| II.
SECTOR-SPECIFIC COMMITMENTS |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
1.
BUSINESS SERVICES
A. Professional services
(a) Legal
services (PCPC 861, excluding Vietnamese
law practice) |
(1) None
(2) None
(3) Companies of the U.S. may supply services in
the form of branches,
company with 100% U.S. invested capital, and Vietnam-US joint
ventures.
Practicing lawyers of the U.S. are not permitted to participate in
legal
proceedings in the capacity of defenders or representatives of their
clients
before the courts of Vietnam.
The term of operation of a branch of a law firm of the U.S. is 5
years from
the date when license is granted and may be extended every 5 years.
Branches of U.S. law firms, law firms with 100% U.S. capital, joint
venture law firms between Vietnamese law firms and U.S. law firms
are permitted to make consultations on Vietnamese laws if the
consulting
lawyers have graduated from a Vietnamese law college and satisfy
requirements applied to like Vietnamese law practitioners.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
(b)
Accounting, auditing and
book keeping service (PCPC 862) |
(1) None
(2) None
(3) None except branching is not permitted and:
For the period of three years from the date of entry into force of
the
Agreement, licensing shall be made on a case by case basis. The
number of the service providers shall be decided by the Ministry of
Finance, based on the development of the market of Vietnam.
For the license to be granted, the service supplying company must
have at least 5 persons (foreigners or Vietnamese) having a CPA
issued by the Ministry of Finance or by foreign professional
institutions recognized
by the Ministry of Finance, and have been practicing in Vietnam for
more
than 1 year. For the period of two years from the date of entry into
force of the
Agreement accounting firms with U.S. invested capital, after
receiving
the license, are only permitted to supply services to foreign
invested enterprises and foreign funded projects in Vietnam.
(4) Unbound except as indicated in Horizontal commitments |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments.
|
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
|
(c) Taxation services (PCPC
863)
|
(1) None
(2) None
(3) None except branching is not permitted and:
For the period of 5 years from the date of entry into force of the
Agreement, licensing shall be made on case by case basis and the
number of the service providers shall be decided by the Ministry of
Finance, based
on the development of the market of Vietnam.
For the period of 5 years from the date of entry into force of the
Agreement, service supplying companies with U.S. invested capital
are only permitted to supply services to foreign invested
enterprises and
foreign funded projects in Vietnam.
(4) Unbound except as indicated in Horizontal commitments |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments
|
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
(d) Architectural service
(PCPC 8671) |
(1) None
(2) None
(3) None except branching is not permitted and:
For the period of two years from the date of establishment and
operation, enterprises with 100% U.S.-owned capital may only provide
their services to enterprises with foreign directly-invested capital
in Vietnam.
Companies of the U.S. have been legally registered for operation in
the U.S.
(4) Unbound except as indicated in Horizontal commitments |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
(e)
Engineering services
(PCPC 8672)
(f) Integrated engineering
services (PCPC 8673) |
(1) None
(2) None
(3) None except branching is not permitted and:
For the period of two years from the date of establishment and
operations,
enterprises with 100% U.S.-owned capital may only provide services
to
enterprises with foreign directly-invested capital in Vietnam.
Companies of the U.S. have to be legally registered for operation in
the
U.S.
Service supplying companies of the U.S. and service supplying
companies
with U.S. directly-invested capital are not permitted to carry out
topographic, construction geological, metrology, geological and
environment investigations unless otherwise authorized by the
Government of Vietnam.
Service supplying companies of the U.S. and service supplying
companies
with U.S. directly-invested capital are not permitted to carry out
technical
investigation for designing rural-urban construction plans,
sector-construction
plans unless otherwise authorized by the Government of
Vietnam.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
B.
Computer and related
services (PCPC 841-849) |
(1) None
(2) None
(3) None except branching is not permitted and:
For the period of two years from the date of establishment companies
with
100% U.S.-owned capital are permitted to provide services only to
enterprises with foreign invested capital in Vietnam.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
C.
Other business services
(a) Advertising services
(PCPC 871 excluding
advertising services for
wines and cigarettes) |
(1) None
(2) None
(3) Only in the form of joint venture or business cooperation
contract with
Vietnamese partners who are legally authorized to do advertising
services.
