Customs finds difficulties because there is no e-cigarette management policy

VCN - E-cigarette products are invading and being used more and more commonly in our country, especially among young people, teenagers, and students. Meanwhile, there is currently no management policy for this item, making it difficult for Customs to determine violations and apply sanctions.
Confusion in management over next-generation tobacco products Confusion in management over next-generation tobacco products
Which items are subject to excise tax? Which items are subject to excise tax?
Ho Chi Minh City: dealing with many e-cigarette trading points Ho Chi Minh City: dealing with many e-cigarette trading points
Customs finds difficulties because there is no e-cigarette management policy
Exhibits in the seizure of more than 100,000 e-cigarette products at the end of 2023 in Bac Ninh.

Many types of e-cigarette products appear

According to statistics from the General Department of Customs, from 2020, local Customs have seized 28 cases related to e-cigarettes, confiscating and destroying thousands of e-cigarette products.

Most recently, on March 27, 2024, the interdisciplinary inspection team chaired by Market SurveillanceTeam No. 4, in coordination with the Economic Police Team (Mong Cai City Police), and the drug-related crime investigation police division (Quang Ninh Provincial Police), Drug Enforcement Team (Quang Ninh Customs Department) inspected and discovered many e-cigarettes and accessories at a shop in Mong Cai city, Quang Ninh province. On the labels of all the above goods there is no barcode, no information about origin, no invoices or documents, so there is no basis to determine the origin if they are used, they may be harmful to human health.

Previously, on February 20, 2024, at Noi Bai International Airport, Noi Bai Aviation Security Center coordinated with Noi Bai International Airport Border Gate Customs Branch to arrest a passenger carrying on bag containing 60 packs of IQOS brand electronic cigarettes (unused).

There are many smoke-free tobacco products that use electronic devices to heat a solution containing nicotine or tobacco ingredients to create nicotine-containing vapor without the combustion process upon using on the market. Among them, e-cigarettes and heated cigarettes are the most common products. However, the General Department of Customs said that current legal regulations do not define what electronic cigarettes and heated cigarettes are.

Analyzing current legal regulations on the management of electronic cigarettes and heated cigarettes, the General Department of Customs said, according to the provisions of the Law on Foreign Trade Management, Decree No. 69/2018/ND- CP detailing a number of articles of the Law on Foreign Trade Management, Decree No. 67/2013/ND-CP detailing a number of articles and measures to implement the Law on Prevention and Control of Harmful Effects of Tobacco on drug business (amended and supplemented in Decree No. 106/2017/ND-CP, No. 08/2018/ND-CP, No. 17/2020/ND-CP of the Government), new generation tobacco products have not yet been identified in the List of goods banned from export as well as the List of goods exported and imported according to licenses and conditions.

According to the assessment of many experts, new generation cigarettes are a potentially risky product that negatively affects human health and economic and social life, but are currently not specifically regulated in law. The Ministry of Finance (General Department of Customs) has repeatedly exchanged with the Ministry of Industry and Trade to clarify management policies and recommended that the Ministry of Industry and Trade soon develop or advise competent authorities to promulgate regulations to manage new generation cigarettes (e-cigarettes, heated cigarettes including components, assemblies, flavorings, chemicals...).

Regarding this issue, on October 26, 2021, the Government Office issued official dispatch No. 7830/VPCP-CN announcing the guidance of Deputy Prime Minister Le Van Thanh on developing management policies for new generation tobacco products in Vietnam, it requires: The Ministry of Industry and Trade to clarify the legal basis and authority to promulgate pilot policies to manage new generation tobacco products; coordinate with the Ministry of Health to continue researching and evaluating new generation tobacco products, on the basis of ensuring consumer health and harmonizing the interests of stakeholders. However, to Currently, the Ministry of Industry and Trade and the Ministry of Health have not issued or submitted to competent authorities for promulgation legal documents regulating new generation tobacco products, leading to difficulties and obstacles for the Customs in the handling import procedures for this item.

The policies must be issued soon to ensure management

From the perspective of state management of customs, strictly implementing the Government's direction, the General Department of Customs has issued a document directing local customs departments not to handle import procedures for e-cigarettes, heated cigarettes.

