management of hazardous chemical in products. 

Policy 4: Increasing effectiveness in ensuring the safety of chemicals. 

The Ministry of Industry and Trade analyses each policy using the following procedure: 

1. Identification of the problem (explaining the current state of the problem and examining its causes, effects, and implications). 

2. Aim of the problem solution. 

3. Proposed solution (some of which leave things as they are). 

4. Analysis of the effects of the suggested solution (counting the advantages and disadvantages of each policy option for the state, its citizens, and its companies). 

5. Recommendations and choice of solutions based on effect analysis and evaluation advantages and disadvantages of each solution. 

Submitting Comments 

Comments from agencies, units, organizations, and individuals should be sent in writing to the Ministry of Industry and Trade by email (at KienNV@moit.gov.vn, ThanhNT@moit.gov.vn) or through the Department of Chemicals, No. 21 Ngo Quyen, Trang Tien Ward, Hoan Kiem District, Hanoi City, by April 10, 2024. 

On 4 March 2024, the Drug Administration of Vietnam (DAV) issued amendments to the Annexes of the ASEAN Cosmetic Directive (ACD). At the 38th ASEAN Cosmetic Council (ACC) and the 38th ASEAN Cosmetic S...

On 4 March 2024, the Drug Administration of Vietnam (DAV) issued amendments to the Annexes of the ASEAN Cosmetic Directive (ACD). At the 38th ASEAN Cosmetic Council (ACC) and the 38th ASEAN Cosmetic Science Council (ACSB), the Drug Administration of Vietnam made the following announcement to the units:

Annexes to the ASEAN Cosmetics Agreement include

• Appendix II. List of substances not allowed to be used in cosmetic products

• Appendix III. List of substances with regulations limiting concentration and content in cosmetic products

• Appendix IV. Colorants allowed for use in cosmetics

• Appendix VI. List of preservatives allowed for use in cosmetic products

• Appendix VII. List of ultraviolet ray filters

Cosmetics list updates

Major amendments have been made to Appendix II and Appendix VII, while references have been updated in the remaining Appendices.

Amendments in Appendix II: The prohibition on 14 components will enter into force on 15 November 15 this year, while the ban on N, N-diethyl-mtoluamide/diethyltoluamide (DEET) will enter into force on 15 November 15 2025.

Amendments to Appendix VII:

The new concentration limits for UV filters are as follows: 

From the date of application specified in the Appendix, only cosmetic products that comply with the regulations will be circulated on the market, and cosmetic products that do not comply with the regulations will be withdrawn from the market.

The Authority requests manufacturers and importers to comply with the provisions of Circular No. 06/2011/TT-BYT to avoid the risk of product recall and waste.

The Vietnamese Ministry of Health (MoH) announced on December 13, 2023, that a new decree on cosmetics management is being drafted. Background information Currently, after more than 12 years of ...

The Vietnamese Ministry of Health (MoH) announced on December 13, 2023, that a new decree on cosmetics management is being drafted.

Background information

Currently, after more than 12 years of implementation of Circular No. 06/2011/TT-BYT and 7 years of implementation of Decree No. 93/2016/ND-CP, the evaluation report on law enforcement in the cosmetics industry shows that the regulations in the two aforementioned documents have resulted in several shortcomings that hinder and cause difficulties for management agencies affecting aesthetic management products as well as the production and trade of cosmetics within the enterprise. These shortcomings include the following:

•           Regarding cosmetic product announcement

•           Concerning cosmetic post-inspection work

•           Organization of cosmetic sampling for quality control

•           Concerning the production of cosmetics

Content of the new decree

The purpose of the drafting and implementation of this Decree is to swiftly remove barriers and challenges pertaining to law and policy, as well as to address real-world issues that come up in the context of Vietnam's rapidly expanding cosmetics industry.

It is expected that the draft Decree will contain 15 chapters and 63 articles related to 3 policies including:

Policy 1: Strengthen regulations on cosmetic product declaration to ensure uniformity in considering the declaration and use of cosmetic product in accordance with international practices and the ASEAN Cosmetic Harmonization Agreement.

Policy 2: Strengthen the post-inspection work on cosmetics management in accordance with the trend of the 4.0 revolution (the ongoing fourth industrial revolution marked by integration of digital technologies, automation, and artificial intelligence) and promote the use of information technology in the state management of cosmetics; streamline and simplifying administrative procedures, creating favorable conditions for businesses while ensuring consumers’ rights.

Policy 3: Improving the quality of domestically produced cosmetics.