The capital contribution of the U.S. side may not exceed 49% of the
legal
capital of the joint venture. 5 years from the date of entry into
force of the
Agreement this limitation shall be 51% and 7 years from the date of
entry
into force of the Agreement there shall be no limitation on capital
contribution from the U.S. side in joint ventures.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
(b)
Market research (PCPC
864 excluding 86402) |
(1) Unbound
(2) None
(3) Only in the form of joint venture or business cooperation
contract.
The capital contribution of the U.S. side may not exceed 49% of the
legal
capital of the joint venture. 5 years from the date of entry into
force of the
Agreement this capital limitation shall be 51%.
7 years from the date of entry into force of the Agreement
enterprise with
100% U.S. invested capital may be established.
(4) Unbound except as indicated in Horizontal commitments. |
(1) Unbound
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
(c) Management consulting
service (PCPC 865) |
(1) None
(2) None
(3) Only in the form of joint venture or business cooperation
contract, and
5 years after the date of entry into force of the Agreement
enterprise with
100% US invested capital may be established.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
II.
COMMUNICATION
SERVICES
A. Telecommunication
services (PCPC 752)
a. Value-added services:
-Electronic mail (PCPC
7523**)
-Voice mail (PCPC 7523**)
- On-line information and
data base retrieval (PCPC
7523**)
- Electronic data interchange
(EDI) (PCPC 7523**)
- enhance/value-added
facsimile services including
store and forward, store and
retrieve (PCPC 7523**)
- code and protocol
conversion
- on-line information and
data processing (PCPC
843**) |
(1) Only through business contract
with Vietnamese gateway operators.
(2) None
(3) Only in the form of a business cooperation contract with a
Vietnamese
partner who is authorized to provide telecommunication services.
2 years after entry into force of the Agreement (3 years after entry
into
force for Internet services) joint ventures with Vietnamese partners
who
are authorized to provide telecommunications services may be
established, and the capital contribution of the U.S. side may not
exceed
50% of the legal capital of the joint venture.
Joint venture enterprises are not permitted to construct their own
long-distance
and international circuit but have to lease them from the
Vietnamese operators.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
b. Basic telecommunication
services:
- Packet-switch data
transmission services7523**)
– Circuit-switch data
transmission services (PCPC
7523**
– Telex services (PCPC
7523**)
– Telegraph service (PCPC
7523*)
– Facsimile (PCPC 7521**+
7529**)
– Private leased circuit
services (PCPC 7522**+
7523**)
– Radio based services
(including cellular, mobile,
satellite). |
(1) Only through business contract with Vietnamese gateway
operators.
(2) None
(3) Only in the form of a business cooperation contract with a
Vietnamese
partner who are authorized to provide telecommunication services.
4 years after entry into force of the Agreement, joint ventures with
Vietnamese partners who are authorized to provide telecommunications
services may be established, and the capital contribution of the
U.S. side
may not exceed 49% of the legal capital of the joint venture.
Joint venture enterprises are not permitted to construct their own
long-distance
and international circuit but have to lease them from the
Vietnamese operators.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
c.
Voice telephone services
(PCPC 7521) including fix
local, long distance and
international |
(1) Only through business contract
with Vietnamese gateway operators.
(2) None
(3) Only in the form of a business cooperation contract with a
Vietnamese
partner who are authorized to provide telecommunication services.
6 years after entry into force of the Agreement, joint ventures with
Vietnamese partners who are authorized to provide telecommunications
services may be established and the capital contribution of the U.S.
side
can not exceed 49% of the legal capital of the joint venture.
(4) Unbound except as indicated in Horizontal commitments.
Vietnam shall consider increasing U.S. equity limitations in the
telecommunications sector when the Agreement is reviewed in three
years. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
B.
Audio visual services
– Film production and
distribution services (PCPC
9611 excluding video tapes)
– Motion picture projection
services (PCPC 9612) |
(1) Unbound
(2) Unbound
(3) Only through business cooperation contract or joint venture with
Vietnamese partners who are legally authorized to provide these
services
in Vietnam.
The capital contribution of the U.S. side shall not exceed 49% of
the legal
capital of the joint venture. 5 years after the date of entry into
force of the
Agreement this capital limitation shall be 51%.
(4) Unbound except as indicated in Horizontal commitments. |
(1) Unbound
(2) Unbound
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
III.
