Khanh Hoa Provincial People's Committee has just issued a guiding document on the implementation of the law on Economic Need Test (ENT) as the request of the Ministry of Industry and Trade.
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Photo: Illustrative picture. Photo: Thanh Hien.
Accordingly, the Provincial People's Committee assigned the Department of Industry and Trade and the Department of Planning and Investment to actively study the proposed contents of the Ministry of Industry and Trade to coordinate with relevant departments, agencies and units to implement the law on ENT in the province; ensure the strict implementation of Vietnam's commitments under the framework of the World Trade Organization (WTO) and Resolution No. 50-NQ / TW dated August 20th 2019 of Politburo, on the orientation to improve the mechanisms, policies, improve the quality and efficiency of foreign investment cooperation until 2030. During the implementation process, the units should promptly report difficulties and problems to the provincial People's Committee, ministries and central branches to handle in accordance with current law.
Previously, the Ministry of Industry and Trade issued Document No. 1044/BCT-KH dated February 18th 2020 on this issue. According to the Ministry of Industry and Trade, in the coordinating process with the Ministry of Planning and Investment in performing the task of State management over foreign investment activities in the field of commerce, services in general and distribution and sale; the Ministry of Industry and Trade recognizes that a number of problems arise from entities applying ENT as well as problems when implementing investment laws and procedures. Therefore, the Ministry of Industry and Trade requests the Ministry of Planning and Investment to consider, continue studying, amending and supplementing a number of relevant provisions of the Law on Amending and Supplementing the Investment Law to be consistent with the Vietnam's commitments in the WTO on ENTs, ensuring consistency with current regulations on the principles of application of international treaties or commitments. Regarding to investment activities in retail distribution, it is necessary to comply with Vietnam's commitments in the WTO. Accordingly, every foreign retail service provider having a commercial presence in Vietnam in any form or mode must carry out procedures and meet ENT conditions when setting up retail establishment outside the first retail one in accordance with Decree No. 09/2018/ ND-CP dated January 15th 2018 of the Government detailing the Commercial Law and the Law on Foreign Trade Management on goods trading and activities directly related to the sale and purchase goods of foreign investors, foreign-invested economic organizations.
See the document of provincial People’s Committee at here.
MY HAU