Deputy PM requests building specific policies for automotive industry

Thursday, 2015-01-29 11:23:44
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NDO – Deputy Prime Minister Hoang Trung Hai has stressed the need to build specific policies and mechanisms, regarding credit and taxes, for the automotive industry, aiming to create a base for investors and help them set concrete orientations for their projects and business on the Vietnamese automobile market. 

The deputy PM made the statement at a joint meeting held by the Ministry of Industry and Trade (MOIT) and Ministry of Finance (MOF) in Hanoi on January 28, which heard the two ministries’ recommendations for implementing the Vietnamese automobile industry’s development strategy and plan.

Based on analysis of the status quo of the automobile industry’s development and directions, the ministries made initial proposals regarding import tax on complete built unit (CBU) cars and components with a roadmap to 2018, and special consumption tax on different models of automobiles oriented towards expanding domestic market capacity for some certain models.

Comments were also given on corporate income tax policy, fee policy and incentive policies for projects manufacturing three prioritised automobile models as stipulated in Decision No. 1211/2014/QĐ-TTg.

The Vietnamese automobile industry currently has a manufacturing and assembling capacity of 460,000 automobiles per year, half of which are cars; however, it is not yet considered a real automobile manufacturing industry as assembling accounts for a major part.

Commenting on the roadmap of building policies on taxes and product lines, Deputy PM Hai asked for close coordination and consensus among ministries, especially the MOIT and MOF, in their recommendations and drafts to ensure stability and transparency, and to match Vietnam’s integration commitments.