CONSTRUCTION AND
RELATED ENGINEERING
SERVICES
– General construction work
for buildings (PCPC 512)
– General construction work
for civil engineering (PCPC
513)
– Installation and assembly
work (PCPC 514+516)
– Building completion and
finishing work (PCPC 517)
– Other (PCPC 511, 515,
518) |
(1) Unbound (due to lack of technical
feasibility)
(2) None
(3) None except branching is not permitted and:
For the period of three years from the date of establishment and
operation
enterprises with 100% U.S. invested capital may only provide their
services to enterprises with foreign directly-invested capital in
Vietnam.
- Companies of the
U.S. have been legally registered for operation in
the U.S.
(4) Unbound except as indicated in Horizontal commitments. |
(1) Unbound
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
IV.
DISTRIBUTION
SERVICES
-- Wholesale and retail sales
services
-- Agent services excluding
agent services for foreign
legal persons;
-- Franchising services
(subject to the development
of laws and regulation on
franchising services)
excluding oil and oil
derivatives, gas, fertilizer,
pesticide and insecticide,
alcoholic drinks and spirits,
cigarettes and cigars,
medicine, precious metals
and stones, explosives, rice
and wheat flour |
(1) Unbound
(2) None
(3)
a. Subject to the limitations specified in annex D, 3 years after
the date of
entry into force of the Agreement joint ventures with Vietnamese
partners
may be established, and the capital contribution of the U.S. side
may not
exceed 49%. 6 years after the date of entry into force of the
Agreement
this limitation shall be abolished.
b. Subject to the limitation specified in annex D, 7 years after the
date of
entry into force of the Agreement enterprise with 100% U.S. invested
capital may be established.
The establishment of outlets for retail services (beyond the first
one) shall
be considered on a case-by-case basis.
(4) Unbound except as indicated in Horizontal commitments. |
(1) Unbound
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
V.
EDUCATIONAL
SERVICES
(In technical, natural science
and technology fields) |
(1) Unbound
(2) None
(3) Only in the form of joint venture.
7 years after the date of entry into force of the Agreement, schools
with
100% U.S. invested capital may be established.
(4) Unbound except as indicated in Horizontal commitments. |
(1) Unbound
(2) None
(3) Foreign teachers of education units with U.S.
invested capital must have 5 years teaching
experience and be recognized by the Ministry of
Education.
(4) Unbound except as indicated in Horizontal commitments. |
VI.
FINANCIAL
SERVICES
A. Insurance Services
(a) Life, and accident
insurance services (PCPC
8121 - excluding health
insurance services)
(b) Non life insurance
services (PCPC 8129)
(c) Re-insurance and retrocession (PCPC 81299**
(d) Services auxiliary to
insurance (including broking
and agency services) (PCPC
8140) |
(1) None for
– insurance services provided to enterprises with foreign
invested capital, foreigners working in Vietnam;
– reinsurance services;
– insurance services in international transportation;
– insurance brokering and reinsurance brokering services
– advisory, claim settlement and risk assessment services
(2) None
(3) None, except:
The establishment of branches depends on the process of formulation
of
Insurance Business Law.
3 years after the date of entry into force of the Agreement joint
ventures
with Vietnamese partners who are authorized to provide insurance
services may be established. The capital contribution from the U.S.
side
shall not exceed 50% of the legal capital of the joint venture.
5 years after the date of entry into force of the Agreement
companies with
100% U.S. invested capital may be established.
Services supplying companies with U.S. invested capital shall not be
allowed to provide insurance agent services.
Service applying companies with U.S. invested capital shall not be
allowed to engage in statutory insurance business: motor vehicle
third
party liability, insurance in construction and installation,
insurance for oil
and gas projects, and insurance for projects and construction of
high
danger to public security and environment. This limitation shall be
eliminated for joint ventures 3 years after the date of entry into
force of
the Agreement, and for companies with 100% U.S. invested capital 6
years after the date of entry into force of the Agreement.
With respect to reinsurance, joint venture companies, companies with
100% U.S.-owned capital and branches of insurance companies of the
U.S. shall reinsure with the Reinsurance Company of Vietnam with the
minimum proportion of 20%, and 5 years after the entry into the
force of
the Agreement this limitation shall be abolished.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None except for statutory insurance business.
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
B.
Banking and Other
Financial Services as listed
below.