Regarding the import of electronic components to produce and assemble e-cigarette parts, a number of enterprises have been granted Investment Certificates to manufacture, process and assemble e- cigarette parts such as the punch core at the tip of the e-cigarette, heating module (the product is simply an electronic device, does not contain medicinal solution, does not contain tobacco), then export all products abroad, do not consume, use or sell in the Vietnamese market. According to the provisions of Article 5 and Article 42 of the Investment Law, "Investors have the right to conduct investment and business activities in industries and lines that this law does not prohibit" and "investors are responsible for complying with provisions of this law, and the investment certificate during the implementation of investment projects". Currently, the Customs agency only handles procedures for importing electronic components for processing and manufacturing products that are equipment used in e-cigarettes (not including tobacco solution or any tobacco products) to export abroad according to the investment fields licensed in the investment certificate.

According to the General Department of Customs, because there is no management policy for e- cigarettes and heated cigarettes, the Customs agency finds difficulties in defining violations and applying sanctions.

To resolve problems, competent authorities need to soon issue legal documents regulating imported e-cigarettes, heated cigarettes as well as imported electronic equipment and components to manufacturing, assembling and processing electronic devices used for e-cigarettes and heated cigarettes.

By Ngoc Linh/ Huyen Trang

Related News

Customs industry’s revenue increases thanks to high value of four major import and export commodity groups

Customs industry’s revenue increases thanks to high value of four major import and export commodity groups

VCN – As of July 17, the revenue of the whole Customs industry increased by about 8% year-on-year to VND 221,829 billion, meeting 59.2% of the estimate. The results have contributed by the revenue from four major import and export commodity groups.
Customs busts 49 drug violations during peak month

Customs busts 49 drug violations during peak month

VCN - Implementing the 2024 Action month for drug prevention and control (June 2024), the General Department of Customs issued Official Dispatch No. 2530/TCHQ-DTCBL dated June 3, 2024 directing affiliated and subordinate units to implement the Action Month.

Latest News

Promoting review, classification and management of tax debt

Promoting review, classification and management of tax debt

VCN - According to the General Department of Customs, the amount of overdue debt recovered and processed in the first 6 months of 2024 for the all Customs sector reached VND 349 billion. To ensure completion of tax debt collection and settlement targets, the General Department of Customs requires units to focus on reviewing debt management records to effectively implement measures to urge, collect and handle tax debt.
Documents required for vehicles transporting cargo across Lang Son Border Gate from August 1

Documents required for vehicles transporting cargo across Lang Son Border Gate from August 1

VCN - VCN- Vehicles carrying import and export cargo across customs clearance routes and specialized roads in the international border gate pair of Huu Nghi (Vietnam) - Huu Nghi Quan (China) must comply with international treaties and regulations of Vietnam Law. Accordingly, the vehicles transporting import and export cargo across Lang Son border gates are required to have at least seven valid documents from August 1, 2024, Lang Son Department of Industry and Trade notified.
Does goods imported for investment incentives project subjected to tax exemption?

Does goods imported for investment incentives project subjected to tax exemption?

VCN - That is the problem of Ba Ria - Vung Tau Customs Department related to processing tax exemption documents for imported goods to serve investment incentive projects.
Border gate area planning associated with digital transformation needs to prioritize human resources, equipment, and infrastructure

Border gate area planning associated with digital transformation needs to prioritize human resources, equipment, and infrastructure

VCN - According to Lang Son Customs Department, to implement the master plan of the land border gate area associated with the goal of digital transformation, in which, to ensure successful implementation of the Customs Development Strategy until 2023, Building digital Customs, a smart Customs model, it is necessary to review and evaluate the overall system of land border gates, paying attention to investment in equipment, facilities, and human resources.

More News

Proposal to reduce registration fees to restore growth of domestic automobile industry

Proposal to reduce registration fees to restore growth of domestic automobile industry

VCN - Facing the significant decline in auto market sales in the last months of 2023 and early 2024, the Ministry of Finance is asking for opinions from ministries, central agencies and relevant agencies on continuing to reduce registration fee to restore growth of the domestic automobile industry amid many difficulties and challenges in the economy.
VAT reform promotes sustainable development of the agricultural sector