The Draft Decree covers organizations and persons involved in the announcement, production, import, export, and trade of cosmetic products in Vietnam, as well as functional agencies involved in the management of cosmetics.

On 27 December 2023, the Ministry of Industry and Trade (MoIT) of the Socialist Republic of Vietnam published a new circular on greenhouse gas (GHG) emissions. The scope of the circular is to regulate...

On 27 December 2023, the Ministry of Industry and Trade (MoIT) of the Socialist Republic of Vietnam published a new circular on greenhouse gas (GHG) emissions. The scope of the circular is to regulate techniques for the measurement, reporting, and appraisal of GHG emission reduction including GHG inventory in the industry and trade sector. 

Subjects of application 

The circular applies to GHG emitting facilities that must register the greenhouse gases in the inventory as per the decision of the Prime Minister, agencies, organizations, and individuals related to GHG inventory activities. 

Facilities that are not on the list of GHG-emitting facilities must conduct a GHG inventory according to the Prime Minister’s decision and are encouraged to apply the provisions in this circular. 

About the circular 

The Circular on Technical Requirements issued contains the technical procedure for GHG inventories. It has four chapters explaining the technical rules for GHG emissions and three appendices elaborating the guidelines.  

Chapter I: General Rules 

Chapter II: Technical procedure for greenhouse gas inventories 

Chapter III: Measurement, Reporting, and Appraisal of Mitigation of Greenhouse Gas Emission Reductions  

Chapter IV: Enforcement 

Appendix I: List of activities data for Field level GHG Inventory under Industry and Trade sectors 

Appendix II: Forms for submitting Operational data for GHG emission 

Appendix III: Guidance for measurement, reporting, and assessment of reduction of greenhouse gas emission in the industry and trade sector. 

Enforcement Date 

The circular takes effect from February 11, 2024, under the guidance of the Department of Energy Saving and Sustainable Development. 

The "Draft amendment of the Prime Minister's Decision on the List of GHG Emission Facilities that Must Carry Out Greenhouse Gas (GHG) Inventories" (the Draft) was published by the Vietnamese Minis...

The "Draft amendment of the Prime Minister's Decision on the List of GHG Emission Facilities that Must Carry Out Greenhouse Gas (GHG) Inventories" (the Draft) was published by the Vietnamese Ministry of Natural Resources and Environment on October 10, 2023. The deadline for comments was December 10, 2023.

 List of areas requiring greenhouse gas inventories in Annex I;

• List of greenhouse gas emission facilities in Appendix II that are required to perform greenhouse gas inventories in the trade and industry sectors;
• List of greenhouse gas emission establishments in Appendix III that are required to perform a greenhouse gas inventory in the transportation sector;
• List of greenhouse gas emission establishments in Appendix IV that are required to perform a greenhouse gas inventory in the construction industry;
• The list of greenhouse gas emission facilities in Appendix V that are required to conduct greenhouse gas inventories in the natural resources and environment sectors.
• List of greenhouse gas emission establishments included in Appendix VI that are required to do greenhouse gas inventories in the agriculture and rural development sectors.

In accordance with the provisions of the Law on Environmental Protection, Decree 06/2022/ND-CP of the Government, the Ministry of Natural Resources and Environment supervises and coordinates with the Ministries of Industry and Trade, Transport, Agriculture and Rural Development, Construction, and the Provincial People's Committees to review, update, amend, and supplement the list of fields and establishments that must conduct a greenhouse gas inventory and submit it to the Prime Minister for a decision to update the list in accordance with regulations. The Prime Ministerial Decision 01/2022/QD-TTg, which was issued on January 18, 2022, is replaced by this Draft.

 

GHG inventories and emission reductions must be carried out on a regular basis at the facilities listed in the Draft. GHG inventories will be conducted every two years from 2024 in accordance with Cabinet Order 06/2022/ND-CP, and the first GHG inventory report must be submitted by March 31, 2025. GHG emission, on the other hand, will be conducted annually from 2026, and the first GHG emissions reduction results report must be submitted by March 31, 2027.

 

You can obtain the Draft's original text here:

https://monre.gov.vn/VanBan/Pages/ChiTietVanBanDuThao.aspx?pID=1841

 

On 10 October 2023, the Vietnamese Ministry of Health notified to the World Trade Organisation (WTO) a Draft Circular promulgating the list of chemicals and insecticidal and disinfectant products for ...