(a) Acceptance of deposits
and other repayable funds
from the public;
(b) Lending of all types,
including consumer credit,
mortgage credit, factoring
and financing of
commercial transaction;
(c) Financial leasing;
(d) All payment and money
transmission services,
including credit, charge and
debit cards, travelers’
cheques and bankers drafts;
(PCP 81339)
(e) Guarantees and
commitments
(f) Money broking
(g) Asset management,
such as cash or portfolio
management, all forms
of collective investment
management, pension
fund management,
custodial, depository
and trust services;
(h) Settlement and clearing
services for financial
assets, including
securities, derivative
products and other
negotiable instruments;
(i) Provision and transfer
of financial
information, and
financial data
processing and related
software by supplier of
other financial services;
(j) Advisory,
intermediation and
other auxiliary financial
services on all activities
listed in subparagraphs
(a) through (k),
including credit
reference and analysis,
investment and
portfolio research and
advice, advice on
acquisitions and on
corporate restructuring
and strategy. |
(1) Unbound, except for financial
information
services, B. (i) and (j).
(2) None
(3) None, except the following:
a) U.S. financial service suppliers are permitted
to provide services in Vietnam through the
following legal forms upon entry into force:
branches of a U.S. bank, U.S.-Vietnam joint
venture banks, 100% U.S. owned financial
leasing companies, and U.S.-Vietnam joint
venture financial leasing companies.
b) For the period ending 3 years from the date of
entry into force of this Agreement, the only
legal form in which other U.S. financial
services suppliers (besides banks and leasing
companies) may provide financial services in
Vietnam is through joint ventures with
Vietnamese partners. Thereafter, this
limitation is abolished.
c) U.S. banks will be permitted to establish
100% subsidiary banks in Vietnam beginning
on a date that is 9 years after the date of entry
into force of this agreement. Until that time,
U.S. banks may establish joint-venture banks
in Vietnam in which the equity participation
of the U.S. partner shall not be less than 30%
but not exceed 49%.
d) Vietnam may limit, on a national treatment
basis, equity participation by U.S. banks in
privatized Vietnamese state-owned banks to
the same level as equity participation by
Vietnamese banks.
e) During the first 8 years after entry into force,
Vietnam may limit the right of a U.S. bank
branch to accept deposits in dong from
Vietnamese legal persons with which the
bank does not have a credit relationship to a
ratio of the branch’s paid-in capital according
to the schedule below. Thereafter, such
limitations will be abolished:
Year 1: 50% of legal paid-in capital
Year 2: 100% of legal paid-in capital
Year 3: 250% of legal paid-in capital
Year 4: 400% of legal paid-in capital
Year 5: 600% of legal paid-in capital
Year 6: 700% of legal paid-in capital
Year 7: 900% of legal paid in capital
Year 8: Full national treatment
During the first 10 years after entry into
force, Vietnam may limit the right of a U.S.
bank branch to accept deposits in dong from
Vietnamese natural persons with which the
bank does not have a credit relationship to a
ratio of the branch’s paid-in capital according
to the schedule below. Thereafter, such
limitations will be abolished:
Year 1: 50% of legal paid-in capital
Year 2: 100% of legal paid-in capital
Year 3: 250% of legal paid-in capital
Year 4: 350% of legal paid-in capital
Year 5: 500% of legal paid-in capital
Year 6: 650% of legal paid-in capital
Year 7: 800% of legal paid in capital
Year 8: 900% of legal paid in capital
Year 9: 1000% of legal paid in capital.
Year 10: Full national treatment
In no year during the phase-in period shall
the combined ratio of Dong deposits to legal
paid-in capital of a U.S. bank branch exceed
full national treatment.
f) Beginning on a date that is 8 years after the
date of entry into force of the Agreement,
financial institutions with U.S. invested
capital are allowed to issue credit cards on a
national treatment basis.
g) Branches of U.S. banks are not allowed to
place automatic teller machines at locations
other than offices of such banks until such
time as Vietnamese banks are permitted to do
so. A branch of a U.S. bank shall not be
allowed to open other transaction points.
h) Unbound for the management of statutory
social security or public retirement plans.
(4) Unbound, except as indicated in Horizontal commitments. |
(1) Unbound, except for financial
information
services, B. (i) and (j).