VAT reform promotes sustainable development of the agricultural sector

VCN - In the revised Draft Law on Value Added Tax (VAT), the conversion of fertilizers and specialized machinery and equipment serving agricultural production to applying 5% VAT since it belongs to the group of subjects not subject to tax according to current law, it is a content that receives attention from the business community, especially fertilizer production enterprises. According to experts and businesses, converting this item to a taxable object will have a huge impact on agricultural production.
Customs implements VAT reduction policy from July 1st

Customs implements VAT reduction policy from July 1st

VCN - To implement the contents relating to customs field, General Department of Vietnam Customs requested local customs departments to reduce VAT for group of commodities as stipulated at Decree 72/2024/NĐ-CP.
Amend the Law on Corporate Income Tax to ensure stable revenue sources for the budget

Amend the Law on Corporate Income Tax to ensure stable revenue sources for the budget

VCN - According to the Ministry of Finance, the amendment of the Law on Corporate Income Tax (CIT) aims to overcome inadequacies and overlaps, ensure stable revenue sources for the state budget, and contribute to restructuring state budget revenues in a sustainable direction.
List of imported and exported medicine and medicinal ingredients identified commodity codes

List of imported and exported medicine and medicinal ingredients identified commodity codes

VCN – 14 lists of imported and exported medicine and medicinal ingredients for human use and cosmetics that have been identified commodity codes under Vietnam’s Imports and Exports Nomenclature, have been approved and issued by the Ministry of Health from July 26, 2024.
Hundreds of tons of imported raw cashew nuts stuck in quarantine

Hundreds of tons of imported raw cashew nuts stuck in quarantine

VCN – A company is facing problems with plant quarantine regulations when carrying out procedures to import over 384 tons of "raw cashew nuts, originating from Tanzania" from a bonded warehouse in Dong Nai.
Extend deadline for paying Special Consumption Tax on domestically produced and assembled cars

Extend deadline for paying Special Consumption Tax on domestically produced and assembled cars

VCN – The Government has issued Decree 65/2024/ND-CP dated June 17,2024 extending the deadline for paying Special Consumption Tax on domestically produced and assembled cars. The Decree takes effect from the date of signing until December 31, 2024.
Extend the deadline for paying taxes and land rent in 2024

Extend the deadline for paying taxes and land rent in 2024

VCN - The Government has just issued Decree No. 64/2024/ND-CP dated June 17, 2024 extending the deadline for paying value added tax (VAT), corporate income tax (CIT), personal income tax (PIT) and land rent in 2024. This Decree takes effect from June 17, 2024 to December 31, 2024. After the extension period according to this Decree, the deadline for paying taxes and land rent will comply with current regulations.
Tax payment deadline for domestic cars extended

Tax payment deadline for domestic cars extended

The Government has decided to extend the deadline for special consumption tax payment for domestically manufactured or assembled automobiles.
Read More

Your care

Latest Most read
Promoting review, classification and management of tax debt

Promoting review, classification and management of tax debt

According to the General Department of Customs, the amount of overdue debt recovered and processed in the first 6 months of 2024 for the all Customs sector reached VND 349 billion.
Documents required for vehicles transporting cargo across Lang Son Border Gate from August 1

Documents required for vehicles transporting cargo across Lang Son Border Gate from August 1

VCN - On July 18, Lang Son Department of Industry and Trade notified the method of delivery and receipt of import and export cargo transported across customs clearance routes and specialized roads in the International Border Gate pair of Huu Nghi (Vietnam
Does goods imported for investment incentives project subjected to tax exemption?

Does goods imported for investment incentives project subjected to tax exemption?

That is the problem of Ba Ria - Vung Tau Customs Department related to processing tax exemption documents for imported goods to serve investment incentive projects.
Border gate area planning associated with digital transformation needs to prioritize human resources, equipment, and infrastructure

Border gate area planning associated with digital transformation needs to prioritize human resources, equipment, and infrastructure

VCN - According to Lang Son Customs Department, to implement the master plan of the land border gate area associated with the goal of digital transformation, in which, to ensure successful implementation of the Customs Development Strategy until 2023, Bui
Proposal to reduce registration fees to restore growth of domestic automobile industry

Proposal to reduce registration fees to restore growth of domestic automobile industry

VCN - Facing the significant decline in auto market sales in the last months of 2023 and early 2024, the Ministry of Finance is asking for opinions from ministries, central agencies and relevant agencies on continuing to reduce registration fee to restore
Mobile Version