On 10 October 2023, the Vietnamese Ministry of Health notified to the World Trade Organisation (WTO) a Draft Circular promulgating the list of chemicals and insecticidal and disinfectant products for household and medical use which are under the state management of the Ministry of Health and whose HS codes can be identified according to Vietnam’s nomenclature of exports and imports. The final date for comments is 60 days from the date of notification.

The Draft Circular was published together with Circular No. 31/2022/TT-BTC of the Minister of Finance, dated June 8, 2022 which published the List of Vietnam's export and import items.

Relevant documents

• Circular No.  65/2017/TT-BTC dated  June  27,  2017  of  the  Minister  of  Finance promulgating Vietnam's nomenclature of exports and imports.
• Circular No.  09/2018/TT-BYT dated April 27, 2018 promulgating the list of chemicals and insecticidal and disinfectant products for household and medical use which are under the state management of the Ministry of Health and whose HS codes can be identified in accordance with the Vietnamese Nomenclature for Exports and Imports.
• Circular No.  31/2022/TT-BTC of the Minister of  Finance promulgating  Vietnam's  nomenclature  of   exports and imports, replacing Circular No. 65/2017/TT-BTC.

The tariff classification of imported and exported commodities under the ASEAN Harmonized Tariff Nomenclature (AHTN) 2022 is revised by Circular No. 31/2022/TT-BTC (Circular 31). Based on the most recent version of the World Customs Organization's Harmonized Commodity Description and Coding System (HS), the AHTN is updated every five years (WCO). Every five years, the HS is  updated to reflect advances in product technology, engineering, and marketing.

This Circular is applicable to create import and export tariffs, create lists of goods to serve government administration in accordance with government regulations and Clause 4 Article 26 of the Customs Law, to compile state statistics on import and export, and to assist the state in managing the import and export of goods and other areas.

Purpose and timeline

The purpose of this circular, its justification, and the types of urgent issues it addresses are to protect human health and safety, the environment, and the standards of quality. The proposed date of adoption is 15 December 2023 and is likely to come into force on 15 January 2024.

A public consultation on the Draft Circular on Technical Regulations for Measurement, Reporting and Verification of Greenhouse Gas Emission Reduction and Greenhouse Gas Inventory in the Industry and T...

A public consultation on the Draft Circular on Technical Regulations for Measurement, Reporting and Verification of Greenhouse Gas Emission Reduction and Greenhouse Gas Inventory in the Industry and Trade Sectors (hereinafter referred to as "the Draft") was launched on September 6, 2023, by the Ministry of Industry and Trade of Vietnam (MOIT). The call for comments can be found here.

The Draft offers technical guidance on greenhouse gas (GHG) inventory and GHG emission reduction at the facility level in the industrial sector under the control of the MOIT's. It does so by implementing Decree No. 06/2022/ND-CP Providing Regulations on Reduction of Greenhouse Gas Emissions and Protection of the Ozone Layer. Prime Minister's Decision No. 01/2022/QD-TTg, of January 8, 2022, lists the companies that are required to submit a GHG inventory. This list includes 1,662 facilities in the commercial and industrial sectors.

Emission Sources        

GHG emission sources include direct emissions from stationary equipment such as boilers, furnaces, burners, turbines, heaters, and incinerators resulting from the combustion of fuel. Additionally,  there are mobile emission sources, resulting from the burning of fuel in vehicles etc Indirect emission sources include emission sources resulting from the consumption of electrical energy as well as emission sources related to the use of steam and heat energy. Also, to be considered are emission sources related to purchased raw materials, fuels and waste treatment processes, and others.

GHG Inventory

The latest recommendations issued by the United Nations Intergovernmental Panel on Climate Change (IPCC) will be implemented for specific emission sources. Annex II of the Draft contains the calculations for determining the GHG emissions from each source. The Ministry of Natural Resources and Environment's (MONRE) list of specified emission factors are essentially what the calculation's emission factors follow.

Every two years starting in 2024, facility-level GHG inventories must be created and submitted to the People's Committee of the province or city for review together with any pertinent data. Form 06 in Annex II of Decree No. 06/2022/ND-CP shall be used as the reporting format for the GHG inventory. The deadline for submitting the first report for 2024 is March 31, 2025.  

Reporting of GHG Emission results

In contrast to the GHG inventory procedure, the reporting of GHG emission reduction results will start in 2026, and the first report must be submitted to MONRE and MOIT by March 31, 2027, together with the findings of any third-party verification. Regarding these reporting formats, Form 02 in Annex III of Decree No. 06/2022/ND-CP is to be used for the GHG emission reduction results report and Annex II.2 of the Draft is to be used for the verification results report.

The full Draft can be downloaded here.