(2) None
(3) None, except the following:
a) In order to establish and operate in Vietnam,
branches of U.S. banks, US bank subsidiaries,
and U.S.-Vietnam joint ventures shall have to
apply for a license.
b) The conditions for the establishment in
Vietnam of the branch of a bank of the U.S.
are:
- Minimum capital of the branch granted by
its parent bank of U.S. $15 million.
- Parent bank guarantees, in written form,
to undertake all responsibilities and
commitments of its branch in Vietnam.
c) The condition for the establishment of a U.S.-Vietnam
joint venture bank or a 100%-owned
subsidiary of a U.S. bank is:
- Minimum legal capital of US$10 million.
d) Financial institutions with 100% U.S. invested
capital are not allowed to take an initial
mortgage interest in land use rights. Beginning
on the date that is 3 years from the date of
entry into force of this Agreement, financial
institutions with 100% U.S. invested capital
shall only be allowed to take an initial
mortgage interest in land-use rights held by
enterprises with foreign invested capital. In
cases of default of such borrowers, financial
institutions with 100% U.S. invested capital
may acquire and use mortgages or land-use
rights for purposes of liquidation.
e) The conditions for the establishment in
Vietnam of a 100% owned subsidiary of a U.S.
financial leasing company or joint-venture
financial leasing company are:
- Investors must have three consecutive profit
making years;
- Legal capital shall not be less than US$5
million.
f) Until the date ending 3 years from the date of
entry into force of this Agreement, Vietnam is
not obliged to provide full national treatment
with regard to access to central bank
rediscounting, swap, and forward facilities.
(4) Unbound except as indicated in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
(k)
Trading for own account
or for account of customers,
whether on an exchange, in an
over-the-counter market or
otherwise, the following:
i. money market
instruments (including
cheques, bills, certificates of
deposits);
ii. foreign exchange;
iii. derivative products
including, but not limited
to, futures and options;
iv. exchange rate and
interest rate instruments,
including products such as
swaps, forward rate
agreements;
v. transferable securities;
vi. other negotiable
instruments and financial
assets, including bullion;
l) Participation in issues ofall kinds of securities,
including underwriting
and placement as agent
(whether publicly or
privately) and provision of
services related to such
issues; |
(1) Unbound
(2) None
(3) A non-bank U.S. securities service supplier
is permitted to establish only as a
representative office in Vietnam.
(4) Unbound except as provided in
Horizontal commitments |
(1) Unbound
(2) None
(3) None
(4) Unbound except as provided in Horizontal commitments. |
|
Sector or sub-sector |
Limitations on market access |
Limitations on national treatment |
VII.
HEALTH RELATED
SERVICES
- Hospital services (PCPC
9311)
- Medical and dental services
(PCPC 9312)
|
(1) None
(2) None
(3) Service supplying the companies of the U.S.
are permitted to provide services through the
establishment of hospitals with 100% U.S.-owned
capital, joint ventures with Vietnamese partners
or through business cooperation contracts.
The minimum investment capital for a hospital is
20 million U.S. dollars, a policlinic unit is 2
million U.S. dollars and a specialty unit is 1
million U.S. dollars.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
VIII.
TOURISM AND
TRAVEL RELATED
SERVICES
A. Hotel and restaurants
including:
- Lodging services (PCPC
64110)
- Catering foods (PCPC 642)
and drinks (PCPC 643)
services |
(1) None
(2) None
(3) Service supplying companies of the U.S., in
parallel with the investment to build a hotel, are
permitted to provide services under the forms of
business cooperation contracts, joint ventures with
Vietnamese partners or establishment or
enterprises with 100% U.S. invested capital.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) None
(4) Unbound except as indicated in Horizontal commitments. |
B.
Travel agencies and tours
operators services (PCPC
7471) |
(1) None
(2) None
(3) Service supplying companies of the U.S. are
permitted to provide services in the form of joint
venture with Vietnamese partners.
The capital contributions of the U.S. side shall not
exceed 49% of the legal capital of the joint
venture. 3 years after the date of entry into force
of the Agreement this limitation shall be 51%,
and 5 years after entry into force, it shall be
eliminated.
(4) Unbound except as indicated in Horizontal commitments. |
(1) None
(2) None
(3) Tourist guides in joint ventures shall be
Vietnamese citizens.
Service supplying companies with U.S. invested
capital can only do inbound services.
(4) Unbound except as indicated in Horizontal commitments. |
