Requirements for imports of second hand machines

VGP – Generally, used machinery and equipment can be imported if it is no more than 10 years old.

May 06, 2020 10:38 AM GMT+7

Question: A processing enterprise plans to import over 10-year used machines from Japan. What are requirements for importing second hand machines in accordance with the PM’s Decision 18/2019/QD-TTg?

Answer:

Decision 18/2019/QD-TTg (Decision 18) dated April 19, 2019, sets out rules for the importation of used equipment and production technology.

Generally, used machinery and equipment can be imported if it is no more than 10 years old.

However for used machinery and equipment in some specific cases (i.e. the mechanical, wood manufacturing and paper and pulp production sectors), the permissible age is increased to 15 or 20 years.

Moreover, used machinery and equipment must have been manufactured based on standards which conform with Viet Nam’s National Standards on safety, energy saving and environment protection. In the absence of applicable National Standards, the imported machinery and equipment must conform with national technical standards or national standards of one of the G7 countries.

Importation of used production technology is only allowed when certain criteria are fulfilled, such as:

• It must comply with National Technical Regulations (QCVN) on safety, energy saving and environmental protection. If there are no corresponding National Technical Regulations, it must comply with the National Standards (TCVN) of Viet Nam, or the national technical standards of G7 countries or South Korea.

• In terms of remaining capacity/efficiency, used technology for production must attain 85% or more of designed capacity, and consumption of materials and energy should not exceed the designed usage by more than 15%. It should not be listed as a prohibited/ restricted transfer, and must be used in at least three factories in countries of the Organization for Economic Co-operation and Development (OECD).

On this case, the enterprise is advised to compose a dossier in accordance with Point 2, Article 9 of Decision 18, then send it to the Ministry of Science and Technology for approval. /.